Growth assumptions for next fiscal unrealistic: Economists
Leading economists are not in agreement with the government’s growth assumptions for the fiscal year 2014-15 saying those are not sufficient for a higher trajectory of growth.
They also found a number of assumptions not compatible with ground realities. The government is likely to project a 7.2 per cent GDP growth for the next fiscal (2014-15) in the budget documents.
The Ministry of Finance in the budget documents prepared for the next fiscal expects that the political situation would remain stable in the next fiscal with the private sector getting back its confidence to make fresh investments.
Sukuk the missing link in Bangladesh Islamic finance sector
Bangladesh has developed a sizeable Islamic finance industry but a lack of sharia-compliant instruments such as sukuk is limiting further growth of the sector, a report by a standard-setting body found.
With a predominantly Muslim population of 160 million, Bangladesh has developed Islamic finance with only marginal regulatory adjustments; the industry has doubled in size in the past four years. The central bank has a small short-term sukuk (Islamic bond) programme which issues six-month tenors to help Islamic banks manage their liquidity, but a wide range of tenors is not available and there are no corporate sukuk.
FX reserves snaps 5-month gaining streak
Bangladesh's foreign exchange reserves slipped in May for the first time since December, the central bank said on Sunday.
Reserves at the end of May eased to $20.23 billion from a record high of $20.37 billion the previous month, but were up from $14.53 billion a year earlier. The reserves are enough to cover six months of imports.
Rising exports, strong remittances from Bangladeshis working overseas and slower imports have helped build the reserves, a senior central bank official said.
The marginal drop in May was due to a ...
Rising exports, strong remittances from Bangladeshis working overseas and slower imports have helped build the reserves, a senior central bank official said.
The marginal drop in May was due to a ...
Central bank for action against BASIC Bank Board
The central bank has advised the government to take action against the board of directors of state-run BASIC Bank, as the governing body was found guilty of committing large-scale irregularities in approving loans, and in recruitment and promotion.
Bangladesh Bank Governor Atiur Rahman yesterday sent a letter to Finance Minister AMA Muhith to initiate steps against the board after all efforts to discipline the once good-performing bank went in vain.
Talking to reporters at the secretariat, the minister said he was yet to see the letter but the BB governor had told him about it. In reply to a query, Muhith said the board of BASIC Bank would be restructured soon, reports the Daily Star.
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Remittance from Middle East falls by 12pc
The country received US$6.92bn in July-April period in fiscal year 2013-14 compared to $7.87bn in the same period of the last fiscal year
Remittance inflows from the Middle Eastern countries dropped by 12% in the last 10 months of the current fiscal year due to the fall in manpower export and the political unrest over January 5 polls.
The country received US$6.92bn in July-April period in fiscal year 2013-14 compared to $7.87bn in the same period of the last fiscal year reports The Dhaka Tribune.
However, remittance inflow from the Western countries increased by 8% to $4.80bn during the 10 months from $4.43bn in the same period of the previous fiscal year, according to the Bangladesh Bank data.
Export privileges to US sought on climate vulnerability grounds
Citing its increasing vulnerability to the impacts of climate change, Bangladesh has sought exemption from quotas and duty for all its exports to the United States.
US trade representatives have said they will consider the call for “duty free, quota free” privileges, according to Bangladesh’s commerce secretary, Mahbub Ahmed.
Such a rule change, if adopted, would make Bangladesh one of the first countries to receive duty reductions for “economic vulnerability” because of climate change.
Increased ...
Increased ...
