A lack of modernising global trading system and absence of the World Trade Organisation (WTO) would create an uneven turf in which the least-developed countries (LDCs) would lose out in terms of economic growth and exports.Stock Market Updates

The intergovernmental agency dealing with world trade governance rang the alarm bell in the wake of its virtual existential crisis with big powers dabbling in tariff and trade wars.

And, if the current structure of multilateral trade cooperation, under the umbrella of the WTO, is replaced by an unstructured network of free-trade agreements (FTAs), LDCs may lose 16.5 per cent of gross domestic product (GDP), which is more than three times the losses projected for high-income economies.

There are currently 44 LDCs on the United Nations (UN) list of which 37, including Bangladesh, have become WTO members to date. Four LDCs are negotiating to join the WTO now.

The World Trade Report 2026, released Tuesday in Geneva, made these projections. The title of the report is 'A critical juncture for the world trading system'.Bangladesh Economic Report

The report was formally unveiled in a session of the WTO Public Forum 2026. WTO Director-General Ngozi Okonjo-Iweala made the formal statement on the report followed by a panel discussion.

The report cautions that inaction to upgrade the trading system could reduce global output by up to 10 per cent.

Earlier, a press conference also took place at the WTO secretariat to present the highlights of the report and reply questions of the media representatives.

WTO Chief Economist Robert Staiger along with report coordinators Roberta Piermartini and Kathryn Lundquist talked at the conference to explain the key features of the report. The press conference was conducted by Ismail Dieng, director of WTO's information and external relations division.

"The report's model simulations compare alternative futures for trade cooperation," said Staiger. The modelling compares three stylised futures.

He said global GDP would fall by 5.1 per cent and global exports by 18.6 per cent in a geo-fragmented world scenario. The fragmented world means the world that splits more sharply along geopolitical lines.

Under this scenario, real GDP is projected to decline by 10.6 per cent in LDCs and 7.3 per cent in middle-income economies, compared with 2.9 per cent in high-income economies.

Again, in an 'FTA world' scenario, global GDP would fall by 6.9 per cent and global exports by 26.9 per cent, added the WTO chief economist.

In the scenario, multilateral cooperation is replaced by a network of free-trade agreements without cooperation between the groupings. There is also an absence of WTO.

LDCs may face as high as 45 per cent of losses in their exports under the FTA world scenario though the losses would be lower at 33 per cent under a geo-fragmented scenario.

Collective LDC exports rose 11 per cent in the last year to US$ 309 billion, after rising by 8.0 per cent in the previous year. The share of LDCs in world merchandise exports also reached 1.21 per cent in 2025, according to WTO statistics.

Bangladesh is the top merchandise exporter amongst the group of LDCs covering around 17 per cent of all LDCs' exports.

There is, however, a reason to be optimistic as per the latest world trade report. It mentions that under the 'enhanced-cooperation scenario', where multilateral trade cooperation is reinforced, global GDP would increase by 2.9 per cent or US$ 3 trillion by 2050 and global exports by 17.9 per cent.

Under the scenario, real GDP in LDCs is projected to increase by 7.7 per cent, compared with 3.1 per cent for middle-income economies and 2.5 per cent for high-income economies. Export gains for the LDCs would be 45 per cent under the scenario.

"The relatively larger gains for LDCs reflect the greater benefits they would derive from tariff-and other trade-cost reductions," adds the report.

The Bangladesh Securities and Exchange Commission (BSEC) has approved the winding-up proposal for the UFS-Pragati Life Unit Fund, a mutual fund.

Bangladesh General Insurance Company (BGIC), trustee of the fund, disclosed the regulatory approval in a statement today (15 September), citing a BSEC letter dated 9 August.

As trustee, BGIC has begun the process of liquidating the fund in accordance with the Bangladesh Securities and Exchange Commission (Mutual Fund) Rules, 2025. Further directives on asset realisation and investor settlements are expected from the trustee in due course.
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The open-ended mutual fund was sponsored by Pragati Life Insurance, which maintained an investment of Tk98 lakh in the vehicle, while management responsibilities rested with Universal Financial Solutions Limited (UFS).

The liquidation follows years of profound regulatory investigations and financial scandals surrounding the asset management company. Stock market regulators first unearthed financial misappropriations by UFS officials, including Managing Director Syed Hamza Alamgir, back in 2022.

The malfeasance widened significantly when the BSEC moved to file cases against top executives for laundering Tk170.69 crore across multiple open-ended portfolios, including the UFS-Bank Asia Unit Fund, UFS-IBBL Shariah Unit Fund, UFS-Padma Life Islamic Unit Fund, and UFS-Popular Life Unit Fund.

In December 2023, the Anti-Corruption Commission (ACC) filed a formal case against 24 individuals, implicating high-ranking UFS personnel, officials from the Investment Corporation of Bangladesh who served as fund trustees, and independent auditors for embezzling Tk311 crore of investors' funds.

According to ACC case filings, Syed Hamza Alamgir and his co-accused executed coordinated forgeries, systematically routing investments through unauthorised bank accounts and business entities to obscure the illicit origins of the money.

Investigators documented widespread regulatory breaches, which included showing Tk59.40 crore in unauthorised investments, generating Tk148 crore in fake fixed deposit receipts, and failing to deposit Tk63.87 crore accrued from share sales back into the fund. Additional siphoning involved millions collected under the guise of management and trustee fees.

The sweeping financial fraud also prompted the securities regulator to penalise audit firm Ahmed Zaker and Co, barring them from the stock market for collaborating in the systematic embezzlement of public savings.

Importing food grains, fertiliser and other goods from the Middle East and Europe will become more expensive as war-risk insurance costs rise for vessels using the Red Sea amid escalating fighting along Yemen’s coast.

The higher insurance premiums and other additional costs will ultimately be passed on to consumers as shipowners and charterers adjust their expenses, said Md Mehrul Karim, chief executive officer of SR Shipping, a maritime concern of KSRM Group with 27 ocean-going vessels.

The US-Israel’s war on Iran, which began on February 28 this year, severely disrupted shipping through the Strait of Hormuz. The disruption has increased the importance of alternative routes, including the Red Sea, for some Middle Eastern oil and fertiliser shipments.

Oil tankers can sail from Saudi ports through the Bab el-Mandeb Strait, then into the Gulf of Aden and across the Arabian Sea to reach Asian markets.

But Houthi forces have recently seized strategic territory around the strait, including Perim Island, raising the risk to shipping through the route. The conflict has already disrupted maritime traffic, while recent Houthi attacks and advances along Yemen’s coast have increased the risk of further disruption to the passage.

Ship operators and owners say the situation is increasing the risk of renewed attacks and higher war-risk insurance premiums for vessels using the Red Sea corridor.

The charterer of one of the seven ships owned by state-owned ship operator Bangladesh Shipping Corporation (BSC) was planning to send the vessel to carry cargo to Yanbu, a major Saudi port on the Red Sea coast.

When BSC sought a quotation on Monday for war-risk insurance coverage from a foreign insurance company, it asked for a much higher premium.

BSC Managing Director (Insurance Cell) Md Ahasan Ul Karim said the company received a quotation seeking more than 1 percent of the value of a ship as a war-risk premium, while the rate earlier ranged between 0.125 percent and 0.75 percent.

War-risk premiums are calculated as a percentage of the total hull and machinery (H&M) value of the vessel for each transit.

Ahasan said a small rise in the premium means hundreds of thousands of dollars in extra costs for a seven-day voyage.

War-risk premiums are determined on a case-by-case basis and issued for a short period of one week or 10 days.

Satyajit Barman, head of business at TK Group, said the Red Sea has been widely used to import food grains, fertiliser and other goods from Europe and the Middle East.

“Amid war risk, the insurance premiums would surely rise, and it would add to the already soaring transport cost,” he said.

The alternative route to Bab Al-Mandeb is to sail around Africa’s Cape of Good Hope, a detour of approximately 7,500 kilometres that would take an additional 20 to 25 days and require higher bunker costs, Barman said.

He added that one of the group’s wheat shipments is expected to arrive from the Baltic region in the coming weeks.

The Bangladesh Financial Intelligence Unit (BFIU) has ordered brokerage houses, merchant banks and other capital market intermediaries to set up dedicated compliance units as part of a broader move to strengthen safeguards against money laundering and terrorist financing.

The directive, issued in a circular yesterday (15 September) to the chief executives of brokerage houses, merchant banks, portfolio managers, securities custodians and asset management companies, requires each institution to establish a Central Compliance Unit (CCU) at its head office, headed by a chief anti-money laundering compliance officer (CAMLCO).

They must also appoint branch anti-money laundering compliance officers (BAMLCOs) and formulate specific policies to prevent money laundering and terrorist financing.

Under the new rules, firms must establish whether any influential person is among the beneficial owners associated with capital market-related institutions.

They must collect complete and accurate customer information from reliable sources, including national identity cards, passports and birth registration certificates, when opening accounts. Electronic know-your-customer (e-KYC) procedures may also be used where necessary.

The institutions must regularly screen customers to identify links with individuals or entities listed under United Nations Security Council resolutions or designated by the Bangladesh government as prohibited persons or entities.

They have also been instructed to monitor transactions regularly and report any complex, inconsistent or apparently illegal transaction in writing to the BAMLCO. The CCU must verify such transactions and, where necessary, report them immediately to the BFIU through the GoAML web-based system.

The circular stressed that such reports must be kept strictly confidential.

The firms must conduct self-assessments every six months using a prescribed checklist and arrange independent verification through their internal audit departments.

The BFIU also directed them to conduct background checks when recruiting staff, provide regular training on anti-money laundering measures, and retain customer and transaction records for at least five years after an account or business relationship is terminated.

Aamra Technologies Ltd's loss nearly doubled in the third quarter of fiscal 2025-26 as a sharp decline in sales and higher finance costs weighed on profitability.

The company reported a loss per share (EPS) of Tk0.65 for January-March 2026, compared with Tk0.33 in the same quarter a year earlier, according to its unaudited financial statements disclosed today (15 September).

For the nine months through March, its loss per share rose to Tk1.84 from Tk0.97 a year earlier.

The company said declining sales adversely affected all major financial indicators, while higher finance expenses further weakened its performance.
Its operating cash flow also deteriorated sharply. Net operating cash flow per share (NOCFPS) turned negative at Tk0.18 during July 2025-March 2026, compared with positive Tk1.33 in the same period a year earlier.

Aamra Technologies attributed the decline mainly to lower cash collection, while higher finance expenses also contributed. It said operating expenditure and supplier payments had improved compared with the previous year.

The weaker earnings and cash generation were reflected in its net asset value (NAV), which fell to Tk16.62 per share as of 31 March 2026 from Tk18.46 as of 30 June 2025.

The company's financial performance had been deteriorating since the beginning of the fiscal year. It reported losses per share of Tk0.52 in the first quarter and Tk0.67 in the second quarter, compared with Tk0.25 and Tk0.39, respectively, a year earlier. Its six-month loss per share stood at Tk1.19, up from Tk0.64.

Meanwhile, the company's share price has shown unusual volatility in recent months.

The stock rose nearly 59% from Tk14.50 on 23 June to Tk23.10 on 9 August on the Dhaka Stock Exchange (DSE), before falling 33% in 24 days to Tk16.30 yesterday.

The unusual trading activity has drawn regulatory attention. The Bangladesh Securities and Exchange Commission (BSEC) has instructed the DSE to investigate the abnormal price movement and trading in the shares.

The probe will examine possible market manipulation, insider trading and the role of brokers in suspicious transactions.

The proposed price hike of bakery products, including biscuits and bread has been put on hold for the time being following a meeting between the government and business leaders yesterday (15 September).

The decision was taken at a meeting held at the Ministry of Commerce with Commerce Minister Khandakar Abdul Muktadir in the chair, according to a press release.

The meeting discussed in detail the recent announcement by businesses to increase prices of bakery products and the costs involved in their production and marketing.

Representatives of relevant business organisations attended the meeting.

Following the discussion, business leaders agreed to keep the decision to increase the prices of biscuits and bread suspended for the time being.

Meanwhile, a committee headed by the chairman of the Bangladesh Trade and Tariff Commission (BTTC) has been formed to review the costs related to the production and marketing of bakery products, prices of raw materials, taxes and duties, and other relevant issues.

The committee has been asked to submit its report within seven days. The government will take further decisions after reviewing the issues concerned based on the committee's report.

The government said at the meeting that it would take initiatives to keep the market of essential food items stable, giving the highest priority to public and consumer interests without causing losses to businesses.

It also said necessary measures would be taken in coordination with all relevant stakeholders to ensure the supply of products at reasonable prices.

Commerce Secretary Md Ataur Rahman Khan and leaders of bakery product businesses were present at the meeting.

Bangladesh is seeking alternative sources of crude oil as rising security risks around the Bab el-Mandeb Strait are making shipments from the Middle East longer and more costly.

The Bangladesh Petroleum Corporation (BPC) has already started discussions with potential suppliers and hopes to import crude from a new source soon, its newly appointed chairman Md Rafiqul Islam said yesterday.

“We have already spoken to representatives of an alternative source about importing crude oil. We are hopeful that we will be able to import crude from an alternative market very soon,” he told reporters at an exchange-of-views meeting at the BPC headquarters in Chattogram.

He said BPC began exploring alternative sources after the Middle East crisis escalated in March.

Following tests of crude from different countries, Eastern Refinery found oil from four countries -- Nigeria, Malaysia, Norway and Algeria -- compatible with its existing refining process.

The refinery tested Nigeria’s Bonny crude, Malaysia’s Malaysian Blend, Norway’s Alvheim Blend and Algerian crude and found that all four could be processed using its existing facilities.

Eastern Refinery submitted its findings to BPC in early April.

The state-owned refinery has the capacity to process around 1.4-1.5 million tonnes of crude oil a year. It currently processes Arabian Light crude from Saudi Arabia and Murban crude from the United Arab Emirates.

These two grades are used to produce 13 types of petroleum products, including diesel, bitumen and petrol.

Rafiqul Islam said there would be no fuel shortage until December, as the country has sufficient stocks and confirmed import orders.

The government has both short- and long-term plans to meet fuel demand, he said.

Meanwhile, BPC has almost finalised an LPG import deal following several rounds of tenders. The consignment is expected to arrive by the end of this month, the chairman said.

The move to diversify crude sources comes as security risks around the Bab el-Mandeb Strait are forcing Bangladesh-bound fuel vessels to take longer and costlier routes.

Bangladesh Shipping Corporation’s crude oil tanker MT Ninemia, carrying nearly 100,000 tonnes of crude, arrived at Chattogram port on Saturday after taking an alternative route through the Suez Canal, the Mediterranean, the Strait of Gibraltar and around the Cape of Good Hope.

The voyage took around 50 days and incurred an additional cost of Tk 66.63 crore.

A local official of the tanker told The Daily Star that the vessel could have reached Chattogram from Yanbu in around 13-15 days had it sailed through the Bab el-Mandeb and the Indian Ocean.

Some 55 percent of knitwear factories have seen international retailers and brands either cancel or reduce work orders amid the ongoing energy crisis, according to a survey by the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA).

The disruption has also caused widespread production losses, shipment delays and higher costs, with nearly two-third of the surveyed factories facing the risk of defaulting on bank loans, according to the survey findings released yesterday.

The BKMEA surveyed 20 percent of its member factories in Narayanganj, Gazipur, Chattogram, Dhaka and other areas between August 21 and September 14, BKMEA Executive President Fazlee Shamim Ehsan confirmed to The Daily Star.

Nearly 78 percent of the surveyed factories reported partial production shutdowns, while 87 percent faced shipment delays. Around 60 percent had to offer discounts to buyers because of the disruptions.

Electricity shortages were the biggest reported disruption, affecting around 90 percent of the factories.

The crisis has also increased production costs. Around 92 percent of the surveyed factories incurred additional costs for alternative fuels, while a similar proportion reported wasted labour and working hours.

Nearly 89 percent said they faced the risk of losing buyers’ confidence, while about 59 percent faced the risk of defaulting on bank loans. Around 7 percent reported completely shutting down production.

“The garment sector is going through a difficult time. Even though many of us are doing well… some factories got shut down. If the government gives us good policy support we can overcome this challenge,” said Fazlee.

90% AFFECTED BY POWER SHORTAGE

The survey showed that electricity shortages were the biggest reported disruption, affecting around 90 percent of the factories. Nearly 75 percent were affected by gas shortages and about 14 percent by other shortages or disruptions.

Among respondents who provided information on gas pressure, supply had fallen by an average of around 78 percent from normal requirements.

The deterioration in electricity supply was also significant. Among respondents who provided information on load-shedding hours, the average daily duration of outages had increased by around 200 percent from the previous period.

The disruptions have had a substantial impact on production. Knitting output fell by an average of 37-38 percent, dyeing production by 51 percent and garment sewing production by 40 percent, according to the survey.

Of the surveyed factories, around 45-46 percent were from Narayanganj, 20 percent from Gazipur, 18 percent from Chattogram, 13 percent from Dhaka and nearly 3 percent from other areas.

The government has raised the commission paid to dealers on urea, triple superphosphate (TSP), diammonium phosphate (DAP) and muriate of potash (MOP) by Tk 1 to Tk 3 per kilogramme, while keeping the prices paid by farmers unchanged.

The Finance Division issued the order following a letter from the Ministry of Agriculture dated September 14. The revised dealer-level prices will take effect from July 1, 2027.

The move comes amid concerns over alleged hoarding and supply control by some dealers and retailers to create an artificial shortage of fertiliser and drive up prices, according to a Special Branch report.

Shahnaz Akhter, agriculture economist for fertiliser management and monitoring at the Ministry of Agriculture, said dealers previously received a commission of Tk 2 per kg, which has now been raised to Tk 3.

Dealers had long been demanding the increase, citing rising loading and unloading costs. Their commission had not been revised since 2009, Shahnaz said.

Under the revised rates, the dealer-level price of urea has been reduced from Tk 25 to Tk 24 per kg, while the farmer-level price remains Tk 27.

The dealer-level price of DAP has been cut from Tk 19 to Tk 18 per kg, with farmers continuing to pay Tk 21. The price of TSP for dealers has been reduced from Tk 25 to Tk 24, while the farmer-level price remains Tk 27. For MOP, the dealer-level price has fallen from Tk 18 to Tk 17, with farmers continuing to pay Tk 20.

Meanwhile, a Special Branch report alleged that collusion among dealers and retailers to create an artificial shortage through hoarding and supply control was causing discontent among farmers.

The report was sent to the Ministry of Home Affairs on September 8 with 15 recommendations to address the problems identified.

The recommendations include ensuring a transparent and competitive process free from political and local influence in appointing dealers, selecting dealers through a digital lottery based on merit, monitoring dealers’ fertiliser stocks and distribution online, and taking swift legal action, including cancellation of dealerships, when irregularities are found.

The government is preparing amendments to the Insurance Act 2010 and drafting a crisis-resolution framework for the insurance sector as it moves to address widespread weaknesses in the industry.

Both measures are expected to be placed before Parliament in the coming days, Finance and Planning Minister Amir Khosru Mahmud Chowdhury told journalists yesterday after visiting the head office of the Insurance Development and Regulatory Authority (IDRA) in Motijheel, Dhaka.

The minister acknowledged that legal battles were delaying reforms, with entities “seeking undue advantage” frequently moving the courts, leaving several companies without regular managing directors.

He said amendments to the insurance law and management restructuring were under way to address the problem.

Asked whether mergers were being considered for the weakest firms, he declined to give a definitive answer.

“Until the resolution framework is finalised, it would be premature to comment,” he noted. “Whatever actions are required for insurance companies will be taken.”

WIDESPREAD IRREGULARITIES UNCOVERED

The insurance sector has fallen into the same mire of corruption, mismanagement and regulatory neglect that once crippled the banking industry, the minister said, noting that 57 percent of life insurance claims remain unpaid.

Khosru said the BNP-led government has uncovered widespread irregularities in the sector since taking charge.

He warned that companies that continue to withhold policyholders’ dues could be forced to liquidate assets to settle their obligations.

“Insurance plays a vital role in our economy, offering security for people’s lives, their homes, and their belongings,” he said. “But we have failed to elevate this sector to where it belongs, and today it offers little good news.”

Drawing a parallel with the country’s banking crisis, the minister said insurers had misappropriated policyholders’ funds through similar patterns of exploitation and unchecked corruption.

“Just as the banking sector was exploited through siphoning and corruption, we found the same mismanagement and lack of regulation when we took charge of the insurance sector,” he said.

Many firms had funnelled clients’ money into land, real estate and government securities instead of maintaining the liquidity needed to pay claims, the minister stated.

“Citizens invest a portion of their income in life insurance to protect themselves in hard times. Yet the majority of them have not received their legitimate payouts,” he said.

The minister also said IDRA had been empowered to take a firmer line, with every company that had failed to settle claims now given a strict deadline.

“Companies that fail to pay will face direct consequences,” he said. “If they face cash shortages, they will be forced to sell their properties and land assets to settle public claims.”

Investigations have also found several insurers operating two parallel record-keeping systems, one genuine and another concealed, which were used to process unauthorised transactions, he said.

“Maintaining dual servers is strictly banned. Following a grace period, inspections will begin, and strict legal action will be taken against violators,” he added.

Seven to eight insurance companies have persistently defied regulatory directives and now face serious scrutiny over their continued operation, the minister said, adding that they must resolve their outstanding issues shortly or face severe action.

He also flagged deep structural weaknesses within IDRA, saying the regulator lacked a permanent, specialised workforce and instead relied on commissioners and officers on temporary deputation who leave after their tenures end.

“Our three-to-five-year plan is to reduce dependence on externally deputed staff and build IDRA’s own trained, professional and permanent workforce, with a clear career path,” he said.

The sector, comprising 82 insurance companies, “many of which are weak”, remains a vital national issue that successive governments have failed to harness to its full economic potential, said Khosru.

“Company restructuring provisions will be embedded in the updated insurance laws. Once IDRA’s enforcement steps are implemented, a positive public image will naturally follow,” he added.

The Bangladesh Bank (BB) has introduced a commodity price risk hedging facility for importers, moving away from its previous requirement for firms to obtain clearance on a case-by-case basis.

A hedging facility allows businesses to lock in prices or use financial contracts to protect themselves against international market volatility, making future import costs predictable.

In a guideline issued yesterday, the BB said banks will be able to offer eligible importers a range of price risk management facilities without requiring case-by-case approval from the regulator.

The move comes at a time when global markets, especially those for energy commodities such as oil, face volatility amid heightened concerns over the spiralling war in the Middle East.

A hedging facility helps businesses lock in prices or use financial contracts to protect against market volatility and make future import costs more predictable

Iran has kept the Strait of Hormuz effectively shut, while the Houthis have taken control of the strategically significant Bab al-Mandeb Strait, a chokepoint for Red Sea maritime traffic.

Since the beginning of the US-Israel war on Iran on February 28 this year, energy prices have jumped.

Brent crude oil averaged $104.4 per barrel in the April-June quarter this year, up 30 percent from $80.5 in the previous quarter, according to World Bank commodity price data. The oil price was $67.8 a barrel in the April-June period of 2025.

Prices of liquefied natural gas and fertilisers, namely urea, triple superphosphate and diammonium phosphate (DAP), for which Bangladesh is highly dependent on imports, surged amid supply uncertainty caused by the war.

Under the new guideline, importers can use internationally recognised hedging instruments, including commodity futures, swaps, commodity index-based forward contracts and options, against actual import liabilities.

Importers of raw materials, intermediate goods, fuel, edible oil, metals, grains and fertiliser, among other essential commodities for domestic consumption, will fall under this facility, a senior official of the BB said on condition of anonymity.

Public sector entities engaged in strategic or large-scale import operations will also be able to take advantage of hedging.

In its directive, the central bank said businesses can hedge up to 100 percent of their actual underlying commodity exposure. Partial coverage and multiple hedge contracts are permitted, provided aggregate values do not exceed import liabilities.

“This will allow importers to protect themselves against abnormal price spikes in international markets and make cost planning easier for businesses,” said the BB official.

The regulator said hedging products must be used strictly for genuine exposures and not for speculative or leveraged trading. It is solely a mechanism to reduce price volatility risk in international markets.

Banks must ensure proper due diligence, record-keeping, risk disclosure and reporting to the BB.

The central bank official said the scope will help businesses, particularly importers, with cost forecasting and business planning. It will thereby improve their competitiveness amid global price volatility.

According to the BB, importers must operate under a board-approved risk management policy and submit written declarations confirming transactions are solely for risk mitigation.

They must also obtain annual certificates from statutory auditors confirming hedge alignment with exposures.

Hedging gains or losses must be accounted for in accordance with International Financial Reporting Standards (IFRS-9), which set out how companies should record and report gains or losses from financial contracts used to protect themselves against price changes, where applicable.

The BB said banks intending to offer these services must obtain its prior approval by submitting board-approved product specifications and standard operating procedures.

The number of bank accounts holding more than Tk1 crore rose by 5,077 in the three months to June, while deposits in those accounts increased by nearly Tk16,000 crore, even as high inflation and prolonged weakness in the financial sector continue to weigh on the economy.

Bangladesh Bank data show that deposits in crore-plus accounts reached Tk8.75 lakh crore at the end of June, up from Tk8.59 lakh crore at the end of March.

Bankers estimate that individuals account for about 30% of these accounts, with institutions making up the larger share. They caution that the rise in crore-plus accounts should not be taken as a direct indication of an increase in the number of wealthy individuals, as institutional accounts dominate the category.

Bank deposits generally rise each year, although the pace varies, making an increase in the number of accounts holding more than Tk1 crore unsurprising, bankers said.

Deposits in these accounts, however, have been growing more slowly than overall bank deposits. Total deposits in the banking sector grew by nearly 11% year-on-year in June, compared with 8.29% growth in crore-plus accounts. The latter figure was 4.52% a year earlier.

The relatively small number of crore-plus accounts also does not appear to reflect the scale of wealth in Bangladesh, bankers said. Many wealthy people prefer to invest in land, houses and other assets rather than keep large sums in banks.

There are also allegations that some wealthy people are syphoning off their earnings abroad, where they may buy houses and cars or maintain lavish lifestyles.

Bankers believe concerns over VAT and taxes, as well as possible harassment, may also discourage wealthy people from keeping large amounts in banks. Some people who do keep substantial deposits divide their money among several accounts instead of maintaining a large balance in a single account.

Political uncertainty and the banking sector's ongoing crisis have also made some wealthy depositors reluctant to keep their money in banks, they said.

A senior official of Meghna Bank, speaking to TBS on condition of anonymity, said the amount held by ultra-rich people in bank accounts remained very small compared with the size of Bangladesh's economy.

Bangladesh's economy is now worth about $475 billion, while wealth inequality remains stark, he said. "But the bank account data do not reflect this inequality," he said.

He said it was difficult to reconcile the country's wealth distribution with the fact that only 120 individual bank accounts held deposits of more than Tk25 crore.

"This could mean that ultra-rich people are not keeping their money in banks, or that they do not feel comfortable keeping large amounts of money in a single bank account," he said.

Crore-plus deposits fluctuate

The number of bank accounts holding more than Tk1 crore stood at about 134,000 at the end of December last year, with total deposits of Tk8.34 lakh crore.

At the end of June 2025, there were about 127,000 such accounts, holding Tk8.8 lakh crore. The figures show that both the number of accounts and the deposits they contain can fluctuate significantly over time.

Bangladesh Bank spokesperson Arief Hossain Khan said the composition of crore-plus accounts was important when interpreting the data. "Therefore, there is no scope to directly equate the increase in the number of crore-plus accounts with an increase in the number of millionaires."

He further said there was no reason to view a rise in personal accounts holding more than Tk1 crore with suspicion if it was consistent with economic growth.

"At the same time, it is necessary to consider how long it is realistically possible for an individual to accumulate Tk1 crore based on their legitimate income, salary and allowances, business income and inflation," he said.

"If the increase in someone's bank balance is not consistent with their income and expenditure, a rapid rise in the amount of money in the account can be a cause for concern," he said.

Arief also said the growing number of crore-plus accounts could point to another economic concern: increasing inequality.

"A larger number of people becoming millionaires may also indicate greater inequality in the distribution of wealth," he said. "The concentration of excessive wealth in the hands of a small number of people is not positive for the economy of any country."

According to Fahmida Khatun, distinguished fellow at Centre for Policy Dialogue (CPD), tax and VAT issues discouraged many people from keeping money in banks.

Some people also try to stay outside the banking system to evade taxes, while others fear keeping even legitimate money in banks because they may face legal complications, the economist said.

To move the economy towards greater prosperity, the culture of fear and distrust surrounding the banking system must be removed, she said.

At the same time, it must be ensured that the misuse of laws does not become a source of harassment or danger for people, Fahmida added.

The widening of the Mideast conflict into Yemen and drone strikes on a critical Saudi oil pipeline highlight an uncomfortable reality: the Iran war is no longer a short-lived energy supply shock, but a prolonged, unpredictable test of global economic endurance.

With crude oil back above $100 a barrel, markets are adjusting to a new and more volatile phase of the conflict, one in which many of the safeguards that cushioned the initial blow nearly seven months ago have disappeared.

US President Donald Trump predicted last week that the conflict would end only after the US midterm elections on November 3.

This is a notable shift in tone from an administration that initially suggested the war would last weeks, not months.

Whether this new forecast proves correct is impossible to know, but recent developments at two of the world’s most important energy arteries suggest it may be very optimistic.

Yemen’s Iran-aligned Houthis have made rapid advances over the past week, tightening their grip on the Bab el-Mandeb Strait at the southern entrance to the Red Sea.

The group announced a naval blockade of the shipping route in July and has reiterated that transit remains safe for all vessels except those belonging to Saudi Arabia.

At the same time, Saudi Arabia’s vital East-West oil pipeline, the kingdom’s main alternative to the Strait of Hormuz, was temporarily shut after a series of drone attacks launched from Iraq, according to Saudi authorities.

The 1,200-kilometre (745-mile) pipeline has been critical for the kingdom since the Strait of Hormuz began to be disrupted following the outbreak of the war in February.

By more than doubling west coast exports via the pipeline during the first five months of the conflict to 4 million to 5 million barrels per day (bpd), equal to roughly 4 percent to 5 percent of global oil supply, Saudi Arabia was able to offset a significant portion of the losses through Hormuz.

Yet those shipments fell to just 2 million bpd in August, the lowest since January, largely because of the Houthi blockade, according to Kpler data.

In turn, output from what was once the world’s largest oil exporter fell to 6 million bpd in August, the lowest level in more than three decades, according to the International Energy Agency (IEA).

Satellite imagery suggests that at least one pumping station was struck, although the full extent of the damage and the timeline for repairs remain unclear.

Saudi Arabia will also likely be able to draw on stored crude to offset any interruption in pipeline flows for several days. But this escalation comes at a dangerous moment.

Disruption to Middle East oil exports, which accounted for around a fifth of global supplies before the war, has sharply eroded global stocks.

Inventories have fallen by 507 million barrels, or roughly 2.8 million bpd, since the conflict began, according to the IEA.

It’s true that more crude has been exiting Hormuz in recent months compared to the early months of the war, largely because more vessels have been using a route along Oman’s coast under US Navy supervision.

Around 5 million bpd of crude oil and refined products have been exported through the strait since June, around a quarter of pre-war levels, according to Kpler, though the real figure may be higher because many ships switch off their navigation systems during transit.

Iranian strikes on over a dozen tankers attempting to cross Hormuz or inside the Gulf last week were a reminder that transits remain risky.

Regardless, this status quo is unsustainable. The Middle East remains the most important energy-producing region in the world.

Halving crude exports from the Gulf may be manageable for a few months, but certainly not indefinitely.

Moreover, refined products like diesel, gasoline and jet fuel have fared considerably worse than crude, with exports from the region remaining nearly 60 percent below pre-war levels, according to IEA estimates.

This has led to acute fuel shortages, particularly of diesel, pushing prices to record levels.

Further disruption to Saudi Arabia’s Red Sea exports would put additional pressure on global inventories.

This latest flare-up could also cause ship traffic through Hormuz to shrink once again.

Tanker operators remain reluctant to enter conflict zones, freight and insurance costs have surged to all-time highs and naval escorts can only partially mitigate the risks of operating in a war zone.

The question now is just how long these market dynamics can hold.

Iran’s leadership views the conflict as existential and has every reason to maximise economic pressure on both the US and the wider global economy ahead of any eventual negotiations.

At the same time, Washington’s increasingly stringent blockade of Iranian oil exports is inflicting severe damage on the Islamic Republic’s economy, raising the costs of extending the confrontation indefinitely.

The Houthi advances and attacks on Saudi infrastructure may temporarily shift momentum back toward Tehran.

Those competing pressures could eventually bring both sides closer to the negotiating table.

Equally, they could encourage each camp to keep fighting in the hope that economic or military gains will strengthen its bargaining position.

For nearly seven months, markets assumed Trump would find an off-ramp once rising gasoline prices and political costs became too painful.

But that outcome depended on Tehran being willing to cooperate.

So far, it has shown little interest in doing so.

US policymakers and traders may have become accustomed to a conflict that appears manageable.

But if the war drags on for many more months, as Trump now suggests it might, the risk is that new disruption would find the market with far fewer shock absorbers.

Share markets slid in Asia on Monday, dragged down by AI stocks, while supply concerns in the West Asia caused oil prices to spike anew, and investors braced for likely interest rate hikes in both the United States and Japan this week.

AI-linked shares slumped after the leaders of OpenAI and Anthropic called for a slowdown in development to manage risks and protect humanity.

On the oil front, Brent climbed almost 3per cent as new strikes on Saudi Arabia and on ships in the Gulf strained nerves, after an attack on a Saudi oil pipeline and an advance by Yemen's Houthis threatened to worsen the wartime disruption to global energy supplies.

A meeting in Oman between Iran and Gulf Arab states, scheduled for Monday to discuss a deal on opening the Strait of Hormuz, was postponed.

With shipping through the strait and the Bab el-Mandeb under threat, analysts fear oil prices could stay elevated for a lengthy period, stoking inflation globally.

An uncomfortably hot US consumer price report on Friday led markets to price in an 86 per cent chance the Federal Reserve will lift rates by 25 basis points on Wednesday, and move again by December. It would be the first hike since mid-2023.

"We now expect the Fed to hike twice this year, in September and December," said Michael Feroli, chief US economist at JPMorgan. "At this stage, failing to back up words with action could put the credibility of the institution at risk."

"Whether these actions represent a limited recalibration or mark the start of a more sustained hiking cycle will depend on incoming data," he added. "We anticipate the former scenario but see risks for the latter."

Brent futures were last up 2.6 per cent at $107.36 a barrel, having gained almost 9 per cent last week, while US crude rose 2.4 per cent to $102.48 a barrel.

Japan's Nikkei fell 0.8 per cent, while South Korea dropped 2.1 per cent after the calls for a slowdown in AI development.

MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.8 per cent, while Chinese blue chips eased 0.4 per cent .

In Europe, EUROSTOXX 50 futures lost 0.2 per cent, while DAX futures fell 0.1 per cent and FTSE futures firmed 0.2 per cent. On Wall Street, S&P 500 futures lost 0.4 per cent, while Nasdaq futures fell 1.1 per cent.

High Yields Test Equity Valuations

Yields on 10-year Treasury notes were stuck at 4.974 per cent, having been sold heavily in recent weeks. Just last week alone, 2-year yields rose a steep 26 basis points, while 10-year yields added 19 basis points as the curve flattened.

Ben Snider, chief US equity strategist at Goldman Sachs, said strong corporate earnings should provide support for Wall Street if borrowing costs rise.

"Equities typically struggle when the Fed starts to hike rates, but we expect the bull market to continue," he added. "The S&P 500 has generated an average three-month return of -2per cent at the start of seven hiking cycles during the last few decades."

"Yet the S&P 500 has generated an average return of +9per cent during the 12 months following the first hike."

Markets also imply around a 76 per cent chance the Bank of Japan will lift its cash rate by a quarter point, to 1.25 per cent , when it meets on Friday. The BOJ is also expected to sound hawkish on further tightening as it struggles to prevent a relapse in the yen after market intervention helped to pull it from a 40-year low.

The dollar edged up to 153.98 yen, having fallen around 4 per cent over the last two weeks and away from a July peak of 163.99. The euro was a fraction lower at $1.1586, having found support at $1.1570 on Friday.

Sterling was flat at $1.3513 with the Bank of England expected to hold its rates at 3.75per cent on Thursday, though the decision could again be split.

In commodity markets, gold was flat at $4,347 an ounce, as higher bond yields diminished the lure of the non-interest-paying metal.

Industries struggling with gas shortages may get some relief from this evening as LNG supplies are expected to rise after a technical fault that disrupted ship-to-ship LNG transfer in July is finally fixed.

The development was revealed at a meeting between Prime Minister Tarique Rahman and business leaders at his Secretariat office yesterday (14 September), where energy supply emerged as one of the key concerns raised by the business community.

LNG supply stood at 764 million cubic feet per day (mmcfd) as of 4pm yesterday. Energy ministry officials said the supply could rise to 950-1,000mmcfd from today.

The meeting also brought another significant development for the country's gas sector.

Chevron has agreed to drill new wells in a joint venture with state-run Bapex, according to businesses who attended the meeting.

The agreement marks a shift from the US energy company's earlier position, when Chevron had denied that it would undertake such joint-venture drilling with Bapex.

Business leaders and government officials also discussed how Bangladesh could make better use of its coal-fired power plants and diversify its energy sources to reduce pressure on the country's increasingly import-dependent energy system.

The business community also raised concerns over the quality of services at Chattogram port. Government officials at the meeting, however, pointed out that the port operates round the clock and urged businesses to make greater use of its 24-hour operating capacity.

Bapex, Chevron joint exploration

Business leaders said the prime minister told them that the formal process for joint gas exploration by Bapex and Chevron would begin soon. Tarique also said the government would soon procure two drilling rigs for Bapex to extract natural gas.

On 13 September, a high-level Chevron delegation led by Javier La Rosa, president of Base Assets and Emerging Countries, met Tarique at the Prime Minister's Office at the Secretariat.

The meeting discussed Chevron's investment in Bangladesh's energy sector, particularly expanding investment in existing and mature gas fields and exploring new ones.

Gas supplies to improve today

The prime minister told business leaders that gas supplies to industries would return by today to their previous level, according to a statement from the prime minister's press wing.

On 21 July, the FSRU operated by Excelerate Energy in Maheshkhali was shut down after a fire damaged its boiler-related system during an LNG ship-to-ship transfer.

The terminal resumed partial operations about 25 days later but stopped supplying gas again on 19 August amid a shortage of LNG cargoes.

Following repairs, the FSRU is now back in operation and can supply up to 600mmcfd of gas. Actual supply, however, will depend on LNG cargo availability and operational conditions.

However, BGMEA President Mahmud Hasan Khan Babu told TBS that the country's two FSRUs would be able to operate at full regasification capacity by Wednesday evening.

It could take another three to four days for the increased supply to reach industries, he said.

Even when both FSRUs were operating at full capacity, industries faced a gas shortage, Babu said. Business leaders have therefore proposed increasing generation from oil-fired power plants and shutting some gas-fired plants to free up gas for industries.

Int'l tender soon for exploration in deep-sea blocks

Bangladesh Chamber of Industries (BCI) President Anwar-ul Alam Chowdhury Parvez said the government plans to invite an international tender soon for energy exploration in deep-sea blocks. It is also reviewing why companies that bought tender documents in the previous round did not participate, he said.

The government also plans to reassess capacity charges and introduce a "no electricity, no capacity charge" policy for power plants whose lease agreements have expired, Parvez said.

The government has decided in principle to extract coal from the Barapukuria mine, he said. Before extraction, authorities will consult residents who need to be relocated.

Another business leader said the government is prioritising foreign companies to operate and manage the country's ports, with Invest Bangladesh working on the initiative.

Tk6,000cr dues released for furnace plants

Business leaders said the government has released Tk6,000 crore of the Tk14,000 crore owed to furnace oil-based power plants. The plants are currently generating 3,000-3,500MW against a combined capacity of 5,637MW across 53 plants.

At the meeting, business leaders proposed running oil- and coal-fired plants while keeping gas-fired plants offline to free up more gas for industries. FBCCI administrator Fazlul said they recommended urgently ensuring full-capacity generation from these plants.

Bankers opposed financing closed factories from a Tk60,000 crore fund set up by Bangladesh Bank, while business leaders backed efforts to reopen viable factories, Fazlul said.

The governor said the fund would balance the interests of banks and businesses, with financing denied to factories if it could put funds at risk or had little prospect of revival.

3rd FSRU by Dec 2027

According to the press wing's statement, Tarique also announced plans to install a third FSRU. Preparations for the terminal have largely been completed, and work will begin soon. The government expects to connect the third terminal by December 2027, he added.

PM's Adviser Mahdi Amin said the government aims to have three FSRUs initially and five eventually, with efforts under way to add the third before 2028.

Businesses satisfied with govt plan

After the meeting, FBCCI administrator Fazlul Hoque said, "The biggest takeaway and relief from today's meeting is the prime minister's assurance that from tomorrow night, we will overcome the fresh gas and power crisis and return to the previous situation."

He said industrial expansion and new investment would create more demand for gas, which the government has a clear roadmap to meet. "Business leaders are satisfied with the plan."

"It was not a case of the government presenting its plans while we simply listened and left. The meeting was scheduled for two hours but ran for nearly three. Business leaders raised various concerns and suggestions, and we left satisfied with the responses," he added.

PM's Adviser Mahdi Amin said the work is under way to drill around 150 gas wells, followed by another 150, he said. Plans also include land-based LNG terminals and expansion of gas transmission and distribution networks.

The government plans to diversify generation through solar power, with greater emphasis on solar energy and domestic resources, Amin said. The goal is to build a diversified power and energy system that ensures uninterrupted supplies to industries, he said.

Insurance companies that fail to settle valid claims must sell their own assets, if necessary, to pay policyholders, Finance and Planning Minister Amir Khosru Mahmud Chowdhury has said.

Around 57% of claims in the insurance sector remain unsettled, he said, warning that insurers cannot retain assets or make new investments while failing to pay policyholders.

"Those who have cash problems will have to sell their property and pay the claims of the people," the minister said while briefing journalists after visiting the office of the Insurance Development and Regulatory Authority (IDRA) in Dhaka today (14 September).

Khosru said people buy insurance to protect their lives, assets and businesses, but failure to settle legitimate claims erodes public confidence in the sector.

"No company will be allowed to purchase land or other assets, invest in different sectors or keep money in government securities while failing to pay what it owes to policyholders," he said.

The minister said insurers must prioritise settling valid claims and ensure adequate financial capacity, good governance and accountability.

Claims must be settled within deadlines

The finance minister said insurers that have failed to settle claims have already been given specific deadlines.

If claims are not settled within the stipulated period, action will be taken against the concerned companies, he said.

"The main purpose of the insurance sector is to ensure people's financial security," he said, adding that clearing long-standing legitimate claims is essential to restoring policyholders' confidence.

During his visit to IDRA, the minister was briefed on the current condition of the insurance sector, ongoing reforms and plans. He praised the regulator's reform initiatives, saying IDRA has an important role in establishing good governance, transparency and accountability.

Insurance laws to be amended

The government will amend insurance laws and relevant regulations to address the sector's longstanding problems, the minister said.

"The current condition of the insurance sector requires us to change the insurance laws and regulations. We have to bring these changes, and we hope to implement them in the days ahead," he said.

Khosru also said changes would be made to the management of insurance companies and indicated that the sector may require restructuring, similar to the banking sector.

However, he said it would be premature to comment on possible mergers before the necessary regulations are prepared.

"It would not be right to say anything in advance until the regulations are ready," the minister said.

Once the necessary laws, regulations and regulatory framework are in place, the authorities will assess what measures are required for individual companies, he said.

"The problems in the insurance sector have gone very deep. Irregularities, disorder and corruption have persisted for a long time. So bringing changes here will not be easy. But we have to undertake this difficult task," Khosru said.

Risk-based supervision, automation

The government is taking steps to strengthen risk-based supervision of insurance companies, the minister said.

He attributed part of the sector's current problems to the lack of proper risk-based supervision over a long period.

Going forward, technology, automation and digital systems will be used to monitor insurers' financial strength, governance and risk management more closely.

The government also plans to bring all insurance companies under automation to reduce irregularities and corruption.

Every insurer must have an automated system and conduct transactions online, the minister said. An interconnected digital system will also be developed among relevant institutions, with Bangladesh Bank and the Bangladesh Securities and Exchange Commission expected to be linked to the system.

He said insurers have also been instructed to discontinue the practice of maintaining a "two-server" system. Action will be taken through inspections if any company continues the practice after the deadline.

IDRA capacity to be strengthened

The minister stressed the need to strengthen IDRA's manpower and institutional capacity.

He said the regulator lacks sufficient skilled professionals and that the government plans to reduce its reliance on officials appointed on deputation. Instead, it aims to develop IDRA's own skilled workforce over the next three to five years.

As insurance is a specialised sector, the regulator needs professionals with relevant academic backgrounds and practical experience, he said. Existing officials will also receive training to improve their expertise.

The minister said the government's goal is to make the insurance sector law-abiding, professional, transparent, technology-driven and customer-focused.

He also praised the ongoing reforms under IDRA Chairman Mir Nadia Nivin and expressed hope that the measures would strengthen transparency and public confidence in the sector while increasing its contribution to the national economy.

Bangladesh aims to add up to 4,000 MW of rooftop solar within one year. The newly announced incentive package, including a time bound Tk 10.50 per unit tariff for eligible surplus rooftop generation, together with the proposed OPEX model and battery storage framework, represents an important further step towards creating that market. The country has a large base of factories, textile and garment facilities, warehouses, commercial buildings, educational institutions, hospitals and public facilities with usable rooftop space. Achieving the target would require an estimated 24 million square meters of usable rooftop space nationwide. Daytime solar generation also aligns well with industrial and commercial electricity demand. Commercial and industrial (C&I) rooftop solar could therefore provide the fastest route towards realising the Government's ambition.

The challenge is converting these incentives and available rooftops into financed, connected and commissioned projects.

India added around 7,100 MW of rooftop solar in 2025 alone, taking cumulative capacity to approximately 23,500 MW by March 2026. Rapid large-scale deployment requires an integrated market architecture covering financing, contracts, utilities, grid connection, developers and execution.

The proposed shift towards third-party financed OPEX models, particularly Renewable Energy Service Company (RESCO) structures, is therefore important. Instead of investing their own capital, factory owners can contract a RESCO to design, finance, build, own and operate the solar plant, while purchasing electricity under a long-term agreement. But delivering 4,000 MW will require more than $2Bn dollars of capital and a much broader enabling framework. Five critical areas need to be addressed.

First, make projects financeable.

Mobilising capital at this scale will require a financing framework capable of attracting domestic and international financial institutions, development finance and foreign investment. Credit enhancement or partial-risk guarantees could help reduce financing costs and enable lenders to finance portfolios of rooftop projects.

The new tariff incentive can improve project economics, but it cannot substitute for access to long-term, competitively priced financing. For C&I projects in particular, the underlying economics will largely depend on electricity consumed directly by factories and businesses, with surplus exports providing an additional revenue stream.

Financing must also be supported by payment security and bankable contracts. If an investor installs a plant under a 15-year agreement, what happens if the factory closes, ownership changes or the electricity purchaser defaults? Standardised rooftop leases, RESCO power purchase agreements, termination provisions, lender step-in rights and payment-security arrangements are therefore essential.

Second, turn distribution utilities into facilitators.

Distribution utilities control critical elements of rooftop deployment, including technical approvals, connections, metering and electricity settlement. The new incentive package makes their role even more important as they will also administer the measurement and settlement of surplus electricity.

Each utility should receive annual and monthly MW targets, supported by measurable service standards for technical approvals, meter installation and commissioning.

Utility-Led Aggregation (ULA) should also be considered. Rather than waiting for customers to originate projects individually, utilities can identify and aggregate suitable rooftops and competitively procure RESCOs to finance and develop them as portfolios. A utility could, for example, aggregate 50–100 MW of commercial, residential or public-sector rooftops into a programme, reducing transaction costs and improving financing. ULA should complement and not replace privately originated RESCO projects.

This creates three parallel engines for deployment: private C&I/RESCO investment, utility-led aggregation and aggregated solarisation of Government buildings.

Third, enable scale and competition.

Local service capability is important, but strong geographic preferences risk fragmenting the market into district-level territories. Large-scale delivery will require experienced developers, strong EPC companies, portfolio financing and economies of scale. National accreditation combined with regional service requirements would be more effective.

Providers should also be classified by capability. The technical and financial requirements for installing a 5 kW household system cannot be the same as those for financing and operating a multi-megawatt industrial portfolio. Separate accreditation categories should therefore cover residential installers, commercial EPC contractors, industrial developers and large RESCO investors.

Fourth, make grid access predictable.

Net-metering and interconnection rules should increasingly be determined by technical grid capacity rather than historical electricity consumption. If a factory has sufficient rooftop space and the local network can safely accommodate the generation, there should be a pathway to install the economically optimal capacity.

The new Tk 10.50 grid-feed tariff should help accelerate deployment, particularly for projects commissioned within the incentive window. However, the February 2027 deadline may be too short to drive meaningful scale, given the time required for project development, financing, approvals, procurement and commissioning. A time-bound incentive should ultimately transition into a transparent long-term pricing methodology that provides investors with durable certainty. Bankability depends not simply on the attractiveness of today's tariff, but on confidence in the rules governing an asset over its operating life.

The inclusion of battery energy storage (BESS) is also welcome. As rooftop penetration increases, storage can play an increasingly important role in grid integration and maximising the value of distributed generation.

Fifth, create one national execution mechanism.

A National Rooftop Solar Mission, supported by a dedicated Programme Management Unit with clear authority and accountability, should coordinate distribution utilities, financial institutions, developers and relevant Government agencies. A single digital platform should cover registration, financing, vendor selection, technical approval, installation, metering, commissioning, settlement and performance monitoring.

The headline target must then be converted into an execution pipeline. Delivering the required commissioned capacity may require a 5,000–6,000 MW development pipeline to account for projects that are delayed, fail to reach financial close or ultimately do not proceed. Monthly milestones should track project identification, approvals, financing, construction and commissioning, with progress transparently reported.

Bangladesh has the rooftop potential and now has an important new incentive framework. But delivering at scale will require substantial private capital. Government's critical role is to establish a clear and predictable policy framework and a bankable investment environment capable of attracting domestic and international financial institutions and foreign investment. The priority now is ensuring that it translates into financed, connected and commissioned megawatts.

The author is a strategic consultant across technology, media and infrastructure industries.

A total of Tk 37.54 crore in insurance claims has been paid to 8,417 policyholders of seven troubled life insurers in two phases under an initiative of the Insurance Development and Regulatory Authority (IDRA).

The authority arranged funds from various sources, including the insurers’ assets and government securities, to settle long-pending claims.

In the first phase, Tk 14.51 crore was paid to 2,549 policyholders of BAIRA Life Insurance, Fareast Islami Life Insurance, Golden Life Insurance, Homeland Life Insurance, Padma Islami Life Insurance, Progressive Life Insurance and Sunflower Life Insurance.

In the second phase, Tk 23.03 crore was paid to 5,868 policyholders of Padma Islami Life Insurance, Homeland Life Insurance, Fareast Islami Life Insurance, Sunflower Life Insurance and Sunlife Insurance.

Noor Mohammed Bhuiyan, chief executive officer of BAIRA Life Insurance, said the company had not yet sold any of its assets, treasury bills or bonds, although the process of selling assets was underway.

The company was earning interest income, which was helping it arrange funds to pay insurance claims, he said.

Around Tk 100 crore in claims remained unpaid, affecting about 30,000 customers, Bhuiyan estimated.

He said it was difficult to predict whether it would take one month, one year or two years to settle all the outstanding claims. The company would continue paying policyholders as funds became available, he added.

He later clarified that the company’s assets and current holdings would be enough to cover about 80 percent of the outstanding claims.

A senior official of Padma Islami Life Insurance said the company was currently using interest income from its capital to pay staff salaries and meet other expenses.

The company owes around Tk 80 crore to policyholders and is working to settle the outstanding claims by recovering and selling its assets, the official said.

The Metro Rail project’s acquisition of 8.5 katha of the company’s land in Malibagh is expected to generate more than Tk 40 crore, he said. The company also owns 40 katha of land in Bashundhara.

The reporter also contacted Md Abdur Rahim Bhuiyan, chief executive officer of Fareast Islami Life Insurance, but he did not respond.

CLAIMS SETTLEMENT TO CONTINUE

Mir Nadia Nivin, chairman of IDRA, said ensuring the timely settlement of legitimate claims was one of the authority’s key priorities.

“Faster and more transparent claim settlements are essential to rebuilding public confidence in the insurance sector. IDRA will take all necessary measures to protect the interests of policyholders,” she said.

She said settling the claims would protect the financial rights of policyholders and help restore confidence in the insurance industry.

The initiative will continue beyond the first two phases, she added. The remaining valid and unpaid claims will be reviewed and verified, and payments will be made gradually after the necessary procedures are completed.

“The initiative will continue until the legitimate rights of policyholders are ensured,” the IDRA chairman said.

Barrister Khan Mohammad Shameem Aziz, an advocate of the Supreme Court, said any amount that can currently be returned to policyholders, even if small, should be considered a positive step.

He said efforts should be made to recover and distribute as much money as possible from the companies’ available assets.

Extraordinary legal measures should also be considered within the existing regulatory framework to protect policyholders who had deposited their money with the companies, he added.

Shameem urged IDRA to review the existing laws and introduce stricter enforcement measures to ensure that policyholders’ claims are paid.
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Bangladesh has issued its first dedicated Air Navigation Order (ANO) on aviation security as the country moves to strengthen its civil aviation rules ahead of an International Civil Aviation Organization (ICAO) audit next month.

The audit is scheduled to begin on October 26, and the dedicated aviation security ANO is one of the major issues auditors will examine, said Air Commodore Md Asif Iqbal, member (security) of the Civil Aviation Authority of Bangladesh (CAAB).

“If I cannot answer that question, I lose marks, and that affects the overall grading,” he told The Daily Star.

The ANO is a legal instrument issued by CAAB under the Civil Aviation Act, 2017, that sets out binding rules and procedures for a specific area of aviation operations. Violations of the order will be treated as offences punishable under the Act.

The security-specific ANO was gazetted on September 3 and came into force the same day. It sets out security responsibilities for airports, aircraft operators, passengers and other stakeholders and gives effect to standards and recommended practices.

The order does not, however, bring major changes to security measures already being followed.

Asif said the National Civil Aviation Security Programme (NCASP) contains detailed security requirements but cannot be made public because it includes sensitive information.

The ANO, he said, is essentially a generalised, publicly available version of the NCASP with classified information removed. “It’s not new.”

Group Captain SM Ragib Samad, executive director of Hazrat Shahjalal International Airport, also said no new passenger screening measures had been introduced following the issuance of the order.

“We are following the existing protocols,” he said.

Screening before entry into airside or security-restricted areas, for instance, was already in practice, he said, but had previously existed through other instructions rather than in the form of a navigation order. “This has basically given it a legal basis through the ANO.”

The order brings together a wide range of requirements concerning passengers, airport staff, baggage, aircraft and cargo.

It classifies disruptive passenger behaviour into four levels, ranging from suspicious or verbally threatening behaviour to an attempted or actual breach of the flight crew compartment.

Under the order, airlines may halt check-in or deny boarding over a passenger’s condition or behaviour. If boarding is denied at the gate, hold baggage should be offloaded, the passenger escorted to the landside area, and their name removed from the flight manifest.

Serious cases may be referred to law enforcement.

The ANO also says liquids, aerosols and gels must be carried in containers not exceeding 100ml each and placed in a transparent, resealable plastic bag with a maximum capacity of 1 litre. Containers larger than 100ml will not be accepted even if only partly filled.

Passengers who refuse security searches or do not allow their cabin and hold baggage to be screened or searched will not be allowed to board.

The order also requires background checks for people implementing security controls, those with unescorted access to security-restricted areas and those with access to sensitive aviation security information. The Special Branch of Bangladesh Police is responsible for conducting the checks.

Asif acknowledged that CAAB still faces shortages of manpower and some security equipment.

“We have some human-resource shortages. Our recruitment process is ongoing,” he said.

He said the Armed Police Battalion had been given responsibility for landside security while recruitment continued. Once CAAB reaches its full staffing strength, it plans to take over those responsibilities itself.

There are also equipment shortages, although procurement is under way, he said.

CAAB recently received 25 explosive trace detectors from China, while dual-view baggage screening machines have also been procured. The authority has recently added four body scanners, Asif said.

He described improvements in manpower, equipment, infrastructure and facilities as a continuous process.

“Even if you reach 100 percent today, tomorrow you may see a new requirement,” he said.

More sophisticated and modern equipment will be available once the third terminal becomes operational, he added.

The publication of the ANO comes as the government moves to replace the Civil Aviation Rules, 1984, which have remained in force for more than four decades.

The new rules are intended to bring the country’s civil aviation regulatory framework in line with international standards and address shortcomings identified in previous assessments.

The upcoming ICAO audit will assess Bangladesh’s compliance with international standards and recommended practices, with the findings affecting the country’s overall audit grading.

For Rasel Hossain, this year’s Aus harvest should have been a source of relief. Instead, the farmer from Uttargram village in Naogaon’s Mohadevpur upazila is counting his losses.

Rasel cultivated Aus on about 11 bighas of land this year, spending Tk 14,000 to Tk 15,000 per bigha. His yield ranged from 12 to 16 maunds per bigha (1 maund = 37.32 kg).

At the current average market price of Tk 725 per maund, his earnings would be around Tk 11,000 per bigha.

“At this rate, I am incurring a loss of Tk 4,000 to Tk 5,000 per bigha,” he said.

Like Rasel, Aus paddy farmers across Bangladesh are facing losses despite a good harvest, with prices falling by Tk 300 to Tk 400 per maund from a year ago while production costs remain high.

Farmers say the low prices are making it difficult to cover their costs, with some selling wet paddy at half price to repay loans taken for fertiliser, pesticides and irrigation.

Rice millers blame weak demand on large stocks built up following excess rice imports during the interim government’s tenure. Ministry of Food data show food grain stocks rose to 23.41 lakh tonnes on September 12, 2026, from 18.67 lakh tonnes a year earlier.

Meanwhile, Directorate General of Food data show that the country imported a total of 12.68 lakh tonnes of rice in fiscal year 2025-26.
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Aus paddy farmers across Bangladesh are facing losses despite a good harvest, with prices falling by Tk 300 to Tk 400 per maund from a year ago while production costs remain high. Photos: Mostafa Shabuj

A visit to local markets in Naogaon’s Mohadevpur upazila found Aus paddy selling for Tk 650 to Tk 750 per maund, compared with Tk 1,000 to Tk 1,200 during the same period last year.

Shamsur Rahman, a seasonal paddy trader in Mohadevpur, said, “Last year, Aus sales started at Tk 1,000 per maund and later climbed to Tk 1,200 to Tk 1,300. This year, I am buying it at only Tk 700 to Tk 750 per maund.”

Explaining the low prices, Shamsur added, “Major mill owners are not purchasing paddy right now, and the government stopped procurement in the last few months. That is driving prices down.”

Nurul Islam, a mill owner visiting Mohadevpur from Bogura’s Sherpur upazila, said a large stock remains unsold in his warehouse.

“Also, a lack of sunlight has made it difficult to dry paddy.”

Acknowledging the high costs and low market prices, Naogaon District Agricultural Marketing Officer Sohag Sarkar said production costs for Aus paddy reached Tk 26 to Tk 27 per kg this year, causing farmers to suffer losses at current selling prices.

“We report the production costs to the government and submit weekly market price updates. However, we cannot fix local prices independently without government intervention,” Sohag added.

Farmer Sukanta Paul of Boalmari upazila in Faridpur district said the production cost of Aus paddy was at least Tk 1,000 per maund, while he sold his paddy for Tk 950 to Tk 1,100 per maund.

He said high fertiliser costs, unreliable electricity and expensive irrigation are among the major challenges he faces as a farmer.

Sirajul Islam, additional director of the Department of Agricultural Extension’s Rangpur regional office, said farmers could not make much profit from Aus cultivation this year as production costs had increased.

Department of Agricultural Extension data show that nationwide Aus cultivation covered 11.59 lakh hectares in FY2021-22, yielding 45 lakh tonnes of paddy.

The area fell to 10.61 lakh hectares in FY2022-23, when production stood at 43.5 lakh tonnes. By FY2024-25, cultivation covered 959,000 hectares, producing 41.91 lakh tonnes.

For FY2025-26, acreage fell further, standing at 945,000 hectares, with a production target of approximately 40 lakh tonnes.

Over the last five years, Aus acreage has declined by 214,000 hectares, reducing production by 500,000 tonnes.

DAE officials said the main Aus varieties in Bangladesh are BRRI dhan-48, BRRI dhan-56, BRRI dhan-65 and BINA dhan-19, with an average yield of 3.15 tonnes per hectare.

Agricultural economist Jahangir Alam Khan suggested that the government’s grain imports should take domestic harvest cycles and market supply into account.

Economist Abdul Bayes, former vice-chancellor of Jahangirnagar University, said increasing Aus paddy production is difficult because of high production costs, limited market demand and low yields.

Bayes stressed that promoting Aus is important for maintaining ecological balance and reducing pressure on groundwater. Excessive Boro cultivation has contributed to groundwater depletion, he said, particularly in regions such as the Barind tract in Rajshahi.

He recommended that the government introduce a procurement price for Aus farmers while increasing investment in research and development.

[Our Rangpur correspondents S Dilip Roy and Jhenaidah correspondents Omar Ali Shohag contributed to this report]