When Ahsan Habib Mansur assumed office in the second week of August 2024 following a mass uprising, the financial reality was precarious.

Cheques of some banks were bouncing, many ATMs across the country were shuttered while others were awaiting routine cash supply, and the balance sheets of nearly a dozen banks were hollowed out.

Remittances and export receipts were lacklustre, commodity prices were on a wild ride, and the country had barely enough dollars to cover three months of essential imports.

By the time he left office yesterday and subsequently announced his abrupt resignation, the financial situation had somewhat stabilised, though many economic wounds were yet to be fully healed.

During his roughly 18-month tenure as the governor of the Bangladesh Bank (BB), Ahsan H Mansur, a former International Monetary Fund (IMF) economist, was able to diagnose the economy’s ills, but he could not complete his reform agenda, according to economists and top bankers.

When Mansur took charge, gross reserves were $25.92 billion, and reserves as per the BPM6 count were $15 billion. Understandably, foreign exchange management was a particular area of his focus.

Mansur worked to strengthen reserves while bringing a more market-based exchange rate, a condition linked to the ongoing loan package by the IMF.

By the time he stepped down, gross reserves had risen to $35.04 billion, while the amount was $30.3 billion as per the BPM6 count. And the exchange rate has stabilised at Tk 122.20 per dollar.

Controlling inflation was another priority. It was 10.49% in the month he took office. He pursued a tight monetary policy and raised the policy rate to 10 percent swiftly after assuming office.

However, the former governor had to inject funds into ailing banks to protect depositors.

Inflation fell to 8.58 percent by January 2026, though supply-side constraints meant the decline fell short of expectations.

The banking sector presented a deeper challenge. Around a dozen of banks were sinking under heavy non-performing loans, while non-bank financial institutions were refusing to return deposits. Many bank boards were heavily influenced by politically affiliated figures.

Many bank directors reportedly fled the country with huge funds. Mansur responded with forensic audits to determine the real health of the sector and initiated reforms, though deep restructuring remained incomplete.

As long-buried toxic loans surfaced, the volume of non-performing loans (NPL) reached Tk 6.44 lakh crore in September last year from Tk 2.11 lakh crore in June 2024.

As part of his financial mess cleanup agenda, the former governor oversaw the merger of five ailing shariah-based banks, enacted the Bank Resolution Ordinance and the Deposit Insurance Ordinance. He also pushed for amendments to the Bangladesh Bank Order and the Bank Company Act, though those got stuck at the finance ministry.

While his public warnings on bank weaknesses initially spooked depositors, the measures ultimately strengthened transparency and governance.

Mustafa K. Mujeri, former director general of BIDS and ex-chief economist at the Bangladesh Bank, said, “When Mansur assumed office, it was a challenging time as the whole financial sector was on the edge of a cliff.”

“The sector had been looted. Mansur had to spend considerable time uncovering the true state of affairs,” he added.

Fahmida Khatun, executive director at local think tank Centre for Policy Dialogue (CPD), echoed similar views.

She said Mansur inherited a fragile banking sector with many banks burdened by massive non-performing loans. Bangladesh Bank had functioned largely as an implementing agency of the government, and the sector’s true health had been disguised.

“He had to run forensic audits to review asset quality and find the real health of the banking sector,” she said.

Mustafizur Rahman, distinguished fellow at CPD, said that the outgoing BB governor made serious efforts to reform the banking sector and restore discipline during a critical period for the economy.

“His initiatives included restructuring bank boards, promoting mergers among weak institutions, setting up an asset recovery company for distressed assets and curbing illicit financial outflows, although some changes were not fully endorsed by the interim government.”

Rahman described these steps as essential not only for immediate stability but for laying the foundation for long-term governance in the sector.

Speaking on condition of anonymity, a former senior banker said Mansur demonstrated “earnest dedication and great sincerity” in his duties.

He described the former BB governor as an accomplished economist who stabilised fragile macroeconomic indicators amid post-Covid pressures, fallout of Russia-Ukraine war, and volatile global commodity prices.

“From a very dire situation, Mansur improved foreign exchange reserves and helped stabilise the taka-US dollar exchange rate,” the banker said. He added that Mansur also managed overdue petroleum and gas import liabilities and cleared remittance backlogs for airlines and shipping firms.

Commenting on the reshuffle at the Bangladesh Bank governor's post, Finance Minister Amir Khasru Mahmud Chowdhury has said that changes are inevitable as a new government has come to power.

"A new government has come to power. Many things will change. There has been a change here as well. This is nothing new," the minister told reporters while leaving the Secretariat this afternoon (25 February).

He added that changes would take place in many other areas, too.

Earlier in the day, the Financial Institutions Division (FID) of the Ministry of Finance issued a gazette notification appointing Md Mostaqur Rahman FCMA as the new governor of the central bank, replacing Ahsan H Mansur.

This marked the first time in Bangladesh's history that a businessman has been appointed as the Bangladesh Bank governor.

Asked whether there was any specific reason behind such a rapid change at the governor's post, the finance minister avoided a direct response, reiterating that more changes were forthcoming and that there was no particular reason behind this move.

The finance minister also had a busy day, holding meetings with the commerce minister, commerce secretary, finance secretary, FID secretary, and the chairman of the National Board of Revenue.

Mostaqur is the chairman of the BGMEA Standing Committee on Bangladesh Bank and the managing director and CEO of Hera Sweaters Limited. He was also a member of the BNP's election steering committee during the 13th national election held earlier this month.

The previous interim government on 13 August -- eight days after a mass uprising ousted the Awami League government -- appointed Mansur as the BB governor, in place of Abdur Rouf Talukder, who resigned on 9 August.

The FID in another gazette notification this afternoon cancelled the rest of Mansur's tenure, while Mostaqur's notification said his appointment order, issued in the public interest, will take effect immediately.

Newly appointed Bangladesh Bank Governor Md Mostaqur Rahman has said restoring trust and discipline in the country's banking sector will be his foremost priority as he assumes office.

"Inshallah, first I will sit at the bank and hold discussions with everyone. With everyone's cooperation, the main task will be trust building in the banking sector and bringing back greater discipline," he told bdnews24.com in an immediate reaction today (25 February).

He acknowledged the efforts of his predecessor, Dr Ahsan H Mansur, in restoring order in the sector and expressed his intention to further strengthen those initiatives.

Mostaqur also said reducing interest rates would be among his key priorities to support economic growth.

"As you know, the economy and the banking sector are facing challenges. Taking on this responsibility at this time is itself a challenge," he said.

He noted that credit growth has slowed in recent months and emphasised the need to lower interest rates to help stimulate economic activity.

"Our priority will be to work first. We do not want a situation where we talk but cannot deliver. Please pray for us. We seek everyone's cooperation," he added.

Md Mostaqur Rahman FCMA has been appointed governor of Bangladesh Bank for a four-year term, replacing Dr Ahsan H Mansur.

The Financial Institutions Division of the Ministry of Finance issued a gazette notification this afternoon confirming his appointment.

He is the managing director and chief executive officer of Hera Sweaters Limited and currently serves as chairman of the BGMEA Standing Committee on Bangladesh Bank.

He was also a member of the BNP's election steering committee during the 13th national election held earlier this month.

A qualified Cost and Management Accountant (CMA) with 33+ years of post-qualification experience, he holds a BCom (Hons) and a Master's Degree from the Department of Accounting at Dhaka University, according to his curriculum vitae.

Throughout his career, he has been a member of prestigious professional and industry associations, including Bangladesh Garments Manufacturers and Exporters Association (BGMEA), Real Estate and Housing Associations of Bangladesh (REHAB), Association of Travel Agents of Bangladesh (ATAB), and Dhaka Chamber of Commerce and Industry (DCCI), and has served on various important committees.

He has also worked closely with various regulators, including the Bangladesh Bank and Chittagong Stock Exchange Ltd.

Mostaqur is a senior financial governance specialist with over 30 years of leadership experience in corporate finance, export economics, institutional governance, and financial systems management, with expertise in financial oversight, regulatory compliance, banking-sector engagement, and capital management.

Finance Minister Amir Khosru Mahmud Chowdhury has sought suggestions from business leaders on why the cost of doing business is rising, what bureaucratic obstacles they face and what measures are needed to ease operations.

He discussed the issues today (25 February) during a meeting with a delegation of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), led by its President Mahmud Hasan Khan Babu, at the Secretariat.

According to three garment sector leaders present at the meeting, the minister asked them to submit proposals outlining specific problems and possible solutions.

After the meeting, BGMEA Director Faisal Samad told The Business Standard, "We told the finance minister that instead of incentives, we need policy support to simplify business procedures and reduce costs. In response, he asked us to identify the problems and suggest ways to address them."

He said the association would submit a policy paper within a week outlining measures to reduce the cost of doing business.

Requesting anonymity, another BGMEA director said they informed the minister that customs-related costs have increased compared to before.

"The government has increased port charges, and illegal payments at customs have also risen," he alleged.

Businesses have long complained about harassment and demands for unofficial payments by some customs officials, particularly in matters related to bond licences, raw material entitlements, utility permissions and audits.

Another BGMEA leader present at the meeting said the minister questioned how much more support the garment sector should receive, noting that other sectors often say the industry already receives substantial government benefits.

At the meeting, BGMEA leaders said nearly one year's worth of incentive payments, amounting to around Tk8,000 crore, remain pending and urged the government to release the funds quickly.

They also said that due to two major holiday periods over the next two months, elections and Eid-ul-Fitr, factories would operate for only 35 days, making it difficult to manage working capital.

The association sought a loan facility of around Tk7,000 crore to cover one month's wages, to be repaid over 15 months.

According to the business leaders, the finance minister responded positively to the proposal.

China has expressed interest in expanding investment in Bangladesh, focusing on job creation and industrial revival, during a meeting between Chinese Ambassador Yao Wen and Commerce Minister Khandaker Abdul Muktadir at the Secretariat today (25 February).

At the meeting, the government formally sought Chinese investment in several closed fertiliser factories struggling with prolonged gas shortages.

The commerce minister said Bangladesh has six fertiliser plants whose production has been repeatedly disrupted due to inadequate gas supply.

"We are searching for investors capable of importing LNG to restart fertiliser production. The government will purchase the fertiliser produced," Muktadir said, outlining a potential pathway to revive idle capacity and stabilise supply.

The minister also invited Chinese investors to explore opportunities in Bangladesh's closed jute mills, emphasising the sector's potential for modernisation and employment generation.

Highlighting broader areas of cooperation, Muktadir said China could assist Bangladesh in digital infrastructure development, establishment of e-learning centres, and advancement of artificial intelligence technologies.

He noted that such partnerships would further deepen bilateral economic ties.

Ambassador Yao Wen congratulated the BNP on securing a decisive mandate in the 13th national parliamentary election and congratulated Muktadir on assuming office as commerce minister.

He said China is keen to increase investment flows into Bangladesh and voiced optimism about economic collaboration under the newly elected government.

The ambassador also extended an invitation to the commerce minister to visit China.

State Minister for Commerce Md Shariful Alam, Additional Secretary (Export) Md Abdur Rahim Khan, and Additional Secretary (FTA) Ayesha Akter were present at the meeting.

The country's garment manufacturers and exporters have sought the urgent release of outstanding cash incentives and a Tk14,000 crore low-interest "soft loan" to help factories pay workers' wages and bonuses ahead of Eid-ul-Fitr.

In a letter to Bangladesh Bank Governor Ahsan H Mansur, the Bangladesh Garment Manufacturers and Exporters Association said the support was needed to ease potential cash-flow pressure in the run-up to the festival.

A two-member BGMEA delegation – Senior Vice-President Inamul Haq Khan Bablu and Vice-President Shehab Udduza Chowdhury – handed the letter to the governor during a meeting today afternoon (24 February).

Speaking to reporters after the meeting, Shehab said around Tk5,700 crore in cash incentives for the ready-made garment sector remains unpaid.

"We have requested that the outstanding incentive funds be released quickly so that factories do not face difficulties in paying wages and Eid bonuses," he said.

In addition, the association has asked for a soft loan equivalent to two months' wages on easy terms.

According to BGMEA estimates, the sector's monthly wage bill stands at about Tk7,000 crore. That means factories would require roughly Tk1,400 crore to cover two months' wages – the amount mentioned in the letter as the proposed soft loan.

Shehab further noted that not all factories receive incentives equally. Woven and sweater factories, in particular, receive comparatively lower support, putting them under greater strain when it comes to paying wages.

He added that in February and March, nearly 25 out of 60 days were affected by public holidays and election-related closures. "Paying 60 days' wages after only 35 working days will be difficult for many factories," he said.

The governor has assured the delegation that he would speak to the relevant ministry regarding the quick release of incentive funds, according to BGMEA.

On the issue of salary support, he advised the association to approach the Ministry of Finance. The governor made no negative remarks and received the proposals positively, the BGMEA leaders claimed.

Call for priority for SMEs

The BGMEA has also called for special priority for small and medium enterprises, warning that SMEs may be deprived under the existing "first in, first out" system used in distributing incentives.

The association said a separate mechanism is needed for SMEs and has sent a letter to the relevant ministry proposing the creation of a dedicated fund for the sector.

It suggested that funds allocated from the budget should first be distributed to SMEs on a priority basis, with the remaining amount disbursed to other factories.

Shehab said the governor responded positively and instructed the relevant department to look into the matter. He expressed hope that the change could be implemented in the next round of incentive distribution.

Responding to questions about why the association approached the central bank when incentive funds are allocated by the government, the BGMEA said it had already written to the Ministry of Finance and held meetings with the finance minister and finance secretary.

The meeting with the governor was part of regular policy coordination, it added.

Asked why such loan demands arise before Eid each year, the BGMEA leaders said the current situation is different.

They cited recent political unrest, protests, labour dissatisfaction, and the election climate as factors affecting industrial activity. They also said the export sector has come under pressure from tariff policies introduced by US President Donald Trump.

Export growth has remained negative for the past seven months, according to the association. In this context, the BGMEA said, quick support is needed to help sustain the industry.

The National Board of Revenue (NBR) has taken steps to facilitate tax return filing by Bangladeshis staying abroad.

In a statement released yesterday, the tax authority said it has introduced a special registration system for Bangladeshi taxpayers abroad so they can submit e-returns by receiving one-time passwords (OTP) through their email instead of mobile phones.

The NBR said taxpayers who have signed up for electronic tax return filing through biometrically registered phones but are currently abroad -- and therefore cannot reset their passwords using mobile OTP -- can now complete verification through their email.

To do so, taxpayers abroad are required to apply to the NBR from their own email address by providing copies of their passport, national identity card, and visa page, along with their foreign address, overseas phone number, and the date of their last departure from Bangladesh. The application must be sent to ereturn@etaxnbr.gov.bd for email verification.

After examining the application and verifying the information and email address, the NBR will send an OTP to the verified email, allowing taxpayers to reset their password and complete registration and e-return submission.

The tax administration’s move comes as the deadline for filing returns for the 2025-26 tax year is set to expire this month.

So far, nearly 39 lakh individual taxpayers have filed their income tax returns electronically.

Prime Minister Tarique Rahman has instructed officials to ensure that all decisions regarding any agreement on the New Mooring Container Terminal (NCT) at Chattogram Port be taken in a manner that protects national interests.

He gave the directive while presiding over a meeting at the Secretariat today (24 February), Bangladesh Investment Development Authority (Bida) Executive Chairman Chowdhury Ashik Mahmud Bin Harun told reporters after the meeting.

Responding to a question on the current government's stance to this end, given that the interim government had been in favour of the agreement on NCT's lease to foreign operator, Ashik Chowdhury said the previous administration's position is no longer relevant.

"If it is possible to sign the agreement while protecting national interest, only then will the government proceed," he said.

Describing the discussion as preliminary, the Bida chief said it was the first day's meeting and it would not be appropriate to reach a quick conclusion.

Asked about the prime minister's specific instructions, Ashik said, "Today we briefed him; he did not brief us. He listened and gave some preliminary directives."

His remarks come following protests and debate over leasing out the New Mooring Container Terminal at the Chattogram Port.

Stocks edged lower today (24 February) as cautious investor selling pressure dragged the benchmark index into negative territory, despite sustained participation across sectors at the Dhaka bourse.

The DSEX, the broad index of the Dhaka Stock Exchange (DSE), shed 10 points to close at 5,542. In contrast, the blue-chip DS30 index managed to post a modest gain of 6 points to settle at 2,143, indicating selective buying in large-cap stocks.

Of the total issues traded, 119 advanced, 221 declined and 57 remained unchanged.

Turnover rose 15% from the previous session to Tk825 crore, reflecting active trading despite the market's downward drift.

According to EBL Securities in its daily market review, the capital market witnessed a modest pullback following the previous session's recovery momentum, as cautious selling resurfaced on the trading floor. However, the brokerage noted that sustained investor participation signalled underlying resilience in the broader market trend.

From the outset, the session was marked by range-bound trading, with the index failing to cross the 5,600 level as investors remained active on both sides. Selling pressure intensified in the final hour of trading, ultimately pushing the benchmark index into the red by the close.

Major index draggers included Islami Bank, Olympic Industries and Grameenphone, whose price corrections weighed heavily on the market.

Sector-wise, banking stocks accounted for the highest turnover at 26%, followed by pharmaceuticals at 11.5% and textiles at 9.5%. Most sectors posted negative returns, with paper declining 2.1%, ceramic falling 1.4% and general insurance losing 1.3%.

Meanwhile, IT gained 1.1%, services edged up 0.4% and tannery rose 0.2%.

Several loss-making companies led the gainers' chart. Ring Shine Textile rose 10%, Intech Limited gained 9.93% and Aziz Pipes advanced 9.71%. On the losing side, Miracle Industries fell 5.15%, GBB Power declined 4.76% and Saif Powertec dropped 4.54%.

TakaPay card, the first-ever national debit card, has failed to secure a significant foothold in the two years since its launch by the central bank, aimed at reducing dependency on global payment networks such as Visa and Mastercard.

Data from the Bangladesh Bank (BB) showed a recent uptick in issuance and transactions through the TakaPay card. However, the number of cards, transactions and the amount of transactions still remain very low.

In December last year, Bangladesh recorded Tk 50,281 crore in transactions through local and foreign currency cards, the highest in six months. Of that, transactions through TakaPay were Tk 189 crore, which was less than half a percent of the total card-based transactions during the month.

Initiated by the central bank, the TakaPay card was launched in early November 2023 by the deposed prime minister, Sheikh Hasina, to save foreign currencies
The month before, transactions using the TakaPay card were Tk 157 crore, which was 0.33 percent of total transactions of Tk 47,536 crore through local and foreign currency cards.

Initiated by the central bank, the TakaPay card was launched in early November 2023 by the deposed prime minister, Sheikh Hasina, to save foreign currencies, at a time when the country was struggling to contain the fall of forex reserves. On October 31, 2023, Bangladesh’s readily usable forex reserves were below $20 billion.

The initiative also came in line with other countries that have already issued their own currency cards. For example, Sri Lanka uses ‘Lankapay’, Pakistan has ‘Pakpay’, India employs ‘RuPay’ cards, and Saudi Arabia has ‘Mada’.

Initially, three banks -- BRAC Bank, City Bank PLC and Sonali Bank PLC -- joined the foray to issue the TakaPay card, which can be used for cash withdrawals from ATMs and point of sale machines, and e-commerce transactions.

Later, 14 more banks joined. Yet, progress in the adoption of the card has been slow, mainly due to low awareness of the card among people, lack of push from banks, limited usability, and lack of benefits or incentives offered by the authorities to encourage users.

“Responses from customers have been slow. Not all banks are issuing the card,” said Md Shafquat Hossain, deputy managing director and head of retail banking at Mutual Trust Bank PLC.

MTB PLC encourages customers to opt for the TakaPay card during the opening of accounts through its agent banking outlets. “Its annual fee is lower than that of cards issued by global payment gateways,” he said.

A senior official of another private bank said the TakaPay card cannot be used for international transactions. So, customers who travel abroad or purchase from foreign markets will not take the card, he said. Besides, ATMs of all the banks are not configured to allow transactions through the TakaPay card.

“Not all the ATMs accept the card. This limits the usage of the TakaPay card,” he said. “To make the card lucrative, the authority should add some unique features to the card and motivate banks,” he said.

Md Mahiul Islam, deputy managing director and head of retail banking at BRAC Bank, said his bank is also issuing the card through its agent banking network in suburban areas.

“We are offering the card to those who do not want to do foreign transactions,” he said.

A senior official of the BB said the main rollout of the TakaPay card started in mid-2024. The progress slowed for six months after the political changeover in August of the same year. “We have been registering some progress for the last six months,” he said.

While e-commerce transactions cannot be done through the Takapay card yet, the BB wants to introduce this feature in the second half of this year, the official said.

“Once it is done, we expect a good impact,” he said. “We shall encourage banks to issue the card then.”

“As transactions through the Takapay card take place through the National Payment Switch of Bangladesh (NPSB), banks do not need to spend extra to facilitate payments,” the official said, adding that with increased usage of this card, the cost for banks will decline.

The United States imposed a new tariff from Tuesday of 10 percent on all goods not covered by exemptions, the US Customs and Border Protection said, the rate first announced by President Donald Trump on Friday rather than the 15 percent he promised a day later.

Reacting to the US Supreme Court ruling that threw out tariffs it deemed were illegally justified on grounds of an emergency, Trump initially announced a new temporary global tariff of 10 percent. He said on Saturday he would increase it to 15 percent.

But in a notice described as intended to "provide guidance regarding the February 20, 2026 Presidential Proclamation," CBP said that, aside from products covered by exemptions, imports would "be subject to an additional ad valorem rate of 10 percent."

Unclear why lower rate is imposed

The move added to confusion surrounding US trade policy, with no explanation offered in the notice for why the lower rate had been used. The Financial Times quoted a White House official as saying the increase up to 15 percent would come later. Reuters could not immediately confirm this.

"Remember that Trump is delivering the State of the Union address tonight, so it's possible we might get a better sense of the next steps on tariffs," Deutsche Bank said in a note.

"Net-net we still think the effective tariff rate will fall this year and that the world post-SCOTUS will see lower tariffs than the pre-SCOTUS world," its analysts said, using the acronym for the Supreme Court of the US.

Despite the fact that a 10 percent tariff is less punitive than had been expected, traders cited uncertainty about the trade outlook as one reason why European shares opened lower on Tuesday, although the pan-European STOXX 600 index was later trading flat.

The new tariffs took effect at midnight, while collection of the tariffs annulled by the Supreme Court was halted. They had ranged from 10 percent to as much as 50 percent.

It remains unclear whether and how companies will be refunded for tariff payments made under the regime annulled by the Supreme Court.

The Section 122 law allows the president to impose the new duties for up to 150 days to address "large and serious" balance-of-payments deficits and "fundamental international payments problems."

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Trump's tariff order argued that a serious balance-of-payments deficit existed in the form of a $1.2 trillion annual US goods trade deficit, a current account deficit of 4 percent of GDP and a reversal of the US primary income surplus.

Trump warns against reneging on trade deals

On Monday Trump warned countries against backing away from any previously negotiated trade deals with the US, warning he would hit them with much higher duties under different laws.

Japan said it had asked the United States to ensure its treatment under a new tariff regime would be as favourable as in an existing agreement. The European Union, Britain and Taiwan all indicated a preference to stick to their deals too.

Carsten Brzeski, global head of macro at ING, noted that even with the 150-day limit of the current set of measures, the trade uncertainty was unlikely to go away soon.

"Because the next thing that he (Trump) could do is always, with the interruption of one day, theoretically endlessly extend by 150 days," he said.

China meanwhile urged Washington to abandon its "unilateral tariffs", indicating it was willing to hold another round of trade talks with the world's largest economy, the country's commerce ministry said in a statement on Tuesday.

The Bangladesh Securities and Exchange Commission (BSEC) has removed LR Global Bangladesh Asset Management Company Limited from its position as asset manager of six mutual funds.

The decision was taken after allegations of violations of securities laws and mutual fund regulations, failure to perform fiduciary duties, and serious harm to the interests of unit holders were proven, according to regulatory sources.

The decision was made during a BSEC board meeting earlier this month. The funds managed by LR Global Bangladesh Asset Management Company Limited include DBH First Mutual Fund, Green Delta Mutual Fund, AIBL First Islamic Mutual Fund, LR Global Bangladesh Mutual Fund-1, NCCBL Mutual Fund-1, and MBL First Mutual Fund.

BSEC stated that the decision was taken to protect public interest and investors' money. Trustees of the respective funds have been instructed to take the necessary follow-up actions. The company's registration cancellation process is also ongoing.

Regarding the matter, BSEC Director and spokesperson Md Abul Kalam told TBS, "The asset manager, LR Global Bangladesh, has failed in its duties, violated securities laws and mutual fund regulations, engaged in money laundering, and seriously harmed unit holders' interests. Therefore, the appointment of LR Global Bangladesh as asset manager of the six funds has been cancelled. The company's registration cancellation process is also ongoing."

He added that trustees of the funds will be instructed via letters to take necessary legal action. The trustees will implement the actions accordingly. However, it is not yet confirmed which company will be assigned to manage these six funds. Sources say that the trustees are looking for a new asset manager, but no final decision has been made yet, as the funds need to be audited before they can be transferred to a new manager.

BSEC's review found that LR Global Bangladesh Asset Management Company Limited invested in 51% of Padma Printers & Colors Limited (later renamed Quest BDC Limited) from the six managed funds, buying each share at Tk289.48 for a total of about Tk23.6 crore. An additional Tk4,50,19,800 was invested as share money deposit, which was later converted into 2 crore 83 lakh and 50 thousand ordinary shares.

The commission noted that the investment was made without proper financial analysis, violating Mutual Fund Rules, 2001 (Rule 56), and securities laws, resulting in significant financial losses to unit holders.

BSEC further stated that although Quest BDC Limited was approved to issue shares at Tk10.60, LR Global purchased them at Tk15.88. Meanwhile, its sister concern LRG Venture Limited purchased the same shares at Tk10. The dividends from LRG Venture would go to LR Global, meaning unit holders of the six funds would not receive any profit. According to the commission, this is a clear case of conflict of interest and dual practice, violating mutual fund regulations.

Moreover, despite BSEC's instructions, more than 15% of a single company's paid-up capital was purchased from a single fund, causing financial losses to unit holders. Additionally, Brigadier General Sharif Ahsan was appointed as director and managing director of Quest BDC Limited from AIBL First Islamic Mutual Fund, with a monthly salary of Tk3 lakh while simultaneously serving as MD/CEO of Sonali Securities Limited. BSEC stated that this violated mutual fund regulations. The company also did not obtain trustee or commission approval for the appointment.

Regarding audits, LR Global cited a court status quo, but BSEC clarified that the order was valid only until December 3, 2025, and there was no legal barrier to auditing. Since 2022, investments in Quest BDC have yielded no profit, and being in the OTC market, share disposal opportunities are limited. As these funds are closed-end, selling the shares at maturity may face complications. BSEC noted that such investments demonstrate negligence in the responsibilities of the asset manager.

Overall, BSEC concluded that LR Global's mismanagement and regulatory violations failed to protect unit holders' interests, questioning the company's competence, efficiency, and accountability. Trustees are now looking for a new asset manager.

Earlier, on October 21, 2025, Quest BDC directors, LR Global's Chief Investment Officer Riaz Islam, and former BSEC Chairman Professor Shibli Rubayat-Ul-Islam were permanently banned from capital market activities. Riaz Islam and other officials were fined a total of Tk109 crore, and money laundering allegations were forwarded to the Anti-Corruption Commission.

A high-level delegation from the International Monetary Fund is due in Dhaka next month for talks with Prime Minister Tarique Rahman, as Bangladesh hopes to keep its multi-billion-dollar loan programme on track and unlock a delayed $1.30 billion disbursement.

A three-member IMF team will visit on 9-10 March and will be led by Krishna Srinivasan, director of the Fund's Asia and Pacific Department, according to finance ministry officials.

The IMF withheld a tranche last December during the interim administration, saying further disbursements will follow discussions with an elected government.

Officials at the ministry believe that if discussions with the IMF prove fruitful and the BNP government commits to implementing agreed conditions, Bangladesh will receive $1.30 billion by June, combining the pending December tranche with the next scheduled instalment.

They said the funds would help address the government's budget deficit at a time when revenue collection growth has slowed.

Following receipt of a formal letter from the IMF, the Economic Relations Division (ERD) has written to Principal Secretary ABM Abdus Sattar requesting that a one-hour meeting slot be allocated for the prime minister on either 9 or 10 March.

In a letter dated 23 February, the ERD said the IMF intends to meet with the prime minister to discuss and review the progress of reforms undertaken under its programme, assess their successful completion, and reaffirm continued cooperation with the new government.

A senior finance ministry official, speaking on condition of anonymity, said key IMF conditions – including revenue mobilisation targets – have not yet been met.

Other pending issues include the restructuring of the National Board of Revenue (NBR), ensuring greater independence for the Bangladesh Bank, and fully adopting a market-based exchange rate.

However, the official noted that the BNP, both in its election manifesto and after forming the government, has pledged to advance economic reforms, establish an Economic Reform Commission, abolish the Financial Institutions Division to strengthen Bangladesh Bank, and continue financial sector reforms.

One of the IMF's major conditions is reducing subsidies while expanding social safety nets. The new finance minister, Amir Khosru Mahmud Chowdhury, has already instructed officials to explore ways to rationalise subsidies, the official said.

The government has also prioritised expanding social protection coverage, beginning with the distribution of family cards. Recently, the finance minister also assured the central bank governor that ongoing banking sector reforms will continue.

"If the BNP implements its manifesto commitments, many IMF conditions will be fulfilled. On that basis, the government is waiting with a positive outlook to keep the IMF programme on track," the official said.

The IMF loan programme

Bangladesh signed a $4.7 billion loan agreement with the IMF on 30 January 2023, amid economic strain triggered by the Covid pandemic and the Russia-Ukraine war.

The programme included conditions such as revenue reform, banking sector restructuring, and subsidy reduction. The IMF later extended the programme by six months in June last year and added $800m, bringing the total package to $5.5 billion.

So far, Bangladesh has received $3.64 billion under five tranches: $476.3 million in February 2023, $681 million in December 2023, $1.15 billion in June 2024, and $1.33 billion in June 2025. That leaves $1.86 billion yet to be disbursed.

The IMF had been due to release another tranche last December but withheld it pending discussions with an elected government.

At the IMF-World Bank annual meetings in Washington last October, the lender informed then finance adviser Salehuddin Ahmed and Bangladesh Bank Governor Ahsan H Mansur that the next disbursement would follow talks with the elected administration.

After the IMF decided not to release a loan tranche, Salehuddin said in November that the Fund would also discuss how much loan support the elected government intends to seek.

What economists think about the visit

Zahid Hussain, former lead economist at the World Bank's Dhaka office, told TBS that the visit reflects the IMF's earlier position that future decisions would follow talks with an elected government.

He noted that the interim administration did not reissue the Bangladesh Bank Order and that the NBR split remains incomplete.

"Although Bangladesh Bank has said the exchange rate is market-based, the IMF has raised questions about the way it is purchasing dollars from the market. This is inconsistent with a contractionary monetary policy and has injected Tk65,000 crore into the market," he said.

The IMF may emphasise these issues during discussions, he added, and the government will need to demonstrate commitment to reform.

Towfiqul Islam Khan, additional director (research) at the Centre for Policy Dialogue (CPD), said most IMF reform demands align with the BNP's election manifesto.

However, he noted that the IMF had raised concerns in January over Bangladesh's debt sustainability, an issue not detailed in the party's manifesto.

He described banking sector reform as the government's biggest challenge under IMF conditions. While the BNP has pledged to return funds to depositors of troubled banks, it has not clarified whether repayments would cover only individual customers or institutional clients as well.

The IMF has also sought greater independence for the Bangladesh Bank. The new finance minister's proposal to abolish the Financial Institutions Division and strengthen the central bank could address that demand.

Subsidy management will remain another major challenge, economists say, given its links to gas and electricity pricing as well as export incentives.

"The IMF does not provide very large sums per tranche," Towfiqul said. "But other development partners' budget support is often linked to an active IMF programme. If the programme continues, others are more willing to lend."

He added that while many IMF-backed reforms align with domestic policy priorities, the government should seek technical support from the Fund and implement reforms in line with Bangladesh's own context.

The EU executive has again delayed presenting a fiercely contested plan to favour European companies over foreign rivals in key sectors, pushing it back to March 4 to give more time for talks, officials said Monday.

The proposal was expected Thursday but there has been strong pushback from some EU states and senior officials inside the European Commission over the plans.

The cabinet of EU industry chief Stephane Sejourne, who will present the proposal, said it hoped “this additional week of internal discussions will allow to make the proposal even more rock-solid”.

This is the third time the presentation of the plans known as the “Industrial Accelerator Act” to facilitate “Made in Europe” production has been delayed.

It was initially expected in December, then it was postponed to January before it was again delayed to February. The EU executive’s plans would tell companies that if they want to access public money, a certain percentage of the components for their goods like cars must be made in the 27-country bloc.

The new rules are expected to cover a limited number of strategic sectors, such as green technology, cars, chemicals and steel.

France has strongly defended the proposal, in a bid to protect its national electric car battery industry.

Germany has pushed back, with Chancellor Friedrich Merz saying this month it should be a “last resort”.

Several countries including Sweden and the Netherlands -- supporters of free trade -- have warned against veering into protectionism.

There have been tense debates inside the commission over whether the EU’s partners, such as Japan, should be included and the latest draft seen by AFP included a reference to “trusted partners” to address such concerns.

EU chief Ursula von der Leyen has supported the plans, arguing they would help “strategic sectors” and support scaling-up European production capabilities.

Costs of 65 projects have been ramped up by Tk 798.34 billion in apparent prodigal reappraisals of the development schemes by the just-gone interim government during its one-and-a-half-year tenure, sources say.

The projects, originally undertaken at a combined cost of Tk 2.24 trillion, were revised to Tk 3.04 trillion, marking an overall cost escalation of 35.67 per cent.

The information emerges from a review of the minutes of 19 meetings of the Executive Committee of the National Economic Council (Ecnec) during the tenure of the stopgap administration installed after the July-August 2024 uprising.

Further analysis by the FE shows that the Ecnec revised a total of 87 ongoing projects -- an average of 4.58 projects per meeting. Of the revised schemes, the cost of seven was reduced by Tk 9.50 billion, or 2.45 per cent of their original combined estimate of Tk 387.50 billion.

The cost of another 15 projects remained unchanged, although their implementation period was extended.

Economists have observed that despite high expectations that the interim government would enhance investment efficiency and ensure optimum use of public funds by rigorously scrutinising projects under the Annual Development Programme (ADP), the repeated upward revision of project costs fell short of that expectation.

A review shows that although the interim government assumed office on August 8, 2024 following the fall of the Awami League government, the first Ecnec meeting was held on September 18 that year after the reconstitution of the NEC and Ecnec.

At that meeting, four projects were approved, two of which were revised proposals. Among them, the ongoing "Bakhrabad-Meghnaghat-Haripur Gas Transmission Pipeline Construction" project saw its cost revised upward to Tk 15.71 billion from the original Tk 13.05 billion.

The cost of another project, titled "Tathya Apa: Empowering Women through ICT towards Building Digital Bangladesh (2nd Phase)", was also increased by Tk 1.63 billion.

In the final phase of its tenure, the interim government headed by Prof Muhammad Yunus approved the first revision by the Executive Committee of the National Economic Council (Ecnec) raising the cost of the Rooppur Nuclear Power Plant construction project to Tk 1.39 trillion.

The highly debated project was originally approved in 2016 with a cost of Tk 1.13 trillion, reflecting an increase of Tk 255.93 billion, or 22.63 per cent, following the revision.

The Ecnec also approved the third-phase revision of the Saidabad Water Treatment Plant Phase-III, aimed at increasing potable water supply to the capital city, Dhaka, from the Meghna River, with a revised project cost of Tk 160.15 billion.

The Dhaka Water Supply and Sewerage Authority initiated the project in 2015 with an initial cost of Tk 45.97 billion, which later increased by Tk 114.17 billion, or 248.35 per cent.

The cost of SASEC Road Connectivity Project-2: Elenga-Hatikamrul-Rangpur Highway Four-laning increased by Tk 71.55 billion, while the Matarbari Port Development Project saw a rise by Tk 66.04 billion.

The government also approved an additional allocation of Tk 14.10 billion for the Chattogram City Sewerage System Installation Project (Phase I) and Tk 13.24 billion for the Emergency Multi-Sector Rohingya Crisis Response Project.

The cost of the controversial Upazila Mini Stadium Construction Project (Phase II) also increased by 48 per cent, rising from Tk 16.49 billion to Tk 28.55 billion.

The Dhaka Mass Rapid Transit Development Project (Line-6) was the only megaproject whose cost was cut, declining by 2.53 per cent from Tk 334.72 billion to Tk 327.18 billion, generating savings of Tk 7.54 billion.

The savings were achieved by rationalising components worth over Tk 15 billion, mainly related to station-plaza development and land acquisition.

The major decisions of the first Ecnec meeting of the interim government focused on improving project efficiency and strengthening the monitoring of development schemes approved earlier.

The meeting also emphasised faster preliminary screening of projects, especially foreign-aided ones, prioritising small and high-impact projects, reducing dependence on land acquisition, and simplifying the project approval and implementation process to enhance public-investment efficiency.

Bangladesh's gross foreign- exchange reserves surpassed the $35-billion mark on Tuesday, supported by sustained US dollar purchases by the central bank amid stronger remittance inflows ahead of Eid-ul-Fitr.

Officials said the interventions are aimed at stabilising the dollar-taka exchange rate while gradually rebuilding reserve buffers to meet global adequacy standards.

Reserves rose to $35.04 billion on Tuesday, up from $34.86 billion the previous day, according to the latest traditional calculation by Bangladesh Bank.

"We are working to increase the reserves to $36.50 billion after settling the Asian Clearing Union (ACU) payment obligation," a senior central banker told The Financial Express in response to a query.

He explained that reserves at $36.50 billion would allow the country to cover around six months of import payments, broadly in line with international benchmarks.

Over the past seven months, the central bank has purchased nearly $5.50 billion from banks to help maintain exchange rate stability and encourage exporters and remitters.

As part of its ongoing intervention, the banking regulator bought a further $87 million from eight banks through an interbank spot market auction on Tuesday.

The amount was purchased under the Multiple Price Auction method at a cut-off rate of Tk 122.30 per dollar, officials said.

Earlier, on 22 February, the central bank had bought $123 million from eight banks in a similar auction.

Latest data show the central bank has purchased a total of $5.47 billion directly from banks since 13 July last year under the prevailing free-floating exchange rate arrangement.

"We are purchasing US dollars from banks to absorb higher remittance inflows ahead of Eid," another senior official said, explaining the market dynamics.

Inward remittances rose by nearly 24 per cent to $2.57 billion during February 1-23this year, compared with $2.08 billion in the same period last year.

Officials said such interventions have helped keep the dollar-taka exchange rate stable, thereby supporting export competitiveness and encouraging remittance inflows.

The continued purchases have also contributed to a gradual strengthening of the country's foreign exchange reserves.

Meanwhile, yields on long-term treasury bonds declined on Tuesday as banks channelled surplus liquidity into government securities amid subdued private sector credit demand.

The cut-off yield on 15-year Bangladesh Government Treasury Bonds (BGTBs) fell to 10.34 per cent from 10.55 per cent, while the yield on 20-year BGTBs dropped to 10.44 per cent from 10.67 per cent, according to auction results.

The government raised Tk 20 billion through the issuance of BGTBs to partially finance its budget deficit.

"Most banks are showing interest in investing excess liquidity in government securities, as private sector credit demand remains weak following the just-concluded national election," a central banker said.

Currently, five government bonds, with maturities of two, five, 10, 15 and 20 years, are traded in the market.

In addition, four treasury bills are auctioned to manage government borrowing from the banking system, with maturities of 14, 91, 182 and 364 days.

Three officials of the Bangladesh Bank (BB) were transferred a day after being served show-cause notices for holding a press conference in violation of staff rules and commenting on policy decisions.

BB’s human resources department issued a notice ordering the transfer yesterday.

The transferred officials are Nawshad Mustafa, general secretary of the ‘Nil Dal’ at Bangladesh Bank and director of the SME Special Programmes Department; AKM Masum Billah, president of the Bangladesh Bank Officers’ Welfare Council elected from Nil Dal; and Golam Mostafa Shraban, general secretary of the council.

The central bank issued show-cause notices to the three officials on Monday
Nawshad Mustafa has been transferred from the head office of Bangladesh Bank to its Barishal office, Masum Billah to Rangpur, and Golam Mostafa Shraban to the Bogura office.

The central bank issued show-cause notices to the three officials on Monday, asking the officials to provide explanations within 10 days.

This development comes a week after a section of BB officials, under the banner of the Bangladesh Bank Officers’ Welfare Council, held a press conference on the BB premises.

At the press briefing, called suddenly on February 16, officials described the central bank governor’s position as “autocratic” on several issues, including the merger of weaker banks with EXIM Bank and Social Islami Bank and the initiative to grant digital bank licences.

Gold prices fell more than 1 percent on Tuesday, easing from a three-week high hit earlier in the session, as a stronger dollar and profit taking weighed on prices while investors awaited clarity on US President Donald Trump’s tariff plans.

Spot gold dropped 1.1 percent to $5,172.11 per ounce by 0827 GMT, snapping a four-session winning streak. US gold futures for April delivery were down 0.6 percent at $5,191.50.

The US dollar rose 0.2 percent, making greenback-priced bullion more expensive for holders of other currencies.

“There was some profit taking as prices spiked to highs of around $5,249/oz,” said Zain Vawda, analyst at MarketPulse by OANDA. “The other factor was likely the announcement of a new tariff by the Trump administration which has provided some near-term clarity on the tariff question.”

Gold, a traditional safe-haven asset, tends to benefit in times of geopolitical and economic uncertainty.

The US Supreme Court ruled on Friday that Trump’s use of a 1977 emergency law to impose tariffs exceeded his authority, but hours later Trump invoked a different law and imposed a temporary tariff of 15 percent on US imports.

Trump on Monday warned countries against backing away from recently negotiated trade deals, saying that he would hit them with much higher duties under different trade laws.

Meanwhile, Iran and the US will hold a third round of nuclear talks on Thursday in Geneva, Oman’s Foreign Minister Badr Albusaidi said on Sunday.

“The broader narrative (for gold) remains skewed to the upside. If we see further dollar weakness or an escalation in Middle East (tensions), a reversal toward the $5,210 level and potentially fresh highs above the $5,249 handle is well within reach,” Vawda said.

The United States imposed an additional tariff from Tuesday (24 February) of 10% on all goods not covered by exemptions, a notice issued by US Customs and Border Protection said, the rate initially announced by President Donald Trump on Friday rather than the 15% he promised a day later.

Reacting to the Supreme Court ruling that threw out his tariffs that had been justified on grounds of an emergency, Trump initially announced a new temporary global tariff of 10%. He said on Saturday he would increase it to 15%.

In a notice described as intended to "provide guidance regarding the February 20, 2026 Presidential Proclamation," CBP said that, aside from products specified as subject to exemptions, imports would "be subject to an additional ad valorem rate of 10%".

The move added to confusion surrounding US trade policy, with no explanation offered for why the lower rate had been used. The Financial Times quoted a White House official saying the increase up to 15% would come later. Reuters could not immediately confirm this.

Collection of the new tariffs began at midnight, while the collection of the tariffs annulled by the Supreme Court was halted. They had ranged from 10% to as much as 50%.

The Section 122 law allows the president to impose the new duties for up to 150 days on any and all countries to address "large and serious" balance-of-payments deficits and "fundamental international payments problems."

Trump's tariff order argued that a serious balance of payments deficit existed in the form of a $1.2 trillion annual US goods trade deficit and a current account deficit of 4% of GDP and a reversal of the US primary income surplus.

On Monday Trump warned countries against backing away from recently negotiated trade deals with the US, saying that if they did, he would hit them with much higher duties under different trade laws.

Japan said on Tuesday it had asked the United States to ensure its treatment under a new tariff regime would be as favourable as in an existing agreement. Both the European Union and Britain have indicated they want to stick to deals already agreed.

Bangladesh Bank (BB) purchased $1.53 billion from commercial banks in February this year, BB spokesperson Arief Hossain Khan told journalists today (24 February).

He added that the central bank bought $87 million from eight banks today at a rate of Tk122.30 per dollar.

So far, Bangladesh Bank has purchased $5.47 billion in the current fiscal year 2025-26.

The increased supply of dollars is mainly driven by a rise in remittance inflows through banking channels, prompting banks to sell dollars to the central bank.

A senior Bangladesh Bank official told The Business Standard that banks are willing to sell dollars, while the central bank is increasing reserves through these purchases.

Arief also confirmed today that Bangladesh's foreign exchange reserves currently stand at $30.30 billion.

The reserve level is rising primarily through dollar purchases from commercial banks via auctions, supported by strong growth in remittance inflows through formal banking channels.

In January 2026, remittances reached $3.17 billion, the third highest on record, which is 45.41% higher than the same month in 2025. In January last year, remittance inflows were $2.18 billion.

Previously, the highest remittance inflow was recorded in March 2025 at $3.29 billion, followed by the second highest in December of the same year at $3.22 billion.

A senior Bangladesh Bank official told TBS that the central bank is buying dollars mainly to support exporters, sustain remittance flows, and prevent a decline in the dollar's exchange rate.

Bangladesh Bank began purchasing dollars through auctions in July of the current fiscal year.