local-business
Bangladesh’s foreign exchange reserves now $23.57 billion as per IMF formula
Bangladesh Bank (BB) has finally accepted the formula prescribed by the International Monetary Fund (IMF) in calculating foreign exchange reserves that stood at $23.57 billion on Thursday.
Read: No scope to hold ‘acceptable polls’ under AL govt: BNP tells Canadian envoy
However, according to the Bangladesh Bank's calculations on Wednesday the reserve was $29.97 billion.
Read: Heard a ‘strong commitment’ from PM, ministers in support of free, fair, peaceful elections in Bangladesh: Uzra Zeya
One of the conditions for the IMF's $4.7 billion loan to Bangladesh was to release the reserve account by June as per a model called BPM-6.
IBBL holds workshop on effective internal audit procedure
Islami Bank Training and Research Academy (IBTRA) organised a workshop on “Journey Towards Universal Banking: Auditing for Achieving Excellence in Bank” at Islami Bank Tower recently.
Read: IBBL signs agreement to use 'Sonali Payment Gateway'
Mohammed Monirul Moula, Managing Director & CEO of the Bank inaugurated the workshop as Chief Guest. Presided over by K.M Munirul Alam Al-Mamoon, Principal of IBTRA (Current Charge), J Q M Habibullah, FCS, and Md. Altaf Hossain, Additional Managing Directors, Md. Nayer Azam and Kazi Md. Rezaul Karim, Deputy Managing Directors of the bank conducted different session of the workshop.
Read: IBBL launches ‘Smart Bangladesh Smart Banking’ campaign
Around 100 executives and employees of the Audit and Inspection Division attended the workshop.
RMG exports to EU grew 9.93% in FY 2022-23: Export Promotion Bureau
RMG exports from Bangladesh to the European Union (EU) saw 9.93 percent growth during the fiscal year 2022-23 — from $21.40 billion in FY 2021-22 to $23.52 billion in FY 2022-23, according to the Export Promotion Bureau (EPB).
Read: Bangladesh to retain duty-free access for 98% of exports, including RMG as UK introduces new scheme
However, exports to some major markets in the EU region, such as Germany and Poland, have declined significantly, said BGMEA Director Mohiuddin Rubel quoting the facts.
In FY 2022-23, apparel exports to Spain, France, Italy, Denmark and Netherland were worth US$ 3.37 billion, US$ 2.94 billion, US$ 2.27 billion, US$ 1.28 billion, and US$ 1.85 billion respectively.
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Export to USA, the top apparel export destination of Bangladesh, declined by 5.51 percent to US$ 8.51 billion, from US$ 9.01 billion in FY 2021-22, in the mentioned period.
At the same time, RMG exports to the UK and Canada increased by 11.78 percent and 16.55 percent respectively.
During the mentioned year, Bangladesh’s exports to non-traditional markets has achieved significant growth of 31.38 percent.
Read: RMG exports in FY23 almost $47bn, 85% of total exports
Among the major non-traditional markets, exports to Japan, Australia and India crossed the one billion dollar milestone.
The share of non-traditional markets in total RMG export also increased by 17.82 percent in FY 2022-23 from 14.96 percent in FY 2021-22.
Bangladesh starts trade with India in rupees with opening two LCs today
Bangladesh finally started trade transactions in Indian rupees (INR) today.
The move is being seen as an initiative to reduce the dependence on US dollars in international trade.
On the occasion, Indian High Commission and Bangladesh Bank orgaised an inaugural programme at a Dhaka hotel.
Also read: Trade in Rupee with India will start a new era of trade in different currencies: Experts
Bangladesh Bank Governor Abdur Rauf Talukder and Indian High Commissioner Pranay Verma were present on the occasion.
The central bank governor said, “Discussion (on this initiative) between India and Bangladesh has been going on for a long time; businessmen have been demanding this for a long time… Now, it has become a reality.”
Now trade will be done in rupees as well as dollars, he said.
He said that India is one of Bangladesh’s biggest trading partners. Bangladesh imports $14 billion worth of goods from India and exports $2 billion worth of goods to the neighbouring country.
Also read: Bangladesh, India trade transactions in rupees will ease pressure on forex reserves: High Commissioner
Transaction costs during trade with India will be reduced with the introduction of the taka-rupee dual currency card, he added.
The Indian high commissioner hoped that both countries would benefit from this approach.
Afzal Karim, Managing Director (MD) of Sonali Bank; Ali Reza Iftekhar, MD of Eastern Bank; Sheikh Md Salimullah, Secretary to the Financial Institutions Division of the Ministry of Finance, also spoke on the occasion.
BIDA Chairman Lokman Hossain Mia; Commerce Secretary Tapan Kanti Ghosh; FBCCI President Md. Jasim Uddin; India-Bangladesh Chamber President Abdul Matlub Ahmed; and BGMEA President Farooq Hasan attended the event as well.
Also read: ‘De-dollarisation’: Bangladesh, India to trade using taka, rupee from September
Sonali Bank and Eastern Bank of Bangladesh and the State Bank of India and ICICI Bank of India are the banks responsible for trading in rupees between the two countries.
Bangladesh Bank Spokesperson Md Mesbaul Haque, during a press conference at the bank’s headquarters in Motijheel, informed of LCs opened on the inaugural day.
He said two Bangladeshi businesses – Tamim Agro and Shahjahan Mia – received export letters of credit (LCs) worth 28 million Indian rupees and two import LCs – Nita Company and Abdul Matlub Ahmad – worth 12 million Indian rupees were handed over by Sonali Bank, Eastern Bank of Bangladesh and State Bank of India and ICICI Bank.
Also read: India-Bangladesh trade using rupee instead of US dollar could start soon
NBL Securities Limited gets DSE FIX certification
NBL Securities Limited has recently received FIX (financial information exchange) certification from Dhaka Stock Exchange (DSE), which will enable them to install their own order management system (OMS) for the convenience of the investors.
NBL Securities Limited achieved this certification within the shortest possible time owing to the whole-hearted efforts of different stakeholders specially DSE IT & System TeamSK, Advisory LLC and Techetron Ventures Ltd (TVL)’s extended support throughout the process whereas DSE Team has cooperated all through for making this certification process as smooth as possible, said a press release.
It is mentionable that DSE FIX Certification is a must for the brokerage firms to launch their own OMS, which can communicate with DSE’s trading engine directly in real-time while enabling the investors to enjoy easeful and convenient trading from the comfort of their homes.
Zobayed Al Mamun Hasan, Managing Director (MD) of NBL Securities Limited, said, “I would like to express my gratitude to DSE IT, System and management team for helping us in this endeavor….With this certification, NBL Securities is opening up new windows for the investors as they can do trading from any corner of the country.”
NBL Securities Limited aims to cater the best investment experience for untapped investors hailing from all over the country and is committed to encouraging more people to invest in the capital market, the press release reads.
Bangladesh urged to strongly pursue extension of BSGI agreement
The Bangladesh businesses are "concerned" about the growing risk that Bangladesh and other countries of the world would face if the Black Sea Grain Initiative (“BSGI”) is not renewed beyond 17 July expiry date.
The businesses, therefore, urged upon the government of Bangladesh to strongly pursue the extension of BSGI agreement for further terms as it is vital lifeline for global food security.
Md. Jashim Uddin, President, FBCCI, Mahbubur Rahman, President, ICC Bangladesh, Md. Sameer Sattar, President, DCCI, Md. Saiful Islam, President, MCCI, Mahbubul Alam, President, CCCI and Naser Ezaz Bijoy, President, FICCI made the call on Tuesday.
What is Black Sea Grain Initiative and why does it matter
The BSGI has facilitated, to date, more than 32 million metric tons of foodstuffs to be exported from three Ukrainian ports to 45 countries across three continents – with the proportion of wheat exported through the Black Sea to least developed economies remaining largely unchanged from pre-war levels.
As a direct result of this trade through the Black Sea – as well as exports of food and fertilizers from the Russian Federation – the Food and Agriculture Organization reports that global food prices have dropped by 22% since March 2022.
‘A beacon of hope’: Ukraine, Russia sign grain export deal
Crucially, the World Food Programme is once again procuring wheat from Ukraine at the same volumes as in 2021 – purchasing nearly 700,000 tons through the Black Sea Grain Initiative to support humanitarian operations in Afghanistan, Ethiopia, Kenya, Somalia, Sudan and Yemen, said the Bangladeshi businesses.
Continued facilitation of Ukrainian and Russian exports of food and fertilizers thus remains crucial to global food security. By extension, any lapse in the BSGI risks severely jeopardising the availability and affordability of food for millions around the world: a situation that will have truly damaging social, economic and – above all – human consequences, they said.
Walton to hold first-ever mega 'International Advanced Components and Technology Expo' in August
Along with home appliances like fridge, TV, AC, Walton is producing more than 50,000 types of industrial materials, components and solutions products, including PCB, motherboard, mold and die, nut-bolt, screw, master batch, glue, tap etc.
Most of them are being used at various stages in almost all types of industrial sectors.
After meeting local demands, Walton has been exporting these products to different countries of the world with a huge potential for further growth in exports as demands for the products have increased in the world market.
Also read: Walton sees surge in fridge sales ahead of Eid-ul-Azha
To grab such opportunities, Walton's Advance Technology Solution (ATS) Department is going to arrange the country's first-ever mega industrial expo titled 'International Advanced Components and Technology Expo-2023 (ATS)' to highlight the Walton's manufactured electrical and electronics goods, home and kitchen appliances, ICT devices, industrial materials, components, testing lab and solutions before domestic and foreign industrial buyers and visitors.
The ATS Expo-2023 is scheduled to be held from August 10 to 12 this year at the Hall No-1 of International Convention Center Bashundhara in the capital.
Also read: Walton exports ‘Made in Bangladesh’ ACs to Yemen and Mali
In this regard, Golam Murshed, Managing Director and CEO of Walton Hi-Tech Industries PLC, said that the main objective to organize the ATS Expo is to increase the domestic industries' empowerment by providing quality industrial materials, components and testing solutions to the leading industrial organizations, strengthen the growth of the industrial sector, save billions of dollars foreign currencies cutting the import bills, increase export earnings and accelerate the national economic prosperity.
He also said the ATS Expo will be the first and largest international industrial fair of a single organization in Bangladesh. Over 50,000 sorts of environment-friendly green technology energy saving electrical, electronics, home and kitchen appliance products, industrial materials, components, testing labs, facilities and machinery will be displayed in this expo.
Also read: Walton Orbit Y21 Review: Budget-friendly phone with a smart look
From now, this expo will continue every year to draw the attention of local and foreign buyers, he said, “We have a plan to organize such exhibitions outside the country”.
Along with the manufacturing plants, country's largest research and innovation center and several international standard testing labs, including NUSDAT-UTS, have been built at the Walton headquarters at Walton headquarters in Chandra Gazipur to facilitate the testing solutions of products manufactured by other leading industrial organizations of the country.
After securing the top position in the domestic market, Walton products are being exported to more than 40 countries in Asia, Europe, America, Middle East and Africa.
Also read: Walton posts Tk 250 crore profit despite dollar price hike
The international standard testing lab 'NUSDAT' established at Walton Headquarters is accredited by Bangladesh Accreditation Board (BAB). Product quality reports from BAB-accredited testing organizations are directly acceptable to member countries of International Laboratory Accreditation Cooperation (ILAC) and Asia-Pacific Laboratory Accreditation Cooperation (APLAC).
At the ATS Expo-2023, electrical and electronics goods, industrial materials, components, solutions, ICT and digital devices and also testing solutions products will be displayed in 4 categories, including Testing Solutions, Services, Products and Industrial Materials and Components.
Also read: Walton's business thrives in Q3 of FY 22-23
Nagad now has 8 crore customers
Mobile financial services Naga has reached of 8 crore customers recently.
Nagad celebrated the accomplishment on Sunday along with the return of its brand ambassador cricketer Tamim Iqbal, said a press release.
Also read: Nagad welcomes govt’s move to increase safety net allocation
“Nagad will play a pivotal role in building a cashless society. It will continue to go ahead and acquire more customers at a pace even faster than it has reached the 8-crore milestone,” said Tamim.
“I am a member of Nagad family. I followed Nagad even before I became part of it. It is very surprising that Nagad has acquired 8 crore customers in such a quick time. I have complete trust in Nagad family. I hope our customers will double soon,” he added.
Also read: Nagad holds 'Distributors Meet 2022'
Nagad was inaugurated on March 26, 2019 by Prime Minister Sheikh Hasina. And it quickly made a significant influence on the market. The organisation went on achieving a 1 crore customers in January of the following. In August of that year, its user base had grown to 2 crore. Nagad's clients surpassed 3 crore in March 2021, 4 crore in April, and 5 crore in June 2021. In February and December 2022, the number of its clients topped 6 crore and 7 crore, respectively, the release added.
“The positive response that we have been receiving from our customers over the last four years encourages us to go for new innovations and expand our services. We want to bring all kinds of financial transactions of all the people in our country to a digital platform. In this way, Nagad will contribute to the country’s socioeconomic development,” said Tanvir A Mishuk, founder and managing director of Nagad Limited.
Also read: Nagad became a billion-dollar company in just 3 years, 5 more Bangladeshi unicorns by 2025: Palak
Social safety net allowances and education stipends are now being disbursed through this state-owned MFS carrier. Besides, Nagad is distributing government aid and allowances of different ministries, the release also said.
Despite over 8% revenue collection growth, Tk 44000 crore shortfall in FY 2022-23
The National Board of Revenue (NBR) ended the fiscal year 2022-23 with a revenue shortfall of Tk 44000 crore, despite revenue generation growth by 8.12 percent compared to the previous financial year.
However, the final calculation of value added tax (VAT) is yet to come. July 15 is the last day to submit VAT returns. At the end of that time, a large amount of money will accumulate, and NBR officials believe that the deficit will decrease somewhat.
In FY 2022-23, the revenue collection target was Tk 3.70 lakh crore. According to NBR's provisional account, Tk 3.25 lakh crore revenue has been collected. There is a shortfall in revenue collection target of around Tk 44000 crore.
Read: NBR Chairman defends min Tk 2,000 tax for TIN holders
According to the NBR, around Tk 91717 crore revenue has been collected against the target of Tk 1.11 lakh crore from the import-export, i.e. customs, sector. At the lowest growth of 2.56 percent, the deficit is about Tk 19283 crore.
On the other hand, despite the maximum growth of 11.5 percent in the VAT sector, against the target of Tk 1.37 lakh crore, Tk 1.20 lakh crore have been collected.
The target of revenue collection from the income tax sector was Tk 1.22 lakh crore. Tk 1.12 lakh crore has been collected. The income tax sector saw a growth of 9.62 percent.
In the last financial year FY22, the revenue deficit was Tk 28000 crore. A revenue of Tk 3.852 lakh crore was collected in that year.
Read: Expand tax net and integrate digital system to enhance tax-GDP ratio, ICAB urges NBR in budget proposal
A senior NBR official told UNB that 87.91 percent of the revenue collection target has been achieved against the targets in three categories of NBR in FY23.
In the current fiscal year 2023-24, the revenue collection target has been set at Tk 4.30 lakh crore.
Read more: C&F agents call off strike on NBR assurances
IBBL launches ‘Smart Bangladesh Smart Banking’ campaign
Islami Bank Bangladesh Limited (IBBL) on Sunday launched a month-long campaign titled ‘Smart Bangladesh Smart Banking’.
Mohammed Monirul Moula, Managing Director and CEO of the Bank, inaugurated the campaign as the chief guest at IBBL Tower in the city.
Read: Standard Chartered Bank clinches “Best International Bank in Bangladesh” award
Muhammad Qaisar Ali, J Q M Habibullah, FCS and Md. Altaf Hossain, Additional Managing Directors addressed the function as special guests.
Presided over by A.F.M Kamaluddin, Deputy Managing Director, senior officials of the bank were present at the function.
The IBBL CEO Moula said that digital transactions have been increased among people due to the dissemination of information and communication technology.
Read: HSBC arranges thought leadership digital session with airline industry
“People are now comfortable with such transactions without visiting bank premises. Our alternative banking services across the country continue to gain global recognition,” he added.
He said that smart banking is one of the components of the national vision for building a developed country through the establishment of Smart Bangladesh.
He called upon all officials of the bank to encourage customers about digital transactions including app-based transactions like CellFin, iBanking, ATM-CRM, POS machine, QR merchant, cash-by-code and mobile banking.