The New Nation - Internet Edition

WB gives $35m for welfare of people with disability

NATION BUSINESS REPORT

The government has signed an agreement involving an amount of 35 million US dollar with the World Bank on Sunday at the Economic Relations Division against "Disability and Children at Risk" project.

Mohammad Mejbahuddin, Additional Secretary, Economic Relations Division Ministry of Finance and Mohiuzzaman Quazi, Acting Country Director, World Bank, Dhaka Office signed the Financing Agreement on behalf of the Government of Bangladesh and the World Bank respectively.

The objectives of the project are to expand the social and rehabilitation services for people with disabilities and build the capacities of NGOs/DPOs (disable People Organization) and Jatiyo Protibondhi Unnayan Foundation (JPUF) and to improve access to and the quality and relevance of services for the children at risk in selected cities of Bangladesh.

The project would reform and strengthen the JPUF to become a center of excellence for contracting disability services, promotion/ awareness building, research, monitoring and evaluation and establishing good practices.

The project would focus on early detection and intervention as well as prevention and community based rehabilitation (CBR) of disabled people in the project areas.

Under the credit, Bangladesh will receive US$ 35 million from the World Bank in usual terms and condition of the World Bank (0.75 percent service charge on withdrawn amount, 0.50 percent commitment charge on un-withdrawn balance, 40 years of repayment period including 10 years of grace period.

AKTEL brings 'News on Demand'

AKTEL, as a dynamic and customer driven telecom operator of the country, has always tried to satisfy its customers with most effective solutions to add value to their lives. As a part of its continuous journey, AKTEL has brought again a new and first ever in Bangladesh, AKTEL ETV News called "News On Demand." AKTEL is the first operator to launch this WAP based service in Bangladesh with "Software Shop Limited" (SSL).

An agreement signing ceremony between AKTEL & Software Shop Limited. was held on December 24 at AKTEL's corporate office in Mohakhali, Dhaka in this regard.

This WAP based service available in ALKTEL Spice, where only AKTEL customers would be able to access and download the news from the latest or archived Menu. There' will be a clip for the headlines which will be updated four times a day. The subscribers will be charged BOT 10 + VAT for each download. The link is http://aktelspice.mobi

AKTEL's Managing Director and Chief Executive Officer Jefri Ahmad Tambi said, "We always try to come up with quality services which will really fulfill the unmet demand of our valued customers. I am sure this News on Demand Service will help our customers to be more updated with their busy life."

Jefri Ahmad Tambi, Managing Director and CEO, AKTEL, and Bidyut Kumar Basu, Chief Commercial Officer, AKTEL were present on the occasion. Along with them, representatives from ETV, M M Ruhul Amin, Admin and HR, and on behalf of Software Shop Limited (SSL), Sayeeful Islam, Managing Director, Ashish Chakraborty, Business Development Manager, MD. Shofiul Alam, Manager VAS Division were also present.

Customers' can call 123 (from any AKTEL number) or 01819 400 400 (from any number) to know more details.

PNB, BOB cut interest rates up to 100 bps

PTI, Mumbai

Two leading Indian public sector lenders Punjab National Bank (PNB) and Bank of Baroda (BOB) yesterday said they will reduce their prime lending rate by 50 and 75 basis points, respectively with effect from January 1.

Besides, PNB also announced a reduction in its peak deposit rate by 100 basis points to 8.5 percent for deposits of one year to less than three years beginning new year, the state-run lender said in a filing to the Bombay Stock Exchange (BSE).

Earlier this month, the bank had reduced its peak deposit rate to 9.50 percent from 10.5 percent.

In a separate regulatory filing to the BSE, Bank of Baroda said "The bank has decided to reduce its Benchmark Prime Lending Rate (BPLR) by 75 basis points from existing 13.25 percent to 12.50 percent with effect from January 1, 2009."

The BPLR of PNB would stand reduced to 12 percent, from the existing 12.50 percent, effective from January 1.

With the revision, PNB's deposits having maturities of 46 days and above will attract an interest rate of 1.25 percent from the earlier 1.50 percent, the filing said.

Besides, the country's second largest private sector lender has also reduced interest rates on various retail lending schemes such as floating rate housing loans, car and education loans by 50 bps.

"The interest rates on fixed rate housing loans have been reduced by up to 175 basis points with effect from January 1," PNB added.

Further, the bank has introduced a housing loan scheme-PNB Special Housing Loan Scheme-for new accounts from January 1, 2009, till June 30, 2009.

Under the fixed housing loan of up to Rs five lakhs for maximum period of 20 years, PNB would charge interest rate at 8.5 percent.

Also fixed rate housing loans of above Rs five lakhs to Rs 20 lakhs for a maximum period of up to 20 years would attract interest of up to 9.25 percent.

"The interest rate will be subjected to reset on July 1, 2014, for the scheme," PNB added. The rate cut came shortly after country's largest lender State Bank of India announced a 0.75 percentage point cut in its prime lending rate and a 0.25-1 percentage point reduction in deposit rates from January 1.

Also other leading state-owned lender Union Bank of India reduced its deposit rates and Canara Bank announced reductions in their deposit and MSME lending rates.

SKorea's pension fund set to post first loss: ministry

AFP, Seoul

South Korea's state pension fund - - the country's largest institutional investor-will post its first-ever loss this year due to tumbling stock prices, officials said yesterday. The Ministry of Health, Welfare and Family Affairs, which supervises the fund, said the National Pension Service posted a 0.75 percent loss, amounting to 1.76 trillion won (1.4 billion dollars), as of December 26.

It marks the first annual loss since the fund, which now has more than 230 trillion won in holdings, was created in 1988.

The ministry said the problem stems from its investment in stocks, which reported a loss of 41.20 percent.

South Korea's benchmark KOSPI stock market index has fallen nearly 40 percent so far this year amid the global financial meltdown, with overseas bourses similarly hard hit.

Last year the fund reported a 7.05-percent return on assets. The ministry said Monday the pension fund would reduce its stockholdings next year from the current 29.7 percent to 20.65 percent of total assets.

It plans to increase its holdings of bonds and other investments from 66.4 percent to 73.4 percent.

Pubali Bank limited inaugurates its 366th branch at Chakoria

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Pubali Bank Limited has inaugurated its 366th branch at Chakoria in Cox's bazar recently. Member, Board of Directors of Pubali Bank Ltd. Ahmed Shafi Chaodhury inaugurated the branch, as chief guest while Managing Director of Pubali Bank Helal Ahmed Chowdhury presided over the function.

In his speech Ahmed Shafi Chaodhury said that Pubali Bank is committed to providing the best & innovative banking services needs of the market in fastest possible time.

As a part for providing better services & client's increasing demand Pubali Bank has opened its Chakoria branch. He expressed his hope this branch would remarkable contribution in the business development of this area. He urged all customers of Chittagong region to take this opportunity.

In his speech Managing Director Helal Ahmed Chowdhury said that Pubali Bank had been providing better services for its customer since 1959 with a promise to keep up its original tradition. Referring to the efficient Management, accumulated deposit and adequate foreign currency reserve, he stated that Pubali Bank is capable of contributing more and & more industrialization and foreign trade of the country. Referring the advantage of the scheme of "Non-Resident Credit" he said that one can take financial help through this scheme who goes abroad for employment. He also said Bangladeshi expatriates can remit their money through Pubali Bank swiftly and safely. He urged all customers of Chittagong region to take this opportunity. He expressed his hope this branch would remarkable contribution in the business development of this area. He also urged all the local people for extending co-operation to the bank.

Chief Financial Officer of PBL A.T.M. Hasanuzzaman, General Manager of Chittagong Mohammad Firoz Khan, General Manager Mosharraf Hossain, Regional lJead of Chittagong North & Chittagong South, local elite and renowned businessmen were also attended in the function.

ADB warns of "another difficult year" for Vietnam

AFP, Hanoi

The Asian Development Bank (ADB) yesterday signed loans worth 60 million dollars for anti-poverty and tourism projects in Vietnam, warning that "2009 will be another difficult year" for the country.

The ADB's country chief Ayumi Konishi said Vietnam's communist government had faced an economic downturn this year but had "done extremely well, particularly in controlling inflation and reducing the trade deficit."

"Given the global economic downturn, however, 2009 will be another difficult year, but the Asian Development Bank will continue to give strong support to the government and people of Vietnam," he said at the loan-signing ceremony.

Vietnam's export-led economy grew by 6.2 percent this year, according to government projections, down from 8.5 percent last year, in part because of falling demand in its main overseas markets and falling commodity prices.

The ADB's official development assistance (ODA) includes 25 million dollars for poverty reduction, 25.5 million dollars to repair infrastructure destroyed by typhoons, and 10 million dollars to develop tourism, the bank said.

"As the government tries to stimulate the economy to ensure that the adverse impact of the global economic slowdown will not affect the poor and the vulnerable groups of people, we believe accelerated implementation of the ODA-assisted projects will be particularly effective," said Konishi.

"Implementation of the projects provides jobs for the people, and it can also stimulate consumption by those who benefit from the projects."

US Treasury throws 6b-dollar lifeline to GMAC

AFP, Washington

The US Treasury yesterday unveiled a six-billion-dollar package to assist GMAC, the troubled financial arm of General Motors.

The Treasury said in a statement it would purchase 5 billion dollars in senior preferred equity with an eight percent dividend from GMAC, which is also partially owned by Chrysler parent company Cerberus Capital Management, and make a one-billion-dollar loan to General Motors.

In exchange, Treasury would receive warrants from GMAC in the form of additional preferred equity equal to 5 percent of the preferred stock purchase and would be paid a 9 percent dividend if used.

GMAC said the sale of its preferred membership interests and warrants to Treasury was completed Monday.

The GM loan comes on top of a 13.4-billion-dollar rescue loan package the US government approved in early December for GM and Chrysler to stave off collapse amid tight credit and dismal sales. GM would receive an additional 4 billion dollars from February pending congressional approval.

Treasury said it agreed to the additional one-billion-dollar loan "so that GM can participate in a rights offering at GMAC in support of GMAC's reorganization as a bank holding company."

GMAC faced possible bankruptcy, jeopardizing financing for GM car dealers and customers, and its demise could have dragged down the Detroit automaker's fortunes with it.

GMAC has lost 5 billion dollars over the past six months in investments in the plagued automobile and real estate sectors.

Treasury said the GMAC plan is "part of a broader program to assist the domestic automobile industry in becoming financially viable." Under the agreement, GMAC must also comply with enhanced restrictions on executive compensation.

The funds for all automaker loans were to come from a 700-billion-dollar government bailout plan initially introduced earlier this year to shore up financial firms, Treasury said.

New BIAA Committee elected for 2009-10

A 21-member board of directors of the Bangladesh Indenting Agents' Association (BIAA) has been elected for 2009 and 2010.

Shabbir Ahmed Khan has been elected President while MS Siddiqui and Mirza Khorshed Alam have been elected Senior Vice President and Vice President respectively.

The election was preceded by the 27th Annual General Meeting of the BIAA held on December 24 at a hotel in Dhaka.

Presenting the Annual Report and the Audited Statement of Accounts, the outgoing President Obaidur Rahman gave an overview of the activities of the Association.

In his brief address Rahman called upon member firms to work collectively to handle the present adverse economic situation. He expressed his hope that the newly elected board of directors would put in all efforts to address the problems faced by this sector.

The incoming President Shabbir Ahmed Khan ensured the board that his team would put in hard work to bring about changes in the functioning of the association.

He promised to make this organisation a vibrant one and mentioned steps that he plans to take during his two year tenure the first being strengthening of the Secretariat.

Nepal postpones sending workers to Israel due to violence

Xinhua, Kathmandu

The Nepali government has postponed sending Nepali workers to Israel citing the reason of recent internecine violence between the Israel and Palestine, the National News Agency RSS reported yesterday.

The government made the decision in consideration of the possible risks after the Israeli army made a series of aerial attacks on the Gaza Strip, said the RSS.

The Nepali Ministry of Labor and Transport Management said some 5-7 Nepali women workers were going to Israel each day after the attraction for the women workers grew there. Nepali people began working there since 1990s.

The Israeli attacks on Gaza were launched after eight days following the end of the six- month truce between Israel and Hamas militants in Gaza.

Jute Spinners Ltd declares 20 percent dividend

NATION BUSINESS REPORT

Jute Spinners Ltd (JSL) of Khulna on Sunday declared 20 percent dividend for its shareholders for the year 2007-2008.

The dividend was declared at the 29th annual general meeting of the company held at the CIRDAP auditorium in the city on Sunday morning.

With Muhammad Shams-ul-Haque, chairman of the company in the chair, the AGM was attended, by directors of JSL Muhammad Shams-ul-Huda, Muhammad Shams-uz- Zoha, Muhammad Shams-ul-Kadir, AKM Shahjahan and Faizur Rahman Chaudhury, chief financial officer Toffazzal Hossain Bhuiyan, company secretary ATM Mostafa and a large number of shareholders.

The AGM approved the annual report of 2007-2008 year and appointed auditor for next financial year.

The JSL chairman informed the shareholders that the company has earned a considerable amount of foreign currency and a significant profit by exporting jute yarn during the current financial year.

Private bank placed in custody to prevent Sri Lanka collapse: CB

AFP, Colombo

Sri Lanka's central bank yesterday placed a troubled private bank in state custody, saying the move was aimed at preventing a collapse of the country's entire financial sector.The Central Bank of Sri Lanka exercised its regulatory powers to place the Seylan Bank in state custody and appointed state- owned Bank of Ceylon as the new manager of the private bank, a statement said.

"The difficulties of Seylan Bank Plc presented a potential danger to the stability of the (country's) financial system," the Central Bank of Sri Lanka said in a statement.

Officials said there was a run on Seylan bank deposits on Monday before the central bank stepped in.

A senior central bank source said that the government will initially manage the Seylan bank for a period of six months and then decide if it should return the operation to its owners, led by businessman Lalith Kotalawala.

Kotalawela and his Ceylinco group controls 23 percent of Seylan whose affiliate, the Golden Key Credit Card Company failed to honour its debts running into millions of dollars last week.In a notice over the weekend, Kotelawala said the Ceylinco group will sell off its controlling stake in the Seylan bank to settle the debts of the failed Golden Key Credit Card company.