Oil prices fell by 7% today (23 March) after US President Donald Trump said he would postpone any military strikes against Iranian power plants for five days after constructive talks, hours ahead of a deadline that threatened further escalation in the conflict now in its fourth week.

Brent crude futures were down 9.72% at $101.28 a barrel at 1254 GMT after sliding as much as 14.5% to a session low of $96. US West Texas Intermediate was down almost 8.9% at $89.49 after losing 14.2% to a session low of $84.37.

Prices gradually pared some losses after the steep initial slide after Iran's Tasnim ⁠news agency reported that no talks were under way between the US and Iran.

The US President had warned on Saturday that Iranian power plants would be destroyed if Tehran failed to "fully open" the Strait of Hormuz to all shipping within 48 hours, setting a deadline of around 7:44 p.m. EDT (2344 GMT) on Monday.

His comments sparked threats of retaliation from Iran's Revolutionary Guards, which said they would attack Israel's power plants and those supplying US bases across the Gulf region if Trump followed through with his threat to "obliterate" Iran's power network.

The war has damaged major energy facilities in the Gulf and nearly halted shipping through the Strait of Hormuz, which handles about 20% of global oil and liquefied natural gas flows.

Analysts have estimated a loss of 7 million to 10 million barrels per day of Middle East oil production.

The crisis in the Middle East is worse than ‌the two ⁠oil shocks of the 1970s put together, Fatih Birol, executive director of the International Energy Agency, said on Monday.

"Oil sentiment may lurch on threats and rhetoric in the near term, but its more durable direction will continue to be shaped by the state of Middle East oil flows," said Vandana Hari, founder of oil market analysis provider Vanda Insights.

Iraq has declared force majeure on all oilfields developed by foreign oil companies, three energy officials said, while oil production at ⁠Basra Oil Company has been cut to 900,000 bpd from 3.3 million bpd, Iraqi Oil Minister Hayan Abdel-Ghani said in a ministry statement.

The supply crunch has led to a temporary waiving of US sanctions on Russian and Iranian oil already at sea. Indian refiners plan to resume buying Iranian oil while refiners elsewhere in ⁠Asia are examining such a move, traders told Reuters.

Meanwhile, Russia's Baltic Sea port of Ust-Luga resumed oil loadings after a drone attack alert was lifted, industry sources said, while neighbouring Primorsk remained shut after air strikes, adding to global shortages.

Libya's El Feel oilfield has been in shutdown since ⁠Thursday after state oil company National Oil Corporation (NOC) used its pipeline to transport crude from the Sharara field after its pipeline was damaged by fire, two El Feel engineers said.

Production is expected to resume in a week to 10 days, one of the engineers said.

The war in the Middle East could see the world face its worst energy crisis in decades, International Energy Agency chief Fatih Birol warned on Monday (23 March), describing the situation as "very severe".

"Many of us remember the two consecutive oil crises in the 1970s... at that time, in each of the crises, the world has lost about five million barrels per day, both of them together, 10 million barrels per day," Birol told the National Press Club in Australia's capital.

"As of today, we lost 11 million barrels per day, so more than two major oil shocks put together," he said.

Prime Bank FinTech Limited, a subsidiary of Prime Bank PLC., has been awarded a license to operate Mobile Financial Services (MFS) in the country.

This enables Prime Bank FinTech Ltd. to formally launch its own brand of MFS services in Bangladesh.

With this regulatory approval, Prime Bank FinTech Limited is set to reshape the country's digital financial ecosystem by addressing the vast untapped spaces. The goal is to move beyond traditional competition and foster a collaborative market environment that prioritises financial literacy and inclusive growth. By acting as a digital guardian for users, this will aim to bridge the gap for the unbanked and empower every individual to navigate the cashless economy with confidence and security.

Prime Bank FinTech Limited will operate its Mobile Financial Services under a dedicated brand identity. The brand will work closely with regulators, partners and stakeholders to ensure compliance, operational excellence and a seamless customer experience as it prepares for its formal launch.

Finance and Planning Minister Amir Khasru Mahmud Chowdhury today (22 March) said the ongoing conflict in the Middle East is creating pressure on Bangladesh's economy, urging people to remain patient and cooperative during the challenging period.

"Global instability has pushed up pressure on the fuel market, which is directly affecting import-dependent Bangladesh. We cannot control the impact of the conflict, but the government is making every effort to tackle its effects," he told journalists at his residence in Chattogram's Mehedibag.

The minister noted that finding alternative sources of fuel and maintaining regular supply remain the government's primary challenges. "Managing the situation will be difficult without public cooperation."

He claimed, "Despite the pressure, the government has been able to maintain fuel supply. There was no fuel shortage anywhere during the Eid travel period, and the transport system is functioning normally."

Khasru also said the early payment of wages and allowances to ready-made garment (RMG) workers ahead of Ramadan and Eid helped avoid major labour unrest, calling it a positive sign for the economy.

Referring to ongoing social safety-net programmes, the minister said family cards for low-income people, farmers' cards, loan waivers and allowances for religious figures are continuing.

He urged the public to stay united with patience, restraint and mutual support to deal with the impact of the global crisis.

With a view to ensuring sustainable business and reducing carbon emissions, Paramount Textile, a company listed on the stock exchanges, has decided to install a 9.81MW rooftop solar power plant at its factory in Gazipur.

In this regard, Paramount Textile PLC will enter into a power purchase agreement (PPA) with Paramount Solar Limited, according to a disclosure published on the stock exchanges yesterday.

Paramount Solar is a firm in which 99.99% of the total paid-up capital is held by Paramount Textile.

Under the agreement, Paramount Solar will design, build, operate and manage the rooftop solar project under the OPEX model at a fixed tariff of Tk8.20 per kilowatt-hour, excluding VAT and AIT. The facility will be installed at the company's factory premises in Sreepur, Gazipur.

The solar power generator will supply electricity generated from the project for 20 years from the date the photovoltaic system is commissioned and becomes operational.

The company said its board of directors discussed and approved the decision at a meeting held on Sunday for signing the PPA between Paramount Textile and Paramount Solar.

At the beginning of the agenda, the textile company's Managing Director Shakhawat Hossain informed the board that the management had decided to install the rooftop solar facility at the factory premises to ensure sustainable business operations and reduce carbon emissions.

Paramount Textile reported that its consolidated profit fell 19% year-on-year in the second quarter of the current fiscal year due to a decline in revenue.

During the October-December period, the company posted a consolidated profit of Tk20.77 crore, with earnings per share (EPS) of Tk1.16.

In the same period of the previous fiscal year, the company reported a profit of Tk25.79 crore and EPS of Tk1.44, according to its financial statements.

For the first half of the 2025-26 financial year, profit declined 4.23% year-on-year to Tk42.27 crore, while EPS stood at Tk2.36. In the first half of FY25, the company reported a profit of Tk44.06 crore and EPS of Tk2.46.

In January this year, the company said Paramount Textile PLC and Paramount Holdings Limited, both part of the Paramount Group, planned to invest $268 million – around Tk3,275 crore – in four solar power plants with a combined capacity of 295 megawatts through a joint venture.

The Bangladesh Power Development Board awarded the Notification of Award (NOA) to the joint venture on 29 December last year for the development of the projects under the Public Procurement Rules, 2008.

Agrani Insurance Company has recommended no dividend for shareholders for the year ended 31 December 2025, following a sharp drop in earnings compared with the previous year. In 2024, the company paid shareholders a 6% cash and 6% stock dividend.

Announcing the annual disclosure today (16 March), the company's share closed at Tk21.20 on the Dhaka Stock Exchange. According to a price-sensitive statement, consolidated earnings per share (EPS) fell to Tk0.18 in 2025 from Tk1.45 in 2024, a decline that appears to have influenced the board's decision to withhold dividends.

Despite lower earnings, cash flow performance improved. Consolidated net operating cash flow per share rose to Tk0.96 in 2025 from Tk0.58 in 2024, indicating stronger cash generation from core operations. However, the company's net asset value per share dipped slightly to Tk19.42 from Tk20.10 at year-end 2024.

Agrani Insurance will hold its annual general meeting (AGM) on 14 May 2026, virtually. The record date for shareholder eligibility is 15 April 2026.

Previously, in September 2024, the company withdrew its rights share application submitted in March 2024 due to unavoidable circumstances. In June 2021, the BSEC rejected an earlier rights share offer for failing to submit a Credit Information Bureau report.

In just two months, shares of Bangladesh Industrial Finance Company (BIFC), a non-bank financial institution (NBFI), skyrocketed by over 600%, according to data from the Dhaka Stock Exchange.

Starting from Tk0.9 on 14 January, its share price rose to Tk6.6 on 17 March – the last trading day before the Eid vacation – marking a surge of 633%.

Following the recent surge, BIFC's share price has returned to the level seen nine months ago. Earlier, in mid-last year, the stock was traded in the Tk6-7 range, the data showed.

With a view to reviving the weak and scam-hit NBFIs, the Bangladesh Bank has planned to liquidate nine NBFIs to protect the depositors' interest.

With the initial discussion begun in mid-2025, the weak NBFIs stocks saw continuous sell-offs amid growing investor fears.

That is why the price of BIFC's shares saw a sharp fall amid heavy sell-offs, putting its shares below Tk1 each, the first time in the history of the capital market.

It eventually fell to as low as Tk0.9. Later, after the central bank decided to allow the institution three months to improve its financial condition, the price began to rise.

The stock then recorded gains for nearly 22 consecutive trading days, climbing from Tk0.9 to Tk3.9 each.

After a one-day correction, the share price resumed its upward trend. In the second phase of the rally, it rose to Tk7.2.

Subsequently, the stock corrected again, dropping to Tk5.9. It then rebounded to Tk7.2 before closing at Tk6.6 on 17 March.

Auditor opinion

The auditor of BIFC said it has been experiencing losses for several years, accumulating a total loss of Tk1,425.45 crore as of December 2024.

As of the same date, its total liabilities exceeded its total assets by Tk1,269.68 crore.

These conditions or events indicate that a material uncertainty exists on the company's ability to continue its operation in the foreseeable future unless arrangements are made to increase capital or to improve liquidity position by means of facilitating equity support/long-term loan, the auditor said.

The auditor also said it should maintain a cash reserve ratio at a rate of 1.5% on term or fixed deposits (except from banks and financial institutions), but it could not maintain such provision, noncomplying with the above regulation.

Bangladesh Bank Governor Md Mostaqur Rahman has invited the World Bank to expand its engagement in supporting Bangladesh's financial sector development and broader economic growth.

The call came during a meeting with a high-level World Bank delegation at the central bank's head office on Sunday (15 March).

The delegation was led by John Zutt, regional vice president of the World Bank, and included Jean Pesme, division director for Bangladesh and Bhutan; Imad Najib Ayed Fakhoury, director at the International Finance Corporation; Gayle H Martin, operations manager for Bangladesh and Bhutan; Wilfred Tamegon, manager at the International Finance Corporation; and Mehrin A Mahbub, senior external affairs officer.

Deputy governors Md Habibur Rahman and Md Kabir Ahmed, along with other senior officials of Bangladesh Bank, were also present at the meeting.

During the meeting, both sides discussed ongoing projects supported by the World Bank in Bangladesh and explored opportunities to strengthen future cooperation, particularly in the financial sector.

Governor Mostaqur Rahman reaffirmed the central bank's commitment to ensuring the successful implementation of the projects. He also appreciated the World Bank's continued support for Bangladesh's development initiatives.

The World Bank delegation expressed strong interest in maintaining close cooperation with Bangladesh and highlighted the importance of a constructive partnership in supporting the country's development priorities.

The meeting also included discussions on Bangladesh's overall economic outlook and future development prospects.

Remittance inflows have increased by 35.7% in the first half of March, ahead of Eid, with expatriate Bangladeshis sending $2.20 billion in the first 14 days of the month.

During the same period in 2025, remittances stood at $1.62 billion, confirmed the central bank's spokesperson and Executive Director Arief Hossain Khan today (15 March).

A senior official of a private bank told The Business Standard that the rise in remittances is mainly due to the upcoming Eid festival, as expatriates typically send more money home during this period.

However, he noted that the flow may slow down after Eid, which is a usual trend.

He also warned that the ongoing Iran-Israel conflict could affect remittance inflows from the Middle East after Eid. If migrant workers in the region face disruptions in their jobs due to the conflict, remittance sent through banking channels may decline.

A deputy managing director of another private bank said expatriates were receiving between Tk121.70 and Tk121.75 per dollar today, while LC settlements were made at Tk121.20 per dollar.

The Middle East conflict escalated on 28 February this year when Israel and the United States jointly attacked Iran. In response, Iran has launched a series of missile strikes targeting Israel and countries in the Arab region that host US military bases.

Iran has also restricted vessel movements through the Strait of Hormuz without its approval, contributing to a rise in global fuel prices.

Meanwhile, economists recently held a meeting with newly appointed Bangladesh Bank governor last week. According to sources at the meeting, the central bank signalled that it would try to maintain foreign exchange reserves.

This has created a market signal that prompted banks to buy remittance dollars at higher rates.

A senior official of a private bank said that if new investments increase in the coming months, demand for opening letters of credit (LCs) will rise, which would in turn push up demand for dollars in the banking sector. As a result, banks are currently purchasing remittance dollars at higher rates.

Oil prices could extend gains at Monday's open as the US-Israeli war against Iran entered a third week, putting oil infrastructure at risk and keeping the Strait of Hormuz shut in the world's largest supply disruption.

US President Donald Trump threatened further ​strikes on Iran's Kharg Island oil export hub, drawing a defiant response of further retaliation ​from Tehran.

Brent and US West Texas Intermediate crude futures have already spiked sharply and ⁠rattled global financial markets. Both contracts have surged more than 40% so far this month to their ​highest levels since 2022 after the US-Israeli attacks on Iran prompted Tehran to halt shipping through the Strait ​of Hormuz - a key chokepoint for a fifth of global oil supply.

Trump has urged China, France, Japan, South Korea, Britain and others to deploy warships to secure the strategic gateway.

The United States struck military targets on Kharg Island on Saturday, which was swiftly ​followed by Iranian drone attacks on a key oil terminal in the United Arab Emirates.

"This marks an escalation ​in the conflict," JP Morgan analysts led by Natasha Kaneva said.

"Until now, the region's oil infrastructure has largely been spared."

Besides ‌UAE's ⁠Fujairah, Saudi Arabia's Ras Tanura export terminal and Abqaiq oil processing facilities have been listed as critical and highly vulnerable energy nodes in the Gulf, the analysts said.

However, oil loading operations at Fujairah have resumed, a Fujairah-based industry source told Reuters on Sunday.

Fujairah, outside the Strait of Hormuz, is the outlet for about 1 ​million barrels per day ​of the UAE's flagship ⁠Murban crude oil - a volume equal to about 1% of world demand.

Global oil supply is expected to fall by 8 million bpd in March due to disruptions ​to shipping while Middle Eastern producers have cut output by at least ​10 million bpd, ⁠according to the International Energy Agency.

Last week, the IEA agreed to release a record 400 million barrels of oil from strategic stockpiles held by member nations to combat price spikes. Japan plans to start releasing its oil on ⁠Monday.

Meanwhile, the ​Trump administration has rebuffed efforts by Middle Eastern allies to start ​diplomatic negotiations, according to three sources familiar with the efforts, while Iran has rejected the possibility of any ceasefire until U.S. and ​Israeli strikes end, dimming hopes of a quick end to the conflict.

The Bangladesh Securities and Exchange Commission (BSEC) and the Asian Development Bank (ADB) have charted a transformative course to quadruple the size of the national capital market, aiming to elevate its contribution from the current 10 percent of GDP to at least 40 percent within the next three years.Bangladesh Investment Guide

In a high-level meeting held on March 9, at the BSEC office in Agargaon, both organizations deliberated on strategic reforms, digitalization, and market diversification to ensure long-term sustainable growth for the country’s financial ecosystem, BSS reports citing a press release on Sunday.

To provide a data-driven foundation for this massive expansion, BSEC announced plans to conduct a comprehensive "Capital Market Diagnostic."

This initiative is designed to identify structural bottlenecks and formulate evidence-based policies for long-term development.

The meeting underscored a clear mandate: to transition the capital market from its current state to a dominant pillar of the economy, setting an ambitious target of reaching a market-to-GDP ratio of 40 percent by 2029.

The meeting emphasized the urgent need to align national market governance with the International Organization of Securities Commissions (IOSCO) standards to attract global institutional investors.

BSEC highlighted its commitment to using its full legal authority under existing frameworks to create robust incentives for listing.

In the short term, the Commission is prioritizing the digitalization and automation of market processes to eliminate opacity and ensure absolute accountability.

This modernization drive, coupled with a focus on human resource development, is intended to rebuild and strengthen investor confidence in the regulatory environment.

A central theme of the discussion was the necessity of shifting the burden of long-term industrial financing away from the banking sector and toward the capital market.

To facilitate this, BSEC and Bangladesh Bank (BB) are developing a joint framework to encourage large borrowers to raise capital through the stock exchange rather than relying on bank loans.

Under this initiative, BSEC is exploring specific incentives to encourage companies with significant market share to list their shares.

Furthermore, the introduction of a "Bond Guarantee Fund" was discussed as a vital security mechanism to mitigate risk and attract a broader spectrum of investors to the fixed-income market.

The ADB delegation expressed strong interest in providing technical assistance to drive these priority reforms.

Specifically, the ADB has committed to supporting feasibility studies for the proposed "Bond Guarantee Fund" and assisting BSEC in identifying the most appropriate government agency to manage and implement the fund.

The ADB representatives expressed optimism that this joint partnership would successfully build a more transparent, robust, and investor-friendly market.

BSEC Chairman Khondoker Rashed Maqsood presided over the meeting.

The high-level representation included Farzana Lalarukh, Commissioner; Md. Abul Kalam, Director; and Syed Muhammad Golam Mowla, Joint Director.

The proposed merger between listed electronics manufacturer Walton Hi-Tech Industries and non-listed technology company Walton Digi-Tech Industries has moved a step closer after the securities regulator issued a formal clearance.

According to a disclosure made today (15 March), the Bangladesh Securities and Exchange Commission issued a No Objection Certificate regarding the merger.

Under the proposed scheme, Walton Hi-Tech Industries will act as the acquiring company, while Walton Digi-Tech Industries will be the acquiree. The merger will become effective after receiving approval from the High Court Division of the Supreme Court, along with consent from creditors, general shareholders, and other relevant regulatory authorities.

The merger is aimed at expanding business operations, reducing operational costs, improving efficiency, and strengthening Walton's competitive position in the technology and electronics sector.

For this purpose, a Memorandum of Understanding was signed between the two Walton Group companies on 3 September 2025. On the same day, Walton Hi-Tech's 46th board meeting approved the memorandum.

On the Dhaka Stock Exchange, Walton Hi-Tech's share price closed at Tk385.40 yesterday, reflecting a marginal decline of 0.46%.

According to the company, the merger will add a wide range of high-tech products to Walton Hi-Tech's portfolio, including laptops, desktop computers, mobile phones, printed circuit boards, and electric bikes.

This integration is expected to significantly enhance the company's operational capacity, broaden its market reach, and lower operational costs. Industry insiders say the move could also strengthen Bangladesh's electronics manufacturing ecosystem and help position the country as a hub for high-tech and digital product manufacturing.

Currently, Walton Digi-Tech produces and markets 123 types of high-tech products and accessories, including laptops, desktop computers, printers, mobile phones, printed circuit boards, and electric bikes. It is the only company in Bangladesh with manufacturing facilities for both mobile phones and printed circuit boards

Stocks at the Dhaka bourse fell today (15 March), ending a four-session rally as cautious investors returned to the sidelines amid persistent uncertainty over the ongoing Middle East conflict.

The benchmark DSEX index of the Dhaka Stock Exchange (DSE) dropped 49 points, or 0.91%, to close at 5,319, while the blue-chip DS30 index lost 23 points, or 1.11%, settling at 2,043.

Market breadth remained sharply negative, with 246 issues declining, 99 advancing, and 45 unchanged.

Trading activity also slowed, with daily turnover falling 11% to Tk523 crore, reflecting a cautious stance among investors preferring to observe market developments rather than take fresh positions.

According to EBL Securities, the benchmark retreated after a brief recovery streak as investor sentiment weakened amid lingering global uncertainties.

"Investors adopted a cautious stance, leading to broad-based selling pressure across the board," the brokerage noted, highlighting concerns over the geopolitical conflict's impact on both domestic and global markets.

Throughout the session, selling pressure spread across most sectors, and many risk-averse investors remained inactive, monitoring the market amid the absence of any visible progress toward a resolution or ceasefire.

Sector-wise, banking led trading activity, accounting for 17% of total turnover, followed by pharmaceuticals at 15.6% and textiles at 10.4%. Top turnover leaders included Orion Infusion, City Bank, Robi, Summit Alliance Port, and BRAC Bank.

Most sectors posted losses, reflecting broad-based selling. Life insurance recorded the steepest decline at 1.9%, followed by general insurance (-1.5%) and banking (-1.4%). Only the financial institutions sector managed a marginal gain of 0.3%.

Among individual stocks, Aamra Technologies led the gainers with a 9.77% rise, followed by Metro Spinning (+9.67%), Pacific Denims (+9.25%), Prime Finance (+9.25%), and International Leasing (+9.09%). On the losing side, ICB Islamic Bank fell 5.71%, Sonar Bangla Insurance dropped 5.03%, Sunlife Insurance lost 4.66%, Sea Pearl Beach Resort shed 4.51%, and Meghna PET declined 4.40%.

Oil loading operations ‌at the United Arab Emirates' Fujairah emirate, a major bunkering hub ​and crude export terminal, have ​resumed following a drone attack ⁠and fire on Saturday, ​a Fujairah-based industry source told Reuters.

Fujairah, ​outside the Strait of Hormuz, is the outlet for about 1 million barrels ​per day of the ​UAE's Murban crude oil - a volume equal ‌to ⁠about 1% of world demand.

Abu Dhabi state oil giant ADNOC, which operates in the emirate, ​did ​not immediately ⁠respond to a request for comment.

Bloomberg News ​earlier reported the resumption ​of ⁠oil loading operations in the emirate.

The Bangladesh Securities and Exchange Commission (BSEC) has imposed financial penalties on Index Agro Industries Limited and brokerage firm Prudential Capital Limited for violating securities laws and regulatory requirements.

According to the regulator's monthly enforcement action report for March, the market watchdog fined several officials of Index Agro Industries after identifying irregularities involving undisclosed related-party transactions and lapses in internal governance practices.

Index Agro Industries Managing Director Mahin Bin Mazher was fined Tk5 lakh, while Chief Financial Officer Iqbal Ahmed and Company Secretary Abu Jafar Ali were each fined Tk1 lakh.

According to the BSEC report, an inspection team conducted an on-site review of the company's operations, visiting four factory premises as well as the company's head office. The inspectors also examined documents and records submitted by the company at different times to verify compliance with regulatory and accounting standards.

During the inspection, the committee found a related-party transaction worth Tk2 crore between Index Agro Industries and Index Construction Limited.

The inspection found that both the chairman and the managing director of Index Agro Industries also hold positions on the board of Index Construction, making the transaction subject to disclosure requirements under International Accounting Standard.

However, the BSEC found that the Tk2 crore transaction was not disclosed in the company's audited financial statements for the year ended 30 June 2022. The omission was deemed a violation of the accounting standard, which requires companies to disclose transactions with related entities so that stakeholders can assess their financial impact and governance implications.

The regulator also raised concerns over the role of the company's auditor. According to the enforcement report, the statutory auditor, G Kibria and Co, stated in the audit report that the company had no related-party transactions in the normal course of business during the financial year ending June 2022.

This statement conflicted with the inspection findings, raising questions about the accuracy of the audit assessment and compliance with the responsibilities of external auditors.

The inspection further uncovered irregularities in the authorisation of work orders related to construction, civil works and associated activities carried out by the company. Investigators found that some inspection orders that were supposed to be signed by authorised officials of Index Agro Industries were instead signed by representatives of Index Construction.

The inspection team also reported that it had identified alternative quotations for certain works that were higher than those provided by Index Construction, prompting questions about whether procurement processes were conducted in line with standard competitive practices.

In a separate enforcement action, the BSEC also fined brokerage firm Prudential Capital Tk10 lakh for violations related to discrepancies in share records and irregularities involving beneficiary owner (BO) accounts.

The company's Managing Director Rezaul Islam was fined Tk5 lakh, while its former compliance officer AY Zobaer was fined Tk1 lakh.

According to the enforcement report, the irregularities came to light following a letter from ICB Securities Trading Company dated 26 February 2025, which highlighted a mismatch involving 1 lakh shares of Robi Axiata between depository participant accounts and the brokerage firm's back-office system during share reconciliation.

Further investigation revealed that the shares were purchased on behalf of an investor, Ava Dutta, through Prudential Capital Limited on 2 February 2023. The brokerage later transferred the shares to a BO account under the depository participant of ICB Securities Trading Company Limited.

However, scrutiny of Central Depository Bangladesh Limited records by the Dhaka Stock Exchange's monitoring team found that the BO account in the name of Ava Dutta under Prudential Capital was opened on 27 March 2023, nearly two months after the shares were reportedly purchased on her behalf on 31 January 2023.

The regulator said this sequence indicates that the shares were bought before the account was formally opened, raising questions about compliance with operational procedures and investor account management rules.

Such discrepancies between depository records and brokerage back-office systems were termed as serious compliance concerns because they may undermine the integrity of settlement processes and investor protection mechanisms.

Meanwhile, the BSEC also issued a warning to Navana CNG Limited and certain officials of the company for breaching securities rules, though no financial penalty was imposed in that case.

Stocks at the Dhaka bourse staged a notable rebound last week as improving investor sentiment and bargain hunting drove the key indices sharply higher amid easing concerns surrounding the ongoing Middle East war and its potential impact on the domestic economy.

The benchmark DSEX index of the Dhaka Stock Exchange surged 127 points, or 2.43%, to close the week at 5,368.

The blue-chip DS30 index also posted a strong gain, advancing 54 points, or 2.72%, to finish at 2,066.

Market breadth remained strongly positive during the week, with 324 issues advancing, 38 declining and 27 remaining unchanged.

Despite the broad-based price appreciation, market activity remained relatively subdued as investors adopted a cautious stance.

Average daily turnover fell by 24% week-on-week to Tk531 crore, reflecting a wait-and-see approach among market participants who preferred to monitor whether the upward momentum would be sustained before making fresh investment decisions.

However, the overall market capitalisation of the Dhaka bourse increased by approximately Tk9,000 crore during the week, indicating a steady return of confidence among investors after the previous week's sharp downturn.

EBL Securities, in its weekly market review, said the capital market experienced a sustained recovery throughout the week, bouncing back from the steepest single-day fall recorded in the past six years during the opening session. The brokerage house noted that the sharp correction at the start of the week created attractive entry points for investors, prompting bargain hunters to accumulate fundamentally strong stocks.

Although the week began under persistent bearish pressure, sentiment gradually improved as signals emerged of a possible de-escalation in the Middle East war.

At the same time, concerns regarding immediate disruptions to the country's fuel supply began to subside, which helped restore confidence among market participants.

A managing director of a leading brokerage firm said the government appeared capable of overcoming any potential fuel shortages stemming from the Middle East tensions.

Bangladesh secured a significant quantity of fuel supplies during the past week, which helped ease investor concerns and contributed to renewed optimism in the stock market.

He also noted that the central bank's recent decision to ease capital repatriation rules for foreign investors was a positive development for the capital market. The move is expected to improve the investment climate and may encourage greater participation from foreign portfolio investors in the coming months.

Additionally, speculation surrounding a possible change in the leadership of the stock market regulator also played a role in drawing investors back to the market, he added.

Sector-wise participation showed that investors were most active in the banking sector, which accounted for 21.3% of total market turnover. The pharmaceutical sector followed with 15.2%, while the textile sector captured 9.5% of the week's trading activity.

Among individual stocks, Islami Bank Bangladesh, LafargeHolcim Cement, City Bank, Square Pharmaceuticals and Beximco Pharmaceuticals were the major contributors to the upward movement of the benchmark index during the week.

In terms of turnover, Orion Infusion emerged as the most traded stock, followed by City Bank, Olympic Industries, BRAC Bank and Robi.

All major sectors posted positive returns during the week. The cement sector led the gains with a 7.6% increase, followed by the information technology sector with 5.3% and life insurance with 4.6%.

Interestingly, many Z-category stocks and loss-making non-bank financial institutions dominated the gainers' list. International Leasing, Peoples Leasing, FAS Finance and Fareast Finance each soared 50%, while Premier Leasing advanced 42.31%.

On the other hand, Saif Powertec was the worst-performing stock of the week, declining 6.94%. It was followed by Green Delta Insurance, Ring Shine Textile, Dula Mia Cotton and Hami Industries, which also posted notable losses.

Beximco Limited paid monthly profits to bond investors from the capital it had raised by offering high returns, rather than from business income, company officials have said.

With most of the raised funds used to repay loans and cover profit payouts, the company is now struggling to continue payments as the money has run out.

The company had assured investors a 15% return under the slogan "At the highest rate, above all", promising Tk1,250 per month for every Tk1 lakh invested. Investors were told that profits would be transferred to their bank accounts at the end of each month.

According to company sources, Beximco requires around Tk6 crore per month to pay interest against the bond capital.

However, since October last year, profit payments have become irregular. The profit for November was paid one week before the February national election, but payments for December and January are overdue.

In May 2024, the Bangladesh Securities and Exchange Commission (BSEC) approved Beximco Limited's issuance of bonds worth Tk1,500 crore to repay its own loans and to provide Tk1,000 crore in loans to Sreepur Township Company, a Beximco Group entity, for investment in real estate projects.

Sandhani Life Insurance Company Limited acted as trustee of the "Beximco 1st Unsecured Zero Coupon Bond".

However, according to Md Mizanur Rahman, company secretary of Sandhani Life Insurance, Beximco was able to raise only Tk541 crore out of the approved Tk1,500 crore. Of that amount, Tk500 crore was used to repay loans.

Beximco's Chief Financial Officer Md Luthfor Rahman said the remaining funds were kept in the company's account and used to pay monthly profits to investors.

He said as the factories are closed and bank accounts were frozen during the interim government, the company currently has no income of its own. As a result, a crisis has emerged in paying profits.

Mizanur Rahman said a meeting was held with Beximco before the election where the issuer assured that all outstanding profits would be paid.

He said that, to his knowledge, profits have been paid up to December and that the company has assured payment for January or the current month of February.

Individual investors have expressed concern.

Shipra Rani, an investor from Narsingdi, invested Tk60 lakh in the bond after selling land. She initially received profits regularly but is no longer receiving payments on time.

Her family told TBS that they depended on the monthly profit and are now facing uncertainty.

Another investor who invested Tk50 lakh said he is anxious about whether he will recover his principal investment at maturity.

Following the fall of the Awami League government, subscription to the bond declined sharply.

Institutional investors who had earlier expressed interest reportedly withdrew.

An official of Beximco, speaking on condition of anonymity, said the company had previously paid more than Tk100 crore per month in salaries and allowances but is now unable to pay investors' profits.

He said several thousand workers have been laid off and that many senior officials have not received salaries and allowances for over a year.

Although there were plans to provide Tk1,000 crore in loans to Sreepur Township, it is learnt that the loan was not provided from this bond. Sreepur Township had earlier undertaken the Mayanagar housing project in Gazipur.

Kaisar Ahmed, company secretary of Sreepur Township, said that after the change of government in August 2024, vandalism took place in the project area and work has not resumed fully.

He said machinery and equipment security remain a concern, although project activities are continuing.

He added that interest payments on the Tk1,000 crore bond raised earlier for the project are ongoing and there are no arrears.

Between 2021 and 2023, Beximco Group raised nearly Tk4,000 crore through two other bonds, including a Tk3,000 crore Sukuk bond in 2021 to finance solar power plants and expand its textile division.

The Bangladesh Bank has raised the maximum credit card limit from Tk25 lakh to Tk40 lakh in a move aimed at strengthening the country's digital payment ecosystem and meeting the growing demand of consumers.

The central bank issued a comprehensive set of guidelines in this regard today (15 March), which will take immediate effect for all scheduled banks and authorised card issuers.

According to the directive, the decision comes amid rapid growth in credit card usage, driven by technological advancement and increasing consumer preference for convenient digital transactions.

Exercising powers under Section 45 of the Bank Company Act, 1991, the central bank introduced the updated framework to ensure a more transparent and secure cashless payment ecosystem while safeguarding consumer rights.

Under the new guidelines, banks will be required to follow stricter risk assessment protocols to encourage responsible lending and prevent potential financial instability.

The framework also introduces revised mechanisms for handling customer complaints, card-related irregularities, and transaction disputes in order to ensure a safer digital environment.

In addition, all card issuers must comply with enhanced security measures for electronic Point of Sale (POS) systems and online transactions.

The central bank said that the expansion of electronic payment infrastructure and various incentive programmes has made it necessary to establish a more robust regulatory mechanism.

"To ensure that this growth contributes positively to financial stability and consumer confidence, it is imperative to establish a comprehensive and updated regulatory framework," the central bank said in its directive.

The policy is expected to boost consumer confidence and streamline the national payment system by making credit card services more fair, compliant and customer-centric, it added.

Loan limits against cards

The central bank has also raised the limits on loans against credit cards. Unsecured loans can now reach Tk20 lakh, up from Tk10 lakh, while secured loans have been increased to Tk40 lakh from Tk25 lakh.

Loan limits are based on the bank deposit linked to the card, providing secure collateral. Cardholders can also withdraw up to 50% of their total credit limit in cash.

Interest rates and charges

The policy sets the maximum interest rate on credit card loans at 25%, applied only to the outstanding balance, not the total billed amount. While interest-free facilities are available for purchases, cash withdrawals will not benefit from such concessions.

Late payment fees can only be applied once, and any changes in interest rates or other charges must be communicated to cardholders at least 30 days in advance, either in writing or electronically.

Consumer protection

Applicants must be at least 18 years old to obtain a credit card. Students aged 16 and above who are dependent on a primary cardholder may use supplementary cards.

Applicants must also provide a valid e-TIN certificate and a clear CIB report.

To prevent harassment and protect consumers, the policy specifies that banks and recovery agents cannot subject cardholders to mental or physical intimidation. The privacy of cardholders' families, friends, or references must also be respected.

Collection calls or in-person contacts are restricted to office hours. A 24-hour helpline must be available to promptly block lost or stolen cards.

The National Board of Revenue is set to remove restrictions preventing non-bonded exporters from sourcing raw materials locally through back-to-back letters of credit (LCs), a move expected to ease exports and improve access to inputs for hundreds of garment factories.

NBR Chairman Abdur Rahman Khan confirmed to The Business Standard that the board is actively working to remove these barriers.

"We are working to remove existing barriers preventing non-bonded exporters from sourcing raw materials from deemed exporters operating under bonded facilities," he said.

Officials at the revenue authority say an order on the matter may be issued soon after the necessary legal changes are completed.

Infograph: TBS
Infograph: TBS

A senior official of the NBR's VAT division, speaking on condition of anonymity, said a summary seeking approval from the finance ministry has already been prepared as part of the legal amendment process.

Once approved, the VAT Policy Division will issue a formal order, based on which the Customs Bond Wing will publish a separate order outlining the conditions under which the facility will operate.

If implemented, the measure is expected to benefit more than 1,100 ready-made garment exporters that currently operate without bonded licences but rely on locally sourced inputs for exports.

According to the Bangladesh Garment Manufacturers and Exporters Association, these factories export garments worth around $6.5 billion annually and employ nearly seven lakh workers.

Responding to concerns about possible irregularities once the facility is allowed, the NBR chairman said automation and integration of data systems would help reduce misuse.

"We are moving towards automation. With integration among relevant institutions, it will be possible to collect information and monitor activities, which will reduce the scope for irregularities," he said.

A long-standing bottleneck

Garment industry leaders have been lobbying the NBR for several years to resolve the issue.

When asked why these complexities had not been resolved sooner, a senior official from the NBR Customs Wing said, "It is relatively straightforward to identify irregularities when bond-licensed firms trade raw materials amongst themselves without exporting or by committing other breaches.

However, he said, detecting such issues when they supply raw materials to non-bonded institutions is difficult under the current system.

The official added, "This arrangement has persisted primarily due to a lack of capacity within Customs to detect these specific irregularities."

After the ouster of the government led by Sheikh Hasina in August 2024, the BGMEA raised the matter again. In a letter sent to the NBR on 30 November 2024, the association warned that more than a hundred factories had already shut down due to their inability to open back-to-back LCs or procure raw materials and accessories from bonded companies.

"The remaining factories are also losing capacity and are on the verge of closure," the letter read.

Exporters believe that the proposed decision will mark a significant step towards improving the ease of doing business in Bangladesh.

Md Shehab Udduza Chowdhury, vice president of BGMEA – who has been liaising with the NBR on behalf of the association for the past year to resolve this issue – welcomed the new initiative.

He said, "Discussions on this matter began back in 2021. Multiple committees were formed to solve the problem, yet no progress was made. Although the NBR took action after our letter 11 months ago, the process eventually stalled.

"It was only during a meeting two weeks ago that a final decision was reached."

Shehab added, "The question remains: if this could be resolved now, why did it take so long? Action should also be taken against those responsible for obstructing the process for so long."

Obstacles faced by non-bonded exporters

Under existing regulations, exporters holding bonded licences can collect yarn, fabrics or accessories from other bonded companies through back-to-back LCs against their master LCs. However, factories without bonded licences are not allowed to use this facility.

Exporters say banks often hesitate to open such LCs for non-bonded companies due to concerns over potential legal complications with the NBR.

As a result, many small exporters are forced to purchase raw materials and accessories in cash from the local market, often at higher prices.

During export procedures, customs authorities frequently ask for proof that VAT has been paid on those inputs. In addition, factories face further complications during annual VAT audits.

Consequently, non-bonded exporters often incur additional costs both in sourcing materials and in dealing with customs and VAT procedures, leaving them at a competitive disadvantage.

RL Apparels Limited, a knitwear exporter based in Badda in the capital, is one such company struggling under the current system.

Its Managing Director Md Rokonuzzaman told this newspaper that banks refuse to open back-to-back LCs due to the lack of permission under existing rules.

"As a result, we have to purchase raw materials and accessories from the open market in cash at higher prices," he said. "This increases our costs, and we also face difficulties during export clearance at ports and during VAT inspections."

According to him, the factory's workforce has already fallen from 160 to about 100 workers due to these challenges.

Rokonuzzaman noted that exporters of sweaters and woven garments without bonded licences face the most difficulties.

However, he said the removal of the restriction would significantly ease business operations for such factories.

Why exporters avoid bonded licences

Entrepreneurs say obtaining a bonded warehouse licence is often difficult for small and medium-scale exporters.

According to Rokonuzzaman, applicants must meet several strict conditions, including maintaining a specific warehouse size, having wide access roads nearby and holding paid-up capital of at least Tk1 crore.

"Even if these conditions are met, applicants often have to wait months or even years after submitting their application," he said.

Beyond these requirements, entrepreneurs have also alleged corruption in the process.

One garment exporter, requesting anonymity, said he had once planned to apply for a bonded warehouse licence but later learned that obtaining it would require paying around Tk30 lakh in bribes at different stages.

"If the bribe is paid, whether the conditions are actually met becomes less of a concern," he alleged.

According to NBR data, around 6,000 factories across sectors, including garments and plastics, currently enjoy duty-free raw material sourcing under the bonded warehouse facility.

Data from the Export Promotion Bureau shows that Bangladesh exports around 87 types of manufactured goods. In the 2024-25 fiscal year, total exports of manufactured goods amounted to about $48 billion, with more than 80% coming from the ready-made garment sector.

Tackling irregularities through automation

Officials said one of the key reasons the government had previously been reluctant to extend this facility was the risk that duty-free raw materials might be diverted to the domestic market instead of being used for exports, which could result in revenue losses and create unfair competition for regular importers.

However, NBR officials now believe the risk can be mitigated through digital monitoring systems.

A senior official said several government processes have already moved online, including the e-VAT system and the Customs Bond Management System.

These systems will be integrated enabling data sharing among customs, VAT authorities, banks and other relevant institutions.

"With online data sharing among the relevant institutions, it will become easier to track whether non-bonded companies are purchasing raw materials from bonded companies and whether those inputs are ultimately used for exports," the official said.

He added that such integration would significantly reduce the chances of false export declarations or misuse of duty-free inputs.

A prolonged US-Israel war on Iran could reduce Bangladesh’s gross domestic product (GDP) by as much as 3 percent over the next two years, according to a new policy analysis by the South Asian Network on Economic Modeling (Sanem).

The study says that Bangladesh’s heavy reliance on imported energy, remittances from Gulf countries, and global trade networks leaves the economy exposed to geopolitical shocks in the Middle East.

“Real wages could come under pressure and export growth would likely slow,” the report said.

The study was conducted by using the Global Trade Analysis Project (GTAP) computable general equilibrium model, a widely used analytical framework for assessing global trade and policy shocks.

Researchers modelled three scenarios to estimate the potential damage.

The first assumed a sharp rise in global energy prices, with crude oil and liquefied natural gas (LNG) prices climbing around 40 percent and 50 percent, respectively, if the conflict disrupts production or transport routes.

Higher fuel costs would push up domestic electricity generation costs, manufacturing expenses and consumer prices. Under such a situation, Bangladesh’s GDP is likely to decline by 1.2 percent, according to the paper.

“This contraction mirrors how central energy is to production and transportation throughout the economy. High fuel prices set off a chain reaction across industries, pushing production costs higher,” it said.

The second scenario examined disruptions to international trade and shipping routes, estimating a 25 percent rise in freight costs due to higher fuel prices and increased insurance premiums for vessels in high-risk maritime zones.

In this scenario, there could also be a 5 percent drop in export demand to the European and American markets. These shocks would altogether cause a 1.4 percent GDP decline, said the study.

The paper said Bangladesh’s export sectors are very sensitive to transport costs and delivery reliability.

“When exports shrink, the related backward linkages, such as textiles, logistics, and supporting services, decline. The economy, therefore, experiences a slowdown that spreads gradually through multiple layers of the production network.”

The third scenario combined several shocks at once, including a 10 percent fall in remittance inflows from Gulf countries, reflecting possible economic disruptions in the nations where millions of Bangladeshi workers are employed.

The combined shock scenario produces the largest effect, including a roughly 3 percent decline in GDP, said the paper.

Prof Selim Raihan, executive director of Sanem and author of the study, said these pressures combined could trigger moderate to significant economic stress in the short to medium term.

“This result is not surprising,” he said. “The effects reinforce each other when multiple external pressures come at the same time. Higher fuel prices raise production costs. Trade disruptions weaken export demand. At the same time, declining remittance inflows lower household income and consumption.”

“These forces work together, impacting the supply and demand sides of the economy. This is because rising costs and a weakening market mean firms cut back production. Households struggle with lower purchasing power and tighten their belts. The interaction between these changes generates a deeper slowdown than any of the shocks would create on their own.”

The paper said Bangladesh’s exports may decline by about 2 percent in the case of an energy price shock. This is because industries’ higher production costs can make Bangladeshi goods a little less competitive in international markets.

“This decline gets even larger when introducing trade disruptions. In the shipping disruption scenario, exports would shrink by about 3.4 percent. Freight costs and the uncertainty of logistics are significant here.”

In the combined scenario, however, that pressure is multiplied. Exports drop by nearly 6 percent, a sign of the cumulative effect of rising costs, reduced demand, and shipping disruptions, it added.

The report said Bangladesh’s export-oriented garments sector stands out as one of the most vulnerable sectors in both of the simulations. Its output may decline as much as 4.5 percent.

But the transport and logistics sector would be the worst hit, by as much as 5 percent, energy-intensive manufacturing 4 percent, and agriculture 1.5 percent, according to the findings.

Prof Raihan said in the case of a prolonged war, the effect could be felt in around two years. “In fact, the impact can be larger if the situation gets worse,” he said.

The paper said Bangladesh’s development model has relied on export-led manufacturing and overseas employment, but that same integration exposes it to external shocks when geopolitical crises erupt elsewhere.

The study recommends diversifying energy sources, improving trade logistics infrastructure, expanding export markets and broadening strategies for overseas employment.