The New Nation - Internet Edition

CSE closes higher yesterday

UNB, Chittagong

Trading at Chittagong Stock Exchange (CSE) closed higher yesterday (Wednesday) with the gainers dominating the losers.

The CSE All Share Price Index (CASPI) increased by 0.34 percent or 29.09 points to close at 8548.98 points from 8519.89 points on Tuesday. The CSE-30 Index also rose by 0.07 percent or 6.05 points to close at 7641.30 points from Tuesday's 7635.25 points.

A total of 136 issues were traded today. Of them, 68 gained, 62 declined and only six remained unchanged.

Some 5,394,749 shares and debentures worth Tk 43.89 crore changed hands yesterday against 3,532,574 shares valued at Tk 38.23 crore on the previous trading day.

Bangladesh to receive $1.3 billion food aid

International donors have agreed to provide US$1.3 billion in emergency food financing for Bangladesh in one of the clearest indications that soaring food prices are threatening livelihoods in poorest countries.

The funding package, which includes contributions from the Asian Development Bank and the World Bank, is also a recognition of the particular difficulties of Bangladesh. Two spells of flooding and a devastating cyclone last year destroyed at least 2 million tonnes of rice, forcing the country to import large quantities of its main staple.

A sharp rise in food prices has left the 40 per cent of its 150million population who live on less than a dollar a day struggling to feed themselves. Overall, official annual food price inflation is running at 12 per cent and rice prices have risen more than 60 per cent compared with last year.

David Fernandez, an Asia economist at JPMorgan, said: "If you are looking for a symbol of how higher food prices are now really hurting poorer countries, then Bangladesh is it."

The surge in rice prices has been fuelled in the past year by export restrictions imposed by producers concerned at domestic shortages. Vietnam announced on Monday that it would introduce its first tax on grain shipments and fertiliser, while the country struggles with an annual inflation rate of 26.8 per cent. Vietnam, which blocked the signing of rice export contracts between April and June, was the world's third biggest exporter of rice last year.

The situation in Bangladesh will be reviewed at an international conference in London in September, which will look at extending assistance to cope with the impact of climate change and maintain food security. Bangladesh, as a river delta, is losing about 2 per cent of its agricultural land a year to river erosion.

Govt to start OMS of rice thru' fair price outlets next month

STAFF REPORTER

The government has decided to open fair price outlets from the third week of August to keep the rice market stable during the fasting month of Ramadan.

Under the Open Market Sale (OMS) programme, rice will be sold at Tk 28-30, lower than that in outside markets.

Food Secretary Molla Wahiduzzaman said that the government decided to start OMS to keep the price of rice stable during Ramadan expected to begin early September as the price line usually shot up in the holy month.

The government will seek to bring more people under the programme through which 250,000 tons of rice would be sold at 7,100 outlets across the country.

Under the programme, rice will be sold six days a week and each person will be allowed to buy three kilograms of rice.

The total number of beneficiaries would rise to over 1.2 million, the Food Secretary said.

The government also launched the OMS programme in September last year in a bid to reach the essential commodities in a tolerable price during Ramadan.

BB asks PCBs to provide easy loans to fishermen

BUSINESS REPORT

Bangladesh Bank yesterday asked the country's commercial banks to provide short term loans at easy interest rates to fishermen in its cyclone-affected areas.

The central bank gave the directive yesterday at a bankers' meeting held at the Bangladesh Bank with Governor Dr Salehuddin Ahmed in the chair.

On November 15, 2007, Cyclone Sidr wreaked havoc in the Sundarbans and adjoining costal areas of southern Bangladesh leaving more than 4,000 people dead or missing and over 50,000 people injured.

"Bangladesh Bank advised the banks, particularly private commercial banks, which have no branches in the remote areas, to link up with non-governmental organisations (NGOs) for ensuring financing facilities in the cyclone-hit areas," a senior official of the Bangladesh Bank told The New Nation.

The central bank also advised the banks to provide loans to the fishermen after consultations with local public representatives to minimize credit risks, he added.

"The BB has taken the fresh move aiming to restore normal economic activities in those areas in line with the chief adviser's directive," another BB official said, adding that the meeting will review the overall position of credit, deposit and liquidity situation in the country's banking system.

StanChart opens new ATM at Begum Rokeya Sarani

Standard Chartered Bank has launched a new ATM Booth at Begum Rokeya Swarani (beside IDB Bhaban), Agargaon in the city recently.

Tanvir Haider Chaudhury, Head of Shared Distribution and Service Quality of SCB inaugurated the ATM Services from this booth. Other senior officials of the bank were present on the occasion.

This new ATM will provide 24-hour cash withdrawal facilities to all VISA, MasterCard, Cirrus and Maestro cardholders. Additionally, Standard Chartered customers can also deposit cash/cheque, pay bills, transfer funds, check their balance and print mini-statement of their accounts any time of the day, 7 days a week all year round.

Standard Chartered Bank currently has 46 ATMs spread across Dhaka, Chittagong, Sylhet, Narayanganj, Khulna and Bogra and plans to continue expanding their network.

JICA training on Intellectual Disability in Community Activity

An 11-member team for JICA Group Training on 'Intellectual Disability in Community Activity' arrived Bangladesh on July 22. This training started in Bangladesh from July 23 and continue through August 2 (2nd phase) which will be participated by total 11 participants from Cambodia, Jordan, Costa Rica, Jamaica, Colombia, Fiji, China, Philippine, Nepal, Bangladesh and Uganda.

From Bangladesh Ms Khorsheda Akhter Rosy, Headmaster, School of Mentally Retired is participating in this training. It may be mentioned here that the 1st phase of this training held in Japan from May 20-July 22, 2008 and the 3rd phase will be held in the participants' home countries from August 2008 to January 2009.

During this training in Bangladesh, they would also visit two villages to gather knowledge on PLA (Participatory Learning and Action) session where CAHD (Community Approach to Handicap in Development) is implemented by a community development organisation named CDD, CDO (Community Development Organisation).

The objective of the training are: i) to enhance participants' knowledge upon intellectual disabilities, ii) to introduce them various service for people with intellectual disabilities in Japan and other countries, and iii) to give them opportunity of exchanging opinions with each other in order to help them provide better services or develop better systems for people with intellectual disabilities in their respective countries.

Remittance and Payment System: BRAC Bank signs deal with Bank Asia

BUSINESS REPORT

An agreement on EL DORADO t. Remittance and Payment System was signed between BRAC Bank Limited and Bank Asia Limited on July 15, 2008. AEA Muhaimen, Managing Director and CEO of BRAC Bank and Syed Anisul Huq, President and Managing Director of Bank Asia signed the agreement on behalf of the respective banks.

Kaiser Tamiz Amin, Deputy Managing Director and COO of BRAC Bank Limited, Erfanuddin Ahmed, Deputy Managing Director and Head of Operations and Irteza Reza Chowdhury, Senior Executive Vice President of Bank Asia Limited were also present.

EL DORADO will enable customers to transfer money electronically within Bangladesh in the quickest possible way.

EL DORADO is being developed under the Remittances and Payments Challenges Fund (RPCF) jointly sponsored by DFID, UK and Bangladesh Bank.

Telenor Q2 core profit slips, cuts revenue target: Soaring food and energy costs squeeze consumers' budgets in Bangladesh

Reuters, Oslo

Telecoms company Telenor posted a surprise 1.5 per cent fall in second-quarter core earnings and cut its 2008 revenue growth target due to a strong crown and inflation which is crimping spending on telephony.

Shares in Telenor fell 4.4 per cent to 81.80 crowns -- the lowest level since October 2006 -- and lagged a 1.8 percent rise on the DJ Stoxx Telecoms Index .

Norway's Telenor, which has 153 million mobile clients in Europe and Asia, said soaring food and energy costs have squeezed consumers' budgets particularly in relatively poor countries such as Bangladesh, Pakistan and Thailand.

Earnings before interest, tax, depreciation and amortisation (EBITDA) at Telenor fell to 7.21 billion crowns ($1.43 billion) in April-June from 7.32 billion in the year-ago period.

The result missed all 16 forecasts from a Reuters poll of analysts, whose predictions had ranged from 7.31 billion to 7.64 billion crowns and averaged at 7.5 billion.

Telenor cut its 2008 revenue growth target to around 3 percent from 5 percent, but said strong performance of deconsolidated Ukrainian unit Kyivstar would keep the group's underlying revenue growth unchanged at around 6 percent.

"Given the adverse economic environment affecting the company's emerging market exposure we cut our rating from 'Add' to 'Neutral'," Dexia Bank said in a note to clients.

We do not believe these problems are short-term t as they are fundamentally linked to adverse economic conditions which are difficult to escape for both Bangladesh and Pakistan, two of the main growth drivers of the company," it added.

INFLATION BLUES

In local currency terms, Telenor's average revenue per user, or ARPU, slumped by 14 percent year-on-year in Pakistan, 17 percent in Thailand and 24 percent in Bangladesh, reflecting a drop in spending money due to fast rising commodity prices.

Telenor's operating revenues grew 2.9 percent to 23.84 billion crowns in the second quarter and met the average forecast from a Reuters survey.

"Based on the increased challenges linked to macroeconomic conditions, we have adjusted our reported revenue outlook for 2008 slightly," Telenor said in a statement.

Telenor maintained its 2008 EBITDA margin goal at above 31 percent and capital expenditure at 20 percent of revenues.

Telenor's EBITDA margin stood at 30.2 percent in the second quarter not including Kyivstar, which had a 59 percent margin

Telenor said the Norwegian crown had strengthened by 21 year-on-year percent against the Pakistani rupee, 16 percent against the Bangladeshi taka, 14 percent against the Ukrainian hryvnia, 10 percent against the Thai baht and 9 percent against Malaysia's ringgit.

ICMAB holds discussion on Quality Management System ISO 9001:2000

The Institute of Cost and Management Accountants of Bangladesh (ICMAB) has arranged a Discussion Session on Quality Management System ISO 9001:2000 on July 17 at ICMAB Ruhul Quddus Auditorium, ICMA Bhaban, Nilkhet, Dhaka.

Zahir Uddin Ahmed, FCMA, President of the institute presided over the Discussion Session, while Rafiq Ahmed, FCMA, Past President graced the occasion as Session Chairman. AKM Delwer Hussain, FCMA, Past President ICMAB and Abu Sayed Md Shaykhul Islam, FCMA, Secretary ICMAB gave welcome address and ABM Shamsuddin, FCMA, Vice-President proposed vote of thanks.

Ravindranath Bhandurge, Regional Manager-West (India), ABS-Quality Evaluations and GM Omar Faruque Chowdhury, FCMA, Senior Vice President, Generation Next Fashions Ltd jointly presented paper on the topic Quality Management System (QMS), ISO 9001:2000 as Resource Persons.

A good number of members of the institute and senior students attended the discussion session and took part in the floor discussion.

Dhaka Club organises exhibition of plants

Dhaka Club organised a three-day exhibition of plants and trees at its premises and undertook a massive tree plantation campaign. Fifteen nurseries participated in the exhibition.

The exhibition and the plantation campaign were formally inaugurated on July 17, 2008 by Sadat Hossain Salim, President of Dhaka Club. Former Presidents MG Murtaza, Abdus Sattar, Anwarul Kabir, Dr Mizanur Rahman (Shelley), Shamsur Rahman, AK Feroze Ahmed and Towhid Samad were also present at the inaugural ceremony.

All the former Presidents present, Club Members, their spouses and children planted saplings. They also went around various attractive stalls set up by the nurseries. The children were taken around the club to familiarise them with plants and trees of the club. Sadat Hossain Salim, President of the Club, Dr Mizanur Rahman (Shelley) former President of the club renowned environmentalist Ali Imam and Dwijen Sharma spoke on the occasion to develop environmental awareness among the children.

Two special films on environment were also shown to the children. An art competition for the children was arranged on the occasion where the children sketched the environment as they envisaged. An exhibition of indigenous fruits arranged to mark the occasion, Hijal, Tamal, Piyal Festival earned applause from all present.

BIA starts course on fire insurance underwriting

BUSINESS REPORT

To meet the growing need of trained manpower, the Bangladesh Insurance Association inaugurated the Short Course on Fire Insurance Underwriting on July 20 last at the office premises of the association. Twenty-two officers from 15 general insurance companies have been participating in the course.

AKM Rafiqul Islam, FCA, Chairman, Bangladesh Insurance Association, Kazi Md Mortuza Ali, Managing Director, Prime Islami Life Insurance Limited, ABM Nurul Haq, Managing Director, Global Insurance Limited and Mollah Md Nurul Islam, Secretary General, Bangladesh Insurance Association spoke on the occasion. The course was inaugurated by AKM Rafiqul Islam.

Golam Mainuddin appointed as BAT Bangladesh chairman

BUSINESS REPORT

Golam Mainuddin has been appointed as the chairman of British American Tobacco Bangladesh Company Limited (BAT Bangladesh) effective from August 3, 2008. After a successful career spanning 26 years in BAT Bangladesh, Mainuddin will retire from his current position as Deputy Managing Director to become non-executive Chairman of the company.

Mainuddin started his career in BAT Bangladesh as Leaf Operations Manager in 1982 after a 13-year stint in tea plantation. He became Head of Leaf in 1985, and later a member of the Board of Directors in 1986. He assumed the role of Deputy Managing Director in 1997. Mainuddin was instrumental in quality improvement of Bangladeshi tobacco and introducing that to the global market. Today, Bangladesh produces more than Tk 625 crore of tobacco leaf annually, exporting Tk 125 crore to earn valuable foreign exchange. During his tenure with the company, he expanded BAT Bangladesh's afforestation programme. Till date, the company has distributed over 5.5 crores of saplings, making it the largest private sector of forestation programme in Bangladesh.

Mainuddin currently represents BAT Bangladesh in a number of forums including Federation of Bangladesh Chambers of Commerce and Industry, Metropolitan Chamber of Commerce and Industry, Bangladesh Employers' Federation and Bangladesh Cigarette Manufacturers Association.

Dhaka University signs agreement with Pragati Life Insurance Ltd

BUSINESS REPORT

Dhaka University (DU) has recently renewed its health insurance contract for further periods with Pragati Life Insurance Limited.

Professor Syed Abul Kalam Azad, Treasurer of Dhaka University and Swapan Kumar Sarkar, Managing Director (Current Charge) of Pragati Life Insurance Limited signed the contract on behalf of their respective organisations. Under the agreement, Pragati Life will provide health insurance coverage to the teachers and officers of the university.

Md Ashraf Uddin, Director Accounts of Dhaka University and MM Monirul Alam Tapan, EVP and Head of Group Insurance Division of Pragati Life and senior officers of both the organizations were present on the occasion.