The Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) will remain open for trading and official activities on Saturday (17 October) ahead of the Durga Puja holidays.

Trading normally remains closed on Saturdays due to the weekly holiday. However, the bourses have decided to keep their operations open on 17 October following the government's announcement of a public holiday on 22 October for Durga Puja.

Trading and administrative activities at both exchanges will remain suspended for three consecutive days, from 20 to 22 October, in line with the government-declared holiday schedule.

All regular trading and official activities will take place according to the usual schedule on Saturday to adjust for the holiday arrangements, according to the bourses.

Trading and office operations at the exchanges will resume on Sunday, 25 October, after the Puja holidays and the weekly weekend.

Bangladesh is aggressively pursuing Free Trade Agreements (FTAs) and Comprehensive Economic Partnership Agreements (CEPAs) with 10 nations and economic blocs to safeguard its export competitiveness ahead of its scheduled graduation from the Least Developed Country (LDC) status.

Alongside bilateral negotiations, Dhaka is seeking entry into the 19-member Regional Comprehensive Economic Partnership (RCEP). Simultaneously, the government has requested a three-year extension to its graduation timeline, currently set for 24 November 2026, citing global economic headwinds and the imperative for domestic structural reforms.

According to a Commerce Ministry progress report presented to the Parliamentary Standing Committee on 7 October, Bangladesh has completed 38 feasibility studies on potential trade partners and is actively negotiating terms with key global markets.

Negotiations advance across key markets

The ministry revealed that Bangladesh is pursuing FTAs with the European Union, Singapore, Malaysia, New Zealand, Turkey, Nepal, Canada, and Mauritius, while negotiating CEPAs with South Korea and the United Arab Emirates (UAE).

Speaking to The Business Standard, Commerce Secretary Md Ataur Rahman Khan noted substantial momentum across several tracks:

Japan: Bangladesh signed an Economic Partnership Agreement (EPA) on 6 February 2026, described by the ministry as the country's first formal FTA, which currently awaits ratification.

European Union: Prime Minister Tarique Rahman wrote to European Commission President Ursula von der Leyen in April seeking an FTA. Both sides have appointed negotiating teams, with initial online discussions expected by late October or November.

South Korea: Negotiations are complete and awaiting cabinet approval. Dhaka aims to sign the deal by December.

Singapore & UAE: Bangladesh has wrapped up four rounds of FTA talks with Singapore and expects to finalise terms after six rounds. Meanwhile, Cepa negotiations with the UAE are moving into a third round in March, with target completion by year-end.

Malaysia & South Asia: Malaysia has finalised the Terms of Reference (ToR) for a 20-chapter FTA, with first-round talks scheduled for 27–29 October in Dhaka. Bilateral preferential trade agreement (PTA) draft texts have been exchanged with Nepal, alongside ongoing trade expansion efforts with Bhutan under a 2020 PTA.
Extension request under review

Bangladesh formally submitted its request for a three-year LDC graduation extension to the United Nations Committee for Development Policy (UN-CDP) on 18 February. The application remains under review.

Graduating from LDC status will trigger the withdrawal of preferential tariff access and duty-free benefits across major global markets. Exporters warn this shift will directly impair price competitiveness and squeeze export growth. In response, the government is framing a 'Trade Negotiating Pool' and a market-access roadmap to prioritise key markets and establish clear timelines.

Navigating US market uncertainties

Preserving access to the United States, Bangladesh's largest single-country export destination, remains a top priority. Exports to the US reached $9.05 billion in FY26, up 4.09% year-on-year.

However, market terms remain fluid. A reciprocal trade agreement signed on 9 February set a 19% tariff on Bangladeshi goods in exchange for preferential access for US industrial and farm goods. While initial discussions included zero-tariff treatment for specific Bangladeshi textile quotas, those provisions are currently inactive, leaving average garment tariffs at 25.62%.

Both the Commerce Ministry and the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) view ongoing engagement as vital to maintaining access. Additionally, the Office of the US Trade Representative (USTR) is considering a three-year tariff-rate quota for Bangladesh, Cambodia, Indonesia, and Malaysia, which could exempt products containing US cotton and textile inputs from Section 301 tariffs.

Experts urge strategic discipline

Trade analysts and business leaders warn that multiplying trade agreements will not yield automatic dividends without a cohesive strategy.

Dr Mohammad Abdur Razzaque, Chairman of Research and Policy Integration for Development (RAPID), cautioned that Bangladesh must evaluate the cost-benefit balance of every deal:

EU Priority: Securing an EU arrangement is vital, as losing preference could put nearly half of Bangladesh's export basket under strain.

Selective Focus: A deal with Singapore yields limited added value since it already imposes zero tariffs on most goods. Similarly, a standalone FTA with Malaysia may prove redundant if Bangladesh successfully joins RCEP.
Adding to this perspective, Abul Kasem Khan, former president of the Dhaka Chamber of Commerce and Industry (DCCI), emphasised that trade deals alone cannot substitute for structural reform:

"Low-cost labor is no longer a sufficient competitive edge. Bangladesh needs a comprehensive roadmap addressing supply chain efficiency, logistics, energy security, and workforce upskilling. Despite years of debate, meaningful export diversification has lagged, we must fix underlying operational bottlenecks and modernize our foreign investment strategy."

Japanese conglomerate Marubeni Corporation is interested in expanding its existing investments in Bangladesh and entering new industrial sectors, including fertiliser production, information technology and ship recycling.

The corporation also sees opportunities to modernise the Karnaphuli Fertilizer Company (KAFCO), improve natural gas efficiency and increase fertiliser production capacity. The Japanese trading group is an equity investor in KAFCO.

Marubeni President and CEO Masayuki Omoto discussed the investment opportunities at a meeting with Commerce Minister Khandakar Abdul Muktadir at the commerce ministry office in Dhaka yesterday, according to a press ministry statement.

Omoto also expressed interest in new investments and technological cooperation in the production of diammonium phosphate (DAP) and triple superphosphate (TSP) fertilisers.

Highlighting Bangladesh’s potential in the information technology sector, he noted that hundreds of Bangladeshi engineers employed by Bangladesh Japan Information Technology (BJIT), a joint investment venture, were providing services to international markets, including Japan.

He said there were further opportunities to expand cooperation in artificial intelligence and IT offshoring.

The discussions also covered investment in modern, environmentally friendly technologies for the ship recycling industry, a proposal for Toyota vehicle manufacturing and ensuring an uninterrupted electricity supply to economic zones.

Small modular reactor (SMR) technology was also discussed as a potential option for ensuring long-term energy security, the ministry statement said.

Muktadir said the government was prioritising the simplification of company registration, trade licensing and investment approval procedures. It was also working to ensure that foreign investors could repatriate profits and capital.

He assured that Japanese companies looking to expand their investments in Bangladesh would receive the necessary government support.

The minister said Japanese technology, expertise and investment could play a significant role in developing Bangladesh’s manufacturing industries.

There were opportunities to expand joint ventures in shipbuilding and ship recycling, automobiles, agro-based industries and high-technology sectors, he said, adding that the government was advancing necessary reforms to facilitate investment in these areas.

He also said efforts were underway to move the jute industry beyond conventional products towards diversified, higher-value goods. Priorities included developing new products by blending jute fibres with cotton, viscose and polyester, improving seeds and expanding research activities.

Both sides also discussed the importance of deepening Bangladesh-Japan economic relations, capitalising on the potential benefits of the Economic Partnership Agreement (EPA) between the two countries, and expanding long-term partnerships in industry and technology.

Marubeni, one of Japan’s major general trading companies, operates across sectors ranging from food and agriculture to energy, infrastructure and technology. The group reported revenue of ¥7.79 trillion in the fiscal year ended March 2025 and employed more than 52,000 people worldwide, according to its Integrated Report 2025 and financial results.

In Bangladesh, Marubeni has a business and capital alliance with local IT service company BJIT Group. Under the alliance announced in April 2023, Marubeni invested in BJIT Ltd, the group’s core company, and BJIT Global Pte Ltd, which manages overseas sales, to expand offshore digital transformation services, according to a Marubeni announcement.

Marubeni has also installed about 1,300 megawatts of gas-fired and hydropower plants in Bangladesh and supplied the entire railway system for Dhaka Metro Rail’s MRT Line 6, according to a company statement issued in April 2023.

For Doug Rende, who runs an aluminum product manufacturer in the US state of Ohio, President Donald Trump’s tariffs have meant millions of dollars more in annual costs -- and recently, the Iran war has made shipments even more expensive.

Rende is chief executive at Shapes Unlimited, one of many American producers smarting from Trump’s economic policies as midterm elections approach.

“Frustrating would be one word,” Rende told AFP.

“And I think that we’re sensing a lack of trust in not only the administration but the governmental process, the role of Congress to rein in executive power,” he added.

Since returning to the presidency in January 2025, Trump has wielded executive authority to slap tariffs on various products and countries.

Besides aluminum, the duties hit steel and autos too, while US trading partners face additional tariffs that vary by country.

Even as some American manufacturers have benefited as their foreign competitors encounter higher barriers, others struggle with ballooning costs and persistent uncertainty.

Trump’s spiraling trade fight with Canada and war with Iran have only deepened worries.

Grievances over Trump’s trade policies are among fault lines that Democrats hope will work in their favor as they push to flip control of the Senate and House of Representatives in November’s vote.

Rende’s company in North Jackson, Ohio, makes and distributes aluminum building products used in fixtures like fences.

Trump’s tariffs on aluminum have steadily climbed, from 10 percent during his first presidency to 25 percent and then 50 percent last year, and Rende has felt the impact.

“This year alone, it’s upwards of $4.5 million to $5 million in additional costs,” Rende said.

“There’s only so much that the end consumer is willing to eat,” he added. “So, we absorb a healthy portion.”

These added costs include steeper transportation fees, as fuel prices surged with the US-Israel war on Iran. Surcharges are “upwards of $6,500 per container” of goods from suppliers, Rende said.

As a result, he has paused recruitment for new jobs while investing in more robotic assembly.

Sam Miller, another Ohio manufacturer who makes kitchen and bathroom products, has been hit on both fronts in Trump’s trade wars, paying tariffs on imported materials from Asia while finding it harder to expand into Canada because of trade tensions.

“It’s been difficult for businesses to manage,” Miller told AFP from his factory floor in Warren as a machine hummed nearby, cutting countertop material. “I do think that there will be a shift away from Republican views.”

Although Miller received refunds after the Supreme Court struck down many of Trump’s duties, the US leader has since reinstated many of them.

Deteriorating US-Canada ties add to his challenges, with Washington and Ottawa slapping tariffs on each other’s products after trade negotiations collapsed in August.

“We’re selling into Canada and it is particularly straining on both us and our customers,” Miller said.

He originally planned on opening a distribution facility in Canada this year, but progress has slowed.

Guy Coviello, president of the Youngstown Warren Regional Chamber, told AFP he is monitoring tariffs, the Iran war and immigration very closely.

These are a “mixed bag” for firms but negative overall, said Coviello, whose business group has some 3,000 members.

Some firms have lost customers or had to downsize, he said. Canada is also Ohio’s biggest export market, with a third of Ohio’s exports going to the country.

“Where it gets even more complicated is that there are some goods that go back and forth across the border multiple times,” he said.

The Iran war adds to stresses, raising freight costs and hitting aluminum supplies due to drone attacks in the Middle East.

With a lack of new US aluminum smelters, Coviello said: “We are all for tariffs for critical items such as defense and medical industry.”

But he added: “We have to be careful when you’re talking about products that are not crucial and are not available in the US.”

The Bangladesh Telecommunication Regulatory Commission (BTRC) has proposed a base price of Tk 214 crore per MHz for a block of E-GSM spectrum with limited interference, a lower-frequency band that helps mobile operators extend network coverage and improve indoor connectivity.

It has also proposed a price of Tk 178 crore per MHz for another block with higher interference.

The telecom regulator has decided to seek government approval for the proposed prices before holding the auction, which it intends to conduct this year.

For customers, the additional spectrum could improve network coverage and capacity, particularly in areas where mobile networks face congestion or coverage gaps. It could also support more reliable mobile internet services as operators deploy additional capacity.

A total of 8.4MHz of E-GSM spectrum will be up for auction.

According to BTRC documents, the 3.4MHz block with limited interference has a proposed base price of Tk 214 crore per MHz for 15 years, down 10 per cent from the benchmark price of Tk 237 crore.

The other 5MHz block, which faces higher interference from neighbouring India, has been priced at Tk 178 crore per MHz, a 25 per cent reduction from the same benchmark.

The commission has also formed a committee to prepare auction guidelines covering the bidding process, bid increments, spectrum tenure, payment arrangements, application processing fees, bid earnest money and annual spectrum charges.

The pricing decision comes as the telecom regulator seeks to make additional lower-band spectrum available to mobile operators to improve network quality and expand coverage, particularly in remote areas.

The proposed rates reflect differences in interference levels and the limited period for which the spectrum would be available. Both blocks are expected to be allocated only until 2030.

After 2030, spectrum allocation from this band would shift to the 850MHz band in coordination with neighbouring countries to achieve a lasting resolution.

The 3.4MHz block covers the paired frequency ranges of 885–888.4MHz and 930–933.4MHz. The 5MHz block covers 880–885MHz and 925–930MHz.

According to the BTRC, the latter block experiences significantly higher interference across substantial parts of the country because of cross-border signals from India. As a result, it cannot be used as effectively nationwide as the other block.

The regulator believes the proposed discounts would account for these technical limitations and the short allocation period while ensuring that the spectrum benefits consumers and generates revenue for the government.

The pricing proposal follows consultations among the BTRC, the Posts and Telecommunications Division and the Finance Division of the Ministry of Finance.

In a letter dated September 7, the Posts and Telecommunications Division asked the BTRC to proceed with the auction in line with the Finance Division’s opinion, as well as recommendations from the Spectrum Management Committee and applicable laws, regulations and guidelines. The division also instructed the regulator to obtain government approval wherever required.

The Finance Division said determining the base price of spectrum for auction falls within the BTRC’s statutory management process under the Bangladesh Telecommunication Regulation Act, 2001, and does not constitute the fixing of rates, charges, tariffs or fees that would require its consent on that basis.

Since the actual spectrum price would be determined through competitive bidding, the Finance Division had no objection to the BTRC addressing technical interference issues in accordance with applicable standards recommended by the International Telecommunication Union.

“The Finance Division and the Posts and Telecommunications Ministry have already opined that setting spectrum prices falls within BTRC’s jurisdiction. Despite that, we have decided to seek government approval, specifying the proposed price for the spectrum,” said BTRC Chairman Major General (retd) Md Emdad Ul Bari.

Of the 10MHz E-GSM band under consideration, 1.6MHz has already been allocated to Robi Axiata PLC, according to BTRC documents. The regulator is now preparing to auction the remaining 8.4MHz.

The Spectrum Management Committee recommended auctioning the available spectrum after finding that multiple operators had expressed interest in the same blocks.

The BTRC has argued that additional lower-band spectrum is urgently needed to improve mobile network quality and expand coverage.

The commission has also formed a committee comprising officials from its spectrum management, legal, engineering and finance-related departments to prepare the auction guidelines.

Bangladesh's import payments rose by nearly 11 per cent year-on-year in July-August of fiscal year 2026-27, driven largely by higher global petroleum prices, according to Bangladesh Bank (BB) data.

The upward trend may persist in the coming months, with import demand potentially rising further ahead of Ramadan, a senior BB official told The Financial Express.

"Higher prices of fuel oils in the global market pushed up import costs during the period under review," the official said, attributing the volatility in the international oil market mainly to tensions in the Middle East.

Actual import payments, measured by the settlement of letters of credit (LCs), for petroleum products surged by more than 38 per cent to $2.04 billion in July-August of FY27, up from $1.48 billion in the same period a year earlier, according to the central bank's latest statistics.

In FY26, petroleum import payments increased by 6.42 per cent to $10.68 billion from $10.03 billion in FY25.

Overall import payments rose by nearly 11 per cent to $12.47 billion in the first two months of FY27, compared with $11.26 billion in the corresponding period of the previous fiscal year.

Meanwhile, the opening of fresh LCs, generally known as import orders, increased by 17.91 per cent to $13.94 billion during the period, up from $11.82 billion a year earlier.

However, imports of capital machinery, or equipment used in production, declined by 5.52 per cent to $0.29 billion from $0.31 billion in the same period of FY26.

Imports of industrial raw materials also fell by 2.19 per cent to $3.80 billion from $3.89 billion.

In contrast, imports of intermediate goods rose by more than 29 per cent to $0.82 billion from $0.64 billion in the corresponding period a year earlier.

"The upward trend in imports indicates that the economy is gradually recovering despite ongoing geopolitical tensions," Md Ezazul Islam, director general of the Bangladesh Institute of Bank Management (BIBM), told The Financial Express.

He said elevated and volatile global petroleum prices had increased the country's import payment obligations and that the trend could continue until December 2026.

Islam, a former executive director of the central bank, said actual imports could gradually increase as the government pursued an expansionary fiscal policy aimed at boosting investment, particularly in productive sectors.

He added that the central bank's growth-supportive monetary policy, including stimulus packages, alongside improved political stability and better prospects for private-sector investment, could accelerate import growth in the coming months.

Walton Hi-Tech Industries PLC, a local electronics giant listed on the stock exchange, has signed a memorandum of understanding (MoU) with Kenya-based North Light Holdings Limited to expand its global presence.

The partnership aims to strengthen Walton's brand profile and increase its market share in the designated territory, according to a disclosure published on the Dhaka Stock Exchange (DSE) today (11 October).

North Light Holdings Limited is a private company registered under Kenyan law, with its corporate headquarters in Nairobi.

"The collaboration aims to build a mutually beneficial business relationship focused on rolling out a comprehensive business roadmap. This will involve continuous product procurement, targeted marketing initiatives, quality customer service, and robust product promotion," it said.

According to the website of North Light Holdings, the Kenyan company, founded in late 2018, holds diversified corporate conglomerate built on a single conviction: that world-class standards and disciplined execution belong in every market including the dynamic, fast-growing regions where opportunity is greatest and reliable partners are scarcest.

From telecommunications and IT infrastructure to security solutions, laboratory and quality-control services, energy retail, real estate, and international trading, our portfolio spans the sectors that keep modern economies connected, safe, and moving.

North Light continues to expand its footprint, launch new ventures, and invest in the technologies that will define the next decade, it said.

Bangladesh's foreign direct investment (FDI) continues to weaken, with fresh foreign equity investment falling 5% year-on-year in the April-June quarter of 2026, marking a second consecutive quarterly decline.

Fresh equity investment had plunged 70.34% in the January-March quarter. Meanwhile, total net FDI fell 22% quarter-on-quarter in April-June, despite a recovery in reinvested earnings, according to the latest Bangladesh Bank data.

Economists said repeated downgrades to Bangladesh's sovereign credit ratings in recent years were among the factors discouraging foreign investment. Investors consider sovereign ratings an important indicator when assessing a country's investment risks.

The high level of non-performing loans in Bangladesh's banking sector has also sent negative signals to potential investors, they said. These concerns are weakening appetite for new projects and contributing to the decline in fresh equity investment.

Fresh equity investment represents new foreign capital entering the country. Its continued decline signals growing reluctance among foreign investors to commit capital to new projects in Bangladesh.

According to Bangladesh Bank, fresh equity investment stood at $77.42 million in April-June 2026, down from $81.3 million in the same quarter a year earlier, a decline of 4.77%.

Total net FDI, comprising fresh equity investment, reinvested earnings and inter-company loans, reached $346.94 million in the quarter, up from $307.62 million a year earlier.

This represented a 12% year-on-year increase, driven largely by higher reinvestment by existing foreign companies. However, net FDI fell 22% from the January-March quarter.

Reinvested earnings refer to profits that foreign companies already operating in Bangladesh retain in the country and invest back into their businesses. While this boosts overall FDI, it does not indicate an increase in new foreign investors entering the market.

In April-June, reinvested earnings rose to $269.1 million from $168.2 million in the same period a year earlier. This suggests that a substantial share of total FDI came from existing investors rather than new entrants.

Gross inflows of reinvested earnings stood at $664.35 million during the quarter, while outflows amounted to $403.45 million, leaving a net inflow of $260.91 million.

Inter-company loans recorded the steepest decline among the three components of FDI. Net inflows fell 67.04% quarter-on-quarter, from $26.13 million in January-March 2026 to $8.61 million in April-June. Compared with $58.08 million in the same quarter a year earlier, the figure was down 85.17%.

Gross inflows from inter-company loans totalled $333.8 million during the quarter, while outflows reached $325.19 million, leaving only a small net contribution to overall FDI.

The World Bank has identified weaknesses in Bangladesh's banking sector as one of the most serious risks to the economy. The NPL ratio stood at 33.2% in June 2026.

The banking sector's overall capital adequacy ratio fell to negative 2.6% in December 2025, far below the minimum regulatory requirement of 10%.

Meanwhile, Bangladesh's sovereign credit rating has come under pressure in recent years amid persistent economic vulnerabilities, weak revenue collection, pressure on foreign exchange reserves and growing stress in the banking sector.

As of October 2026, the picture is mixed: Moody's affirmed Bangladesh's B2 rating and revised its outlook to stable in September, while S&P and Fitch maintained their B+ ratings but revised their outlooks to negative.

For Doug Rende, who runs an aluminum product manufacturer in the US state of Ohio, President Donald Trump's tariffs have meant millions of dollars more in annual costs -- and recently, the Iran war has made shipments even more expensive.

Rende is chief executive at Shapes Unlimited, one of many American producers smarting from Trump's economic policies as midterm elections approach.
"Frustrating would be one word," Rende told AFP."And I think that we're sensing a lack of trust in not only the administration but the governmental process, the role of Congress to rein in executive power," he added.

Since returning to the presidency in January 2025, Trump has wielded executive authority to slap tariffs on various products and countries.

Besides aluminum, the duties hit steel and autos too, while US trading partners face additional tariffs that vary by country.

Even as some American manufacturers have benefited as their foreign competitors encounter higher barriers, others struggle with ballooning costs and persistent uncertainty.

Trump's spiraling trade fight with Canada and war with Iran have only deepened worries.

Grievances over Trump's trade policies are among fault lines that Democrats hope will work in their favor as they push to flip control of the Senate and House of Representatives in November's vote.

Rende's company in North Jackson, Ohio, makes and distributes aluminum building products used in fixtures like fences.

Trump's tariffs on aluminum have steadily climbed, from 10 percent during his first presidency to 25 percent and then 50 percent last year, and Rende has felt the impact.

"This year alone, it's upwards of $4.5 million to $5 million in additional costs," Rende said.

"There's only so much that the end consumer is willing to eat," he added. "So, we absorb a healthy portion."

These added costs include steeper transportation fees, as fuel prices surged with the US-Israel war on Iran. Surcharges are "upwards of $6,500 per container" of goods from suppliers, Rende said.

As a result, he has paused recruitment for new jobs while investing in more robotic assembly.

Sam Miller, another Ohio manufacturer who makes kitchen and bathroom products, has been hit on both fronts in Trump's trade wars, paying tariffs on imported materials from Asia while finding it harder to expand into Canada because of trade tensions.

"It's been difficult for businesses to manage," Miller told AFP from his factory floor in Warren as a machine hummed nearby, cutting countertop material. "I do think that there will be a shift away from Republican views."

Although Miller received refunds after the Supreme Court struck down many of Trump's duties, the US leader has since reinstated many of them.

Deteriorating US-Canada ties add to his challenges, with Washington and Ottawa slapping tariffs on each other's products after trade negotiations collapsed in August.

"We're selling into Canada and it is particularly straining on both us and our customers," Miller said.
Google News LinkFor all latest news, follow The Daily Star's Google News channel.

He originally planned on opening a distribution facility in Canada this year, but progress has slowed.

Guy Coviello, president of the Youngstown Warren Regional Chamber, told AFP he is monitoring tariffs, the Iran war and immigration very closely.

These are a "mixed bag" for firms but negative overall, said Coviello, whose business group has some 3,000 members.

Some firms have lost customers or had to downsize, he said.

Canada is also Ohio's biggest export market, with a third of Ohio's exports going to the country.

"Where it gets even more complicated is that there are some goods that go back and forth across the border multiple times," he said.

The Iran war adds to stresses, raising freight costs and hitting aluminum supplies due to drone attacks in the Middle East.

With a lack of new US aluminum smelters, Coviello said: "We are all for tariffs for critical items such as defense and medical industry."

But he added: "We have to be careful when you're talking about products that are not crucial and are not available in the US."

Thailand is preparing to host the IMF-World Bank Annual Meetings in Bangkok from Oct 12 to 18, with more than 15,000 participants from 191 countries expected for discussions on the global economy.

The gathering will bring together central bank governors, economic policymakers and business leaders, prompting authorities to tighten security and introduce measures to ease traffic in the capital.

Government offices in Bangkok will work from home on Oct 12, 14 and 15 to reduce congestion. Oct 13 is an existing public holiday, while Oct 16 has been declared a special holiday for government offices and banks, with private companies and state enterprises asked to consider suitable arrangements.

Security has been tightened at the meeting venue in central Bangkok and at 21 official hotels, authorities said.

Around 500 Tourist Police officers will help secure the venue, hotels hosting delegates and tourist attractions, using undercover deployments, patrols, drones and motorcade escorts, Tourist Police Bureau Commissioner Phongsiam Meekhanthong said. The arrangements are being coordinated with around 39 embassies.

Visiting leaders include Swiss President Guy Parmelin, whose trip will be the first official visit to Thailand by a Swiss president in 22 years, and Singapore President Tharman Shanmugaratnam, the Thai Foreign Ministry said.

Participants’ spending could generate between 1.05 billion and 2.25 billion baht for the Thai economy, the Finance Ministry said. More than 320 electric vehicles will be used to transport participants and help reduce carbon emissions.

However, weather could pose a challenge during the meetings. Heavy to very heavy rain is forecast for Bangkok and surrounding provinces on Oct 10 and 11, potentially causing localised flooding, the Bangkok Metropolitan Administration warned.

Parts of the capital flooded two weeks ago after 320mm (12.6 inches) of rain fell over three days.

Bangladesh Bank (BB) has instructed banks and financial institutions to expedite the disbursement of the Tk 50 billion (Tk 5,000 crore) refinancing funds for cottage, micro, small, and medium enterprises (CMSMEs) and meet their full distribution targets by November.

The directive was issued during a meeting between top executives of participating banks and financial institutions and a Bangladesh Bank Deputy Governor at the central bank headquarters on Thursday (October 8). Managing directors and chief executives from 34 banks and five non-bank financial institutions (NBFIs) attended the session.

Briefing reporters after the meeting, Association of Bankers, Bangladesh (ABB) Chairman and City Bank Managing Director Mashrur Arefin said the refinancing scheme was introduced to provide low-interest working capital loans to CMSME entrepreneurs.

“Following the signing of agreements with banks on September 10, loan disbursements commenced, with approximately Tk 4.5 billion (Tk 450 crore) released in the first two weeks,” Arefin said. “The central bank has now urged all participating institutions to complete the full disbursement of the Tk 50 billion (Tk 5,000 crore) fund by November to ensure marginal entrepreneurs receive timely, low-cost capital.”

Broader Campaign Urged for ‘Uddyog’ Project

The meeting also reviewed the progress of Bangladesh Bank’s pilot initiative, the ‘Uddyog’ project, designed to foster youth entrepreneurship across selected districts in various divisions.

Acknowledging that the project has yet to yield the expected response, the ABB Chairman emphasised that banks have been instructed to intensify promotional campaigns at the district, upazila, and union levels.

Under the ‘Uddyog’ scheme, young entrepreneurs—specifically those aged 21 or below—are eligible to receive up to Tk 10 lakh from banks’ Corporate Social Responsibility (CSR) funds alongside an additional Tk 10 lakh in commercial loans.

Banks Deny Non-Cooperation on Closed-Factory Package

Addressing allegations that banks are hesitating to disburse funds under the government’s Tk 600 billion (Tk 60,000 crore) package aimed at restarting closed and semi-closed industrial units, Arefin clarified that banks are fully committed to the initiative.

“There is no question of non-cooperation from the banks,” he asserted. “However, while extending fresh credit to distressed units, banks must carefully evaluate risk parameters to prevent these loans from turning into new non-performing loans (NPLs).”

The Chittagong Stock Exchange (CSE) PLC's operating loss widened 13.54% year-on-year to Tk16.58 crore in FY26, while its net profit fell 28.35% to Tk20.59 crore amid subdued trading activity.

According to disclosures approved by its board on 8 October, the operating loss increased from Tk14.60 crore in FY25. Net profit after tax fell from Tk28.74 crore in the previous fiscal year, pulling earnings per share (EPS) down to Tk0.32 from Tk0.45.

A CSE official said the exchange remained profitable mainly because of interest income from fixed deposit receipts (FDRs) held with different banks. However, a shortage of listed products and low trading turnover resulted in an operating loss.

Despite the decline in profit, the board recommended a 3.25% cash dividend for the fiscal year ended 30 June 2026.

The dividend recommendation is subject to shareholders' approval at the annual general meeting (AGM), scheduled for 10 December at the CSE Building conference hall in Agrabad, Chattogram. The record date for dividend entitlement is 8 November.

The exchange's net operating cash flow per share (NOCFPS) stood at Tk1.05 in FY26, slightly down from Tk1.06 in FY25. Net asset value (NAV) per share also edged down to Tk11.93 as of June 2026, from Tk11.96 a year earlier.

Prime Minister’s Adviser on Finance and Planning Prof Rashed Al Mahmud Titumir on Friday said Bangladesh faces an additional $4.12 billion burden on energy and fertiliser imports over seven months due to the Middle East crisis.

“If this war continues, then we have to count almost $600 million per month,” he said, stressing that developing countries should not be left to bear the costs of global crises without adequate international support.

The PM’s adviser made the remark, addressing a high-level conference titled ‘An Asia for Everyone: Public Services, Social Protection and the Promise of Shared Prosperity’ at Chulalongkorn University in Bangkok, Thailand, just ahead of the World Bank and IMF Annual Meetings.

He said the international community must take responsibility for the economic costs borne by developing countries through no fault of their own.

Titumir said Bangladesh would need an additional $1.82 billion for liquefied natural gas (LNG) imports, around $70 million for fertiliser and $2.21 billion for oil during the seven months from March to September due to the crisis.

“But we don't see multilateralism. We don't see international voices. We don't see action, we see inactions,” he said, criticising what he described as the lack of effective action by the international community and civil society to address the economic consequences of the crisis for countries that were not responsible for it.

He urged international organisations and civil society groups to make the issue a priority during the upcoming World Bank and IMF meetings in Bangkok.

He pointed out the non-action of the global community and a government that is counting the cost.

The adviser said inequality was not simply a matter of differences in people's living conditions but was also created and sustained by public policies and the distribution of political power.

“If we are to deal with it, then we must deal with the politics of it and political settlement of it, which means that we have to deal with how power is skewed,” he said.

The Bangladesh Securities and Exchange Commission is preparing to use its statutory powers to push government-owned companies, multinational corporations and large private enterprises to list on the stock market, aiming to deepen market liquidity and reduce the economy's heavy reliance on bank financing.

Speaking at the IDLC Capital Markets Conclave 2026, organised by IDLC Investments Limited at a hotel in Dhaka today (10 October), BSEC Chairman Masud Khan said the securities regulator had clear legal authority to require any company or class of companies to go public.

He said the commission preferred voluntary participation but would closely monitor compliance and exercise its enforcement powers where necessary.

Several private sector representatives attended the event.

Directly addressing the widespread reluctance among large private conglomerates to go public, the BSEC chief warned that the current regulatory stance leaves no room for avoidance.

Masud said the commission is undertaking structural reforms to streamline the initial public offering (IPO) process and address longstanding barriers to market entry.

The BSEC has restructured pre-submission verification procedures, placing direct accountability on statutory auditors to reduce delays in processing applications, he said.

The commission has also revised its valuation approach, moving away from institutional consensus requirements and traditional dividend discount models towards a price-discovery mechanism based on Dutch auction principles, according to Masud.

He argued that large companies could benefit from listing by gaining access to long-term capital and strengthening their prospects for expansion and succession planning. He cited multinational manufacturers such as Honda, Toyota, BMW and Mercedes-Benz, as well as regional business groups such as Tata and Lafarge, as examples of enterprises that evolved from family-run businesses into major corporations.

He also said greater reliance on transparent banking transactions and stricter tax oversight is making opaque financial practices increasingly difficult to sustain.

In parallel, market authorities are advancing reforms to activate the corporate bond market by shifting corporate debt instruments directly to the main board instead of the underutilised Alternative Trading Board. With approximately Tk3,500 crore in corporate bonds approved under strict main-board listing parameters, regulatory leaders project a vibrant debt market in the coming months.

Concurrently, efforts are underway to reactivate Central Counterparty Bangladesh Limited to modernise settlement operations and pave the way for sophisticated instruments such as derivatives and short-selling.

Welcoming guests to the conclave, Jamal Uddin, CEO of IDLC Finance and chairman of IDLC Investments, underscored the strategic imperative of bringing established enterprises into the market to build an effective alternative for long-term corporate financing.

He highlighted that while the banking sector remains an indispensable foundation for the economy, over-reliance on bank credit creates severe financing pressures that a robust equity market could alleviate.

Echoing these views, Kazi Mahmood Sattar, chairman of IDLC Finance, stressed that the historical over-dependence on bank credit has revealed severe structural limitations, particularly as non-performing loans in the banking sector have escalated past 20%.

He argued that expanding equity and bond markets is essential to relieve pressure on commercial banks during economic downturns, urging corporate entities and the government to utilise capital market instruments for large-scale long-term funding.

Detailed analytical perspectives were presented by Nazneen Ahmed, executive director at the Centre for Policy Dialogue, who stressed that restoring retail investor confidence hinges entirely on market transparency, strong governance, and the entry of reputable, high-performing enterprises.

She noted that general investors often retreat from equity markets due to unexplainable index volatility, making strict regulatory oversight and balanced financing structures essential for job creation and sustainable economic expansion.

Highlighting the practical hurdles faced by expanding businesses, Mesbah Uddin Ahmed, managing director at IDLC Investments, outlined four core challenges confronting scaled enterprises: excessive debt dependency, complex asset valuation and liquidity bottlenecks, difficult family-to-corporate leadership transitions, and high founder dependency.

He explained that listing on the capital market resolves these operational barriers by providing permanent equity, separating ownership from professional management, and instilling high standards of accountability.

Analysing historical market dynamics, Dhaka Stock Exchange Chairman Mominul Islam remarked that the capital market remained disconnected from mainstream economic planning for decades due to past mismanagement and systemic inefficiencies.

He pointed out that while leading institutions like Renata, ACI, Square, and Uttara Bank listed during earlier market phases, the rapid expansion of private sector banking in the 1990s made bank credit overly accessible, reducing the incentive for quality firms to list. "This shortage of quality scrips created space for weaker companies and market manipulation, driving institutional capital away," Mominul added.

Addressing broader macroeconomic realities, Imam Abu Sayed, executive director (research) at the Bangladesh Bank, observed that while global institutions forecast GDP growth around 4%, the country holds an underlying potential exceeding 7%.

With manufacturing accounting for nearly 25% of the economy, he noted that industrial growth has shown signs of saturation, requiring enhanced professional competence and international-standard licensing in financial deal-making. He added that inflation, currently around 9.5%, remains tightly linked to international market volatility in capital machinery and raw material imports.

Representing the real sector, MA Rahim, vice chairman of DBL Group, shared practical insights on corporate restructuring, highlighting his conglomerate's experience in managing generational succession of second-generation family members returning from abroad.

Rahim urged regulators to fast-track approval timelines, eliminate double taxation burdens, and evaluate expanding companies on independent performance merits rather than rigid sector-wide averages.

The benchmark index of the Dhaka Stock Exchange (DSE) slipped below the 5,500-mark this week as investors continued selling amid persistent domestic economic headwinds and concerns over weak corporate earnings.

Market operators said investors remained cautious in the ongoing earnings season, while lingering economic challenges kept them on the defensive and clouded prospects for a sustainable near-term recovery.

The latest fuel-price hike has emerged as a fresh concern for the stock market, with higher transport, production and distribution costs threatening to squeeze corporate profit margins.

"The market was already under pressure, while the latest fuel-price hike has emerged as a major concern because of its potential impact on corporate earnings," said a stockbroker.

Higher fuel costs could slow earnings growth for many listed companies in the coming quarters, he said.

The concern was compounded by Bangladesh Bank's decision to keep its policy rate unchanged at 9.5 per cent, reinforcing expectations that borrowing costs will remain elevated for some time.

A prolonged tight monetary policy could keep corporate financing costs high and limit the scope for an investment-led recovery. It could also make fixed-income instruments more attractive to risk-averse investors than equities.

"Most investors are adopting a wait-and-see approach in the absence of strong positive triggers, while persistent domestic economic challenges continue to weigh on risk appetite," said the stockbroker.

Another leading broker said investors were not seeing enough positive catalysts to take fresh positions aggressively. They were instead reassessing their portfolios and shifting towards stocks with relatively stronger fundamentals or those that had undergone significant corrections, he added.

The market started the week on a downbeat note as investors remained concerned about weaker earnings from June-closing companies and reshuffled their equity exposure accordingly.

Selling pressure intensified in the following sessions, triggering broad-based declines as investors remained sceptical about the prospects of a sustainable near-term recovery.

The market, however, staged a modest rebound in the final two sessions as bargain hunters picked up recently corrected stocks at relatively attractive prices. The recovery was not strong enough to recoup the earlier losses, leaving the broader market subdued.

Of the five trading sessions, the first three closed lower, while the final two edged higher.

The benchmark DSEX index lost 56 points, or 1.01 per cent, over the week to close at 5,475. It has shed 102 points over the past two consecutive weeks.

The DS30 index, comprising blue-chip shares, however, rose just 2 points to 2,105, while the Shariah-based DSES index lost 13 points to 1,087.

EBL Securities, in its weekly market analysis, said the market extended its losing streak as selling pressure intensified during the week, triggering broad-based declines amid scepticism over the prospects of a sustainable near-term recovery.

The market staged a modest rebound towards the end of the week as opportunistic bargain hunters accumulated recently corrected scrips, although the recovery remained insufficient to recoup the losses accumulated earlier in the week, it said.

Selective large-cap stocks, including Islami Bank, United Commercial Bank, Beximco Pharma, Walton Hi-Tech Industries and Square Pharma, together contributed more than 19 points to the weekly decline in the DSEX.

Trading activity also weakened during the week. Total turnover on the DSE stood at Tk 37.82 billion, compared with Tk 35.30 billion in the previous week, while average daily turnover declined more than 21 per cent to Tk 5.56 billion from Tk 7.06 billion in the week before.

The textile sector dominated turnover, accounting for 29.5 per cent of total trading activity. General insurance followed with 10.9 per cent, while pharmaceuticals accounted for 10.5 per cent.

Market breadth remained firmly negative, with 290 issues declining against 81 advancing, while 14 remained unchanged.

Most sectors closed in the red. Among the major sectors, mutual funds recorded the steepest decline of 6.4 per cent following recent sharp gains. Pharmaceuticals, non-bank financial institutions, engineering and banking sectors also declined.

Saiham Textile emerged as the week's most-traded stock, with shares worth Tk 1.30 billion changing hands. Paramount Textile, Evince Textile, BRAC Bank and IPDC Finance followed in turnover.

The Chittagong Stock Exchange (CSE) also ended the week lower. Its All Share Price Index (CASPI) shed 171 points to close at 14,660, while the Selective Categories Index (CSCX) lost 83 points to 9,017.

The bearish trend in Bangladesh's stock market continued last week, with average daily turnover on the Dhaka Stock Exchange (DSE) falling 21% and its benchmark index declining 1.01% over five trading sessions.

The DSEX lost 56.07 points, closing at 5,475.58 points. Average daily turnover fell to Tk556 crore, while market capitalisation declined 0.25% to Tk6.84 lakh crore.

The market began the week unfavourably, as the DSEX experienced declines for three consecutive sessions before managing a recovery in the final two days. However, the late-week gains were insufficient to offset the earlier losses.

The index fell 0.89% on Sunday, 0.68% on Monday and 0.37% on Tuesday before gaining 0.72% on Wednesday and 0.21% on Thursday.

The blue-chip DS30 index edged up 2.13 points, or 0.10%, to 2,105.68 points. The Shariah-based DSES index fell 13.28 points, or 1.21%, to 1,086.97 points, while the large-cap CDSET index advanced 5.22 points, or 0.47%, to 1,108.48 points.

Market breadth remained heavily negative. Of the 385 stocks traded on the DSE, 290 declined, 81 advanced and 14 remained unchanged, meaning roughly three-fourths of the traded stocks ended the week lower.

Islami Bank Bangladesh, United Commercial Bank, Beximco Pharmaceuticals, Walton Hi-Tech Industries and Square Pharmaceuticals were among the major contributors to the DSEX's decline.

Mutual funds recorded the steepest sectoral fall, dropping 6.60% over the week. General insurance stocks declined 5.16%, non-bank financial institutions (NBFIs) fell 0.78% and life insurance stocks lost 0.33%. Bank stocks bucked the trend, edging up 0.04%.

Among large-cap non-financial sectors, pharmaceuticals recorded the biggest decline, falling 1.05%. Food and allied stocks slipped 0.19%, while engineering stocks lost 0.05%. Telecommunication stocks gained 0.27%, and fuel and power advanced 0.15%.

Textile stocks accounted for 32% of total DSE turnover, making the sector the largest contributor to trading activity. Pharmaceuticals accounted for 9.8%, followed by general insurance at 9.5%. Saiham Textile, Paramount Textile and Evince Textile were the most actively traded stocks during the week.

Apex Foods led the gainers, with its share price rising 26.66%, followed by Bangladesh Lamps at 17.10% and Aziz Pipes at 12.96%. Phoenix Finance First Mutual Fund was the worst performer, plunging 22.73%. Silva Pharmaceuticals fell 16.80%, while MBL First Mutual Fund declined 16.67%.

The Chittagong Stock Exchange (CSE) also recorded losses. Its All Share Price Index (CASPI) fell 1.15% to 14,661 points, while the Selective Categories' Index (CSCX) declined 0.92% to 9,017 points.

Despite the weekly setback, the DSE's major indices remained in positive territory year to date. The DSEX gained 12.54%, the DS30 rose 13.60%, the DSES advanced 8.62% and the CDSET increased 10.32%.

In its weekly market review, EBL Securities said the ailing capital market had extended its recovery for a second consecutive session, offering some respite from the recent downturn as bargain hunters returned to accumulate beaten-down stocks at increasingly attractive prices.

The market remained volatile, with trading reflecting active participation from both buyers and sellers. Stronger buying helped the market close in positive territory, although broader investor sentiment remained subdued amid expectations of lacklustre corporate earnings, the review said.

Bangladesh is set to seek US$1.0 billion in budget support from Japan during Prime Minister Tarique Rahman's tour later this month.

Officials have said the total sum will be sought in two instalments--$500 million in the current fiscal year and as much in the next year.

The prime minister is expected to undertake a 4-day Japan tour on October 26 for talks aimed at advancing bilateral cooperation, particularly in fields of trade, investment and economy.

The country received some $3.11 billion in budget support from the development partners in the fiscal year 2025-26 to tackle the economic shocks stemming from the prolonged conflicts in the Middle East.

Bulk of the money went for financing higher import costs of fuel oils, liquefied natural gas (LNG) and food items in particular.

Most of the amount came from the World Bank, the Asian Development Bank (ADB), Japan International Cooperation Agency (JICA) and the Asian Infrastructure Investment Bank (AIIB).

In FY 2024-25, Bangladesh had received some $3.0 billion in budget -support credits from the development partners.

However, according to Finance Division officials, the country is yet to receive any budget-support credit during the last three months of the current fiscal year.

Final negotiation is now set to begin to secure some $100 million from the OPEC Fund for International Development (OFID) as budget support that the government sought from the agency last year to cushion shocks from energy crisis. In FY'25, Bangladesh got $110 million from OFIDF as budget support.

According to officials concerned, presently no discussion is ongoing with the Japan International Cooperation Agency or JICA for any budget-support credit. In the last fiscal year, Bangladesh got $316 million from JICA and $414 million in FY'25.

Thus, the budget credit will be sought from JICA to manage higher spending for sourcing fuel oils and liquefied natural gas as their prices mounted due to conflict in the Middle East.

At present, initial discussion is going on with the Asian Development Bank to secure a number of budget-support credits but those may not be finalised before next March, officials say.

Bangladesh's economy began facing severe crisis since early 2022 when Russia invaded Ukraine that caused huge disturbance to the global economy, pushing up inflation significantly across the world.

The price hike of key commodities globally and fall of remittance inflows and export earnings had lowered the foreign-exchange reserves, forcing the government to take severe austerity measures.

To tackle the crises the government was forced to seek financial support from the International Monetary Fund (IMF) to support its dwindling economy. Subsequently, the IMF in January 2023 approved $4.7-billion loan for Bangladesh.

The Middle East conflicts early this year further pushed up fuel-oil and LNG prices following production and transportation disruptions, making the government spend millions as subsidy.

The subsidy spending is growing over the years, raising the operating expenditure of the government. So the government is looking for higher budget-support funds, to tackle the energy-price shock.

Dr Zahid Hussain, a former lead economist at the World Bank's Dhaka office, earlier told The Financial Express getting budget-support credit from development partners in many aspects depends on government's comfort position with the IMF.

"We need to cut budgetary spending as much as possible to face the crisis," he said, adding that containing spending will help lower import and thus the requirement of foreign currency will lessen.

He has suggested maintaining exchange-rate flexibility and ensuring that no gap remains between domestic and international energy prices.

Bangladesh is set to conduct feasibility study on the long-stalled Teesta river-management project on its own to avoid any external meddling and get a better way of managing the cross-border water basin, officials said.

Since the proposed Teesta project is a geopolitically sensitive one, the Bangladesh government wants to conduct the feasibility study with its own funds for finding out viability and justification for the water-management project, they added.

"There some geopolitical issues involved in the Teesta river-management project. This time, the government itself wants to go for the feasibility," a senior official of the Ministry of Water Resources told The Financial Express.

Bangladesh Water Development Board (BWDB) has recently undertaken a Tk 233.40-million project for feasibility study and sent to the Planning Commission (PC) for approval.

"We have undertaken the feasibility-study project before going to develop the water-management system and river-restoration programme in the Teesta basin," said a senior BWDB official.

The proposed project for development of the river waters will cover five northern districts--Nilphamari, Lalmonirhat, Rangpur, Kurigram and Gaibandha.

Bangladesh has a stretch of 120-km water flow out of the total 315 kilometres in the Bangladesh-India cross-border Teesta River. The river originated in Sikkim, India.

The project is among the most closely watched infrastructure initiatives in the country, and it has drawn interest from major regional and global powers.

The past interim government last year sent a Preliminary Development Project Proposal (PDPP) to Chinese seeking necessary funds for the 1st phase of the "Teesta River Comprehensive Management and Restoration Project (TRCMRP)".

The government wanted to start project works in January next and complete the first phase within four years. It ultimately didn't proceed and the current BNP-led government now prepared the feasibility-study project for a better start-off.

Meanwhile, during Prime Minister Tarique Rahman's visit to China in June last, the two countries advanced cooperation on the Teesta project, including a new feasibility-study effort.

Besides, nearly a decade ago in September 2016, a memorandum of understanding (MoU) was signed between BWDB and China's state-owned Power Construction Corporation (Power China). But that project didn't advance either due to "shifting geopolitical circumstances".

Water resources ministry officials have said the fresh study would be crucial to taking the plan toward implementation, and that it would determine the precise locations and scope of the proposed works.

They stress that this is not the end of the planning stage. Environmental-impact assessment, final design, government approval, financing and field-level implementation would have to be done after the feasibility study.

According to the feasibility-study project proposal, the BWDB would conduct the study between October 2026 and March 2028.

Under the component-1 of the study project, the Board will analyse river erosion, flood, sedimentation and water-scarcity problem, and will develop "adaptive, integrated and sustainable plan".

In the componenent-2, the water development board will develop high-quality and scaled physical model representing the Teesta River focusing area under realistic hydrodynamics and sediment-transport condition, and prepare detailed data-sheet to support calibration, validation and performance evaluation of the models.

The Teesta originates in the Himalayas, flows through Sikkim and West Bengal and enters northern Bangladesh before falling into the Jamuna River.

Bangladesh's section of the river supports irrigation, agriculture, fisheries and the livelihoods of communities in the Rangpur region.

The proposed TRCMRP aims to manage the river as a basin-wide infrastructure and restoration project, with several objectives like reducing riverbank erosion and monsoon flooding, dredging sediment and improving river-channel management, storing and managing water to help address dry-season shortages.

Also, the project aims to reclaim land for agriculture and other economic activities; improve embankments, transport links and river access, restore the river ecosystem, and support communities along its banks.

The Teesta plan comes as the government commits heavily to water infrastructure. It recently approved the first phase of the Padma Barrage project, worth over Tk 330 billion.

Bangladesh and India have negotiated a proposed interim water-sharing agreement for years. A draft was finalised in 2011, but it was not signed. India's federal and state-level political considerations, including the position of West Bengal, have been major obstacles to reaching agreement.

In their September 2022 joint statement, the two countries reiterated the need to work towards a Teesta water-sharing agreement. India's official position has also referred to reaching an equitable agreement acceptable to all stakeholders.

The central issue is seasonal water availability. Bangladesh needs sufficient dry-season flow for irrigation and livelihoods, while farmers and water users in India's West Bengal also depend on the river.

Bangladesh's overall economic activity slipped into slight contraction in September as manufacturing, construction and services weakened, pushing the country's Purchasing Managers' Index (PMI) down 1.3 points month on month to 48.6, while agriculture remained resilient.

The decline reflected persistent weakness in manufacturing and a return to contraction in construction, while services remained marginally in contraction. Agriculture continued to expand.

The Metropolitan Chamber of Commerce and Industry (MCCI), Dhaka, and Policy Exchange Bangladesh (PEB) released the Bangladesh PMI report on Thursday.

The PMI is a pioneering initiative aimed at providing timely and accurate insights into the country's economic health to help businesses, investors and policymakers make informed decisions.

It was developed by MCCI and Policy Exchange, with support from the UK Government and technical support from the Singapore Institute of Purchasing & Materials Management (SIPMM).

Dr M Masrur Reaz, chairman and CEO of Policy Exchange Bangladesh, said, "The September PMI shows that Bangladesh's economic dynamism remains under pressure, as weakness in manufacturing, construction and services weighed on overall performance."

"Agriculture's continued expansion provides resilience, while slightly positive expectations across all sectors offer a basis for recovery. Strengthening domestic and export demand, ensuring reliable energy supply, easing financing constraints and containing cost pressures will be important to restore momentum," he added.

The agriculture sector recorded its 13th consecutive month of expansion, although the index declined by 1.3 points to 55.2.

New orders, new export orders, output, stocks of input purchases and finished goods, and imports continued to contract at a faster rate.

Employment reverted to marginal expansion, while input prices continued to rise. Order backlogs recorded a strong contraction, while supplier delivery times recorded slower expansion, it said.

The manufacturing sector declined by 2.6 points to 44.8, recording contraction.

The construction sector returned to contraction after expanding in August, declining by 3.8 points to 48.5. New business and construction activity contracted, while employment remained unchanged. Input costs continued to expand strongly, but at a slightly slower rate. Order backlogs reverted to expansion.

The services sector recorded a second consecutive month of marginal contraction, declining by 0.2 points to 49.0. New business and business activity reverted to contraction, while employment experienced slower contraction. Input costs expanded strongly, while order backlogs remained in contraction.

Respondent feedback for September reflected a cautious and mixed outlook for future business conditions.

Some firms expected activity to improve in the coming months, supported by confirmed orders, reliable buyers and the prospect of stronger seasonal demand during the approaching winter and peak business season.

However, many respondents remained concerned about repeated fuel and oil price increases, rising input and operating costs, weak consumer purchasing power, electricity and gas shortages, and limited access to bank financing.

Several firms also noted that prevailing economic uncertainty made it difficult to plan ahead, with some anticipating further deterioration if fuel prices and other cost pressures continue to rise. Overall, the feedback indicates that business confidence remains cautious. Future prospects will depend largely on stronger domestic demand, reliable energy supply, improved access to finance and a reduction in cost pressures.

Looking ahead, the Future Business Index indicates expansion across all four sectors, reflecting cautious optimism about business conditions.

Chattogram Custom House's revenue collection rose nearly 11% year-on-year in the first quarter of the current fiscal year, but the customs station still fell Tk9,949 crore short of its revenue target as September imports and assessable values declined.

The customs house collected Tk22,083 crore in July-September of FY27, up from Tk19,902 crore a year earlier, according to data from the Asycuda World system. However, the collection was 31% below the quarterly target of Tk32,032 crore.

The shortfall came as total import volume through the customs house declined 4.1% year-on-year in September, while the assessable value of imports fell 2.98%.

Sharif Al Amin, assistant commissioner and spokesperson for Chattogram Customs House, said revenue collection largely depends on import volume. However, the quarter's growth came largely from imports of goods with higher import duties.

"Despite the decline in import volume in September, revenue grew substantially in the first quarter as imports of high-value goods increased," he said.

On the gap against the target, Al Amin said the customs house remained behind its target in the first quarter but expected to recover the shortfall in the coming months.

Import volume and value fall in September

In September, customs handled 90.84 lakh tonnes of imports, down from 94.73 lakh tonnes a year earlier, while the assessable value fell to Tk48,642 crore from Tk50,136 crore.

The decline was concentrated in major duty categories. Imports under the 0% duty category fell by 1.44 lakh tonnes, while their assessable value dropped 9.26% to Tk21,694 crore.

The 15% and 25% duty categories also recorded lower import values, with assessable values declining by Tk513 crore and Tk695 crore respectively.

The 5% duty category presents a more striking picture. Import volume rose 1.24%, but its assessable value plunged 35.53% to Tk4,174 crore.

This suggests that the composition of imports within the category or international commodity prices had a significant effect on the customs valuation.

The 10% category showed an opposite trend. Its import volume declined marginally by 5,963 tonnes, but the assessable value increased by Tk469 crore, or 9.90%, to Tk5211 crore.

25% duty slab remains biggest revenue source

Chattogram Customs collected Tk7,581 crore in September, up 8.31% year-on-year from Tk7,000 crore. But the collection was 27.90%, below the Tk10,502 crore monthly target.

The 25% duty category remained the largest source of revenue for Chattogram Customs in September, but collections from the slab fell 21% year-on-year to Tk2,033 crore.

The decline in the highest-duty category was particularly significant because of its large contribution to total customs revenue.

Revenue from the 5% and 15% duty categories also declined, falling 28.32% to Tk873.40 crore and 21.85% to Tk590 crore, respectively. Collections from the 1% category plunged 79.76% to Tk48.50 crore.

The declines were partly offset by stronger collections from other slabs. Revenue from the 3% category surged 241%, while collections from the 10% and 0% categories rose 8.72% to Tk1,336 crore and 9.39% to Tk804 crore, respectively.

Quarterly trade activity expands

The broader first-quarter picture was stronger, with total import volume rising 3.63% to 2.50 crore tonnes and assessable value increasing 9.26% to Tk1,46,801.56 crore.

The increase in trade activity helped drive 10.96% growth in customs revenue, although performance varied across duty categories.

The 0% category remained the largest by import volume, rising 10% to 1.13 crore tonnes, while its assessable value increased 8% to Tk66,271 crore.

The 3% category recorded the sharpest expansion, with import volume more than tripling and assessable value surging 394% to Tk6,672 crore.

In contrast, import volume under the 1% category fell 60%, while the 5% category saw a 1.64% decline in volume and a 26% drop in assessable value.