United News of Bangladesh

A shortage of investment in power grid infrastructure is preventing developing countries in Asia and the Pacific from fully reaping the benefits of the energy transition, including enhanced energy security, the creation of green jobs and expanded access to electricity, according to a new report released by the Asian Development Bank (ADB). The report focuses on the urgent need to develop interconnected and modernised power grids to meet growing energy demand and integrate intermittent renewable energy sources across the region. Despite the challenges, the analysis finds that the region remains at the forefront of the global shift to clean energy. Since 2013, clean energy investment in developing Asia has soared by over 900%, reaching $729.4 billion in 2023—representing roughly 45% of global investment. Growth forecast for Bangladesh may be revised downward due to US tariff: ADB Official While the People’s Republic of China (PRC) led in investment volume, India and seven other countries in the region recorded renewables making up more than 75% of new energy capacity additions in 2022. The report, ‘Energy Transition Readiness Assessment for Developing Asia and the Pacific’, is the ADB’s first to assess countries’ preparedness to transform their energy systems. Developed in collaboration with the World Economic Forum (WEF), it draws on the WEF’s Energy Transition Index. Although China leads in many areas, the report highlights notable progress in countries such as Georgia, Malaysia and Thailand, which have strengthened regulatory frameworks to support clean energy. Since 2010, Bangladesh, India and Indonesia have spearheaded efforts to expand electricity access to over one billion people. Priyantha Wijayatunga, ADB’s Energy Sector Senior Director, stressed the importance of digitalised grid infrastructure for effectively integrating low-carbon electricity into national power systems.  “With Asia and the Pacific projected to generate two-thirds of global energy growth by 2040, addressing this massive power supply gap will require strong policies, innovative technologies, and long-term financing,” he said. Roberto Bocca, Head of the Centre for Energy and Materials at WEF, added, “This comprehensive analysis highlights the opportunities and challenges facing developing Asian economies in achieving their energy transition goals. Reliable, affordable, and sustainable energy systems are critical for national and regional economic growth.” Bangladesh faces economic challenges amid inflation, declining investment: ADB The report highlights that while each country must chart its own clean energy path based on local conditions, enhanced domestic grid connectivity and regional interconnections—particularly in Central West Asia, Southeast Asia, and South Asia—can improve economic efficiency and lower power costs. These topics, including cross-border energy trading, will be further explored at ADB’s Asia Clean Energy Forum in June.

President of the Bangladesh Textile Mills Association (BTMA) Showkat Aziz Russell said that around 5 lakh new jobs will be created in the country, if Indian yarn imports reduce to 50 percent. He said this while speaking at a seminar on ‘Sustainable Sourcing Seminar of Cotton’, organized jointly by Cotton USA and BTMA, held at the Basundhara Convention Centre on Tuesday evening. Criticizing businesses, he said those who are giving opinion in the media that local fabric production is adversely affected by the halt on Indian yarn imports through land ports, he said they are not on the side of growth of the domestic economy.  The BTMA president said that Indian clothes are imported by paying duty on the prices of clothes, not the weight or KG rate, which is harmful for domestic industries. He mentioned a report of The Hindu, which mentioned that 45 percent Indian yarn exported to Bangladesh. He urged Bangladeshi businesses to keep patient and make policies to favour the country, not favouring neighbouring countries. He said that the immediate past government made a policy to privilege the neighbors, but they could not do any favour from India, so the precious import policy could not be run in Bangladesh now. He blamed that India was sucking the blood of Bangladesh’s economy, which has to be changed in every sector.

National Board of Revenue (NBR) Chairman Md Abdur Rahman on Tuesday expressed hope about resolving issues with the International Monetary Fund (IMF), paving the way for the release of the third and fourth tranches of the $4.7 billion loan programme. “They (IMF) are pressing us to open the exchange rate, in lieu we are placing various types of formulas, the discussion is on, we are hoping to get a good result,” he said. The NBR chairman made the remarks while addressing a seminar titled Macroeconomic Partnership and Fiscal Measures at the Economic Reporters’ Forum (ERF) auditorium. He said the recent engagements with the IMF were positive and the lending agency provided several recommendations. “We accept many of those, and what is not possible for us to take we resist them,” he said. Abdur Rahman Khan also acknowledged that in some areas Bangladesh could not reach a consensus.“ Negotiation is going on, may be we could reach in to agreement,” he said. The IMF has suspended the disbursement of the third and fourth tranches of its $4.7 billion loan package to Bangladesh, citing the government’s failure to meet key reform conditions. Turning to the upcoming budget, the NBR chairman said both the Chief Adviser and Finance Adviser had instructed the formulation of a practical and realistic budget. Taka strengthens against dollar thanks to remittance, export growth “We will focus on revenue generating initiatives shunning the expenditures,” he said. He added that splitting the NBR into two separate divisions—Revenue Management Division and Revenue Policy Division—would be challenging, although the government has finalised the plan. Abdur Rahman hinted at tough fiscal measures in the upcoming budget aimed at boosting revenue collection. “We will implement all laws properly so that people do not feel that they are harassed,” he said. Stressing the importance of revenue generation, the NBR chairman warned of broader economic consequences if collection targets were not met. Policy Exchange Chairman and CEO Dr Mashrur Reaz presented the keynote paper at the seminar. ERF President Doulot Akter Mala and General Secretary Abul Kashem also spoke at the event.

Bangladesh’s currency, the Taka, has strengthened against the US dollar, bolstered by recent growth in remittances and exports. The exchange rate of the US dollar is falling against the taka due to a reduced pressure on paying import bills. Government plans major redesign of Taka notes, removing Sheikh Mujibur Rahman’s image Bankers believe the price may continue to decline in the coming days. On Thursday, banks were paying between Tk 122.50 and Tk 122.60 to exchange remittance. In contrast, just in the second week of this month, banks were paying between Tk 123 and Tk 123.20 for the same, reflecting a decrease of Tk 0.50 to Tk 0.70 in the dollar’s price within two weeks. Bank officials predict a further decline in the dollar's value in the near future. They argue that there is little likelihood of increased dollar demand in the next few months, as many investors are awaiting the upcoming elections before making new investment decisions. So, imports related to investment are unlikely to increase, they said. Meanwhile, the Bangladesh Bank has said the dollar supply in the market is normal. BB-Dollar: Taka loses 12.72% value in 2024 as dollar strengthens Central bank spokesperson Arif Hossain Khan said the dollar’s price will not be fully floated on the market immediately due to pressure from international donor agencies.

In a remarkable display of ongoing financial support from Bangladesh’s expatriates, the country has received $2.27 billion in remittances within just the first 26 days of April 2025. The flow of remittances continues strong even after the Eid celebrations, underscoring the crucial role of overseas workers in sustaining the nation’s economy. Before Eid, expatriates had already sent a record-breaking $3.29 billion in remittances, reflecting both the festive season's influence and the increasing trend of Bangladeshi workers sending money home. According to the latest report from Bangladesh Bank, the inflow of remittances for the first 26 days of April comprises $853.8 million through state-owned banks, $119.4 million through a specialised bank, $1.29 billion via private banks, and $427 million through foreign banks. Bangladesh received $1.97bn in remittances in first 21 days of April; a 40% surge The consistent flow of remittances has played a pivotal role in stabilising the country’s foreign exchange reserves, taking the country’s Forex reserves to around $27 billion, a figure considered to be impactful on the nation's financial health. In the first nine months of the current fiscal year (FY2024-25), Bangladesh has already received a total of $21.77 billion in remittances, a significant increase compared to the $17.07 billion remitted during the same period last fiscal year (FY2023-24). The trend indicates that remittances continue to be a key driver for the country’s foreign currency reserves. Looking at the trends from earlier in the year, remittances have been consistent. In March, expatriates sent $3.29 billion, while February saw $2.53 billion, and January had $2.19 billion. Eight banks receive no remittance despite record inflows from Bangladeshi expats The previous months also saw substantial remittance inflows, with December reaching $2.64 billion, November at $2.2 billion, and October at $2.39 billion. The steady rise in remittance inflows, particularly in recent months, highlights the ongoing support from the Bangladeshi diaspora, helping to bolster the nation’s economy during challenging times.

Golam Mainuddin, the former independent director of Apex Footwear Limited, has been elected as the chairperson of the company's board of directors. He was elected by a single majority vote in the 282nd board meeting of the company on April 23, according to a press release. Traders seek easier VAT management, improved law & order “His valuable advice and policy steps have played an important role in the management of Apex Footwear Limited. With his new responsibility as chairman, a new era is beginning for the company in the coming days,” said the release. Mainuddin is widely appreciated for his role as chairman of British American Tobacco Bangladesh. He has also served in leadership positions in several companies.

Small traders, struggling with high interest rates, weak law enforcement and complex regulations amid global challenges, on Saturday called for easier VAT management and improved law and order to revive trade and investment. The small traders of Dhanmondi, Mohammadpur, Shyamoli and Adabor areas expressed these concerns during an interactive view-exchanging meeting organised by the Dhaka Chamber of Commerce & Industry (DCCI). The meeting, held at Tokyo Square Convention Centre, Mohammadpur, focused on issues such as the recent trade and investment scenario, law and order, income tax and VAT matters, high inflation, elevated interest rates, traffic congestion and related challenges. The discussion was held with DCCI President Taskeen Ahmed in the chair. In his opening remarks, the DCCI President said the current global economic conditions, compounded by domestic business challenges, the complexity of the tax and VAT system, crises in foreign exchange management, delays in export-import processes, and an overall weak law and order situation are adversely impacting the economy, particularly affecting SME entrepreneurs. "In the current circumstances, there is no alternative to building a safe, stable, and predictable business environment," he said. FBCCI and Bhutan delegation explore enhanced agricultural trade cooperation Taskeen mentioned that the Dhaka Chamber has already proposed, for the upcoming budget, the complete automation of revenue management, rationalisation of tax rates, the introduction of a single-digit VAT rate, fixing a 1% VAT for the informal sector, and the development of a VAT return app — all aimed at improving the business environment and boosting government revenue collection. He highlighted that easy access to credit, enhanced mobility through automation of export-import activities, and timely policy support from the government are crucial to maintaining the momentum of industrialisation. The DCCI President reiterated that businessmen are willing to pay taxes and VAT, but they do not want harassment. Emphasising the importance of the rule of law, he said it is vital to ensure effective enforcement to maintain active business operations at every level. Mohammad Mostafizur Rahman, Additional Director (SME and Special Programmes Department) of Bangladesh Bank, said the central bank recently issued a master circular on 17 March 2025 to increase credit flow to the SME sector. To facilitate entrepreneurs, he informed that the term loan period has been extended from 5 to 7 years, recognising that investors require at least two years to establish a factory. He also shared that under various schemes, Bangladesh Bank has created a Tk 25,000 crore fund dedicated to SME entrepreneurs, offering loans at a maximum interest rate of 7%, with an even lower rate of 5% for women entrepreneurs and reduced rates for agro-entrepreneurs. Besides, the Cash Reserve Ratio (CRR) has recently been reduced from 5.5% to 3% to increase credit flow to the private sector. Md Milon Sheikh, Additional Commissioner of Customs, Excise and VAT Commissionerate, Dhaka (West), said about 80% of the government's total revenue target has been achieved through the National Board of Revenue (NBR), describing it as a very challenging task. He noted that VAT collection growth in Mohammadpur and surrounding areas has increased by around 15–20% this year, and 98% of small businesses in the area have been brought under VAT registration within the last three months. Regarding the proposal for a mobile app to facilitate online VAT registration, he welcomed the idea, saying the government would seriously consider it as it would reduce human contact and minimise harassment. He urged SME entrepreneurs not to overlook VAT matters but rather to familiarise themselves with VAT laws for their own benefit, acknowledging that it remains a complex, mathematics-driven subject. Md Alamgir Kabir, Additional Deputy Commissioner of Police (Tejgaon Zone), Dhaka Metropolitan Police (DMP), said that the law and order situation in the area has improved considerably over the past two months, with a notable decrease in the number of criminal cases. He said on 27 March, around 63 extortionists were arrested during police block raids, and more recently, 71 miscreants were apprehended in a single day in the Mohammadpur area alone. Besides, he mentioned, around 63 patrol teams are actively working across this large area under a robust policing strategy to ensure public safety. He assured that police are ready to extend all possible support to small traders during the upcoming Eid-ul-Adha celebrations. Tania Sultana, Additional Deputy Commissioner of Police (Traffic, Tejgaon Zone), stressed the need for increasing public awareness and adherence to traffic rules to reduce congestion, emphasising that traffic jams are not created by the police.

Bangladesh and Bhutan are seeking to strengthen bilateral trade ties, with a particular focus on agricultural products such as fruits, vegetables and spices. Business leaders from both nations emphasised the importance of expanding mutual cooperation to unlock the trade potential between the two South Asian countries. The discussions were held at a meeting organised by the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) at its headquarters in Motijheel on Wednesday morning. The meeting brought together a visiting Bhutanese delegation and Bangladeshi business leaders to explore new avenues for collaboration. Leading the Bhutanese delegation was Dawa Dakpa, Regional Director of the Regional Agricultural Marketing and Cooperative Office (RAMCO). Also in attendance were Md Zafar Iqbal ndc, Head of FBCCI’s International Affairs Wing, and Dawa Tshering, Minister Counsellor (Commerce) at the Bhutanese Embassy in Dhaka. Gold price slashed after three consecutive hikes since Saturday: Bajus The participants highlighted the need to simplify import-export procedures to harness the full potential of the market. They also underlined the importance of improving supply chain mechanisms, developing supporting infrastructure, and increasing port capacities to facilitate more efficient trade flows. Among the Bangladeshi attendees were FBCCI’s former directors Haji Md Enayetullah and Dr Ferdousi Begum, along with AM Amirul Islam Bhuiyan, President of the Bangladesh Agro Feed Ingredients Importers and Traders Association, Md Zakir Hossain, and Sheikh Al Mamun. Stakeholders on both sides agreed that enhanced cooperation in the agricultural sector could pave the way for a mutually beneficial partnership, with emphasis on exploring untapped areas and capitalising on each country’s unique strengths and resources.

United Nations Industrial Development Organization (UNIDO) Tokyo, in collaboration with Haison International, an investment advisory firm, organised a business-to-business (B2B) event at the United Nations Headquarters Hall in Tokyo on Tuesday. The event aimed to foster bilateral trade and investment between Bangladesh and Japan. The programme was also supported by the Embassy of Bangladesh in Japan and the Japan External Trade Organization (JETRO). A total of 14 Bangladeshi companies from diverse sectors—including power, engineering, construction, logistics, shipping, Special Economic Zone (SEZ) management, ICT parks, real estate & hospitality,  healthcare, machinery, automobiles and consultancy services participated in the programme. The Bangladeshi companies had met with over 80 Japanese companies to explore the potential ventures for collaboration. A key highlight of the event was a seminar titled “Doing Business in Bangladesh,” which focused on investment opportunities and the evolving business climate in the country. Ariful Hoque, Director General of the Bangladesh Investment Development Authority (BIDA), delivered a comprehensive presentation on Bangladesh’s investment landscape. Yuji Ando, JETRO Representative in Bangladesh, also spoke on the advantages and practicalities of doing business in Bangladesh from a Japanese perspective. M Siraj Uddin Miah, Principal Secretary to the Chief Advisor's Office and Mr. Syed Nasir Ershad, Economic Minister of Bangladesh to Japan, were present at the event.   The Principal Secretary said "UNIDO Tokyo has remained a consistent partner in our development journey, supporting Bangladesh through various programs and initiatives. HAISON’s annual program, ‘Investor B2B Japan,’ is one such example of this fruitful collaboration." Both dignitaries emphasised the Government of Bangladesh's strong commitment to promoting foreign investment and deepening economic ties with Japan. They highlighted the enduring friendship and growing economic partnership between the two nations. The day-long programme served as a significant platform for strengthening Bangladesh-Japan economic relations and showcased Bangladesh as a competitive destination for Japanese investments.

Gold has become even more expensive in Bangladesh, as the Bangladesh Jewellers’ Association (Bajus) has increased its prices for the 18th time this year. On Monday, Bajus set the price of 22-carat gold at Tk172,545 per bhori (11.664 grams), effective from Tuesday. Just a day earlier, on Sunday, the price of 22-carat gold stood at Tk167,833 per bhori, following a decision made on Saturday. The latest hike marks an increase of Tk4,712 per bhori. So far this year, Bajus has raised gold prices 18 times while reducing them on six occasions. Despite gold prices in Bangladesh already being higher than those on the global market, Bajus has continued to justify the hikes, citing a global upward trend. But, the association’s pricing often outpaces international forecasts. Bajus also reminded traders that the selling price of gold and silver must include 5 percent VAT, as per government regulations, along with a 6 percent minimum wage for workers, as set by the association. This means that a 22-carat gold ornament weighing one bhori would now cost around Tk191,545 – the highest price ever recorded in the country. The rising cost has led many consumers, particularly from middle-income households, to turn to alternative metals as gold becomes increasingly unaffordable. According to the revised pricing effective from Tuesday: Hallmarked 22-carat gold will be sold at Tk172,545 per bhori21-carat at Tk164,695 per bhori18-carat at Tk141,169 per bhori Traditional method gold at Tk116,779 per bhori Previously, on Monday: 22-carat gold was sold at Tk167,833 per bhori21-carat at Tk160,205 per bhori18-carat at Tk137,309 per bhoriTraditional method gold at Tk113,491 per bhoriMeanwhile, the price of silver remains unchanged.