News

Brent crude rises above $100 a barrel as Middle East conflict intensifies
10 Sep 2026;
Source: The Daily Star

Benchmark Brent crude oil futures rose past $100 a barrel on Wednesday, hitting a more than six-week high and breaching the symbolic threshold for the first time since July 24 as intensifying conflict in the Middle East heightened concerns about oil flows from the region.

Brent crude futures were up $2.01, or 2.05 percent, at $99.93 a barrel by 0802 GMT, after earlier touching $100.19, while US West Texas Intermediate crude was up $1.49, or 1.60 percent, at $94.52 a barrel.
Brent crude prices have risen by a quarter since early last month as hopes fade for a permanent resolution to the six-month-old US-Iran conflict.Since the Iran war began on February 28, Brent has surged as high as $126.41 a barrel, a peak reached on April 30.

This week, attacks by Iran-backed Houthis on Saudi energy facilities set oil installations ablaze, threatening a significant expansion of the conflict.

The attacks also threaten crude shipments via the Red Sea, which has been a key alternative route to the crucial Strait of Hormuz, where oil flows have been severely curtailed since the February 28 start of the Iran war.

Market participants appear to be pricing in a more prolonged conflict in the Middle East as well as the risk that the latest escalation in military strikes disrupts oil flows from the Middle East, said Hamad Hussain, senior climate and commodities economist at Capital Economics.

The key risk is whether the recent attacks on oil tankers lead to fewer ship-to-ship transfers taking place in the Gulf of Oman, which have so far played a key role in providing oil to global markets and keeping a lid on prices.

A growing number of banks, including Goldman Sachs, Bank of America and HSBC, have raised their crude price forecasts in recent days.

In the week before a resumption in fighting on August 30, roughly 8 million to 9 million bpd had flowed through Hormuz, double the previous week's volume, according to Rystad Energy's Chief Economist Claudio Galimberti, although more recently it had fallen below 2 million bpd.

I think the market is trying to treat this rise in energy prices as a one-off. It's not. This is structural. It's not going away, and it's part of what I would argue as a security premium. And it's only going to get bigger, said Jeffrey Currie, co-chairman at Abaxx Markets.

While non-OPEC oil producers including the United States, Canada and Guyana have ramped up output, the International Energy Agency said last month it expected global oil supply would fall this year by 4.3 million bpd, or about 4 percent.

Trump hits Canada with import bans, 50% tariffs
10 Sep 2026;
Source: The Daily Star

US President Trump has announced new import bans and 50% tariffs on some Canadian goods as tensions between the two countries intensify. This comes a day after Ottawa's retaliatory tariffs on US products took effect.Canadian dairy products, motorcycles and alcoholic beverages face import bans in the United States, while other goods from across the border will be hit with 50% tariffs, the White House said Tuesday, as President Donald Trump escalates a trade war with Ottawa.
The import ban is scheduled to take effect on September 29.

Trump also ordered a 50% tariff on additional Canadian goods, including mattresses, motorboats and golf carts, starting September 15.The latest moves came after Canada imposed retaliatory tariffs of up to 50% on about $20 billion (€17.2 billion) of US goods on Monday, following Washington's decision last month to levy 50% tariffs on selected Canadian imports.
Why is Trump imposing an import ban?

The White House said the alcohol ban was partly in response to provincial boycotts of US alcohol. Canadian provinces have removed many US wines and spirits from store shelves amid a widespread boycott of American goods, a move Trump called "discriminatory."

"President Trump is doing this to make sure, again, that we keep a level playing field, deter retaliation, and of course protect American production," a senior administration official, speaking on condition of anonymity, told reporters on a call.

Trump also directed the US General Services Administration to exclude Canadian products from its long-term government procurement contracts unless Ottawa restores what he called "full and fair reciprocity" for American farmers and companies.

On Monday, Trump threatened to block Canadian aircraft maker Bombardier from selling planes in the US unless it manufactures them in the United States.
What did Canadian Prime Minister Carney say?

Nearly 68% of Canadian exports headed to the US this year, with about 80% of those shipments entering duty-free under the United States-Mexico-Canada Agreement (USMCA) exemptions, data showed.

However, the latest escalation also cast a shadow on the future of the three-nation trade pact.

Canadian Prime Minister Mark Carney said his country would accelerate efforts to reduce its dependence on the US.

"It's about ensuring that no country can hold us hostage. And that we can live how we want to live," Carney said on Tuesday.

Aside from tariffs, Canadians were also irked by Trump's repeated reference to their country as the 51st US state and an order renaming of Lake Ontario to Lake America.
Trump pushes Canada toward EU

Trump wielding tariffs as a tool to force smaller partners to agree to lower tariffs in return for market access, investment pledges or alignment with US policy has other governments watching to see how Canada's standing up to Trump plays out.

Recent developments have pushed Ottawa to explore a deeper relationship with the European Union.

Next week, Carney is due in Strasbourg, France, and scheduled address the European Parliament.

Former bank owners no longer can return to merged banks
10 Sep 2026;
Source: The Business Standard

Parliament today (9 September) passed the Bank Resolution (Amendment) Act, 2026, abolishing a provision that allowed former directors or owners of merged or merger-bound banks to regain ownership.

Finance Minister Amir Khosru Mahmud Chowdhury moved the amendment bill, which was passed by voice vote. Deputy Speaker Kaisar Kamal presided over the session.

The amendment repeals Section 18A of the Bank Resolution Act, 2026, which had allowed former owners or directors of banks undergoing or listed for merger to regain ownership by paying 7.5% upfront of the money invested by the government or Bangladesh Bank. The remaining 92.5% was to be repaid within two years with 10% simple interest.

The provision was not included in the ordinance issued by the interim government. The current government later added it to the law, drawing widespread criticism from analysts, who said it created an opportunity for those accused of looting banks to buy back ownership in instalments.

Why the provision was scrapped

In a statement explaining the amendment, Khosru said Section 18A was introduced as a market-based alternative to existing resolution tools, allowing banks under resolution to remain operational while being restructured.

He said the provision also aimed to address capital and liquidity shortages, protect depositors and investors, reduce the government's financial exposure and account for the banking sector's prevailing conditions.

However, no individual or institution had applied after the law came into force while fulfilling all the conditions of the provision, he said. Therefore, repealing Section 18A was considered appropriate and necessary.

The minister subsequently moved the bill for passage, and it was approved by voice vote.

Brief disturbance in parliament

The amendment came amid a brief uproar after independent MP Rumeen Farhana criticised the government over rising loan defaults, saying BNP rule was historically marked by corruption and crises.

"The BNP will come to power, and there will be no gas, electricity or fertiliser crisis – that cannot happen. Bangladesh will not become the champion in corruption – that is also not possible," she said.

Government lawmakers shouted from their seats. Rumeen later questioned Section 18A, saying it could benefit lawmakers with loan-default records.

Opposition Leader Shafiqur Rahman criticised the disruption, saying MPs must be allowed to speak, while the Speaker could rule on any remarks deemed unparliamentary or the relevant minister could respond.

26,000 Sammilito Islami Bank customers withdraw Tk1,040cr in 3 days
10 Sep 2026;
Source: The Business Standard

More than 10,000 customers of Sammilito Islami Bank withdrew their funds on the third day of the bank's repayment programme, taking the total number of customers paid to 26,056 over three days.

Yesterday (9 September), 10,697 customers withdrew a total of Tk381 crore.

Since the repayment programme began, 26,056 customers have withdrawn a total of Tk1,040 crore over three days. At the same time, fresh funds have continued to flow into the bank alongside the repayments to customers.

Earlier, among customers who applied to withdraw funds on 1 September, 8,125 withdrew a total of Tk319 crore on 7 September.

On that day, the bank received Tk93 crore in cash and another Tk51 crore through RTGS, BFTN and clearing, bringing total inflows to Tk141 crore. A total of 16,600 transactions were completed through cash and other channels that day.

Among customers who applied on 2 September, 7,234 withdrew a total of Tk340 crore on 8 September.

The bank received Tk90 crore in cash and Tk105 crore through BFTN, RTGS and clearing that day, resulting in total inflows of Tk195 crore. A total of 16,050 transactions were completed.

Overall, 58,745 customers applied between 1 and 3 September to withdraw a total of Tk3,304 crore. Against these applications, 26,056 customers withdrew Tk1,040 crore between 7 and 9 September.

This means around 31.5% of the amount applied for has so far been paid to customers.

The bank authorities said funds continue to flow into the bank alongside customer repayments. Regular transactions through personal accounts are continuing as normal and will remain operational.

The bank also said repayments are being made according to customers' applications. A significant number of customers are withdrawing their funds every day, while the flow of funds into the bank and normal banking operations continue.

Stakeholders push for share buyback, M&A reforms
10 Sep 2026;
Source: The Business Standard

 

Capital market stakeholders have urged the government to allow listed companies to buy back their own shares and streamline merger and acquisition (M&A) processes through amendments to the Companies Act, 1994.

In a letter to the Ministry of Commerce, the DSE Brokers Association of Bangladesh (DBA), the platform of Dhaka Stock Exchange brokerage houses, called for specific provisions on share buybacks and M&A in the proposed third amendment to the law.

The DBA also urged the government to empower the Bangladesh Securities and Exchange Commission (BSEC) to formulate and enforce rules on the issues to ensure effective regulation and investor protection.

Currently, listed companies have no mechanism to repurchase their shares when prices fall sharply during periods of market volatility. The absence of a comprehensive M&A framework also forces companies to seek court approval, resulting in lengthy delays.

"Every country has laws governing share buybacks, but Bangladesh has none. As a result, many cash-rich companies cannot repurchase their shares even when prices fall. Consequently, there is no market support during a downturn," DBA President Saiful Islam told TBS.

He added that if this law is enacted, companies will be able to buy their own shares, providing crucial support during periods of market volatility.

Under current regulations, sponsors and directors can purchase shares when prices fall, but such purchases increase their personal stakes rather than directly benefiting the company, he said.

"Allowing companies to execute share buybacks would deliver direct value to the firm," Saiful said, adding that the DBA had urged the government to include buyback provisions in the Companies Act.

He also called for a dedicated M&A framework to reduce legal complexities and speed up transactions.

"M&As currently require court approvals, which is a time-consuming process. Having dedicated laws or regulations would enable faster mergers and acquisitions," he said.

DBA seeks greater BSEC oversight

In its letter to Commerce Secretary Md Ataur Rahman Khan, the DBA proposed allowing listed companies to conduct share buybacks, with BSEC empowered to formulate rules and oversee their implementation.

It also called for BSEC to be given authority to regulate mergers and acquisitions involving listed companies to reduce legal complexities and protect investors.

The association said empowering the capital market regulator to formulate and implement rules in these areas would ensure more effective oversight and better protection of investors and other stakeholders.

BSEC also seeks buyback provision

Separately, BSEC has called for allowing listed companies to buy back shares in the proposed amendment to the Companies Act.

The regulator also proposed modernising corporate reporting standards, requiring regulatory approval for mergers involving listed companies and extending the validity of financial statements used in prospectuses.

BSEC Executive Director Abul Kalam made the proposals at a views-exchange meeting on the draft Companies Act amendment at the FBCCI Board Room in the capital on Monday.

He said targeted revisions were needed to align the law with modern business practices, noting that several BSEC recommendations submitted on 18 December 2025 had been omitted from the current draft.

Referring to Section 58 of the existing law, which restricts companies from purchasing their own shares, Kalam urged policymakers to allow listed entities to conduct buybacks under specific conditions to improve capital management and protect shareholder interests.

On mergers, acquisitions, demergers and restructuring under Sections 228 and 229, he proposed requiring BSEC involvement when a listed company merges with an unlisted entity to protect general investors, citing similar regulatory arrangements in India.

Bangladesh targets 20% renewable electricity by 2030: PM
10 Sep 2026;
Source: The Business Standard

Bangladesh has set a target to generate at least 20% of its total electricity from renewable sources by 2030 and 30% by 2040 to curb dependence on imported fuels and prioritise renewable energy to meet growing demand, Prime Minister Tarique Rahman told parliament today (9 September).

Under the government's National Renewable Energy Development Strategy for 2026-2030, he said, the country aims to generate 5,500 megawatts of electricity from rooftop solar systems and 4,500MW from ground-mounted solar projects by 2030.

Another 450MW to 550MW is targeted from wind, waste-to-energy, hydropower, floating solar, and agrivoltaics, among other technologies, he added.

The prime minister disclosed the targets in a written response to a question from Meherpur-1 MP Md Tajuddin Khan during the question-answer session of the third session of the 13th parliament.

"Considering the country's growing electricity demand, the government has identified renewable energy as a priority sector to reduce dependence on imported fuel," said the prime minister.

The prime minister also said the government has also introduced incentives to encourage electricity generation from renewable sources, including conditional exemptions from various duties and taxes on solar panels, inverters, batteries and supporting structures used for solar installations.

He said the maximum generation cost for rooftop solar systems with batteries was set at Tk8 per unit on 1 September 2026.

As part of a special incentive package, the government has fixed the purchase price of electricity supplied to the national grid at Tk10.50 per unit, taking into account a 20% profit margin on generation cost and an 11.25% premium.

Under the notification, consumers who install rooftop solar systems by 28 February 2027 in accordance with the Net Metering Guideline 2025 and supply surplus electricity to the national grid after meeting their own consumption needs will receive Tk10.50 per unit for the following three years, until 28 February 2030.

The prime minister also told parliament that the government has formulated several policies and guidelines to expand renewable energy.

These include the "Guideline for Development of Renewable Energy Projects on Land Owned by Government Agencies under the PPP Model, 2026," the "Policy for Increasing Private Participation in Renewable Energy-Based Power Generation, 2025," the "Renewable Energy Policy, 2025," the "Net Metering Guideline, 2025" and the "National Rooftop Solar Programme, 2025."

He said guidelines have also been formulated on business models for waste-to-energy generation, onshore wind development and carbon credit processing.

Govt signs investment promotion deal with Hong Kong
10 Sep 2026;
Source: The Daily Star

Bangladesh and Hong Kong yesterday signed an Investment Promotion and Protection Agreement (IPPA) with an aim to increase and safeguard bilateral investment.

Khandakar Abdul Muktadir, commerce minister, and Algernon Yau, secretary for commerce and economic development of Hong Kong, signed the deal during the opening session of the 11th Belt and Road Summit 2026 held in Hong Kong.

Hong Kong is currently the seventh-largest source of investment in Bangladesh

The agreement is expected to further strengthen the protection of mutual investments and capital of investors from Bangladesh and Hong Kong, according to a statement from the commerce ministry.

At the same time, it is expected to create a more institutionalised investment environment between the two sides and open up new opportunities for economic cooperation.

Hong Kong is currently the seventh-largest source of investment in Bangladesh.

The new agreement is expected to help increase investment from Hong Kong in Bangladesh.

In particular, there is potential for increased investment flows into promising sectors, including the ready-made garment and textile industries.

It may be noted that Bangladesh has attracted approximately $750 million in foreign direct investment from Hong Kong over the past five years. Of this amount, $122 million was received in 2025 alone.

DSE slips as cautious investors remain on sidelines
10 Sep 2026;
Source: The Daily Star

The Dhaka Stock Exchange (DSE) edged lower today (9 September) as cautious investors remained on the sidelines amid uncertainty over the market's direction, while concerns over the country's ongoing gas and electricity crisis continued to weigh on sentiment.

The DSEX, the broad index of the DSE, fell 1 point to settle at 5,538. The blue-chip DS30 index shed 5 points to close at 2,103, while the Shariah-based DSES index gained 1 point to settle at 1,111.

Turnover fell nearly 12% to Tk520 crore from Tk590 crore in the previous session, reflecting subdued investor participation. Of the 387 securities traded, 165 advanced, 150 declined and 72 remained unchanged.

Market participants said uncertainty over the economy and corporate operations has kept investors cautious, particularly as ongoing gas and electricity shortages continue to disrupt industrial production. Concerns over the impact of the utility crisis on corporate earnings have discouraged investors from taking fresh positions.

Many investors are instead waiting for clearer signals on the market's direction and upcoming corporate earnings before increasing their exposure, market participants said.

Recent intervention by the stock exchange in large buy and sell orders has also unsettled some major individual investors, they said. Uncertainty over such interventions has prompted some investors to adopt a wait-and-see approach.

Meanwhile, recent inspections and investigations by the stock exchange at several brokerage houses have further weighed on market sentiment, according to market participants.

The DSE Brokers Association of Bangladesh (DBA) has urged the stock exchange to avoid unnecessary harassment of brokerage houses during such exercises and maintain a balanced approach so that inspections and investigations do not disrupt their normal operations.

EBL Securities, in its daily market commentary, said the capital market remained range-bound, with the indices showing largely flat momentum throughout the session. Large-cap stocks remained under pressure amid subdued participation as investors stayed cautious about the market outlook.

The brokerage also said investors were closely watching for fresh positive catalysts that could support a sustained recovery, while uncertainty over the upcoming earnings season continued to weigh on sentiment.

Despite more stocks advancing than declining, weakness in several large-cap stocks kept the benchmark index in negative territory.

On the sectoral front, Textile stocks accounted for the largest share of turnover at 31.2%, followed by General Insurance at 13% and Banking at 11.9%.

Textile stocks posted the highest sectoral gain, rising 2%, followed by Mutual Funds at 1.6% and Jute at 1.1%. On the other hand, Ceramic stocks declined 1.4%, Life Insurance fell 0.7% and Financial Institutions lost 0.3%.

ICB AMCL Sonali Bank Limited 1st Mutual Fund was the top gainer, rising 10%. Sena Insurance gained 9.98%, while Saiham Textile Mills advanced 9.76%.

SK Trims & Industries was among the biggest losers, falling 5.11%. Metro Spinning declined 3.81%, while Golden Son lost 3.73%.

Envoy Textiles led the turnover chart, followed by Sharp Industries and Saiham Textile Mills.

The Chittagong Stock Exchange (CSE) also ended lower on Wednesday. The CASPI index fell 59.1 points to settle at 14,869, while the CSCX declined 42.9 points to close at 9,088. Turnover at the CSE stood at Tk87.27 crore.

Market observers said the DSE may continue to see cautious trading in the near term unless concerns over utility shortages, corporate earnings and market-related regulatory issues begin to ease.

Swisscontact to help RMG firms raise capital market financing
10 Sep 2026;
Source: The Business Standard

Swisscontact, an international development organisation, has announced plans to offer advisory and technical support to promising ready-made garment (RMG) companies looking to raise long-term financing through Bangladesh's capital market.

Speaking at a workshop today (9 September), Farzana Amin, team leader of Swisscontact's Progress project, said the organisation aims to develop several RMG companies as role models over the coming year, guiding them through the process of entering the capital market.

She was speaking at a workshop titled "Expanding RMG's Financing Horizons: Opportunities in the Capital Market", jointly organised by the Dhaka Stock Exchange (DSE) and Swisscontact at the DSE Training Academy.

"RMG companies need to consider capital market-based financing alongside bank loans," Farzana said, adding that Swisscontact plans to provide end-to-end support to companies interested in accessing the market.

DSE Managing Director Nuzhat Anwar said the capital market should be developed as a major source of long-term financing for private-sector businesses rather than being viewed only as an investment platform.

She stressed the need to expand financing options beyond equities and initial public offerings (IPOs), particularly through the bond market, and called for reviewing existing policy and regulatory constraints, including the use of IPO proceeds and opportunities for refinancing.

BKMEA Deputy Secretary Md Harunur Rashid said industrial companies remain heavily dependent on bank financing, which often limits their ability to raise sufficient funds for business expansion.

He said bringing viable companies to the capital market could help them expand operations, create employment and contribute to economic growth. However, maintaining sustainable business growth after listing would be essential to preserving investor confidence.

BMBA President and LankaBangla Investments CEO Iftekhar Alam discussed the process of raising long-term capital under the new listing regulations.

He explained the eligibility requirements for main-board IPOs and SME-board qualified investor offers (QIOs), company valuation, listing procedures, use of raised funds, subscription, share allocation and lock-in requirements.

DSE General Manager of the Market Development Division Saiyid Mahmud Zubayer presented an overview of the country's capital market, DSE's market infrastructure and technological capabilities, and the available equity and debt financing options.

He highlighted IPOs, QIOs, the SME platform, the bond market and direct listing as potential avenues for companies seeking funds for expansion. He also discussed how capital market participation can strengthen corporate governance and enhance a company's credibility.

DSE Chief Technology Officer Md Asifur Rahman said the exchange is providing advisory services and one-to-one counselling to entrepreneurs interested in entering the capital market.

Swisscontact Inspire project Team Leader Bidowra Tahmin Khan said the organisation would work with the DSE, BSEC and other stakeholders to provide advisory and technical assistance to promising RMG and textile companies.

She said Swisscontact has been working with the RMG and textile sectors for around two decades on compliance, skills development and green transition, and plans to use that experience to support companies seeking capital market financing. Swisscontact Bangladesh Deputy Country Director Syeda Israt Fatima and senior officials from the DSE, along with representatives of leading BKMEA member companies, attended the workshop.

China is now a strategic cooperative partner
10 Sep 2026;
Source: The Daily Star

The bilateral relations between Bangladesh and China have been elevated to a Comprehensive Strategic Cooperative Partnership (CSCP) because of expanding two-way trade and strategic reasons, Commerce Minister Khandakar Abdul Muktadir said yesterday.

Seventeen important agreements have been signed recently between the two countries, under which various projects -- including the modernisation of Mongla Port and the establishment of a Chinese economic and industrial zone in Chattogram -- are being implemented. Muktadir made these remarks as a panellist at a policy dialogue held during the 11th Belt and Road Initiative (BRI) Summit in Hong Kong.

He also said that Invest Bangladesh has taken an initiative to establish the country’s first overseas investment office in China as part of efforts to strengthen investment ties with the country.

Describing Hong Kong as one of Bangladesh’s important commercial gateways, the minister said Bangladesh must leverage Hong Kong’s role as a bridge between mainland China and global markets.

He said the global economy of the future can be strengthened not through isolation, but through mutual cooperation, sustainable development, and an open trading system.

Speaking at the session on “Building Resilient Trade and Investment Frameworks in a Diverse Global Landscape,” the minister also said that for developing countries like Bangladesh, economic resilience is not merely about responding to crises.

Rather, it means creating a system capable of adapting to global changes while generating employment and new opportunities, according to a statement from the commerce ministry.

Referring to the preparations for graduation from the least developed country (LDC) category, Muktadir said Bangladesh is now moving towards growth driven by productivity, innovation, and competitiveness.

Four areas are being given particular priority to achieve this goal. These include export diversification, development of connectivity infrastructure, attracting productive investment, and a green economic transition.

Alongside ready-made garments, Bangladesh is working to integrate pharmaceuticals, leather and leather goods, agro-processing, light engineering, information technology, and man-made fibre industries into global value chains.

The minister said Bangladesh welcomes investment that can facilitate technology transfer, skills development, and the integration of local industries into international supply systems.

Under the BRI framework, he noted, there are significant opportunities for partnerships in economic zones, logistics, and renewable energy.

He also emphasised expanding digital trade, cross-border e-commerce, and digital payment systems to connect small and medium-sized enterprises, women entrepreneurs, and local businesses with global markets.

Calling for future trade and investment frameworks to be made more environmentally sustainable in response to climate change, he said low-carbon production, sustainable logistics, and green infrastructure would form the foundation of the future economy.

In his speech, the minister emphasised export diversification, investment in productive sectors, and stronger sustainable partnerships to address global challenges such as geopolitical instability, supply-chain disruptions, and climate change.

Bangladesh has also highlighted the need to expand regional and global connectivity while building a green and inclusive economic framework to maintain competitiveness in a changing global economy.

Why Japanese companies stay in Bangladesh
10 Sep 2026;
Source: The Daily Star

Since the political changeover in August 2024, Bangladesh has experienced significant political and social changes. Under the interim government, uncertainty remained over policy direction and the predictability of administrative procedures. It was certainly not an easy business environment for foreign companies.

Yet Japanese companies continued their operations. More importantly, some even announced new investments or business expansions during this period. One reason may be that Japanese companies do not assess Bangladesh solely on the basis of short-term political developments. They are looking beyond the immediate political risks: the country’s large population, rising income levels, competitiveness as a production base and the expansion of its domestic market. In other words, they are looking at what Bangladesh could become over the next 10 or 20 years.
Bangladesh is gradually becoming more than a low-cost production base for Japanese companies. It is also a country where they see potential for future sales and business growth.

The 2025 JETRO Survey on Business Conditions of Japanese Companies Overseas provides some evidence. Of the Japanese companies surveyed in Bangladesh, 50 percent expected to be profitable in fiscal 2025, while 56.9 percent said they planned to expand their business over the next one to two years. At the same time, 94.4 percent identified political and social instability as an investment risk. These figures suggest an interesting contrast: Japanese companies are clearly aware of the risks, yet many continue to see opportunities for expansion.

The reason is not simply low labour costs. Bangladesh offers Japanese companies an established business base today, while its large population, rising incomes and expanding domestic demand offer the possibility of a much larger market tomorrow. In this sense, Bangladesh is gradually becoming more than a low-cost production base for Japanese companies. It is also a country where they see potential for future sales and business growth.

From this long-term investment perspective, the establishment of the Invest Bangladesh authority is an important development. On August 20, the government brought the Invest Bangladesh Act, 2026 into effect through a gazette notification, merging BIDA, BEZA and the PPP Authority into a new organisation. This is an important step towards consolidating investment promotion functions.

However, this merger does not mean that Bangladesh’s investment administration has become a unified system. Institutions such as BEPZA and Bangladesh Hi-Tech Park Authority (BHTPA), which also play important roles for investors, remain outside the new organisation. Moreover, the issues faced by investors do not end with investment promotion agencies. They may need to coordinate with various government agencies on matters ranging from work permits to tax, customs and foreign-exchange regulations.

This is why I believe the potential role of Invest Bangladesh goes beyond managing the three organisations brought together under the new authority. It could become a coordinating “control tower” that addresses cross-government issues from the investor’s perspective.

For example, information submitted by an investor could be shared across relevant agencies. Digital procedures could also create clear records of applications and decisions, reducing room for different interpretations by individual officials. The real objective should not simply be to create “one organisation”, but to create “one administration from the investor’s perspective”.

Japanese companies have continued to see Bangladesh’s long-term growth potential. If the new organisation can play this cross-government coordinating role and improve the investment experience for companies, it could further strengthen that long-term confidence.

The Invest Bangladesh authority has the potential to make Bangladesh’s investment administration simpler, more transparent and more predictable from the perspective of businesses. That is a development worth watching closely.

Women's representation rises across bank positions, but remains low at senior levels
10 Sep 2026;
Source: The Business Standard

The number of women working in Bangladesh's banking sector continues to rise, but their representation in senior positions remains comparatively low, according to a Bangladesh Bank report.

At the end of January-June this year, the number of female officers and employees at 61 scheduled banks stood at 35,971, up 910, or 2.60%, from the previous six-month period.

The findings were published in the central bank's semi-annual report on gender equality by its Sustainable Finance Department.

According to the report, the 61 scheduled banks had a total workforce of 2,17,818 employees at the end of January-June 2026. Women accounted for 35,971 of them, or 16.51% of the total workforce.

In July-December 2025, the number of female employees in the banks was 35,061, meaning their number increased by 910 in six months.

Among different categories of banks, private commercial banks employed 23,524 women, accounting for 16.12% of their 145,898-strong workforce.

State-owned commercial banks employed 9,471 women, representing 17.06% of their total workforce – a higher proportion than that of private commercial banks.

Foreign commercial banks had a comparatively smaller number of female employees, with 931 women working across nine banks. However, they had the highest proportion of women in their workforce, at 24.81%.

Women's representation remains low at senior levels

Despite the increase in the overall number of female employees, women's representation in senior positions remains relatively low, the report found.

During January-June, women accounted for 13.14% of bank board members. Their representation was 16.99% at entry-level positions and 16.37% at mid-level positions.

In contrast, women accounted for only 10.55% of employees at senior-level positions.

This means women's representation remains lower at senior levels than at entry and mid-level positions.

Age-wise, the data showed stronger participation among younger female employees. Women accounted for 21.10% of employees aged below 30, compared with 11% among employees aged above 50.

The report also showed that the employee turnover rate among female workers in the banking sector stood at 13.87% during January-June.

Banks take initiatives to support women employees

Banks have taken various initiatives to improve the working environment for female employees.

According to the report, all scheduled banks provide six months of maternity leave for female officers and employees.

All banks also have policies on preventing sexual harassment and raising awareness about the issue.

Of the 61 scheduled banks, 37 have established childcare facilities, either independently or jointly, for the children of female employees.

In addition, 36 banks have their own transport facilities to help female employees commute after designated working hours.

During January-June 2026, 49 scheduled banks organised awareness training on gender equality.

The Bangladesh Bank report said that although women's participation in the banking sector is increasing, there is still scope to improve their representation in senior positions.

The central bank is encouraging banks to take various initiatives to create a supportive working environment for female employees and ensure greater gender equality in the banking sector.

Oil prices fly blind as the Hormuz enigma deepens
10 Sep 2026;
Source: The Daily Star

How much oil is flowing through the Strait of Hormuz? Traders, energy executives and government officials are all trying to figure it out – but are reaching wildly different conclusions. It is, however, increasingly clear that this mystery has introduced a residual risk premium into crude prices that could remain deeply entrenched for months.

Benchmark Brent crude futures breached $100 a barrel on Wednesday for the first time since July 24 as ​escalating attacks in the Middle East, including on tankers, stifled hopes of a normalisation of oil shipping in the region.The narrow waterway between Iran and Oman has become the focal point of the conflict amid competing US and Iranian blockades.

Before the war erupted in February, flows through the world’s most important energy artery were largely taken for granted. While never perfect, flow estimates were remarkably reliable, even after accounting for Iran’s longstanding practice of switching off tanker transponders to evade Western sanctions.

For years, the consensus barely changed: Hormuz transited roughly 20 million barrels per day, equivalent to about one-fifth of global oil consumption. That certainty has disappeared.

Today, ​armies of analysts, along with increasingly sophisticated AI systems, are sifting through vast streams of information to determine how much oil is actually moving through the strait. Satellite imagery is cross-checked against port records, tanker drafts, loading ​schedules, refinery receipts and vessel-tracking data to reconstruct movements previously monitored in near real time.

The challenge has become exponentially harder because of the surge in “dark crossings,” when tankers switch ​off navigation and identification systems while approaching, transiting or leaving the strait. A US request for commercial satellite firms to delay imagery from the Gulf has further clouded the picture.

As a result, nobody can say with confidence exactly how much ​oil is flowing through Hormuz on any given day.

There are growing signs that Iran’s grip on the strait may be weakening. Months of tit-for-tat military exchanges have degraded Tehran’s radar systems and strike capabilities near Hormuz. US demining operations and a ​growing US-protected shipping corridor along Oman’s coast have allowed more vessels to enter and leave the Gulf.

The multi-billion-dollar question is how many vessels?

This uncertainty was highlighted by conflicting estimates from the Trump administration.

US Energy Secretary Chris Wright said on September 2 that more than 17 million barrels transited the strait on August 31 under US Navy supervision, a figure that would represent the highest level recorded since the war began. The claim left traders and analysts scratching their heads.

More than a week later, ship-tracking firm Kpler, which uses satellite imagery, transponder ​signals, port logs and commercial shipping intelligence, suggested that perhaps only 6 million barrels crossed Hormuz that day.

Kpler estimates crude flows through Hormuz in August averaged only around 4.3 million barrels per day, rising to nearly 5 million bpd ​during the first six days of September. It also notes that transits appear to have fallen sharply in recent days.

One possible explanation is that the administration is including exports from the United Arab Emirates’ Fujairah terminal, located outside the strait and supplied by Abu Dhabi’s ​bypass pipeline. Moreover, ​a single day’s observation says little about broader trends.

Wright admitted as much, saying on Sunday that flows through Hormuz were averaging more than 9 million bpd, though he did not specify the period.

That would be in line with Kpler’s estimates when Hormuz flows are combined with exports moving through alternative routes that bypass the strait.

To complicate matters further, tankers can remain dark for days or even weeks before and after crossing the strait, so actual volumes could ultimately prove to be significantly higher than current estimates suggest.

The new Hormuz may therefore be carrying half its pre-war volumes, or it may be carrying considerably more. That caveat illustrates the broader problem.

For perhaps the first time in modern oil market history, ​participants cannot accurately measure flows through the world’s most important ​energy corridor. The consequences extend far beyond academic debates over ​tanker movements.
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Oil prices are supposed to reflect fundamentals. Yet it is difficult to assess fundamentals when one of the world’s largest supply arteries has effectively disappeared from view. In effect, uncertainty itself has become a fundamental.

The result is a persistent risk premium that is likely to remain embedded in prices for months. Clarity is likely to improve only with a resolution ​to the US-Iran stand-off. But whether that resolution is closer or farther away remains an open question.

Iran’s economy has come under severe strain after months of war, especially ​since Washington imposed a blockade on ​Iranian exports on July 14 and ratcheted up sanctions. The Trump administration likely aims to use economic pain to bring Tehran back to the negotiating table. But Iran’s clerical leadership continues to demand sanctions relief and maintains hopes of eventually collecting fees from ships crossing the strait.

Moreover, Iran retains the capacity to disrupt maritime traffic. Iran-linked forces have targeted 27 vessels since early July, according to the United Kingdom Maritime Trade Operations (UKMTO). The Islamic Republic has also vowed to announce a new restricted zone in the ​Gulf in coming ​days.

In other words, more uncertainty.

Philosophers have long asked: If a tree falls in a forest and nobody hears it, does it make a ​sound? In today’s oil market, the equivalent question is whether a tanker crossing the Strait of Hormuz can influence global supplies if nobody can see it. The answer is far from obvious.

Govt injecting $81.68m into the bank's overseas operation
10 Sep 2026;
Source: The Financial Express

A fresh US$81.68-million capital is going to be funneled into Janata Bank's UAE operations to avert wind-down of its business following persistent capital-shortfall-triggered regulatory restrictions on its reserve accounts.

To this effect, the Financial Institutions Division (FID) Tuesday sent to the Finance Division a letter seeking approval for the government bailout for the state-owned bank's overseas outfit, sources said Wednesday.

Earlier, the UAE central bank had threatened to freeze Janata Bank's UAE operations and force a three-year wind-down of the business over its persistent capital shortfall, sources said.

The fund will be sourced from Janata Bank's head office in Dhaka and routed through its local office to the United Arab Emirates.

Contacted, an official of the Finance Division said, "We are working on the issue and necessary approval would be issued shortly."

Janata Bank's UAE operations have been running for 52 years since 1974 and currently it operates four branches and a chief executive office, making it the second-largest foreign bank in the UAE by branch count.

The bank serves roughly 70,000 depositors, 3,800 loan and advance customers, and close to one million remittance senders.

In 2021, the Central Bank of the UAE (CBUAE) raised the minimum capital requirement for foreign banks from AED 40 million to AED 400 million.

Janata Bank's UAE unit had paid-up capital of only AED 100 million, plus AED 83 million in retained earnings, well short of the new threshold, even though it had repatriated no profits in the intervening time while trying to build up capital.

Citing the persistent shortfall, the CBUAE imposed restrictions on debit transactions from Janata Bank's reserve accounts held at the central bank, effective July 8, 2026.

A week later, on July 15, the UAE regulator formally asked Janata Bank to begin a rollback to be completed within three years and appoint an administrator.

The CBUAE warned that failure to appoint an administrator and start wind-down proceedings by September 14, 2026 would lead to a permanent freeze of the bank's reserve accounts and the appointment of an administrator by the authority.

Bangladesh's ambassador to the UAE met the CBUAE assistant governor on August 18 to seek a resolution.

The ambassador recommended that the Finance Ministry pledge an AED 2.0-billion capital injection and that Janata Bank immediately meet the AED 100-million minimum capital requirements per branch.

The UAE operations' CEO informed the authorities on September 1 that the CBUAE would begin the winding-down process on September 8 and review progress on the administrator appointment and other compliance measures.

In a September-6th letter to the FID, Janata Bank Chairman Md Fazlur Rahman said the board, at its 900th meeting on September 5, 2026, had decided that the UAE operation was profitable and "should not be closed in national interest".

An official of Janata Bank who deals with the issue has said, "We hope to send capital to the UAE unit of state-owned Janata Bank by the deadline set by the CBUAE."

The closure of Janata Bank's UAE operations could disrupt banking services for around 70,000 depositors, one million remittance customers and 3,800 borrowers, while putting nearly Tk 9.0 billion in outstanding loans at risk of turning non-performing, according to an assessment by the bank's board.

The board's assessment, cited in a letter, warns that shutting down the UAE operations would also disrupt a major formal channel for remittances to Bangladesh.

Janata Bank currently channels an estimated Tk 80 billion to Tk 100 billion in remittances annually from the UAE, the assessment said.

"A closure could disrupt formal remittance flows and affect sales of the government's Wage Earners' Development Bond and dollar bonds.

"The UAE accounts for around 70 per cent of current CIP (remittance) recognitions," the assessment reads.

The board has warned that closure could damage the bank's international reputation, too, jeopardise correspondent banking relationships (RMA) and affect head-office trade-finance operations.

The three-year winding-down would also incur costs for asset disposal, customer liabilities, staff separation, contract termination and IT relocation, while the head office could have to cover administrator fees, salaries and legal expenses.

It could also affect the government's Probashi Card programme, for which Janata Bank has first-phase distribution responsibility in the Middle East.

Against this backdrop, the board approved transferring US$81.68 million (AED 300 million) from head-office assets into the UAE operations as capital, subject to government and central-bank approval.

It also approved a commitment letter to the CBUAE and a request to the Finance Ministry for the full AED 2.0-billion capital injection recommended by the Bangladesh ambassador.

The board further approved a request for ministry assistance to meet the capital shortfall, with all correspondence cleared for dispatch under the chairman's signature.

The FID's approval on Tuesday cleared the immediate AED300-million tranche, which officials say would meet the CBUAE's per-branch minimum capital requirement and avert the September-14th deadline for initiating formal rollback.

BSEC tightens stock investment curbs on market insiders, opens more options
10 Sep 2026;
Source: The Financial Express

The securities regulator has widened the scope of investment for directors, officers and employees of stock exchanges and market operators while retaining restrictions on their direct investment in stocks.

According to a new directive issued by the securities regulator, the officials concerned will be allowed to invest in non-convertible bonds, government securities, open-end mutual funds, exchange-traded funds (ETFs) and real estate investment trust (REIT) funds. ETFs and REIT funds, however, are yet to be introduced in Bangladesh's capital market.

Previously, the investment scope was limited to open-ended mutual funds for the targeted group.


The directive covers directors, officers and employees of stock exchanges, Central Depository Bangladesh Ltd. (CDBL), Central Counterparty Bangladesh Ltd. (CCBL), Bangladesh Institute of Capital Market (BICM) and Bangladesh Academy for Securities Markets (BASM).Online newspaper subscription

BICM and BASM have also been brought under the restriction in the latest directive, extending its application to organisations involved in capital market education, training and professional development.

The commission imposed restrictions on their direct investment in shares to prevent conflicts of interest and address concerns over the possible misuse of market-sensitive information by employees of capital market institutions, said Md Abul Kalam, executive director and spokesperson of the Bangladesh Securities and Exchange Commission (BSEC).

The restriction is particularly relevant and important for employees who have access to sensitive information relating to trading, clearing, settlement, depository operations, corporate actions or other market activities before such information becomes widely available.


The move is part of a broader effort to strengthen professional conduct and market integrity rather than merely restrict employees' personal investments, said Mr Kalam.

"The change therefore combines tighter restrictions on direct investment in listed securities with a wider scope for investment in fixed-income and diversified products," he said, adding that the restriction applies to BSEC officers and employees as well, with the directive having come into effect last week.Bangladesh economic report

The broader coverage indicates that the regulator is seeking to establish a common standard for individuals working across the capital market ecosystem, market operators said.

A DSE official, requesting anonymity, said the officials concerned and their dependents — sons, daughters, fathers and mothers — were previously not even allowed to open beneficiary owner's (BO) accounts.

Under the latest directive, however, they will be allowed to open BO accounts solely for investing in non-convertible bonds, government securities, open-ended mutual funds, ETFs and REIT funds.

The exemption of diversified investment vehicles reflects an attempt to strike a balance between preserving personal investment rights and securing market integrity, said Akramul Alam, head of research at Royal Capital.


The inclusion of BSEC officials means that the regulator itself is also subject to the investment restrictions.

"Even when there is no actual misuse of information, the public perception that an employee can benefit from privileged access to information may undermine confidence," said Mr Alam.

The BSEC's latest order is expected to reduce the scope for potential conflicts between institutional responsibilities and personal trading interests, he added.


Enforcement key to effectiveness

Market participants said the effectiveness of the directive would ultimately depend on proper monitoring and enforcement.

"Restrictions on paper are not enough. The regulator needs an effective monitoring and disclosure mechanism to ensure compliance," said a stockbroker, preferring anonymity.

Effective enforcement would require coordination among the BSEC, stock exchanges, brokerage firms, depository and other relevant market institutions.


The BSEC spokesperson said the commission would monitor the investment accounts of the individuals concerned and ensure that prohibited transactions do not take place.

"If the regulator finds any investment beyond the approved instruments, it will take action in accordance with the securities rules," he said.

Govt says fertiliser stocks adequate, opposition blames mismanagement
10 Sep 2026;
Source: The Business Standard

 

The country has no fertiliser shortage and will have a surplus of 1.584 million tonnes against demand during the upcoming Rabi and Boro seasons, State Minister for Local Government Mir Shahe Alam told parliament yesterday (9 September).

Demand for urea, TSP, DAP and MOP from October to February 2027 is projected at 3.587 million tonnes, against a prepared supply of 5.171 million tonnes. "So, there is no reason for farmers to panic over fertiliser," he said.

Opposition lawmakers, however, disputed the assessment, saying adequate stocks on paper are not reaching farmers when needed. They blamed dealer irregularities, artificial shortages, black-market sales and poor management.
Govt cites supply, production

State Minister for Commerce Md Shariful Islam said the government is maintaining production, imports and buffer stocks to ensure uninterrupted supplies.

In the current fiscal year, 2,08,799 tonnes of urea have been produced and 1,17,899 tonnes imported, while 5,30,925 tonnes have been distributed and 409,000 tonnes remain in stock, he said.

Production at several factories has been suspended due to gas and raw-material shortages. However, the Ghorashal-Palash and Shahjalal Fertiliser plants are operating normally, while Chattogram Urea Fertiliser is expected to resume production soon.
'Fertiliser exists, proper management does not': Jamaat MP

Jamaat MP Shafiqul Islam said the main problem was poor management, not stocks. Citing media reports, he said farmers are struggling to buy fertiliser at fair prices. In Joypurhat, dealers are allegedly charging Tk300-Tk400 more per bag, with some farmers paying Tk500-Tk800 above the official price.

He also alleged that Tk10-Tk12 lakh is being traded for dealer appointments, with a syndicate bypassing lists prepared by local administrations or elected representatives.

Citing illegal stockpiles seized in Kurigram and an incident in which farmers broke into a warehouse, Shafiqul said field-level supplies were far from normal. He warned that failure to ensure supplies before Boro could revive a situation similar to the BNP's previous government.

Jamaat MP Md Mahbubul Alam said farmers in his constituency are buying fertiliser on the black market despite adequate government stocks.

He criticised the removal of MPs from fertiliser and seed monitoring committees. MPs had served on district- and upazila-level committees since 2009, but a 27 August circular removed all 349 MPs, he said.

Mahbubul proposed replacing the dealer system with an open market, creating union-based digital demand maps, distributing fertiliser through farmers' digital IDs using OTP or QR codes, and digitally tracking supplies.
Govt blames dealer gaps

Mir Shahe Alam said around 3,759 dealers appointed under the previous government were absconding, leaving dealer points vacant. The government plans to appoint around 4,918 new dealers.

Between 29 August and 6 September, 204 mobile courts took action in 22 fertiliser-related incidents, imposing Tk35 lakh in fines. He said MPs need not be on monitoring committees, as dealers should distribute fertiliser under existing rules.

State Minister for Fisheries and Livestock Sultan Salahuddin Tuku said there is no shortage and dismissed allegations of corruption over new dealership applications.

Diversify funding, reduce bank reliance: Speakers tell RMG firms
10 Sep 2026;
Source: The Financial Express

Good and promising RMG companies should tap the capital market for long-term financing to diversify their funding sources and reduce heavy reliance on bank loans, speakers at a workshop said on Wednesday.

They said greater access to equity and debt financing could help Bangladesh’s ready-made garment (RMG) companies expand business, create jobs and contribute to economic growth.

The speakers made the remarks at a workshop titled “Expanding RMG’s Financing Horizons: Opportunities in the Capital Market,” jointly organised by the Dhaka Stock Exchange (DSE) and Swisscontact at the DSE Training Academy.


Senior officials of leading member companies of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), top officials of the DSE and merchant bankers attended the event.Subscribe To News

Speaking at the opening of the workshop, DSE Managing Director Nuzhat Anwar said the capital market was not merely a platform for investment but an important source of long-term financing for economic growth and private-sector expansion.

“The capital market should not be limited to IPOs or the equity market; rather, it should expand opportunities for various forms of financing, including bonds,” she said.

Although discussions on developing an effective bond market had continued for years, recent initiatives by the current commission and relevant stakeholders created fresh opportunities to advance the sector, she said.

She called for reviewing policy and regulatory constraints to make capital-market financing more effective, including the use of IPO proceeds and refinancing opportunities.

“The main goal of such discussions is to identify the existing limitations of the capital market based on the needs and practical experiences of entrepreneurs and take effective initiatives to resolve them,” added Ms Anwar.

BKMEA Deputy Secretary Md Harunur Rashid said industrial enterprises remained largely dependent on banks, limiting the ability of many businesses to fully utilise their growth potential.Bangladesh economic report

“The capital market can be an effective alternative source of long-term financing,” he said.


Listing good and promising companies would support business expansion, create employment and accelerate economic growth, Mr Rashid said.

He, however, stressed the need to ensure sustainable business growth after listing to maintain investor confidence.

Swisscontact Progress Project Team Leader Farzana Amin said the organisation had been supporting the RMG sector for nearly two decades and that capital-market financing should be considered alongside bank loans.

Swisscontact plans to provide end-to-end support to RMG companies interested in accessing the capital market, she said.

The organisation aims to develop several RMG companies as role models within the next year to encourage other businesses to seek financing from the capital market, she added.

Bangladesh Merchant Bankers Association (BMBA) President and LankaBangla Investments CEO Iftekhar Alam outlined opportunities for raising long-term capital through IPOs and the structural challenges facing the capital market.

He discussed the listing process, including eligibility for main-board IPOs and qualified investor offers (QIOs) on the SME platform, company valuation, fund utilisation, subscription, share allotment and lock-in requirements.

Bidowra Tahmin Khan, team leader of Swisscontact’s INSPIRE Project, said Swisscontact would provide advisory and technical assistance in coordination with the DSE, Bangladesh Securities and Exchange Commission (BSEC) and other stakeholders to help promising RMG and textile companies access the capital market.


Swisscontact has been working with Bangladesh's RMG and textile sector for around 20 years, focusing on compliance, skills development and the green transition, she said.

Bangladesh Bank appoints administrator for Fareast Finance resolution
09 Sep 2026;
Source: The Business Standard

Bangladesh Bank has appointed an administrator and two associate administrators to oversee the resolution process of listed non-bank financial institution Fareast Finance and Investment Limited, amid efforts to ensure its smooth and effective implementation.

The central bank appointed its Director Md Sadequr Rahman as administrator, supported by Additional Directors Shadril Ahmed and Md Al-Amin as associate administrators, according to a disclosure published today (8 September).

All three officials formally assumed their respective roles on 9 August, the disclosure said.


The appointment follows Bangladesh Bank's decision to declare Fareast Finance alongside three other non-bank financial institutions (NBFIs) as non-viable under the Bank Resolution Act, 2026.

Following Bangladesh Bank's non-viable declaration and administrator appointments, both the Dhaka Stock Exchange (DSE) and the Chittagong Stock Exchange (CSE) suspended trading of Fareast Finance shares. Fareast Finance and Investment got listed on the stock exchange in 2013.

Its current paid-up capital Tk164 crore divided by 16.40 crore shares. Market capitalisation of the NBFI stood at Tk34.46 crore until 8 September with Tk18.91 crore free-float capitalisation of the company.

Until September 2025, the company had incurred a loss of Tk61 crore, compared with a loss of Tk84.18 crore in 2024.

According to DSE data, sponsor-directors held a 39.74% stake in the listed firm, while institutional investors held 14.77% and general investors held the remaining 45.49%.

Economic activity hits 23-month low in Aug: PMI
09 Sep 2026;
Source: The Daily Star

Bangladesh’s economic activity fell to a 23-month low in August, reversing July’s rebound, as exports weakened and energy disruptions weighed on manufacturing and services, according to the latest Purchasing Managers’ Index (PMI).

The headline Purchasing Managers’ Index (PMI) fell 7.9 points month-on-month to 49.9 in August, its weakest reading since September 2024.

The index, jointly developed by the Metropolitan Chamber of Commerce and Industry (MCCI) and Policy Exchange Bangladesh (PEB), last month dropped below the 50-point threshold that separates expansion from contraction.

The decline follows a sharp rise in July, when the index gained 4.9 points to 57.8 on a strong rebound in manufacturing alongside continued growth in agriculture and services.

Manufacturing had led July’s expansion, jumping 16.6 points to 65.4 – the strongest turnaround in the survey’s history. It reversed sharply in August, falling 18.0 points to 47.4.

New export orders, output, input purchases, imports and employment all fell back into contraction, while input prices continued to rise at a faster pace.

Services, which had expanded for 22 consecutive months, also slipped into contraction, falling 6.8 points to 49.2.

New business and business activity continued to grow but at slower rates, while employment contracted sharply.

In contrast, agriculture remained a bright spot, extending its expansion for the 12th straight month by rising 1.3 points to 56.5 in August from 55.2 in July.

Construction, which had stayed marginally in contraction throughout July at 49.3, moved into expansion in August, reaching 52.4.

Meanwhile, the Future Business Index, which had shown strong optimism across all sectors in July, indicated a slight decline in sentiment in August.

“The August PMI reading of 49.9 indicates that Bangladesh’s economic activity remained broadly near the neutral threshold, despite temporary pressures on manufacturing and services,” said M Masrur Reaz, chairman and CEO of PEB.

“Agriculture continued expanding, while construction returned to growth, highlighting underlying economic resilience.”

He said the moderation in manufacturing partly reflected weaker monthly exports and temporary energy disruptions associated with LNG infrastructure maintenance.

He added that improved energy availability, stronger export demand and supportive measures to restore business confidence could help the economy regain momentum.

DSE unveils plan to automate open-end mutual fund unit trading
09 Sep 2026;
Source: The Business Standard

The Dhaka Stock Exchange (DSE) is set to introduce a web-based platform to automate and integrate the creation and redemption of open-end mutual fund units, aiming to make mutual fund investments more accessible and transparent for investors.

The proposed system was unveiled at a workshop hosted by the DSE on Monday. The platform will be accessible through both desktop and mobile applications, allowing investors across Bangladesh to participate more conveniently in open-end mutual fund transactions.

Under the proposed framework, stockbrokers will act as selling or dealing agents for asset managers, assisting investors in purchasing and redeeming fund units. All sales and redemptions will be executed at prices determined by the respective asset managers, in compliance with the Bangladesh Securities and Exchange Commission (Mutual Fund) Rules, 2025.


BSEC Commissioner Nafeez Al Tarik, who attended the workshop as chief guest, praised the DSE initiative, saying the platform would play an important role in developing the mutual fund industry and delivering greater benefits to investors.

DSE Managing Director Nuzhat Anwar said the initiative is part of the exchange's broader efforts to modernise capital market infrastructure and encourage portfolio diversification.

"Developing this platform marks a major step toward making mutual fund investments simpler, more convenient, transparent and technology-driven," she said.

DSE General Manager (Market Development) Saied Mahmud Zubayer gave a detailed presentation on the proposed system and its operational framework at the workshop.

The proposed platform is expected to bring the buying and redemption process for open-end mutual fund units into a more integrated digital environment, potentially reducing operational complexities for investors, brokers and asset managers.