Local-Business
Remittances pick up pace ahead of Eid-ul-Azha
In anticipation of Eid ul Adha, Bangladeshis abroad sent back $1.79 billion in inward remittances in the first 23 days of the current month (June), finally gaining some pace through official channels after a lacklustre few months. The figure has already eclipsed the entire month of May figure, which was $1.69bn, with a full week still left. If the trend continues, remittances in June would exceed the $2bn mark by the end of the month. Although this mark was breached in March ($2.02 billion), the flow of remittances in April ($1.68bn) and May ($1.69bn) was again disappointing.
Read: 10.74 lakh workers went abroad till June in 2022-23 fiscal year: MinisterBangladesh Bank officials noted that people spend more on the Eid festival. On occasion of Eid ul Adha, many expatriates would have their qurbani (sacrifice, usually of cattle) at home through their relatives. So a hike was to be expected in the last month of the 2022-23 fiscal.
IBBL signs agreement to use 'Sonali Payment Gateway'
Islami Bank Bangladesh Limited has inked a deal to use Sonali Bank PLC's own software 'Sonali Payment Gateway'.
Abul Faiz Muhammad Kamluddin, Deputy Managing Director of IBBL, and Nurun Nabi, General Manager of Sonali Bank PLC signed the agreement recently.
Read: IBBL gets new chairman
Mohammed Monirul Moula, Managing Director and CEO of IBBL and Md Afzal Karim, Managing Director and CEO of the Sonali Bank PLC witnessed the signing ceremony.
Under this agreement, Cellfin and mCash customers of IBBL can pay fees/charges and challan of five hundred different institutions through 'Sonali Payment Gateway'.
Read: IBBL organized foundation training for probationary officers
Md. Altaf Hossain, Additional Managing Director Of IBBL, Sanchia Binte Ali, Deputy Managing Director of Sonali Bank PLC, Mir Mofazzal Hossain, Subash Chandra Dash, Kazi Mohammad Wahidul Islam and Parsuma Alam along with top officials of both institutions were present on the occasion.
Read more: IBBL launches new website, two new investment schemes
Green Chilli import through Hili land port begins
Indian trucks loaded with green chilli entered Bangladesh through Hili land port in Dinajpur on Monday as the government has allowed its import in the wake of surging prices in the local market ahead of Eid-ul-Azha.
M/s Satata Banijyalay, BK Trade, Promi Enterprise and Royal Trade International-- have received import permits (IP). These organizations will import around 1,900 metric tons of green chilli.
Read: Bangladesh allows green chilli import as price keeps rising
Shakil, a retail trader of Hili market, said that the price of green chilli increased to Tk 160-200 per kg on Monday morning after 10 months. “Now it's being imported. The price of chilli may come down in 2-1 day.”
Center for Plant Disease Control assistant officer Yusuf Ali said that import of green chilli from India through Hili land port was suspended on August 24 last year.
Green chilli import has started through Hili land as the government again allowed it, the officer added.
Read: Floods push up green chilli prices in Dhaka kitchen markets
The Ministry of Agriculture permitted 30 importing firms to import a total of 11,600 metric tonnes of green chillies, said an official release on Sunday.
Besides, 68 companies have been granted permission to import 55,600 MT of tomatoes, it added.
Read more: India assures smooth supply of essential commodities to Bangladesh: Tipu Munshi
Bangladesh, French Development Agency sign $303 million credit agreements for 3 crucial dev projects
Bangladesh and Agence Française de Développement (AFD) or the French Development Agency have entered credit facility agreements (CFA) for three crucial development projects, totalling EUR 277 million (approximately USD 303 million).
The CFAs were signed on June 22 by Sharifa Khan, secretary to the Economic Relations Division, representing Bangladesh, and Benoit CHASSATTE, AFD country director for Bangladesh.
Under the CFAs, AFD will provide EUR 62 million for the BRT project, EUR 175 million for the Chattogram Metropolitan Sewerage Project, and EUR 40 million for the BEST Project.
Also Read: BHBFC-AFD hold bilateral meeting on green-featured buildings
The first project, known as the Greater Dhaka Sustainable Urban Transport Project (BRT Company Component), aims to establish a sustainable urban transport system in Gazipur City Corporation (GCC). This project will introduce a 20 km Bus Rapid Transit (BRT) corridor — serving as a pilot project to provide a holistic solution for integrated urban mobility.
The second project, the Chattogram Metropolitan Sewerage Project for North Kattoli, addresses the long-awaited needs of Port City dwellers. It involves the construction of a sewerage system and wastewater treatment infrastructure for the North Kattoli catchment area, located in the northwest part of Chattogram city.
The third project, called the Bangladesh Environmental Sustainability and Transformation (BEST) project, is a joint effort between AFD and the World Bank. It aims to enhance environmental regulations and enforcement in Bangladesh. The project focuses on curbing pollution and improving environmental quality by strengthening the country's technical and administrative capacity.
Also Read: France keen on meeting Bangladesh’s needs for green investments: AFD Executive Director
AFD, a bilateral development agency responsible for implementing official development assistance on behalf of the French government, has been actively operating in Bangladesh since 2012.
AFD’s support encompasses a wide range of development projects, including urban development and infrastructure initiatives such as water and sanitation, public transport, and urban services. They also focus on power and green energy projects, including energy efficiency and renewable power, as well as corporate and social responsibility endeavours aimed at enhancing safety standards and environmental and social performance.
To date, AFD has committed EUR 2,101 million in technical assistance projects and has provided Bangladesh with a budget support loan of EUR 300 million, demonstrating its sustained commitment to the country's development.
Read More: HCA signed, €609 million in loans approved by AFD for Bangladesh
IFC providing $50 million to BRAC Bank to support trade finance, preservation of jobs
International Finance Corporation (IFC) is providing BRAC Bank Limited a $50 million loan to aid small and medium-sized enterprises (SMEs) recover from the effects of the COVID-19 pandemic.
This investment is set to contribute to the preservation of jobs and bring foreign exchange liquidity into BRAC Bank to help support the working capital and trade finance requirements of the bank’s SME importer and exporter clients.
Also Read: New program by Australia, IFC to mobilise $50 million to support post-COVID inclusive growth in Bangladesh
This investment, along with a similar loan to Prime Bank in February, will also send a positive signal to the market and contribute towards attracting additional international investors to support the foreign exchange financing needs of local banks and SMEs, IFC said.
The financing package is part of IFC's $8 billion global COVID-19 fast-track financing facility to support companies during the ongoing public health crisis. This new investment comes under the Working Capital Solutions (WCS) program of the COVID-19 response envelope, which is providing $2 billion globally to emerging-market banks, enabling them to support struggling firms.
This project will also be supported by the International Development Association's Private Sector Window Blended Finance Facility, which is also rendering aid to IFC's WCS program.
BRAC Bank is Bangladesh’s third-largest private bank and the only SME-focused bank in the country.
Also Read: First project under IFC’s Global Food Security Platform to tackle food insecurity in Bangladesh
"Our SME and corporate clients continue to confront challenges arising from the disruptive effects of COVID-19. The insufficient availability of foreign exchange has additionally impeded their regular trading operations," said Selim R. F. Hussain, the Managing Director and CEO of BRAC Bank.
The aftermath of the COVID-19 pandemic has resulted in a global economic slowdown, influenced by a series of factors, including geo-political events.
“IFC has been supporting the banking sector in export-driven economies like Bangladesh, which have been facing declines in foreign exchange reserves due to various macroeconomic and geopolitical headwinds,” said Joon Young Park, IFC’s Portfolio Manager for South Asia.
Also Read: Prime Bank receives $50m from IFC to support trade, forex liquidity needs in Bangladesh
"IFC plans to continue providing its steadfast support to key banking partners in Bangladesh who have significant SME portfolios, such as BRAC, with whom IFC has had equity and debt commitments over the past 19 years.”
IFC has invested more than $3.6 billion to promote the growth of the private sector in Bangladesh since 2010, thereby creating job opportunities for the country's citizens. And since the beginning of the COVID-19 crisis, IFC has provided over $360 million in working capital solutions and liquidity support to banks and companies in Bangladesh.
Also Read: IFC giving $32.5 million to ensure food security in Bangladesh
"After three long years of grappling with the impact of the pandemic, businesses in Bangladesh continue to face challenging market conditions,” said Martin Holtmann, IFC Country Manager for Bangladesh, Bhutan, and Nepal. “By supporting BRAC Bank, we are continuing our efforts to help Bangladesh recover and foster a resilient post-pandemic economic landscape.”
Also Read: Implement Teesta Project to save people from manmade disasters: IFC
Nagad offers smart payment option at cattle markets
Ensuring safe and convenient buying and selling of sacrificial animals, mobile financial service provider Nagad has come up with a smart payment option at cattle haat for its customers.
As part of its efforts to help Bangladesh's transition to a "Smart Nation", such a payment option has been introduced at smart cattle markets, reads a press release.
Customers will get attractive gifts alongside a maximum security while making payments using Nagad.
Read: Govt fixes rawhide prices ahead of Eid-ul-Azha
Under the initiative taken by the Bangladesh Bank, Dhaka North City Corporation and Chattogram City Corporation, ten smart cattle markets have been set up in Dhaka and Chattogram cities.
The Ministry of Fisheries and Livestock and Bangladesh Dairy Farmers' Association are providing all necessary support to the management of smart haats.
Nagad has installed booths and employed skilled staffers in those cattle markets to provide various services to buyers and sellers, adds the release.
Nagad has taken the lead in every initiative of the government to promote cashless transactions. As part of that, it has been entrusted with the responsibility to ensure cashless transactions at two smart haats in the capital – Gabtali and Basila cattle markets.
Read: Banks to remain open on June 27, 28 in industrial areas
People who buy or sell animals for certain amounts through Nagad at both the cattle markets will get attractive t-shirts, caps, mugs, key rings, and pens.
Nagad already conducted awareness raising activities among farmers in different parts of the country prior to setting up of smart cattle haats. Besides, many cattle farmers with trade licences have been given Uddokta accounts. As a result, they can return home safely after selling cattle as they do not have to carry cash.
Besides, after receiving the money from sales of animals in Nagad accounts, sellers can withdraw cash at the lowest costs from Nagad booths installed at the smart cattle markets. At the same time, interested buyers can also make cash-in from the booths as required. In addition, cattle farmers can cash in the money they receive through sales of animals in cash transactions, or they can secure it by sending the money to the accounts of their family members at home. Again, one can easily open a Nagad account at the booths located in the cattle markets.
Read: Nagad dangles ‘Ek Takar’ offer on GP mobile recharge
Muhammad Zahidul Islam, head of Public Relations, Nagad, said, "Nagad always steps up first whenever there is any digital initiative. We are working in solidarity with the Bangladesh Bank's move to make 75% of the country's total transactions cashless by 2027."
As part of it, Nagad has arranged an option for cashless payments at smart cattle markets, he also said, adding, "We stand by farmers and consumers to make this initiative a success. We believe that cashless transactions using Nagad can provide maximum security and ensure convenience to our customers."
This process of cashless transactions will rein in the use of counterfeit notes and will also play an important role in curbing crimes, he further said.
Apart from smart haats, online sales of sacrificial animal purchases have got momentum like in the last few years. Every year, thousands of cattle are traded on digital platforms.
Nagad is the customers’ first choice as an online payment method, added the release.
Govt fixes rawhide prices ahead of Eid-ul-Azha
The Ministry of Commerce on Sunday (June 25, 2023) fixed the prices of salted cowhides at Tk 50 to Tk 55 per square feet in Dhaka and at Tk 45 to Tk 48 outside Dhaka.
Commerce Minister Tipu Munshi disclosed this after a meeting with tannery owners, the Tariff Commission, and related stakeholders at the Ministry of Commerce.
The minister said that the price of salted cowhide has been increased by Tk 3 in Dhaka and by Tk 5 outside Dhaka compared to last year. And the prices of Khasi (male goat) and goat skin were kept the same as it was in the previous year.
Read: Salted rawhides collection starts Thursday
Tipu Munshi said the rawhide prices of sacrificial Khasi (male goat) has been fixed at Tk 18 to Tk 20 and goat Tk 12 to Tk 14.
Last year, the price of salted cowhide was Tk 47 to Tk 52 per square feet in Dhaka and Tk 40 to Tk 44 outside Dhaka. And the price of salted skin of khasi was Tk 18 to Tk 20 and goat skin was Tk 12 to Tk14.
Tanners will get around Tk 259 crore loans from banks to procure and preserve rawhides during the upcoming Eid-ul-Azha.
Read: Steps taken to prevent rawhide smuggling in border areas: Industries Secy
According to commerce ministry sources, tannery owners have written to the ministry seeking a Tk 500 crore loan .
A total of 12 public and private banks will disburse the loans among applicants with state-owned ones lending the maximum amount.
Read more: Govt hikes rawhide prices ahead of Eid
Speakers for technology, finance and PPP initiative in building disaster resilient smart Bangladesh
President of Dhaka Chamber of Commerce & Industry (DCCI) Barrister Md. Sameer Sattar said strong public and private sector fraternity is essential to steer the much-needed disaster risk management along with a long-term master plan to safeguard industries.
He said this at a symposium on “private sector’s participation in disaster risk management: towards Smart Bangladesh” jointly organized by DCCI and Strengthening Urban Public-Private Programming for Earthquake Resilience (SUPER) Project Consortium held at Radisson Hotel in Dhaka on Saturday, said a media release.
SUPER project is a consortium initiative implemented by DCCI, ActionAid Bangladesh, United Purpose and World Vision supported by European Union Civil Protection and Humanitarian Aid.
Dhaka South City Corporation (DSCC) Mayor Barrister Sheikh Fazle Noor Taposh and Dhaka North City Corporation (DNCC) Md. Atiqul Islam joined the event virtually as special guests.
Read: Rationalize public sector borrowing to encourage private borrowing: DCCI President
BIDA Executive Chairman Lokman Hossain Miah, FBCCI President Md. Jashim Uddin and Department of Disaster Management DG Mijanur Rahman were also present as guests of honour at the event chaired by DCCI President Sattar.
Sameer Sattar said disaster risk has broad socioeconomic and developmental implications crippling the sustenance of businesses and industries.
Industry is the lifeline of the economy contributing 36% of GDP in Bangladesh. Disaster risk has far-reaching consequences on sustainability of business. Bangladesh can offer a wide range of financial tools to enhance the financial resilience of the private sector as disaster control measures, he said.
In Bangladesh, awareness building, compliance, central disaster management fund, easy access to low-cost funds and other tax advantages can provide some good solutions to ensure an effective and result-oriented Disaster Risk Management (DRM) ecosystem, he added.
Mayor Taposh said that disaster risk management strategy should be implemented through public-private partnership mode to make it more sustainable.
Read: DCCI business delegation leaves Dhaka to join BIMSTEC Business Conclave’ in Kolkata
He also suggested making the private sector emergency operation centre (PEOC) effective.
The maor4 also informed that there are 75 words under DSCC and each has about 400 volunteers to work. DSCC has already allocated an increased budget for training and fire drills to make Bangladesh smart.
DNCC Mayor Atiqul said that in offices, homes and markets fire drills should be mandatory to raise awareness.
“Moreover, we do not have underearth utility service mapping and due to lack of proper GIS mapping sometimes it becomes risky to do infrastructure related work especially in the roads,” he said.
He also said that if the canals can be re-gained these will be a good source of water if any fire incident happens.
Read: NBR-private sector partnership crucial to achieve high revenue target: DCCI President
The mayor urged the owners of commercial towers to arrange frequent fire drills and ensure enough space in the tower. Moreover the government alone can’t implement disaster risk management.
Urging all to abide by the building code, BIDA’s Lokman Hossain Miah said, “Where there is life, there is risk, therefore, we have to have a masterplan for being a disaster resilient country.”
He termed Dhaka as the most vulnerable city in Bangladesh. But not only Dhaka, the entire country will have to be brought under a masterplan.
He also termed technology as a strong tool to fight against disaster as well as he stressed on easy financing mechanisms to face disasters.
Read: DCCI urges industrialists to setup factories in EZs for uninterrupted power supply
Business leader Jashim Uddin said that in terms of businesses, “We are in a competitive world. Any disaster may harm our competitiveness in the international market.”
He said, “We can’t allow our industries and employees or workers to be endangered by any disaster. We have to identify the risky factories and industries and make them ready for facing disasters.”
He also said that the capacity of fire service and civil defence should be strengthened more. There is no alternative to maintaining compliance in industries. In that case the private sector has a big role to play along with the public sector.
DG Mizanur said that the disaster risk management should be inclusive. Since Bangladesh is situated in a disaster prone zone, therefore all have to be ready with adequate equipment.
Technology can play a pivotal role in facing disaster risks, he said, adding that the young generation will have to be engaged in disaster risk management systems.
Read: DCCI for 2.5% corporate tax cut for non-listed companies in the next budget
Later a website of a private sector emergency operation centre was launched.
DCCI senior vice president SM Golam Faruk Alamgir (Arman) offered vote of thanks.
Two parallel sessions titled “disaster risk management financing strategy” and “technology in DRM towards smart Bangladesh” were held under the symposium where related stakeholder sector leaders also spoke.
Transportation of sacrificial animals from C’nawabganj to Dhaka launched
Like previous occasions ahead of the holy Eid-Ul-Azha, transportation of sacrificial animals via train from Chapainawabganj to Dhaka at a low cost was launched on Saturday evening.
This year, adding three more wagons to the existing wagons of the Mango Special Train instead of Cattle Special Train, the first shipment of sacrificial animals with 40 cows and six goats was sent to Dhaka.
Under the banner of ‘Cattle Special Train’, the vehicle carrying the sacrificial animals left the district for Dhaka’s Tejgaon.
Read: Special mango train on Chapainawabganj-Dhaka route launched
Local lawmaker Abdul Wadud inaugurated the train service at Chapainawabganj Rail Station at 6:45pm.
District Livestock Officer Mostafizur Rahman, Assistant Commercial Officer of Bangladesh Railway (western zone) AKM Nurul Alam and Station Master Obaidullah among others were present at the opening ceremony.
Master Obaidullah said three more wagons were added to the wagons of the mango special train to carry the sacrificial animals from the district to the capital every day this year.
Each wagon will be able to accommodate 20 cows and its fare was fixed at Tk 11, 830, he said.
The special train service will continue from June 24 to 26, the master said.
Read: BR to operate special mango train on Chapainawabganj-Dhaka route from on June 13
The special service was launched on the Chapainawabganj-Rajshahi-Dhaka (Tejgaon) route on July 17 in 2021 to transport sacrificial animals at a low cost considering the Covid-19 situation.
Read more: PM launches special mango train on Chapainawabganj-Dhaka route
BAT Bangladesh launches ESG Report for shareholders and investors
BAT Bangladesh has unveiled a report on the company’s environmental, social, and governance (ESG) performance for 2022, continuing its legacy of pioneering this report in the country.
The ESG report, which contains proper disclosure and compliance, has been prepared for the perusal of the company’s shareholders and investors.
It has chosen to pursue challenging targets, including carbon neutrality, water stewardship, waste management, and diversity, equity, and inclusion, as per the company’s global commitment.
Read: BAT Bangladesh recognised as top employer in 2023
Through its robust ESG initiatives, BAT Bangladesh supports the government in driving eight out of the 17 Sustainable Development Goals.
More than 40 percent (42% to be specific) of financing for Bangladesh’s SDG attainment is projected to come from the private sector, according to the ‘SDGs Financing Strategy- Bangladesh Perspective’ by the Planning Commission.
Several multinationals and local companies are making significant contributions towards that end, with BAT Bangladesh, the largest taxpayer, leading the process by example.
Read: BAT Bangladesh keeps topping NBR honours chart
A listed company, BAT Bangladesh launched the ESG report for 2021, the first of its kind in the country, in 2022. The latest report, too, has been published in both English and Bangla and would be made available upon queries from shareholders and investors.
BAT’s ESG report has been prepared with reference to GRI Standard – a global framework for sustainability reports.
Read more: BAT Bangladesh scoops up ACES Awards 2022 as 'top sustainability advocate'