The New Nation - Internet Edition

UNB, Dhaka

IMF Deputy Managing Director (DMD) Takatoshi Kato has assured Bangladesh of their active engagement in a fashion commensurate with the country strategy for economic growth.

“The Government of Bangladesh will seriously keep in view the urgent need to contain the rising inflationary trend through appropriate policies as the government finds appropriate," the IMF DMD hoped, in a meeting with Finance Adviser Dr Mirza Azizul Islam in Washington on Sunday.

The adviser had meetings with senior executives of the International Monetary Fund (IMF) and the World Bank on the sidelines of the IMF-WB annual meetings.

Kato expressed IMF's willingness to remain actively engaged with any suitable form that the government considers appropriate and offered strong support to the strategy for growth and poverty reduction.

Appreciating the government's commitment to ensure maintaining and sustaining macroeconomic growth, he gave the assurance in response to the Finance Adviser's call to support implementation of needed policy and institutional reforms.

Dr Aziz reaffirmed the government's commitment to maintain macro-economic stability and keep budget deficit within the level projected in this year's budget.

He said that through appropriate policies the government would address the emerging external shocks resulting mainly from escalation of prices of imported commodities especially those of petroleum products in the international market. "The policy mix to be adopted by the government, especially in the aftermath of the recent floods, will target to achieve the twin objectives of economic growth as well as the imperative need to contain inflation keeping in view the needs of the poor."

He expressed the commitment of the government to pursue its own development strategy and policies to effectively address internal and external constraints in a way consistent with its goals of maintaining macro-economic stability, accelerating economic growth and poverty reduction.

The Finance Adviser also had a meeting with World Bank vice president for South Asia Department Praful C Patel, taking stock of the existing assistance portfolio as well as the possible aid flows to Bangladesh during the remainder of the current fiscal year.

He informed the WB executive that the utilization of aid during this fiscal year has far exceeded all the previous records due to intensive efforts by the present government.

The assistance should be scaled up within the framework of CAS (Country Assistance Strategy) in the form of budget support rather than project related aid, he said.

Dr Aziz called for the scaled up aid inflows to pro-poor growth sectors such as agriculture, water resources management, infrastructure, education and heath. He briefly highlighted the ongoing reform agenda of the government cutting across both political and economic governance.

Patel expressed full support to the reform efforts of the present government and hoped these reforms would pave the way to scale up international assistance and more effective use of both internal and external resources to meet development needs of the country.

He assured the Finance Adviser that the World Bank would strengthen its engagement with government in implementation of government's own reform agenda.

He also reiterated the Work Bank's intention to support the sectors identified by the government in its own development strategy.

An agreement on Instant Cash Service was signed recently between Islami Bank Bangladesh Limited (IBBL) and Dollarco Exchange Company of Kuwait, says a press release. The signing ceremony was held at the Head Office of Dollarco Exchange Company in Kuwait. Md.Mahbub-ul-Alam, Senior Vice President of International Banking Wing of Islami Bank Bangladesh Limited and Khalid Sharif, General Manager and CEO of Dollarco Exchange Company of Kuwait signed the Agreement on behalf of their respective organizations.

Mominul Islam Patwary, Chairman Executive Committee of IBBL and Shaher AI Nawafale, Operation Manager of Dollarco Exchange Company were present in the function.After this arrangement, the recipients in Bangladesh will be able to receive the funds sent by expatriates in Kuwait from any Branch of Islami Bank Bangladesh Limited instantly without opening any account with the bank.

lslami Bank Bangladesh Limited has by now signed Instant Cash agreement with 26 exchange houses around the globe.Through different modernized technologies along with larger banking channel and internet facility Islami Bank Bangladesh Limited now ensures the reception of money sent by the expatriates to the recipients in a shorter period than before.

Staff Reporter

The soyabean oil price has increased yet another time in seven days of which there are no genuine reasons though the importers blame rise of price in the international market, adding, "It will not be a matter of surprise if the price touches taka 90 or more per liter in seven days."

In order to keep the soyabean price tolerable, government deleted 5 percent tariffs from the National Budget 2007-08 and hoped that the situation would improve. But instead thereof, price continued to mount from taka 72 to 84, which is not at all understandable. Meanwhile, the soyabean importers have also demanded removal of 15 percent VAT so that the price does not surge further. "We do not think that any deletion of VAT on the edible oil would be fruitful in the long run because trading in Bangladesh does not follow economics index," said a resident of Mohammadpur.

In truth, there is a big gap between the wholesale market and the retail market. The price of a thing sometimes becomes double when it reaches the retail market. One day, a retailer was selling small size of ruhit fish at taka 60 per kilo just 100 yards away from the wholesale where its price was taka 30 only. When asked, the fish vendor gave no reply as he had no reply.

The onion rice has already exceeded taka 60 per kilo, further rise of taka five after Eid. But there is no turmoil though nobody knows the end of its soaring journey. A consumer said, "I have asked my wife to halve the use of onion in order to stay within the monthly budget.But the measure might not be proved effective." Productions in the country being much lesser than the annual demand, consumers pay the price. The situation has gone worse with the banning of onion export to Bangladesh by India.

The consumers might face identical circumstances in case of rice also. India has banned rice export as well (in retaliation to hilsha fish export to India). A retailer on Sunday night was saying that the rice price would increase more as India had imposed ban on rice export to Bangladesh."

When he was reminded that the stock of rice with the government was sufficient to meet next ten months' emergent requirements, he nodded his head in disbelief. It is because people's sufferings do not move his heart to pity, as he understands profit only.

To quote prices of essentials is of no use if the concerned ministry does not take proper care. The move by the Para-military Bangladesh Rifles would have been more effective. In no loss of time, the Trading Corporation of Bangladesh and the Sena Kalyan Sangstha must be involved to water price inferno.

UNB, Dhaka

Bangladesh has welcomed the introduction of a bill in the US House of Representatives seeking to provide better market access of LDCs' apparel products to American market.

US Congressman Jim McDermott on Wednesday introduced the 'New Partnership for Development Act (NPDA) Bill' on market access of LDC manufactures.

Bangladesh, Cambodia and other LDCs from Asia will be able to increase their apparel export to the US market if the bill is passed by the House of Representatives and the Senate, and approved by the US President.

The bill was co-sponsored by nine Congressmen-Joseph Crowley, Phil English, Kendrick, Meek, Diane Watson, Jerry Weller, Earl Blumenauer, Adam Smith and Dan Burton.

Foreign Affairs Adviser Dr Iftekhar Ahmed Chowdhury thanked the US Congressmen for sponsoring the bill and hoped that its passage would open wide the doors for Bangladeshi garment export. Talking to media today (Monday), he said Bangladesh is one of those least developed countries that want to "move away from dependence on aid for development to development through trade." The Adviser said Bangladesh and other LDCs would be able to achieve wonders "if impediments to our trade are removed and we are given the preferential treatment that we deserve." He said: "Ii is our fond hope that it will receive widest possible bipartisan support from the Republicans and Democrats alike in the House of Representatives and in the Senate. If the bill is passed, Bangladesh will be able to increase its apparel export by 15 percent to the US market.

Dr Iftekhar Chowdhury said legislative actions on this type in all developed countries would help alleviate poverty and increase employment, not through charity or aid but by helping commerce and encouraging entrepreneurship. "Such actions would also be in consonance not just with the aspirations of the developing world but also with the wishes of the people of the developed nations," he added.

The Adviser said that as Chairman of the Group of Least Developed Countries, Bangladesh would work hard for greater market access for the products of these countries.

US apparel groups like AMTAC are opposing the NPDA bill saying that it would strike a blow on US apparel industry.

Iftekhar said Bangladesh would launch strong lobbying and increase diplomatic efforts in support of the bill.

Earlier, the United States provided such trade preferential treatment to poor countries of Africa.

Food safety is an alarming issue in Bangladesh. It is a direct threat to human health and most important concern for Government terms of ensuring the security of public health. In recent times several drives conducted by law enforcement agencies and active coverage by media, has brought to light the seriousness of this issue beyond ones belief. The use of various industrial color, preservatives, additives, indescriment use of pesticides, antibiotics etc, says a press release."

Above findings have come out from a day long seminar on "Meeting International standards for Food & Drug, A challenge for Bangladesh……LC/MS/Approach" holding at seminar room of IFST of BCSIR on Sunday.

Secretary of Fisheries & Live Stock S. Ataur Rahman and Secretary of Science & Technology S.M. Wahid-uzzaman were the chief guests at the seminar and said, "BCSIR needs to ensure the research activities which are more relevant to protect chemical pollution in food and drug through the modern technologies."

The seminar was presided over by the Chairman of BCSIR Prof. Dr. Choudhury Mahmood Hasan. He 'said that "The people especially related to food export are coordially invited to BCSIR for getting international standards in exporting food item by support of expert scientists and modern technologies of BCSIRH.

Markus Mickel and Uwe Vollkopf representatives of' applied Biosystem of Germany were the technical person of LCIMS machine. They conducted the benifets of the machine and operating systems to the audiences.

A discussion meeting between the Dhaka Chamber of Commerce & Industry (DCCI) and the delegation from Laos People's Democratic Republic was held at the Dhaka Sheraton Hotel on Sunday. The meeting was chaired by the DCCI Acting President M Shahjahan Khan The DCCI acting president said, “In order to promote long-term cooperation between our two LDCs countries, steps are necessary to enhance trade volume between the two friendly countries. We can establish chamber to chamber contacts to know more about each other’s potentials. We like to know more about Laos. We are aware that like Bangladesh, Laos is also running well in the RMG sector Bangladesh's RMG and spinning is fully dependent on the import of cotton, we can collaborate more in this sector”. He aadded that bilateral trade between Bangladesh & Lao s People's Democratic Republic is far below the potentials. During 2005-2006 our export to that country was only US$ 0.62 million and import was US $ 0.70 million At present major export items to Laos are: leather and woven garments and major imports from Laos PDR are. cotton, article of apparel and clothing accessories, tanning and dying extracts. We can increase our bilateral trade volume by exploiting trade and investment opportunities of the two countries he added.

Phonsavath Boupha. First Vice Foreign Minister of Lao People's Democratic Republic and Leader of the delegation said, Bangladesh is a member of ASEAN Region Forum and Lao PDR is also a member of this forum Bangladesh has a lot of prospective sectors such as; RMG. pharmaceuticals, ceramic. light engineering, leather, cement, steel and agri-based sector etc. and Lao PDR has also several prospective sectors these are hydro power, tourism, agribusiness, light manufacturing and service sector etc. He also said, Chamber to Chamber relation and exchanging trade and investment delegation of both countries are essential to strengthen economic cooperation between the two countries, Businessmen of both countries can find out way of increasing bilateral trade of the two LDC countries he mentioned.

Among others. DCCI Vice-President AI-Haj Md Alauddin Malik, DCCI Directors M.S. Shekil Chowdhury Manzur-Ur Rahman Ruskin, Haider Ahmed Khan FCA, Mr. Zafar Osman, Sayed Habibur Rahman. Asif Ibrahim, Alhaj-Abul Aziz Sarker, AI Haj Md Sharfudddin and M Salim Sulaiman took part in the discussion meeting.