PM Hasina announces Tk 5,000 crore stimulus package for industries

[Michael Corleone]

That would depend on if the virus is proven to have originated from China(highly likely), but more importantly whether there was a cover-up that delayed the chance to contain the virus within China.

If the above 2 are true then things will be really really bad for China. Virtually the whole world will be united in total condemnation of China for one of the most irresponsible acts by any nation in modern human history.

Being fair on the Chinese, at least they are going all out to help the most affected countries by sending experts and equipment, and also donating medical supplies all over the world. This may be PR to deflect criticism from them but vital help to the world nonetheless as only they have the medical expertise and production capacity to make the vital difference in the fight against the current pandemic.

Forget the monetary compensation but if they can provide enough equipments and workforce to highly effected countries and ban exotic animal consumption, I’m sure most of the world population will be ok

 

[UKBengali]

Forget the monetary compensation but if they can provide enough equipments and workforce to highly effected countries and ban exotic animal consumption, I’m sure most of the world population will be ok

They have already banned consumption of "exotic" animals and this time it will be permanent unlike last time.

If it was China that caused this then they will have to make lots of efforts to placate the rest of the world and this can come in various forms like investments and market access etc. Monetary compensation will be problematic and so cannot see this being likely.

 

[Arthur]

China & it's fetish for wild animal trading is incurable. It's deep ingrained in their culture, tradition.

What baffles me is how can a bat even be considered as "exotic"!!!

 

[Michael Corleone]

They have already banned consumption of "exotic" animals and this time it will be permanent unlike last time.

If it was China that caused this then they will have to make lots of efforts to placate the rest of the world and this can come in various forms like investments and market access etc. Monetary compensation will be problematic and so cannot see this being likely.

Trust me once everything dies down, exotic animal farming groups will be back lobbying to relax just like during and after SARS... they’ll need a strong legislative against it

 

[Nilgiri]

This clearly accentuates the financial muscle we now have to feed our people for months inspite the economy coming to a halt.

That remains to be seen. This is chump change, even for a low base LDC. Not surprising given its horrid inflated GDP and thus very low tax collection + actual GFCF rate....evidenced by its very low input consumption of base tier things like energy and raw materials.

Don't forget that we have $40+ billion as reserves. If needed, we can always take $2-3 billion out of it and continue the funding in the crisis. No problem whatsoever.

Where did you come up with the 40 billion amount? Last I checked BD was hovering around 32 billion forex and looks set to drop well below it now.

You will have to explain what you mean in the 2nd part. What mechanism would do this? BD people buy+sell in Taka correct? There are vast pools of BDT sitting outside to bring home by a USD sale there?

Or you talking about importing goods related to dealing with the crisis? Thats going to be a premium given the world demand (and lot of export bans of such products increasing) you have to compete with that "forex". Neither is that a support/stimulus package for economic effects.

There is just 30 billion market cap in BD now to leverage too. While the sheep in this echo chamber blab about her greatness and "delivery"....her govt + "institutions" utter clumsiness cooly and quickly wiped off 40 billion there in just a year (for reasons still not covered by the BD controlled echo chamber media, forget illiterate forumers). The hallmarks of a well run, investment grade country indeed.

Then some unemployed "UK" bricklane-ghetto guy in this forum says theres is immense fiscal room in BD everywhere he can blab it. Man someone get that guy a BBS job.

 

[Al-zakir]

PM announces Tk 5,000 crore stimulus package for industries

https://www.bssnews.net/?p=367191


DHAKA, March 25, 2020 (BSS) – Prime Minister Sheikh Hasina today announced a stimulus package of Taka 5,000 crore for export-oriented industries to fight the impact of coronavirus on the country’s economy.

“I’m declaring a stimulus package of Tk 5,000 crore for export-oriented industries which could only be used for paying salaries and allowances of their workers and employees,” she said in her nationwide address on the eve of the Independence and National Day 2020 this evening.

The premier pointed out that the Bangladesh Bank has already taken some business-friendly initiatives in the country. “The central bank has announced not to declare any client loan defaulter by till June this year,” she said.

Sheikh Hasina said the deadline of collecting income from export has been extended to six months from two months. “Similarly, timeframe of meeting up import expenditure has also been extended to six months from four months,” she said.

The prime minister said the limit of monetary transaction through mobile banking has also been increased.

“Time limit of paying electricity, water and gas bills has been extended till June without surcharges or fines, while payment of installments of NGO loans has been suspended temporarily,” she said.

Meanwhile, President of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Dr Rubana Haque expressed heartfelt gratitude to the prime minister for declaring the Tk 5,000 crore stimulus package for the export-oriented industries.

In a video message, Dr Rubana said the readymade garment (RMG) industries are going through a tough time, and lakhs of their workers are facing risk (of losing job) due to the outbreak of novel coronavirus across the globe, including Bangladesh.

“But honourable Prime Minister Sheikh Hasina’s timely announcement of Tk 5,000 crore package for paying salaries and allowances of the workers and employees of the industries will save their lives,” she said.

“For this, our entire industrial sector, including export-oriented industries, express heartfelt gratitude to the prime minister,” the BGMEA president added.

How about regular folks? How are they going to earn living under this circumstances?

Why Hasina dress like machni? @Atlas

 

[Nike]

That remains to be seen. This is chump change, even for a low base LDC. Not surprising given its horrid inflated GDP and thus very low tax collection + actual GFCF rate....evidenced by its very low input consumption of base tier things like energy and raw materials.



Where did you come up with the 40 billion amount? Last I checked BD was hovering around 32 billion forex and looks set to drop well below it now.

You will have to explain what you mean in the 2nd part. What mechanism would do this? BD people buy+sell in Taka correct? There are vast pools of BDT sitting outside to bring home by a USD sale there?

Or you talking about importing goods related to dealing with the crisis? Thats going to be a premium given the world demand (and lot of export bans of such products increasing) you have to compete with that "forex". Neither is that a support/stimulus package for economic effects.

There is just 30 billion market cap in BD now to leverage too. While the sheep in this echo chamber blab about her greatness and "delivery"....her govt + "institutions" utter clumsiness cooly and quickly wiped off 40 billion there in just a year (for reasons still not covered by the BD controlled echo chamber media, forget illiterate forumers). The hallmarks of a well run, investment grade country indeed.

Then some unemployed "UK" bricklane-ghetto guy in this forum says theres is immense fiscal room in BD everywhere he can blab it. Man someone get that guy a BBS job.

600 million US dollar is never enough to stimuli economy of 160 + people

 

[Nilgiri]

600 million US dollar is never enough to stimuli economy of 160 + people

Yah like I said remains to be seen what the actual final support BD can do (I would assume this is just a part 1 thing), its barely doing any testing of its population anyway.

600 mil is like 4 bucks per person...

But no worries, they can just dip into the "forex reserves" just like that! Its the magical piggy bank account, cha ching....dont ask what its composition and liabilities (and actual initial purpose) are.

 

[Nike]

Yah like I said remains to be seen what the actual final support BD can do (I would assume this is just a part 1 thing), its barely doing any testing of its population anyway.

600 mil is like 4 bucks per person...

But no worries, they can just dip into the "forex reserves" just like that! Its the magical piggy bank account, cha ching....dont ask what its composition and liabilities (and actual initial purpose) are.

In my country, there is billion US dollar had been spent on Corona virus pandemic war, government ordered garment and equipments factory to produce safety equipments gear and health support equipments to be distribute accross the country, ordered at least 500,000 test kits from various country for initial batch, i am afraid there is resurgence in number for months ahead, we need to spend hundred billion us dollar to save our economy in the aftermath of pandemic. Singapore is in recession right now and their government had released 37 billing US dollar saving package to trying saving their economy, US government had released trillion us dollar proposal to save the economy for future recession. 600 million us dollar is just measly amount, and to begin with Corona outbreak in Bangladesh is at initial stages, and their data is much more doubtfull because lack of intensity test and MSCT thorax scanning for suspect carrier...

 

[EasyNow]

Yah like I said remains to be seen what the actual final support BD can do (I would assume this is just a part 1 thing), its barely doing any testing of its population anyway.

600 mil is like 4 bucks per person...

But no worries, they can just dip into the "forex reserves" just like that! Its the magical piggy bank account, cha ching....dont ask what its composition and liabilities (and actual initial purpose) are.

Your logic is terrible. This is obviously not for every member of the population, it's for the lowest wage workers -particularly in the garment industry. Considering minimum wage for garment workers is 95 usd per month, I think $600m will go very far indeed. And if it doesn't, there is more available.

 

[Nilgiri]

This is obviously not for every member of the population, it's for the lowest wage workers -particularly in the garment industry.

I get that buddy. I am just talking per-capita front for every country as overall impact rule of thumb.

Every country targets certain sections of population internally as they want to/desire to/debate to. The 23 billion immediate package India announced for example is obviously mostly going to PDS system where its weighted by the median avg household rather than mean (latter gets inflated by 1% top wealth).

I am just talking about the frontier available to harness support packages to deploy, its not good for BD.

You can see for yourself with time, just like what I said about BD market cap, forex reserves, industry claims and debt servicing issues cpl years back...materialising in the macro (non BBS/BAL controlled numbers) well before this corona thing started.

So just give it time to play out again, this stuff is just getting started (Esp in developing world)....we will see.

Please read the post Nike just made, its quite good.

 

[EasyNow]

I get that buddy. I am just talking per-capita front for every country as overall impact rule of thumb.

Every country targets certain sections of population internally as they want to/desire to/debate to. The 23 billion immediate package India announced for example is obviously mostly going to PDS system where its weighted by the median avg household rather than mean (latter gets inflated by 1% top wealth).

I am just talking about the frontier available to harness support packages to deploy, its not good for BD.

You can see for yourself with time, just like what I said about BD market cap, forex reserves, industry claims and debt servicing issues cpl years back...materialising in the macro (non BBS/BAL controlled numbers) well before this corona thing started.

So just give it time to play out again, this stuff is just getting started (Esp in developing world)....we will see.

Please read the post Nike just made, its quite good.

I might take your input seriously if you weren't a full time troll in the BD section. And sorry, none of your words have materialised - while India's financial fakery has imploded. That country has true structural financial problems.

The default of big banks is just the beginning, your regulators are corrupt as are your legislators. The majority of your corporates are fudging the figures, companies with no real equity and no actual value with bank loans which their CEOs have sucked dry behind the scenes. India's entire corporate culture is one big Ponzi scheme and a straight up exercise in mortgage fraud.

Regarding this package, In BD, almost none of the rural population depend on a salary - which is a big proportion of the country. Elsewhere , those who have a govt salary will still get paid, those who work for large companies will still get paid. That leaves small businesses and their employees - and this is what this and any future package will target.

I'm sorry to say, despite all your doom mongering, real world changes in BD seem to show that you've wasted your breath the last few years.

 

[Nike]

I get that buddy. I am just talking per-capita front for every country as overall impact rule of thumb.

Every country targets certain sections of population internally as they want to/desire to/debate to. The 23 billion immediate package India announced for example is obviously mostly going to PDS system where its weighted by the median avg household rather than mean (latter gets inflated by 1% top wealth).

I am just talking about the frontier available to harness support packages to deploy, its not good for BD.

You can see for yourself with time, just like what I said about BD market cap, forex reserves, industry claims and debt servicing issues cpl years back...materialising in the macro (non BBS/BAL controlled numbers) well before this corona thing started.

So just give it time to play out again, this stuff is just getting started (Esp in developing world)....we will see.

Please read the post Nike just made, its quite good.

Today, English just got hit with 115 death cases related to Covid 19 in single day. This pandemic just get starting to run south elsewhere and the whole world must be ready for the impact as it will going on for months long. This easily the worst news in decade!!!

I might take your input seriously if you weren't a full time troll in the BD section. And sorry, none of your words have materialised - while India's financial fakery has imploded. That country has true structural financial problems.

The default of big banks is just the beginning, your regulators are corrupt as are your legislators. The majority of your corporates are fudging the figures, companies with no real equity and no actual value with bank loans which their CEOs have sucked dry behind the scenes. India's entire corporate culture is one big Ponzi scheme and a straight up exercise in mortgage fraud.

Regarding this package, In BD, almost none of the rural population depend on a salary - which is a big proportion of the country. Elsewhere , those who have a govt salary will still get paid, those who work for large companies will still get paid. That leaves small businesses and their employees - and this is what this and any future package will target.

I'm sorry to say, despite all your doom mongering, real world changes in BD seem to show that you've wasted your breath the last few years.

As far as i know the one got impact the most is the ones who depend themselves on day to day work like informal sector (grab driver, small hawker, daily construction worker and so on) as the prohibition to made gathering in public will hit them hard, very hard, and worker in garments industry as China still on recovery process, most of raw industrial materiel is still being on hold and most geared toward production of health related equipments , meanwhile Western Europe, South Korean and Japan as consument still being hit hard economically, US is embraced for the possible recession and first during Trump era.

 

[BL33D]

I get that buddy. I am just talking per-capita front for every country as overall impact rule of thumb.

Every country targets certain sections of population internally as they want to/desire to/debate to. The 23 billion immediate package India announced for example is obviously mostly going to PDS system where its weighted by the median avg household rather than mean (latter gets inflated by 1% top wealth).

I am just talking about the frontier available to harness support packages to deploy, its not good for BD.

You can see for yourself with time, just like what I said about BD market cap, forex reserves, industry claims and debt servicing issues cpl years back...materialising in the macro (non BBS/BAL controlled numbers) well before this corona thing started.

So just give it time to play out again, this stuff is just getting started (Esp in developing world)....we will see.

Please read the post Nike just made, its quite good.

It was good that we had been following some fiscal restraint and therefore had a lot of space to get this package. We still have space for more bailout package. The oil price has certainly helped us. And RBI has been able to stop the free-fall of rupee by selling dollars - thanks to the growing forex we had. The package FM announced was quite good and aimed at the most important and vulnerable section of society. Properly implemented, it will be a relief.

1. PM Gareeb Kalyan Scheme will entail Rs 1.7 lakh crore.
2. It will include both cash transfer and food security.
3. Provide insurance cover worth Rs 50 lakh for sanitation workers, ASHA workers, doctors, nurses, paramedics in case they need it as they are on the frontlines of the corona battle.
4. Over and above 5kg of rice/wheat that is already given, another 5 kg per person will be given free to around 80 crore people through PDS. Besides, one kg of preferred and region specific choice of pulse will also be given.

Direct cash transfer through DBT

1. Farmers: First instalment of Rs 2,000 of PM Kisan will be given in first week of April. 8.69 cr farmers will get immediate benefit out of it.
2. MNREGA: Increase in wage rate from Rs 182 to Rs 202 amounting to increase of Rs 2000 per worker leading to benefitting 5 crore people.
3. Old age/widows: An ex-gratia amount of Rs 1,000 for next three months available in two instalments. It will benefit 3 crore widows and senior citizens.
4. Women Jan Dhan account holders: Ex gratia of Rs 500 per month for next three months. This will benefit 20 crore women.
5. Women Ujjawala sheme beneficiaries: For three months, free cylinders. Will benefit 8.3 crore BPL families.
6. Women Self Help Groups: Under the Deen Dayal National Livelihood Mission, collateral free loan will be given up to Rs 20 lakh from Rs 10 lakh earlier. Impact on 7 crore holders through 63 lakh SHGs.
7. Organised sector: Government of India will pay the EPF contribution both of the employer and the employee put together 24% for next three months. This is for those establishments with up to 100 employees, 90% of them earning less than Rs 15,000.
8. For organised sector, EPFO regulation will be amended so that workers can draw up to 75% for their contingency expenditure non-refundable advance or three months of wages in advance whichever is less. This will benefit 4.8 cr workers.
9. Construction workers: State government have been directed to use the welfare fund for building & construction labourers which has around Rs 31,000 crore to help those who are facing economic disruption because of the lockdown.
10. Utilise the funds available under the district mineral fund for testing activities, medical screening, providing health attention needed to fight the coronavirus pandemic.

It is expected that another relief package for the industry will come up soon. The Confederation of Indian Industry (CII) lobby group, had sought a stimulus of about 1% of the GDP or Rs 2 lakh crore, has sought a three-month moratorium on all loans and said all repayment obligations should be suspended for this period.

 

[EasyNow]

Today, English just got hit with 115 death cases related to Covid 19 in single day. This pandemic just get starting to run south elsewhere and the whole world must be ready for the impact as it will going on for months long. This easily the worst news in decade!!!



As far as i know the one got impact the most is the ones who depend themselves on day to day work like informal sector (grab driver, small hawker, daily construction worker and so on) as the prohibition to made gathering in public will hit them hard, very hard, and worker in garments industry as China still on recovery process, most of raw industrial materiel is still being on hold and most geared toward production of health related equipments , meanwhile Western Europe, South Korean and Japan as consument still being hit hard economically, US is embraced for the possible recession and first during Trump era.

The UK has announced a £12b economic package. A £500m stimulus package for an economy that is one 25th of the size of UK economy sounds about right.

Also private welfare in BD is excellent, most of the people in lockdown are going back to their villages. In the village there is shelter, social distancing is better and even the poorest can avail of food.

The virus' impact is hard to predict, and if it gets widespread there are not enough ventilators to help people. So an early lockdown with a decent stimulus package seems like the right move.