The country's stock market staged a strong comeback yesterday, as a broad-based rally led by banking stocks pushed the benchmark index to its highest level in nearly four months and lifted total market capitalisation above Tk7 lakh crore for the first time in three months.

The DSEX, the prime index of the Dhaka Stock Exchange (DSE), jumped 54 points, or 1.04%, to close at 5,247, marking its strongest single-day gain in recent weeks.

The blue-chip DS30 index also moved firmly into positive territory, rising 20 points, or 1.03%, to settle at 2,017, reflecting renewed investor confidence in large-cap stocks.

Market participation improved notably, with 215 issues advancing against 107 decliners, while 68 stocks remained unchanged. Turnover surged by 19% to Tk746 crore, crossing the Tk700 crore mark for the first time in four months.

The rise in trading activity signalled a return of buying interest after a prolonged period of cautious sentiment, as investors selectively accumulated fundamentally strong stocks, particularly in the banking sector.

Market analysts believe the banking-led rally could continue in the near term if turnover remains strong and macroeconomic signals stay supportive.

However, they cautioned that sustained gains would depend on clear improvements in liquidity conditions, earnings visibility and policy clarity. For now, yesterday's session provided a significant psychological boost, as the DSEX reclaimed key levels and overall market capitalisation once again crossed the Tk7 lakh crore mark.

According to EBL Securities, the capital market extended its upward momentum for a second consecutive session, with heightened participation and sustained buying in banking shares propelling the benchmark index to a near four-month peak.

From the start of the session, the market maintained a positive tone, driven largely by large-cap banking stocks amid expectations of improved economic activity and a potential revival of private-sector investment following upcoming electoral developments, according to the review.

This upbeat sentiment gradually spread across other key sectors, resulting in broad-based gains throughout the trading session.

EBL Securities noted that investors appeared more willing to take positions in beaten-down stocks, encouraged by relatively attractive valuations and hopes of policy stability in the coming months.

Banking stocks lead gains

Banking stocks emerged as the clear market leaders, posting the highest sectoral gain of 2.57% for the day. Strong buying interest was observed in several major lenders, with Islami Bank, Al-Arafah Islami Bank, Midland Bank and AB Bank featuring prominently among the top gainers.

Islami Bank surged nearly 10%, while Al-Arafah Islami Bank rose close to the upper circuit limit, underscoring the renewed appetite for banking shares.

Other large-cap sectors also contributed to the rally, although to a lesser extent. Non-bank financial institutions advanced by more than 2%, while food and allied, telecommunication and pharmaceutical sectors closed in positive territory.

Market observers said the banking rally played a pivotal role in restoring overall confidence, as the sector is often seen as a proxy for broader economic health.

Turnover data further highlighted the dominance of banking stocks in yesterday's rally.

BRAC Bank, City Bank and Islami Bank ranked among the most actively traded shares, reflecting strong participation from both institutional and retail investors. Insurance and manufacturing stocks such as Pragati Life Insurance and Simtex Industries also featured among the turnover leaders.

Despite the broadly positive session, some stocks faced selling pressure. Meghna Pet, DBH First Mutual Fund and New Line Clothings were among the notable laggards, while power and tannery stocks also saw mild corrections.

Analysts said such movements were expected amid profit-taking in select counters after recent gains.

The upbeat trend was mirrored at the Chittagong Stock Exchange, where both major indices closed higher. The CSCX advanced 72 points to 9,106, while the CASPI rose 111 points to finish at 14,691, although turnover at the port city bourse remained modest at Tk8.71 crore.

Passenger traffic through Hazrat Shahjalal International Airport continued to grow in 2025, even as overstretched infrastructure, service shortcomings and high airfares left travellers grappling with mounting difficulties.

The airport handled 12.72 million passengers in 2025, up from 12.5 million in 2024 and 11.7 million in 2023, according to airport data. The increase of around 2,23,000 passengers, or nearly 1.8%, was driven mainly by international travel, with Bangladesh sending 1.13 million workers abroad during the year.

Of the total passengers last year, 10.312 million travelled on international routes, while 2.411 million flew domestically, underlining the airport's heavy dependence on overseas traffic.

However, the steady growth has further exposed long-standing infrastructure limitations. Originally designed to handle around 8 million passengers annually, the airport is now operating at nearly double its intended capacity.

Officials acknowledge that the rising passenger load is placing immense pressure on operations, particularly during peak travel seasons.

Despite repeated assurances, the much-anticipated third terminal remains non-operational due to unresolved issues over the appointment of an operator. The civil aviation ministry has left the matter to the next elected government.

Once fully operational, the terminal is expected to increase capacity to over 20 million passengers a year and significantly improve passenger flow and service delivery. Until then, congestion remains a daily reality.

In the early days of the interim government, Expatriate Welfare Adviser Asif Nazrul announced VIP services for migrant workers. In practice, this has largely been limited to opening two lounges – one inside the terminal offering rest areas and subsidised meals, and another in the multi-storey car park.

Progresses

Despite these difficulties, some improvements have been noted by Tasneem Siddiqui, acting executive director of the Refugee and Migratory Movement Research Unit (RMMRU).

She said harassment of migrant workers at airports has declined somewhat in 2025 compared to previous years. She attributed the improvement to the round-the-clock presence of magistrates, a hotline for complaints and the introduction of body cameras for baggage handlers.

"These initiatives have brought positive change, particularly in passenger movement and baggage retrieval," she said, while stressing that reducing travel costs and ensuring dignity for migrant workers should remain priorities. "There is still a lot of work to be done."

Civil Aviation Adviser Sk Bashir Uddin did not respond to repeated attempts by TBS to contact him.

Airport Executive Director Group Captain Ragib Samad said authorities are trying to provide the best possible services within existing capacity, describing problems such as traffic congestion and the trolley crisis as temporary. He expressed hope that the third terminal would resolve many of the current challenges.

Airfares remain high

Despite government directives aimed at curbing ticket prices, airfares remain prohibitively high. Travel agents report that tickets to Middle Eastern destinations have surged from Tk35,000-40,000 to as high as Tk75,000-80,000.

Mahmudul Haque Piaru, a local travel agent, criticised the implementation of government measures, noting that a persistent seat scarcity remains the "core problem." With foreign carriers controlling 66% of the international market, experts argue that strengthening Biman Bangladesh Airlines is essential to restoring price stability.

Didarul Haque, another travel agent, echoed similar concerns. He said while some irregularities had declined due to restrictions on block and group tickets, the core problem of seat scarcity remains unresolved.

Congestion and confusion

Passenger suffering often begins before entering the terminal. Long traffic tailbacks at airport entry points have become routine, with outbound passengers frequently missing check-in deadlines due to severe congestion.

Travellers also complain about inadequate directional signage, leading some to mistakenly enter arrival or domestic terminals while searching for international departures, further aggravating traffic chaos.

Airport authorities attribute much of the congestion to stringent security checks at driveways and canopy areas. Officials also cite the prolonged construction of an underpass near the Hajj Camp, a project ongoing for nearly two years and is expected to take at least another year to complete.

Ragib Samad said the rigorous screening is "extremely urgent" to ensure safety at the airport's driveways and canopy areas.

Trolley shortages and flight disruptions

Inside the terminal, passengers face persistent trolley shortages, particularly during winter. International travellers have reported waiting up to two hours for a luggage trolley.

Airport authorities deny an actual shortage, explaining that winter fog disrupts flight schedules, causing 13 to 15 international flights to land almost simultaneously in the early morning. With only eight baggage belts at Dhaka airport, this results in severe congestion and delays in trolley turnover.

Congestion has been compounded by the downgrade of the Instrument Landing System (ILS) following damage to runway lights on 29 October. The airport is currently operating under ILS Category I, requiring a minimum visibility of 1,200 metres, compared with 500–750 metres under Category II.

Dense winter fog has therefore led to frequent delays and diversions to Kolkata, Sylhet, or Chattogram. When weather conditions improve, returning flights often arrive at once, overwhelming terminal operations.

Idle e-gates

Meanwhile, 44 e-gates installed at Dhaka and Chattogram airports at a cost of Tk34.55 crore remain largely unused. Immigration officials say passengers using the e-gates must still return to manual counters for visa verification, negating any time savings. Software integration problems have forced authorities to keep most of the gates closed.

Grameenphone, country's largest mobile telecom operator, has declared a 105% cash dividend as final to its shareholders for the year of 2025 ended on 31 December.

Earlier, it had paid a 110% cash dividend as interim, after calculating interim the total dividend is 215% for the last year, which represents 98.16% of its total profit.

According to the price sensitive statement published on its website, its earnings per share dropped by 19% year-on-year to Tk21.90 during the last year.

To approve the dividend and the audited financial statement, Grameenphone has scheduled the annual general meeting for 20 April and the record date is set for 3 March.

The country’s merchandise exports held nearly steady in January, with shipments totalling $4.41 billion, down 0.50 percent year-on-year, according to Export Promotion Bureau (EPB) data.

A slow recovery in the global supply chain and cautious order placement by international clothing retailers ahead of the general election weighed on growth.

This was the sixth consecutive month exports remained on a downward trend, according to EPB. On a month-on-month basis, however, January shipments rose 11.22 percent from $3.96 billion in December.

During the first seven months of the current fiscal year, exports declined 1.93 percent to $28.41 billion compared with the same period last year.

During the July-January period of FY26, garment shipments, the key point of the country’s trading might, fell 2.43 percent to $22.98 billion. Knitwear exports dropped 3.13 percent to $12.28 billion, while woven garment shipments fell 1.60 percent to $10.69 billion.

Inamul Haq Khan, senior vice-president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), expressed hope for a rebound after the country’s general election on February 12.

“Because the international clothing retailers and brands did not place their full work orders considering the election year, it is a normal practice by the international retailers and brands usually before the election,” he said.

“We are hopeful that a positive change in placing of work orders by the retailers and brands after the election,” Khan told The Daily Star over phone yesterday.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said exports are expected to pick up strongly from June this year as retailers and brands begin placing orders after February.

Exporters say merchandise shipments from most major countries fell in recent months due to volatility in the global supply chain triggered by US President Trump’s reciprocal tariffs on multiple nations.

The supply chain has been gradually stabilising as the tariffs have been fixed and implemented.

Performance among the top six export sectors outside garments, such as leather and leather goods, jute and jute products, agro and agro-processed items, home textiles, light engineering, and frozen fish, showed mixed results, EPB said.

Leather and leather goods, jute and jute products, home textiles, plastics, and light engineering recorded growth both year-on-year and month-on-month.

Among key destinations, the United States remained Bangladesh’s top export market, with shipments worth $5.24 billion in July-January. Exports to the US rose 1.64 percent over the same period, 3.59 percent year-on-year, and 2.24 percent month-on-month.

Exports to other leading markets, including the European Union, also showed positive trends.

Germany and the United Kingdom retained second and third positions, with earnings of $2.85 billion and $2.7 billion respectively.

Great Britain, Spain, and the Netherlands also recorded growth both year-on-year and month-on-month.

During the July-January period, frozen food exports rose 4.94 percent to $297.56 million, while home textile shipments grew 3.26 percent to $509.97 million.

Jute and jute goods exports increased 1.97 percent to $493.85 million, and leather and leather goods exports rose 5.71 percent to $707.24 million.

Ceramics exports fell 20.91 percent to $17.63 million, and non-leather footwear shipments declined 2.06 percent to $311.53 million.

Cotton products also saw a drop, falling 17.28 percent to $305.57 million over the same period, EPB data showed.

Md Abul Hossain, chairman of the Bangladesh Jute Mills Association (BJMA), said the jute sector had been performing well because local millers can export more finished goods than raw jute.

“The value of finished goods is higher than raw jute, and the rate of value addition is also higher,” he said.

Hossain urged the government to continue the ban on raw jute exports, which was imposed in September last year.

Nestlé is managing a food safety issue in Hong Kong after the recall of 22 batches of baby milk formula, following the detection of a toxin produced by the Bacillus cereus bacterium, the company and local authorities said.

Recent follow-up investigations by the Centre for Food Safety (CFS) confirmed the presence of cereulide in five samples from the recalled batches. This marks the second detection of the toxin since the products were initially removed from store shelves, says the South China Morning Post.

The affected products include Nan INFINIPRO2 7HMO (800g), Nan PRO 1 2HMO (800g), and Illuma LUXA 1 (800g), with cereulide levels ranging from 0.2 to 1.3 micrograms per kilogram. Nestlé identified the source of contamination as an ingredient supplied to the company for these batches.

Cereulide is heat-stable, meaning it can survive standard preparation or processing temperatures, raising concerns about potential exposure.

The recall, which began in early January as a precautionary measure following similar actions in Europe, eventually covered 22 batches in Hong Kong.

The CFS said it continues to conduct follow-up investigations to ensure the safety of the recalled products.