Bangladesh Bank (BB) has set a target of disbursing agricultural and rural loans worth Tk 600 billion during the fiscal year (FY) 2026-27 with an aim to give an impetus to rural economy and farm productivity.

The disbursement target is 53.85-percent higher than Tk 390 billion set for the previous fiscal.

To achieve the target within the stipulated time, the central bank also instructed the commercial banks concerned to allocate at least 4.0 per cent of their total lending to the agricultural sector in place of the existing ceiling of 2.50 per cent.

Of the total target, state-owned commercial and specialised banks have been assigned to disburse Tk 205 billion while private and foreign commercial banks will have to disburse Tk 395 billion during the current fiscal.

The BB disclosed the new target unveiling details of the Agricultural and Rural Credit Policy and Programme for FY2026-27 on Monday at a press briefing after a meeting with top executives of the commercial banks at its headquarters.

The new policy has laid emphasis on ensuring credit access for genuine farmers, expanding financing in fisheries and livestock sectors, and supporting rural economic activities.

Under the policy, local agricultural extension officers, assistant agricultural officers, fisheries officers and livestock officers will play their roles in identifying genuine farmers.

Information from 'farmer card' issued by the government may also be used for the purpose.

After unveiling the policy, BB Deputy Governor Dr Md Habibur Rahman said the share of the agriculture sector in the country's GDP is more than 10 per cent but the share of farm lending in the financial sector is only 2.50 per cent, which is very insufficient.

As the government plans to largely promote the agriculture sector, which is one of the strongest pillars of the economy, the share of farm lending has been raised to 4.0 per cent, he said.

And the banks concerned have been directed to take necessary steps in attaining their credit-disbursement targets.

The latest policy has also eased some requirements for borrowers in the fisheries and livestock sectors.

Banks have also been instructed to provide loans to organised groups of farmers and relax the prescribed membership limit wherever necessary.

Loans of up to Tk 0.5 million in the fisheries and livestock sectors will be eligible for collateral-free financing.

Banks have also been advised to consider alternative forms of security, including personal, social and group guarantees, particularly for women and marginal farmers.

The central bank has instructed banks to ensure that borrowers are not charged fees or charges beyond those prescribed under the policy.

It has also sought to simplify the process of obtaining loans under contract farming arrangements.

The policy has incorporated provisions for revising the operational guidelines of the Bangladesh Bank Agricultural Development Common Fund (BBADCF) and facilitating loans to organised farmers and farming groups.

It has also allowed financing for hatchery fish fry production, poultry chicks and duck rearing.

Two separate refinancing facilities --Tk 100 billion and Tk 30 billion--have been incorporated in the policy framework.

To address the impact of climate change, the policy also seeks to bring agricultural borrowers and customers under insurance coverage based on mutual agreements between banks and farmers.

New crops and agricultural activities, including sweet potato, ash gourd, mixed grains, rosemary, asparagus, sweet potato varieties, rubber fruit and egg-shell-based fertiliser production, have also been brought under the agricultural and rural credit programme.

Under the policy, financing provisions determine specific loan disbursement schedules, crop-cutting dates, and harvest-based repayment timelines for high-value and seasonal crops like banana, papaya, mango, lemon, guava, chilli, and lychee

BB Spokesperson and Executive Director Arief Hossain Khan said providing adequate financing to the agricultural and rural sectors is essential for reducing poverty, creating employment, increasing incomes of marginal and poor people, and establishing a sustainable economy.

He also said the central bank expects the new policy to contribute to higher agricultural production and supply, employment and income growth in rural areas while supporting overall macroeconomic stability and sustainable development.

Hailing the new policy, Managing Director and Chief Executive Officer of Southeast Bank PLC Md. Khalid Mahmood Khan said the agriculture sector is the backbone of the economy and the bank has already intensified its focus on that area.

Citing data, the seasoned banker said his bank financed Tk 8.0 billion in the previous fiscal (FY'26).

The bank needs to give loans equivalent to Tk 14 billion in this fiscal under the new policy, which is achievable.

He further said the bank instructs their officers to focus more on selection of the borrowers through cross-checking with the data of concerned government offices and regular post-disbursement monitoring to ensure proper usage of the fund.

Bangladesh will shift its financial year from the current July-June cycle to April-March from fiscal 2028-29.

The 2027-28 fiscal year will instead run for nine months, from July to March, as a transition before the new cycle begins.

The decision came at a cabinet meeting on Monday at the Secretariat, the Cabinet Division said.

Bangladesh follows a July-June financial year at the moment, meaning infrastructure work often continues through the July-August monsoon. This can delay projects, affect quality and cause widespread public hardship, a statement said.

An April-March cycle would allow infrastructure development to be completed before the monsoon, it added.

A committee involving the Cabinet Division, Bangladesh Bank, National Board of Revenue, Legislative, and Finance divisions and other relevant stakeholders will determine the next steps.

The shift will require amendments to the Constitution and the General Clauses Act, 1897, as well as technical changes to government financial management systems.

The government will complete the nine-month transition year in March 2028 and begin all activities under the new April-March financial year from fiscal 2028-29.

Abul Kalam Azad runs a small grocery shop, about thirty-five square feet, next to his home at Ratankandi union in Sirajganj Sadar upazila. Like many village shops, it stocks almost everything from rice and biscuits to soft drinks and bakery items.

During a recent conversation with Kalam, it took about five minutes to explain what a taxpayer identification number (TIN) was and ask whether his shop had one.

Over the phone, he said he had never heard that his grocery shop needed a TIN.

“I have never faced the need for it, and nobody has ever asked me to get one,” said Kalam.

His case is not unusual, as more than 90 percent of the country’s economic units have no TIN, according to the Bangladesh Bureau of Statistics (BBS).

The BBS Economic Census 2024 estimates that the country has 1.17 crore economic units. Only 10.22 lakh, or about one in 12, have a TIN.

The census defines an economic unit as a single establishment or economic household engaged in economic activities for profit, household gain, or indirect benefit to the community.

The more than 90 percent figure does not mean that all 1.07 crore units without a TIN have taxable income and are evading tax. A TIN is an identification number, and tax liability depends on factors such as income and the nature of the activity. A business may have a TIN but owe no tax while still being required to file a return.

According to the census, 45 lakh of the country’s economic units are cottage enterprises, 66 lakh are micro ventures, about 5 lakh are small businesses, and only 40,000 are medium-sized enterprises.

According to the BBS, the low TIN coverage reflects the sheer number of small and household-based businesses. Besides, a large chunk of the economic units is based in rural areas, making the reach of the revenue authority even more challenging.

“The data point to a significant gap in the tax net, although not every economic unit is required to have a TIN or BIN,” said Towfiqul Islam Khan, additional director (research) at the Centre for Policy Dialogue (CPD).

“The major issue is whether the NBR can identify those eligible and bring them into the tax net,” he added.

That challenge comes as Bangladesh struggles with one of the lowest tax-to-GDP ratios among comparable economies. The ratio fell to 6.73 percent in FY2024-25 from 7.38 percent a year earlier. The government wants to raise the revenue-to-GDP ratio to 10.7 percent by FY29.

Towfiqul said the absence of a BIN did not always mean value-added tax (VAT) went uncollected. Some products, such as cigarettes, are taxed at the factory gate before reaching retailers. For products such as biscuits, however, VAT may not be collected separately at the point of sale, leaving gaps across the value chain.

Compared with TIN, business identification number (BIN) coverage is even lower. Only 3.82 lakh, or 3.3 percent, of the total economic units have a BIN. Among permanent establishments, 5.9 percent are BIN-registered, while only 5,781 of the 5.73 lakh temporary units have one.

According to the census, TIN coverage varies across the country. Dhaka has the highest rate, followed by Chattogram. Rangpur, a northern district, has a TIN coverage rate of just 4 percent among its economic units.

The NBR says it is stepping up efforts to identify taxpayers and improve compliance through field-level monitoring.

“Our work to expand the tax base is continuously going on. There are always activities under way. We may not always see the results immediately, but numerous things are happening simultaneously,” said Md Rafiqul Islam Chowdhury, NBR member for tax survey and inspection.

He said the NBR is strengthening verification of taxpayers’ Proof of Submission of Return (PSR), which is required for around 40 types of services and activities.

“We are now pursuing this work very strongly so that the verification of PSRs and whether people have submitted their returns can take place at different stages,” Chowdhury said. The NBR recently issued a nationwide order to strengthen such verification through banks and other institutions, he said. It is also expanding field-level efforts, including setting up new tax offices in three districts in Chattogram and planning surveys to identify taxpayers outside the tax net.

The government has taken an initiative to establish economic zones on the land of the closed Latif Bawany Jute Mills Limited and Karim Jute Mills Limited in Demra, Dhaka, and Kushtia Sugar Mills Limited.

The move aims to put long-unused industrial assets back into productive use, attract domestic and foreign investment, establish new industries and create jobs, according to officials of the Bangladesh Economic Zones Authority (Beza).
The decision was taken at a meeting of Beza's governing board in August. Under the plan, the land of the three state-owned enterprises will be transferred to Beza to facilitate the establishment of economic zones and expand investment activities.The proposed zones will require infrastructure such as internal roads, gas, electricity and water supply to create an investment-friendly industrial environment, officials said.

Beza officials said the success of Adamjee Export Processing Zone, developed on the site of the former Adamjee Jute Mills, is being considered an example for putting the land of closed factories to productive use.
133 acres in Demra

Latif Bawany and Karim Jute Mills in Demra have been closed since 2000 due to persistent losses. The factories were established in 1953 and 1954 respectively and brought under the Bangladesh Jute Mills Corporation in 1972.

Karim Jute Mills has around 50 acres of land, while Latif Bawany Jute Mills has about 83 acres. Together, the two sites offer around 133 acres for new economic activities.

The government hopes the proposed economic zones will turn the long-idle industrial land into new centres of production and investment.

220 acres of Kushtia Sugar Mills

The government also plans to establish an economic zone on 220 acres of land belonging to Kushtia Sugar Mills.

Established in the 1965-66 fiscal year, the sugar mill initially operated profitably but began incurring persistent losses after the 1990s. Its production was eventually suspended in 2020 due to continued losses.

The factory's machinery, worth hundreds of crores of taka, has remained unused and is gradually deteriorating. Although there had been a decision to restart the mill after years of closure, the plan was not implemented. The latest initiative seeks to use its 220 acres for new economic activities instead.

Contacted, Saleh Ahmed, executive member (Investment Promotion) of Beza, told TBS, "We are now working on how the transfer process will be carried out. In this regard, we are considering Adamjee Jute Mills as an example."

He said they want the process to follow the same approach as Adamjee, where the government settled the mill's liabilities and handed over the land to Bepza.

"We are working on transferring the land of these closed mills after the government settles all their outstanding liabilities," Saleh added.

To come under Invest Bangladesh Authority

The proposed economic zones may eventually come under the planned Invest Bangladesh Authority, officials said.

Parliament recently passed the "Invest Bangladesh Bill, 2026", paving the way for a single investment development agency by abolishing Beza, the Bangladesh Investment Development Authority and the Bangladesh Public-Private Partnership Authority.

The law allows industrial areas or establishments to be transferred to or from the new authority under mutually agreed terms.

Accordingly, the government may, in consultation with the governing board, transfer industrial establishments or areas owned by other authorities or agencies to Invest Bangladesh Authority.

Similarly, industrial areas or establishments under the authority may be transferred to other agencies for development, operation and management.

Beza officials said this provision could allow the proposed economic zones to eventually be managed under an integrated investment development framework.

Adamjee EPZ sets example

The Adamjee site demonstrates how unused industrial assets can be transformed into productive economic centres.

After independence, the jute mill was nationalised and later came under the management of Bangladesh Jute Mills Corporation. However, prolonged losses, weak management, technological limitations and labour unrest pushed the mill into crisis.

The government eventually shut down the mill on 30 June 2002 after years of losses.

On 1 December 2004, the government decided to hand over the mill's land to the Bangladesh Export Processing Zones Authority. The Adamjee EPZ was formally inaugurated in 2006 by then Prime Minister Khaleda Zia.

According to data, the 292.62-acre Adamjee EPZ now has 276 industrial plots, with 47 enterprises in operation. Since its establishment, the EPZ has attracted $847.03 million in investment and exported goods worth $11.14 billion.

The zone currently employs 76,027 people and produces a wide range of export products, including garments, textiles, electronics, electrical goods, footwear, safety jackets, suits and blazers, as well as Japanese automobile seat covers.

Commercial importers of solar equipment will now be entitled to concessional tax treatment similar to that available to manufacturers, following a clarification issued by the National Board of Revenue (NBR).

The NBR on Monday issued an instruction to all field-level customs offices, simplifying the import procedure for solar power equipment under the tax waiver scheme to facilitate faster clearance of such goods at ports.

Although the government offered tax benefits in the current fiscal year's budget to accelerate the adoption of renewable energy, businesses subsequently raised concerns over complexities in availing the concessions.

Customs officials at field offices were also reportedly uncertain about allowing the concessions because of ambiguities in the relevant provisions.

Against this backdrop, the NBR's Customs Policy Wing - in its latest directive signed by Md Tareq Hasan, first secretary (Customs: Policy and IT) of the NBR - clarified the applicable customs duties, taxes, and Customs Procedure Codes (CPCs) for imports of solar power equipment.

Research Director of the Centre for Policy Dialogue Dr Khondaker Golam Moazzem says the directive would help address concerns among solar equipment importers over availing the benefits.

"It was a longstanding demand of commercial importers providing engineering, procurement, and construction (EPC) services to allow them to avail the same tax benefits," he says.

"It is a significant step. Commercial importers will be able to avail the tax rebate if they are involved in manufacturing later," he adds.

Even general importers, except for commercially registered importers or manufacturers, will also be able to avail the benefit, according to the clarification.

The directive aligns with the finance minister's pledges in the budget as well as the government's political assurances to facilitate the transition to renewable energy.

It clarifies the duty exemptions and applicable CPCs for solar photovoltaic modules, panels, inverters, and other related equipment.

The clarification came after the same HS code for solar photovoltaic modules and panels - 8541.43.00 - appeared in two separate notifications, creating confusion among importers and customs officials.

According to the directive, solar panels under HS code 8541.43.00 should be cleared under Notification No 191-Law/2025/13/Customs, while other relevant items should be cleared under Notification No 159-Law/2026/14/Customs, with the appropriate CPC mentioned in the Bill of Entry.

The NBR also addressed a clerical error concerning solar inverters in the 2026 notification.

Although the notification mentioned HS code 8504.40.40, the correct code is 8504.40.90.

The NBR said the product description - "Solar Inverter" - would prevail in determining eligibility for the duty exemption.

Therefore, the clerical error will not deprive eligible importers of the benefit.

For manufacturing companies importing capital machinery to establish solar power plants, the applicable customs duty will be 1.0 per cent, subject to fulfilment of the prescribed conditions.

Commercial importers, however, will have to pay 1.0 per cent customs duty, along with 7.5 per cent advance tax and 5.0 per cent advance income tax.

The advance tax and advance income tax will subsequently be adjustable in accordance with the applicable tax provisions.

Mostafa Al Mahmud, president of the Bangladesh Sustainable and Renewable Energy Association (BSREA), says the tax burden remains comparatively high because of the 15 per cent VAT, taking the total tax incidence to 17 per cent.

"We held a meeting at the NBR following the call from the Customs Wing," he says.

The government could consider waiving VAT while retaining only 2.0 per cent advance income tax for commercial importers, he says.

"Solar equipment imports will see a significant rise if the government considers VAT exemption for the sake of rapid growth of solar energy," he adds.

The directive was sent to customs houses in Dhaka, Chattogram, and Mongla, as well as the Ministry of Power, Energy and Mineral Resources, Bangladesh Investment Development Authority (BIDA), Sustainable and Renewable Energy Development Authority (SREDA), and relevant trade bodies, including BSREA.

The clarification is expected to reduce disputes and delays in the clearance of solar equipment by providing customs officials and importers with a uniform interpretation of the relevant notifications and duty provisions.

Already struggling under a huge non-performing loan crisis and a severe demand slump, Bangladesh's banking sector faces another challenge: escalating legal battles between banks.
Rising disputes over Inland Bill Purchase (IBP) facilities and Letter of Credit (LC) bank guarantees have entangled over Tk12,000 crore in Money Loan Courts countrywide, signalling a breakdown in inter-bank trust.

One such case is a 23-year-old dispute between Uttara Bank and Sonali Bank that began in 2002 over 57 post-dated cheques issued by Chattogram Tobacco Company.
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Chattogram-based Prime Global Ltd presented the cheques to Uttara Bank and obtained IBP financing against them. The cheques were drawn on Sonali Bank accounts, which endorsed each as "Good for Payment" and later reconfirmed the assurance in writing.

Relying on the assurance, Uttara Bank extended around Tk15.46 crore in IBP financing to Prime Global. But all 57 cheques were dishonoured between November 2002 and February 2003.

Uttara Bank subsequently filed a case with a Dhaka money loan court in 2003, seeking around Tk17.88 crore. The court issued a decree against Sonali Bank in 2006.

Sonali Bank challenged the decree in the High Court in 2007, but its petition was dismissed. It then appealed to the Appellate Division, which upheld the verdict in August last year.

The Money Loan Court has yet to implement the decree, leaving Uttara Bank unable to recover the money. Repeated calls and text messages to Sonali Bank Managing Director Shawkat Ali Khan seeking comment on the matter went unanswered.

Mohammad A (Rumee) Ali, former chairman of AB Bank, said many countries use arbitration tribunals to settle such disputes, while courts in developed countries often require parties to pursue alternative dispute resolution (ADR) before litigation.

"Bangladesh could adopt such mechanisms," he said, calling for clear guidelines empowering the central bank to act against banks whose conduct leads to such disputes.

Tk12,000cr stuck in legal battles

Data from the Supreme Court and money loan courts show that 7,354 such cases, involving nearly Tk12,000 crore, were pending nationwide as of June. Four money loan courts in Dhaka accounted for 3,634 cases involving Tk6,500 crore.

Banks filed around 578 lawsuits against other banks in January-June this year, involving nearly Tk2,000 crore. The number was 843 in 2025, involving around Tk2,000 crore; 715 in 2024, Tk1,200 crore; 1,123 in 2023, Tk2,500 crore; and 1,223 in 2022, Tk3,000 crore.

Despite the volume of litigation, case disposal remains very low.

Supreme Court data show that only 72 cases involving around Tk300 crore were disposed of in 2025, compared with just 26 cases involving about Tk80 crore in 2024.

When can a bank sue another bank

IBP is a commercial financing facility offered by banks. Under the facility, banks provide cash or advance payment against bills or documents to individuals or suppliers soon after goods are delivered, typically against a domestic LC or a sales contract.

Imran Ahmed Bhuiyan, banking and company law expert, told TBS that Section 2(c)(2) of the Money Loan Court Act 2003 covers liabilities arising from IBP, guarantees, indemnities, LCs and other financial arrangements.

He said LCs are widely used in domestic and international trade, where one bank may act as a guarantor for another. In domestic trade, banks commonly use the IBP system.

"Such arrangements may involve two local banks or a local bank and a foreign bank," he said. "If the guarantor bank fails to pay the negotiating bank, the latter can file a case to recover the outstanding amount."

Banks can also sue over indemnities. For instance, one bank may issue a written indemnity guaranteeing payment to a customer or settlement of an LC bill, he added.

"If the customer receives the money but fails to repay, the bank that made the payment can sue the indemnifying bank to recover the amount," said the expert.

First inter-bank lawsuit

Velvet Textile Mills opened an LC through City Bank's Principal Office in Motijheel in 2001 to purchase cotton from Square Yarn, a cotton producer. The LC was worth around $40,000.

Square Yarn maintained its banking relationship with Mercantile Bank's Motijheel Main Branch. City Bank was the issuing bank, while Mercantile Bank was the negotiating bank.

After the shipment, Square Yarn sent the shipping documents to City Bank through Mercantile Bank. City Bank found the documents in order and assured Mercantile Bank that payment would be made within 120 days.

Based on that assurance, Mercantile Bank paid $40,000 to the seller. However, City Bank failed to reimburse Mercantile Bank even after three years.

Mercantile Bank subsequently filed a case against City Bank in Dhaka Money Loan Court-1 in 2004 to recover the outstanding amount.

In 2006, the court issued a decree in favour of Mercantile Bank for around Tk35 lakh, including interest, and City Bank subsequently paid the amount.

A lawyer who represented Mercantile Bank told TBS that it was the first case in Bangladesh in which one bank sued another under the Money Loan Court Act 2003.

MA Shahjahan, then manager of Mercantile Bank's Main Branch, said domestic LCs were also denominated in US dollars at the time. "Bangladesh Bank made taka mandatory for domestic trade transactions only about six months ago."

Slow case disposal

In 2013, Jamuna Bank sued Premier Bank at the Chattogram Money Loan Court. Jamuna Bank had guaranteed four LCs opened by a businessman to import goods from abroad and is seeking around Tk8 crore. Court officials said the case is still pending.

In early 2023, Premier Bank filed a case against Bangladesh Krishi Bank with Dhaka Money Loan Court-1, seeking Tk9 crore. Court sources said Krishi Bank had acted as guarantor for a customer's LC but failed to make the payment on time. The case remains unresolved.

What BB says

Bangladesh Bank spokesperson and Executive Director AriefHossain Khan said the Arbitration Act provides for resolving disputes between banks.

He said such disputes sometimes arise over LCs, but cases are not necessarily filed solely against the bank. The party involved in the underlying transaction is also made a defendant.

"When the court finds the bank liable, it issues a decree against the bank," he said. "The Bangladesh Bank has issued guidelines to help resolve such disputes, but their disposal ultimately falls under the courts' jurisdiction."

The trustee of CAPM BDBL Mutual Fund-01 has called a special general meeting of its unitholders to consider converting the scheme from a closed-end to an open-end mutual fund, or proceeding with its redemption, according to a stock exchange filing.

The special meeting is scheduled for 7 October, and the record date for determining unitholders' eligibility to attend and vote has been set for 15 September, the filing said yesterday on the stock exchange's website.

In accordance with regulations, trading in the fund's units across stock exchanges will be suspended starting on the record date.

The trustee, Investment Corporation of Bangladesh (ICB), has also informed that trading in the fund's units on the stock exchanges shall remain suspended from the record date until further notice, or as otherwise communicated by the fund, the disclosure said.

The move comes under directives set out by the Bangladesh Securities and Exchange Commission (BSEC) governing closed-end mutual funds.

Under BSEC regulations, if a closed-end fund's six-month average market price trades at a discount of more than 25% below its issue price or fair-value-based net asset value (NAV), or as it approaches maturity, the trustee is required to convene a special meeting to decide the fund's future.

To pass a conversion proposal from closed-end to open-end status, at least 75% of the voting unitholders must vote in favor of the resolution.

Under amended BSEC rules, closed-end mutual funds are prohibited from extending their operational tenure, leaving conversion to an open-end scheme or winding up (redemption) as the only permissible options upon maturity or regulatory triggers.

Trading remains suspended from the record date through the voting process to preserve unit ownership integrity. If unitholders approve the conversion, conversion and meeting expenses are borne by the fund manager, if rejected, the fund proceeds toward liquidation or redemption, the rules said.

Sonali Life Insurance settled 55,300 insurance claims worth Tk405.15 crore in 2025, while declaring a 15% cash dividend to its shareholders for the year.

The dividend was approved at a recent meeting of the company's board of directors held at its head office in Malibagh Chowdhury Para in the capital.

The company said it has maintained the momentum in claims settlement this year as well. As of July 2026, Sonali Life had settled insurance claims worth approximately Tk259 crore.

The company's share price rose 1.90% on the Dhaka Stock Exchange (DSE) today (17 August).

Sonali Life said it has maintained a 100% claim settlement record since inception, attributing the performance to faster data verification, automated processes and paperless internal monitoring that have shortened settlement times.

Sonali Life Director Sheikh Mohammad Danial said the insurer settled claims worth over Tk124 crore in 2023, Tk380 crore in 2024 and Tk405 crore in 2025. It settled another Tk259 crore in claims in the first seven months of 2026.

"Trust is the foundation of every successful insurance company. We earn that trust by settling claims promptly, strengthening governance, and continuously improving the customer experience," Danial said.

He said the company is introducing AI-assisted underwriting and optical character recognition (OCR)-based onboarding to make customer services faster and more efficient while strengthening risk management.

Sonali Life has paid cash dividends consistently since 2020, with a cumulative 85% cash dividend paid and approved between 2020 and 2025, according to the company.

Danial said the company aims to create sustainable value for shareholders and other stakeholders by boosting productivity and reducing operating costs.

Sonali Life said it holds a leading position among Bangladesh's fourth-generation life insurers in claim settlements, gross and renewal premium collection, life fund accumulation and investment portfolio management.

The company's Acting Chief Executive Officer (CEO) Mohammad Rafiqul Islam said Sonali Life is working to establish itself as a reliable institution for people's financial security and future protection.

"Sonali Life Insurance is not just an insurance company; it is a reliable commitment to financial security and future protection for people," he said.

He said the company is focusing on developing skilled human resources and expanding customer-centric services to bring positive changes to Bangladesh's insurance sector.

Sonali Life currently operates 256 branches nationwide. Its management attributed the company's continued growth to employees' sincerity, hard work and customer-focused approach.

Rafiqul Islam said Sonali Life has established dedicated corporate support teams and strengthened internal controls to ensure faster claims settlement and greater accountability.

The insurer is also expanding modern services, including bancassurance, to make insurance more accessible. It said its investment portfolio is helping mobilise domestic capital, while sustained premium growth is strengthening its long-term financial position.

Dhaka stocks extended their losing streak to a fourth consecutive session today (17 August), as lingering uncertainty over the final shape of margin lending rules triggered fresh selling pressure. Concerns over corporate earnings amid weak domestic economic conditions added to the downbeat sentiment.

The benchmark DSEX index of the Dhaka Stock Exchange (DSE) fell 46 points to close at 5,814. The DS30 index shed 9 points to settle at 2,177, while the DSES index slipped 14 points to 1,158.

Turnover dropped 12% from the previous session to Tk995 crore, reflecting a pullback in overall trading activity as investors turned more cautious.

Of the 391 issues traded, 318 declined, 54 advanced, and 19 remained unchanged.

EBL Securities, in its daily market commentary, said the market faced a sharp sell-off as the lack of clarity over potential changes to the margin lending rules continued to weigh on sentiment. This uncertainty compounded existing concerns about weaker corporate earnings amid prevailing domestic economic conditions.

The brokerage noted that the market remained under pressure from the opening bell but held relatively steady through the middle of the session. Rumours about possible changes to the final margin rules spurred some opportunistic buying in select sector-specific stocks.

However, buying interest weakened as the session progressed, as investors remained uncertain about the final regulatory framework. Selling pressure subsequently intensified, triggering broad-based corrections amid heightened investor anxiety, the brokerage said.

A market analyst told TBS on condition of anonymity that cautious investors were waiting for the final rules before taking fresh positions.

"There was uncertainty among investors over the proposed amendments to the margin lending rules, and that uncertainty has not completely gone away. Cautious investors want to know what the final rules will contain," he said.

He noted that the market had risen significantly in recent months, creating an opportunity for investors to realise gains.

"Until investors know how the rules will ultimately be finalised, many are choosing to remain cautious instead of making fresh investments," he said.

Market participants said profit-taking has become more pronounced following the recent rally, while uncertainty over margin financing has made investors even more reluctant to increase their exposure.

The Bangladesh Securities and Exchange Commission (BSEC) is expected to publish the amended margin lending rules in the gazette soon. Investors and market intermediaries are closely watching the final provisions, particularly their potential impact on margin financing, borrowing capacity and market liquidity.

Meanwhile, a handful of stocks bucked the broader downturn. Peoples Leasing was the top gainer, rising 10%, followed by S Alam Cold Rolled Steels, which gained 9.76%, and Popular Life Insurance, up 5.26%.

Dominage Steel Building suffered the steepest decline, falling 9.97%. Nurani Dyeing dropped 9.52%, while C & A Textiles declined 8.11%.

IPDC Finance, Dominage Steel Building and Bangladesh Export Import Company, commonly known as Beximco, led the market in turnover.

The sell-off was also reflected on the Chittagong Stock Exchange (CSE). The CASPI index fell 111 points to close at 15,624, while the CSCX declined 62 points to 9,520. Turnover on the CSE stood at Tk105.27 crore.

Market participants said the market's near-term direction would likely hinge on the final margin lending framework. Publication of the rules may ease some of the uncertainty, though their actual impact on investor behaviour and market liquidity will only become clear after implementation.

Another close-ended mutual fund -- CAPM BDBL Mutual Fund-1 – nears conversion or liquidation as its 10-year term will end in January.

The trustee has called a special meeting of unitholders on October 7 at BDBL Bhaban in the capital, where they will vote to determine the course of action after the maturity of the fund, according to a regulatory filing on Monday.

The record date for the meeting has been set for September 15, while trading in the fund’s units on the stock exchanges will remain suspended from September 16 until further notice, said the trustee of the fund, Investment Corporation of Bangladesh.

The fund is managed by CAPM (Capital & Asset Portfolio Management) Company and will complete its tenure on January 12, 2027.

Under the amended Mutual Fund Rules 2025, close-ended funds must be redeemed at maturity as tenure extensions are no longer allowed, a corrective move to change course from past mistakes. However, such funds may be converted into open-ended schemes if at least three-fourths of unitholders, based on ownership share, approve the move.

Akramul Alam, head of research at Royal Capital, said unitholders would benefit in both ways – conversion or liquidation.

He explained that redemption would allow unitholders to recover their investments at the current net asset value (NAV) of the fund, a relief for them, especially when units of listed mutual funds were trading at heavy discounts in the secondary market.

On the other hand, if the fund is converted into an open-ended scheme, unitholders will have the scope to remain invested in the new scheme or exit from it.

Mr Alam added that unitholders can surrender open-ended fund units any day, and the asset manager is bound to liquidate the underlying assets of the units and pay cash back to investors as per the current net asset value.

Modest return for investors

CAPM BDBL Mutual Fund-1 was listed on the stock exchanges in January 2017 with an initial size of Tk 500 million.

As of Monday, the fund’s total net assets stood at Tk 456.28 million at current market value and Tk 548.11 million at cost value after accounting for all assets and liabilities.

Investors who put money into the fund in 2017 and have held their units until conversion or redemption are set to receive relatively modest returns.

The fund distributed cash dividends ranging from 5 per cent to 13 per cent between 2018 and 2023. Its NAV currently stands at Tk 9.10 per unit, which is 9 per cent lower than the face value of Tk 10.

Considering dividend income and the current NAV, the average annual return for unitholders comes to around 4.33 per cent, significantly below the rate of inflation over the period.

Following the disclosure, the fund’s unit price fell 5.94 per cent to Tk 9.50 on the Dhaka Stock Exchange on Monday.

If converted into an open-ended scheme, CAPM BDBL Mutual Fund-1 will become the fourth closed-end mutual fund to complete such a conversion. Earlier, Southeast Bank 1st Mutual Fund, NLI First Mutual Fund and SEML Lecture Equity Management Fund were converted into open-ended schemes.

Meanwhile, Asian Tiger Sandhani Life Growth Fund and Vanguard AML BD Finance Mutual Fund One were liquidated as decided by the majority of the unitholders.

Amid delays in tax clearance, the Bangladesh Securities and Exchange Commission (BSEC) has extended the deadline until September for Reckitt Benckiser (Bangladesh) to disburse dividends to its foreign shareholders.

The regulator also granted the multinational a waiver from a May 2024 directive requiring listed companies to disburse at least 80% of approved dividends within a stipulated timeframe or face a downgrade to the "Z" category.

The stock market regulator notified Reckitt Benckiser (Bangladesh) PLC of the decision in a letter dated 10 August, also informing the two stock exchanges.

When asked about the matter, Md Nazmul Arefin told The Business Standard, "We need to obtain a certificate from the National Board of Revenue (NBR) to remit dividends to the company's foreign shareholders."

"We applied to the NBR, but have yet to receive the certificate. That is why we applied to the commission for a time extension to pay the dividends," he added.

Reckitt Benckiser, for the 2025 fiscal year, approved a massive 1,730% cash dividend —equivalent to Tk173 per share— amounting to a total payout of Tk81.74 crore.

However, the dividend repatriation has stalled because its majority shareholder, UK-based Reckitt Benckiser PLC, holds an 82.96% stake in the Bangladesh subsidiary and is entitled to Tk67.81 crore of the total dividend.

Under capital market rules, listed companies must complete dividend disbursements within 30 days of shareholder approval. Reckitt secured shareholder approval at its annual general meeting on 21 May.

Failure to disburse at least 80% of the declared dividend within the stipulated period constitutes regulatory non-compliance and triggers an automatic downgrade to the junk "Z" category.

Amid administrative delays at the tax authority, Reckitt applied to the stock market regulator on 29 July for an extension and exemption from the category-transfer directive.

In response, the BSEC relaxed its enforcement rules, granting the company relief from the non-compliance and extending the final compliance deadline to 30 September.

The BSEC letter said the company must complete the 2025 dividend disbursement process by 30 September.

According to central bank guidelines, foreign dividend repatriation must be processed through a nominated authorised dealer bank based on auditor-certified applications.

Before approving the transfer, banks must verify that the profits arose from regular operations and that all prior losses, tax liabilities and government subsidies have been fully adjusted.

To avail of reduced withholding tax rates under Double Taxation Avoidance treaties, companies must obtain an official clearance certificate from the NBR under Section 119 of the Income Tax Act 2023.

In 2025, Reckitt Benckiser reported Tk566.44 crore revenue, and Tk81.70 crore profit.

German companies slashed investments in the United States to a three-year low in the first half of 2026, as Trump administration policies fed uncertainty between the transatlantic trading partners.

First-half direct investments plunged by nearly two-thirds year-on-year to €4.3 billion ($5 billion), the lowest level since 2023, according to calculations by the German Economic Institute, or IW, seen by Reuters.

Compared with the same period in 2024, that ⁠represents a drop of nearly 80%, said the report, which is based on data from Germany's central bank.

"This continues the downward trend that has been evident since the start of Donald Trump's second term in January 2025," IW researcher Samina Sultan told Reuters.

Since returning to office, Trump has threatened most of the United States' international trading partners with import tariffs in an attempt to secure concessions favourable to Washington.

In a bid to avoid heavy duties on its exports to the US, for example, the European Union agreed a deal last year ⁠that included a $600 billion investment pledge.

In the five years before the COVID-19 pandemic, first-half investments by German companies in the US averaged €15.8 billion, the data showed, almost four times the 2026 level.

That said, the 2020 to 2023 period was shaped by the "exceptional circumstance" of the pandemic, Sultan said, ⁠with some years marked by net investment outflows.

The researchers also examined the composition of investment flows over 2025 and found that both direct-investment loans and reinvested earnings were exceptionally high, while equity capital in ⁠the narrower sense–the balance of new investments and liquidations–remained below average.

"Companies that are already active in the United States are therefore continuing to reinvest the profits ⁠they earn there in the country," Sultan said. "This suggests that the US remains an attractive market overall."

However, companies were hesitant to commit new capital, she said.

India has set a maximum daily cooking gas production target of 63,810 metric tons for state-run and private refineries to ensure domestic supplies and build buffers after US-Israeli war against Iran disrupted supplies of the essential fuel, according to an August 13 government order.

Companies are required to maintain adequate infrastructure for storing and transporting liquefied petroleum gas (LPG), either directly or through railways and road tankers, to meet specified quantities.

The federal government will update the targets every January and July to reflect new production and additional output from existing refineries.

India was buying about 90 percent of its cooking gas imports from the Middle East before the war on Iran disrupted supplies from March due to the blockade of the Strait of Hormuz.

India has set production targets for individual refiners with Reliance Industries Ltd’s domestic-market-focused refinery tasked to produce 18,000 tons a day of LPG.

State-run explorers Oil and Natural Gas Corp and Oil India Ltd, and gas utility Gail India Ltd are expected to contribute 10 percent of the nationwide target.

The dollar fell on Friday after data showed US retail sales unexpectedly declined in July, helping send the euro and sterling to multi-month highs, as traders weighed Federal Reserve policy.

Retail sales dropped 0.6 percent last month after an unrevised 0.2 percent gain in June.

Economists polled by Reuters had forecast retail sales, which are mostly goods and are not adjusted for inflation, edging up 0.1 percent.

“We are clearly having signs of poor consumption,” said Juan Perez, director of trading at Monex USA in Washington.

“This evidence is clearly showing that there is an economic slowdown in the United States.”

Softer-than-expected consumer and producer price inflation data this week has already tempered expectations that the Fed will raise rates at its September 15-16 meeting.

Traders are now pricing in just a 31 percent probability of a September hike, alongside a 69 percent chance of a rate increase by December.

Concerns over the labor market have deepened as well, after July’s payrolls report showed employers unexpectedly shed jobs last month.

The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, fell 0.25 percent to 99.67.

The euro rose 0.32 percent to $1.1564 and got to $1.1585, the highest since June 17.

Sterling strengthened 0.33 percent to $1.353. It reached $1.3561, the highest since May 12.

Traders are also focused on the US conflict with Iran and efforts to open the Strait of Hormuz.

Crude oil prices climbed on Friday over renewed attacks on tankers and a war of words between the Trump administration and Iran’s leadership.

The Japanese yen strengthened 0.08 percent to 159.37 per dollar.

It is on track for a weekly decline of around 1 percent as the effects of recent US and Japanese intervention continued to fade.

That has left traders betting that either a rate hike or another round of official buying will be needed to arrest the currency’s slide.

Struggling non-bank financial institution Midas Financing PLC is facing a severe liquidity crunch to meet depositors' requirements, highlighting an urgent need for adequate liquidity arrangements to restore customer confidence, according to its statutory auditor.

In the auditor's report for the year ended 31 December 2025, AKM Kamrul Islam, managing partner of Islam Aftab Kamrul & Co, Chartered Accountants, highlighted critical financial distress under an "Emphasis of Matter" paragraph.

The report revealed that Midas Financing holds lease, loan, and advance portfolios totalling Tk788.82 crore. Of this amount, non-performing or classified loans stand at Tk432.47 crore – accounting for over 54% of its total loan book – while unclassified loans account for Tk356.35 crore.

To cover potential losses, the Bangladesh Bank mandated a provision shortfall of Tk25.98 crore against 41 individual lease, loan, and advance accounts, along with Tk6 crore in other general provisions.

Following an appeal by the non-bank financial institution, the central bank issued a letter on 22 June 2023, allowing Midas Financing to adjust the provision shortfall over five years starting from 2022.

The financial statement highlights significant capital and operational erosion. For 2025, the institution reported a net interest loss of Tk46.87 crore, a total operating loss of Tk46.36 crore, and a massive net loss after tax reaching Tk335.29 crore.

Furthermore, its Capital to Risk-Weighted Assets Ratio faces a shortfall of Tk350.07 crore, leaving shareholders' equity in the negative at Tk266.01 crore as of 31 December 2025.

The auditor also noted a compliance lapse regarding Tk9.61 lakh presented under unclaimed dividend payables, which contradicts Bangladesh Securities and Exchange Commission directives requiring unclaimed dividends to be reported as a separate line item.

Bangladesh’s garment industry must accelerate its shift to cleaner energy as rising power costs, dwindling gas supplies and tougher climate rules increasingly threaten the sector’s competitiveness, according to a new study by the Centre for Policy Dialogue (CPD).

Greater use of renewable energy and more efficient machinery could help factories cut energy costs while meeting growing environmental requirements in key export markets, the study found. The findings were presented yesterday at a national dialogue on industrial decarbonisation at BRAC Centre Inn in Dhaka.

The study drew on data from 350 RMG factories and 65 types of machinery across eight production categories.

It identified rooftop solar as a clear opportunity, which can potentially lower electricity costs and reduce factories’ exposure to volatile fossil fuel prices.

Average monthly energy expenditure among surveyed factories stood at Tk 9.98 lakh. Meeting 30 percent of energy needs through solar could cut costs to Tk 8.46 lakh, a 15.7 percent saving, the study found.

Machinery upgrades offer another opportunity, it noted. Cutting machines represent only 5.5 percent of installed capacity but could generate 27 percent of potential replacement savings. Sewing machines account for about 85 percent of machine stock but offer less than 3 percent savings potential. Smaller factories, however, face financing constraints and older machinery.

Speaking at the event, Asif Shahriar, assistant vice-president of Infrastructure Development Company Ltd (IDCOL), said limited financing capacity, a shortage of capable renewable energy service companies and the absence of standardised investment assessments are holding back industrial adoption.

Smaller factories often struggle to access financing because individual projects are too small for conventional financing models. He suggested grouping several small projects and financing them together.

Asif also backed operating expense, or OPEX-based, models in which third parties install and operate renewable energy systems while factories pay for the service, reducing the need for large upfront investments.

Fazle Shamim Ehsan, executive president of the Bangladesh Knitwear Manufacturers and Exporters Association, said European decarbonisation requirements leave Bangladesh with little room for delay.

He noted that Bangladesh is already behind several competing garment-producing countries in renewable energy use.

He said incentives often look better on paper than they work in practice. Even his LEED-certified platinum factory has not received the full benefit of a promised tax incentive because of how income tax is collected and adjusted.

“If the incentive does not reduce the actual tax burden, then what is the point of giving it?” he asked.

He also cautioned against assuming every industrial process can simply be electrified. New industrial zones should instead be planned around shared energy infrastructure, including steam generated as a by-product of power plants.

For existing factories, rooftop solar and efficient machinery offer quicker options, but both require financing and regulatory changes. “Funds are available, but they are not accessible enough,” Fazle Shamim said.

Mostafa Al Mahmud, president of the Bangladesh Solar and Renewable Energy Association, also criticised taxes on solar panels, batteries and other equipment.

Bangladesh now needs an emergency response in the energy sector, said Khondaker Golam Moazzem, research director at CPD.

Gas reserves are nearing depletion, while new exploration has not kept pace with demand. Industries will therefore need alternatives for gas-dependent boilers, diesel-based transport and irrigation.

The challenge extends beyond factories and financiers, pointed out Shamim Munir Uddin, director of the Ethical Trading Initiative.

Workers should also be involved in improving energy and resource efficiency through training and greater awareness at the factory level, he said, calling for closer scrutiny of how automation is affecting energy consumption.

Policy remains a critical piece of the puzzle. Shamim Munir Uddin pointed out that factories importing renewable energy equipment are subject to around 15 percent VAT and 2 percent advance tax, creating a combined burden of roughly 17 percent.

Such measures can work against the government’s own renewable energy goals, he said.

Vidiya Amrit Khan, vice-president of BGMEA, said Bangladesh’s garment industry risks losing competitiveness if it fails to become more sustainable.

European regulations increasingly require detailed reporting on carbon emissions, energy use, water consumption and chemical discharge. Such requirements are expected to become more consequential for exporters by 2030, she said.

The biggest obstacle may be policy rather than technology, Vidiya said, with high financing costs, collateral requirements and proposed charges on open-access renewable power potentially making clean energy more expensive than conventional power. That could discourage investment, she added.

The Chittagong Chamber of Commerce and Industry (CCCI) has urged the government to introduce concessional tariffs, round-the-clock operations, and transit and refuelling facilities at Shah Amanat International Airport to unlock its full potential.

In a letter sent to Finance and Planning Minister Amir Khosru Mahmud Chowdhury on August 15, CCCI President Mohammed Amirul Haque proposed a 40 percent concession on airport facility charges, along with permission for passengers to board and disembark during long-haul flight stopovers.
He also called for transit and refuelling facilities for long-haul flights, as well as the development of a cargo village, inland container depots (ICDs), and container freight stations (CFSs) near the airport to establish it as a regional aviation and logistics hub.

“Private businesses have the ability to invest, and they are ready to do so to develop infrastructure under public-private partnership, build-own-operate, or build-own-operate-transfer arrangements,” Amirul said in the letter.

The CCCI said developing the airport as an east-west aviation gateway and a hub for tourism and logistics could help reduce the concentration of air traffic in Dhaka.

Citing the government’s efforts to attract users to Mongla Port through reduced tariffs, the trade body called for similar incentives to boost the airport’s use.

A lucrative stimulus package or concessional tariff needs to be introduced to attract more passengers and cargo and maximise the airport’s capacity, the letter said.

Amirul reaffirmed the business community’s support for the government’s vision of transforming Bangladesh into a trillion-dollar economy by 2034 and establishing Chattogram as a regional investment and logistics hub.

The government yesterday launched a fund with an initial size of Tk 400 crore to boost investment in the country’s startup ecosystem, attract local and international capital, and strengthen the venture capital industry.

Startup Bangladesh Limited (SBL), the government’s venture capital and fund management institution under the ICT Division, announced the launch of the initiative, titled “Fund of Funds,” at an event at ICT Tower in Dhaka.Over the past decade, Bangladeshi startups have attracted around $1.2 billion in investment, but local investors accounted for only about 7 percent of the total, according to a Startup Bangladesh statement.The Fund of Funds initiative will seek to address this gap by strengthening local institutional capital, attracting foreign investment, developing the venture capital industry and building a sustainable startup financing structure, it said.Over the past decade, Bangladeshi startups have attracted around $1.2 billion in investment, but local investors accounted for only about 7 percent of the total

The fund will invest in selected local and international venture capital funds with strong governance, professional fund management and credible investment strategies, according to Nurul Hai, managing director and CEO of Startup Bangladesh.

The formal process for eligible venture capital fund managers also began through a Request for Expression of Interest (REOI), he said while presenting the fund’s structure, investment strategy, fund manager selection process, co-investment mechanism and potential impact.

Speaking as the special guest at the event, Rehan Asad, the prime minister’s adviser for ICT and Telecom, said venture capital and the startup sector would play an important role in diversifying Bangladesh’s economy.

“Not only financing, but startups also need mentorship, skills, market linkages and technological support. Through the Fund of Funds, these supports must be ensured alongside investment,” he said.

“The government is committed to protecting the interests of domestic and foreign investors in Bangladesh and to facilitating the smooth repatriation of lawful profits and capital. Through collective efforts, it is possible to build a strong startup ecosystem,” he added.

Faqir Mahbub Anam, telecom and ICT minister, said Bangladesh has no shortage of talented entrepreneurs and innovative ideas, and that the government wants to build an investment-friendly environment where no promising venture is held back for lack of funding.

He said the Fund of Funds would be operated with a strong focus on skills, good governance and professionalism.

Stating that Startup Bangladesh has already invested around Tk 111 crore in 36 technology-based startups, he said the private sector must also come forward to invest in startups rather than relying only on government financing.

Initiatives must not remain limited to paper, and their benefits must be ensured through practical implementation, the minister added.

Through the Fund of Funds, more private and international capital will be brought into the country while creating opportunities for Bangladeshi startups to enter international markets, he said.

Md Mamunur Rashid Bhuiyan, chairman of Startup Bangladesh and secretary of ICT Division, said the government wants to ensure an environment where venture capital and innovation can develop naturally.

If successfully implemented, the Bangladesh Fund of Funds will not only increase investment in startups but also build a strong investment infrastructure for the country’s future economy, he said.

The Purchasing Managers' Index (PMI) is becoming an important tool for tracking Bangladesh's real-time economic activity, providing an early indication of whether the economy is expanding or contracting before official data are available.

The observation came at a discussion titled "The Purchasing Managers' Index (PMI) for Bangladesh", organised by the Metropolitan Chamber of Commerce and Industry, Dhaka (MCCI) and Policy Exchange Bangladesh (PEB) at the chamber on Sunday.

Speakers at a discussion session stressed the need for greater understanding and wider use of the index among businesses, policymakers, academics and researchers.

They also highlighted the importance of incorporating PMI into university teaching and research to promote evidence-based analysis of the economy and support better fiscal, monetary and investment decisions.

The MCCI president Kamran T. Rahman said the PMI provides an early and reliable snapshot of Bangladesh's economic activity, helping businesses, investors and policymakers understand the direction of the economy before official GDP data are available.

He also said the country's PMI remains expansion territory this year, with the growth recorded in June, a strong rise in May and a healthy rebound in July, led by manufacturing and supported by services and agriculture.

Mr. Rahman urged universities to incorporate the index into classrooms and research, saying greater academic engagement could help enrich the PMI and strengthen its use as a tool for understanding the economy.

Dr. Masrur Reaz, Chairman of PEB, said Bangladesh has lagged in adopting real-time economic tracking tools, leaving decision-makers dependent on lagged national metrics.

Morgan Stanley Capital International (MSCI) will end its more than three-year special treatment of Bangladesh's capital market in the November 2026 Index Review, paving the way for the resumption of normal index reviews and corporate-event implementation for Bangladeshi securities.

The global index provider announced on August 5 that it would no longer apply the special treatment to the MSCI Bangladesh Indexes from the November review. The special treatment dates back to February 2023, when MSCI froze index changes after Bangladesh's floor-price mechanism restricted natural price discovery and impaired market accessibility for foreign institutional investors.

The situation changed after the Bangladesh Securities and Exchange Commission removed the floor prices from the remaining affected securities, Beximco and Islami Bank Bangladesh, on June 9 this year. MSCI subsequently welcomed the removal, saying floor prices had severely hindered market accessibility and distorted price discovery.

The latest development effectively brings an end to a prolonged freeze on normal MSCI treatment of Bangladesh.

MSCI said it will implement in November all index-review changes that had been postponed under the special treatment. These include changes in the Number of Shares (NOS) and Foreign Inclusion Factors (FIF) for securities classified in Bangladesh.

Regular implementation of corporate events will resume on December 1.

The announcement means Bangladesh will remain under the special arrangement for the upcoming August review, but normalisation will begin with the November review.

However, MSCI has also left Bangladesh with a clear warning. It said any reintroduction of floor prices on listed securities could trigger a consultation on potentially reclassifying Bangladesh from Frontier Market to Standalone Market status.