The New Nation - Internet Edition

UN meeting seeks finance deal for developing states

AFP, Doha

High-level delegates including heads of state were gathering in Doha yesterday for a UN- sponsored conference seeking ways to limit the impact of the financial crisis on developing countries.

UN chief Ban Ki-moon, French President Nicolas Sarkozy and Jose Manuel Barroso, head of the European Commission, are among around 50 leaders expected in Qatar.

Zimbabwean President Robert Mugabe is also reportedly headed to the Qatari capital despite his country battling a serious humanitarian crisis and a deadly outbreak of cholera.

Developed countries have so far committed to pay less than 20 billion dollars a year of the 50 billion dollars in additional aid which they agreed in 2004 to donate by 2010, UN figures show.

The new money leaves total annual development aid far short of the 130 billion dollars a year targeted for 2010 by the UN's Millennium Development Goals.

At a time when major powers like the United States, the European Union and China are ploughing hundreds of billions of dollars into their own economies, they are likely to find it harder then ever to come up with the promised extra help for poorer nations.

Friday's discussions aim to "act as a bridge from the G20 Washington meetingt by proposing concrete actions that limit the impact of the financial crisis on developing countries," a UN spokesman said.

Participants will also seek to "maximise the potential for responses to the crisis that also address climate change," he said.

The meeting comes the day before the official start of the Doha Conference on Financing for Development, a four-day UN event following on the 2002 conference in Monterrey which achieved a landmark North-South agreement on development principles.

Implementing those principles has been made more challenging by climate change and the global credit crunch, UN officials admit.

Friday's high-level get-together is billed as a "retreat" and it remained unclear exactly who would attend.

However, Barroso has scheduled a news conference for Friday afternoon, while Ban and Qatari emir Hamad Bin Khalifa Al-Thani will speak to the media in the evening.

"Slower economic growth and continued uncertainty are threatening efforts to tackle the key concerns of the United Nations and its members: human security, poverty and hunger, and climate change," the UN spokesman said.

The credit crunch has increased the costs of providing the finance that developing nations require, whether it comes from domestic resources, trade and investment, remittances, foreign lending or development aid, he said.

Ban organised the Doha "retreat" after leaders at the G20 summit on November 15 agreed to work on a joint plan of action to restore the world economy.

The G20 leaders have agreed to meet again in London next April but Ban hopes an interim meeting can make progress on the UN's particular concerns.

Friday's "retreat" and the financing conference come in the wake of a call by the World Bank on Thursday for donors to boost aid to poor nations hit by a financial crisis that is "not of their making."

Developing countries "find themselves at the mercy of a crisis not of their making," World Bank President Robert Zoellick said in a statement.

Taiwan to invest $28m in Comilla EPZ

Nation Business Report

M/s Eusebio Textile (Bangladesh) limited a Taiwanese company will set up a Polyester and Nylon Fabrics Industry in the Comilla Export Processing Zone.

The foreign owned company will invest 28 million US Dollar in setting up their unit and will produce and export annually 60 million meters of Polister and Nylon fabric. The company will also create employment opportunity for 2145 Bangladeshi including 15 foreign nationals said a press release.

An agreement to this effect was signed between the Bangladesh Export Processing Zones Authority and the M/s. Eusebio Textile (Bangladesh) limited in BEPZA Complex, Dhaka on November 27. Prasanta Bhushan Barua, Member (Investment Promotion) of BEPZA and Lin Hui, Managing Director of M/s Eusebio Textile (Bangladesh) limited executed the agreement on behalf of their respective organization.

Other officials from respective organisations were present on the occasion.

World Bank calls on donors to boost aid for developing countries

Xinhua, Washington

As development experts prepare for the International Conference on Financing for Development in Doha, Qatar, the World Bank is calling on donors to further boost aid as investment in developing countries heads for a "perfect storm."

"Developed country policymakers must avoid putting in place policies and structures that undermine the interests of developing countries," said World Bank President Robert B. Zoellick in a statement released yesterday.

"Courageous steps have been taken by many developing country governments in recent years to introduce and maintain sound macroeconomic and fiscal policies," said Zoellikc.

"They now find themselves at the mercy of a crisis not of their making. A retreat to protectionism or economic nationalism by developed countries will hurt them even further."

In a paper prepared for the Doha Follow-up Conference on Financing for Development to Review the Implementation of the Monterrey Consensus, the World Bank said it is imperative that donors meet their Gleneagles commitments to debt relief and scaled- up aid.

At present, G7 countries are falling 30 billion dollars short of these goals. According to the paper, The Implications of Global Crises on Developing Countries, the Millennium Development Goals, and the Monterrey Consensus, developing countries are facing a "perfect storm," with a convergence of slowing world growth, a withdrawal of equity and lending from the private sector, and higher interest rates.

Investment, the main driver of developing country growth over the past five years, will be hard hit by the financial crisis, and remittances from developing country migrants-powerful poverty reduction mechanism-will likely decline in line with the global slowdown.

All this comes in the wake of the severe food and fuel price crises, which placed a heavy fiscal, economic and social burden on many developing countries.

Reflecting deteriorating global conditions, the World Bank has revised its 2009 growth forecast downward.

Developing country growth in 2009 is now forecast at 4,5 percent, nearly 2 percentage points lower than previously estimated; growth in high-income countries, many of which are already in the midst of recession, is now expected to be marginally negative in 2009. The volume of global trade is projected to contract in 2009, the first decline since 1982.

"This is not just about finance, as crucial as that is," Zoellick said. "In a world where developing countries represent new drivers of global growth, we must learn to listen to their experiences, and we must take better account of their needs."

Heading the World Bank delegation to Doha, Justin Yifu Lin, the World Bank's chief economist and the first such appointee from a developing country, said: "This unfolding crisis highlights the extent of our global connectedness and has left us in a position whereby, in the next year, developing countries could account for all of the world's GDP growth. In this transformed world, empowering developing and emerging countries is imperative."

"Financing for development should focus more on adapting to countries' conditions and aspirations," continued Lin. "Helping nations pursue economic development and long term prosperity should be the goal of development finance. We must not lose sight of this principle amidst the current crisis."

To meet growing needs, President Zoellick has announced that the Bank will front load the 42 billion dollars it has available to support low-income (IDA) countries over the next three years, and rely on its strong capital basis to lend up to 100 billion dollars to developing countries over the same period.

Citibank organises seminar on Bangladesh Economy: Prospects and Challenges

Citibank, N.A. Bangladesh, with its aim to support the evolution and growth of Bangladesh economy, organized a seminar on November 27 in Dhaka titled as "Bangladesh Economy: Prospects and Challenges". The seminar focused on issues and factors responsible for sustainable growth in the Bangladesh economy. Dr. Salehuddin Ahmed, Governor, Bangladesh Bank, inaugurated the seminar as the Chief Guest in the occasion. Latifur Rahman, President, Metropolitan Chamber of Commerce & Industries, Dr. Mahabub Hossain, Executive Director, BRAC, Dr. Zahid Hussain, Senior Economist, The World Bank and Professor M. A. Taslim, CEO, Foreign Trade Institute also remained present as discussants during the seminar.

Siddiqur Rahman Chowdhury, Former Secretary, Suhel Ahmed Chowdhury, Former Secretary, Dr. Taufiq Elahi Chowdhury, Former Secretary, Ambassador Nasim Ferdous, Former Ambassador, Waliul Maruf Matin, Former CEO, Chittagong Stock Exchange and Dr. Atiur Rahman, Chairman, Shamunnay, also spoke at the seminar.

Dr. Salehuddin Ahmed in his speech said, Bangladesh stands out with good potential for positive economic growth. We must invigorate our economic activities for further development in the economy. He also stated that Bangladesh can learn from the current global financial crisis and implement policies towards higher economic growth.

Managing Director and Citi Country Officer, Mamun Rashid in his speech stated that Bangladesh projects higher future economic growth. Consistency and sustainability of economic growth will lead to further development for the Bangladesh economy.

Economist terms capitalism 'harsh amoral concept'

Capitalism is a harsh and amoral concept with, unfortunately, no viable alternative at the moment,' said Professor Wahiduddin Mahmud, addressing a seminar as the chief guest on 'Global Financial Crisis and its impaction Bangladesh.

The event, chaired by Dr Hafiz G.A. Siddiqi, Vice-Chancellor, was held at North South University campus on Thursday, 27November.

The keynote paper was delivered by Dr Zahid Hussain, Senior-Economist, the World Bank, Dhaka. He traced the causes, conditions, symptoms and the consequences of the widespread financial predicament with emphasis on the possible effect on Bangladesh. He repeated the recent World Bank forecast that Bangladesh will face the sterner ripple effect of the financial slump in the near future.

Dr. Wahiduddin Mahmud disagreed with the World Bank lumping of all countries under the identical capitalism label and said that the recent crisis is a result of severe economic downturn in addition to ethical bankruptcy.

The crisis has exposed the shortcomings of unregulated capitalism with insatiable greed and the impunity of financial managers. He underlined that there is risk as well as opportunities for Bangladesh. In order to effectively overcome the unprecedented crisis, new institutions with innovative remedies and therapy will be required, he concluded.

The designated discussants at the seminar were Dr Mahbub Majumdar, NSU School of Business, and Ms Mausumi Mahapatro Khan, Dept of Economics, NSU. The seminar was attended by NSU faculty, students and staff.

Jamuna Bank Ltd branch managers awarded for achieving deposit targets

The branch managers and officers of Jamuna Bank Limited who achieved the targets in Deposit Mobilization Campaign on the occasion of the 8th anniversary month 2008 (June 2008) were awarded at a simple ceremony at IDEB Multipurpose Hall in the city recently. Md Motior Rahman, managing director (current charge) presided over the function and delivered the welcome speech. Md Tazul Islam, chairman of the bank attended the function as chief guest while Kanutosh Majumder, vice chairman and Nur Mohammed, chairman of the Audit Committee were present at the function. Besides, deputy managing director MA Salam and Md Alauddin Al-Azad, EVP and company secretary Md Anwer Hossain, industrialist, guests, clients and well-wishers also seen in the picture.

In the function the chairman gave away the rewards to the managers of Jamuna Bank Limited who achieved the targets in the Deposit Mobilization Campaign which included cash for trip to Cox's Bazar with their spouses by air, crests and certificates. Besides, 31 officers of 36 branches were given crests and certificates who exceeded the deposit targets. Of them, five officers were given cash prizes along with certificates and crests.

DBBL to construct bridge for Roumari's inhabitants

Dutch-Bangla Bank Limited has come forward to construct a bridge in the remote area of Chatlakanda of Roumari upazila under Kurigram district.

To mitigate the sufferings of 40 thousand people of the locality, DBBL appointed an Engineering firm to carry out a feasibility survey as to whether a bridge can be constructed there. The Firm after conducting a survey submitted a report with a recommendation of constructing a bridge at a cost of Taka 50.00 lac to 60.00 lac.

The Report stated regarding untold sufferings of the inhabitants of 18 villages of Roumari upazila situated in the north-east frontier point of the country surrounded by Brahmaputra and Zinzirrum rivers.

The Executive Committee of Dutch-Bangla Bank Limited in its 460th meeting held on November 23 analyzed the survey report alone with a report published in a national daily and decided to construct a bridge in Chatlakanda of Roumari upazila.

An official of DBBl said that about 40 thousand villagers will be benefited and the transportation cost of agricultural produces will be decreased to a large extent. The patients will be able to go to the health centres and clinics situated at upazila headquarters without facing any difficulty and hazard.

IDLC's relocated Dilkusha Branch inaugurated

IDLC Finance Limited, a joint-venture multi product financial institution, formally inaugurated its relocated Dilkusha Branch premises at Eunoos Trade Centre, Level 13, 52-53, Dilkusha C/A, Dhaka on November 26.

The relocation will enable IDLC to better cater to the increasing needs of its personal finance customers. A separate SME Division has also been set up in the new premises to meet the needs of the financial institution's SME customer base, a press release said.

Anwarul Huq, Chairman of the Board of Directors of IDLC formally inaugurated the branch as Chief Guest. Anis A Khan, CEO and Managing Director of IDLC, welcomed the distinguished guests to the inauguration ceremony which was attended by IDLC Director Shafiqul Azam, Chairman of Association of Bankers, Bangladesh K Mahmood Sattar, Vice Chairman of Bangladesh Leasing and Finance Companies Association Mafizuddin Sarker, former Managing Director of IDLC M Aminul Islam and Deputy Managing Director of IDLC Yongbok Jo.

IDLC offers a host of diverse financial services and solutions to both institutional and individual customers to meet their unique requirements. The new office premises will mainly focus on the operations of Personal and SME Finance Divisions of the company. The major products offered by these two divisions are - term deposit schemes, home loan, personal car loan, personal loan, business loan, machinery loan, double loan, lease finance.

Banglalink launches healthlink services

Banglalink has recently launched 'Healthlink service' for its customers. Through this service, Banglalink subscribers will now be able to get Health counselling services through a call centre managed by Synesis IT.

Customers just have to dial 789 and they will be put through to a call centre agent of Healthlink. The agents are all MBBS professionals and specially trained to provide health issue related consultancy services over phone. The services that will be offered include Professional medical consultancy, Health care information, beauty tips & hair care.