Bangladesh Economy: News & Updates

[eastwatch]

At least Singapore society is more civilized comparing to the societies of S. Arabia, where maids are subjected to regular tortures. BD govt should pursue the matter with the govt of Singapore. Houses there seek maids because the housewives also go after their carreer. So, naturally the live-in maids are needed to look after the children, shopping and cooking.

Our women are capable to do all these chores, except that they need a kind of training before they are hired because Singapore society is different from ours.

 

[TopCat]

^^^^^^^^^^
Now a days manpower office dont allow any woman to go abroad without going through a month long training which covers laguage, culture, safety and how to seek help from embassies if they were subject to sexual abuses.

 

[British_Bangladeshi]

anything exciting that BD is doing for the economy?

 

[Skies]

anything exciting that BD is doing for the economy?

Hmmm, Since AL regime is going on, so if you like Awami league then there are lots of exciting hopeful news. Everyday they are saying we will do it, we will do it, we will do it whether those are feasible or not.

According to AL - giving transit and port facility to India is the biggest economic opportunity for BD by which BD will become richer more and more quickly. It is assumed by AL and some other people (not everyone) that BD will get lots of US $$$$$ from it, but that does not matter whether other country-interests are badly affected or not, lol.

If AL can proof they were able to boost BD's economy before next election then they may win the next election. Otherwise, AL has zero possibility with its reduced popularity for many reasons. So wait and see up to next election which will proof whether today's AL-economy-dreams were true or false. But right now we can see that AL is desperately busy with unnecessary irritating changing names of dot dot dot and constitution along with showing either feasible or unfeasible economy dreams to the people of Bangladesh.


* By the way, few private companies are doing well by their own effort like Walton.

 

[bd_4_ever]

Country marks $2.66b surplus BoP

Country marked a US dollar 2.661 billion surplus Balance of Payment (BoP) during eleven months of last fiscal year from to july 09 May 10,2010 on a record jump in inflow of remittance and exports receipts, associated with rise in other heads of current transfers.

The BoP during same period of previous fiscal, 2008-09, registered a surplus of US dollar 1.393 billion, while the collection in the same head totaled at US dollar 2.427 billion from July 09 to April 10 last year, according to the figures of Bangladesh Bank.

The receipts of funds from current transfer during the said period of last fiscal recorded an increase to US dollar 10.667 billion against US dollar 9.278 billion in the corresponding period of previous fiscal.

Inflow of remittance was the major contributor to the current transfers as it shared US dollar 10.095 billion during the same period last year against US dollar 8.770 billion in the corresponding period of the previous fiscal.

Although the trade balance during the said eleven months was in disfavor of the country, the export earnings recorded a substantial rise, managing to escape froma negative growth due to global recession.

The receipts from exports of commodities totaled to US dollar 14.519 billion during the period on 2010 against US dollar 14.162 billion in same period of previous fiscal.

On the other hand, country made payments of US dollar 19.404 billion in eleven months of last fiscal rising from US dollar 18.888 billion from July 08 to May 09 in 2010, resulting to deficit of US dollar 4.885 billion in the overall external trade.

The deficit in external trade, however, was US dollar 4.726 billion during July 08 to May 09 last fiscal. The trade deficit during July 09 to April 10, last year was US dollar 4.501 billion, with export of US dollar 12.965 billion against imports of US dollar 17.466 billion.

The service sector recorded a deficit balance of US dollar 1.585 billion during eleven months of last fiscal, against deficit of US dollar 1.546 billion in the corresponding period of previous fiscal.

Of total services, country receipts of US dollar 1.741 billion during July 09 to April 10 2010, for external services against its payments of US dollar 3.326 billion made for taking services from foreigners. Capital accounts, including direct investment, portfolio investment and other investments, totaled to US dollar 291 million in eleven months of last fiscal against US dollar 277 million in from July 09 to April 10 but US dollar 409 million in eleven months of the previous fiscal.

Although foreign direct investment fell to US dollar 621 million in the said eleven months of last fiscal from US dollar 901 million of the same period of the previous fiscal, the position for other investment head managed to reduce deficit to US dollar 1.067 billion from US dollar 1.415 billion in the same period of the previous fiscal.

The New Nation - Internet Edition

 

[bd_4_ever]

RD Milk brings fortune for monga-hit people in Rangpur

RANGPUR, Aug 21: The Rangpur Dairy (RD) Milk processing factory at Boldipukur in Mithapukur Upazila of the district has provided solvency to hundreds of monga-hit poor in Rangpur.

These poor people are now rearing cows at home and selling milk to factory, first ever small private industry set up in the district after the commissioning of Jamuna Bridge.

Rangpur Dairy Milk undertook a laudable step earlier, to support the poor providing cows on easy terms to produce milk at home so that they might be benefited financially.

RD Milk Manager Ashraful Alam said, "We provided 400 cows among 350 families of Salaipur and Muradpur under Mithapukur Upazilla.

He said, "The company not only aims to do business but also wants to create a financially sound community in the process."

He said, "RD Milk has not donated the cows to the beneficiaries free of cost. They had to pay the purchase rate of the cows in exchange of supplying milk to the factories for a certain period. When the prices of the cows are completely realized, the authority would transfer ownership of the animals to them," he said.

Alam Miah at Muradpur in Mithapukur Upazilla who received two cows from RD Milk said that he paid the price of the cow to the company. He is now milking 30 litres out of which earning Tk 750 a day.

RD Milk Managing Director Foqueruzzaman said, the poor people of Rangpur as well as dairy farmers in the district are getting benefit from RD. He said the dairy farmers in Rangpur who were in utter frustration and were about to close their farms due to frequent loss even two years back are now getting profit by selling milk to RD Milk.

RD Milk has now been producing full cream milk through Ultra High Temperature (UHT) method. Only three companies in the country were producing full cream milk through UHT method. The companies include- PRAN, AKIZ and RD milk.

Now we are supplying the milk products to Dhaka and other parts of the country including the northern districts. At present, about 15000 litres of milk are being processed a day in the industry.

Foqueruzzaman told the FE, "We have a plan to turn RD Milk as one of the biggest milk processing industries of the country so that about 30,000 dairy farmers of Rangpur and its adjoining districts may get benefit."

He said the authority has completed preparation to produce RD Butter, RD Tea, and RD Sweets. He also expressed his dissatisfaction at the absence of gas supply through pipeline and adequate electricity in Rangpur.

The production cost will be reduced at least 50 per cent if there is gas supply. Power shortage often hampers production resulting in loss to the company, he added.

Regarding prospect of RD Milk, FBCCI Vice-President and former President of Rangpur Chamber of Commerce and Industry Mostafa Azad Choudhury said it is the first ever industry set up in Rangpur with the Equity Entrepreneur Fund (EEF) of Bangladesh Bank. He expressed the hope that RD Milk might help a lot in bringing socio-economic change in Rangpur.

RD Milk brings fortune for monga-hit people in Rangpur

 

[bd_4_ever]

Great to see that China is interested to learn from our experience

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Chinese minister in city to see anti-poverty programme

The Chinese minister for poverty alleviation and development, Fan Xiaojian, arrived here on Friday for a weeklong visit to get a first-hand impression of poverty alleviation and microcredit programmes in Bangladesh, according to an official of the foreign ministry.
Fan, who is director of the Poverty Alleviation Office of the Chinese State Council and has the rank of Cabinet minister, is scheduled to call on Prime Minister Sheikh Hasina on August 25, according to a Chinese Embassy official in Dhaka.
He will also call on foreign affairs minister Dipu Moni, agriculture minister Matia Chowdhury and LGRD and cooperatives minister Syed Ashraful Islam.
He will visit and inspect several grassroots-level programmes of the BRAC and the Grameen Bank.
Fan will leave Dhaka on August 26 for India.

Front Page

 

[eastwatch]

Summit Power-GE joint move to boost electricity generation

Summit Power-General Electric to Boost Electricity Generation
M Azizur Rahman

Summit Power Ltd, one of the country's fastest growing power generation companies, has partnered with global power giant General Electric (GE) to boost electricity generation by at least five times to 1,667 megawatts (mw) in next five years.

"We have signed a memorandum of understanding (MoU) with the US-based GE which has agreed to join us in our future combined cycle electricity generation projects," Summit Power Chairman Muhammed Aziz Khan told the FE in an exclusive interview.

He said the GE has committed to take up 20 per cent equity and provide technical support in Summit's combined cycle power generation ventures.

Summit Power, which has already emerged as the country's biggest private sector power generation company with current output of 350 mw, also received 'encouraging' signals from the Asian Development Bank (ADB) to help implement its upcoming power generation projects.

The Manila-based multilateral donor agency has recently issued a letter of intent (LoI) to be associated with Summit Power in its power generation ventures, said the top brass of Summit.

"We are also in talks with world's leading engineering, procurement and construction (EPC) contractors to engage them with Summit's future power generation projects," said Mr Khan.

He said that Summit is very well positioned to receive award of substantial number of electricity generation projects and is on right track to arrange necessary funds, adequate technology and sufficient manpower.

Summit Power has already been short listed by the Power Ministry for setting up several big power plant projects including Bibiyana 300 mw-450 mw combined cycle power plant (unit 1), Meghnaghhat dual fuel 300 mw-450 mw combined cycle power plant, Bibiyana 300 mw-450 mw combined cycle power plant (unit 2) and Bhola 150 mw-225 mw combined cycle power plant.

Bangladesh Power Development Board and the ministry has already qualified Summit primarily for installing these projects after scrutinising bids, experience and the company's commitment.

Awarding of these power plant projects would be completed within months.

It has also submitted bids for setting up three more power plants -Madanganj 150 mw-225 mw plant, Keraniganj 150 mw-225 mw plant and Jamalpur 100 mw power plant.

Evaluation of these projects would be completed soon.

The power ministry floated tenders for setting up these power plants in line with the government's commitment to add an additional 9,426 mw of electricity by 2015.

The government has already put the power generation activities on top of its priority lists and in line with its commitment to augment electricity generation in its election manifesto.

It has decided to come up with a number of new power plant projects to implement a mega plan to generate 20,000 mw of electricity by 2021.

"We will take part in all the future biddings for upcoming power plant projects to reach our electricity generation target," the Summit Power chairman said.

He said the company has concentrated on power generation business from the very outset and became the country's first successful private IPP and commissioned three small power plants at different locations totalling its generation capacity to only 33 mw in 2001.

As the outcome of its sincerity and dedication, Summit has boosted its overall electricity generation by over 10 times to 350 mw within the past nine years.

"Summit is now more organised than ever before," said Mr Khan.

The company posted 74 per cent rise in profit to Tk 5.60 billion in the first half of 2010, compared to the same period a year ago, strengthening its foothold in electricity generation.

The country is now reeling under an acute electricity crisis as the overall generation is hovering around 3,800 mw against the official demand by Power Development Board (PDB) of 5,200 mw.

At present only 40 per cent of the country's 160 million plus population have access to electricity.

Summit Power chairman believes that the country's overall electricity demand would exceed far more than what the government is currently stating once the remaining 60 per cent population come under electricity coverage.

 

[eastwatch]

Great to see that China is interested to learn from our experience

-------------------------------------------------------------------------------

Chinese minister in city to see anti-poverty programme

The Chinese minister for poverty alleviation and development, Fan Xiaojian, arrived here on Friday for a weeklong visit to get a first-hand impression of poverty alleviation and microcredit programmes in Bangladesh, according to an official of the foreign ministry.
Fan, who is director of the Poverty Alleviation Office of the Chinese State Council and has the rank of Cabinet minister, is scheduled to call on Prime Minister Sheikh Hasina on August 25, according to a Chinese Embassy official in Dhaka.
He will also call on foreign affairs minister Dipu Moni, agriculture minister Matia Chowdhury and LGRD and cooperatives minister Syed Ashraful Islam.
He will visit and inspect several grassroots-level programmes of the BRAC and the Grameen Bank.
Fan will leave Dhaka on August 26 for India.

Front Page

It seems that Mr. Fan, the Chinese minister, is in Bangladesh to know and learn about how BD NGOs like BRAC or Grameen Bank are trying to alleviate poverty in the country by extending micro-finance to our housewives living in the villages. Their activities have been accepted as a role model by many of the poor countries, as well as by a number of developed countries.

Bangladesh shows the way. Cheers.

 

[eastwatch]

Monday, August 16, 2010
Plan to build 3rd seaport at Kuakata
Jasim Uddin Khan

The government has started the groundwork for the country's third seaport at Kuakata aiming to improve the economic condition of the people in the region as well as to facilitate India, Nepal and Bhutan to transit goods.

A high-powered technical committee, headed by Captain S Arif Mahmood, member (marine and harbour), Chittagong port authority, visited Kuakata last month and primarily recommended the site for a port.

The committee submitted its report to the shipping ministry last week.

"The site is feasible as we observed from the surface,” Mahmood said on Tuesday, “We suggested that the government carry out a techno-economic feasibility study before going ahead with the construction."

Shipping Minister Sahjahan Khan on Wednesday said everything will be finalised based on the technical report, adding, "It'll be a small port initially.”

A seaport in Kuakata will make movement of goods more convenient than through the ports at Chittagong and Mongla, since it is positioned at the centre of the coast, the minister earlier said.

Chittagong port is the country's prime seaport that handles about 90 per cent maritime export-import trade with an average 10 per cent yearly growth. The Mongla port, the second largest seaport, handles the rest 10 per cent of the trade.

If all goes well, the construction of the port will begin by 2012 with an estimated cost of Tk 2500 crore that includes the construction cost of some 34 km link road, a shipping ministry official said.

The source of funding, however, is still unknown but the government is likely to approach foreign donors, said the official, who sought anonymity on the ground that it is too early to comment.

Under the transit agreements with India and Nepal, Bangladesh expects some five lakh containers a year from these two countries and possibly from Bhutan. Once in operation, the port will handle nearly half of these containers, he said.

The government move came following a meeting of the parliamentary standing committee on shipping ministry that suggested building a third seaport in Patuakhali region earlier this year.

State Minister for water resources Mahbubur Rahman, also a member of the committee, wrote a letter to the shipping ministry suggesting to undertake initiatives in this regard following the meeting.

The shipping minister then visited the proposed site on May 21 this year and said at a rally that the government is planning to build a seaport there.

It would be wise for the government to establish a third seaport in the Patuakhali region, Rahman, a lawmaker for Patuakhali-4 constituency, said in his letter to the shipping ministry.

It will help develop the economic condition of the people in this underdeveloped coastal area, the letter stated.

According to the government district portal, the total population in Patuakhali district is 15,37,137 mostly depending on agriculture, fishing and rearing livestock.

 

[eastwatch]

DHAKA UPBEAT ABOUT IRANIAN IPI OFFER
Petrobangla looks to project's benefits
M Azizur Rahman

The government would welcome the Iranian proposal of tagging Bangladesh with the proposed US$ 7.5 billion cross-border gas pipeline to meet its mounting natural gas requirements in industries and power plants, top officials said Sunday.

"We would be very happy to be a part of the proposed multi-country gas pipeline," state-owned Petrobangla chairman Dr Hossain Monsur told the FE.

He said it would be very useful for the country if it can bring energy-rich Iran's gas inside the border.

Joining the proposed Iran-Pakistan-India (IPI) gas pipeline would also help ease energy crisis of this region, said the Petrobangla chairman.

Bangladesh's Deputy Leader in Parliament Syeda Sajeda Chowdhury earlier said that the government should consider the proposal of the Iranian government to take their gas through the proposed pipeline.

She also informed parliament that a process is underway to bring gas from Iran to Kolkata, the main city of the Indian state of West Bengal bordering Bangladesh through the pipeline and it can be extended up to Bangladesh.

Iran recently proposed the energy-starved Bangladesh to get involved with the proposed cross-border gas pipeline.

The Iranian ambassador to Bangladesh sent a letter to this effect to the finance ministry's economic relations division (ERD) showing interest to involve Bangladesh along with two other South Asian countries in the much- talked-about multi-country gas pipeline.

An ERD official acknowledged to having such a letter from the Iranian envoy and said the letter has been forwarded to the energy ministry to look into the issue.

If established, the pipeline would be the first cross-border multi-country gas pipeline involving South Asian countries.

India, Myanmar and Bangladesh earlier agreed in principle to set up a tri-nation gas pipeline to carry Myanmar gas to India across Bangladesh territory.

Disagreements over multifarious issues of the countries concerned, however, stalled the progress of installing the tri-nation gas pipeline.

Officials said if Bangladesh joins with the IPI project, it might be renamed as IPIB pipeline project and its length might be extended by several hundred kilometres.

The first official agreement on the proposed pipeline project was signed in 1995 between Pakistan and Iran.

This agreement envisaged construction of a pipeline from South Pars gas field in Iran to Karachi in Pakistan.

Iran later made a proposal to extend the pipeline from Pakistan into India.

In February 1999, a similar preliminary agreement between Iran and India was also signed.

In February 2007, India and Pakistan agreed to pay Iran US$ 4.93 per million British thermal units, but details relating to price adjustment remained open to further negotiations over the project.

In April 2008, Iran also expressed interest to include China in the project.

In 2009, India withdrew from the project over pricing and security issues.

However, in March 2010 India urged Pakistan and Iran for trilateral talks on the proposed pipeline project.

In March 2010 Iran and Pakistan signed an agreement on the pipeline in Ankara.

In April, 2010, Iran announced that it has completed construction of 1,000 kilometres of the pipeline out of the 1,100 kilometres' portion on Iranian soil.

The proposed pipeline will be of 2,775 kilometres ((1,724 miles) in length up to the Indian part of Kolkata.

The natural gas is planned to be supplied from the South Pars field of Iran.

It is set to start from Asalouyeh and stretch over 1,100 kilometres through Iran.

In Pakistan, it is planned to pass through Baluchistan and Sindh.

In Khuzdar, a branch will stem out to Karachi, while the main pipeline will continue towards Multan.

From Multan, the pipeline may be expanded to Delhi and thereafter to Kolkata.

The initial capacity of the pipeline is set to be 22 billion cubic meters (bcm) of gas per year, which is expected to be raised later to 55 bcm annually.

The pipeline will have a diameter of 48 inches.

Several companies around the globe have shown interest to construct the pipeline which include Gazprom, BHP Billiton, National Iranian Gas Company, Petronas, and Total S.A..

A consortium consisting of Royal Dutch Shell, BG Group, Petronas and an Iranian business group have negotiated on exporting gas from South Pars to Pakistan.

GAIL from India has also been involved.

Bangladesh is eyeing joining the proposed multinational gas pipeline project to meet its soaring energy demand in future.

State-run Petrobangla projected the country would need a further 24 trillion cubic feet (Tcf) of gas and investment worth $7.7 billion in the next 16 years to maintain its 7 per cent economic growth rate.

At current consumption rate, the country's proven gas reserves of 8.39 Tcf gas will start drying up from 2011, and if proven and probable reserves of around 14.4 Tcf are taken together, the country's gas resources would be exhausted by 2015.

Bangladesh is currently facing a shortfall of 500 million cubic feet (mmcfd) of gas per day.

Petrobangla has stopped providing new gas connections to industries for over a year and suspended operation of four gas-guzzling fertiliser factories.

It is also rationing gas in industries and introduced staggered holidays there to cope with the mounting gas demand.

The country's compressed natural gas (CNG) stations are being kept shut for six hours a day to ease the mounting energy crunch.

 

[bd_4_ever]

It seems that Mr. Fan, the Chinese minister, is in Bangladesh to know and learn about how BD NGOs like BRAC or Grameen Bank are trying to alleviate poverty in the country by extending micro-finance to our housewives living in the villages. Their activities have been accepted as a role model by many of the poor countries, as well as by a number of developed countries.

Bangladesh shows the way. Cheers.

Exactly....and i am sure in the years to come other private investors or industrialists or i may say 'philanthropists' will come forward to give a helping hand to the remaining poor of our nation, hence uprooting poverty with efficiency....

Yes, Bangladesh shows the way....!


Cheers!!!

 

[eastwatch]

Cabinet approves Tk 140bln expressway | Bangladesh | bdnews24.com

CABINET APPROVES TK140 bln EXPRESSWAY
Mon, Aug 23rd, 2010

Dhaka, Aug 23 (bdnews24.com) – The cabinet has approved construction of an elevated expressway proposed by the communications ministry to address traffic congestion in the capital.

The two-year project worth Tk 140 billion was approved in a weekly meeting of the policymakers headed by prime minister Sheikh Hasina on Monday.

Following the meeting, her spokesperson Abul Kalam Azad told journalists of the decision.

Azad said, "Prime minister Sheikh Hasina wants to do away with the capital's traffic congestion. So the project was placed for approval at the meeting by the communications ministry on her order. The cabinet approved the proposed project."

International pre-qualification tenders were invited between Nov 19 and Nov 20 last year for the elevated expressway project under Public Private Partnership. Nine organisations took part in the bidding.

The evaluation committee led by Jamilur Reza Chowdhury has found four organisations eligible and recommended their final appointment as investors in the project.

The organisations are Italian-Thai Public Development Company Ltd, Sikder Real Estate - KCC JV, Gammon Infrastructure Projects Ltd - Bogus Travox Public SA Consortium and China Railway International Ltd.

The spokesperson said that the four-lane elevated expressway will stretch from Shahjalal International Airport and go all the way to Kutubkhali on the Dhaka-Chittagong highway.

It will go over Mahakhali, Tejgaon, Maghbazar, Khilgaon, Kamlapur, Gopalbag and Sayedabad. Later the expressway will be connected with the bypass road outside Dhaka.

The expressway will have exits and entry points at Kuril, Mahakhali, Manik Mia Avenue, Palashi and Maghbazar. It will later stretch all the way to Kachpur and Narayanganj.

Azad continued, "Most of the land in this project is government owned. The lands owned by the railway will be used in the construction. As a result the project will be completed speedily."

Other than this, the cabinet approved ratification of the SAARC trade agreement.

 

[eastwatch]

:: biz.bdnews24.com ::

Bangabandhu Airport proposed
Mon, Aug 23rd, 2010
Reazul Bashar
bdnews24.com correspondent

Dhaka, Aug 23 (bdnews24.com) :The civil aviation ministry has proposed formation of a cell to speed up the construction of Bangabandhu Sheikh Mujib International Airport.

A proposal concerning the issue has already been sent to prime minister Sheikh Hasina, civil aviation secretary Shafique Alam Mehedi told bdnews24.com on Monday.

"The cell will be formed as soon as the prime minister approves the proposal," he said.

Ministry officials preferring not to be named said that the civil aviation authorities were thinking of building the new airport close to Dhaka. It will be built on about 6,000 acres according to the sources.

The civil aviation has initially selected three sites ・two in Madhupur, Tangail and on in Mymensingh's Trishal. The airport will start operations with two runways at the beginning but there will be sufficient space to make a third one.

The budget for this airport, including expenses for constructing an elevated expressway between Dhaka and the airport and a monorail, has been estimated at about Tk 50 billion. If implemented, it will be the biggest project in the country.

Mehedi said, "The airport will be constructed on a BOT (Build Operate Transfer) basis. The government will only provide the land."

The construction is expected to be completed by 2013, he added.

In his budget speech, finance minister AMA Muhith had said that this new airport would have all the facilities to become the heart of all international fights.

Hazrat Shahjalal Airport, launched in 1980 in Kumitola, is a one-runway airport on 1737 acres, but according to a master plan, it was supposed to have two runways.

Many unapproved houses have been built around the airport standing in the way of building another runway. There is also considerable risk of running airport operations because of installations around the airport. The government knocked down 12 structures in 2005.

Officials close to the authorities also said that hundreds of buildings of Uttara and Nikunja will be enlisted as 'risky' if authorities initiate building the second runway at Shahjalal airport.

There are now three international and five domestic airports in the country. In addition, there are seven STAL ports (short take-off and landing).

 

[idune]

Its just approved without any indication from where 2 billion dollars will come from????

Monorail/subway (1.7 billion) what Japan govt proposing to fund is more in immediate need than this project.

Why this is not in economic thread???

Mod would you please move this to economic thread. Thanks
http://www.defence.pk/forums/bangladesh-defence/10487-bangladesh-economy-news-updates-54.html