United News of Bangladesh

The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) has urged Bangladesh Bank (BB) to double the Export Development Fund (EDF) to $5 billion to support exporters amidst ongoing global economic challenges. The demand was placed at a meeting with BB Governor Mostaqur Rahman, held at the central bank on Monday. The apex trade body also proposed increasing the "Single Borrower Exposure Limit" from the current 15% to 25% to accommodate the rising costs of doing business. FBCCI calls for policy continuity, tax reforms to boost investment in FY27 budget During the discussion, the FBCCI representatives further advocated for keeping interest rates within single digits and relaxing loan default regulations. In written proposals submitted to the BB chief, the FBCCI highlighted that geopolitical instability and global economic shifts have significantly driven up the prices of industrial raw materials, capital machinery, energy, and transportation. "The ongoing conflict in the Middle East poses a threat to energy supplies, remittance inflows, and overall economic activity," the proposals stated, noting that international demand for Bangladeshi products has also faced downward pressure. Key recommendations from the private sector The FBCCI placed a broad set of coordinated recommendations aimed at stabilising the financial sector and sustaining industrial growth. It emphasised the need for good governance and structural reforms in the banking sector. It called for effective measures to recover laundered money and urged the central bank to protect the interests of depositors and businesses during bank mergers. To keep production and trade afloat, the trade body demanded a steady supply of US dollars, a stable exchange rate, and a simplified process for opening Letters of Credit (LCs). For industries struggling with the current economic climate, the FBCCI suggested extending the loan rescheduling period from the current three months to six months, alongside providing easier loan terms and incentives. It also emphasised expanding support for SMEs and women entrepreneurs through enhanced banking access, dedicated helpdesks, and collateral-free loans. To reduce energy import costs, the trade body recommended low-interest loans for renewable energy projects, including solar power. It proposed the formation of a special committee, headed by a Deputy Governor of Bangladesh Bank, to quickly resolve banking-related issues facing the industrial sector. The business leaders also urged the government to reduce its borrowing from the banking sector to ensure a healthy flow of credit to the private sector and to maintain incentives for remittance to encourage higher inflows of foreign currency.

Prime Minister Sheikh Hasina on Wednesday asked the business community to take necessary preparations for the possible challenges they will face due to the graduation of Bangladesh as a developing country. “We may face many challenges here. But we’re always ready to face the challenges… We, the Awami League government, have taken the preparations. I would like to ask the business community to take preparations properly,” she said. The Prime Minister said this while inaugurating the 16-day gala celebration, arranged by the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), on the occasion of the Golden Jubilee of the country’s independence. Read: Return to classrooms, don’t damage vehicles: Hasina to students She virtually opened the grand celebration programme at the Amphitheatre adjacent to Hatirjheel, from her official residence Ganobhaban in the evening. Sheikh Hasina said now Bangladesh has won the status of a developing country. “As a developing country, we’ll get many scopes to take the country forward further,” she said. Describing the AL government as a business-friendly one, she said her government has not come to do business but creates all sorts of scopes for the business community to expand businesses and thus generate jobs for the socioeconomic development of people.

Business Initiative Leading Development (BUILD) Chairperson Abul Kasem Khan has met newly elected President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Md. Jashim Uddin and discussed issues of mutual interest.  During the meeting at the FBCCI Secretariat, BUILD Chairperson said they will see further development of business and industry in the country under the dynamic leadership of the new FBCCI President. Read:COP26 President-Designate Sharma due Wednesday to discuss climate issues BUILD Chairperson said FBCCI President's guidance during the pandemic will be very important for our business community, said a media release on Tuesday.  Referring to the MOU signed between FBCCI and BUILD in 2015, BUILD Chairperson requested the support from FBCCI for joint collaboration. FBCCI President Md. Jashim Uddin said FBCCI will work towards accelerating private sector growth and will give highest priority in resolving the many challenges faced by businesses.  He stressed the need to strengthen research and innovation as these would help reach the 2041 economic vision for the country. Read:Bloomberg writer pours his heart out while praising Bangladesh’s progress BUILD CEO Ferdaus Ara Begum also welcomes the new President as the Co-chair of the Taxation Working Committee of BUILD and requests his support and guidance.  

Commerce Minister Tipu Munshi on Wednesday called upon all involved in e-commerce to maintain their service quality for creating its good image as it has a billion-dollar market.