Daily News Flash 28th August 2017

1

DSEX 3000 Gold (Ounce) $129650 Dollar 8070 (Buy) 8070 (Sell) CSCX 5299 Oil (Barrel) $4786 Euro 9623(Buy) 9626(Sell)

DHAKA URGES DELHI TO RECOGNISE BSTI CERTIFICATE FOR 14 MORE ITEMS 2

FARM LOAN RELEASE RISES BY 49PC IN JULY 3

BSEC ALLOWS BASHUNDHARA PAPER TO DISCOVER IPO PRICE 4

HSBC ARRANGES $46M LOAN FOR VIYELLATEX SPINNING 4

BIBM 50 BANKS DISBURSED ONLY 05 CREDIT AS GREEN FUNDS IN 2016 5

DHAKA BANK CREDIT CARDHOLDERS TO GET 0 EMI FACILITIES FROM DARAZ 6

NO PROFITS FROM SAVINGS CERTIFICATES FOR GRATUITY FUNDHOLDERS 6

BANKERS RESPONSIBLE FOR DEFAULTED LOANS 6

MOST BANKS SKIP FTP POLICY 7

RMG VALUE ADDITION DECLINES MARGINALLY 8

INVESTORS TARGET BANKING STOCKS AS DSEX CROSSES 5900-MARK 9

BSEC ALLOWS BASHUNDHARA PAPER MILLS TO CONDUCT BIDDING PROCESS 10

TEN COS GRAB 31PC TURNOVER 11

CEMENT COS WITNESS 220PC LOSS 11

DHAKA BOURSE SEES INVESTORS INCREASED PARTICIPATION 12

COSTS OF FOSSIL FUEL IMPORT TO WEIGH HEAVILY ON STATE COFFER 12

GENERATION CAPACITY UP BUT CHALLENGES REMAIN 15

DOREEN POWER TO INVEST TK 10B MORE IN TWO PLANTS 16

EID ECONOMY HEATING UP 17

HSBC ARRANGES $46M FOR VIYELLATEX 18

GOVT TO BRING ALL INDUSTRIES UNDER CENTRAL WELFARE FUND HASINA 19

INTRACO TO SET UP 30MW SOLAR POWER PLANT 20

ADP SPENDING OFF TO A DECENT START 20

CLEANER PRODUCTION CAN CUT ENERGY USE BY 25PC DCCI 21

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Daily News Flash 28th August 2017

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DHAKA URGES DELHI TO RECOGNISE BSTI CERTIFICATE FOR 14 MORE ITEMS Bangladesh has asked India for recognising standard certificates issued by Bangladesh Standards and Testing Institution for 14 more products for export to the country and withdrawal of countervailing duty and anti-dumping duty on readymade garments jute and hydrogen peroxide On the other hand India has proposed to adopt off-border clearance of cargo for solving problems related to cargo congestion and infrastructure bottlenecks at land port and land customs stations at the border The proposals were made at the two-day 11th meeting of the joint group of customs between the customs authorities of the two countries held in Dhaka on August 23-24 The products for which Dhaka sought recognition of BSTI certificates include frozen food potato crackers candy milk powder white bread dry cake drinking water flavored drinks canned juice soap cement mild steel rod (MS rod) GI pipes and textile items Officials of the National Board of Revenue said the Indian delegation informed that the relevant authorities would examine the list Earlier in April 2017 Food Safety and Standards Authority of India had issued a gazette notification recognising BSTI certificates for 21 food products that include fruit juice jam jelly marmalade pickles chutney food drinks sauce tomato ketchup fruit syrup fruit squash fruit cordial edible gel tomato paste biscuits chanachur noodles instant noodles water soft drink powder and carbonated beverages Regarding Bangladeshrsquos demand for removal of countervailing duty and anti-dumping duty on RMG jute and hydrogen peroxide India said that the CVD was imposed based on the principle of national treatment and levied on domestic manufacturers also It has been subsumed under the goods and services tax introduced from last July Regarding anti-dumping duty India advised the Bangladeshi exporters for seeking review of the duty About the proposal of off-border clearance system India said that customs procedures and clearance of export-import cargos would be conducted at any inland locations near the customs stations Cargo laden vehicles would be transported at the locations through use of electronic cargo tracking system to track the movement of vehicles The Bangladesh side assured the Indian delegation of examining the proposal Both sides also agreed to extend the car pass system at some more land customs stations (LCSs) of high bilateral importance to facilitate movement of goods-laden trucks within 200 yards of importing country for unloading cargo

Daily News Flash 28th August 2017

3

The system has already been introduced at some land ports and LCSs including Benapole Shonamasjid Banglabanda Hili Akhaura and Bibirbazar Both the countries agreed to introduce the system at the LCSs like Betuli-Fultali (old Ragna Bazar) Chatla-Manu Chella-Shellabazar Kalibari-Ichhamati Mehendraganj-Dhanua Kamalpur Rowmari-Mankachar and Muhurighat-Belonia The decision will be finalised at the customs commissioner level meeting Bangladesh also requested India to ease port restrictions for export of goods like fresh fish cement ceramics MS rod and soap to India Bangladeshi traders face problems in export of those goods due to port restrictions under which export of those goods is allowed only through specific LCSs India has also requested for easing port restrictions for some of their goods for export to Bangladesh Bangladesh also asked for quality testing facility at LCSs for export of goods as export of RMG is severely hampered in absence of quality testing facility at LCSs except on Petrapole side Currently it takes few days to receive the test reports related to RMG as the samples are sent to Varansi in Uttar Pradesh Both sides also agreed to improve infrastructure facility at LCSs and exchange of information and customs documents on a regular basis and increase cooperation in anti-smuggling and investigation measures NBR member Khondaker Aminur Rahman and Central Board of Excise and Customs director general for export promotion of India Pranab Kumar Das led their respective sides at the meeting Source httpwwwnewagebdnetarticle22907dhaka-urges-delhi-to-recognise-bsti-certificate-for-14-more-items

FARM LOAN RELEASE RISES BY 49PC IN JULY Farm loan disbursement posted a 4905-per cent growth in July the first month of this fiscal year (2017-18) compared with that in the same month of FY 2016-17 Banks disbursed Tk 157404 crore in farm loans in July of FY18 against Tk 1056 crore distributed in the same month of FY17 according to the latest Bangladesh Bank data Majority of the banks have been showing an increased interest in disbursing farm loans for long against the backdrop of holding huge surplus liquidity amid dull business situation in the country a BB official told New Age on Sunday Nine commercial banks however disbursed no farm loan against their annual targets of loan disbursement to the farmers in the first month of this fiscal year The banks are Bank Al-Falah Citibank NA Commercial Bank of Ceylon National Bank of Pakistan State Bank of India Woori Bank Modhumoti Bank NRB Bank and Shimanto Bank The BB official said that farm loan disbursement by banks continued to increase in recent months as banks were now facing surplus liquidity as the countryrsquos businesspeople had been maintaining a go-slow policy on making fresh investment due to political uncertainty He said due to a sluggish trend in the industrial sector credit growth banks were trying to invest significant amount of fund in the government securities with an interest rate of 300-700 per cent But the government which is now enjoying a substantial amount of surplus fund with its account is now accepting limited amount of bids much to the frustration of the banks The government has suspended its auction calendar a government schedule to borrow loans from the banking sector in August the central banker said In July eight state-owned commercial and specialised banks mdash Sonali Janata Agrani Rupali BASIC BDBL Bangladesh Krishi and Rajshahi Krishi Unnayan Bank mdash together disbursed Tk 39887 crore in agriculture loans The amount is 416 per cent of their total annual farm loan disbursement target of Tk 9590 crore

Daily News Flash 28th August 2017

2

25

২৫৫ ২ 26

26

27

৫৮ 27

28

২ 29

DHAKA URGES DELHI TO RECOGNISE BSTI CERTIFICATE FOR 14 MORE ITEMS Bangladesh has asked India for recognising standard certificates issued by Bangladesh Standards and Testing Institution for 14 more products for export to the country and withdrawal of countervailing duty and anti-dumping duty on readymade garments jute and hydrogen peroxide On the other hand India has proposed to adopt off-border clearance of cargo for solving problems related to cargo congestion and infrastructure bottlenecks at land port and land customs stations at the border The proposals were made at the two-day 11th meeting of the joint group of customs between the customs authorities of the two countries held in Dhaka on August 23-24 The products for which Dhaka sought recognition of BSTI certificates include frozen food potato crackers candy milk powder white bread dry cake drinking water flavored drinks canned juice soap cement mild steel rod (MS rod) GI pipes and textile items Officials of the National Board of Revenue said the Indian delegation informed that the relevant authorities would examine the list Earlier in April 2017 Food Safety and Standards Authority of India had issued a gazette notification recognising BSTI certificates for 21 food products that include fruit juice jam jelly marmalade pickles chutney food drinks sauce tomato ketchup fruit syrup fruit squash fruit cordial edible gel tomato paste biscuits chanachur noodles instant noodles water soft drink powder and carbonated beverages Regarding Bangladeshrsquos demand for removal of countervailing duty and anti-dumping duty on RMG jute and hydrogen peroxide India said that the CVD was imposed based on the principle of national treatment and levied on domestic manufacturers also It has been subsumed under the goods and services tax introduced from last July Regarding anti-dumping duty India advised the Bangladeshi exporters for seeking review of the duty About the proposal of off-border clearance system India said that customs procedures and clearance of export-import cargos would be conducted at any inland locations near the customs stations Cargo laden vehicles would be transported at the locations through use of electronic cargo tracking system to track the movement of vehicles The Bangladesh side assured the Indian delegation of examining the proposal Both sides also agreed to extend the car pass system at some more land customs stations (LCSs) of high bilateral importance to facilitate movement of goods-laden trucks within 200 yards of importing country for unloading cargo

Daily News Flash 28th August 2017

3

The system has already been introduced at some land ports and LCSs including Benapole Shonamasjid Banglabanda Hili Akhaura and Bibirbazar Both the countries agreed to introduce the system at the LCSs like Betuli-Fultali (old Ragna Bazar) Chatla-Manu Chella-Shellabazar Kalibari-Ichhamati Mehendraganj-Dhanua Kamalpur Rowmari-Mankachar and Muhurighat-Belonia The decision will be finalised at the customs commissioner level meeting Bangladesh also requested India to ease port restrictions for export of goods like fresh fish cement ceramics MS rod and soap to India Bangladeshi traders face problems in export of those goods due to port restrictions under which export of those goods is allowed only through specific LCSs India has also requested for easing port restrictions for some of their goods for export to Bangladesh Bangladesh also asked for quality testing facility at LCSs for export of goods as export of RMG is severely hampered in absence of quality testing facility at LCSs except on Petrapole side Currently it takes few days to receive the test reports related to RMG as the samples are sent to Varansi in Uttar Pradesh Both sides also agreed to improve infrastructure facility at LCSs and exchange of information and customs documents on a regular basis and increase cooperation in anti-smuggling and investigation measures NBR member Khondaker Aminur Rahman and Central Board of Excise and Customs director general for export promotion of India Pranab Kumar Das led their respective sides at the meeting Source httpwwwnewagebdnetarticle22907dhaka-urges-delhi-to-recognise-bsti-certificate-for-14-more-items

FARM LOAN RELEASE RISES BY 49PC IN JULY Farm loan disbursement posted a 4905-per cent growth in July the first month of this fiscal year (2017-18) compared with that in the same month of FY 2016-17 Banks disbursed Tk 157404 crore in farm loans in July of FY18 against Tk 1056 crore distributed in the same month of FY17 according to the latest Bangladesh Bank data Majority of the banks have been showing an increased interest in disbursing farm loans for long against the backdrop of holding huge surplus liquidity amid dull business situation in the country a BB official told New Age on Sunday Nine commercial banks however disbursed no farm loan against their annual targets of loan disbursement to the farmers in the first month of this fiscal year The banks are Bank Al-Falah Citibank NA Commercial Bank of Ceylon National Bank of Pakistan State Bank of India Woori Bank Modhumoti Bank NRB Bank and Shimanto Bank The BB official said that farm loan disbursement by banks continued to increase in recent months as banks were now facing surplus liquidity as the countryrsquos businesspeople had been maintaining a go-slow policy on making fresh investment due to political uncertainty He said due to a sluggish trend in the industrial sector credit growth banks were trying to invest significant amount of fund in the government securities with an interest rate of 300-700 per cent But the government which is now enjoying a substantial amount of surplus fund with its account is now accepting limited amount of bids much to the frustration of the banks The government has suspended its auction calendar a government schedule to borrow loans from the banking sector in August the central banker said In July eight state-owned commercial and specialised banks mdash Sonali Janata Agrani Rupali BASIC BDBL Bangladesh Krishi and Rajshahi Krishi Unnayan Bank mdash together disbursed Tk 39887 crore in agriculture loans The amount is 416 per cent of their total annual farm loan disbursement target of Tk 9590 crore

Daily News Flash 28th August 2017

3

The system has already been introduced at some land ports and LCSs including Benapole Shonamasjid Banglabanda Hili Akhaura and Bibirbazar Both the countries agreed to introduce the system at the LCSs like Betuli-Fultali (old Ragna Bazar) Chatla-Manu Chella-Shellabazar Kalibari-Ichhamati Mehendraganj-Dhanua Kamalpur Rowmari-Mankachar and Muhurighat-Belonia The decision will be finalised at the customs commissioner level meeting Bangladesh also requested India to ease port restrictions for export of goods like fresh fish cement ceramics MS rod and soap to India Bangladeshi traders face problems in export of those goods due to port restrictions under which export of those goods is allowed only through specific LCSs India has also requested for easing port restrictions for some of their goods for export to Bangladesh Bangladesh also asked for quality testing facility at LCSs for export of goods as export of RMG is severely hampered in absence of quality testing facility at LCSs except on Petrapole side Currently it takes few days to receive the test reports related to RMG as the samples are sent to Varansi in Uttar Pradesh Both sides also agreed to improve infrastructure facility at LCSs and exchange of information and customs documents on a regular basis and increase cooperation in anti-smuggling and investigation measures NBR member Khondaker Aminur Rahman and Central Board of Excise and Customs director general for export promotion of India Pranab Kumar Das led their respective sides at the meeting Source httpwwwnewagebdnetarticle22907dhaka-urges-delhi-to-recognise-bsti-certificate-for-14-more-items

FARM LOAN RELEASE RISES BY 49PC IN JULY Farm loan disbursement posted a 4905-per cent growth in July the first month of this fiscal year (2017-18) compared with that in the same month of FY 2016-17 Banks disbursed Tk 157404 crore in farm loans in July of FY18 against Tk 1056 crore distributed in the same month of FY17 according to the latest Bangladesh Bank data Majority of the banks have been showing an increased interest in disbursing farm loans for long against the backdrop of holding huge surplus liquidity amid dull business situation in the country a BB official told New Age on Sunday Nine commercial banks however disbursed no farm loan against their annual targets of loan disbursement to the farmers in the first month of this fiscal year The banks are Bank Al-Falah Citibank NA Commercial Bank of Ceylon National Bank of Pakistan State Bank of India Woori Bank Modhumoti Bank NRB Bank and Shimanto Bank The BB official said that farm loan disbursement by banks continued to increase in recent months as banks were now facing surplus liquidity as the countryrsquos businesspeople had been maintaining a go-slow policy on making fresh investment due to political uncertainty He said due to a sluggish trend in the industrial sector credit growth banks were trying to invest significant amount of fund in the government securities with an interest rate of 300-700 per cent But the government which is now enjoying a substantial amount of surplus fund with its account is now accepting limited amount of bids much to the frustration of the banks The government has suspended its auction calendar a government schedule to borrow loans from the banking sector in August the central banker said In July eight state-owned commercial and specialised banks mdash Sonali Janata Agrani Rupali BASIC BDBL Bangladesh Krishi and Rajshahi Krishi Unnayan Bank mdash together disbursed Tk 39887 crore in agriculture loans The amount is 416 per cent of their total annual farm loan disbursement target of Tk 9590 crore

Daily News Flash 28th August 2017

4

The private and foreign commercial banks together disbursed Tk 117520 crore in agriculture loans in the first month of FY18 The amount is 1087 per cent of their total annual farm loan disbursement target of Tk 10810 crore The BB data showed that the year-on-year defaulted loans in the agriculture sector also increased to Tk 517060 crore as of July 31 2017 from Tk 473259 crore as of July 31 2016 The BB official said that the defaulted farm loans had increased in July as the flood-affected farmers in the haor belt and northern parts of the country failed to repay their instalments of the loans in due time Source httpwwwnewagebdnetarticle22909farm-loan-release-rises-by-49pc-in-july

BSEC ALLOWS BASHUNDHARA PAPER TO DISCOVER IPO PRICE The Bangladesh Securities and Exchange Commission on Sunday allowed Bashundhara Paper Mills Limited to discover issue price of its shares under the book building method for raising Tk 200 crore from the capital market through an initial public offering The commission gave the approval at a commission meeting presided over by its chairman M Khairul Hossain said a BSEC news release issued on the day Bashundhara Paper Mills will use the IPO fund for buying machinery equipment raw materials and to pay bank loan and to meet up IPO expenses As per the entityrsquos audited financial statements for the year ended on June 30 2016 the BPMLrsquos net asset value per share and weighted average earnings per share were Tk 1579 and Tk 146 respectively AAA Finance and Investment is the issue manager of the companyrsquos IPO The BSEC at the meeting also allowed First Security Islami Bank to float non-convertible Mudaraba subordinated bonds worth Tk 450 crore The face value of each unit of the bond will be Tk 1000000 and the bond will be fully redeemable in seven years Only corporate bodies financial institutions asset management companies funds and eligible investors will be allowed to subscribe the bonds through private placement Green Delta Insurance will work as the trustee for the bond The commission at the meeting also fined Harun Securities Limited a brokerage firm of the Dhaka Stock Exchange Tk 2 lakh for breaching securities rules The regulator came up with the decision based on a DSE report that showed shortage in its (Harun Securities) consolidated customer account in violation of securities rules Besides the brokerage firm also provided margin loans to a number of non-margin accountholders breaking the Margin Rules 1999 the DSE inquiry found Source httpwwwnewagebdnetarticle22911bsec-allows-bashundhara-paper-to-discover-ipo-price

HSBC ARRANGES $46M LOAN FOR VIYELLATEX SPINNING HSBC Bangladesh has arranged the countryrsquos first private sector agreement with SERV Switzerlandrsquos Export Credit Agency in a transaction securing finance of $46 million said a news release The financing a combination of commercial term loans and export credit agency-backed lending was arranged for Viyellatex Spinning Limited to support the purchase of goods equipment and technology from suppliers based in Switzerland Japan India Germany and the UK The loan agreement covers around 70 per cent of the total investment being made by Viyellatex Group for this specific project The financing also involves extensive and close cooperation between

Daily News Flash 28th August 2017

5

HSBC and PROPARCO a French financial institution focused on funding sustainability projects (a subsidiary of Agence Franccedilaise de Deacuteveloppement) as a lender under the commercial term loans HSBC acted as coordinating arranger lender facility agent security agent intercreditor agent account bank and sole LC issuing bank HSBC Bangladesh chief executive officer Francois de Maricourt said lsquoThis transaction highlights HSBCrsquos leading position in export credit agency financing in Bangladesh and demonstrates the growing relevance of ECAs for the local private sector It also demonstrates the strength of HSBCrsquos international network and global banking capabilitiesrsquo Viyellatex Group chairman KM Rezaul Hasanat commented lsquoThe facilities will be utilised to set up the expansion project The project is a strategic investment of Viyellatex Group and aligned with countryrsquos priority sector for economic development This sort of structured financing will support countryrsquos RMGtextile exporters to undertake quality capex decisions as well as achieve a great mileage in international debt marketrsquo Source httpwwwnewagebdnetarticle22914hsbc-arranges-46m-loan-for-viyellatex-spinning

BIBM 50 BANKS DISBURSED ONLY 05 CREDIT AS GREEN FUNDS IN 2016 More than 50 commercial banks of the country have disbursed only 05 of the their total credit as green financing or sustainable banking in 2016 according to a study of the Bangladesh Institute of Bank Management (BIBM) The study report titled ldquoFund Transfer Pricing of Commercial Banks Status and Measures for Implementing in Banks of Bangladeshrdquo was presented in Dhaka on Sunday The report said only seven banks prepared the sustainable financing report following the Global Reporting Initiatives (GRI) guideline and submitted it to the Bangladesh Bank BIBM Associate Professor Mohammad Alamgir presented the report which said around 58 of the banks follow no guideline when it comes to fund transfer pricing ldquoSome 58 of the banks are found to have not been following no guidelines in fund transfer between banks while 96 of them do the job through the age-old system and only 4 use fund transfer curve through online calculatorrdquo the report said It also said 62 of the banks transfer pricing manually while 85 banks perform it with the help of a committee ldquoOnly seven banks follow the GRI guidelines some 34 banks do not follow and the rest of the banks follow the guidelines partiallyrdquo the report said Bangladesh Bank Deputy Governor Abu Hena Mohammad Razee Hassan attended the function as the chief guest He said ldquoIt is a challenge for Bangladesh to retain development and ensure a sustainable environment and so the banks need to go for green financing and prepare report on sustainable bankingrdquo ldquoIn 2015 most of the banks failed to submit their sustainable banking reports to the central bankrdquo Abu Hena said BIBM Director General Toufiq Ahmed Choudhury said there was no alternative to green financing to ensure sustainable development goals He called for fixing a definite rate on fund transfer BIBM Supernumerary Professor Helal Ahmed Choudhury asked for improving bankersrsquo skills to prepare sustainable banking report The event was also attended among others by BIBM Supernumerary Professor Yeasin Ali and Bangladesh Securities and Exchange Commission Commissioner Swapan Kumar Bala Source httpwwwdhakatribunecombusinessbanks20170827bibm-50-banks-disbursed-0-5-credit-green-funds-2016

Daily News Flash 28th August 2017

6

DHAKA BANK CREDIT CARDHOLDERS TO GET 0 EMI FACILITIES FROM DARAZ Dhaka Bank has recently signed an agreement with Daraz Bangladesh one of largest e-commerce platforms in Bangladesh under which the bankrsquos credit cardholders can enjoy 0 EMI offer With their credit card shoppers will be able to choose 3 to 12 monthly instalments with absolutely 0 interest while purchasing any product worth of more than Tk10000 HM Mostafizur Rahaman SVP amp Head of Cards of Dhaka Bank Ltd And Mostahidal Haq Managing Director of Daraz Bangladesh signed the deal from the respective side Source httpwwwdhakatribunecombusinesscommerce20170823dhaka-bank-emi-daraz

NO PROFITS FROM SAVINGS CERTIFICATES FOR GRATUITY FUNDHOLDERS People with savings certificates will most likely not profit from the Savings Certificate Policy 2017 if they are already benefiting from gratuity funds The Ministry of Finance had directed the Internal Resources Division to form a committee to reduce the abnormality that has arisen over Sanchaypatra Rules 1977 and Income Tax Law 1994 The seven-member committee headed by the director general of the Department of National Savings recommended that those who have gratuity fund deposits should not receive profits from savings certificates The committee found that five institutions including banks financial institutions and an NGO has been depositing their gratuity funds in the Department of National Savings for five years to benefit from savings certificates Over the past five years the five in questions have deposited Tk401 crore in earnings and was set to earn Tk159 crore in profits The committee recommended the latter profit be denied to the depositors Earlier the government had announced plans to set up investment limits for potential buyers of national savings certificates in addition to a two-tier profit rate Buyers could also be required to disclose the sources of their funds to the Department of National Savings Finance Division officials said the government will not reduce the interest rate of savings certificates despite the finance ministerrsquos repeated assertions An official said ldquoWe need to change the profit rate on savings certificatesBut the finance minister will have the last sayrdquo A source at the governmentrsquos policy-making level said decisions that may affect the governmentrsquos popularity are unlikely to be taken before the election The government is also planning to borrow massively from savings instruments Big investors especially corporate houses industrial entrepreneurs and business groups who have bought savings certificates in unusually large volumes are being identified for further business The interest rate on deposits is 3-4 in private banks and 4-5 in state banks while the interest rates on savings certificates ranges from 10-1125 In the 2016-17 financial year the government had a target of selling Tk19610 crore in savings certificates But it ended up selling Tk52327cr worth of certificates a 167 increase from the previous fiscal year Source httpwwwdhakatribunecombusinesseconomy20170827savings-gratuity-fundholders

BANKERS RESPONSIBLE FOR DEFAULTED LOANS Finance Minister AMA Muhith has alleged that bankers are responsible for loan defaults as they always try to show their clients as defaulters to avoid being held accountable for loan defaults

Daily News Flash 28th August 2017

7

ldquoWhen a client approaches a bank for a loan what comes first to bankersrsquo minds is how to show him or her as a loan defaulter And they do this to avoid being held responsible for loan defaults This is a very bad culture in our banking sectorrdquo he said Muhith was addressing as the chief guest a workshop styled ldquoState-owned banks and ways to tackle the prevailing challengesrdquo organised by Financial Institutions Division of the Finance Ministry in the Cirdap auditorium in Dhaka on Saturday When a client seeks a loan the bankers try to establish him or her as defaulter he said ldquoAlso the bankers set terms and conditions in such a way that the client becomes a defaulter Every bank does it They try to show their clients as defaulters so that they need not shoulder the responsibility for loan defaultsrdquo Muhith said stressing the need for avoiding such tendency He also said that overall financial condition of the countryrsquos banks is not so good It is a problem not only for the banking sector but for the whole economyrdquo ldquohellipno bank has become bankrupt since the independence We are running this sector in a transparent wayrdquo the minister claimed Md Eunusur Rahman senior secretary to Financial Institutions Division presided over the workshop State Minister for Finance and Planning MA Mannan Chairman of the Parliamentary Standing Committee on Finance Ministry Dr Abdur Razzak Senior Secretary to Finance Division Hedayetullah Al Mamun and Bangladesh Bank Governor Fazle Kabir attended the event Source httpwwwdhakatribunecombusinessbanks20170827bankers-responsible-defaulted-loans

MOST BANKS SKIP FTP POLICY Most of the countrys banks are yet to have any Fund Transfer Pricing (FTP) policy despite growing importance of the same in reducing the risk of liquidity shortfall a recent industry-wide survey reveals Whereas almost all banks in the developed economies have a sound and effective FTP policy only 42 per cent of banks in Bangladesh do possess an FTP policy says the study conducted by the Bangladesh Institute of Bank Management (BIBM) More alarmingly it was also found that nearly 10 per cent treasuries of the banking industry in Bangladesh have no good idea about the FTP the BIBM study concluded based on the responses from 33 banks of the country Meanwhile only 33 per cent banks of Bangladesh are using dedicated software for fund transfer pricing whereas 67 per cent of them are using either off-line methods or core banking software for carrying out their FTP activities the research has found The findings of the study were shared during a seminar on Sustainability Reporting Practices and Fund Transfer Pricing of Commercial Banks held in the city on Sunday The research findings show that only 4 per cent of the banks use the Fund Transfer Pricing curve and online pricing calculator whereas 96 per cent banks do not use it said Md Alamgir an associate professor of BIBM At the same time around 14 per cent of the banks perform ex-ante calculation of contribution of a certain product by using FTP whereas the remaining 86 per cent of the banks do not follow the same he added Mr Alamgir along with Md Abdul Halim of BIBM and Nahid Rahman of Bangladesh Bank (BB) conducted the study FTP in its simplest form is the process through which the treasury of a bank aggregates all funds centrally and then distributes them throughout all business units and branches Also known as IBT transaction FTP remains an under-researched area in Bangladesh although it is widely understood that banks in the country commonly use FTP

Daily News Flash 28th August 2017

8

The aforementioned BIBM research is one of the first studies on the FTP issue of banks in Bangladesh which found that 61 per cent of the banks are using the pooled FTP whereas only 9 per cent of them are using matched maturity Meanwhile 19 per cent of them use other types of FTP Deputy governor of Bangladesh Bank Abu Hena Mohd Razee Hassan who attended the seminar as the chief guest said in order to reduce the risk of a liquidity shortfall banks are increasingly looking to understand their liquidity exposure at product level branch level and to steer their business into a more sound liquidity practice This can be truly achieved through an internal pricing system or Fund Transfer Pricing he added Meanwhile the BIBM research findings also show that 62 per cent of the banks in the country accomplish their FTP operations manually whereas 38 per cent perform their FTP activities online It was also found that more or less 85 per cent of the banks determine their transfer price with the help of a committee called ALCO while 15 per cent of them do not have any committee to determine it At the same time only 23 per cent of the banks periodically disseminate data to business units about their contribution whereas the remaining 76 per cent do not It is actually very difficult to have an effective FTP mechanism within the branch banking model that is predominant in the country Rather a more centralized system is more suitable for the growth of such FTP said Ahmed Kamal Khan Chowdhury Managing Director of Prime Bank Limited The BIBM research in its recommendation has called for ideal policy framework for Fund Transfer Pricing These policies should provide a means of better resource allocation the researchers said The policy framework among other things should ensure that internal fund transfer pricing should not lead to arbitrary gains or losses and the returns should be predictable the study said The interest rate should be taken away from the business units and branches and should rather be in a central pool either in the treasury or in head office It should also be managed by the treasury and ALCO it added Executive Director of Bangladesh Bank Md Shafiqul Islam Commissioner of Bangladesh Securities and Exchange Commission Dr Swapan Kumar Bala and Director General BIBM Dr Toufic Ahmad Choudhury also spoke on the occasion Source httptodaythefinancialexpresscombdfirst-pagemost-banks-skip-ftp-policy-1503855962

RMG VALUE ADDITION DECLINES MARGINALLY Gross value addition (GVA) in the countrys biggest export earning sector --clothing sector -- fell by 028 percentage point to 7507 per cent in the immediate past fiscal year Analysts and garment exporters opined that such fall was the reflection of a slump in demand for clothing products in the global market especially in Europe However average value addition from the fiscal year 2010 to FY 17 remained at around 750 per cent In the fiscal year 2014-15 value addition peaked at 7567 per cent during past eight years beginning from FY 2009-10 according to a Bangladesh Banks report The central bank prepares report on value addition considering yearly data on RMG exports and back-to-back raw material imports In the FY17 import prices of raw materials stood at over $70 billion through back-to-back LCs which was 2493 per cent of total RMG export value Value addition of knit products is believed to be around 90 per cent and that of woven products around 50 per cent In some cases value addition of both clothing products vary Dr Nazneen Ahmed a senior research fellow at the state-owned Bangladesh Institute of Development Studies told the FE that this is the reflection of a slump in demand for clothing in the global market

Daily News Flash 28th August 2017

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In my opinion European market remains volatile and this is one of the main reasons behind the fall in value addition Dr Nazneen also said export growth fell significantly in the past fiscal year to June 30 adding This falling trend shows that the demand for garment was thin The countrys overall exports grew by 116 per cent to US$ 3465 billion in the past fiscal year where knitwear registered just 30 per cent growth while woven fell 236 per cent during the year under review Echoing the same view BGMEA president Md Siddiqur Rahman said the prices of clothing products are falling for slowdown in demand I dont know about the statistics prepared by the central bank but I assure you that the prices of RMG products fell in the last fiscal year Rahman told the FE Mr Rahman said many clothing factories have been running with very marginal profits Some keep running just to retain their customers However the central banks report said in context of some major accidents in RMG factories the USA and the EU countries have shown their reservation about importing apparels from Bangladesh Besides in some cases they imposed certain conditions on apparel factories It noted that the government and the BGMEA have signed various contracts with some international organisations and taken a number of measures for ensuring workplace safety of workers and modernising the RMG factories The report suggested engaging strong lobbyist in markets in the USA in order to secure favourable treatment from the US administration for Bangladeshi RMG The measures should also include building good relationship between the employers and the employees the report said RMG exports fetched $2809 billion in the last financial year of which woven $1473 billion and knitwear $1335 billion Source httptodaythefinancialexpresscombdfirst-pagermg-value-addition-declines-marginally-1503856025

INVESTORS TARGET BANKING STOCKS AS DSEX CROSSES 5900-MARK Stocks extended the gaining streak for the second consecutive session Sunday with core index of the premier bourse crossing the 5900-mark Investors took position on banking issues expecting market buoyancy in post-Eid sessions Dealers said the market finished higher as pre-Eid sale pressure eased to some extent down while optimistic investors took position on sector-wise stocks especially banks taking the prime index of the major bourse above 5900-mark There are only four trading sessions left before start of the Eid-ul-Azha vacation Trading on the bourses is secluded to remain closed from September 1 The banking sector posted the highest return of 180 per cent as share prices of 27 banks closed green out of 30 listed banks led by Shahjalal Bank Prime Bank Al-Arafa Bank Islami Bank and AB Bank They were gaining 638 per cent 540 per cent 421 per cent 373 per cent and 297 per cent respectively Following the previous weeks marginal gain the market opened with a positive note which continued till end of the session with no sign of reversal finally ended 30 points higher DSEX the benchmark index of the Dhaka Stock Exchange (DSE) which replaced the DGEN in four-and-a-half-year back settled at 5915 after advancing 30 points or 051 per cent over the previous session The two other indices also closed higher The DS30 index comprising the blue-chips advanced 715 points or 034 per cent to finish at 2119 The DSE Shariah Index (DSES) gained 279 points or 021 per cent to close at 1308

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Turnover another important indicator of the market stood at Tk 930 billion which was 19 per cent higher than the previous sessions turnover of Tk 782 billion Block transaction contributed Tk 184 million to the days total turnover where RAK Ceramics accounted for Tk 176 million alone followed by ONE Bank and BDCOM Online and Al-Arafa Islami Bank Gaining momentum in the market attracted fund flow from the investors and total turnover stood at Tk 930 billion commented IDLC Investments a merchant bank in its regular market analysis The merchant bank noted that bank and engineering sectors led the market in terms of turnover each contributing 23 per cent and 21 per cent of total turnover respectively EBL Securities a stockbroker said The positive vibe was mainly triggered by investors buying spree on stocks from banking stocks Investors expectation on the bank sector remained quite robust which led to buying pressure on the bank issues The stockbroker noted that apart from stocks from bank sector pharmaceuticals and engineering has been the top choice of the investors throughout the session A total number of 0140 million trades were executed in the days trading session with trading volume of 25867 million securities The port city bourse the Chittagong Stock Exchange (CSE) also closed higher with its Selective Categories Index - CSCX - advancing nearly 53 points to settle at 11089 points Gainers beat losers as 115 issues closed higher 106 closed lower and 29 remained unchanged on the CSE The port city bourse traded 1602 million shares and mutual fund units worth Tk 526 million in turnover Source httptodaythefinancialexpresscombdstock-corporateinvestors-target-banking-stocks-as-dsex-crosses-5900-mark-1503859526

BSEC ALLOWS BASHUNDHARA PAPER MILLS TO CONDUCT BIDDING PROCESS Bashundhara Paper Mills Sunday got the regulatory consent to conduct bidding process of determining cut-off price in a bid to raise fund worth Tk 20 billion under book building method The regulatory consent came at a commission meeting held at the office of the Bangladesh Securities and Exchange Commission (BSEC) After conducting road show Bashundhara Paper Mills earlier submitted IPO proposal to the securities regulator to raise the fund Now the company will conduct price bidding of shares required to determine cut-off price at which institutional investors will get shares The companys IPO fund will used to purchase machineries to repay bank loans and to bear IPO expense According to financial statement for the year ended on June 30 2016 the companys net asset value (NAV) per share (EPS) is of Tk 3049 including revaluation reserve whereas the value is of Tk 1579 without revaluation reserve The weighted average of earnings per share (EPS) was Tk 146 for the year ended on June 30 2016 The Bashundhara Paper Mills produces different types of papers such as writing and printing paper white printing paper photocopy and sanitary paper multipurpose paper colour printing paper ledger printing paper and bidi paper Besides the Bashundhara Paper Mills also produces different types of tissues such as facial tissue pocket tissue toilet tissue kitchen towel tissue and wet tissue AAA Finance amp Investment is working as issue manager for Bashundhara Paper Mills At Sundays meeting the securities regulator also approved Tk 450 billion mudaraba subordinated bond to be issued by First Security Islami Bank Limited (FSIBL) The redemption of the companys bond will be completed within seven years

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The FSIBL will raise the fund through bond issue to fulfill the condition of Tier-II Capital Base The financial institutions banks insurance companies corporate houses asset management companies mutual funds and any general investors will be allowed to purchase the units of the bond through private placement The securities regulator Sunday imposed a penalty of Tk 020 million on Harun Securities because of shortage found in the companys consolidated customer account The company has also breached margin rules providing cash credit facility to its clients Source httptodaythefinancialexpresscombdstock-corporatebsec-allows-bashundhara-paper-mills-to-conduct-bidding-process-1503859572

TEN COS GRAB 31PC TURNOVER Top ten traded companies including four banks captured more than 31 per cent transaction of the premier bourse Sunday while Bangladesh Building Systems (BBS) topped the chart for the four consecutive sessions Meanwhile Bangladesh Building Systems and BBS Cables inked signed into two agreements under the same package with Bangladesh Rural Electrification Board (BREB) for supplying cables for a total amount of more than Tk 987 million The goods will have to be delivered within four months from the date of signing Bangladesh Building Systems holds 1633 per cent stake of BBS Cables which will eventually have a prospective impact on the profitability of the company after the completion of the Jobs said a statement posted on the Dhaka Stock Exchange (DSE) website on Sunday The total transaction on the Dhaka Stock Exchange (DSE) stood at Tk 930 billion on the day which was more than 19 per cent lower than the previous days value of Tk 782 billion The days most active shares in terms of value included Bangladesh Building Systems Fortune Shoes BBS Cables LankaBangla Finance Ratanpur Steels ACI Prime Bank Mercantile Bank Al-Arafa Islami Bank and IFIC Bank Source httptodaythefinancialexpresscombdstock-corporateten-cos-grab-31pc-turnover-1503847822

CEMENT COS WITNESS 220PC LOSS Cement was number one losing sector in last week as most of the companies declined on Dhaka Stock Exchange (DSE) The sector comprising seven companies witnessed 220 per cent loss in five trading sessions executed in last week on the premier bourse DSE In last week the average daily turnover featured by cement sector Tk 14506 million which was 12 per cent less than average daily turnover of previous week On Thursday the share trading of Aramit Cement closed at Tk 3950 which was 128 per cent higher than the price of previous session Over the week the companys share price rose 533 per cent compared to previous week Share trading of Confidence Cement closed at Tk 15460 on Thursday with a rise of 065 per cent compared to previous session In five sessions the companys share price declined 343 per cent Heidelberg Cement witnessed a loss of 107 per cent or Tk 470 and share trading closed at Tk 43520 on Thursday Over the week the companys share price declined 229 per cent or Tk 1020 compared to previous week In five sessions the share price of Lafarge Surma Cement declined 30 per cent or Tk 180 and share trading closed at Tk 5820 on Thursday On Thursday share trading of Meghna Cement closed at Tk 10320 which was 048 per cent less than the price of previous session Over the week the companys share price witnessed ups and downs and closed the trading with a marginal loss

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At the end of last week the share trading of MI Cement closed at Tk 9380 with a rise of Tk 053 per cent compared to previous session On Thursday the share price of Premier Cement Mills declined 087 per cent or Tk 080 and trading closed at Tk 91 Source httptodaythefinancialexpresscombdstock-corporatecement-cos-witness-220pc-loss-1503848479

DHAKA BOURSE SEES INVESTORS INCREASED PARTICIPATION The Dhaka bourse Sunday witnessed moderate rise both in key index and turnover value following investors increased participation in trading activities On the day the major sectors including bank played a market supportive role and the broad index crossed 5900-point market on Dhaka Stock Exchange (DSE) The market started the session positively and DSE broad index DSEX closed the session without ups and downs At the end of the session the DSEX closed at 591542 points with a rise of 050 per cent or 30 The shariah-based index DSES rose 021 per cent or 278 to close at 130840 points while the blue chip index DS30 closed at 211850 points with a rise of 033 per cent or 715 According to International Leasing Securities Dhaka stocks witnessed another upbeat session as the optimistic investors went on buying spree on bank sector stocks The buying interest stimulated the sector specific issues especially from bank ceramic engineering and pharmaceuticals sectors amid optimism while the shaky investors booked profit on IT fuel amp power and textile sectors said the International Leasing Securities Of 330 issues traded 151 advanced 144 declined and 35 were unchanged on the premier bourse DSE At the end of the session the turnover stood at above Tk 930 billion which was 19 per cent higher than the turnover of previous session Top ten traded stocks captured 316 per cent of the days total turnover featured by the premier bourse Of total turnover above Tk 750 billion came from transactions of A category shares Among the major sectors bank advanced 180 per cent followed by engineering 050 per cent pharmaceuticals amp chemicals 030 per cent and financial institutions 02 per cent Among the losing sectors fuel amp power declined 04 per cent mutual fund 06 per cent textile 03 per cent and travel amp leisure 11 per cent Investors activities were concentrated mostly on bank which captured 2340 per cent of the market turnover followed by engineering 20 per cent pharmaceuticals amp chemicals 890 per cent and textile 880 per cent Bangladesh Building Systems topped the turnover chart with a value of Tk 451 million followed by Fortune Shoes Tk 450 million BBS Cables Tk 376 million LankaBangla Finance Tk 357 million and RSRM Steel Tk 242 million Monno Ceramic Industries was the number one gainer with a rise of 993 per cent to close at Tk 73 per share while Asian Tiger Sandhani Life Growth Fund was the worst loser declining 948 per cent to close at Tk 1240 per unit Source httptodaythefinancialexpresscombdstock-corporatedhaka-bourse-sees-investors-increased-participation-1503848542

COSTS OF FOSSIL FUEL IMPORT TO WEIGH HEAVILY ON STATE COFFER Bangladeshs dependency on import of fossil fuels is set to swell up significantly from early 2018 as the country for the first time is set to start importing expensive LNG (liquefied natural gas)

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The country currently imports around 59 million tonnes of petroleum products crude and refined oil combined and 480000 tonne of LPG (liquefied petroleum gas) every year to meet domestic requirement Although inclusion of LNG in the import basket of fuels would diversify the countrys energy sources it would escalate the energy costs significantly Against the backdrop of depleting domestic natural gas reserve the government in 2010 had initiated the move to build a LNG import terminal to import the fuel although it took long eight years to execute the plan Bangladesh never felt the crisis of natural gas until 2009 The consistent growth in natural gas demand due to growing industrialisation exceeded the production quantity after 2009 resulting in rationing of natural gas supply to industries power plants and fertiliser factories Bangladesh is currently dependent on onshore fields for overall gas output with production hovering around 2700 million cubic feet per day (mmcfds) against the demand for over 3300mmcfd according to state-owned Petrobangla The country has a total of 26 discovered gas fields of which gas is being extracted from 20 fields Natural gas production in the country has been witnessing growth every year since its inception in 1971 But lack of necessary exploration and drilling works coupled with inadequate discovery of new gas led to the crisis of the fuel Despite having crisis the countrys lone oil and gas exploration company -- Bangladesh Petroleum Exploration and Production Company Ltd Bapex -- is sitting almost idle as it has no major drilling job in hand Although several international oil companies (IOCs) are operating under production sharing contracts (PSCs) in the country no drilling of wells is now being carried out by them US oil and gas giant Chevron in 2014 year completed drilling of over a dozen of new gas wells in its Bibiyana gas field in the countrys northeastern region to augment natural gas production by around 300 mmcfd Chevron Bangladesh currently is not involved in any drilling activities Does not have any plan either to drill new wells in the near future The US firm is operational in three onshore gas blocks -- 12 13 and 14 -- under PSCs signed with the government Singapores KrisEnergy which bought Irish Tullows stakes to become the operator at block 9 does not either have any major drilling plan for the near future A joint venture (JV) of Australian Santos and KrisEnergy and another JV of Indian ONGC and Oil India Ltd however carried out 2D seismic surveys in three shallow water offshore blocks --SS-04 SS-09 and SS-11 -- in the Bay of Bengal But they are yet to initiate drilling of any well there South Koreas Posco Daewoo Corporation entered into a PSC deal for deep sea block DS-12 in March 2017 and waiting for the next winter to initiate necessary 2D seismic survey Daewoo is optimistic of having new discovery in the block which is located adjacent to Myanmars AD-7 offshore block where also the Korean firm is the operator DS-12 and AD-7 are located in similar sediment and geological structure in the Bay of Bengal Posco Daewoo Corporation has been the most successful international oil company (IOC) in Myanmar since 2007 and two of the Daewoo-operated blocks-A-1 amp A-3 -- in Myanmar are currently producing around 500 mmcfd of natural gas in total Daewoo inked the PSC under the Speedy Supply of Power and Energy (Special Provisions) Act 2010 which facilitates awarding contracts avoiding tenders and indemnifies officials concerned against prosecution for making decisions

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This was the first incident of awarding any PSC deal under the special law Petrobangla had inked all the previous PSCs with IOCs under open tendering Bangladesh earlier had awarded the DS-12 block along with two other deepwater blocks DS-16 and DS-21 to a joint venture of USs ConocoPhillips and Norwegian Statoil under the previous 2012 bidding round but they refused to ink PSC on the plea of poor fiscal terms in the model contract Bangladesh did not offer any onshore oil and gas blocks for exploration by IOCs after 1997 although the countrys entire natural gas production comes from onshore gas fields alone Although the government shelved the plan to launch onshore bidding it continued awarding onshore wells for drilling by the IOCs under the special law bypassing tendering system Russian Gazprom has already carried out a 15-well drilling programme under contract basis It further bagged two more wells for drilling Chinese Sinopec International Petroleum Service Corporation has also completed four onshore gas well drilling programmes of state-run Titas gas field A consortium of Chinese Geo-Jade Petroleum Corporation and USs Longwood Resources have been awarded to explore and develop four onshore gas fields in Bangladesh under a JV with the state-run Bapex The government has however also moved to award more drilling programme to some more IOCs under the special law According to the draft final report Bangladeshs Gas Sector Master Plan (GSMP) 2017 the country will have to import around 4000 mmcfd equivalent of LNG to meet the mounting natural gas demand by 2041 Natural gas production from Bangladeshs domestic gas fields will reach its peak to around 2700 mmcfd in 2017 and then it will start declining the report stated The South Asian countrys existing gas reserve of around 12 Tcf will be completely exhausted by 2038 if no new exploration and discovery takes place The GSMP has been prepared by Copenhagen-based research firm Ramboll in association with Geological Survey of Denmark and EQMS Consulting Limited Ramboll officially handed over the report to state-run Petrobangla this month said the official Bangladesh government has set a target to be a developed nation by 2041 after achieving all necessary economic growth The report however suggested for rigorous exploration activities in onshore as well as offshore areas of the country which it said could raise daily gas supply by 140 Bcf from about 5 Tcf new reserves It suggested accommodating domestic Gas prices with the LNG price Experts predicted that the countrys energy prices go up three-fold by next 10 years following LNG imports However upgrading the efficiency level of equipment might help reduce the prices It is also a good news that the government has already waived import duties and supplementary duties of around 122 per cent on import of LNG The government is now making concerted efforts to move forward with LNG import infrastructure Bangladesh has already completed construction of its first dedicated pipeline to move re-gasified LNG to end-users and has three more in the works The 91 km (56 mile) 30-inch natural gas pipeline from Moheshkhali to Anowara with a capacity of up to 800 mmcfd of gas has been completed and undergone the necessary testing A parallel 79 km 42-inch pipeline is currently under construction to carry additional volumes of imported regasified LNG from Moheshkhali to Anowara which is due for completion in 2018 Another 30-km 40-inch pipeline is under way to carry imported regasified LNG from Anowara to Fouzdarhat and supply it to end-users in the port city Chittagong

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Another 181 km 36-inch Chittagong-Feni-Bakhrabad gas transmission pipeline would also be laid down soon to distribute supply across the country from Chittagong The countrys first LNG import terminal a 375 million tonnes per year FSRU (floating storage and re-gasification unit) being developed by US-based Excelerate Energy is expected to be commissioned in April 2018 and its second also with a capacity of 375 million tone per year being developed by Summit Group is expected to be commissioned by end 2018 Both will be located at Moheshkhali Island in the Bay of Bengal with ownership to be transferred to Petrobangla after 15 years of operations Petrobangla is also planning to set up at least two onshore LNG terminals each with a capacity of 75 million tonnes per year by 2025 Petrobangla on July 13 inked its first ever deal with Qatars RasGas to import 25 million tonnes of lean LNG per year for a period of 15 years Separately Petrobangla has signed a memorandum of understanding (MOU) with Switzerland-based AOT Energy on LNG with a sales and purchase agreement (SPA) due to be signed by year end It also received on August 17 the bids from 39 global firms who expressed interests to supply LNG to Bangladesh on a spot basis Although Petrobanglas contract with RasGas will be priced against international crude benchmarks Petrobangla is counting on government subsidies to enable it to pay for the imported LNG Petrobangla has requested for a subsidy of $14 billion from the government to foot its LNG import bill for 2018 -- some 78 per cent of the total estimated cost which is still under consideration of the Ministry of Finance Source httptodaythefinancialexpresscombdspecial-issuescosts-of-fossil-fuel-import-to-weigh-heavily-on-state-coffer-1503861889

GENERATION CAPACITY UP BUT CHALLENGES REMAIN Bangladeshs overall electricity generation has currently reached to around 9000 megawatt (MW) riding mostly on expensive oil-fired power plants as low-cost power plants continued to delay in coming online The major fall in oil prices in international market after 2012 proved a boon to the countrys power sector which resulted in a substantial cut in overall oil import bill and restrained electricity generation cost from skyrocketing Countrys recent electricity supply situation improved significantly compared what was a decade back Power outages have gone down as several dozen new power plants mostly oil-fired rental and quick rental plants have been commissioned Total installed capacity of the power plants is now 13555 MW and their de-rated capacity to generate electricity is 12 771 MW Currently around 6169 per cent of the countrys overall electricity comes from gas-fired power plants 2126 per cent from plants using furnace oil and 831 per cent from diesel-run plants The only coal-based plants generate 202 per cent power ad the hydro power plant at Kaptai 186 per cent Eighty per cent of the countrys overall population has access to electricity and per capita electricity consumption including the contribution of captive power plants is 433 units (kilowatt-hour) Because of greater dependence on oil-based power plants -- most of those operating in the private sector -- the electricity tariffs for retail-level consumers were hiked seven times-almost doubling it from the previous rates Despite the growth the challenges in the countrys power sector include high system losses low efficiency of existing power plants delays in completing base-load and low-cost power plants low plant efficiency and erratic power supply

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This was the first incident of awarding any PSC deal under the special law Petrobangla had inked all the previous PSCs with IOCs under open tendering Bangladesh earlier had awarded the DS-12 block along with two other deepwater blocks DS-16 and DS-21 to a joint venture of USs ConocoPhillips and Norwegian Statoil under the previous 2012 bidding round but they refused to ink PSC on the plea of poor fiscal terms in the model contract Bangladesh did not offer any onshore oil and gas blocks for exploration by IOCs after 1997 although the countrys entire natural gas production comes from onshore gas fields alone Although the government shelved the plan to launch onshore bidding it continued awarding onshore wells for drilling by the IOCs under the special law bypassing tendering system Russian Gazprom has already carried out a 15-well drilling programme under contract basis It further bagged two more wells for drilling Chinese Sinopec International Petroleum Service Corporation has also completed four onshore gas well drilling programmes of state-run Titas gas field A consortium of Chinese Geo-Jade Petroleum Corporation and USs Longwood Resources have been awarded to explore and develop four onshore gas fields in Bangladesh under a JV with the state-run Bapex The government has however also moved to award more drilling programme to some more IOCs under the special law According to the draft final report Bangladeshs Gas Sector Master Plan (GSMP) 2017 the country will have to import around 4000 mmcfd equivalent of LNG to meet the mounting natural gas demand by 2041 Natural gas production from Bangladeshs domestic gas fields will reach its peak to around 2700 mmcfd in 2017 and then it will start declining the report stated The South Asian countrys existing gas reserve of around 12 Tcf will be completely exhausted by 2038 if no new exploration and discovery takes place The GSMP has been prepared by Copenhagen-based research firm Ramboll in association with Geological Survey of Denmark and EQMS Consulting Limited Ramboll officially handed over the report to state-run Petrobangla this month said the official Bangladesh government has set a target to be a developed nation by 2041 after achieving all necessary economic growth The report however suggested for rigorous exploration activities in onshore as well as offshore areas of the country which it said could raise daily gas supply by 140 Bcf from about 5 Tcf new reserves It suggested accommodating domestic Gas prices with the LNG price Experts predicted that the countrys energy prices go up three-fold by next 10 years following LNG imports However upgrading the efficiency level of equipment might help reduce the prices It is also a good news that the government has already waived import duties and supplementary duties of around 122 per cent on import of LNG The government is now making concerted efforts to move forward with LNG import infrastructure Bangladesh has already completed construction of its first dedicated pipeline to move re-gasified LNG to end-users and has three more in the works The 91 km (56 mile) 30-inch natural gas pipeline from Moheshkhali to Anowara with a capacity of up to 800 mmcfd of gas has been completed and undergone the necessary testing A parallel 79 km 42-inch pipeline is currently under construction to carry additional volumes of imported regasified LNG from Moheshkhali to Anowara which is due for completion in 2018 Another 30-km 40-inch pipeline is under way to carry imported regasified LNG from Anowara to Fouzdarhat and supply it to end-users in the port city Chittagong

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Another 181 km 36-inch Chittagong-Feni-Bakhrabad gas transmission pipeline would also be laid down soon to distribute supply across the country from Chittagong The countrys first LNG import terminal a 375 million tonnes per year FSRU (floating storage and re-gasification unit) being developed by US-based Excelerate Energy is expected to be commissioned in April 2018 and its second also with a capacity of 375 million tone per year being developed by Summit Group is expected to be commissioned by end 2018 Both will be located at Moheshkhali Island in the Bay of Bengal with ownership to be transferred to Petrobangla after 15 years of operations Petrobangla is also planning to set up at least two onshore LNG terminals each with a capacity of 75 million tonnes per year by 2025 Petrobangla on July 13 inked its first ever deal with Qatars RasGas to import 25 million tonnes of lean LNG per year for a period of 15 years Separately Petrobangla has signed a memorandum of understanding (MOU) with Switzerland-based AOT Energy on LNG with a sales and purchase agreement (SPA) due to be signed by year end It also received on August 17 the bids from 39 global firms who expressed interests to supply LNG to Bangladesh on a spot basis Although Petrobanglas contract with RasGas will be priced against international crude benchmarks Petrobangla is counting on government subsidies to enable it to pay for the imported LNG Petrobangla has requested for a subsidy of $14 billion from the government to foot its LNG import bill for 2018 -- some 78 per cent of the total estimated cost which is still under consideration of the Ministry of Finance Source httptodaythefinancialexpresscombdspecial-issuescosts-of-fossil-fuel-import-to-weigh-heavily-on-state-coffer-1503861889

GENERATION CAPACITY UP BUT CHALLENGES REMAIN Bangladeshs overall electricity generation has currently reached to around 9000 megawatt (MW) riding mostly on expensive oil-fired power plants as low-cost power plants continued to delay in coming online The major fall in oil prices in international market after 2012 proved a boon to the countrys power sector which resulted in a substantial cut in overall oil import bill and restrained electricity generation cost from skyrocketing Countrys recent electricity supply situation improved significantly compared what was a decade back Power outages have gone down as several dozen new power plants mostly oil-fired rental and quick rental plants have been commissioned Total installed capacity of the power plants is now 13555 MW and their de-rated capacity to generate electricity is 12 771 MW Currently around 6169 per cent of the countrys overall electricity comes from gas-fired power plants 2126 per cent from plants using furnace oil and 831 per cent from diesel-run plants The only coal-based plants generate 202 per cent power ad the hydro power plant at Kaptai 186 per cent Eighty per cent of the countrys overall population has access to electricity and per capita electricity consumption including the contribution of captive power plants is 433 units (kilowatt-hour) Because of greater dependence on oil-based power plants -- most of those operating in the private sector -- the electricity tariffs for retail-level consumers were hiked seven times-almost doubling it from the previous rates Despite the growth the challenges in the countrys power sector include high system losses low efficiency of existing power plants delays in completing base-load and low-cost power plants low plant efficiency and erratic power supply

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Another 181 km 36-inch Chittagong-Feni-Bakhrabad gas transmission pipeline would also be laid down soon to distribute supply across the country from Chittagong The countrys first LNG import terminal a 375 million tonnes per year FSRU (floating storage and re-gasification unit) being developed by US-based Excelerate Energy is expected to be commissioned in April 2018 and its second also with a capacity of 375 million tone per year being developed by Summit Group is expected to be commissioned by end 2018 Both will be located at Moheshkhali Island in the Bay of Bengal with ownership to be transferred to Petrobangla after 15 years of operations Petrobangla is also planning to set up at least two onshore LNG terminals each with a capacity of 75 million tonnes per year by 2025 Petrobangla on July 13 inked its first ever deal with Qatars RasGas to import 25 million tonnes of lean LNG per year for a period of 15 years Separately Petrobangla has signed a memorandum of understanding (MOU) with Switzerland-based AOT Energy on LNG with a sales and purchase agreement (SPA) due to be signed by year end It also received on August 17 the bids from 39 global firms who expressed interests to supply LNG to Bangladesh on a spot basis Although Petrobanglas contract with RasGas will be priced against international crude benchmarks Petrobangla is counting on government subsidies to enable it to pay for the imported LNG Petrobangla has requested for a subsidy of $14 billion from the government to foot its LNG import bill for 2018 -- some 78 per cent of the total estimated cost which is still under consideration of the Ministry of Finance Source httptodaythefinancialexpresscombdspecial-issuescosts-of-fossil-fuel-import-to-weigh-heavily-on-state-coffer-1503861889

GENERATION CAPACITY UP BUT CHALLENGES REMAIN Bangladeshs overall electricity generation has currently reached to around 9000 megawatt (MW) riding mostly on expensive oil-fired power plants as low-cost power plants continued to delay in coming online The major fall in oil prices in international market after 2012 proved a boon to the countrys power sector which resulted in a substantial cut in overall oil import bill and restrained electricity generation cost from skyrocketing Countrys recent electricity supply situation improved significantly compared what was a decade back Power outages have gone down as several dozen new power plants mostly oil-fired rental and quick rental plants have been commissioned Total installed capacity of the power plants is now 13555 MW and their de-rated capacity to generate electricity is 12 771 MW Currently around 6169 per cent of the countrys overall electricity comes from gas-fired power plants 2126 per cent from plants using furnace oil and 831 per cent from diesel-run plants The only coal-based plants generate 202 per cent power ad the hydro power plant at Kaptai 186 per cent Eighty per cent of the countrys overall population has access to electricity and per capita electricity consumption including the contribution of captive power plants is 433 units (kilowatt-hour) Because of greater dependence on oil-based power plants -- most of those operating in the private sector -- the electricity tariffs for retail-level consumers were hiked seven times-almost doubling it from the previous rates Despite the growth the challenges in the countrys power sector include high system losses low efficiency of existing power plants delays in completing base-load and low-cost power plants low plant efficiency and erratic power supply

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Diversifying energy sources for electricity generation is also important along with retiring of age-old and inefficient plants Current power generation efficiency in gas-based power plants is around 38 per cent which can be raised to 45 per cent considering the international benchmark for a gas based power plant Oil-fired power plants are currently running at an average efficiency level of 36 per cent Power generation efficiency of captive power plants is much less which is necessary to check wastage of resources Continuation of incentivising private sector while allowing them to import of oil duty-free along with 90 per cent service charge and whole-sale extension of the tenure of inefficient oil-fired power plants have however triggered major concern There are allegations that a section of unscrupulous power entrepreneurs are capitalising on the loopholes in the contracts leaving the government to count the cost Some of the plants are failing to generate electricity in line with their commitments because of old and outdated equipment and generators of their plants but are shifting the blame for their failure on to the government to realise capacity payments industry-insiders said The rental and quick-rental power plants are also consuming more oil than specified in the contracts they added The BPDB has to pay around Tk 336 million per day to a 50- MW oil-fired rental or quick-rental power plant as capacity payment in case of the formers failure to purchase electricity The government had launched a drive to install under private sector a significant number of oil-fired rental-and quick-rental power plants from 2009 as a short-term solution to a nagging countrywide electricity crisis The government also awarded private-sector sponsors several gas-fired power plants to be set up on rental basis Most of these power plants were awarded on the basis of unsolicited offers under the Speedy Supply of Power and Energy (Special Provision) Act 2010 The law has a provision of immunity to those involved with the quick-fix remedies Alongside the rental power plants the government also had a plan to install a number of big peaking power plants as mid-term and long-term measures Source httptodaythefinancialexpresscombdspecial-issuesgeneration-capacity-up-but-challenges-remain-1503863719

DOREEN POWER TO INVEST TK 10B MORE IN TWO PLANTS Private power generation company Doreen Power Generation and Systems Ltd will invest another Tk 10 billion in two power plants to add a total of 400 megawatt (MW) electricity to the national grid by the end of 2018 a top official of the company said He also identified shortage of skilled manpower in power sector which he feared might aggravate further the power situation Now we have seven independent power plants (IPP) with a capacity of 242 MW in different districts and two are under construction with a capacity of 170 MW In seven IPPs our total investment is worth Tk 14 billion and we are presently generating 250 MW Doreen Power director (Development) Mostafa Moin told the FE an interview recently He said they have four gas-based and three heavy fuel oil (HFO) or furnace oil based plants The upcoming two projects will also be fuel-based Of the plants two are in Feni one each in Narsingdi and Tangail All are gas-based Fuel-based plants are located in Nababganj Manikganj and Munshiganj Two such plants are now being installed in Bhairab and Chandpur He said six out of the nine IPPs are funded by the World Bank (WB) where Doreen has to comply with certain requirements including installation of energy efficient engines and recycling of exhaust

Daily News Flash 28th August 2017

17

and flue gas desulfurisation (FGD) to mitigate sulphur pollution that requires higher investment We try to be innovative in setting up power plants so that the government gets electricity at a lower rate and we can also maximise our profit We directly cannot help consumers as our customer is Bangladesh Power Development Board (BPDB) he said The price of per kilowatt hour electricity is different said Mr Moin We sell electricity generated by the gas-based plants at Tk 228 per unit and that by fuel-based ones at Tk 699 The government sells at an average rate of at Tk 5-8 to its consumers he said Doreen Power Generation entered the power sector in 2008 with 77 MW generation capacities It started with liquid fuel-based plants in 2016 They have a plan to set up coal-based power plants after completing some upcoming projects On the criticism about coal fired power plants specially environment pollution Mr Moin said the notion that coal based power plants will pollute environment is not right if proper technology is used to reduce the sulphur level There exists modern technology that includes ultra super critical and flue gas desulfurisation that helps easy reduction of sulphur level in air Coal is the future of power generation at low cost Everyone should take initiative to use coal as much as possible as there is shortage of gas and furnace oil said Mr Moin Suggesting ways to overcome the present power crisis he listed the coal-based power plants as the long-term solution He said IPPs are a part of short-term solution Besides the governments initiative to import LNG for running gas-based plants is also a short term solution The government has awarded contracts for setting up eight IPP companies with 2000MW generation capacity Another tender has been invited for another 1000 MW he added At present a group of 17 IPPs is operating 35 power plants They have invested about Tk 180 billion to Tk 200 billion The government-owned power plants have an installed capacity of 7831 MW and private-owned ones 5124 MW (both IPP and rental) while 600 MW is imported from India Regarding the criticism of quick rental power plants Mr Moin said he was not much aware about it as Doreen has never been interested in quick rental power plants The government gave permission for quick rentals as temporary solution as there was no other way to solve power crisis at that time Now the quick rental power plants which got permission are getting extension with an insignificant contribution said Mr Moin adding No new plants are coming up Terming the government support for the private sector investors in power sector as excellent Mr Moin said Doreen gets service charge for furnace oil import on their own and gets capacity payment for IPP Such support was necessary for encouraging the private sector for investing in power sector Mr Moin who is very optimistic about the power and energy sector thinks the scenario will significantly change within next three years Source httptodaythefinancialexpresscombdspecial-issuesdoreen-power-to-invest-tk-10b-more-in-two-plants-1503863885

EID ECONOMY HEATING UP From Friday Md Yusuf has put up machetes and various knives on display in front of his tiny blacksmith store at Karwan Bazar These are not the usual items that Yusuf sells They have been added to tap into the surge in demand for meat-processing paraphernalia every year ahead of Eid-ul-Azha one of the biggest religious festivals in Bangladesh ldquoAll year round we wait for this occasion to comerdquo said the 40-year-old blacksmith adding that he rakes up half of his annual sales during the time of this festivity The blacksmiths excitement is shared by the entire cottage industry surrounding Eid-ul-Azha when the economy gets a boost from cattle purchase and transport of festivalgoers

Daily News Flash 28th August 2017

18

ldquoThis is an important event from a macroeconomic perspectiverdquo said Zahid Hussain lead economist of the World Banks Dhaka office The size of the Eid-ul-Azha economy is believed to be about Tk 35000 crore of which Tk 30000 crore alone comes from cattle sales The festival also brings a bonanza for bus and launch operators as well as for commodity traders The event also fuels a demand for refrigerators and freezers according to electronics marketers Above all the festival ensures the supply of half of the annual requirement for raw materials for the countrys second biggest export earning sector leather and leather goods industry The Department of Livestock Services said the country has a stock of 115 crore of cattle including 4457 bulls Of them 3342 lakh were fattened by 522 lakh farmers in the countryside eyeing Eid-ul-Azha ldquoThis plays a vital role in the growth of the livestock sectorrdquo Hussain said Animal farming accounts for 160 percent of Bangladeshs nearly $250 billion economy The sub-sector of agriculture grew 332 percent last fiscal year according to the Bangladesh Bureau of Statistics ldquoEid has a significant impact on poverty reduction because of redistribution of income We also see increased flow of cash transfer from urban to rural areas during this festival as farmers get money from selling reared cattlerdquo However farmers do not get the full benefit because of extortion on the way ldquoIt reduces the redistributive gainrdquo Hussain said while calling for improving governance and reducing the engagement of middlemen in the supply chain Cattle traders hide merchants and tanners said the number of animals slaughtered during Eidndashul-Azha is increasing every year thanks to a rise in purchasing power brought on by more than 6 percent annual economic growth Delwar Hossain chairman of the Bangladesh Hide amp Skin Merchants Association is expecting a spike in the number of cattle slaughter this year from the last One of the reasons being the national election that is scheduled for 2018 potential candidates may spend more in their constituency to impress their electorate by feeding them well this festival Khondaker Golam Moazzem research director of the Centre for Policy Dialogue said the number of cattle slaughtering will rise this year in line with the increase in purchasing capacity Md Shaheen Ahamed chairman of the Bangladesh Tanners Association said the number of cattle slaughtering will decline this year because of a fall in the purchasing capacity of many people because of the ongoing flood up north This sentiment is reflected in the customer turnout so far in the Gabtoli cattle market the biggest in the country ldquoIt is not encouragingrdquo said Mohammad Amzad Hossain general secretary of Gabtoli (Dhaka) Cattle Traders Cooperative Ltd It is the same scenario over at Kawran Bazar where Yusuf managed to sell only two machetes until yesterday evening which is far below his expectation He too is afraid that flood might affect his selling prospects this year ldquoI am still hopeful The main sales take place in the last two days before Eidrdquo Source httpwwwthedailystarnetbusinesseid-economy-heating-1455052

HSBC ARRANGES $46M FOR VIYELLATEX HSBC Bangladesh has arranged $46 million in low-cost foreign currency for local apparel exporter Viyellatex which would spend the money on a new spinning mill The bank yesterday said this was the countrys first private sector agreement with Swiss Export Risk Insurance SERV Switzerlands export credit agency The financing was arranged for Viyellatex Spinning to support the purchase of goods equipment and technology from suppliers based in Switzerland Japan India Germany and the UK

Daily News Flash 28th August 2017

19

Viyellatex Group is providing the rest of the $75 million (nearly Tk 600 crore) being invested in the spinning mill project ldquoInterest rate of the loan is much lower than other US dollar loans in the international marketrdquo Viyellatex Group Chairman KM Rezaul Hasanat told The Daily Star The financing also involves extensive and close cooperation between HSBC and Proparco a French financial institution focused on funding sustainable development projects according to a statement HSBC Bangladesh CEO Francois de Maricourt said ldquoThis transaction highlights HSBCs leading position in export credit agency financing in Bangladesh and demonstrates the growing relevance of ECAs for the local private sectorrdquo ldquoIt also demonstrates the strength of HSBCs international network and global banking capabilitiesrdquo he said Hasanat said Viyellatex Group was proud to receive this international financing package from HSBC The spinning mill has already been constructed and commercial production will begin after Eid-ul-Azha he said Containing 92000 spindles the spinning mill will produce 50 tonnes of yarn per day to meet the growing demand in the local market said Hasanat ldquoThis sort of structured financing will support the countrys garment exporters to undertake quality capex (capital expenditure) decisions as well as achieve great mileage in international debt marketrdquo he added Source httpwwwthedailystarnetbusinesshsbc-arranges-46m-viyellatex-1455019

GOVT TO BRING ALL INDUSTRIES UNDER CENTRAL WELFARE FUND HASINA Prime Minister Sheikh Hasina yesterday said all manufacturing and exporting industries would be brought under the central welfare fund of the labour and employment ministry The fund has been created to provide financial support to the families of the workers who die or receive grave injuries in their workplaces We have already given instructions to the commerce ministry to bring all garments exporters under the central fund Hasina said The prime minister was distributing cheques for compensation among the crippled garment workers and family members of the deceased garment workers from a fund created by the garment sector at her office in the capital The fund has been created with 003 percent of the export volume of the industries under Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association for the welfare of the workers of the export oriented garment sector A garment worker or hisher heirs would get Tk 3 lakh from the fund in case of death or grave injuries during their work In case of any decomposition or death outside the working place a worker would get Tk 2 lakh from the fund The prime minister extended her thanks to the BGMEA and BKMEA for their epoch-making steps for the welfare of the garment workers ldquoIts a good startrdquo she said She urged the apex bodies of the garment and knitting sectors to complete the work on preparing a database of the workers to ensure easy disbursement of financial support from the fund State Minister for Labour and Employment Md Mojibul Haque Chunnu and BGMEA President Siddiqur Rahman also spoke President of the Federation of Bangladesh Chambers of Commerce and Industry Mohiuddin Ahmed PMs Principal Secretary Kamal Abdul Naser and acting secretary of the Labour Ministry Afroza Khan were also present

Daily News Flash 28th August 2017

20

The prime minister hoped that the owners of the garment industries would continue their stride for the welfare of the workers and give them a share of their annual profits as the workers are the main instrument to keep their industries operational Source httpwwwthedailystarnetbusinessgovt-bring-all-industries-under-central-welfare-fund-hasina-1455022

INTRACO TO SET UP 30MW SOLAR POWER PLANT Intraco Solar Power Ltd (ISPL) yesterday signed agreements with two government agencies to set up a solar power plant and supply 30 megawatts of electricity to the national grid from next year One agreement on the purchase of the electricity was signed with Bangladesh Power Development Board (BPDB) while another on constructing the power plant with the Power Division at Bidyut Bhaban in Dhaka The government will procure power on a ldquono electricity no payment basisrdquo for up to 20 years at $016 per kilowatt hour says a statement of ISPL a concern of Intraco Group ISPL is constructing the power plant in Gangachhara which is 17 kilometres away from Rangpur town The company hopes to start supplying the electricity within 13 months Process is underway to select engineering procurement and construction contractors from companies in countries such as Germany South Korea Malaysia India and China Infrastructure Development Company and local banks will bankroll the project Intraco Group Managing Director Mohammed Riyadh Ali Secretary to BPDB Mina Masud Uzzaman and Joint Secretary for Development at the Power Division Sheikh Faezul Amin signed the deals State Minister for Power Energy and Mineral Resources Nasrul Hamid Secretary to the Power Division Ahmad Kaikaus and BPDB Chairman Khaled Mahmood were present Intraco Group has businesses involving power energy hotel and tourism properties insurance amusement park oil tanker and telecommunication Source httpwwwthedailystarnetbusinessintraco-set-30mw-solar-power-plant-1455013

ADP SPENDING OFF TO A DECENT START The ministries and divisions put to use only 058 percent of their total outlay in the first month of the current fiscal year which is almost the same as in last year This years development budget was increased about 33 percent to Tk 164085 crore Of the sum Tk 952 crore was spent in the month of July up 3718 percent from the same month a year earlier ldquoThe ADP implementation this year is off to a satisfactory startrdquo said a planning ministry official The implementation would have been higher had there not been heavy rains and floods he added However the capacity to implement the annual development programme has shrunk over the years according to data The ADP size has progressively increased but not the spending capacity For instance in the first month of fiscal 2013-14 ADP spending was Tk 1239 crore which came down to Tk 1238 crore in fiscal 2014-15 and Tk 714 crore the year after From that perspective the ADP implementation snapped out of a declining trend this fiscal year Of the total outlay the governments own resource was Tk 95515 crore about 030 percent of which was spent in the first month A year earlier 011 percent of the governments own fund was used On the other hand the project aid implementation rate stood at 093 percent which was 149 percent during the same period a year earlier Some 15 large ministries and divisions got 8083 percent of the allocation this year But only four of them -- road transport division energy and mineral resources division power division and agriculture ministry -- spent higher than the average

Daily News Flash 28th August 2017

21

The road transport division spent 218 percent of its total allocation for the year energy and mineral resources division 276 percent power division 107 percent and agriculture ministry 091 percent The local government division spent 022 percent primary and mass education ministry 015 percent bridges division 012 percent railways ministry 010 percent shipping ministry 034 percent and information and communication technology division 008 percent Besides a number of the important ministries that got high allocations showed low performance The health ministry spent only Tk 36 lakh secondary and higher education division Tk 6 lakh and the housing and public works ministry Tk 20 lakh Among the 55 ministries and divisions 22 could not spend a single taka in the first month of fiscal 2017-18 The science and technology ministry which has the huge Rooppur nuclear power project in implementation could not spend a single taka in July The water resources ministrys performance was similarly dismal Source httpwwwthedailystarnetbusinessadp-spending-decent-start-1455007

CLEANER PRODUCTION CAN CUT ENERGY USE BY 25PC DCCI Bangladesh will be able to reduce energy consumption by 25 percent and wastage of resources by 15 percent if a cleaner and efficient production system is introduced in the industrial sector leaders of Dhaka chamber said yesterday As the cost of energy will increase in the future Bangladesh has to be energy efficient to remain competitive said Akber Hakim a director of Dhaka Chamber of Commerce and Industry (DCCI) while presenting the keynote at a discussion The discussion on ldquoresource efficient cleaner production and its benefits for metal industriesrdquo was organised by the DCCI and Metabuild Bangladesh a European Union-funded project at the chambers office Hakim said there is a scarcity of primary energy in Bangladesh although the country needs it in multiple industries such as textile garment metal cement plastic goods ceramic fertiliser and power generation Efficient use of energy helps businesses become more competitive encouraging optimum cost of doing business and ensuring energy security he said The ldquoresource efficient cleaner production (RECP)rdquo initiative is a proven approach in many Asian and European countries in achieving industrial efficiency said Hakim RECP is a strategy in tune with sustainable development for processes products and services to increase efficiency and reduce both costs and risks to humans and the environment It makes use of modern machinery and tools to make the optimum and productive use of natural resources prevent generation of waste and emission improve management and use of chemicals and minimise risks Metabuild Bangladesh Project Manager ASM Asaduzzaman Patwary said energy security and efficiency were critical challenges for Bangladesh Industrialisation in Bangladesh cannot progress and facilitate the expected economic growth without uninterrupted energy supply in the future he said Considering its limited energy resource Bangladesh can adopt the RECP initiative which is a holistic approach to enhance environmental performance of industrial enterprises by reducing wastages of resources at the source he added Source httpwwwthedailystarnetbusinesscleaner-production-can-cut-energy-use-25pc-dcci-1455004

Daily News Flash 28th August 2017

22

১ ১

৫০

( )

lsquo rsquo

( ) ৩৪ ২০১৫

( )

( )

৫

Source httpbonikbartanetbanglanews2017-08-28129399 -১- - - - - --

( ) ২০০

-

( ) ৬১০

- ২০০

-

১০

২০০

১৩৫

৬০ ৫

২০১৫ ৩১

Daily News Flash 28th August 2017

23

১ ৪৩ ৫৮ ২০০৬ ৩০

৫৬৯ ২৭ ২০১৫ - ২৬ ৪৬ ২১ ৮১

২০১৫ ৩১ ( ) ৩ ৬৩ ২০১৬ ৩০

২ ১৪ ২০১৬ ৩০ ( ) ৩০ ৬

৫০০ ২০১৬ ৩০ ১৪৭ ৭৪

১১২ ২৫ ৭৩৫ ৩০

Source httpbonikbartanetbanglanews2017-08-28129372 - - - - -

( )

( )

-২ ৯৮ ৭৪

( - )

( ) ১৬ ৩৩

৩১

( ) ৫১ ১৫৫

( )

১৪৭ ৪০

১০ ২ ২০

২০১৬ ৩০ ২৪ ৬০ ৮০ -

( ) ২ ৫

২০১৬ ( )

২৩ ৩৫ ৪০ ১৭ ২২ -

১ ৯৫ ৩১ ( ) ১৭ ৬৭

Source httpbonikbartanetbanglanews2017-08-28129370 - - - - - -

৪৫০

( ) -

৬১০

১০

lsquo - rsquo

lsquo rsquo lsquo - rsquo

Daily News Flash 28th August 2017

24

( ) ( - )

( ) ৮৭ ১ ৪ ৩০ ( )

১৬ ৭০

৩১ ২০১৬ ৫ ৫

২ ৮ ১ ২৬ ২০১৫ ৩১

১০

২০০৮ ১ ৭১২ ৮১ ৮০

৩৬৩ ১৭ ৩২ ২ - ১৫ ৪১

৪ ৯৫ ৪৭ ৪৩

১৩ ৮০ ১৬ ৯০ ৮

৮০

Source httpbonikbartanetbanglanews2017-08-28129369 - - - - - ---

( )

৬২ ৮৫

৩১ ২০১৬ ১৬

( ) ২ ১৩ ২ ১১ ৩১ ( )

২৪ ৫৭

( - )

৮৫ ৩১ ৩০ ২৩ ৭৬

২০১৫ ৩১ ১৫ ২০১৪ ১৫

lsquo rsquo lsquo - rsquo -

( )

( ) lsquo rsquo

২৬ ৯০ ১৪ ৬০

২৬

- ( ) ১২ ১৬

১৫ ২৪

Source httpbonikbartanetbanglanews2017-08-27129312 - - - -

৪৫০

( ) - ৭

৬১০

৪৫০ - ৭

- - - ৭ -

Daily News Flash 28th August 2017

25

১০

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5377

১৮ ( ) ১৮১১

৭ ১০

৬ ১৬ ১ ৫০ ৪১

২০৯ ৫৬ ২৫ ৭

৬০ ২৬ ৭৮৬ ৪০ ৩৫

২১ ৯ ৩৭ ৫১০

৬০ ৯০ ১৪ ৪২৩ ৩৯

৩৫ ১৫ ৬২ ৪৯৭

( )

৩১ ২০১৫ ( ) ৩ ১৬

২১ ৯৮ ৫ ২ ৫২

৩০ ২০১৬ (৬ ) ১ ৬৮ ২৩ ৬৬

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5375

-

( - ) -

-

২৪ ৯০ ৬৮

৫১ ৩৪

৫৫ ১৫

৮৫ ৩৫

৫৩ ৩৪

৪৫ ৪৮ ২০

১০

২৫ ৬১ ২২ ৫১

- - ২৪

- ১২ ১৩ ১৫ ৩৭

-

২০১৪-১৫ ( ৩৪ ৩২ ) -

৩১ ৩০

১৫ ১০

Daily News Flash 28th August 2017

23

১ ৪৩ ৫৮ ২০০৬ ৩০

৫৬৯ ২৭ ২০১৫ - ২৬ ৪৬ ২১ ৮১

২০১৫ ৩১ ( ) ৩ ৬৩ ২০১৬ ৩০

২ ১৪ ২০১৬ ৩০ ( ) ৩০ ৬

৫০০ ২০১৬ ৩০ ১৪৭ ৭৪

১১২ ২৫ ৭৩৫ ৩০

Source httpbonikbartanetbanglanews2017-08-28129372 - - - - -

( )

( )

-২ ৯৮ ৭৪

( - )

( ) ১৬ ৩৩

৩১

( ) ৫১ ১৫৫

( )

১৪৭ ৪০

১০ ২ ২০

২০১৬ ৩০ ২৪ ৬০ ৮০ -

( ) ২ ৫

২০১৬ ( )

২৩ ৩৫ ৪০ ১৭ ২২ -

১ ৯৫ ৩১ ( ) ১৭ ৬৭

Source httpbonikbartanetbanglanews2017-08-28129370 - - - - - -

৪৫০

( ) -

৬১০

১০

lsquo - rsquo

lsquo rsquo lsquo - rsquo

Daily News Flash 28th August 2017

24

( ) ( - )

( ) ৮৭ ১ ৪ ৩০ ( )

১৬ ৭০

৩১ ২০১৬ ৫ ৫

২ ৮ ১ ২৬ ২০১৫ ৩১

১০

২০০৮ ১ ৭১২ ৮১ ৮০

৩৬৩ ১৭ ৩২ ২ - ১৫ ৪১

৪ ৯৫ ৪৭ ৪৩

১৩ ৮০ ১৬ ৯০ ৮

৮০

Source httpbonikbartanetbanglanews2017-08-28129369 - - - - - ---

( )

৬২ ৮৫

৩১ ২০১৬ ১৬

( ) ২ ১৩ ২ ১১ ৩১ ( )

২৪ ৫৭

( - )

৮৫ ৩১ ৩০ ২৩ ৭৬

২০১৫ ৩১ ১৫ ২০১৪ ১৫

lsquo rsquo lsquo - rsquo -

( )

( ) lsquo rsquo

২৬ ৯০ ১৪ ৬০

২৬

- ( ) ১২ ১৬

১৫ ২৪

Source httpbonikbartanetbanglanews2017-08-27129312 - - - -

৪৫০

( ) - ৭

৬১০

৪৫০ - ৭

- - - ৭ -

Daily News Flash 28th August 2017

25

১০

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5377

১৮ ( ) ১৮১১

৭ ১০

৬ ১৬ ১ ৫০ ৪১

২০৯ ৫৬ ২৫ ৭

৬০ ২৬ ৭৮৬ ৪০ ৩৫

২১ ৯ ৩৭ ৫১০

৬০ ৯০ ১৪ ৪২৩ ৩৯

৩৫ ১৫ ৬২ ৪৯৭

( )

৩১ ২০১৫ ( ) ৩ ১৬

২১ ৯৮ ৫ ২ ৫২

৩০ ২০১৬ (৬ ) ১ ৬৮ ২৩ ৬৬

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5375

-

( - ) -

-

২৪ ৯০ ৬৮

৫১ ৩৪

৫৫ ১৫

৮৫ ৩৫

৫৩ ৩৪

৪৫ ৪৮ ২০

১০

২৫ ৬১ ২২ ৫১

- - ২৪

- ১২ ১৩ ১৫ ৩৭

-

২০১৪-১৫ ( ৩৪ ৩২ ) -

৩১ ৩০

১৫ ১০

Daily News Flash 28th August 2017

24

( ) ( - )

( ) ৮৭ ১ ৪ ৩০ ( )

১৬ ৭০

৩১ ২০১৬ ৫ ৫

২ ৮ ১ ২৬ ২০১৫ ৩১

১০

২০০৮ ১ ৭১২ ৮১ ৮০

৩৬৩ ১৭ ৩২ ২ - ১৫ ৪১

৪ ৯৫ ৪৭ ৪৩

১৩ ৮০ ১৬ ৯০ ৮

৮০

Source httpbonikbartanetbanglanews2017-08-28129369 - - - - - ---

( )

৬২ ৮৫

৩১ ২০১৬ ১৬

( ) ২ ১৩ ২ ১১ ৩১ ( )

২৪ ৫৭

( - )

৮৫ ৩১ ৩০ ২৩ ৭৬

২০১৫ ৩১ ১৫ ২০১৪ ১৫

lsquo rsquo lsquo - rsquo -

( )

( ) lsquo rsquo

২৬ ৯০ ১৪ ৬০

২৬

- ( ) ১২ ১৬

১৫ ২৪

Source httpbonikbartanetbanglanews2017-08-27129312 - - - -

৪৫০

( ) - ৭

৬১০

৪৫০ - ৭

- - - ৭ -

Daily News Flash 28th August 2017

25

১০

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5377

১৮ ( ) ১৮১১

৭ ১০

৬ ১৬ ১ ৫০ ৪১

২০৯ ৫৬ ২৫ ৭

৬০ ২৬ ৭৮৬ ৪০ ৩৫

২১ ৯ ৩৭ ৫১০

৬০ ৯০ ১৪ ৪২৩ ৩৯

৩৫ ১৫ ৬২ ৪৯৭

( )

৩১ ২০১৫ ( ) ৩ ১৬

২১ ৯৮ ৫ ২ ৫২

৩০ ২০১৬ (৬ ) ১ ৬৮ ২৩ ৬৬

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5375

-

( - ) -

-

২৪ ৯০ ৬৮

৫১ ৩৪

৫৫ ১৫

৮৫ ৩৫

৫৩ ৩৪

৪৫ ৪৮ ২০

১০

২৫ ৬১ ২২ ৫১

- - ২৪

- ১২ ১৩ ১৫ ৩৭

-

২০১৪-১৫ ( ৩৪ ৩২ ) -

৩১ ৩০

১৫ ১০

Daily News Flash 28th August 2017

25

১০

Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5377

১৮ ( ) ১৮১১

৭ ১০

৬ ১৬ ১ ৫০ ৪১

২০৯ ৫৬ ২৫ ৭

৬০ ২৬ ৭৮৬ ৪০ ৩৫

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Source httpsharenews24comindexphppage=detailsampnc=1ampnews_id=5375

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Daily News Flash 28th August 2017

26

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Source httpsharebiznet - - -

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Source httpwwwsharebazarnewscomarchives85588

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২০১৬ ২০১৭ ( ) ১৪৬২

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৯ ( ) ১৮০ ৭২০

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Daily News Flash 28th August 2017

27

Source httpwwwsharebazarnewscomarchives85619

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Source httpwwwsharenews24comindexphppage=detailsampnc=1ampnews_id=5368

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Daily News Flash 28th August 2017

28

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Source httpwwwkalerkanthocomprint-editionindustry-business20170828536959

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Source httpwwwprothom-alocomeconomyarticle1305386

Daily News Flash 28th August 2017

29

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Source httpwwwarthosuchakcomarchives367367