Gold prices rose on Wednesday to their highest in nearly two weeks, supported by a weaker dollar following US President Donald Trump’s statement that the war with Iran could wind down ​in weeks.

Spot gold rose 1 percent to $4,717.82 per ounce by 0712 GMT, its highest level ​since March 20. US gold futures for April delivery gained 1.4 percent to $4,744.30. The US dollar fell 0.4 percent, making bullion more affordable for holders of other currencies.

Trump said Tehran did ​not have to make a deal as a prerequisite for the conflict to wind down ​and that he would provide an update on Iran in an address at 9 pm EDT on Wednesday (0100 GMT on Thursday).

“Talks that the US might wrap up the war in two to three weeks even if the ​Strait (of Hormuz) is not reopened reinvigorated the US equity markets (overnight) and pulled gold higher along ​with it,” said Marex analyst Edward Meir.

Gold fell more than 11 percent in March in its steepest monthly ‌decline since October 2008 as elevated oil prices fuelled inflation concerns and bets of a hawkish monetary policy response. Oil prices gained on Wednesday despite hopes of a de-escalation in the Iran conflict, as infrastructure damage is likely to keep supplies tight.

“Market remains cautious about over-interpreting the de-escalation remark ​as a clean pivot... ​We’ve already seen ⁠multiple rounds where talks appeared constructive before stalling,” said Christopher Wong, a strategist at OCBC.

Traders have almost completely priced out any chance of ​a US rate cut this year from about two cuts expected before ​the war.

While ⁠gold is often used as a hedge against inflation and geopolitical risks, high interest rates make the non-yielding bullion less attractive among investors.

“Should geopolitical tensions de-escalate further, then expectations for Fed easing ⁠could return. ​In such a scenario, real yields can ease, providing ​support for gold,” said Wong of OCBC.

Oil tumbled more than 3 percent on Wednesday, reversing earlier gains as persistent Middle East volatility ‌unnerved markets even amid reports the US-Israeli war with Iran could be winding down.

The front-month Brent contract for June fell $3.33, or 3.2 percent, to $100.64 per barrel at 0641 GMT. US West Texas Intermediate (WTI) crude futures for May slipped $3.34, or 3.3 percent, to $98.04 per barrel.

Prices rose earlier on Wednesday but turned lower as ​uncertainty over the Middle East conflict prompted investors to lock in gains.

“The dip is likely due to ​a lull during Asian hours with profit taking amid signals from the US that the ⁠war may come to a conclusion in the near term,” said Emril Jamil, senior analyst at LSEG.

Brent futures ​for June delivery settled down more than $3 on Tuesday following unconfirmed media reports that Iran’s president was ready to end ​the war.

President Donald Trump told reporters on Tuesday that the US could end the military campaign within two to three weeks and that Iran does not have to make a deal to end the conflict, his clearest declaration yet that he wants to wind down ​the month-long war.

Still, even if the conflict ends, infrastructure damage is likely to keep supplies tight, analysts say.

Oil prices ​will depend on how quickly supply chains normalize afterwards, said Priyanka Sachdeva, senior market analyst at Phillip Nova.

“Even if it starts ‌to de-escalate, ⁠the flow of tankers won’t resume right away ... shipping costs and insurance, tanker movement will take time to return to normal,” Sachdeva said, adding that the actual damage to oil infrastructure could only be assessed afterwards.

Trump has indicated he could end the war before reopening the Strait of Hormuz, a key route through which 20 percent of global ​oil and liquefied natural gas ​trade flows, according to ⁠a Wall Street Journal report.

“Even with diplomatic channels reportedly still active and intermittent comments from the US administration predicting a short end to the conflict, the combination of limited ​tangible diplomatic progress, continued maritime attacks and explicit threats against energy assets keeps supply ​risks skewed to ⁠the upside,” LSEG analysts said in a note.

Opec oil output dropped 7.3 million barrels per day in March compared with the previous month, a Reuters survey showed on Tuesday, illustrating the impact of forced export cuts because of the closure ⁠of ​the strait.

Meanwhile, US crude oil output fell by the most in two years ​in January following a severe winter storm that knocked production offline in large swathes of the country, data from the Energy Information Administration ​showed on Tuesday.

British American Tobacco (BAT) Bangladesh, a listed multinational company, has incurred Tk714.58 crore in restructuring and relocation costs, with the largest portion – Tk375 crore –stemming from fixed asset impairment, according to its auditor.

In an emphasis of matter in the audited financial statements for 2025, the auditor noted that these developments indicate significant operational changes during the year.

In June last year, BAT Bangladesh decided to shut down operations at its Dhaka factory after the Supreme Court rejected its appeal to extend the land lease agreement. The company also relocated its head office from Mohakhali DOHS to Ashulia in Savar.

Following the decision, the company approved an investment of approximately Tk297 crore to expand production capacity at its Savar facility.

In a disclosure accompanying its 2025 annual dividend announcement, BAT Bangladesh said that operations at the Dhaka factory were shut down in July 2025, and plant, machinery, and cigarette manufacturing equipment were transferred to its Savar factory.

The company said the forced site closure, relocation, and restructuring had a one-off impact of around Tk715 crore on operating profit compared to the previous year.

According to company data, BAT Bangladesh reported a loss of Tk136 crore in the October-December quarter of 2025, reflecting a sharp deterioration in earnings amid declining cigarette sales and rising operating costs.

For the full year, earnings per share (EPS) stood at Tk10.81, marking a 67% decline year-on-year.

The sharp drop in profitability prompted the board to recommend a 30% cash dividend for 2025, significantly lower than the 300% cash dividend declared in 2024.

BRAC Bank PLC has decided to surrender its trustee registration for mutual funds to comply with updated regulations, a move that could have wider implications for the country's struggling fund management industry.

The bank, acting in its capacity as a trustee, has submitted an application to Bangladesh Securities and Exchange Commission seeking formal approval for the surrender, according to officials.

Shaheen Iqbal, additional managing director and head of Wholesale Banking at the bank, confirmed the development, saying a public notice has already been published to inform stakeholders of the decision to surrender the trustee licence.

Under the latest mutual fund regulations, banks are no longer allowed to act as both custodian and trustee for the same fund. BRAC Bank, which has primarily operated as a custodian and never served as a trustee, said it will continue focusing on that role to remain fully compliant with regulatory directives.

Market data shows several institutions—including Eastern Bank PLC, Agrani Bank, Investment Corporation of Bangladesh and Grameen Bank—currently act as trustees for mutual funds in Bangladesh.

Industry insiders have expressed concern over the move, noting that BRAC Bank's exit from the trustee segment could weaken confidence, given its reputation for strong governance and transparency.

They argue that the withdrawal of a credible institution from the trustee segment could further dent confidence in an industry already grappling with longstanding challenges.

The mutual fund sector has been under pressure in recent years due to allegations of malpractice and fund mismanagement, eroding investor trust and dragging down asset values.

Currently, Bangladesh has 38 closed-end and 90 open-end mutual funds in operation. The total asset base of closed-end funds stands at around Tk4,650 crore, while open-end funds account for Tk4,978 crore. Combined, the sector's value fell to Tk9,628 crore in FY2024–25, down from Tk10,729 crore a year earlier.

বাংলাদেশ ক্যাপিটাল মার্কেট সেন্টিমেন্ট সার্ভে ২০২৬-এ অংশগ্রহণকারীদের মতামতে বিষয়টি উঠে এসেছে। লংকাবাংলা সিকিউরিটিজ এ সার্ভে পরিচালনা করেছে। এতে বিভিন্ন প্রতিষ্ঠানের প্রধান নির্বাহী, পেশাজীবী, শেয়ার লেনদেনে সংশ্লিষ্ট নির্বাহী, ক্ষুদ্র বিনিয়োগকারী, স্বতন্ত্র ব্যবসাপ্রতিষ্ঠান, ছাত্রসহ অন্যান্য শ্রেণীর মানুষ মতামত দিয়েছেন।
বাংলাদেশ ক্যাপিটাল মার্কেট সেন্টিমেন্ট সার্ভে ২০২৬-এ দেশের অর্থনীতি, পুঁজিবাজার ও আর্থিক বাজারের বিভিন্ন বিষয়ে অংশগ্রহণকারীরা তাদের মতামত তুলে ধরেছেন। এতে দেশের অর্থনীতি নিয়ে একধরনের মিশ্র ও সতর্ক আশাবাদ প্রকাশ করা হয়েছে। ২৯ দশমিক ৭ শতাংশ উত্তরদাতার মতে, জিডিপি প্রবৃদ্ধি ৪ দশমিক ৫ থেকে ৫ দশমিক ৫ শতাংশের মধ্যে থাকবে। রেমিট্যান্স ও রিজার্ভ নিয়ে তারা ইতিবাচক ধারণা পোষণ করেছেন। ৩৯ দশমিক ৬ শতাংশ মনে করেন, রেমিট্যান্স ৩০ বিলিয়ন ডলার ছাড়িয়ে যাবে এবং ৪৭ দশমিক ৫ শতাংশ মনে করেন, বৈদেশিক মুদ্রার রিজার্ভ ৩০ বিলিয়ন ডলারের বেশি হবে।

৫৬ দশমিক ৪ শতাংশ উত্তরদাতার মতে, রাজনৈতিক ও প্রশাসনিক অনিশ্চয়তা হলো অর্থনীতির সবচেয়ে বড় ঝুঁকি। এছাড়া মূল্যস্ফীতি ও আর্থিক অস্থিরতাকেও বড় চ্যালেঞ্জ হিসেবে দেখা হচ্ছে। ৪৪ দশমিক ৬ শতাংশ মনে করেন ব্যাংক খাতের সংস্কার কিছুটা উন্নতি ঘটিয়েছে। যুবকদের কর্মসংস্থান এবং দুর্নীতি দমনকে ২০২৬ সালের প্রধান সংস্কারের ক্ষেত্র হিসেবে চিহ্নিত করা হয়েছে।

উত্তরদাতাদের বড় একটি অংশ ২৭ দশমিক ৭ শতাংশ আশা করছেন, ডিএসইএক্স সূচক ২০২৬ সাল শেষে ৫ হাজার ৫০০ থেকে ৬ হাজার পয়েন্টে গিয়ে দাঁড়াবে। দৈনিক গড় লেনদেন ৪০০-৬০০ কোটি টাকার মধ্যে থাকার সম্ভাবনা বেশি। পুঁজিবাজারে প্রবৃদ্ধির ক্ষেত্রে ব্যাংক খাত সবচেয়ে এগিয়ে থাকবে বলে মনে করছেন ৪৬ দশমিক ৫ শতাংশ উত্তরদাতা। এর পরেই রয়েছে ওষুধ ও রসায়ন এবং তথ্যপ্রযুক্তি খাত। ৪১ দশমিক ৬ শতাংশ উত্তরদাতা সাধারণ শেয়ার বা ইকুইটিকে সেরা সম্পদ হিসেবে মনে করছেন। এছাড়া ২৬ দশমিক ৭ শতাংশ উত্তরদাতা স্বর্ণে বিনিয়োগকে লাভজনক মনে করছেন। রাজনৈতিক ঝুঁকি (৪৩ দশমিক ৬ শতাংশ) এবং সুশাসনের অভাবকে (২৩ দশমিক ৮ শতাংশ) পুঁজিবাজারে বিদেশী বিনিয়োগ আসার পথে প্রধান বাধা হিসেবে মনে করছেন উত্তরদাতারা।

জরিপে অংশগ্রহণকারী ৬১ দশমিক ৪ শতাংশ উত্তরদাতা বিশ্বাস করেন, ২০২৫ সালের তুলনায় ২০২৬ সালে পুঁজিবাজারের স্বচ্ছতা ও সততা বাড়বে। ৪১ দশমিক ৬ শতাংশ মনে করেন, বাজার কারসাজি ও জালিয়াতি হলো বর্তমান বাজারের সবচেয়ে বড় নৈতিক সমস্যা। বিনিয়োগকারীদের আস্থা ফেরাতে আর্থিক প্রতিবেদনের স্বচ্ছতা (৩১ দশমিক ৭ শতাংশ) এবং আইনের কঠোর প্রয়োগের (২৮ দশমিক ৭ শতাংশ) ওপর সবচেয়ে বেশি গুরুত্ব দিয়েছেন উত্তরদাতারা। প্রায় ৪৬ দশমিক ৫ শতাংশ উত্তরদাতা মনে করেন, ইটিএফ, গ্রিন বন্ড ও রিয়েল এস্টেট ইনভেস্টমেন্ট ট্রাস্টের মতো নতুন পণ্য বাজারে আসা অত্যন্ত জরুরি।

Remittance hit $3.75 billion in March, the highest on record, giving a respite amid deepening worries over the ripple effect on Bangladesh’s struggling economy due to the US-Israel war on Iran.

The inflow in March was 14 percent higher than $3.29 billion in March 2025 as Bangladeshis working abroad sent increased amounts to their loved ones ahead of the Eid-ul-Fitr festival on March 21.

Overall remittance, which acts as a major source for Bangladesh to clear its external payments, rose 20 percent to $26.20 billion in the July-March period compared to a year ago, according to Bangladesh Bank (BB) data released yesterday.

The surge comes against the backdrop of heightening concern over the possible impact of the war on remittances in the coming months as the conflict spreads across the Gulf -- key employment destinations for Bangladeshi migrant workers.

Nearly 800 Middle East-bound flights from Bangladesh have been cancelled since the war with Iran on February 28, mostly affecting migrant workers.

Last week, the Asian Development Bank (ADB), in a report, said Bangladesh and other South Asian countries could face lower remittances from the Middle East as the ongoing conflict in the region weakens labour demand and squeezes migrant worker incomes.

Nearly half of Bangladesh’s more than $30 billion in annual remittances comes from the Middle East. Saudi Arabia, Oman, Qatar, the UAE, and Kuwait together accounted for 86 percent of Bangladeshi migrant workers who secured jobs abroad in FY25, according to the Bangladesh Economic Review 2025.

Bankers and analysts said the spike in the inflow was largely because of the Eid festival, political stability and an increased rate of the US dollar following a slight depreciation of the taka.

Md Shaheen Iqbal, additional managing director & head of wholesale banking at BRAC Bank, said another factor is that migrants try to send home more during any crisis period. “We have seen this trend during the initial days of the Russia-Ukraine war. A similar thing may happen this time.”

He said the inflow may fall this month but recover in the next month ahead of Eid-ul-Azha. However, the remittance inflows in the later months will depend on the war, he said.

Deen Islam, professor of economics at Dhaka University, said the recent surge in remittance inflows provides meaningful short-term relief to Bangladesh’s external sector, but its sustainability remains uncertain in the current global context.

“Much of Bangladesh’s remittance originates from migrant workers in Gulf Cooperation Council (GCC) economies, making flows sensitive to oil price cycles, fiscal conditions in host countries, and evolving labour nationalisation policies,” he said.

“Additionally, tighter immigration regimes in advanced economies and global economic slowdown risks could constrain future migration and earnings growth.”

During the July-February period of the fiscal year 2025-26, over 10 lakh migrant workers left for jobs abroad, up 15 percent YoY, according to official data.

Birupaksha Paul, a professor of economics at the State University of New York, USA, said imports may increase following the return of political stability in the country after the election.

“There is a concern that pressure is likely to build on Bangladesh’s foreign exchange reserves to pay higher import bills,” he said. “Foreign exchange reserves will not increase in that case.”

In this context, he said, the foreign exchange rate should be re-evaluated. “Some people doubt that it is not yet fully market-based and not reflecting the market price,” he said, adding that any depreciation will fuel import-induced inflation.

“But reserve management is a crucial thing,” said Paul, former chief economist at the BB.

Prof Islam said while the increase in remittance strengthens the balance of payments, supports exchange rate stability, and boosts domestic consumption, it also reinforces a structural dependence on external labour income rather than productivity-driven export growth.

“Therefore, although remittances will likely remain a vital pillar of macroeconomic stability in the near term, their long-run sustainability and developmental impact depend on diversification of migration destinations, skill upgrading of workers, and complementary policies to channel inflows into productive investment rather than predominantly consumption.”

Bangladesh’s first large-scale venture capital firm, an investment management company supported by 39 banks, will begin operations next month to address the long-standing funding gap for local startups.

Named Bangladesh Startup Investment Company (BSIC), the firm has raised nearly Tk 600 crore in initial capital. It plans to begin operations on April 30 and invest in at least three startups by June 30.

Guided by the Bangladesh Bank (BB), the BSIC will provide equity financing, strategic support, and opportunities for international co-investment to help promising startups scale, officials said.

“BSIC will serve as a full-service institution for young entrepreneurs,” BSIC Chairman Mashrur Arefin, and managing director of City Bank Plc, told The Daily Star.

“It will provide not only funding but also ongoing monitoring and strategic guidance to help businesses grow. We know 90-95 percent of startups fail, but if even a few succeed and one or two reach global markets, that will be a significant achievement. Such successful firms will also generate many new jobs,” he added.

The country’s startup growth, strong a decade ago, has slowed over the past two to three years due to tighter global venture capital flows and cautious investors.

Early successes like Pathao and Chaldal attracted foreign funding, but limited profitable exits, regulatory hurdles, low internet penetration, shifting capital to AI, weak local AI startups, macroeconomic pressures, and political uncertainty have all dampened investor confidence.

BSIC will invest only after a startup demonstrates market demand, has a basic operational setup, and shows growth potential, rather than funding ideas at the concept stage.

Officials said the company will initially focus on ventures in health, agriculture, education, transport, retail, and logistics, offering funding in exchange for equity stakes.

If the selected startups perform well, BSIC will also bring in foreign venture capital to co-invest, helping local entrepreneurs scale and access global technology and expertise.

Between 2027 and 2028, BSIC plans to invest in 8 to 12 startups, and from 2029 onward, it aims to exit successful ventures through stock market listings or direct stake sales.

Arefin, also chairman of the Association of Bankers, Bangladesh, said that although the process began under the interim government, new BB Governor Md Mostaqur Rahman has actively overseen its progress. “The governor asked us to focus on developing the rural economy. We will give that high priority,” he added.

The long-term goal, Arefin said, is to build globally competitive startups in Bangladesh that could one day rival Uber, Instagram, Facebook, Spotify, or Airbnb, creating large-scale employment.

Local startups such as 10 Minute School and Shikho have already demonstrated how technology can expand access to education, while digital health ventures could similarly benefit rural communities, he added.

EQUITY-BASED SUPPORT AND BANK CONTRIBUTIONS

Arefin highlighted that the fund will grow each year as participating banks contribute from annual profits. “Unlike loans, the support will be equity-based, meaning BSIC will take ownership stakes in startups instead of charging interest,” he said.

Under a BB directive, participating banks are contributing 1 percent of their profits earned between 2020 and 2024 to build the fund.

Bankers said this reflects an understanding that startups need risk capital rather than traditional loans, which commercial banks are not designed to provide.

According to BSIC sources, BRAC Bank holds the largest share at 7.71 percent, followed by City Bank at 6.74 percent, Dutch-Bangla Bank at 6.67 percent, Pubali Bank at 6.5 percent, Sonali Bank at 5.73 percent, Eastern Bank at 5.58 percent, and Prime Bank at 4.98 percent.

Going forward, banks will contribute around Tk 200 crore annually from new profits, allowing the fund to expand and support more startups.

BSIC’s nine-member board includes managing directors from City Bank, Prime Bank, Mutual Trust Bank, Sonali Bank, and Pubali Bank, along with four independent directors, with Light Castle Partners as strategic consultant.

Nazeem A Choudhury, additional managing director of Prime Bank, is interim chief executive officer (CEO) while BSIC searches for a professional with multinational startup investment experience to appoint a permanent CEO and head of investment by May.

BSIC was registered with the Registrar of Joint Stock Companies and Firms on December 7 last year.

In a comprehensive move to reinvigorate the country's sluggish capital market, key stakeholders have proposed a series of ambitious reforms ahead of the 2026-27 national budget, including mandatory listing for large corporations and sweeping tax adjustments.

The proposals, placed during a pre-budget discussion at the National Board of Revenue (NBR) headquarters today (1 April), aim to boost investor confidence, attract foreign participation and deepen market liquidity.

Representatives from the Dhaka Stock Exchange (DSE), Chittagong Stock Exchange (CSE), DSE Brokers Association (DBA), Central Depository Bangladesh Limited (CDBL), and the merchant bankers' association presented a unified set of recommendations. The session was chaired by NBR Chairman Abdur Rahman Khan, alongside senior tax officials.

Market intermediaries stressed that the capital market must be treated as a central driver of economic growth rather than a peripheral sector.

Saiful Islam, president of the DSE Brokers Association, said the proposals are aligned with global standards and designed to create a more competitive and inclusive investment environment.
Infographic: TBS
Infographic: TBS

He emphasised that the current economic climate requires the government to treat the capital market as a primary engine for growth rather than a secondary thought.

A major focus of the recommendations is tax reform. The DSE proposed that tax deducted at source on interest income from listed bonds be treated as a final tax liability, simplifying compliance for investors. To further develop the bond market, it suggested a five-year tax exemption on interest income from Treasury bills, Sukuk, asset-backed bonds, and green bonds.

Stakeholders argue that a stronger bond market would reduce the government's reliance on bank borrowing and lower overall financing costs.

To address persistently low foreign participation, currently below 2%, the DSE recommended a five-year exemption on capital gains tax for non-resident investors. Market leaders believe such incentives could attract foreign portfolio investment, strengthen foreign currency reserves, and increase market activity.

The exchange also proposed a five-year tax holiday for companies listed on the SME board, including startups and greenfield ventures, to encourage smaller firms to raise funds from the capital market instead of relying on high-interest bank loans.

For individual investors, the DSE suggested reducing the capital gains tax rate from 15% to 5% on gains exceeding Tk50 lakh, while keeping gains below that threshold tax-free. According to the exchange, high tax rates have discouraged participation from high-net-worth individuals, contributing to declining turnover.

DSE Chairman Mominul Islam said, "We are now in the frontier market; from there, we want to go to the 'emerging market.' The number of investors in the capital market is now 16 lakh; we want to increase it to 50 lakh. We want to increase the daily transaction from Tk500 crore to Tk5,000 crore. As a result, the government's revenue will increase at least 10 times what comes from the capital market."

Stressing the need for cooperation for this transformation, he said they do not want anything that will reduce the government's revenue, but rather want restructuring.

One of the most significant proposals came from the DSE Brokers Association, which introduced a "Deemed-to-Be Listed Company" framework. Under this concept, companies meeting specific thresholds—such as Tk500 crore in paid-up capital, Tk1,000 crore in annual turnover, or Tk500 crore in bank loans—would be required to list on the stock market after a grace period of 15 to 20 years.

The DBA argued that many large corporations benefit from substantial state incentives without offering public ownership opportunities. Mandatory listing, they said, would enhance transparency and broaden investment access.

The association also called for action against inactive or "shell" companies. It proposed that firms failing to hold annual general meetings or declare dividends for three consecutive years should lose tax benefits and be taxed as non-listed entities. This, they believe, would improve accountability and remove underperforming companies from the market.

Additionally, the DBA reiterated its demand to eliminate double taxation on dividend income, noting that the current effective tax rate for individuals exceeds 40%, discouraging long-term investment.

In the credit market, the association proposed allowing listed bonds to be used as collateral for large bank loans, particularly those exceeding Tk500 crore with maturities of more than three years. This measure is expected to promote capital market-based financing.

Meanwhile, CDBL recommended increasing the minimum public shareholding requirement from 10% to 20% for companies seeking tax benefits. A higher public float, it said, would improve price discovery and reduce the risk of manipulation in thinly traded stocks.

The Chittagong Stock Exchange, for its part, emphasised the need for modern market infrastructure. It sought policy support and tax incentives for launching Bangladesh's first commodity exchange and derivatives trading platform. It also requested tax exemptions on specialised software imports required to establish these systems.

Approximately US$234 billion was illicitly transferred out of Bangladesh during 2009-2023, Prime Minister Tarique Rahman told parliament Wednesday on a question about money laundering during the Awami League rule.Bangladesh economic report

He quoted from the findings laid down by the White Paper Preparation Committee formed during the interim government's period.

Thus, an average of $16 billion (about Tk 1.8 trillion) siphoned off the country every year.

The Prime Minister, who became Member of Parliament for the first time, mentioned the data while responding to the question put up during his maiden PM's question hour in the 13th Jatiya Sangsad (JS).

The prime minister said his government is giving the highest priority to recovering assets smuggled abroad as a key part of its "broader strategy to combat corruption, money laundering, and financial crimes".

According to the head of government, legal proceedings are ongoing to recover laundered money in 11 cases identified and prioritised by an inter-agency taskforce. These cases involve 11 individuals and organisations, including family members and related entities linked to former prime minister Sheikh Hasina.

Those named include Sheikh Hasina, former land minister Saifuzzaman Chowdhury, S Alam Group, Beximco Group, Sikder Group, Bashundhara Group, Nassa Group, Orion Group, Nabil Group, HBM Iqbal, and Summit Group, along with their associated family members and affiliated entities.

Responding to a question from ruling-party MP Md Abul Kalam, the prime minister added that the government's election manifesto emphasised publishing a comprehensive white paper on corruption and money laundering during the previous "fascist Awami League era" and taking legal action against those identified.

Since the laundered funds are alleged to have been transferred to multiple countries, the government is strengthening information exchange, asset identification, and mutual legal assistance with relevant countries. To this end, it is working closely with the Ministry of Foreign Affairs and other agencies to conclude Mutual Legal Assistance Treaties (MLATs).

The prime minister mentioned 10 countries initially identified as major destinations for illicit funds: the, United States, the United Kingdom, Canada, Switzerland, Australia, Thailand, the United Arab Emirates, Singapore, Malaysia, and Hong Kong. Among them, Malaysia, Hong Kong and the UAE have agreed to sign such agreements, while discussions with the remaining seven countries are ongoing.

He also presented updates on the 11 priority cases, noting that 11 joint investigation teams have been formed under the leadership of the Anti-Corruption Commission, with participation from the Criminal Investigation Department (CID), the National Board of Revenue's Central Intelligence Cell, and the Customs Intelligence and Investigation Directorate.

Tarique Rahman said as of 25 March 2026, courts had frozen assets worth Tk 704.46 billion, including Tk 571.68 billion domestically and Tk 132.78 billion abroad. A total of 141 cases have been filed, 15 of which have seen charge sheets submitted, and six cases have reached verdicts.

In response to a supplementary question from Jamaat-e-Islami MP Mujibur Rahman about repatriation of the laundered money, the prime minister said the current government being an elected one is committed to upholding the rule of law. He criticised past practices where individuals were allegedly coerced or forced into compliance.

He emphasised that the government would proceed strictly through legal means to ensure justice for all. "The law will take its own course," he said, adding that those who laundered public money would be punished under existing laws.

Responding to another question, he said: "In simple terms, this is people's money. Since we are elected by the people, we are accountable to them and to the country. Naturally, recovering this money and spending it for the benefit of the people is one of the government's key responsibilities."

To a question from NCP MP Akhtar Hossain regarding the financial impact of social-support schemes such as family card and farmer card, the prime minister said the budget allocation would be disclosed gradually and the programme would be implemented in phases, with the number of beneficiaries increasing on monthly basis.Wealth management services

He made it clear that the assistance is not being financed by printing money so it would not trigger inflation. Instead, the funds would be spent within the local economy, boosting economic activity, employment, and living standards for marginalised groups.

Regarding the family-card recipe, in response to a question from ruling-party MP ABM Mosharraf Hossain, the prime minister said it was launched on 10 March in 15 wards across select districts and corporations. Initially, 37,814 women-led households have received benefits, with an additional 30,000 families to be included within the current fiscal year. The annuity programme aims to cover 40 million families over the next four years.

He said issuing the card in the name of the female head of the household would ensure that support is spent on food, nutrition, healthcare, and education, while also increasing women's control over family resources and strengthening their role and dignity in decision-making within the family and society.

The Association of Bankers Bangladesh Limited (ABB) has proposed a series of tax relief measures and policy reforms, including removing the investment cap on government securities for individuals and exempting capital gains from treasury bills and bonds.

In its pre-budget recommendations for the 2026-27 fiscal year, the association presented a 14-point proposal to the National Board of Revenue (NBR) during a meeting in Dhaka today (1 April).

The pre-budget discussion was attended by NBR Chairman Md Abdur Rahman Khan and senior officials of the revenue authority.

ABB Chairman and Managing Director of City Bank Mashrur Arefin urged authorities to introduce measures aimed at strengthening the financial sector and encouraging investment.

Among its key proposals, the ABB called for the withdrawal of the existing Tk5,00,000 ceiling on individual investment in government securities for tax rebate purposes, arguing that the restriction limits investors from fully utilising available tax benefits and discourages participation in a traditionally safe investment segment.

The association noted that instruments such as treasury bills, bonds, savings certificates, debt securities and Shariah-based sukuk remain highly attractive to investors, but the cap has reduced incentives, adversely affecting government cash flow.

The ABB also proposed that capital gains earned from treasury bills and bonds be made tax-free, instead of being taxed at the current rate of 15%. It argued that such a move would help develop a vibrant bond market and attract foreign investors, thereby supporting foreign exchange reserves.

In addition, the bankers' body recommended recognising provisions against non-performing loans as allowable expenses for tax purposes, reducing corporate tax rates to 30% or below, and removing limits on corporate social responsibility (CSR) expenditure.

Under current rules, CSR spending is capped at 10% of total income or Tk8 crore, whichever is lower, with only 10% tax rebate. The ABB suggested treating such expenditure as fully tax-deductible and lifting the ceiling altogether, stating that increased CSR spending would contribute to broader socio-economic development, including in education, healthcare, disaster management and environmental protection.

The association further called for the withdrawal of the requirement to submit proof of submission of income tax return for accessing banking services such as loans and fixed deposits, and reinstating the previous system of electronic Taxpayer Identification Number (e-TIN) submission.

At present, individuals without taxable income must submit proof of submission of income tax return to obtain loans exceeding Tk20 lakh or to open and maintain fixed deposits above Tk10 lakh.

The ABB argued that this requirement has negatively affected retail and CMSME (cottage, micro, small and medium enterprise) clients, pushing many towards informal lenders due to fewer documentation requirements.

It warned that such a trend could drive CMSMEs outside the tax net, whereas facilitating easier access to formal banking could boost future tax revenues, including income tax, VAT and excise duties, while also generating employment.

'Super tax' on stock dividends

The ABB also sought the withdrawal of the 10% "super tax" on stock dividends and retained earnings transfers by listed companies. Currently, companies face additional tax if stock dividends exceed cash dividends or if retained earnings transferred exceed 70% of post-tax net income.

The association argued that such taxes hinder banks' ability to strengthen their capital base, noting that scheduled banks are required to maintain a minimum capital adequacy ratio of 12.5% of risk-weighted assets.

The ABB also urged the NBR to allow provisions against classified and unclassified loans to be treated as tax-deductible expenses, recalling that such provisions were recognised as allowable expenses under earlier tax regulations before the 2006-07 fiscal year.

The Annual Development Programme (ADP) implementation rate in February, while remaining at a low level, has almost doubled compared to the last fiscal when the interim government led by Professor Muhammad Yunus was in power.

According to the latest progress report released by the Implementation Monitoring and Evaluation Division (IMED) under the Ministry of Planning, in February Tk 12771.23 crore has been disbursed which is 6.11 percent of the total amount while it was only Tk 7676.33 crore in the last year that represented 3.39 percent only.

It also stated that the pace of spending and execution has slightly improved for the first eight months of the running 2025-26 fiscal than the previous year.

The implementation progress during the July–February period showed spending reached Tk 63,327.53, representing 30.31 percent of the annual allocation. During the same period of FY2024–25, implementation stood at Tk 67,553.21 crore or 29.87 percent.

In FY2023–24, the implementation rate for the July–February period was 33.65 percent with expenditure amounting to Tk 85,602.59 crore. The rate was 34.74 percent in FY2022–23 with spending of Tk 823,169.96 crore, while FY2021–22 recorded 38.60 percent implementation, with Tk 84,765.07 crore spent.

However, for the current fiscal year 2025–26, the total ADP allocation stands at Tk 208935.53 crore. In comparison, allocations in recent years were Tk 226166.88 crore in 2024–25, Tk 254391.64 crore in 2023–24, Tk 236560.67 crore in 2022–23 and Tk 219601.91 crore in 2021–22.

Officials said the current year’s rate of implementation indicates a continued slowdown in project execution.

The persistent slowdown has been attributed to multiple factors, including administrative adjustments, cautious expenditure management and slower approval processes during the interim administration period.

Project officials have also pointed to delays in procurement, land acquisition and fund release as key reasons behind the lower execution rate.

As per the economists, the ADP plays a critical role in driving economic activity, employment and infrastructure development.Economic forecast publication

A sustained slowdown in implementation may affect overall growth momentum, especially in sectors reliant on public investment.

Despite the lower execution rate, planning ministry officials expressed hope that spending would accelerate in the remaining months of the fiscal year as ministries and agencies traditionally speed up project implementation towards the end of the budget cycle.

The ADP is the government’s primary development budget, financing major infrastructure, social sector and regional development projects.

A higher implementation rate is generally seen as a sign of strong administrative capacity and efficient project management, while slower spending often signals bottlenecks in execution.

With less than half the fiscal year remaining, the pace of implementation in the coming months will be crucial in determining whether the government can narrow the gap with previous years or whether FY2025–26 will end with the lowest execution rate in recent times.

The Cabinet Committee on Government Purchase (CCGP) yesterday approved the import of another 2.6 lakh tonnes of fuel oil, as the government moves to safeguard national energy reserves against the backdrop of the US-Israel war on Iran.

The committee authorised the direct purchase of 1 lakh tonnes of crude oil from Abeer Trade & Global Markets. The government opted for a direct procurement route, bypassing the standard competitive tender process, citing urgent domestic energy requirements amid the continuing US-Israel war on Iran.

The conflict has introduced significant uncertainty into global oil shipping corridors, particularly through the Strait of Hormuz, through which a substantial share of Asia-bound crude transits.

To mitigate supply chain risks, the government is also diversifying fuel imports as traditional shipping routes face disruption and fears of nationwide shortages grow amid escalating geopolitical tensions in the Middle East.

The CCGP yesterday approved the import of one lakh tonnes of EN590-10 PPM ultra-low sulphur diesel from ExxonMobil Kazakhstan Inc (EMKI) via direct purchase.

A further 60,000 tonnes of 0.5 percent sulphur gasoil (diesel) will be imported from Indonesia’s state-linked PT Bumi Siak Pusako Zapin (BSP Zapin) under a government-to-government (G2G) framework.

Earlier on March 26, the government authorised the emergency purchase of 3 lakh tonnes of diesel following two proposals from the Energy and Mineral Resources Division.

Before that, on March 22, the government wrote to the United States, requesting permission to import up to 6 lakh tonnes of refined fuel from Russia or, alternatively, to obtain a waiver for at least two months, according to the Ministry of Power, Energy and Mineral Resources.

Since the war started, Bangladesh has also received some 17,000 tonnes of diesel from India under an existing arrangement. Two additional shipments, each estimated at around 6,000 tonnes, are expected from Indonesia.

For the agriculture sector, the CCGP yesterday approved the import of 35,000 tonnes of MOP fertiliser from Russia’s JSC Foreign Economic Corporation (Prodintorg).

The procurement, to be implemented by the Bangladesh Agricultural Development Corporation (BADC), is valued at Tk 154.89 crore, with each tonne priced at $360.53.

While 10 proposals were placed before the committee, several, including the procurement of pulses and telecom equipment for the Rooppur Nuclear Power Plant, were withdrawn.

Major blue-chip stocks, typically seen as market anchors, led March's decline, with BRAC Bank and British American Tobacco Bangladesh among the hardest hit as global uncertainty weighed on Bangladesh's market.

According to "Monthly Market Wrap: March 2026", published by Sheltech Brokerage Limited, both blue-chip and mid-cap stocks dominated the list of top decliners. BRAC Bank posted the steepest fall, dropping 23.43% month-on-month to close at Tk67, while BAT Bangladesh lost 19.35% to Tk221.30.

Other major laggards included Rahima Food Corporation, Pragati Life Insurance, Saiham Textile Mills, IFIC Bank, Sonargaon Textiles, Dulamia Cotton Spinning Mills, Islami Bank Bangladesh PLC, and Beximco Pharmaceuticals – each recording double-digit losses over the period.

The report attributed the broad downturn to escalating geopolitical tensions in the Middle East, which triggered widespread selling. Investor sentiment weakened sharply on fears of energy supply disruptions and rising inflation – key concerns for Bangladesh's import-dependent economy.

The benchmark DSEX index fell 7.53% during the month, shedding 421.95 points to close at 5,178.31. Market activity also declined significantly, with average daily turnover dropping 24.12% month-on-month to around Tk 600 crore, reflecting heightened risk aversion.

Volatility remained high throughout March. Early sessions were marked by panic selling, dragging the index down by more than 591 points cumulatively. One of the sharpest declines came in a single session, when the index plunged 208.98 points – the steepest one-day fall since 2020 – following an escalation in the Middle East conflict.

Although the market saw a brief mid-month rebound driven by bargain hunting, the recovery proved short-lived. Analysts said the absence of any clear de-escalation signals in global tensions discouraged sustained buying, leading to renewed selling pressure in the latter half.

Sectoral performance indicated widespread weakness, with most major industries posting negative returns. Food and allied, banking, and financial institutions were among the worst performers, reflecting both macroeconomic stress and eroding investor confidence.

Analysts warned that the sharp decline in blue-chip stocks is particularly concerning, as these are typically viewed as stable investments. Their fall signals deeper market uncertainty and growing investor caution, even toward fundamentally strong companies.

They added that the market's near-term trajectory will depend largely on global developments, especially in energy markets, as well as domestic economic stability. Until clearer signals emerge, trading is likely to remain subdued, with volatility elevated

Meghna Bank PLC has moved to auction a mortgaged property owned by PFI Securities Limited to recover defaulted loans totaling Tk49.18 crore.

In a public notice, the bank said the auction will involve a commercial property in Dilkusha, a prime business area in Dhaka under Motijheel police station.

The asset includes around 6.60 decimals of land and a nine-storey building, which also houses the PFI Securities office.

Interested buyers have been invited to submit bids by 15 April, along with required documents and earnest money deposits. The highest bidder, subject to meeting all conditions, will secure the purchase.

The bank said the auction is part of its effort to recover non-performing loans, highlighting growing pressure on financial institutions to maintain asset quality. Auctions of mortgaged assets have become a common mechanism amid rising defaults in the sector.

Attempts to reach Kazi Fariduddin Ahmed, managing director of PFI Securities, for comment were unsuccessful.

Established in 1997, PFI Securities operates as a stock dealer and brokerage firm, and is a member of both the Dhaka and Chattogram stock exchanges.

It is also an associate of Prime Finance and Investment, which holds a 46.15% stake in the company.

The firm has faced regulatory issues in recent years. In November 2023, the Central Depository Bangladesh Limited temporarily suspended its depository participant operations over unpaid fees, though the matter was resolved shortly after. In 2018, the Bangladesh Securities and Exchange

Commission fined the company Tk25 lakh over irregularities related to consolidated customer accounts and stock market investments.

The Bangladesh Securities and Exchange Commission has approved the issuance of an Orange bond, the first of its kind in the country, by SAJIDA Foundation to raise Tk 158.5 crore to finance women’s economic empowerment and accelerate progress towards gender equality.

The zero-coupon bond, a debt instrument that pays no interest but is sold at a deep discount, marks a major milestone in Bangladesh’s capital market evolution, said a press release from BRAC EPL Investments Ltd.

SAJIDA Foundation partnered with BRAC EPL Investments Ltd and Impact Investment Exchange (IIX), the Singapore-based global impact investing platform, to issue the Orange bond, a specialised investment tool designed to raise money specifically for empowering women, girls, and gender minorities while tackling climate change.

Some 48 percent of the proceeds will be allocated to food security and agriculture, 32 percent to women-led SMEs, and 20 percent will be used for climate-resilient housing across 36 districts
“The pioneering bond supports the transition toward more inclusive, resilient, and capital market-driven development finance solutions, and contributes to broader efforts to develop the impact investment ecosystem in Bangladesh,” said the press release.

BRAC EPL Investments Ltd said Bangladesh’s bond market has long been dominated by government securities and bank subordinated debt.

This transaction breaks that mould by introducing thematic, impact-linked fixed income as a new asset class.

The bond offers investors tax-exempt financial returns while enabling measurable social impact, particularly in supporting women and women-led businesses.

Some 48 percent of the proceeds will be allocated to food security and agriculture, 32 percent to women-led SMEs, and 20 percent will be used for climate-resilient housing across 36 districts.

“Impact will be tracked through independently verified annual reports aligned with international standards, ensuring transparency and tangible benefits for women’s economic empowerment.”

China's factory activity grew at the fastest pace in a year in March, underpinned by improved demand, an official survey showed on Tuesday, a welcome relief for an economy grappling with global supply chain strains and energy market volatility.

The stronger reading eases pressure on policymakers, though its durability is in doubt as surging energy prices driven by the Middle East war, and heightened growth risks, pose fresh headwinds for manufacturers reliant on exports and operating on thin margins.

"The outlook for Q2 is unclear at this stage, given the negative impact from high energy prices," said Zhiwei Zhang, chief economist at Pinpoint Asset Management.

"The market is increasingly worried about the risk of global growth slowdown and supply chain disruption."

The official manufacturing purchasing managers' index (PMI) rose to 50.4 from 49.0 in February, above the 50-threshold and hitting the highest point in 12 months, data released by the National Bureau of Statistics (NBS) showed. It beat analysts' forecast for a 50.1 reading in a Reuters poll.

The manufacturing PMI was in contraction for most of 2025 and the first two months of 2026.

China's goods exports continued to power growth in January and February after last year's record $1.2 trillion trade surplus, buoyed by firm global demand for electronics, particularly semiconductors. The commerce ministry said last week the momentum looked set to hold, even as geopolitical strains linger.

Yet the war in the Middle East is raising concerns for policymakers.

Pressure was already evident in the latest survey. The sub-index for purchase prices of main raw materials jumped to 63.9 in March from 54.8 in February, driven by rising bulk commodity prices and faster procurement by companies, the NBS said.

Output prices also rose, albeit at a more modest pace, suggesting limited pricing power.

War fans business uncertainty amid weak domestic demand

The March PMI data may have been skewed by the Lunar New Year holiday, despite seasonal adjustments to the NBS survey that economists say remain imperfect. The festival fell in February, when factories often shut for longer than the official break, which stretched to a record nine days this year.

Businesses accelerated their resumption of work and production after the holiday and market activity improved, NBS statistician Huo Lihui said in a statement, adding that PMI readings improved across companies of different sizes.

The sub-indexes for output and new orders both rose above 51 from below 50 the previous month, while that for new export orders improved to 49.1 from 45 in February.

China Association of Automobile Manufacturers, an industry association, said earlier this month that the war could affect car exports. The Middle East accounted for around a fifth of China's vehicle exports last year.

Hikes in input costs could pressure wages and job security, which would in turn weigh on already chronically weak domestic demand.

China's economic activity outperformed expectations in the first two months in part due to government support.

The non-manufacturing PMI, which includes services and construction, also increased to 50.1 from 49.5 in February, the NBS survey showed.

Tuesday's PMI survey suggests China's first-quarter GDP growth would likely exceed 4.5%, the floor for Beijing's 4.5%-5.0% target for this year, ANZ analysts said.

ANZ no longer expects rate cuts in 2026 or 2027 given growth stayed within the official goal, saying instead policymakers would likely prioritise structural measures to cushion the impact of the oil shock.

China's leaders have repeatedly vowed to shift the growth engine toward domestic consumption to reduce reliance on external demand. But rebalancing reforms will take time, and as the fallout from the war deepens, businesses are likely to feel the pain more sharply in the near term.

"When the global situation is uncertain, reliance on China's industrial chain increases, similar to the situation at the beginning of the pandemic," said Dan Wang, director for China at Eurasia Group.

"However, exports and PMI may face risks in the second half of the year, as the Iranian issue could lead to a recession in major economies, especially the EU, which is China's most important trading destination."

Bangladesh could lose more than $17.5 billion in exports following its graduation from the least developed country (LDC) category, the steepest projected loss among all graduating nations globally, according to a new United Nations report.

The figure represents nearly a third of the country’s $54.8 billion in total exports recorded in 2023, according to the Trade Preferences Outlook 2025, published by the UN Conference on Trade and Development (UNCTAD).

“The trade effects of losing LDC preferences could be substantial in certain cases,” it said, projecting that Bangladesh can face a 32.24 percent decline in its total exports after it transitions to a developing country.

The warning comes just over six months before Bangladesh’s scheduled graduation on November 24, 2026. Nepal and Lao PDR are also scheduled to graduate this year, with the third and final review process by the UN currently underway ahead of the final transition.

The new BNP-led government, which took office in February, has sought a three-year deferral, pushing the graduation date to November 2029, citing disruptions in preparedness caused by prolonged global crises and domestic economic pressures.

The request came amid repeated calls from exporters who say the country is not yet prepared to compete without preferential trade access.

GARMENTS, FOOTWEAR TO BEAR THE BRUNT

The UNCTAD report, released in late February, found that around 97 percent of the projected export losses would stem from the apparel and footwear sectors – the twin pillars of Bangladesh’s export economy, which together account for nearly 90 percent of the country’s goods exports.

The European Union (EU) looms largest in the risk picture. Some 77 percent of the total projected loss is linked to preference erosion in the EU market, which currently grants duty-free access to Bangladeshi apparel and footwear under its Everything but Arms initiative for LDCs.

The EU is Bangladesh’s biggest export destination, accounting for nearly 47 percent of total exports in 2024. The United States follows at 16.15 percent of total exports, with other developed markets at 15 percent. Canada and Japan together account for around 5.82 percent.

Post-graduation, Canada is projected to contribute 8.6 percent of the total export decline, while the United Kingdom would account for 6.9 percent.

The loss of preferential market access conditions can result in a substantial decrease in exports of preference-receiving countries as evident in projection for fellow graduating nations.

According to the UNCTAD report, Lao PDR is projected to see a 12.8 percent decline in exports, and Nepal a 3.82 percent drop.

FTAs AND TRANSITION DEALS

The report noted that several graduating LDCs have moved to negotiate free trade agreements (FTAs) with key partners to lock in tariff preferences beyond their LDC status.

For instance, Bangladesh has initiated FTA talks with both Japan and the EU, among others.

However, the report cautioned that reciprocal trade agreements come with their own costs, requiring countries to open their own markets, potentially raising competition, triggering adjustment pressures and reducing customs revenues.

Countries with limited market power, it added, often face challenges in effectively negotiating and achieving their economic interests in trade negotiations with partners that enjoy significantly greater markets

UNCTAD noted that with 14 LDCs nearing graduation, smooth transitional arrangements are gaining traction.

The report noted that the EU, the United Kingdom and Canada have introduced mechanisms allowing graduating LDCs continued access to preferential treatment for three years after graduation, offering some cushion against abrupt trade shocks.

The EU has also moved to reform its GSP+ scheme to improve accessibility for vulnerable economies, including future LDC graduates. Some of the recent reforms aim to better accommodate populous graduating LDCs such as Bangladesh.

Meanwhile, the UK and Canada have introduced analogous preference programmes of their own, titled “Enhanced Preferences” and General Preferential Tariff Plus (GPTP), respectively.

‘STRUCTURAL WEAKNESSES EXPOSED’

Economists say the findings should serve as a wake-up call.

Ashikur Rahman, principal economist at the Policy Research Institute of Bangladesh (PRI), said the UNCTAD projections highlight how deeply the country’s trade competitiveness depends on preferential access.

“While this estimate does, on the surface, look very high, with more than 90 percent of exports benefiting from such preferences, the transition to a post-LDC regime will expose structural weaknesses, particularly our heavy reliance on a narrow set of products and markets,” he said.

Rahman said the message is clear: graduation cannot be treated as a symbolic achievement alone.

“It must be accompanied by urgent and credible reforms: securing trade agreements, especially with the EU, improving logistics and energy reliability, and enabling firms to move up the value chain. Without this, preference erosion could translate into real economic stress.

“With the right reforms, however, graduation can become a turning point towards a more resilient and competitive export economy,” he added.

Bangladesh's stock market has lost around Tk29,531 crore in value amid a bearish trend since the start of the US-Israel war on Iran, as persistent sell-offs driven by fears of a prolonged conflict weigh heavily on investor sentiment, according to data from the Dhaka Stock Exchange.

Equities – shares of listed companies – have borne the brunt of the downturn since the war began on 28 February, with their value falling by Tk27,176 crore, while the value of debt securities, including treasury bonds and corporate bonds, dropped by Tk2,468 crore, according to the DSE data.

Market capitalisation, which reflects the total value of all listed companies' outstanding shares, stood at Tk6.88 lakh crore as of today (31 March), comprising Tk3.34 lakh crore in equities and Tk3.52 lakh crore in debt securities.

Before the conflict, on 26 February, total market capitalisation was Tk7.18 lakh crore, with Tk3.61 lakh crore in equities and Tk3.54 lakh crore in debt instruments.

The benchmark DSEX index dropped by a net 421 points over the past month, as most trading sessions closed in the red amid sustained selling pressure. Out of 17 trading days since the conflict began, the market declined on 10 days and rose on only seven.

During these sessions, the DSEX fell by a cumulative 919 points, recovered 498 points, and ended at 5,178 points – reflecting an overall net loss of 421 points.

Fundamentally strong stocks, including BRAC Bank, Islami Bank, BAT Bangladesh, Square Pharmaceuticals, Walton, Pubali Bank, City Bank, Prime Bank, and Eastern Bank, were among the biggest contributors to the index's decline, according to market data.

Market insiders and investors said the bourse had already been sluggish ahead of the election due to concerns over political instability, with expectations of a recovery after the new government took office.

However, the outbreak of the Iran war within days of the new administration assuming power triggered fresh volatility, which continues to persist.

According to market insiders, the war has already started to impact the country's economy, particularly through disruptions to fuel imports, raising concerns over supply. There are also fears of potential interruptions in raw material imports.

If fuel supply and raw material flows do not stabilise, the business performance of listed companies could be adversely affected, prompting investors in the capital market to adopt a cautious stance.

Md Akramul Alam, head of research at Royal Capital, said the oil shock triggered by the Iran-US war is influencing the pace of the country's economic recovery, which is ultimately expected to be reflected in the sluggish stock market.

"The inflationary pressures will erode the production and profitability of publicly traded companies, which signals lower valuations as a result. But some investors may love to win a bet on stocks at a huge discount," he said.

"The market is expected to rebound after this storm ends," he added.

Muhammad Nazrul Islam, MD & CEO of Sandhani Life Finance, told TBS, "Although there were expectations that the market would see a positive impact after the new government took office, the Iran war has created another layer of uncertainty in the market.

"The effects of the war have already started to impact the country's economy, particularly creating concerns over fuel supply. Investors are now closely watching how the Iran war situation unfolds."

Volatility and falling turnover

Sheltech Brokerage, in its March market commentary, said the Middle East conflict triggered broad-based selling.

"DSEX declined by 7.53%, or 421.95 points, on a month-to-month basis, while average daily turnover fell by 24.12% to Tk600 crore, reflecting subdued market participation amid investors' heightened risk aversion due to escalating geopolitical tensions in the Middle East, which raised concerns over potential energy supply disruptions and their broader macroeconomic implications," it said.

"The market experienced extreme volatility during the period, with an initial phase of broad-based panic selling leading to a cumulative decline of over 591.27 points, including a single-day steepest drop of 208.98 points since 2020, following the onset of the Middle East conflict.

"While a brief recovery supported by bargain hunting was witnessed in the middle of the month, the absence of any tangible de-escalation sign limited follow-through buying and triggered renewed selling pressure into the latter part of the period," it added.

Looking ahead, the brokerage firm said market direction is likely to remain sensitive to geopolitical developments, particularly their impact on energy prices and domestic macroeconomic stability.

Regional markets also slide

Peer markets across the region also recorded sharp declines in March following the start of the Iran war.

Indonesia's IDX Composite index posted the steepest fall at 14.41%, followed by India's Sensex at 11.49%, Pakistan's KSE-100 at 11.38%, Sri Lanka's ASPI at 11.24%, Vietnam's VN-Index at 10.95%, Thailand's SET index at 5.24%, and Malaysia's market at 1.53%, according to an analysis by Sheltech Brokerage.

Despite the losses, the firm noted that Bangladesh's DSEX showed relative resilience, with a comparatively smaller decline of 7.53% amid the geopolitical shock.

Dove soap maker Unilever has implemented a global hiring freeze "at all levels" that will last at least three months, citing the effects of the widening conflict in the Middle East, according to a memo seen by Reuters.

In the memo, sent to staff late last week and previously unreported, Unilever said the freeze would take effect immediately and was made with an eye on the "significant challenges" from the month-old Iran war.

Firms globally from airlines to retail are scrambling to buttress themselves from the effects of the Iran war, which has snarled global trade flows and resulted in the worst-ever disruption of oil-and-gas supplies in history. The rapid surge in energy costs is already surfacing in other markets, slowing production in industries like chemicals and plastics.

"Macro economic and geopolitical realities, especially the Middle East conflict... bring some significant challenges for the coming few months," Fabian Garcia, head of Unilever's personal care business, wrote in the memo sent to staff.

"With this in mind, the Unilever Leadership Executive team has agreed a global recruitment freeze at all levels. This will be effective immediately and last for a minimum of three months."

The London-based consumer products giant owns some of the world's most prominent brands. While it produces most of its goods where it sells them, it buys chemicals, food, packaging and other raw materials that are energy-intensive to create.

Unilever, in a statement, said that due to the "uncertain external environment, we have decided to put in place a temporary pause on our recruitment," adding that it will "always adjust our plans as necessary."

Unilever was already cost-cutting

The freeze comes on top of an existing cost-cutting programme Unilever has had in place since 2024, meant to save around 800 million euros ($916.72 million) in costs over the next three years. The changes Unilever proposed then were expected to affect around 7,500 jobs globally, mostly office-based.

The firm's current headcount of 96,000 is down from the roughly 149,000 people it employed in 2020.

The company has struggled to grow sales volumes across its businesses in the wake of the Covid-19 pandemic. It is now in talks to sell its foods business to smaller rival McCormick & Company, it said on 20 March.

Under the proposed combination, which would mark a major shake-up under CEO Fernando Fernandez, the British group's shareholders would likely keep a majority stake in the new entity, Reuters reported late last week.

Shares of Unilever rose 1.1% in London trading Monday.

Green Delta Insurance PLC has declared a 27% cash dividend for shareholders for the year ended 31 December, 2025.

The announcement was made at the company's 40th annual general meeting, held on 31 March, 2026 through an online conferencing and broadcasting platform.

The meeting was attended by sponsors, directors and shareholders. Company Secretary Md Oliullah Khan, FCS, conducted the AGM with the permission of Chairperson Shamsun Nahar Begum Chowdhury.

The chairperson thanked the shareholders for their continued support and cooperation in the company's growth. She also congratulated members of the Green Delta family for their sincere efforts to ensure uninterrupted customer service and smooth business operations during the economic challenges faced by businesses.

Farzanah Chowdhury, managing director and CEO of Green Delta Insurance, thanked shareholders for their support in helping the company maintain its leading position in the industry. She also expressed gratitude to the team for pursuing excellence amid the difficult economic conditions of 2025.

She expressed optimism about the company's future, citing its diverse service portfolio, digital solutions, automated customer service, agriculture insurance and microinsurance. She also pledged to continue innovation and deliver best-in-class service to ensure financial stability and sustainable growth.

Founding Managing Director Nasir A Choudhury also addressed the shareholders and thanked them for their continued support.

A large number of shareholders joined the online AGM and appreciated the board of directors and management of Green Delta Insurance PLC for the company's performance, corporate governance, dividend declaration and informative annual report for 2025.