Banglalink and Elon Musk’s SpaceX have jointly applied to the telecom regulator in Bangladesh to launch trials of telecom services through satellite, allowing users’ smartphones to connect directly to satellites through a mobile operator’s network.

In a recent letter seen by The Daily Star, the companies sought approval from the Bangladesh Telecommunication Regulatory Commission (BTRC) for an initial 60-day test and trial period to integrate satellite connectivity into Banglalink’s network.

“This system will provide supplemental mobile connectivity using over 650 Starlink Low-Earth-Orbit (LEO) satellites, which initially will deliver SMS and, at a later stage, light-data capabilities to Banglalink subscribers, particularly during periods when terrestrial networks are damaged or unavailable,” the letter said.

It said the commercial arrangement will integrate Starlink Direct-to-Cell satellite connectivity into Banglalink’s mobile network in Bangladesh.

The letter describes the initiative as a first-of-its-kind partnership in Bangladesh aimed at expanding connectivity, particularly in disaster-prone and remote areas where conventional terrestrial networks are unavailable.

The companies said the proposed service would help address long-standing coverage gaps.

This development comes after Kaan Terzioglu, chief executive officer of Veon, told The Daily Star last month that the company aims to replicate the technology it is already using in Ukraine and Kazakhstan.

To prepare for a commercial rollout, Banglalink and SpaceX requested regulatory support.

The testing will use mobile frequencies authorised for Banglalink’s operations, specifically the 2110–2115 MHz downlink range and 1920–1925 MHz uplink range, where Banglalink is the sole authorised spectrum user.

The companies said the service would initially be offered as a supplementary service under Banglalink’s existing licence and would comply with regulatory obligations, including Know Your Customer (KYC) requirements.

“Subject to regulatory approval, the testing is expected to commence in April 2026 and will focus on integrating Banglalink’s terrestrial mobile service with Starlink’s Direct-to-Cell satellites in Bangladesh. No commercial service will be offered to Banglalink’s customers during the testing phase.”

Alongside the trial, the companies also urged the regulator to support necessary regulatory changes to enable satellite-based mobile services.

The trial demonstrations will take place at mutually agreed locations within Banglalink’s licensed service areas in Bangladesh and will operate within Banglalink’s authorised frequency ranges.

The companies highlighted the potential of satellite-to-mobile services to bridge the digital divide and ensure connectivity during emergencies.

They added that the system would allow users to connect via widely available LTE devices. LTE (Long-Term Evolution) is a 4G mobile network technology that provides high-speed data for smartphones.

Citing global use cases, the companies said the system had already been deployed in emergency situations.

They also requested the commission to grant approval for the commercial launch immediately after the test and trial.

Md Emdad Ul Bari, chairman of the BTRC, said they are assessing the letter and that a decision will be taken after obtaining the government’s opinion on the matter.

Unlike traditional mobile networks that rely on ground-based towers, Starlink’s direct-to-cell technology uses satellites as cell towers in space. This allows ordinary mobile phones to connect directly, expanding coverage to areas with little or no ground infrastructure.

In a statement yesterday, Banglalink announced a collaboration with Starlink Mobile to introduce the satellite-to-mobile service.

Johan Buse, chief executive officer of Banglalink, said, “Connectivity is about care -- it matters most when it reaches people wherever they are. Some communities remain beyond the reach of traditional networks because of our unique geography.

“By providing satellite-enabled coverage with Starlink, we aim to bridge those gaps and ensure people can stay connected, even in the most remote parts of the country.”

The Dhaka Chamber of Commerce & Industry (DCCI) yesterday proposed reducing the corporate tax rate for non-listed companies to 25 percent from the current 27.5 percent in the upcoming budget for the 2026-27 fiscal year.

The proposal was part of a 54-point fiscal package the chamber submitted to the National Board of Revenue (NBR) yesterday, according to a press release.

Among the headline measures, DCCI urged raising the individual tax-free income ceiling to Tk 500,000, reducing advance tax on commercial imports from 7.5 percent to 5 percent, and removing the upper limit on VAT refunds.

It also proposed cutting the source tax on interest income from company security deposits from 20 percent to 10 percent and gradually abolishing the surcharge on companies’ net assets.

Convener of DCCI’s Customs, VAT, Taxation and NBR-Related Issues Standing Committee, MBM Lutful Hadee, said the proposals were aimed at expanding the tax net, reducing the cost of doing business, and stimulating investment in the manufacturing sector.

DCCI Acting Secretary General AKM Asaduzzaman Patwary proposed a central API integration system to close revenue gaps and reduce the deficit.

Responding to the proposals, NBR Chairman Md Abdur Rahman Khan said the board would prioritise easing non-tariff barriers over cutting tariff rates outright.

He said there would be no leniency towards tax evaders, while pledging to ease compliance burdens for honest taxpayers.

Khan added that fewer than 8 lakh businesses were currently VAT-registered, a figure he described as inadequate, noting the number should exceed 10 lakh given the country’s economic scale.

He said that corporate tax had already been reduced from 50 percent to 27.5 percent over time, leaving limited room for further cuts.

The NBR chairman added that online corporate tax return filing and digital refund systems would be operational from the coming fiscal year.

The DCCI acting secretary general presented the proposals at a pre-budget discussion held at the NBR in Dhaka, on behalf of DCCI President Taskeen Ahmed.

Japanese household and personal care giant Lion Corporation has begun production in Bangladesh, targeting a share of the country's 18 crore-strong consumer market.

The company, which dates back to 1891, entered the Bangladeshi market in 2022 through a joint venture – Lion Kallol Limited – with the local Kallol Group, in which it holds a 75% stake.

Commercial operations started last month at its factory in the Bangladesh Special Economic Zone in Araihazar, widely known as the Japanese Economic Zone.

The plant has begun production with two flagship products – Mama Lemon dishwashing liquid and Systema toothbrush – while the company plans to gradually expand its portfolio of household and personal care items.

A visit to the factory on 9 April showed a compact, elevated single-storey facility reflecting Japanese industrial discipline and efficiency. Product displays at the entrance featured a range of items, including Kodomo baby care products, Jet fabric-cleaning products, and oral care offerings.

Company officials said the investment reflects a long-term commitment to Bangladesh, aimed at strengthening local manufacturing, reducing reliance on imports and improving supply chains. The project is also expected to create jobs, facilitate technology transfer and support the development of ancillary industries.

"This new plant represents our long-term commitment to Bangladesh. It strengthens our supply capabilities and enhances our ability to deliver innovative, value-added products while contributing to healthier lifestyles and broader economic development," said Go Ichitani, chairman of Lion Kallol.

Lion Corporation, with more than 130 years of business operations, produces a wide range of everyday household and personal care products, including toothpaste and toothbrushes, detergents, soaps, hair and skincare products, and over-the-counter pharmaceuticals.

Its business operations are broadly divided into consumer goods, industrial products and overseas operations, with consolidated net sales exceeding ¥400 billion (around $2.52 billion) as of the 2025 financial year.

Apart from Bangladesh, Lion operates across Asia and other regions through subsidiaries and joint ventures in countries including India, Australia, Vietnam, Thailand, Malaysia, Indonesia, South Korea, China and Singapore.

As of 2025, the firm employs more than 8,000 people worldwide and continues to invest in research, digital transformation and environmentally friendly technologies as part of its long-term growth strategy.

Ghulam Mostafa, managing director of Kallol Group, said the partnership with Lion Corporation would bring advanced technologies and help raise quality standards in the local market.

Takashi Ochiai, director of factory operations, said the facility had been built with strong emphasis on quality assurance, workforce capability and manufacturing discipline, adding that it could also support export markets in the future.

Built on about 3.3 hectares inside the economic zone, the factory is equipped with modern production lines, quality control systems and environmentally compliant processes. The facility was designed and constructed by Shimizu Corporation.

Currently producing fast-moving consumer goods, the plant is expected to employ around 273 workers. According to officials from the Bangladesh Economic Zones Authority, the company has so far invested about $7.6 million, with plans to expand investment to around $19.41 million in the next phase.

Ashik Chowdhury, executive chairman of both the Bangladesh Investment Development Authority and the Bangladesh Economic Zones Authority, told The Business Standard that such investments send a strong signal to the market, noting that investor confidence has improved following the national election.

"Such large-scale investments create a positive signalling effect. We already have several major investment proposals in the pipeline," he said, expressing optimism about stronger inflows this year.

He added that employment generation and skill development remain central to economic zone strategies, with the government extending full support to investors.

Chiharu Tagawa, managing director of BSEZ Ltd, said three companies are currently in production in the zone, including Lion Kallol, while 12 firms have leased land, several of which have begun construction.

Investor interest has increased notably after the election, with fresh enquiries from foreign companies, he said.

A senior official of Lion Kallol declined to disclose sales or growth figures, citing confidentiality, but said the company's presence in Bangladesh is expanding through products focused on hygiene and family care.

"From Kodomo baby care to Mama Lemon dishwashing liquid and Systema oral care, we are proud to serve Bangladeshi households," the official said.

Asian stocks fell and oil prices rose Thursday as the United States and Iran appeared no closer to holding fresh peace talks and Tehran continued to refuse to reopen the Strait of Hormuz.

Hopes that the two would meet for a second round of negotiations in Pakistan have dissipated, with the Islamic republic targeting three container ships in the waterway and citing Washington's blockade as its reason for keeping it closed.

Investors have spent most of the week upbeat that a breakthrough to end the seven-week conflict will be made soon, while healthy earnings and a resumption of the AI trade has also provided support.

Crude prices jumped as much as four percent in early Asian business after global security monitors and Iran's Revolutionary Guards said Iranian forces had seized two ships and fired on a third in the Strait of Hormuz.

Tehran has said vessels must seek permission to leave or enter the Gulf through the waterway, which in peacetime accounts for around a fifth of the world's oil and gas exports along with other vital commodities.

However, the White House said Donald Trump did not consider the move to be a ceasefire violation because the vessels are not American or Israeli.

Meanwhile, Iran's parliament speaker said the Islamic republic would not reopen the Strait as long as the US naval blockade remained, calling it a "blatant violation" of the two countries' ceasefire.

"A complete ceasefire only has meaning if it is not violated through a naval blockade... Reopening the Strait of Hormuz is not possible amid a blatant violation of the ceasefire," speaker Mohammad Bagher Ghalibaf said on X.

Still, Trump's Press Secretary Karoline Leavitt said he "has not set a firm deadline to receive an Iranian proposal" for talks.

"Ultimately, the timeline will be dictated by the commander in chief," she told journalists.

Oil prices remained elevated, with Brent holding above $100 following a surge Wednesday, though they pared Thursday's initial gains.

Most equities fell, though, with Tokyo, Hong Kong, Shanghai, Sydney, Singapore and Wellington all down.

But Seoul rallied more than one percent to a new record thanks to a fresh rally in the tech sector that has been the backbone of a surge in the Kospi index this year.

Taipei, Manila and Jakarta were also up.

"Whether it's conflict fatigue or confidence that the conflict between the US and Iran will be resolved soon, there is limited evidence that the rise in the oil price dampened bond and equity markets," said National Australia Bank's Skye Masters.

However, she added that the Washington Post had reported a senior Defence Department warned it could take six months to fully clear the Strait of Hormuz of mines and that such an operation would probably not unlikely start before the end of the war.

"It is questionable whether financial markets are correctly pricing the reality that supply constraints will remain an issue for some time," she wrote.

Raphael Olszyna-Marzys, of Bank J. Safra Sarasin, added: "Financial markets are pricing a high likelihood that traffic through the Strait of Hormuz will soon normalise.

"Our game-theory model suggests that a narrow agreement to reopen the strait is in both parties' best interests. This outcome remains our base case. But it also reveals that a misreading of the other party's intentions could lead to a further ratcheting-up of tensions before we get there."

Investors took some heart from strong earnings reports, with South Korean chip titan SK hynix posting a nearly 400 percent jump in net profit that hit a record for January-March thanks to the artificial intelligence boom.

That came after Tesla announced forecast-topping first-quarter profits and Texas Instruments offered a healthy outlook.

Bloomberg said almost 80 percent of the S&P 500 firms that have reported first-quarter earnings had beaten analyst estimates so far.

Key figures at 0230 GMT

West Texas Intermediate: UP 0.7 percent at $93.65 a barrel
Brent North Sea Crude: UP 0.6 percent at $102.47 a barrel
Tokyo - Nikkei 225: DOWN 1.1 percent at 58,952.11 (break)
Hong Kong - Hang Seng Index: DOWN 0.9 percent at 25,926.59
Shanghai - Composite: DOWN 0.1 percent at 4,100.38
Euro/dollar: UP at $1.1710 from $1.1709 on Wednesday
Pound/dollar: DOWN at $1.3501 from $1.3506
Dollar/yen: DOWN at 159.41 yen from 159.49 yen
Euro/pound: UP at 86.73 pence from 86.70 pence

Retail sales in the United States soared past expectations in March, government data showed Tuesday, as gasoline prices surged on fallout from war in the Middle East.

Sales rose by 1.7 percent from the prior month to $752.1 billion, more than analysts expected -- its biggest jump in a year, Commerce Department data showed.

From a year ago, retail sales bounced 4.0 percent.

The acceleration came on the back of a 15.5 percent month-on-month increase in gasoline station sales, as energy costs climbed in March.

US-Israeli strikes targeting Iran from February 28 triggered Tehran's retaliation in virtually blocking the Strait of Hormuz, a key waterway for energy transit.

Since then, oil and gas prices have surged, and gasoline costs have risen in the world's biggest economy as well.

Steeper costs -- which have added pressure on households and businesses -- have in turn fueled fears of a broader inflation uptick, and an impact on consumer demand and growth.

Excluding gasoline stations, overall retail sales were up by just 0.6 percent on a month-on-month basis.

"The war-driven spike in gas prices drove the surge in headline retail sales in March," said economist Nancy Vanden Houten of Oxford Economics.

Beyond that, however, sales were likely boosted by "this year's surge in income tax refunds," she added in a note.

She warned: "The tailwind from a blockbuster refund season will fade soon, causing households to cut back on discretionary spending as energy costs remain high."

Chris Zaccarelli, chief investment officer at Northlight Asset Management, expects that further resilience in consumer spending would depend on the health of the jobs market.

Among other categories, sales at motor vehicles and parts dealers picked up by 0.5 percent from a month ago, while those at food and beverage stores climbed by 0.7 percent.

Load-shedding is expected to intensify in the coming days after a unit at Adani Power went offline early yesterday (22 April), slashing electricity imports by almost half and placing additional strain on an already stretched power system grappling with coal shortages and limited gas supply.

According to the Bangladesh Power Development Board (BPDB), a technical fault forced Unit-1 of the Adani Power plant to go offline at 1am yesterday, cutting electricity imports from roughly 1,500MW to 764MW.

The national grid remains under severe pressure as generation continues to fall short of the critical 15,000MW peak demand threshold.

Data from Power Grid Bangladesh shows that power generation reached only 13,198MW against a projected demand of 15,200MW at 1am yesterday.

The nearly 2,000MW deficit – aggravated by rising summer temperatures – mirrors a similar gap recorded last Monday and highlights the system's continuing struggle to stabilise supply.

The outages have disrupted industry and daily life, with rural communities facing the longest blackouts.

Load-shedding varies widely across regions, ranging from around 28% in Gazipur to more than 45% in Savar, while Sylhet is experiencing outages of about 40%. In many areas, electricity is going out several times a day for hours, with rural regions enduring outages lasting seven to ten hours.

BPDB chairman Md Rezaul Karim told The Business Standard the shutdown was caused by a bearing issue linked to the boiler's air preheater.

"Rising vibration in the air preheater bearing prompted the shutdown to prevent further damage," he said.

"Adani has informed us that it may take at least three to four days to bring Unit-1 back online," a BPDB official said.

Data from Power Grid Bangladesh shows that supply from Adani had already fallen to 1,109MW before the shutdown and dropped further to 764MW by 2am as only one unit remained operational.

Yesterday, peak demand during the day was projected at 15,450MW, while generation stood at only 13,112MW, leaving a shortfall of more than 2,338MW.

BPDB officials warned that the disruption in Adani supply could further widen the gap between demand and supply in the coming days.

April-May generation plan under strain

The BPDB had earlier planned to generate more than 17,500MW during April and May to meet peak summer demand. Under that plan, 5,600MW was expected to come from gas, 6,000MW from coal, 1,435MW from Adani Power, 3,500MW from liquid fuel and around 1,000MW through HVDC power imports.

Gas-fired plants – the backbone of Bangladesh's power system – are currently operating far below capacity due to gas shortages.

BPDB data shows gas supply to power plants stood at about 891.6 million cubic feet per day (mmcfd) on 21 April, producing between 4,600MW and 5,000MW of electricity.

Although installed gas-based capacity is around 11,000MW, actual generation rarely exceeds 5,000-5,100MW under current supply conditions.

Officials say that an additional 100-150mmcfd of gas could raise generation close to 6,000MW, but such an increase remains uncertain amid the continuing supply crisis.

Coal plants hit by supply shortage

Coal-fired power generation is also under pressure due to coal shortages. While the earlier plan aimed for 6,000MW from coal plants, actual output has remained far lower, hovering between 4,500MW and 4,600MW.

At 4pm yesterday, electricity generation from coal plants stood at 4,605MW.

The decline in output from the 1,320MW SS Power plant has also complicated efforts to manage load-shedding during the hot and humid days of April. The plant is currently operating below capacity because of a coal shortage, with one unit offline and another producing only about 300MW.

According to BPDB, SS Power is a reliable plant to meet summer demand, but coal shortage forced it to run under capacity. Officials said supply from the plant could improve next week after new coal shipments arrive, expected by Sunday.

One unit of the 1,320MW Patuakhali power plant is also operating below capacity, generating only about 300MW, while the second unit has yet to be commissioned.

Meanwhile, the 1,200MW Matarbari power plant is generating around 900-950MW.

Despite a plan to produce 3,500MW from liquid fuel-based plants, the BPDB has adopted a cautious approach to using furnace oil due to concerns over global fuel supply uncertainties.

Data from Power Grid Bangladesh shows that generation from heavy fuel oil (HFO) plants reached 2,944MW during the evening peak on 13 April.

Other sources and imports

Yesterday, the power generation mix included about 5,096MW from gas, 4,559MW from coal and around 900MW from furnace oil plants, along with smaller contributions from hydro, solar and wind.

Electricity imports included 922MW through HVDC links and 188MW from Tripura, in addition to about 751MW from the Adani plant after the disruption.

BPDB officials warned of a widening power deficit as shortages of gas and coal, coupled with the underutilisation of furnace oil-based plants, strain the grid.

With demand projected to climb in the coming weeks, officials further cautioned that outages could intensify nationwide unless fuel supplies stabilise and the Adani unit is swiftly restored to service.

The US-Israeli war with Iran and the closure of the Strait of Hormuz have caused the biggest oil supply disruption on record by daily output lost, though at least one earlier shock had a greater cumulative impact, according to Reuters calculations based on International Energy Agency and US Department of Energy data.

The IEA said on Tuesday that the conflict is the worst energy crisis the world has faced, when combined with the tail end of the European gas crisis caused ​by Russia's invasion of Ukraine in 2022.

The scale of the disruption has revived comparisons with past energy shocks, from the 1973 Arab oil embargo to the Iranian Revolution and the 1991 Gulf War, while underscoring how ‌much global energy markets have changed.

A DIFFERENT KIND OF ENERGY SHOCK

Unlike earlier crises, the Iran war has simultaneously hit crude, natural gas, refined fuel and fertiliser supplies, exposing new vulnerabilities created by decades of rising demand, deeper global trade links and the Middle East’s expanded role as a supplier of finished fuels.

Earlier energy shocks of the 1970s caused lasting economic damage, weakened governments and remain etched in the memory of citizens in industrialised nations such as the United States, which faced months of fuel supply shortages and queues at the gas pumps.

The IEA was established in the wake of the Arab ​oil embargo to advise industrialised countries on energy supply and security. The IEA also manages its members' emergency oil stocks and has responded to the crisis by releasing a record 400 million barrels from strategic stockpiles to stabilise oil ​prices and offset lost Middle Eastern supply.

HOW DOES THE CURRENT DISRUPTION COMPARE BY SCALE?

The peak supply loss from the current crisis stands at more than 12 million barrels per day, the IEA ⁠said earlier this month. That is equivalent to 11.5 percent of global oil demand, which this year is expected to average around 104.3 million bpd.

The outright daily supply loss is larger than earlier peak supply losses of 4.5 million bpd during the 1973-74 Arab ​oil embargo and of 5.6 million bpd during the Iranian Revolution in 1978-79 combined, the IEA said. It is also higher than the estimated peak supply losses of 4.3 million bpd during the 1991 Gulf War, the IEA said.

The Iran war has also triggered ​the shutdown of roughly a fifth of the world's liquefied natural gas production in Qatar. The world consumes much more gas than it did during the oil shocks of the 1970s-1990s. During the Arab oil embargo and the Iranian Revolution, the LNG industry was nascent. Qatar first exported LNG in 1996.

The current disruption also extends beyond crude and gas into fuel markets. The US-Israeli war on Iran has disrupted millions of barrels per day of fuel production and exports from refineries in the Gulf, triggering shortages of jet fuel and diesel. Huge refineries built inside the Gulf in recent decades ​are key to global fuel supplies. They send jet fuel to Africa, Europe and Asia, for example.

HOW DO DURATION AND LOSSES COMPARE WITH PAST SHOCKS?

The International Energy Agency did not immediately respond to a Reuters request for comment on how the current disruption ​compares with earlier energy shocks in terms of cumulative supply losses.

In the absence of official comparisons, Reuters assessed cumulative losses by calculating the scale and duration of major supply disruptions.

Based on that approach, the current conflict has lasted 52 days and removed an estimated 624 million barrels ‌from the market, ⁠assuming a loss of 12 million barrels per day over that period, according to Reuters calculations.

Even if a peace deal is reached quickly, supply disruptions are expected to persist for months and, in the case of gas, for years, pushing the final cumulative impact significantly higher.

The IEA says the 1978-79 Iranian Revolution resulted in a peak loss of 5.6 million bpd, smaller in scale than the current disruption. The revolution, however, led to a larger cumulative loss, according to Reuters calculations.

According to the US Department of Energy, the revolution caused an average drop of 3.9 million bpd in Iran's crude oil production from 1978 to 1981 - a loss of some 4.27 billion barrels over three years according to Reuters calculations - although the Energy Department says much of this loss was compensated by Iran's Gulf ​neighbours.

During this crisis, the countries with spare capacity - Saudi Arabia, the ​United Arab Emirates - have been unable to compensate - because ⁠they themselves have been hit by the halt in shipments through the Strait of Hormuz.

Oil journalist and author Ian Seymour estimates Iran pumped an average of 3.1 million bpd during 1979 compared to 6 million bpd in late 1978 - resulting in a cumulative loss of over 1 billion barrels in 1979 alone.

During the 1973-1974 Arab oil embargo, producers took three months to reach full production cuts ​of 4.5 million bpd. The embargo lasted from October 1973 to March 1974, resulting in around 530 million to 650 million barrels of lost production, according to Reuters calculations. That ​would mean the Arab oil embargo was ⁠comparable in its cumulative impact to the disruption caused by the US-Israeli war on Iran.

SHORTAGES IN ASIA, AFRICA

The current crisis has played out initially in shortages of supply to Asia and Africa. Top oil consumer the United States was much harder hit by the Arab oil embargo, which led to motorists enduring long lines for gasoline. The disruption lasted months and sparked an overhaul of energy policy and a rethinking of what constituted energy supply security.

The 1991 Gulf War, which disrupted oil output for four months according to a government document from ⁠IEA member Australia, resulted ​in a cumulative loss of at least 516 million barrels according to Reuters calculations assuming losses at 4.3 million bpd over that time, making the ​cumulative losses smaller than the current crisis and the Arab oil embargo.

Russia's invasion of Ukraine in 2022 triggered a global energy crisis as European countries scrambled to reduce their dependence on Russian oil and gas.

Russian oil output declined by 9 percent in April 2022, according to the US Energy Information Administration, or roughly 1 million ​bpd and much smaller than the current disruption. Russia's output stabilised in later months as Moscow rerouted exports to counter Western sanctions, although in 2026 Ukrainian drone attacks are causing output cuts.

Prime Minister Tarique Rahman has said effective initiatives have been taken to introduce the much-anticipated online payment gateway PayPal to create large-scale employment through the expansion of information technology in the country.

He said this in response to a question from treasury bench lawmaker from Natore-4 Md Abdul Aziz in parliament on Wednesday (22 April), with Speaker Hafiz Uddin Ahmed in the chair.

The prime minister informed that a master plan has been adopted to issue identity (ID) cards to 200,000 freelancers over the next five years and to train several thousand youths in advanced technologies.

Tarique said various organizations and departments under the Information and Communication Technology (ICT) Division have undertaken multiple plans and activities aimed at generating employment through the expansion of IT.

He said the Department of ICT will impart training to 1,000 individuals over five years to develop them as freelancers and provide ID cards to 200,000 freelancers during this period.

A total of 7,500 freelancers have already been issued ID cards, and the programme is ongoing, he added.

The prime minister said 2,400 people will be trained in advanced technologies such as artificial intelligence (AI), machine learning (ML), and virtual reality in 2026 through the Bangladesh Hi-Tech Park Authority.

To accelerate investment and employment, 83 services are currently being provided online, with plans to add 10 more services within the next year, he said.

Tarique said a committee has already been formed to ensure the effective operation of hi-tech and software parks and ICT centres, and to take necessary steps for launching PayPal services in Bangladesh.

He said over the next five years, around 1,000 undergraduate and graduate students will receive IT training in 20 batches through the Bangladesh Computer Council (BCC).

Initiatives have also been taken to provide training to 5,020 job-seekers and students in areas such as AI, mobile app development, Python programming, data analytics, and cyber security, including short courses as well as one-year diploma and postgraduate diploma programmes, he mentioned.

The prime minister said initiatives have also been taken to provide basic computer training to about 700 persons with special needs to help them become self-reliant.

Additionally, around 700 women entrepreneurs will receive skills development training under the "Women in ICT Frontier Initiative" to create employment opportunities, he said.

Highlighting ongoing programmes, the prime minister said that under IT training initiatives, 300 students from 15 universities are currently receiving training in the April 2026 session.

He also noted that training has been completed for 40 persons with special needs in basic computer skills and for 20 women entrepreneurs in Wi-Fi-related skills development.

Ibn Sina Pharmaceutical Industry PLC reported a strong growth in earnings for the first nine months of the current fiscal year, despite a decline in its third-quarter performance.

According to its price-sensitive information, the company's consolidated earnings per share (EPS) rose to Tk19.94 during the July-March period, marking a 32.75% increase compared to the same period in the previous fiscal year.

The company's board approved the third-quarter financial statements at a meeting held today (22 April) in line with listing regulations. The financials are yet to be audited.

However, in the third quarter alone (January-March), the company's EPS declined by 16% to Tk4.67, down from Tk5.55 recorded in the corresponding period a year earlier.

Meanwhile, the company's consolidated net asset value (NAV) increased to Tk434.61 crore, up from Tk392.69 crore in the previous period.

প্রতি বছর ব্যাংক থেকে যে পরিমাণ মেয়াদি ঋণ দেয়া হয়, তার একটি নির্দিষ্ট অনুপাত (যেমন ২ লাখ কোটি টাকার বিপরীতে ২০-৩০ হাজার কোটি টাকা) পুঁজিবাজার থেকে সংগ্রহের লক্ষ্যমাত্রা মুদ্রানীতিতে থাকা উচিত। এটি বাস্তবায়নে সুদের হার ও করনীতির ক্ষেত্রে কোথায় সমন্বয় করতে হবে এবং কোন কোন খাতকে অগ্রাধিকার দিতে হবে সেটি নির্ধারণে বাংলাদেশ ব্যাংক, এনবিআর ও বিএসইসির মধ্যে সমন্বয়ের প্রয়োজন আছে।

পুঁজিবাজারের বিনিয়োগ জমি বা বন্ডের তুলনায় বেশি ঝুঁকিপূর্ণ। তাই এ ঝুঁকি সামাল দিতে বিনিয়োগকারীদের একটি ‘প্রিমিয়াম’ বা বিশেষ সুবিধা দেয়া উচিত। এক্ষেত্রে পুঁজিবাজারে বিনিয়োগের সময়সীমার ওপর ভিত্তি করে মূলধনি মুনাফার ওপর করহার নির্ধারণ করা উচিত। এক বছর পর্যন্ত বিনিয়োগের ক্ষেত্রে ১৫ শতাংশ, দুই-তিন বছর মেয়াদি বিনিয়োগের ক্ষেত্রে ১০ শতাংশ, চার-পাঁচ বছর মেয়াদি বিনিয়োগের ক্ষেত্রে ৫ শতাংশ এবং বিনিয়োগের মেয়াদ পাঁচ বছরের বেশি হলে শূন্য কর নির্ধারণ করা যেতে পারে।

বিদেশী বিনিয়োগকারীদের প্রধান উদ্বেগের জায়গা হলো মুনাফা প্রত্যাবাসন ও করসংক্রান্ত জটিলতা। এজন্য পুঁজিবাজারে বিদেশী বিনিয়োগ আকর্ষণে কর ব্যবস্থা সহজ করা প্রয়োজন। এক্ষেত্রে শেয়ার বিক্রির পরপরই যেন স্টক এক্সচেঞ্জের মাধ্যমে উৎসে কর কেটে নেয়ার সুযোগ থাকে এবং তাৎক্ষণিক নিষ্পত্তি করা যায় এমন ব্যবস্থা রাখা দরকার।

বাজেটে সম্পদ করের বিষয়টি নিয়ে আলোচনা হচ্ছে। শেয়ারের দাম পরিবর্তনশীল হওয়ায় বছর বছর কর দেওয়ার পর লোকসানে শেয়ার বিক্রি করলে বিনিয়োগকারী বড় ক্ষতির মুখে পড়বেন। সম্পদ করের চাপে বিনিয়োগকারীরা দীর্ঘমেয়াদে শেয়ার না রেখে দ্রুত বিক্রি করে দেবেন, যা বাজারে অস্থিরতা বাড়াবে।মূলধনি মুনাফার ওপর করের পাশাপাশি সম্পদ কর আরোপ করলে বিনিয়োগের সক্ষমতা ও আগ্রহ দুটোই কমে যাবে। তাই শেয়ার ও বন্ডে বিনিয়োগের বিষয়টি সম্পদ করের আওতার বাইরে রাখাটাই যুক্তিসংগত হবে।

Grameenphone, the country's largest telecom operator, reported a 4.40% year-on-year rise in net profit to Tk662 crore in the January-March quarter of 2025, up from Tk634 crore in the same period last year, even as revenue declined.

According to a company disclosure issued today (22 April), the earnings growth was supported by lower depreciation and amortisation costs, reduced finance expenses, and improved operational efficiency across the business.

Despite macroeconomic pressures, earnings per share (EPS) increased to Tk4.90 from Tk4.69 a year earlier, reflecting stronger profitability per share.

Revenue, however, fell 2.0% year-on-year to Tk3,758 crore from Tk3,835 crore, largely due to challenging economic conditions. The decline was partially offset by growth in data services, which helped cushion weaker voice revenue.

The company maintained a strong EBITDA margin of around 58%, although it recorded a slight 1.5% decline year-on-year due to lower revenue. Operating expenses dropped 2%, while cost of goods sold fell 7.3%, indicating tighter cost control without affecting service quality.

Grameenphone's subscriber base stood at 8.42 crore at the end of the quarter, with 4.92 crore users (58.4%) using internet services. Active data users grew 1.7%, while average data consumption rose 5.4% to about 7.7 GB per user, underscoring continued digital adoption.

Chief Executive Officer Yasir Azman said the company remained resilient amid external challenges and continued to invest in network expansion, IT infrastructure, spectrum, and AI-driven transformation. He noted that Grameenphone is advancing towards an AI-first telecom model as part of its broader digital strategy.

He also highlighted the recent acquisition of 700 MHz spectrum, which is expected to improve rural coverage and strengthen indoor connectivity, helping bridge long-standing service gaps and support future data demand.

Chief Financial Officer Otto Risbakk said that while revenue was affected by macroeconomic pressures, disciplined cost management helped sustain profitability. He added that earnings quality improved during the quarter, with efficiency gains achieved without compromising customer experience or network performance.

In 2025, the company declared a 105% final cash dividend, bringing total dividend payout to 215%, including the interim dividend, reflecting strong cash generation despite a challenging operating environment.

However, on a full-year basis, Grameenphone's profit after tax declined 18.53% year-on-year to Tk2,958 crore in 2025, down from Tk3,631 crore in 2024, as weaker consumer spending, rising costs, and cautious business activity weighed on earnings.

Ukraine has restarted pumping Russian oil to Hungary and Slovakia after completing repairs to the Druzhba pipeline after it was damaged in a Russian attack in January, the three countries said Wednesday.

The pipeline has been at the centre of a standoff between Ukraine, the European Union, and Hungary and Slovakia — which still import Russian oil via the pipeline.

Kyiv hopes the resumption of supplies will unblock the last hurdle to securing tens of billions of euros in support from Brussels that has been held up by Hungary’s outgoing nationalist leader Viktor Orban.

Hours after Ukraine said oil had started flowing, EU officials gave preliminary approval for the long-stalled loan of 90 billion euros ($106 billion) to be disbursed.

‘Oil transit was launched and pumping began,’ an energy industry source in Ukraine told AFP.

Hungary and Slovakia confirmed transit had started and said supplies should start arriving Thursday.

Hungarian energy giant MOL said it ‘expects the first crude oil shipments following the restart of the Ukrainian section of the pipeline system to arrive in Hungary and Slovakia by tomorrow at the latest’.

Slovakia’s economy minister Denisa Sakova also said the first deliveries were expected in the early hours of Thursday, in a post on Facebook.

Hungary’s Orban had blocked the multibillion-euro loan for Ukraine as leverage to pressure Kyiv to resume oil deliveries, accusing it of stalling repairs.

His defeat in elections this month was seen as paving the way for the money to be unlocked.

Slovak prime minister Robert Fico, who has repeatedly clashed with Kyiv and Brussels, said Wednesday that he ‘would not be surprised if the 90 billion loan were unblocked and then oil supplies were cut off again’.

Ukrainian president Volodymyr Zelensky has made no secret of his opposition to the fact that some EU members still buy Russian oil and gas, a key source of revenue for Moscow to fund its invasion launched more than four years ago.

Oil prices were marginally lower today (23 April) after big gains in the previous session amid the stalled peace talks between Iran and the United States, and as both nations maintained restrictions on the flow of trade through the Strait of Hormuz.

Brent crude futures fell 15 cents to $101.76 a barrel, after settling above $100 for the first time in more than two weeks yesterday (23 April).

West Texas Intermediate futures fell 14 cents to $92.82. Both benchmarks closed more than $3 higher yesterday after larger-than-expected gasoline and distillate stock draws in the US, and over the lack of progress on peace talks.

While US President Donald Trump extended a ceasefire between the countries following a request by Pakistani mediators, Iran and the US are still restricting the transit of ships through the Strait of Hormuz.

The Strait carried about 20% of daily global oil and liquefied natural gas supplies until the war began at the end of February with attacks by the US and Israel on Iran.

Iran seized two ships in the Strait of Hormuz yesterday, tightening its grip on the strategic waterway.

Trump has also maintained a US Navy blockade of Iran's trade by sea, and Iranian parliament speaker and top negotiator Mohammad Baqer Qalibaf said a full ceasefire only made sense if the blockade was lifted.

The US military has intercepted at least three Iranian-flagged tankers in Asian waters and is redirecting them away from positions near India, Malaysia and Sri Lanka, shipping and security sources said yesterday.

With his extension of the ceasefire on Tuesday (21 April), Trump again pulled back at the last moment from warnings to bomb Iran's power plants and bridges.

Trump has not set an end date for the extended ceasefire, White House press secretary Karoline Leavitt told reporters.

Us exports set a record high

Total exports of crude oil and petroleum products from the United States climbed by 137,000 barrels per day to a record 12.88 million bpd as Asian and European countries bought up supplies after disruptions tied to the Iran war.

US crude stocks rose while gasoline and distillate inventories fell, the Energy Information Administration said on Wednesday. Crude inventories rose by 1.9 million barrels, compared with expectations in a Reuters poll for a 1.2 million-barrel draw.

US gasoline stocks fell by 4.6 million barrels, while analysts had expected a 1.5 million-barrel draw. Distillate stockpiles dropped by 3.4 million barrels versus expectations for a 2.5 million-barrel drop.

Rancon Auto Industries Ltd (RAIL) has entered a strategic partnership with Japan’s Mitsubishi Corporation to manufacture vehicles in Bangladesh for sale in domestic and regional markets.

Under the agreement, Mitsubishi will take a 25 percent equity stake in Rancon Auto, which began local production of the Mitsubishi Xpander in June last year.

Announcing the joint venture at an event at Sheraton Dhaka yesterday, Rancon Holdings Group Managing Director Romo Rouf Chowdhury said the partnership would mark a major step forward for the country’s automotive sector.

Finance Minister Amir Khosru Mahmud Chowdhury, State Minister for Civil Aviation M Rashiduzzaman Millat and Japanese Ambassador to Bangladesh Saida Shinichi were present at the event.

Rancon Holdings Group Managing Director Chowdhury said, “The landmark strategic alliance -- the first of its kind in the country’s automotive sector -- underscores the strength of Bangladesh-Japan trade relations.”

He added that the strategic investment is expected to enhance access to affordable and convenient vehicle financing, expand after-sales services, ensure spare parts availability, and strengthen distribution networks across the country.

“It will also facilitate the transfer of technology and knowledge to develop a highly skilled local workforce, while contributing to government revenue through VAT and taxes,” said Chowdhury, adding the company’s automobile arm has gradually built its manufacturing base since starting operations in 2017.

Rancon Auto, which focuses on multi-brand vehicle manufacturing and assembly, began with the local assembly of the Mitsubishi Outlander. It later expanded its portfolio to include the Fuso BM117, Mercedes OF1623, Proton X70, as well as trucks and pickups from JAC and GMC.

The company upgraded its factory in 2023 with a modern paint facility. The following year, it launched the locally painted and assembled Mitsubishi Xpander, which quickly gained traction, with monthly sales exceeding 100 units, making it the highest-selling brand-new vehicle in Bangladesh.

Despite this growth, Chowdhury said the country’s automobile market remains largely underdeveloped.

With one of the lowest per capita vehicle ownership rates in the region and a population of around 200 million, he said Bangladesh offers strong long-term demand potential as the middle class expands.

Against this backdrop, Rancon initiated discussions with Mitsubishi Corporation to leverage its manufacturing and distribution expertise. The talks culminated in the joint venture, under which Mitsubishi Corporation acquired a 25 percent stake in Rancon Auto Industries through direct foreign investment.

“This is a proud moment for us,” Chowdhury said, adding that the partnership reflects growing international confidence in Bangladesh’s industrial prospects.

He said it could be the first instance of direct foreign investment in four-wheel vehicle manufacturing in the country.

Chowdhury expressed hope that the move would encourage other global players to invest, helping build a stronger automotive manufacturing ecosystem capable of generating employment and eventually developing into an export hub.

He also pointed to regional examples such as Indonesia, Thailand, Malaysia, Vietnam, India and Pakistan, which have developed established automotive industries with export capacity.

Japanese Ambassador to Bangladesh Saida Shinichi described the joint venture between Mitsubishi and Rancon as a “significant milestone”, crediting engineers, technicians and government officials for their roles in bringing the project to fruition.

He said Mitsubishi had begun training Rancon engineers in 2024, followed by the launch of Xpander assembly in June last year, calling it evidence of strong collaboration between the two sides.

The envoy also highlighted Bangladesh’s efforts to improve the investment climate, including its first Economic Partnership Agreement (EPA) with Japan, signed in February, and initiatives such as the “Investment Gateway”.

He said the Mitsubishi Xpander is the only locally assembled Japanese-brand vehicle in Bangladesh, calling it the country’s first “made-in-Bangladesh” Japanese car.

He added that local assembly could support wider industrial development, including technology transfer, job creation and growth in upstream industries such as parts manufacturing.

Hiroyuki Egami, senior vice-president and division COO of Mitsubishi Corporation, reaffirmed the company’s commitment to bringing its global automotive expertise to the partnership.

In his speech, Finance Minister Amir Khosru Mahmud Chowdhury described the Mitsubishi-Rancon joint venture as a “refreshing change” for an automobile sector long dependent on imported vehicles.

“Bangladesh has traditionally depended on cars imported from Japan, Europe and the United States, a pattern that had become a way of life,” he said, adding that local assembly with a global brand like Mitsubishi marks a significant turning point.

He said Rancon’s experience in the automobile market makes it a suitable partner and expressed confidence that the collaboration would grow “from strength to strength”.

The minister highlighted the venture’s wider economic impact, pointing to its potential to raise value addition, create jobs and support industrial development, particularly in light engineering.

He added that the government is planning a dedicated zone for light engineering industries to support such initiatives.

At the programme, State Minister for Civil Aviation M Rashiduzzaman Millat announced that direct flights between Dhaka and Tokyo would resume next month, restoring a key air link between Bangladesh and Japan after a prolonged suspension.

He said the resumption would strengthen connectivity, facilitate trade and business, and deepen people-to-people ties between the two countries.

“You will be happy to know that we are starting flights to Tokyo from next month,” he said, adding that the move was expected to boost bilateral engagement on multiple fronts.

Inflation is likely to remain high and reach 8.6 percent in the fiscal year 2026-27 (FY27) due to higher energy prices driven by the war in the Middle East, according to BMI, a provider of insights, data and analytics.

The firm, owned by Fitch Solutions, said inflation may remain above the Bangladesh Bank’s (BB) 6.5 percent target set in its latest monetary policy.

It added in its report on Bangladesh published on Tuesday that this is partly due to base effects from low food price inflation during FY26.

Inflation averaged 10 percent in FY25, up from 9.7 percent in the previous year. It is expected to stay high at 9 percent in FY26, according to the Asian Development Bank in its April issue of the Asian Development Outlook.

The ADB projects inflation at 8.5 percent in FY27 as external shocks ease and domestic supply conditions improve.

BMI said that as inflation is expected to remain high, the BB may keep the policy rate unchanged at 10 percent in FY27 instead of cutting it, as it had previously projected.

“Our revised forecast reflects high projected inflation, a recent decline in long-term borrowing costs, and a renewed need for International Monetary Fund (IMF) financing,” said the report.

It added that the Iran conflict would add 0.13 percentage points to headline inflation in the coming fiscal year through higher energy prices.

“Elevated inflation threatens the BB’s price stability mission, making a rate cut in FY27 difficult to justify,” it said, adding that rising energy prices have made rate cuts untenable for many central banks worldwide.

The report said surging inflation in recent years has eroded real wages in Bangladesh, particularly for industry workers, who make up 21 percent of the economy’s labour force. Although salary declines have slowed in 2025, this follows five consecutive years of falling real wages, it added.

“An uncontrolled supply-side shock to inflation will worsen this problem. This will make the BB even more cautious about cutting rates, which could cause inflation to run unchecked.”

BMI also said falling long-term borrowing costs are another reason to keep the policy rate high. The 10-year treasury yield has trended down since January 2025, even though the policy rate remains elevated.

“Over the same period, credit growth has surged, driven by higher government borrowing. Apart from fuelling inflation, looser credit could also shift financial flows towards lower-quality investments. This is likely given the fragility of Bangladesh’s banking sector,” it said.

The report also noted the government’s request for $3 billion in financial support from the IMF and the World Bank.

“The government’s spending needs are real. Aside from cushioning the impact of the Iran conflict on Bangladeshi households, Dhaka will likely have to recapitalise several banks as it reforms the financial sector,” it said.

It added that IMF support is likely to depend on the government maintaining a degree of macroeconomic stability.

“Keeping monetary policy tight when economic conditions support it would help preserve confidence among international investors in Bangladesh’s medium-term prospects,” it said.

The government has secured sufficient fuel supply to meet demand in May, with preparations underway for June and July, State Minister for Power, Energy and Mineral Resources Anindya Islam Amit said today (22 April).

He made the remarks in parliament while responding to an urgent public importance notice raised by Jamaat-e-Islami Ameer Shafiqur Rahman on addressing the "ongoing energy crisis" and reducing public suffering.

Highlighting stock, distribution and global situation, the state minister said fuel prices in the global market have increased by an average of 186.59% since the start of the Iran war.

Despite intense pressure for price adjustments, he said the government refrained from raising fuel prices during the peak boro irrigation season. "After irrigation demand eased, prices were adjusted, and even then, the increase was lower than in neighbouring countries," he added.

He also said the government remains open to constructive proposals. "If the opposition or any party has a clear plan to resolve the fuel crisis, the government is willing to consider it."

Opposition lawmakers also took part in the discussion on the proposal.

Singer Bangladesh Ltd reported a loss of Tk55.86 crore in the January-March quarter of 2026, despite posting modest year-on-year revenue growth.

According to its unaudited financials, the company's sales rose by 3.46% to Tk577.20 crore, up from Tk557.86 crore in the same period last year.

However, losses widened significantly from Tk35.89 crore in Q1 2025, reflecting mounting cost pressures and weak market demand.

Commenting on the Q1 financials, the company said that despite a slight increase in turnover, actual sales fell short of expectations due to a stagnant consumer electronics market.

"Domestic sales were stifled by high inflation, geopolitical tensions, and unfavourable weather, while the national election and extended Eid holidays further dampened demand," it said.

Although gross profit margins remained stable, Singer noted that rising costs could not be fully passed on to consumers due to strong price sensitivity in the market.

As a result, operating profit declined by 8.1%, driven by higher expenses related to rent, depreciation and salaries, amid broader economic struggle to balance the operational costs with subdued consumer durables demand.

The company also reported a sharp 41.4% increase in net finance costs, mainly due to nearly 50% higher interest expenses from increased short-term borrowing to support working capital and business expansion.

Additionally, the depreciation of the Bangladeshi taka against the euro led to foreign exchange losses on inter-company loans, the company said.

Sectors across Bangladesh are adjusting rates and restructuring costs in the wake of the government’s record fuel price hike, with freight charges from Chattogram port surging and consumer goods companies shrinking pack sizes and cutting trade margins to stay afloat.

On April 18, the government raised fuel prices to record highs -- diesel by Tk 15 per litre to Tk 115, octane by Tk 20 to Tk 140, petrol by Tk 19 to Tk 135, and kerosene by Tk 18 to Tk 130, with new rates taking effect at midnight.

The hike compounded a crisis that began in early March, when the outbreak of war in Iran pushed global energy prices higher and drove up transport costs before any official revision.

Already reeling from the supply disruptions due to the war, diesel-dependent industries, including agriculture, manufacture and transport, are now facing a double whammy. And in a highly inflated economy, the burden is likely to fall on customers soon.

FREIGHT RATES UP 30%

Transport fares between Chattogram port and destinations across the country have risen 25 to 31 percent since the April 18 hike, with rates remaining volatile for the past one and a half months.

When the Iran war began in early March, covered van fares from the port to Dhaka shot up from Tk 17,000 to a maximum of Tk 32,000. The rates later eased to around Tk 22,000 after Eid-ul-Fitr, only to climb again after the fuel hike.

On Tuesday, Ashis Chakraborty, owner of Chattogram-based clearing and forwarding agency AZ Trade International, hired five covered vans to transport imported fabrics, yarn, and chemicals for Mymensingh-based garment manufacturer PM Textile. It cost him Tk 29,000 per van.

PRAN-RFL Group, which relies on hired vehicles for around 40 percent of its cargo movement between Chattogram and its factories in Ghorashal and Habiganj, is absorbing similar increases.

Kamruzzaman Kamal, the company’s marketing director, told The Daily Star that covered vans now charge Tk 15,000 to carry export goods from Ghorashal to inland container depots in Chattogram -- Tk 3,000 above the previous rate.

Prime movers transporting import containers to the factories now cost up to Tk 42,000, compared to Tk 32,000 before the hike.

MOST MANUFACTURERS HOLD PRICES -- FOR NOW

On the manufacturing side, companies are deploying a range of measures to absorb the cost shock without immediately raising retail prices, though several have signalled that adjustments are becoming harder to avoid.

Many are resorting to shrinking the pack size. This is a classic example of “shrinkflation”-- which occurs when manufacturers shrink the package size, i.e., quantity of an item, without a corresponding price drop.

Tanveer Ahmed Mostafa, director of Meghna Group of Industries, said the severe global energy shock stemming from the Middle East conflict has directly hit the company’s costs from maritime freight to raw material procurement.

In a vertically integrated conglomerate like Meghna, such volatilities inevitably exert pressure on forward consumer outputs, he said, adding that the group is currently absorbing the pressure through internal cost-containment and supply chain optimisation.

“A price adjustment remains a possibility to ensure sustainable supply,” Mostafa said. “We are first exhausting all internal efficiencies.”

“While a price adjustment remains a possibility to ensure sustainable supply,” Mostafa said, for now they are “exhausting all internal efficiencies to keep” products affordable.

PRAN-RFL, a leading food processor and exporter, is holding the same position.

Marketing Director Kamal said, “The company is currently avoiding price increases despite rising fuel costs, as consumers are already under significant financial pressure from higher living expenses.”

Instead, PRAN is reducing trade margins and consolidating deliveries – minimising vehicle numbers, ensuring full-load shipments, and using larger vehicles where possible.

Increasing the maximum retail price, he said, “remains a last resort” and would only be considered if internal cost-control measures fail.

Unilever Bangladesh is also deferring any pricing decision, and is focusing on innovation and operational improvements to absorb costs.

Shamima Akhter, director of corporate affairs, partnerships and communications, said the company is prioritising operational efficiency and cost optimisation over immediate price increases.

Because many of its products are discretionary, she noted, price hikes risk reducing sales volumes.

She noted that global volatility, including higher fuel prices and increased raw material import costs, has already put pressure on production and distribution over the past two months.

Bombay Sweets, however, has moved more decisively. Khurshid Ahmad Farhad, the company’s general manager, said export prices have already been raised by 25 percent starting last month. In the domestic market, the company is adjusting on a product-by-product basis, either raising prices or reducing weights, but not both simultaneously.

Farhad described the April 18 hike as a second shock. Cost pressures had already been building, driven by sharp increases in raw materials, including chemical and petrochemical prices. When the latest price hike came, it pushed packaging costs up by 13 percent to 69 percent.

The company’s “Potato Crackers” product, retailed at Tk 10, has been reduced from 13 grams to 10 grams since the fuel hike. The change is already in the market. Farhad emphasized that increasing maximum retail prices further is difficult due to declining consumer purchasing power, making downsizing a necessary strategy.

“The company is currently prioritising survival over profit,” Farhad said. “Margins have already declined.”

FARMERS FACE A COSTLY HARVEST

The pressure is not limited to industry. Farmers are feeling the pinch during the Boro harvesting season. The surging diesel prices have made it costlier to rent harvesters. For instance, farmers in four haor districts of Sylhet depend on nearly 1,500 combine harvesters, which run on diesel, for bringing their crops home.

In Dingapota Haor in Mohanganj upazila, Netrokona, farmer Tofayel Khan cultivated Boro rice on 80 kathas of land this season, only for floodwater to submerge most of it before harvest.

He had to spend some Tk 660 per katha to harvest the remaining crops. Last season, the rate was Tk 550 per katha. “I am concerned about how to recover my losses.”

Foreign buyers are increasingly diverting garment work orders away from Bangladesh over concerns about energy reliability and an uncertain business climate, said Anwar-Ul Alam Chowdhury (Parvez), president of the Bangladesh Chamber of Industries (BCI), yesterday.

“Buyers are telling us that within the next two to three months, Bangladesh may face electricity shortages. Because of that, their top management is discouraging them from placing new orders here,” he said, citing recent communications from international sourcing teams.

He made the remarks at a discussion with senior officials of the National Board of Revenue (NBR) at its headquarters in Dhaka. The NBR organised the meeting as part of its consultation with businesses and other stakeholders ahead of formulating tax proposals for the next fiscal year, 2026-27.

The BCI president said some orders had already been redirected to India and other competing countries, while others were being withheld amid growing uncertainty.

He added that several large buying houses had warned local suppliers of potential disruptions, triggering anxiety across the export-oriented manufacturing sector.

“Orders for July and August, which were expected by now, have either slowed significantly or stopped altogether. We are still in discussions, but in many cases we have not been able to secure the orders,” he said.

Chowdhury cautioned that a further downturn could follow if the situation does not improve.

Beyond energy concerns, he also highlighted the burden of minimum tax on loss-making businesses. Under the current rules, companies must pay a minimum turnover tax of 1 percent even if they incur losses, a provision he said is particularly challenging for small enterprises.

He urged policymakers to introduce a slab-based system for smaller firms and called for clearer safeguards regarding provisions in the Income Tax Act 2023 that allow tax officials to access business systems and financial records for withholding tax verification.

Md Abdur Rahman Khan, chairman of the NBR, along with other officials from both organisations, were present at the meeting.

An outfit of high-profile global rating-agency Fitch suggests Bangladesh should continue with its high policy rate in lending in the high-inflation regime, ostensibly nay-saying pleas for rate cut.

"We now expect the Bangladesh Bank to maintain its policy rate at 10 per cent over FY2026/27 instead of cutting the rate," says a BMI report, available Wednesday.

Business Monitor International or BMI is a Fitch Solutions company that provides macroeconomic, industry, and financial market analysis globally.Banking sector news

The subsidiary of the American-British credit-rating agency, Fitch, makes such suggestion in view of high projected inflation, recent decline in long-term-borrowing costs, and renewed need for International Monetary Fund financing.

"This is a revised outlook from our previous projection of a rate cut during the new fiscal year. The revision comes despite BB Governor Mostqaur Rahman's reported preference for lower interest rates."

The agency says their new forecast primarily reflects Bangladesh's present economic circumstances, as they expect headline inflation will remain above the central bank's 6.5-percent target over FY2026/27, "hitting a high of 8.6 per cent".

"This is partly due to base effects created by low food-price inflation during H1 FY2025/26."

The Fitch outfit also expects the Iran conflict to contribute 0.13- percentage points towards headline inflation for the coming fiscal year through higher energy prices.

"Elevated inflation threatens the BB's price-stability mission, making a rate cut in FY2026/27 difficult to justify," it opines.

The report mentions that surging inflation in recent years has also eroded real wages in Bangladesh.

"This was particularly pronounced for industry-sector workers, which comprise 21 per cent of the economy's labour force. Although the salary declines slowed in 2025, this comes atop five consecutive years of falling real wages."Global economy analysis

It predicts that an uncontrolled supply-side shock to inflation will worsen this problem.

"This factor will make the BB even more cautious about cutting rates, which could cause inflation to run unchecked."

Falling long-term borrowing costs presents another reason for keeping the policy rate high.

The 10-year treasury yield has trended down since January 2025, despite the policy rate's elevated level. Over the same period, credit growth surged, driven by greater government lending.

"Apart from fuelling inflation, looser credit could also hasten financial flows towards lower-quality investments. This effect is probable given the fragility of Bangladesh's banking sector," the agency cautions.

Finally, it mentions, Bangladesh's government is seeking US$3.0 billion in financial support from the International Monetary Fund (IMF) and the World Bank.

"The government's spending needs are real. Aside from cushioning the blow of the Iran conflict on Bangladeshi households, Dhaka will probably have to recapitalise several banks as it reforms the financial sector."

However, IMF support is likely to be contingent on the government preserving a degree of macroeconomic stability.Bangladesh market report

Keeping monetary policy tight when economic conditions support such a move would preserve confidence among international investors over Bangladesh's medium-term prospects.