The European Union has called for a level playing field for its businesses and investors in Bangladesh, highlighting the proposed purchase of Airbus aircraft as an example, as Dhaka reported progress in resolving trade barriers raised by the bloc.
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An EU delegation raised the issue with ministers and senior officials at a meeting at the Ministry of Commerce on Sunday, when the Bangladesh side briefed 27 EU representatives on progress in addressing the non-tariff barriers (NTBs).

The two sides also discussed a free trade agreement and EU support for Bangladesh's request to defer its LDC graduation.

"We have so far addressed 48 of the 61 identified non-tariff barriers (NTBs), while 13 remain at various stages of resolution," Commerce Minister Khandakar Abdul Muktadir told a joint press briefing following the meeting.

The two sides also discussed a free trade agreement and EU support for Dhaka's request to defer its LDC graduation.

State Minister for Planning Jonaed Abdur Rahim Saki, Ambassador and Head of the EU Delegation to Bangladesh Michael Miller, NBR Chairman Ahsan Habib and Commerce Secretary Md Ataur Rahman Khan were also present at the press briefing.

Adviser to the Ministry of Finance and Planning Rashed Al Mahmud Titumir, State Minister for Foreign Affairs Shama Obaed, Finance Secretary Md Khairuzzaman Mozumder and senior officials from the ministries of commerce and foreign affairs were present at the meeting with the EU delegation.

The commerce minister said Bangladesh had already resolved 48 of the 61 trade barriers identified by the EU, while the remaining 13 were at different stages of resolution.

He said the government had worked with several ministries and agencies, including the National Board of Revenue (NBR) and the ministries of agriculture, fisheries and livestock, and shipping, to address the EU's concerns over the NTBs.

The minister said Bangladesh was also preparing to begin negotiations with the EU for a free trade agreement (FTA), describing the issue as strategically important as the EU is Bangladesh's largest export market.

He also sought EU support for Bangladesh's request to defer its LDC graduation by three years.

Bangladesh has already secured recommendations from the UN Committee for Development Policy (CDP) and the Economic and Social Council (ECOSOC), and the matter is expected to be placed before the 81st session of the UN General Assembly, he said.

"EU support is very important for us in this process," he said, adding that strong support from the European Union would play an important role for Bangladesh.

Explaining some of the measures taken to remove the trade barriers, he said restrictions on the renewal of licences for 100-per-cent foreign-owned logistics companies had been removed.

The annual limit for the import of samples by exporters and businesses had also been doubled to $20,000 from $10,000 through the latest Import Policy Order, he added.

The government had also revised the customs valuation of smart cards used for product traceability, introducing two categories based on their actual value instead of applying duties to an artificially higher value, according to the minister.

However, the requirement to obtain a government no-objection certificate (NOC) 15 days before importing or exporting goods under the country's flag-vessel protection law remains unresolved.

The law requires 50 per cent of Bangladesh's imports and exports to be carried by Bangladeshi-owned vessels.

The minister said Bangladesh currently had around 122 vessels, including seven operated by Bangladesh Shipping Corporation and about 115 privately owned vessels, which were insufficient to carry half of the country's roughly $130 billion annual two-way trade.

He said the government would seek to resolve the issue by amending the relevant law.

EU envoy Michael Miller said the EU wanted to further deepen economic and political relations with Bangladesh.

He stressed the need to ensure a level playing field for EU businesses and investors operating in Bangladesh, citing the proposed purchase of Airbus aircraft as an example.

He also highlighted the first round of negotiations on a Bangladesh-EU FTA as an important step in strengthening bilateral economic ties.

The EU ambassador called for greater cooperation in areas including border management, intellectual property rights and human rights.

Replying to questions on Bangladesh's trade relations with the United States, the commerce minister said the government evaluated purchases from different countries on their own merits, rather than solely on the basis of headline prices.

He cited Bangladesh's planned purchase of LNG from a US company as an example, saying the company had offered 117 cargoes through 2038 at an average price of around $9 per unit, based on the index applicable when the cabinet committee approved the deal.

He also said Bangladesh imported wheat from the US because its wastage rate was lower than that of wheat sourced from some other countries, making it economically beneficial when the full cost was considered.

"We try to apply our best judgement based on the merits of each purchase, whether it is from the US, the EU, China, India, or elsewhere," he said.

The EU is Bangladesh's largest trading partner, with bilateral trade in goods reaching €23.3 billion in 2025.

Currently, Bangladesh enjoys a substantial trade surplus with the bloc, largely driven by garment exports. The EU imported nearly 94 per cent of its goods from Bangladesh in textiles in 2025.

As an LDC, Bangladesh currently enjoys duty-free and quota-free market access to the EU under the Everything But Arms (EBA) scheme, a key advantage for the country's export-oriented economy.

Singapore-based global hospitality giant, The Ascott Limited is eyeing Bangladesh as a potential growth market and is open to partnering with local property owners to bring its international hotel and serviced-residence brands to the country.

"Bangladesh is a market we are watching closely as part of our growth strategy in South Asia. The combination of business and leisure demand in destinations such as Dhaka, Chattogram and Cox's Bazar makes it a promising market for Ascott," an Ascott spokesperson told The Business Standard via email following an in-person conversation in Singapore.

The company, however, does not have any confirmed project to announce in Bangladesh at this stage. "While we don't have confirmed plans to share at this stage, we remain open to exploring partnerships with like-minded property owners to bring our brands and concepts."

Ascott's interest comes as Bangladesh's hospitality market continues to see demand from business travellers, tourists, expatriates and long-stay visitors, particularly in Dhaka and major tourism destinations such as Cox's Bazar.

"That demand profile is well suited to our flex-hybrid business model, which caters to different traveller needs, from short business and leisure stays to extended stays and relocation," the spokesperson said.

Asset-light expansion strategy

Unlike a conventional property investment model, Ascott primarily expands through management and franchise partnerships, allowing property owners and investors to develop or convert properties under its international brands without requiring Ascott to make the entire capital investment itself.

Ascott's growth as a global company is asset-light by design, driven by management and franchise partnerships rather than direct capital investment, the company said. Under this model, Ascott brings its hospitality expertise, operating systems and brands, while property owners can benefit from international management and distribution networks.

Across serviced residences, hotels, resorts, social-living properties and branded residences, the company works with property owners to address demand gaps, create distinctive guest experiences and generate long-term value.

Bangladesh fits its brand portfolio

Ascott has a diverse portfolio of brands covering the upper-midscale, upscale and luxury segments, giving property owners flexibility to target different categories of travellers.

Its brands include Ascott, Citadines, lyf, Oakwood Premier, Oakwood, Somerset, The Crest Collection, The Unlimited Collection, Adoor Apartment, Adoor Suites, Fox, Harris, POP!, Preference, Quest, Vertu and Yello.

The Ascott Limited is a wholly owned business unit of CapitaLand Investment Limited.

The company currently has more than 1,000 properties across over 230 cities in more than 40 countries, with a presence spanning Asia Pacific, Central Asia, Europe, the Middle East, Africa and the US. In South Asia, Ascott has 27 properties, mainly in India.

The general manager of a five-star hotel in Dhaka's Gulshan area told TBS, "The business model followed by global hospitality chains like Ascott is well-suited to Bangladesh. Local businesses are also looking for such opportunities to partner with global chains."

Bangladesh's first tourism master plan aims to attract 5.57 million foreign tourists by 2041. In recent years, Bangladesh has drawn over 0.6 million foreign passport holders annually.

Sustainability becomes growth priority

During a recent visit by a group of journalists from across Asia, including this correspondent, to three Ascott properties in Singapore, the company showcased how sustainability and innovation are being incorporated into its hospitality operations.

Siew Kim Beh, chief financial and sustainability officer at Ascott, said sustainability is being implemented across its properties in different ways.

"Across our properties, sustainability comes to life in different ways: from AI-powered cooling optimisation for energy efficiency and more accessible guest journeys for persons with disabilities, to initiatives that encourage guests to make more sustainable choices during their stay," she said.

At lyf Funan Singapore, the company showcased some of these initiatives, including a farm-to-table tea tasting using ingredients grown on the property's rooftop farm.

Ascott launched Ascott CARES, its global sustainability framework, in 2022. The framework is built around the Global Sustainable Tourism Council (GSTC) Standards and integrates environmental, social and governance (ESG) considerations into the company's operations and growth strategy.

Since then, Ascott has achieved GSTC-Committed Status, expanded GSTC certification across its portfolio and established science-based climate targets, including a target of net-zero Scope 1 and 2 emissions by 2050.

A severe wave of panic selling gripped the Dhaka Stock Exchange (DSE) yesterday, dragging all indices sharply into the red, with 89% of stocks declining and market capitalisation falling by Tk6,781 crore.

Intensifying risk-averse sentiment and aggressive sell-offs by both institutional and individual investors pushed DSEX, the broad market index, down by over 103 points to close at 5,558, according to bourse data.

Market participants attributed the sharp fall to the ongoing countrywide utility crisis, particularly involving gas and electricity, which has severely dampened investor confidence and driven investors to the sidelines to protect their portfolios from further erosion.

They also pointed to unexpected intervention by the stock exchange regarding large buy and sell orders, which has unsettled major individual investors, prompting many to stay on the sidelines out of caution.

According to DSE data, this is the first single-day fall of over 100 points in DSEX since the new commission assumed office in June.

On 5 April, DSEX had lost 107 points; since then, the index has seen volatility, but declines had not exceeded 100 points until yesterday. Two and a half months earlier, DSEX had stood at 5,554 points on 22 June, according to data.

Following that, the benchmark index gradually climbed to the 5,900 mark as investor participation rose slightly on hopes surrounding the new chairman and commissioners assuming office at the regulatory body.

However, since 11 August, DSEX has lost 345 points, while market capitalisation has plunged by Tk17,065 crore as market sentiment and investor participation deteriorated due to the issue of changing in margin rules and other factors.

Saiful Islam, president of the DSE Brokers Association of Bangladesh, told TBS, "Overall investor confidence remains shaky due to the worsening energy crisis, with no immediate solutions in sight."

He added, "We have received allegations regarding stock exchange interference in large buy and sell orders. We have taken this seriously, discussed the matter with regulators, and are trying to resolve the issue."

He said due to the alleged market interference, some large investors may have moved to the sidelines. "We are talking with regulators to solve the issue," he stated.

When asked about the nosedive in indices and turnover, Abul Kalam, spokesperson for the Bangladesh Securities and Exchange Commission (BSEC), said the current regulator does not interfere in the market, noting that the market experiences ups and downs driven by the forces of demand and supply.

"We did not detect any suspicious trading in our surveillance regarding the decline in the market. It is normal trading," he said.

89% stocks price down

As per data of the DSE, an 89% stock price declined as massive sell-offs gripped the market since the beginning of the trading sessions yesterday.

Of the traded 389 stocks, 348 stocks prices declined, while 20 advanced and 21 remained unchanged. Of the advanced stocks, mutual funds dominated the gainer chart.

Trading session started on a positive note but did not sustain after two minutes as heavy sell-offs dumped rapidly with panic selling accelerating between 12pm and 2pm yesterday as stop-loss triggers and margin pressures forced investors to offload holdings.

Analysts attribute this sharp pullback to persistent macroeconomic uncertainty, institutional profit-taking, and a lack of fresh triggers to rebuild investor confidence in the short term.

EBL Securities in its daily market commentary said, the capital bourse suffered the brunt of intense selling pressure in the opening session of the week, dragging the benchmark index down by more than 100 points to a two and a half month low, as the market pulse swiftly shifted to a bearish tone amid prolonged uncertainties over a nationwide gas and electricity crisis, along with apprehensions over a sharp downturn in corporate earnings.

"From the outset of the session, the broad index remained on a downward trajectory as sector-wide sell-offs swept across the trading board, reflecting widespread risk aversion among investors. The relentless selling spree intensified in the latter half of the session, triggering broad-based erosion across equities and further weighing on investors' already battered portfolios, it said.

On the sectoral front, Textiles sector accounted for the highest share of turnover by 28.8%, followed by General Insurance 14.2% and Pharma 11.2%.

All the sectors posted negative returns, where General Insurance, Textile and Paper exhibited the most corrections on the bourse.

The port city bourse, CSE, also ended in negative terrain. The Selective Categories' Index (CSCX) and All Share Price Index (CASPI) lost 88.1 points and 171.0 points, respectively.

A new option for Bangladesh’s long-term LNG import infrastructure has been proposed, with Novatek Middle East presenting a $950 million gravity-based structure (GBS) as a cheaper and longer-lasting alternative to a conventional land-based LNG terminal.

The company presented the concept to Petrobangla yesterday. The proposed facility would be built in the Bay of Bengal as a fixed offshore terminal for receiving, storing and regasifying imported LNG (liquefied natural gas), with a regasification capacity of 7.5 million tonnes per annum (MTPA).

According to Novatek’s presentation, the GBS would cost about $950 million, compared with an estimated $1.2 billion for a conventional 7.5-MTPA land-based terminal. This would make the offshore option about $250 million, or 21 percent, cheaper in initial capital costs.

However, the figures are based on the company’s own estimates and have not been independently verified. They have also not been compared with the government’s feasibility study for the planned 7.5-MTPA land-based LNG terminal at Matarbari.

The proposal remains at a very early stage, and Novatek has not yet submitted a formal proposal.

“It was a very preliminary-level presentation. We have learned from them. We would discuss it later with the higher-ups,” a top Petrobangla official told The Daily Star.

OFFSHORE STRUCTURE COULD OFFER LONGER LIFE

The main difference between the proposed GBS and a conventional LNG terminal is where the infrastructure is located.

A land-based terminal keeps LNG storage tanks and regasification facilities on the coast, with LNG carriers unloading through marine facilities. A GBS would instead place the storage and regasification facilities offshore on a large reinforced-concrete structure fixed to the seabed. The gas would then be sent to the national grid through a subsea pipeline.

Both systems perform the same basic functions: receiving LNG, storing it, converting it back into gas and supplying it to the gas network.

Novatek has identified deep-sea areas around Moheshkhali and Matarbari as possible locations.

The company estimates that a GBS could be built in 30 to 36 months and have a design life of 60 to 80 years. A conventional land-based terminal would take about 48 to 60 months to build and have a design life of 40 to 60 years.

An FSRU (floating storage and regasification unit), meanwhile, could be deployed in 24 to 30 months but would have a design life of only about 15 years, according to the presentation.

Bangladesh currently imports LNG through two FSRUs at Moheshkhali and plans to add a third. The government has also revived efforts to develop its long-delayed 7.5-MTPA land-based LNG terminal at Matarbari.

The GBS proposal could therefore offer another option as Bangladesh faces a persistent gas shortage, declining domestic gas production and growing dependence on imported LNG.

Recent disruptions at the country’s FSRUs have also exposed the vulnerability of LNG import facilities to technical problems and adverse weather. Reduced LNG send-out during such disruptions has further squeezed gas supplies to power plants and industries.

TWO DESIGNS AIM TO WITHSTAND SEVERE WEATHER

Novatek has proposed two GBS configurations. The larger one would have gross LNG storage capacity of about 290,000 cubic metres, while the smaller one would hold about 194,000 cubic metres.

Both would have 7.5 MTPA of regasification capacity, 1 MTPA of LNG bunkering capacity and 42MW of captive power generation capacity. The larger structure would also be capable of receiving the world’s largest LNG carriers, according to the presentation.

Weather resilience is one of the main advantages claimed for the technology. Novatek describes the GBS as a stationary, all-weather terminal with “very high” resistance to cyclones. FSRUs, by comparison, can face operational disruptions from strong winds, high waves and currents.

These claims, however, would need to be tested for the proposed site. The presentation itself calls for a detailed study of weather and marine conditions, including extreme winds, waves, storm surges, currents, seabed conditions and the safe berthing and transfer of LNG carriers.

The main GBS facility would not require coastal land, according to the proposal. Some onshore infrastructure would still be necessary, however, to connect the subsea gas pipeline to the national transmission network.

The technology draws on GBS structures developed by Russia’s Novatek, which has used large concrete gravity-based structures for its Arctic LNG 2 project.

The application in Bangladesh would be different. The Arctic LNG 2 structures house LNG production and liquefaction facilities, while the proposed Bangladesh facility would receive imported LNG, store it and convert it back into gas for domestic use.

‘Virtual pipeline’ and regional hub planned

The proposal also includes a second phase in which small, shallow-draft vessels would transport LNG from the offshore terminal to riverbank facilities near Meghnaghat, Ashuganj, Ghorashal and Bheramara.

Novatek calls this a “virtual pipeline” that could supply major gas-consuming areas without relying entirely on the existing pipeline network.

The idea comes as the government is also exploring the use of ISO tanks from Malaysia to transport LNG to gas-starved areas outside the main gas network.

ISO tanks would carry LNG in standardised cryogenic containers by road or other transport modes and would serve relatively small volumes. Novatek’s proposed system, in contrast, would move much larger volumes using dedicated LNG vessels to riverbank regasification facilities.

Novatek also sees the GBS becoming a regional LNG transhipment and bunkering hub. The presentation identifies potential shipments from Bangladesh to India, Pakistan, Sri Lanka, Vietnam, Malaysia and Indonesia using small and medium-sized LNG vessels.

Novatek has proposed an investment model based on foreign direct investment, but the presentation does not provide details on the commercial structure, tariffs, financing costs or expected investor returns.

A delegation of QatarEnergy, Bangladesh's largest contracted liquefied natural gas (LNG) supplier, is coming soon to find a possible way of resuming the LNG supply as its cargo halt created fuel furors in the country.
QatarEnergy stopped supplying LNG to Bangladesh immediate after the outbreak of the US-Israel war on Iran in the Middle East and restrictions on the passage of vessels through the strategic Strait of Hormuz.

The Middle-Eastern company announced 'force majeure' on March 4 to cease LNG supply to Bangladesh, and since then, it had extended the taboo every month. And under its latest announcement, QatarEnergy was not to send gas cargos until September.

The LNG-marketing team of QatarEnergy is expected to hold discussion with top officials of state-run Petrobangla and its subsidiary Rupantarita Prakritik Gas Company Ltd (RPGCL) on September 9.

"The visit of this team to Bangladesh is a follow-up to the visit of a high-powered Bangladeshi delegation to Qatar a couple of week ago," a senior official of the Energy and Mineral Resources Division (EMRD) under the Ministry of Power, Energy and Mineral Resources (MPEMR) told The Financial Express on Sunday.

Qatar had assured Bangladesh of all possible support in ensuring energy security, particularly amid the current challenging circumstances, during a meeting between Foreign Minister Khalilur Rahman and Qatar Prime Minister and Foreign Minister Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani in Doha, he said.

Describing Bangladesh as a brotherly country, the Qatari prime minister had assured the Bangladeshi delegation, also comprising state minister for the MPEMR Aninda Islam Amit, of extending all possible support to Bangladesh in ensuring energy security.

"QatarEnergy has been showing positive intentions to help Bangladesh in coming out of the energy crisis after the visit of the Bangladeshi delegation," says Petrobangla Chairman Md Abdul Mannan.

He told the FE that the Qatari company already had expressed intention to supply at least one LNG cargo soon and ensure smooth LNG supply from next year.

Sources have said supply halt of LNG by Qatar has been affecting Bangladesh badly as at least 70 per cent of Bangladesh-bound LNG delivery is currently being affected as a consequence.

According to S&P Global Energy CERA data, Bangladesh received about 60 per cent of its LNG-import requirements from Qatar in 2025.

Apart from QatarEnergy, several long-term and short-term suppliers, including OQ Trading International of Oman and US's Excelerate, also stopped supplying LNG to Bangladesh as they were to source it from Qatar, market insiders said.

Bangladesh is currently struggling to meet its gas demand amid elevated LNG prices and as contracted long-term LNG suppliers continue to restrict scheduled cargo deliveries, they said.

Due to disruptions to long-and short-term LNG supplies, Bangladesh is being compelled to rely more on volatile spot market to source LNG to mitigate potential shortages after supplies from the Middle East were restricted due to navigation disruptions through the Strait of Hormuz.

State-run Petrobangla is being compelled to buy LNG at over US$ 28 per million British thermal unit (MMBtu) to supply natural gas to industries, power plants, households and other gas-guzzling consumers.

If Qatar would supply LNG, the price would have less than half of spot market rates, even amid the current high price of energy on the international market with the Brent crude price hovering around US$96 per barrel.

The country's overall natural gas supply was about 2,334 million cubic feet per day (mmcfd) with 702mmcfd of regasified LNG, according to official Petrobangla data as of September 5.

Bangladesh's natural gas demand is around 4,000mmcfd, according to Petrobangla.

State-run Petrobangla has been rationing gas to industries, power plants and other consumers to cope with a supply shortage of natural gas.

Non-performing loans (NPLs) at six state-owned banks stood at Tk1.47 lakh crore at the end of June, with Janata Bank alone accounting for more than half of the total.

Janata Bank topped the list with Tk75,396 crore in NPLs, followed by Agrani Bank at Tk29,029 crore, Rupali Bank at Tk19,281 crore and Sonali Bank at Tk15,048 crore. BASIC Bank had Tk8,131 crore, while Bangladesh Development Bank had Tk888 crore in NPLs.

Finance Minister Amir Khosru Mahmud Chowdhury disclosed the figures yesterday in reply to a question from Jamaat MP Md Abdul Alim of Bagerhat-4 during the parliamentary session chaired by Deputy Speaker Kayser Kamal.

According to the latest Bangladesh Bank data, the banking sector's total NPLs reached Tk6,06,555 crore at the end of June, accounting for 32.78% of total loans. NPLs rose by Tk17,851 crore from Tk5,88,704 crore three months earlier.

Loans waived for 14 lakh farmers

In reply to Chuadanga-4 MP Md Ruhul Amin, the finance minister said loans, including interest, of 1,434,482 farmers who had borrowed up to Tk10,000 were waived between the government's assumption of office and July 2026.

The government paid Tk1,352.74 crore to banks to settle the waived loans.

Asian wheat importers, including Bangladesh, have bought at least half a million metric tons of Australian and Argentinean wheat in recent deals, three trade sources said, as buyers scramble to replace Black ​Sea cargoes delayed by attacks on vessels and grain export infrastructure.

Importers in the region, including ‌Indonesia, the world's second-largest wheat buyer, are paying sharply higher prices for alternative supplies, they said, with several countries relying heavily on imports to meet domestic demand.

"There have been bulk deals in the last one week to 10 days for ​Australian as well Argentinian wheat to fulfil urgent needs," said one Asian-based trader at an international ​trading company which supplies wheat to millers in the region.

"Importers are trying to take ⁠alternative shipments for cargoes that have not arrived from Russia and Ukraine."

Global wheat importers are facing tight supplies ​as Russian and Ukrainian attacks on ports and vessels have disrupted grain terminals, forcing shippers to delay or ​cancel loadings of dozens of cargoes during the peak export season.

US agricultural commodity group ADM said on Wednesday that a drone strike on August 31 damaged its UEP grain terminal at the Ukrainian Black Sea port of Odesa.

Buyers paid around $315-$330 per ton, ​including cost and freight, for Australian Premium White wheat, while deals for Argentinean wheat were concluded around $310-$315 ​per ton, traders said.

This compares with most Black Sea cargoes booked around $260 to $280 per ton for August-September arrivals.

Benchmark Chicago futures ‌have climbed ⁠about 35% since late June, fuelled largely by a shortfall in Black Sea supplies, while cash prices have jumped across rival exporters Argentina, Australia and the United States.

CBOT wheat reached its highest level in 3-1/2 years on Tuesday after reports Moscow had rejected a moratorium on attacks in the Black Sea region and ​launched overnight strikes on Ukrainian ​port infrastructure.

Grain processors in ⁠Asia have booked about 2.0 million to 2.5 million tons of Black Sea wheat for July-September shipment, or about 30% to 50% of import demand. Yet growing ​shipping delays have fuelled concerns that a portion of the grain may fail ​to reach ⁠buyers.

Besides Indonesia, other Asian buyers of Black Sea wheat include Bangladesh, Vietnam, Malaysia, Thailand and Sri Lanka.

While buyers are securing bulk volumes of Australian and Argentine wheat, some have turned to container shipments to meet immediate needs, ⁠traders said.

"Some ​millers are preferring containers as they have agreed with suppliers to ​further delay the arrival of Black Sea cargoes," said a second Asia-based trader. "They don't want to take on too much exposure to ​high prices, so they are using containers to meet their immediate needs."

Import-export activities between Bangladesh and India through Hili land port in Dinajpur resumed yesterday after remaining suspended for six days due to an indefinite strike by Indian traders.

Md Anwar Hossain, deputy director of the Customs Preventive Department at Hili land port, confirmed the resumption of activities to BSS around 4:30pm yesterday.

The activities resumed after Indian traders withdrew their indefinite strike at noon yesterday following assurances from the Indian government and administration.

With the reopening of the port, business activities have returned to normal, bringing renewed bustle among traders, customs officials, transport workers and others associated with the port.

Md Shahinur Islam Mondal, general secretary of the Hili Customs C&F Agents Association, said many traders at Hili in India had been suffering financial losses as the port was lagging behind other land ports in West Bengal in terms of commercial competition.

He said a section of the traders had decided to suspend import-export activities indefinitely over the issue, resulting in a complete halt to the movement of goods between the two countries through Hili land port for the past six days.

By 4:30pm, five trucks carrying imported Indian goods had entered Bangladesh through the port.

After the resumption of trade, Bangladeshi cargo trucks also started entering India, while trucks carrying various goods from India began entering Bangladesh. Arrangements were made for the immediate unloading of imported goods, and cleared consignments were transported to different parts of Bangladesh by local trucks, port authorities said.

Meanwhile, SI Md Zakaria, officer-in-charge of Hili Immigration Checkpost, said the movement of passport-holding passengers between the two countries had remained normal despite the suspension of import-export activities.

He said passenger movement through the immigration checkpost was continuing smoothly.

Bangladesh's per capita debt stood at Tk1,29,239 as of 31 March 2026, Finance Minister Amir Khosru Mahmud Chowdhury told parliament today (6 September).

He disclosed the figure in response to a question from Kushtia-1 lawmaker Reza Ahmed during the question-and-answer session in parliament.

The finance minister said the government was prioritising higher revenue collection, efficient management of public finances and disciplined debt management to reduce the debt burden on citizens.

The government is also taking steps to reduce its reliance on borrowing by increasing its own revenue, while seeking to lower financing requirements through more cost-effective and productive public spending and by curbing unnecessary expenditure, he said.

Khosru said the government was also placing greater emphasis on debt management to keep the country's borrowing requirements under control.

In another response to question from Cox's Bazar-3 lawmaker Lutfor Rahman, Khosru said Bangladesh had borrowed $81.83 billion from abroad between 2010 and June 2024.

During the same period, the government repaid $17.11 billion in principal and $6.04 billion in interest on its external debt.

Shares of Sharp Industries PLC have plunged 56% in 16 trading sessions on the Dhaka Stock Exchange (DSE), following a sharp rally that prompted the Bangladesh Securities and Exchange Commission (BSEC) to order an investigation into the company's abnormal share price movement and trading activities.

According to DSE data, the share price fell from Tk44.10 on 12 August to Tk19.50 today(6 September), losing Tk24.60, or nearly 56%, in 16 trading sessions.

The decline came after the stock had more than doubled in value in less than two months. On 15 June, the share was trading at around Tk17. It subsequently surged to Tk44.10 on 12 August, gaining Tk27.10, or around 156%, in nearly eight weeks.

Following the unusual rise in the share price and trading volume, the BSEC instructed the DSE to investigate the company's trading activities. Earlier, the DSE had sought an explanation from Sharp Industries regarding the abnormal movement.

The company informed the DSE that it had no undisclosed price-sensitive information that could explain the unusual movement in its share price.

The DSE investigation is expected to examine the trading pattern of the company's shares and determine whether there was any market manipulation, unusual or coordinated trading, misuse of inside information or violation of securities laws and regulations.

The sharp fall has now erased a significant portion of the gains recorded during the stock's rapid rally. The share price is currently more than 55% below its 12 August peak.

The unusual price movement has come at a time when the textile spinning company is facing significant operational challenges, particularly shortages of electricity.

Power shortages have reduced the company's production by around 40%, according to company information. Sharp Industries has production capacity of around 70 tonnes of yarn per day, but its current output has fallen to about 42 tonnes.

The company operates around 1,20,000 spindles. The production disruption has also put pressure on its financial performance.

During the first nine months of fiscal year 2025-26, the company reported revenue of around Tk257 crore but incurred a net loss of Tk65 crore. Its loss per share stood at Tk2.16, while net asset value per share was Tk7.92 as of March 2026.

In the January-March quarter, the company generated around Tk56 crore in revenue and incurred a loss of approximately Tk21 crore. Its accumulated losses stood at around Tk78 crore at the end of March.

Despite the financial pressure, the company sees several factors that could support its business recovery.

According to the company, it has confirmed orders for six months, while yarn prices have increased. Higher export incentives and reduced pressure from India's anti-dumping measures are also expected to support the business.

The company expects that an improvement in electricity supply would allow it to increase production, utilise more of its existing capacity and fulfil its confirmed orders. It also sees an opportunity to secure additional orders as production disruptions at competing factories constrain market supply.

Shares of Aamra Networks Limited plummeted by 10.60% today (6 September), hitting a multi-year low after the company recommended a nominal 1-paisa dividend for its general shareholders for the fiscal year ended 30 June 2025.

The sharp decline in the stock price followed the removal of standard price limits (circuit breakers) for the session, a typical regulatory procedure following a corporate dividend declaration.
According to a price-sensitive statement filed with the Dhaka Stock Exchange (DSE), the company's board recommended a 0.10% cash dividend, equivalent to Tk0.01 or 1 paisa per share. The payout is exclusively for general shareholders, while sponsors and directors, who collectively hold 3.07 crore shares, will receive no dividend. The total payout to public shareholders' amounts to just Tk6.22 lakh.

The announcement triggered heavy selling, sending the share price down to Tk17.70 from its previous close.
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The investor backlash comes on the heels of a disastrous financial report. For FY25, Aamra Networks reported an earnings per share (EPS) of just Tk0.13, a massive drop from the Tk2.46 recorded in the previous fiscal year.

The company's liquidity position has also turned critical. Its net operating cash flow per share (NOCFPS) swung to a negative Tk0.69 from a positive Tk2.72 a year earlier, while its net asset value (NAV) per share edged down to Tk36.14.

Management attributed the collapse in profitability to a combination of falling sales and rising operating costs. However, a senior official at Aamra Networks, speaking on condition of anonymity, revealed a deeper systemic crisis.

"The company is grappling with an acute fund shortage primarily because our corporate clients have failed to clear significant dues for services rendered. This has essentially crippled our cash flow and operational flexibility," the official said.

Aamra Networks has been struggling to regain its market standing since being downgraded to the 'Z' or junk category in February 2025 after failing to disburse an approved 10% dividend for FY24

The company also faces further administrative hurdles. As it failed to hold its Annual General Meeting (AGM) within the legally mandated timeframe, it must now seek High Court permission to convene the meeting and finalise the 1-paisa dividend.

The record date for the dividend has been set for 24 September 2026.

Bangladesh's gross foreign exchange reserves have reached $36.38 billion, underscoring a cautious stabilisation of the country's external finances.

According to data released by Bangladesh Bank, reserves calculated under the International Monetary Fund’s rigorous manual (BPM6) stood at $31.47 billion on Sunday.

The current reserve position points to a steady accumulation of foreign currency, driven largely by remittance inflows and export receipts.

While global commodity pricing and debt servicing continue to test the economy, $31.47 billion usable reserves provide the central bank with headroom to manage exchange rate volatility.

Even at the higher end of the import bill ($6.5 billion per month), the BPM6 reserves provide about 4.8 months of cover.

This remains above the IMF’s standard minimum safety threshold, which recommends maintaining at least three months of import coverage to absorb external economic shocks.

The Bangladesh Bank (BB) has increased the annual foreign exchange travel entitlement for Bangladeshi nationals to $18,000 from $12,000, aiming to facilitate genuine travel-related foreign exchange requirements.

In a circular yesterday, the BB allowed authorised dealers (ADs) -- commercial banks permitted to handle foreign exchange transactions -- to release foreign exchange of up to $18,000, or the equivalent amount, per calendar year to an adult Bangladeshi national residing in the country for travel abroad.

The decision has been taken with a view to facilitating genuine travel-related foreign exchange requirements of Bangladeshi nationals and considering the evolving needs of international travel, said the central bank. The entitlement for minors below 12 years of age will remain at 50 percent of the amount admissible for adults.

The BB has also retained the existing restriction on the release of foreign exchange in the form of US dollar notes. Cash dollar releases will remain capped at $5,000 per person, within the applicable annual travel entitlement.

The move is expected to provide greater flexibility to Bangladeshi travellers in meeting legitimate expenses related to overseas travel, including tourism, family visits and other permissible purposes, said a senior BB official.

Bangladesh has one of the highest costs for remittance transfers among the least developed countries (LDCs), with the average transaction cost of sending remittances to the country standing at 7-8 percent.

According to the latest global trade update by the United Nations Conference on Trade and Development (UNCTAD), Bangladesh was featured in a 2023 remittance transfer benchmark by the World Bank.

Bangladesh is one of the top 10 remittance-receiving countries in the world, thanks to millions of migrant workers, mainly in the Middle East, who send money home, helping the country meet much of its external payment needs.

The UNCTAD report said LDCs account for half of the countries with the highest remittance costs globally. Benin and Angola have the highest remittance transfer costs, while Lao PDR and Haiti have the lowest among LDCs.

“However, real progress has been made, particularly in Africa,” said the UNCTAD report, released on September 4.

Bangladesh is one of the top 10 remittance-receiving countries in the world, thanks to millions of migrant workers, who send money home, helping the country meet much of its external payment needs

The report said mobile money use among adults in sub-Saharan Africa rose from around 27 percent in 2021 to about 40 percent in 2024. The Pan-African Payment and Settlement System (PAPSS) is also helping to lower cross-border transaction costs and reduce reliance on offshore clearing.

UNCTAD said trade in digitally deliverable services is growing rapidly, but LDCs are not keeping pace.

It said that over the past decade, global services exports expanded by about 6.7 percent annually, outpacing goods exports, and increased by 8.3 percent in 2025.

“The expansion of digitally deliverable services (DDS) has been an important driver of this growth, enabled by the spread of digital platforms, cloud computing and improved connectivity in some regions,” it said.

DDS trade grew faster than total services, at an average annual rate of 7.1 percent, and now represents 56 percent of global services exports.

LDCs have benefited far less from this growth. Their services exports grew by only 3 percent annually over the same period, while their share of global services exports, already below 1 percent in 2010, declined further to just 0.6 percent in 2025.

Moreover, digitally deliverable services, which include telecommunications, computer services and professional consulting, now account for 56 percent of global services exports. In developed economies, DDS accounts for 61 percent of services exports, compared with only 16 percent in LDCs.

After 2020, LDC DDS exports showed very little progress, widening the gap with the rest of the world, said the report.

The UNCTAD report also highlighted “servicification” — the growing use of services as inputs across all sectors, such as logistics, finance, design and data management.

“Servicification has emerged as a key driver of economic diversification, structural transformation and participation in global value chains,” it said.

By 2022, services accounted for 71 percent of global intermediate inputs, ranging from 78 percent in developed economies to 61 percent in developing economies. In LDCs, services accounted for 58 percent of intermediate inputs.

UNCTAD said services represent 33 percent of intermediate inputs in industrial goods exports globally, but this drops to just 13 percent in LDCs, including Bangladesh.

“Services should be viewed not only as a sector in their own right but also as critical inputs into the production and export of goods. The quality, cost and availability of services directly affect competitiveness and participation in global value chains across all sectors,” it said.

The role of services in developing countries’ trade is often underestimated because the services embedded in goods exports are not adequately measured, it added.

“Unlocking the benefits of servicification, the growing use of services as inputs across all sectors, requires targeted action to strengthen data governance, digital infrastructure, regulatory frameworks and participation in trade negotiations, particularly for developing and least developed economies,” it added.

The UNCTAD report said services are reshaping global trade, but poor connectivity, costly cross-border payments and skills gaps continue to restrict participation by developing countries.

“Artificial intelligence may widen the gap because computing capacity, data, finance and expertise remain concentrated in a few economies.”

The report also flagged sluggish progress in multilateral rules on digital trade. It said divergent provisions in regional and bilateral agreements have increased regulatory complexity.

“Developing countries need better data, stronger digital infrastructure and greater capacity to shape emerging rules.”

It is very concerning that, despite having sufficient deposits in their bank accounts, depositors cannot withdraw funds because of liquidity crises and the inability of many banks and NBFIs to honour cheques or requests. Serious patients could not receive medical treatment, while emergency family needs, including higher education, could not be met. A few banks and NBFIs are still running well, but they can be counted on one hand. The issue came to the surface after August 5 of 2024, when owners fled or went into hiding, boards were restructured, top management changed and, in some cases, the central bank appointed administrators.

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Political will to ensure good governance is critical. Putting the right people in the right places is also important. Undue interference by the government and regulators should be avoided.

The question is why this happened when the central bank is responsible for monitoring and regulating the banking and financial systems, alongside the Ministry of Finance. The position on bad loans was kept suppressed, with the central bank exercising undue power over the quantum of provisions for bad and doubtful debts. It introduced tripartite meetings after statutory audits and dictated matters to external auditors, jeopardising their independence. Our experience over the past decade shows this weak governance. Tripartite meetings should only resolve disputes between clients and banks. In Bangladesh, this mechanism has been thoroughly misused.

Governance failures are apparently the key reason for this situation. Laws, rules and regulations were not adhered to; policies were not followed as they should have been; directors, especially chairmen, did not play their role as custodians, and independent directors failed to meet the expectations of depositors. Internal audit teams also failed to play their due role. Undue board influence, lack of professionalism and weak ethical standards also contributed. The failures of external auditors and senior management cannot be ignored.

My experience as a nominated director of a state-owned bank for about two years and an NBFI for more than five years was rewarding. The NBFI managed its asset quality very well. Even as an auditor for an NBFI, I had to discontinue my audit after one year of a three-year rotation because of a disagreement over the quantum of provisions for bad and doubtful debts. Neither the central bank nor the Ministry of Finance asked me about my discontinuation.

In the absence of a strong capital market, the main source of business finance is funding from banks and NBFIs. When banks and NBFIs are weak, and in some cases insolvent, business, trade, and industrialisation have no way but to suffer, while economic growth is severely affected.

Institutions are built over many years. When they fail to perform and financial systems break down, restoring them is difficult. Bangladesh is experiencing such a phase.

Political will to ensure good governance is critical. Putting the right people in the right places is also important. Undue interference by the government and regulators should be avoided. In cases of gross negligence or motivated decisions, wrongdoers should be subject to independent investigation by credible agencies. If proved guilty, they should be held accountable. Bad practices must not be repeated.

Ultimately, the situation must be addressed with due attention to timelines. Delays can be costly, and Bangladesh cannot afford them. Based on media reports, it is also alarming that the economy is likely to turn around only after four years. Although there is no visible basis for this statement, it is nevertheless hopeful that at least a ray of hope can be seen. Let us hope for the best.

Bangladesh has resolved 48 of 61 non-tariff barriers identified in bilateral trade with the European Union (EU), while work is underway to address the remaining 13, Commerce Minister Khandakar Abdul Muktadir said today (6 September).

He disclosed the information at a joint press briefing at the Commerce Ministry in Dhaka following a meeting with officials of the EU Delegation to Bangladesh.

EU Ambassador Michael Miller, Adviser to the Finance and Planning Ministry Rashed Al Mahmud Titumir, State Minister for Foreign Affairs Shama Obaid, State Minister for Planning Zonayed Abdur Rahim Saki and senior officials of the commerce and foreign ministries attended the briefing.

The commerce minister said the EU had earlier raised concerns over several non-tariff barriers affecting bilateral trade. Of the 61 issues identified, 48 have been resolved, while efforts are continuing to address the remaining 13.

He said an EU delegation led by the bloc's ambassador had raised several specific trade-related obstacles in March after the government took office.

Since then, coordinated efforts involving the National Board of Revenue (NBR) and the agriculture, fisheries and livestock, and shipping ministries, among others, had helped resolve most of the issues.

Among the barriers addressed were complications over licence renewals for 100% foreign-owned logistics companies, an increase in the annual limit for importing commercial samples from $10,000 to $20,000, and customs valuation issues involving scanning smart cards used for export traceability.

The minister also said Bangladesh had formally sought EU support for its proposal to defer graduation from the least developed country (LDC) category by three years.

He expressed hope that the EU would support the proposal and that it would eventually be approved.

Muktadir said the issue is expected to come up for a decision at the 81st session of the United Nations General Assembly this month.

He said Bangladesh had therefore sought EU cooperation in support of the proposal.

The minister added that recommendations from the UN Committee for Development Policy (CDP) and the Economic and Social Council (ECOSOC) regarding the deferment proposal had been positive.

Preparations are also advancing for talks with the EU on a free trade agreement (FTA) and an investment protection agreement.

EU Ambassador and Head of Delegation Michael Miller said the European Commission had responded positively to Bangladesh's formal proposals for both agreements.

He said joint technical discussions could begin as early as this week once the necessary approvals from EU member states are completed.

Miller said a transparent, stable and competitive business environment would be necessary to deepen economic cooperation between Bangladesh and the EU.

He added that both sides would benefit from greater transparency and fair competition in public procurement.

The ambassador also expressed hope that discussions on Airbus procurement would move forward as part of efforts to expand aviation and trade cooperation between Bangladesh and the EU.

Responding to a question on imports from the United States, the commerce minister said Bangladesh makes import decisions based on national interest, economic rationale and public need.

He said government procurement decisions involving energy, including LNG, and foodgrains are approved after considering competitive prices, product quality and wastage rates.

Bangladesh's trade policy is not driven by the influence of any particular country, he said, adding that the country's economic interests and public welfare remain the main considerations behind such decisions.

European Union’s Ambassador Michael Miller yesterday called on the government to ensure a level playing field in Biman Bangladesh Airlines’ aircraft purchase, as the government is set to buy Boeing planes over European rival Airbus.

Speaking at a press conference following a meeting on non-tariff barriers in trade between Bangladesh and the EU at the commerce ministry, he also said the bloc was ready to launch formal negotiations towards signing a Free Trade Agreement (FTA) soon.
In response to journalists raising the issue of Biman’s aircraft purchase, the EU envoy said Bangladesh should take “public procurement” decisions “on the basis of commercial merit”.

“Our economic operators are able to compete as best they can with the economic operators from any given country,” Miller said.

“Actually, to get the best value for your taxpayers’ money, in our view, Airbus has an incredibly competitive offer. It should be taken very seriously and we look forward to the very swift conclusion of negotiations between Airbus and Biman,” the ambassador added.

A prospective Airbus deal had gained traction in 2023 through high-level European engagement. Under the previous Awami League government, a decision to buy 10 Airbus planes had been announced, but the interim government shifted towards Boeing after Sheikh Hasina’s ouster in August 2024 and amid pressure over US tariffs.

Later, Biman signed a $3.7 billion deal with Boeing on April 30 to acquire 14 aircraft, concluding more than three years of competition between Boeing and Airbus for the airline’s next major fleet order. Days later, Airbus submitted a fresh proposal to sell Biman 10 aircraft, which Biman was reportedly evaluating.

FTA TALKS AFTER ‘VALIDATION’ FROM EU MEMBERS

Speaking on the signing of an FTA, Miller said Bangladesh has requested for talks regarding an FTA and an investment protection agreement with the EU.

The European Commission president has already told Prime Minister Tarique Rahman that the EU is ready to explore where the common ground exists for the FTA, according to Miller.

He said negotiations on both the FTA and an investment protection agreement would begin once EU member states complete a validation process expected later this week.

He said such agreements typically cover a wide range of areas beyond tariffs, including e-commerce, intellectual property protection, and trade and human rights.

On Bangladesh’s request for support on a three-year deferment of its Least Developed Country (LDC) graduation, Miller said the EU has been discussing the frictions in the relationship and the steps the government has taken or plans to remove them.

“At a moment when the international rules-based order is under incredible pressure, we are your reliable partners,” he said.

“We believe in the rule of law, we believe in fair and transparent procedures, we believe in multilateralism, all of which should be music to the ears of Bangladeshi colleagues, businessmen and citizens,” he added.

Meanwhile, Commerce Minister Khandakar Abdul Muktadir said Bangladesh has resolved 48 of 61 non-tariff barriers raised by the EU and is processing solutions for the remaining 13, after the EU flagged them in March.

A decision on Bangladesh’s request for LDC deferment is expected at the UN General Assembly’s 81st session later this month.

Talks to launch FTA negotiations may begin in the near future, he added.

The minister also mentioned two recent US purchases as examples of value-based procurement.

He cited an American company’s offer to supply 117 LNG cargoes through 2038 at an average price of around $9, based on index pricing, which the cabinet committee on government purchase approved.
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“We considered that to be a good offer, so we approved it,” he said,

The minister also cited wheat imports from the US. “Compared with wheat that we import from other sources, the percentage of wastage in that wheat is much lower. If you translate that into monetary value, it becomes more cost-effective.”

He said when it comes to making purchase decisions, instead of just considering the face value, several factors have to be taken into account, including overall savings, the long-term benefits.

“Whenever we make any purchase – from America, the European Union, or anywhere else, including China or India – we try to apply our best judgment based on the merits of each purchase individually,” the minister added.

The manager of Norway's $2.3 trillion sovereign wealth fund has proposed significantly cutting its exposure to US Treasuries as part of ‌a wider shake-up of its bond investments to improve returns, according to a letter published this week.

Norges Bank Investment Management has recommended reducing its weighting to government bonds within its benchmark bond index to 50% from 70%, with US Treasuries, the biggest holding, getting the biggest cut, according to the letter.

The changes would mean cutting nearly $80 billion from the fund's current holdings of about $215 billion of US Treasuries as of the end of June, according to Reuters' calculations.

Government bond markets have been under pressure recently, with long-term borrowing costs soaring as rising inflation and government debt levels spooked investors.

Norway's sovereign wealth fund, the world's largest, owns on average 1.5% of ⁠all listed companies globally. Its scale means that portfolio decisions can influence broader market flows. Any cuts to its bond holdings are unlikely to be implemented until several months into 2027 at the earliest.

The letter containing the fund's proposals was sent in response to questions from Norway's finance ministry about the wealth fund's investment strategy for bonds.

Norges Bank IM said it would await the ministry's response, and any changes would be done gradually to limit market impact and transaction costs.

The proposals will form part of recommendations to the ministry in January. They will be discussed as part of the fund's annual white paper process next spring, after which the ministry will make a final recommendation to parliament which will then hold a hearing, a Norges Bank IM spokesperson said.

"We recommend that the government subindex of the bond index be reduced from 70% to 50%," Ida Wolden Bache, governor of Norges Bank, and Norges Bank IM CEO Nicolai Tangen wrote in the letter.

"A government share of 50% will be ‌sufficient to ⁠cover the liquidity needs, including in periods of turbulence in financial markets."

The fund also proposed considering an increase in investments in unlisted assets in a separate letter, in part as a way to reduce concentration risks that have grown in its equity portfolio amid the boom in the share prices of a handful of US tech companies.

Under its current mandate, the fund can own unlisted real estate and renewable energy assets, but it has a lower share of unlisted investments than comparable funds.

Companies will not be shut down solely because of graft allegations against individuals, Finance Minister Amir Khosru Mahmud Chowdhury told parliament today (6 September).

"If there are allegations of corruption against an individual, a case can be filed against that person and they will be tried according to the law. But a company's operations cannot be shut down because of an individual," he said.

Khosru made the remarks in response to a supplementary question from Noakhali-6 lawmaker Abdul Hannan Masud during the question-and-answer session in parliament over the provision of new loans to S Alam Group, which has been accused of loan default.

The session was chaired by Deputy Speaker Kayser Kamal.

The finance minister said individuals and companies are separate legal entities, noting that a company is a legal and corporate entity with employees, loans, liabilities and an economic contribution.

Referring to S Alam Group, he said those accused of corruption were not being spared.

"Cases are being filed against them and the trials will continue. But before shutting down any company, we also have to assess its impact on the country's economy. An economy does not run on emotion. It has to run on law," Khosru added.

He further said Bangladesh Bank was not providing loans to anyone in violation of the law. "Companies eligible for loan rescheduling can avail themselves of the facility in accordance with the law."

Khosru also reiterated that individuals accused of corruption would continue to face trial.

Per capita public debt Tk1,29,239

In response to a question from Kushtia-1 lawmaker Reza Ahmed, Khosru said per capita public debt stood at Tk1,29,239 as of 31 March 2026.

He said the government was focusing on increasing revenue collection, improving public financial management and strengthening debt management to reduce the debt burden on citizens.

The government is also seeking to reduce its reliance on borrowing by increasing domestic revenue, while lowering financing needs through more cost-effective and productive public spending and controlling unnecessary expenditure, he said.

Bangladesh borrowed $81.83 billion from abroad

In response to a question from Cox's Bazar-3 lawmaker Lutfor Rahman, Khosru said Bangladesh had borrowed $81.83 billion from abroad between 2010 and June 2024.

During the same period, the government repaid $17.11 billion in principal and $6.04 billion in interest on its external debt.

Sammilito Islamic Bank has received nearly Tk5,000 crore from Bangladesh Bank to repay deposits, while customers have sought to withdraw Tk3,925 crore over the past four working days. A senior Bangladesh Bank official confirmed the figure to The Business Standard.

Since 1 September, around 74,221 customers have applied to withdraw Tk3,925 crore. Applications stood at 18,046 worth Tk1,329 crore on the first day, 19,613 worth Tk1,016 crore on the second, 21,086 worth Tk923 crore on the third and 15,476 worth Tk657 crore on the fourth.

Md Abedur Rahman Sikder, managing director of Sammilito Islamic Bank, said, "Figures are much lower than our expectations, which shows customer trust and confidence in us".

He said the bank had adequate preparations at branches of its five constituent banks and applications had declined gradually. The bank has nearly Tk10,000 crore in its current account with Bangladesh Bank, of which Tk5,000 crore was transferred today (6 September) to the five banks' accounts.

"The government owns this bank. Customers will transact with this bank with the same confidence they have in other state-owned banks," the official said.

Customers withdrawing before maturity will receive only the principal, while those keeping deposits until maturity will receive profits as agreed. They can withdraw cash or transfer funds to other banks through RTGS.

The official said adequate funds had been supplied to branches and there was no reason for depositors to be concerned.

Withdrawals begin tomorrow
Individual depositors can withdraw principal from Al-Wadiah current, Mudaraba savings, MTDR, DPS and other accounts. The bank accepted applications until today to complete cash and branch preparations and will begin payments tomorrow (7 September).

Customers keeping accounts open will continue receiving profits at agreed rates; once operations fully resume, deposits and withdrawals, including profits, will be allowed without limits. The Bangladesh Bank's Bank Resolution Department issued the directive on 31 August.

Formed under the interim government after Exim, Social Islami, First Security Islami, Global Islami and Union Bank failed to return deposits amid irregularities and fraud allegations, Sammilito Islamic Bank has 7.6 million depositors with Tk1.42 lakh crore in deposits.

Its loans total Tk1.92 lakh crore, 86% of which are in default, while capital shortfall exceeds Tk1.5 lakh crore.

The state-owned bank began operations last November with Tk40,000 crore authorised and Tk35,000 crore paid-up capital, including Tk20,000 crore from the government and Tk15,000 crore to be issued as depositor shares.