In 1986, the Bangladeshi government introduced landmark regulations for its emerging garment export industry, called the back-to-back Letter of Credit (LC).
Under the rules, banks would pay the suppliers directly for raw material acquired by the factory. The buyer would tell the bank the specifics of the raw material — including the value, supplier’s name and the date when the material was needed.
The bank would ensure that as soon as the supplier delivered the raw materials and furnished proof of delivery, he got paid by the bank within a specified period. With this arrangement, the factory owners could raise funds up to 75% of the value of their orders. In short, a factory exporting $10 million every year could buy raw materials worth $7.5 million without spending its own money....
The tourism industry expects good business from the Eid as hotel and resort operators received a lot of bookings in the run-up to the festival, thanks to a stable political climate.
“We expect an increased number of tourists during the Eid vacation,” said Omar Sultan, president of Cox’s Bazar Hotel-Motel and Guesthouse Owners Association.
Different hotels, motels and guesthouses in the beach city have sold 50 percent of the rooms for the July 31-August 1 duration, he said.
The industry was hit hard l...
Ramadan, Islam’s holiest month, is a boon for retailers in the Middle East, South Asia and beyond. And while some Muslims welcome it as a positive sign, others see it as commercialization of a sacred time of year.
Intended to be a monthlong spiritual cleansing, Ramadan — which ends this weekend — is an exercise in self-restraint that commands Muslims to abstain from food and water from sunrise to sunset.
But for businesses, from California to Cairo, Dubai to Dhaka, Ramadan is also a time to sell.
U.S. fashion house DKNY launched a R...
Fifty percent, a total of 26 missions out of 52 abroad have failed to achieve export earning target for the just-ended fiscal 2013-2014, and the proceeds from external trade experienced a shortfall of the target by 13.17 percent.
The rest 26 missions achieved export earning target, surpassing by 11.41 percent.
Meanwhile, 12 commercial wings of the government out of 17, could not achieve the target for the year, according to the Export Promotion Bureau (EPB).
The earnings fetched by the successful missions were 24.6...
Bangladesh Bank will ask scheduled banks to inform clients by sending SMS and email on mandatory basis if they stop their Automated Teller Machines and Pont-Of-Sale services due to unavoidable circumstances, said officials of the central bank.
The BB will issue a circular tomorrow in this regard asking the banks to ensure the operating process of their ATM and POS service round the clock, a BB official told New Age on Thursday.
The central bank will ask the banks to keep sufficient money in their ATM booths so that the clients can withdraw money at any time from the booths.
Besides, the banks will have to place notice before the deactivated ATM booths, according to the official.
He said some banks were now frequently stopping their ATM and POS services without
Bangladesh Bank has decided to keep the key policy rates unchanged as it sees risks to the inflation outlook for the current fiscal year.
The repurchase rate will remain unchanged at 7.25 percent.
“The persisting inflationary pressures over the past few months with the risks ahead related to the inflation outlook imply that achieving the FY15 inflation target of 6.5 percent will be challenging,” BB said in its monetary policy statement issued today.
The central bank set the ceiling for private sector credit growth at 16.5 percent. BB views the figure as indic...
