United News of Bangladesh

The government is preparing an integrated strategy to diversify both products and markets, aiming to boost export earnings and reduce the country's heavy dependence on ready-made garments (RMG). Under the initiative, separate market-based export strategies are being drafted for 18 key trading destinations worldwide, based on an analysis of market potential, existing barriers, competitors' positions and the steps Bangladesh needs to take. Commerce Secretary Ataur Rahman Khan announced the move while presiding over a workshop titled "Bangladesh Export Diversification Strategy: Product and Market Diversification Across 18 Key Trading Destinations" at the Ministry of Commerce conference room at the Secretariat on Monday. "Equal importance is being given to both product diversification and market diversification to make Bangladesh's exports stronger and more sustainable," he said. He said detailed country profiles and implementable strategies are being prepared after collecting and analysing information on the 18 selected destinations. Information on the current situation in the target markets, existing export barriers, Bangladesh's potential products and scope for trade expansion has been gathered from the country's commercial wings abroad, the secretary said. "A separate action plan will be drawn up for each country by consolidating this data." Ataur said a specific matrix is being followed for market analysis. "It includes Bangladesh's share in the country's total imports, main competitors for specific products, ways to enhance competitiveness, and the policy and institutional measures needed for market expansion." He added that the analysis of the 18 markets would help identify new potential products, expand markets for existing items and determine the steps required to enter new markets. Speaking at the workshop, Mustafizur Rahman, Distinguished Fellow of the Centre for Policy Dialogue (CPD), said services exports must receive equal priority alongside goods in any diversification drive. He called for effective initiatives to develop information technology, the skills-based economy and enabling service sectors, along with support for the growth of freelancers. Stressing skills development and technological upgrading, he said greater use of technology in manufacturing and services is essential to improve competitiveness in international markets. He also suggested stepping up efforts to increase exports of Bangladeshi goods and services to neighbouring countries by leveraging geographical proximity. Representatives of the BGMEA, FLEXA, CPD, Walton Group, Bangladesh Agro-Processors' Association and the pharmaceutical sector, among others, placed their proposals for expanding exports at the workshop. Officials from the Ministry of Commerce and other relevant ministries and organisations also attended. Participants emphasised making sectors such as pharmaceuticals, electronics, agriculture and agro-processed products, leather and leather goods, light engineering, information technology and other services more competitive in global markets, alongside RMG. Stakeholders said the strategy centred on the 18 destinations would play a key role in broadening the export base, creating new products and markets, deepening partnerships in existing markets and building a diversified, sustainable export structure in the long run.  

Asian stock markets were mixed Monday after a decline in oil prices last week helped U.S. stocks end their first winning week in three. Japan’s benchmark Nikkei 225 fell 0.7% to 65,877.62. Australia’s S&P/ASX 200 gained 0.2% to 8,679.70, while South Korea’s Kospi dropped 2.7% to 6,889.74. Hong Kong’s Hang Seng rose 0.6% to 24,654.86, while the Shanghai Composite declined 1.7% to 3,823.62. In energy trading, U.S. benchmark crude rose 1.98% to $94.24 a barrel, while Brent crude, the international benchmark, gained 2.5% to $106.93 a barrel. Brent crude briefly fell to around $97 a barrel last week. Oil prices have remained volatile amid uncertainty over when the war with Iran will end and allow oil supplies from the Middle East to flow more freely, including through the Strait of Hormuz. On Wall Street, the S&P 500 gained 0.5%, ending a three-day decline marked by sharp swings as bond yields rose. The Dow Jones Industrial Average climbed 478 points, or 0.9%, while the Nasdaq composite gained 0.5%. Rising expectations for high inflation in the United States weighed on markets last week. Higher inflation could put further pressure on the economy by increasing living costs and potentially triggering further price increases. The yield on the 10-year Treasury note briefly rose to 5.22% Friday from 5.18% late Thursday, approaching its highest level since 2007. Higher yields can slow economic activity by making borrowing more expensive and can also put pressure on stocks and other investments. The 10-year yield had risen from 3.97% at the start of the war with Iran. However, it eased later Friday as oil prices fell, dropping to 5.15%. The decline in yields helped U.S. stocks recover. Overall, the S&P 500 rose 39.28 points to 7,743.41. The Dow gained 478.64 points to 51,828.62, while the Nasdaq composite advanced 129.34 points to 27,068.72. In Asian currency trading Monday, the U.S. dollar rose to 157.53 Japanese yen from 157.19 yen. The euro fell to $1.1380 from $1.1393.

Asian stocks traded mixed Monday as oil prices moved higher after a decline last week helped U.S. shares finish their first positive week in three. Japan’s benchmark Nikkei 225 was nearly unchanged, slipping less than 0.1% to 66,333.53. Australia’s S&P/ASX 200 gained 0.3% to 8,688.60, while South Korea’s Kospi fell 2.3% to 6,916.30. Hong Kong’s Hang Seng rose 0.7% to 24,684.09, while the Shanghai Composite declined 1.7% to 3,820.82. In energy trading, U.S. benchmark crude rose 1% to $93.33 a barrel, while Brent crude, the international benchmark, climbed 1.8% to $106.19 a barrel. Brent had briefly fallen to the $97 range last week. Oil prices remain volatile amid uncertainty over when the war with Iran will allow oil supplies from the Middle East to move more freely, including through the Strait of Hormuz. On Wall Street, the S&P 500 gained 0.5%, ending a three-day decline marked by sharp swings as bond yields increased. The Dow Jones Industrial Average rose 478 points, or 0.9%, while the Nasdaq composite added 0.5%. Rising expectations of higher U.S. inflation weighed on markets last week. Investors are concerned that persistent inflation expectations could influence economic behavior and contribute to further increases in living costs. The yield on the 10-year U.S. Treasury note briefly rose to 5.22% Friday from 5.18% late Thursday, approaching its highest level since 2007. Higher yields can slow economic activity by increasing borrowing costs and can also reduce the appeal of stocks and other investments. The 10-year yield has risen sharply since the start of the war with Iran, when it stood at 3.97%. However, yields eased later Friday as oil prices declined, with the 10-year yield falling back to 5.15%. The move helped U.S. stocks recover. The S&P 500 rose 39.28 points to 7,743.41. The Dow gained 478.64 points to 51,828.62, while the Nasdaq composite advanced 129.34 points to 27,068.72. In Asian currency trading Monday, the U.S. dollar rose to 157.76 Japanese yen from 157.19 yen. The euro was trading at $1.1392, little changed from $1.1393.

The Ministry of Commerce has initiated a process to verify the loan default status alongside the tax, VAT, and customs duty payment compliance of the executive committee members elected for the 2024-2026 term of the Real Estate and Housing Association of Bangladesh (REHAB). To facilitate the verification, the ministry requested the Senior Vice President of REHAB to submit the list of elected executive committee members along with copies of their Taxpayer Identification Numbers (TIN) and National Identity Cards (NID) within the next three working days. The directive was issued in a letter signed by Deputy Secretary Chowdhury Samia Yasmin of the Commerce Organisation-2 branch under the Ministry of Commerce on Sunday. According to the letter, the ministry will examine the credit default records as well as the updated status of tax, VAT, and duty payments for all elected executive committee members of REHAB for the specified term. The trade organisation has been asked to send the required documents within the stipulated time. Copies of the letter have also been forwarded for notification to the Private Secretary (PS) to the Commerce Minister, the PS to the Commerce Secretary, and the office of the Director General of Commerce Organisations.

Bangladesh Bank (BB) has expanded the scope of financial incentives for Bangla QR code-based transactions, bringing all trade-licensed merchant points under the incentive framework alongside small and marginal vendors to boost digital payments nationwide. The central bank issued Payment System Department (PSD-2 Circular Letter No. 07' on Sunday, replacing Paragraph 2 of its previous 'PSD-2 Circular No. 03' issued on August 10, 2026. According to the revised instruction, acquiring institutions will receive a monthly incentive of 0.10 percent and issuing institutions will receive 0.20 percent on each Bangla QR code-based transaction up to Tk 2,000 conducted through the National Payment Switch Bangladesh (NPSB) platform. The facility, which was previously restricted to small and marginal sellers and service providers on boarded via personal retail accounts, will now automatically extend to all other merchant points holding a trade license. The directive, signed by BB Director (PSD-2) Md. Sharafat Ullah Khan, was issued to the managing directors and chief executive officers of all scheduled banks, Mobile Financial Service (MFS) providers, Payment Service Providers (PSP), Payment System Operators (PSO), and international payment schemes operating in Bangladesh. The central bank confirmed that all other terms, conditions, and paragraphs specified in the August 10 circular remain unchanged.

Bangladesh has embarked on a transformation journey to become a trillion-dollar economy by 2034, moving beyond the fragile economy inherited from the deposed regime, Prime Minister’s Finance and Planning Adviser Rashed Al Mahmud Titumir has said. Speaking as the chief guest at the biennial convention of the American Association of Bangladeshi Engineers and Architects (AABEA) in Detroit, Michigan, on Saturday, he said the government is pursuing a new development model based on recovery, restoration and reconstruction. The model focuses on investment, production, employment and increased public investment in education and healthcare, the adviser said. He said Bangladesh aims to establish itself as a competitive manufacturing hub through industrial diversification, higher productivity and technological advancement. Titumir urged Bangladeshi-American engineers, scientists and technology entrepreneurs to act as a bridge to the US innovation ecosystem by connecting Bangladesh with leading universities, research laboratories, technology companies and investors.  

Bankers, economists and business leaders on Saturday called for wider stakeholder consultation before Bangladesh Bank issues a major regulatory circular on a proposed special exit facility for classified loans, warning that rushed implementation could undermine both recovery efforts and business sustainability. The call came at a roundtable titled "Special Exit Facility for Classified Loans: Balancing NPL Recovery, Business Sustainability, and Credit Discipline," organized by the International Business Forum of Bangladesh (IBFB) at its conference room in the capital. Shah Md Ahsan Habib, professor at the Bangladesh Institute of Bank Management (BIBM), presented the keynote paper, outlining key features of the proposed exit facility and stressing the need to strike a balance between non-performing loan (NPL) recovery, business sustainability and credit discipline. IBFB President Lutfunnisa Saudia Khan, in her opening remarks, underscored the importance of constructive dialogue among policymakers, banks, businesses and other stakeholders before any major policy shift. Ali Reza Iftekhar, Adviser at Bank Asia PLC, said consulting stakeholders before issuing such a significant circular was essential to avoid unintended consequences for the banking sector. Prof Md Mamun Habib of IUB emphasized good governance and fair practices in handling classified loans, while Prof Dr Abu Yusuf of Dhaka University raised concerns over weak enforcement in cases of loan non-repayment. A representative of Pubali Bank PLC referred to the Money-Lending Act, 1832, calling for reasonable rescheduling provisions. Toufic Ahmad Choudhury, former Director General of BIBM, said political commitment from the government was necessary to recover classified loans, and urged a case-by-case approach that distinguishes willful defaulters from unwilling ones. Md Khairul Anam Mohiuddin, Executive Vice President of Southeast Bank PLC, and Syed Abu Naser Bukhtear Ahmed, Chairman of Agrani Bank PLC, spoke on loan recovery and institutional coordination, calling for closer engagement among Bangladesh Bank, the Ministry of Finance and other stakeholders. Participants broadly agreed that wider consultation with banks, businesses and other concerned parties would help identify practical challenges and ensure more effective implementation of major regulatory measures. They also stressed the need to balance NPL recovery and repayment capacity with business sustainability, transparency and credit discipline. The roundtable concluded with a call for continued dialogue among Bangladesh Bank, financial institutions, businesses and other stakeholders to develop practical and sustainable approaches to tackling the country's NPL challenges.

The Bangladesh Jewellers Association (BAJUS) has cut gold prices in the domestic market after two consecutive increases, reducing the price of 22-carat gold by Tk 1,691 per bhori to Tk 232,930, including VAT. BAJUS announced the revised prices in a notice issued Saturday morning. The new rates came into effect at 10am the same day. According to the notice, the price of pure gold, locally known as tezabi gold, has declined in the local market. Considering the overall market situation, BAJUS revised the prices of gold, including VAT. Under the new rates, a bhori (11.664 grams) of 22-carat gold will cost Tk 232,930, while 21-carat gold will cost Tk 222,491 per bhori. The price of 18-carat gold has been set at Tk 191,056 per bhori, while traditional-method gold will cost Tk 156,064 per bhori. BAJUS said the revised prices will remain effective at all jewellery shops until further notice. Labour charges will apply separately depending on the design of the jewellery. As VAT is included in the selling prices of gold and silver jewellery, jewellers cannot collect VAT separately from customers. The previous BAJUS rules will remain applicable to jewellery exchange and purchase after excluding applicable VAT, labour charges and stone costs. BAJUS last adjusted gold prices on September 19, raising the price of 22-carat gold by Tk 1,691 per bhori to Tk 234,621, including VAT. So far this year, BAJUS has adjusted gold prices 117 times. Of these, prices were raised on 58 occasions, reduced on 58 occasions and adjusted once for VAT. Silver prices have also been reduced in the domestic market. The price of 22-carat silver has been cut by Tk 291 per bhori to Tk 4,841, including VAT. The new price of 21-carat silver is Tk 4,607 per bhori, while 18-carat silver will cost Tk 3,966 and traditional-method silver Tk 3,033 per bhori. BAJUS has adjusted silver prices 71 times so far this year, raising them on 36 occasions and reducing them on the remaining 35 occasions.

In a major boost to Bangladesh’s prospects for exporting commodities, China has allocated a free permanent display centre and warehouse in Kunming, the capital of Yunnan province, to showcase and market Bangladeshi products all year-round, aiming to help narrow the massive trade gap between the two nations. The Department of Commerce of China's Yunnan Province offered the Export Promotion Bureau (EPB) approximately 2,000 square feet of display space alongside a 2,000-square-foot warehouse free of rent at a commercial market in Kunming. Confirming the development, EPB Vice Chairman Mohammad Hasan Arif said, "We are currently preparing to sign an agreement with a Chinese firm to manage the display centre. The company has already sent a draft contract. We hope to make the centre operational within this year." The initiative originated in May last year during a visit to Dhaka by a high-level Chinese delegation led by Liu Jie, Deputy Director of the Lancang-Mekong Sub-regional Economic and Trade Development Centre under Yunnan’s Department of Commerce. Later in December, a Memorandum of Understanding (MoU) was signed between the EPB and Yunnan's Department of Commerce at the Tongde Kunming Plaza Fruit Festival. Under the arrangement, Bangladeshi exporters will also receive free access to Yunnan’s designated Online Commodity City, providing an integrated digital marketing platform to display and sell goods. Additionally, exporters of fresh and perishable agricultural items will benefit from expedited customs clearance. While China remains Bangladesh’s largest trading partner, the trade volume remains heavily skewed toward imports. In the 2025–26 fiscal year, bilateral trade stood at $22.96 billion, with Bangladesh importing goods worth $22.14 billion from China while exporting a mere $820 million. Despite China granting duty-free access to 97 percent of Bangladeshi products in 2020 and expanding it to nearly all items in 2024, Bangladesh's exports to the Chinese market have yet to see significant growth. EPB officials, who inspected the facility in Kunming last June, noted that the commercial market attracts wholesale buyers from across China. Addressing the selection of items to be featured, the EPB Vice Chairman stated that products with high demand in China will be prioritized, adhering strictly to Chinese compliance standards, though the final product list is yet to be finalized. Exporters also emphasized showcasing quality goods, particularly items whose manufacturing facilities are scaling down in China, to capitalize on this strategic trade window.

Bangladesh’s ready-made garment (RMG) exports to the United Kingdom reached $915.63 million during the first two months (July-August) of fiscal year 2026-27, registering a 3.74 percent year-on-year growth driven primarily by a strong rebound in August. During the corresponding July-August period of the previous fiscal year (FY2025-26), RMG exports to the UK market stood at $882.62 million, according to data from the Export Promotion Bureau (EPB) compiled by trade research platform Bangladesh Apparel Voice. The cumulative earnings of $915.63 million in the first two months already account for 20.86 percent of the total $4,388.55 million earned from garment exports to the UK across the entire FY2025-26. The monthly export average so far in FY2026-27 stands at $457.82 million, running significantly ahead of the flat monthly average benchmark of $365.71 million recorded in the full FY2025-26. However, the positive trajectory was driven almost entirely by a robust 10.53 percent surge in August, which effectively offset a 2.44 percent year-on-year drop recorded in July. Mohiuddin Rubel, Founder & CEO of Bangladesh Apparel Voice, highlighted that August’s strong recovery successfully lifted overall apparel exports to the UK market out of negative territory following a sluggish start in the first month of the fiscal year.