Business
Bangladesh participates in Global Sourcing Expo Sydney 2023
The three-day Global Sourcing Expo Sydney 2023 has begun at the International Convention Centre in Sydney, Australia.
Some 22 companies from Bangladesh in the fields of apparel, textile, jute, home decor, and gifts are participating in the event under the initiatives of the Bangladesh High Commission in Canberra.
Among them, eight exhibitors in readymade garments are funded by the Export Promotion Bureau of Bangladesh.
Read: Trade in Rupee with India will start a new era of trade in different currencies: Experts
Bangladesh High Commissioner to Australia, M. Allama Siddiki, and Chief Executive of the organizing firm, Marie Kinsella, inaugurated the exhibition of Bangladeshi products at the Global Sourcing Expo.
The Consul General of Bangladesh in Sydney, Commercial Counsellor and other officers of the High Commission were present there.
Australia’s global sourcing trade show is held twice a year with expos in Sydney and Melbourne. It brings together more than 350 manufacturers and suppliers from around the world.
Read: Chinese company to invest US$ 76.41 million at BEPZA Economic Zone
This international trade show provides a platform for businesses to showcase their products, explore new markets, and establish valuable connections.
The expo provides enhanced opportunities for global exporters, manufacturers, and producers to reach their targeted trade-buying audience.
Read: Deal signed to import 1.80 lakh tonnes of fertiliser from Russia
Apparel scores top in Bangladesh-Australia bilateral trade.
The ready-made garment (RMG) constitutes about 93% of total export to Australia. Bangladesh is the 32nd largest trade partner of Australia.
How to Build Social Capital to Grow Your Business
Since the COVID-19 pandemic, businesses have been navigating a rapidly changing landscape. Traditional revenue generation methods may no longer be as effective, and companies are looking for innovative approaches to drive growth. One such powerful yet often overlooked strategy is leveraging social capital. By effectively utilizing social capital, businesses can enhance revenue generation and gain a competitive edge. Let's take a look into the concept and methods of social capital building.
What is Social Capital?
Social capital refers to the value embedded within the relationships and networks a company has built with various stakeholders, including employees, customers, suppliers, and the wider community. It encompasses trust, shared norms, and mutual obligations.
Social capital can manifest in various forms, such as strong customer relationships, influential industry connections, and a supportive network of partners. It represents an intangible asset that companies can leverage to gain a competitive advantage and stimulate revenue growth.
Read more: How to Build a Successful Company?
Significance of Social Capital in Business
Social capital holds immense significance in the business realm. It enables companies to access resources, knowledge, and opportunities that might otherwise be unavailable. By fostering strong relationships with customers, companies can enhance customer loyalty, drive repeat business, and benefit from positive word-of-mouth referrals.
Additionally, social capital facilitates collaboration and knowledge-sharing among employees, leading to increased productivity and innovation. Companies with robust social capital often enjoy favorable partnerships, joint ventures, and business opportunities that arise from a strong network.
Ways to Build Social Capital for the Growth of Your Business
The following strategies can help you develop social capital and generate more revenues for your business or company.
Building A Strong Network
Building a strong network involves actively connecting with individuals and organizations within your industry and related fields. It would be helpful if you attend conferences, industry events, and trade shows to meet potential customers, partners, and influencers.
Read more: Silent Partner vs Investor in Business: Know the Difference, Pros and Cons
You may engage in networking activities both online (LinkedIn can be a great option) and offline, such as joining professional associations or participating in industry-specific forums. Attempt to actively seek opportunities to establish relationships and build rapport with key individuals.
Cultivating Relationships
Once you have established connections, it would be better to focus on cultivating meaningful relationships. It is essential to invest time and effort in nurturing these relationships by providing value, offering assistance, and sharing relevant insights. You can develop yourself as a resource by sharing industry knowledge, providing support, and connecting individuals who can benefit from each other.
By consistently demonstrating your willingness to help and contribute, you can strengthen your social capital and increase the likelihood of receiving support and referrals.
Read more: What to Consider Before Investing in a Startup or Company?
Growing Strong Customer Relationships
Try to focus on building meaningful connections with your customers. Building and nurturing strong relationships with customers is essential for utilizing social capital. Companies can focus on providing exceptional customer experiences, personalized services, and addressing their needs effectively. By going the extra mile to foster trust and loyalty, businesses can benefit from positive customer testimonials, repeat business, and increased referrals.
Walton to hold first-ever mega 'International Advanced Components and Technology Expo' in August
Along with home appliances like fridge, TV, AC, Walton is producing more than 50,000 types of industrial materials, components and solutions products, including PCB, motherboard, mold and die, nut-bolt, screw, master batch, glue, tap etc.
Most of them are being used at various stages in almost all types of industrial sectors.
After meeting local demands, Walton has been exporting these products to different countries of the world with a huge potential for further growth in exports as demands for the products have increased in the world market.
Also read: Walton sees surge in fridge sales ahead of Eid-ul-Azha
To grab such opportunities, Walton's Advance Technology Solution (ATS) Department is going to arrange the country's first-ever mega industrial expo titled 'International Advanced Components and Technology Expo-2023 (ATS)' to highlight the Walton's manufactured electrical and electronics goods, home and kitchen appliances, ICT devices, industrial materials, components, testing lab and solutions before domestic and foreign industrial buyers and visitors.
The ATS Expo-2023 is scheduled to be held from August 10 to 12 this year at the Hall No-1 of International Convention Center Bashundhara in the capital.
Also read: Walton exports ‘Made in Bangladesh’ ACs to Yemen and Mali
In this regard, Golam Murshed, Managing Director and CEO of Walton Hi-Tech Industries PLC, said that the main objective to organize the ATS Expo is to increase the domestic industries' empowerment by providing quality industrial materials, components and testing solutions to the leading industrial organizations, strengthen the growth of the industrial sector, save billions of dollars foreign currencies cutting the import bills, increase export earnings and accelerate the national economic prosperity.
He also said the ATS Expo will be the first and largest international industrial fair of a single organization in Bangladesh. Over 50,000 sorts of environment-friendly green technology energy saving electrical, electronics, home and kitchen appliance products, industrial materials, components, testing labs, facilities and machinery will be displayed in this expo.
Also read: Walton Orbit Y21 Review: Budget-friendly phone with a smart look
From now, this expo will continue every year to draw the attention of local and foreign buyers, he said, “We have a plan to organize such exhibitions outside the country”.
Along with the manufacturing plants, country's largest research and innovation center and several international standard testing labs, including NUSDAT-UTS, have been built at the Walton headquarters at Walton headquarters in Chandra Gazipur to facilitate the testing solutions of products manufactured by other leading industrial organizations of the country.
After securing the top position in the domestic market, Walton products are being exported to more than 40 countries in Asia, Europe, America, Middle East and Africa.
Also read: Walton posts Tk 250 crore profit despite dollar price hike
The international standard testing lab 'NUSDAT' established at Walton Headquarters is accredited by Bangladesh Accreditation Board (BAB). Product quality reports from BAB-accredited testing organizations are directly acceptable to member countries of International Laboratory Accreditation Cooperation (ILAC) and Asia-Pacific Laboratory Accreditation Cooperation (APLAC).
At the ATS Expo-2023, electrical and electronics goods, industrial materials, components, solutions, ICT and digital devices and also testing solutions products will be displayed in 4 categories, including Testing Solutions, Services, Products and Industrial Materials and Components.
Also read: Walton's business thrives in Q3 of FY 22-23
Trade in Rupee with India will start a new era of trade in different currencies: Experts
Bangladesh will start trade with India in Rupees in order to reduce stress on the US dollar requirements from Tuesday .
Experts and businesses opined that it will save $2 billion dollars at least annually, which Bangladesh may use for other purposes.
Besides, a significant portion of the dollar will be saved from the informal sector, which was spent by travelers to India for different purposes, following another initiative of dual currency cards, they said.
Former governor of Bangladesh Bank (BB) Dr Atiur Rahman told UNB that Bangladesh's trade in Indian Rupees will start in regional trade with an alternate currency which will also incorporate Bangladesh Taka subsequently.
Read: Despite over 8% revenue collection growth, Tk 44000 crore shortfall in FY 2022-23
This will help take some pressure off the ACU payment settlement which takes place every two months, he said.
However, this will be only a small step as there is a huge imbalance in Indo-Bangladesh trade, Dr Atiur said.
“Bangladesh exports about $2 billion to India against India exporting nearly eight times of that amount. So, our designated banks can open accounts in Indian designated banks and put export proceeds in Rupees,” he opined.
Read: Khurshed Alam elected chair of Finance Committee of the International Seabed Authority
Similarly, Indian banks can open Taka accounts in Bangladesh banks to put their export proceeds in Taka to a limited extent. The rest of the payments will continue conventionally in dollars, he said.
The dollar being the dominant currency, the trading in Indian Rupee will be only partial and experimental.
“We will learn by doing. One should not be complacent about it, although this can be a new way of transactions in regional alternate currencies,” Dr Atiur added.
Read: Bangladesh Bank working to normalise inflation and dollar crisis despite geopolitical challenges
President of India-Bangladesh Chamber of Commerce and Industry (IBCCI) Abdul Matlub Ahmad told UNB that Bangladeshi traders incur an additional cost of 4-6 percent that will be saved if taka-rupee transactions are started.
Nagad now has 8 crore customers
Mobile financial services Naga has reached of 8 crore customers recently.
Nagad celebrated the accomplishment on Sunday along with the return of its brand ambassador cricketer Tamim Iqbal, said a press release.
Also read: Nagad welcomes govt’s move to increase safety net allocation
“Nagad will play a pivotal role in building a cashless society. It will continue to go ahead and acquire more customers at a pace even faster than it has reached the 8-crore milestone,” said Tamim.
“I am a member of Nagad family. I followed Nagad even before I became part of it. It is very surprising that Nagad has acquired 8 crore customers in such a quick time. I have complete trust in Nagad family. I hope our customers will double soon,” he added.
Also read: Nagad holds 'Distributors Meet 2022'
Nagad was inaugurated on March 26, 2019 by Prime Minister Sheikh Hasina. And it quickly made a significant influence on the market. The organisation went on achieving a 1 crore customers in January of the following. In August of that year, its user base had grown to 2 crore. Nagad's clients surpassed 3 crore in March 2021, 4 crore in April, and 5 crore in June 2021. In February and December 2022, the number of its clients topped 6 crore and 7 crore, respectively, the release added.
“The positive response that we have been receiving from our customers over the last four years encourages us to go for new innovations and expand our services. We want to bring all kinds of financial transactions of all the people in our country to a digital platform. In this way, Nagad will contribute to the country’s socioeconomic development,” said Tanvir A Mishuk, founder and managing director of Nagad Limited.
Also read: Nagad became a billion-dollar company in just 3 years, 5 more Bangladeshi unicorns by 2025: Palak
Social safety net allowances and education stipends are now being disbursed through this state-owned MFS carrier. Besides, Nagad is distributing government aid and allowances of different ministries, the release also said.
Despite over 8% revenue collection growth, Tk 44000 crore shortfall in FY 2022-23
The National Board of Revenue (NBR) ended the fiscal year 2022-23 with a revenue shortfall of Tk 44000 crore, despite revenue generation growth by 8.12 percent compared to the previous financial year.
However, the final calculation of value added tax (VAT) is yet to come. July 15 is the last day to submit VAT returns. At the end of that time, a large amount of money will accumulate, and NBR officials believe that the deficit will decrease somewhat.
In FY 2022-23, the revenue collection target was Tk 3.70 lakh crore. According to NBR's provisional account, Tk 3.25 lakh crore revenue has been collected. There is a shortfall in revenue collection target of around Tk 44000 crore.
Read: NBR Chairman defends min Tk 2,000 tax for TIN holders
According to the NBR, around Tk 91717 crore revenue has been collected against the target of Tk 1.11 lakh crore from the import-export, i.e. customs, sector. At the lowest growth of 2.56 percent, the deficit is about Tk 19283 crore.
On the other hand, despite the maximum growth of 11.5 percent in the VAT sector, against the target of Tk 1.37 lakh crore, Tk 1.20 lakh crore have been collected.
The target of revenue collection from the income tax sector was Tk 1.22 lakh crore. Tk 1.12 lakh crore has been collected. The income tax sector saw a growth of 9.62 percent.
In the last financial year FY22, the revenue deficit was Tk 28000 crore. A revenue of Tk 3.852 lakh crore was collected in that year.
Read: Expand tax net and integrate digital system to enhance tax-GDP ratio, ICAB urges NBR in budget proposal
A senior NBR official told UNB that 87.91 percent of the revenue collection target has been achieved against the targets in three categories of NBR in FY23.
In the current fiscal year 2023-24, the revenue collection target has been set at Tk 4.30 lakh crore.
Read more: C&F agents call off strike on NBR assurances
IBBL launches ‘Smart Bangladesh Smart Banking’ campaign
Islami Bank Bangladesh Limited (IBBL) on Sunday launched a month-long campaign titled ‘Smart Bangladesh Smart Banking’.
Mohammed Monirul Moula, Managing Director and CEO of the Bank, inaugurated the campaign as the chief guest at IBBL Tower in the city.
Read: Standard Chartered Bank clinches “Best International Bank in Bangladesh” award
Muhammad Qaisar Ali, J Q M Habibullah, FCS and Md. Altaf Hossain, Additional Managing Directors addressed the function as special guests.
Presided over by A.F.M Kamaluddin, Deputy Managing Director, senior officials of the bank were present at the function.
The IBBL CEO Moula said that digital transactions have been increased among people due to the dissemination of information and communication technology.
Read: HSBC arranges thought leadership digital session with airline industry
“People are now comfortable with such transactions without visiting bank premises. Our alternative banking services across the country continue to gain global recognition,” he added.
He said that smart banking is one of the components of the national vision for building a developed country through the establishment of Smart Bangladesh.
He called upon all officials of the bank to encourage customers about digital transactions including app-based transactions like CellFin, iBanking, ATM-CRM, POS machine, QR merchant, cash-by-code and mobile banking.
Khurshed Alam elected chair of Finance Committee of the International Seabed Authority
Secretary, Maritime Affairs Unit Rear Admiral (Retd) Md. Khurshed Alam has been unanimously elected as the Chair of the Finance Committee of the International Seabed Authority (ISA).
This is for the first time since the establishment of ISA in 1994, Bangladesh has become Chair of this committee. Canada's Kenneth Wong was elected as Vice Chairperson.
The decision was taken in the Finance Committee Meeting of the International Seabed Authority held on 5-7 July 2023 at the ISA Headquarters in Kingston, Jamaica.
BMCCI holds seminar on Land Laws in Bangladesh
The Bangladesh-Malaysia Chamber of Commerce and Industry (BMCCI) has concluded its seventh LegalTalk seminar on "Land Laws in Bangladesh: How to Buy or Lease Property".
The seminar was held at the BMCCI secretariat in Dhaka on Saturday, according to a press release.
Also read: BMCCI inks MoU with DPMM to enhance trade, investment ties with Malaysia
Barrister Miti Sanjana, partner at the Legal Counsel, elaborated on the intricate legal aspects of buying or leasing property in Bangladesh at the seminar.
With her extensive experience in the legal field, Miti provided insights into the legal framework governing land laws in Bangladesh, said the releasae.
BMCCIs President Syed Almas Kabir welcomed the participants and introduced the speaker to them.
Also read: 5th BMCCI LegalTalk seminar on tax law, foreign investment held
“This seminar is organized for those who want to understand the land law that correspondence with doing business in our country for home or abroad investors,” he said.
In her discussion, Miti mentioned how business environment came over so well despite the bitter past in policy and overall business situation. She marked several reasons why business people in Bangladesh may face challenges when it comes to land laws on buying or leasing properties.
Some of the common issues include complex legal procedures, unclear land ownership, fraudulent land deals, and lack of transparency in land transactions. Additionally, the bureaucratic process of obtaining permits and approvals can also be time-consuming and cumbersome. These factors can make it difficult for business people to navigate the legal framework governing property acquisition in Bangladesh, the release added.
Also read: BMCCI holds seminar on 'Legal Framework of Doing Business in Bangladesh'
BMCCI Senior Vice President Shabbir Ahmed Khan gave the concluding remark.
Bangladesh Bank working to normalise inflation and dollar crisis despite geopolitical challenges
Bangladesh Bank (BB) is moving forward cautiously with optimism to reduce the stress on the economy, which was created by the US dollar crisis and higher inflation.
The central bank underscored such observations in a quarterly report on the economy. It said the economy remained under stress from external effects, including rising commodity prices and supply disruptions due to the ongoing Russia-Ukraine war, global economic slowdown, and volatility in the financial sector.
Read: BIDA will soon provide single-point entry to domestic and foreign investors
The issue is related to geopolitical conflicts and the situation would not be resolved overnight. So, banks and other financial institutes should be careful in future financial plans, as stated in the report.
The central bank publishes such reports every three months with updated data on the overall economy of the country.
According to the report, Bangladesh is under pressure of geopolitical conflict for the first time. Its negative impact has not yet hit the economy. But the economy is under pressure. In this case, steps should be taken with caution.
Read: Bangladesh Bank introduces 'market-based' dollar exchange rate with rate cap
A large part of the economy is dependent on the United States, Canada, and the European Union. Most of the foreign investment in Bangladesh comes from these regions. About 82 percent of exports go to these countries.
On the other hand, 72 percent of imports are coming from India and China. Most of the remittances are now coming from America. There is a danger that Bangladesh's export earnings and remittances will be damaged due to the geopolitical conflict that has arisen at present.
Geopolitically, China's disagreement with the United States has come to the fore. Bangladesh is very careful in making decisions based on these two countries.
Read: Dollar exchange rate for repatriated export income increased to Tk107.5
Besides, the United States is criticizing Bangladesh quite harshly on issues of democracy and human rights. Bangladesh is not willing to accept its criticism, although it is said that Bangladesh is focused on maintaining good relations with all countries.
Meanwhile, the import policy of the United States has been arranged in such a way that the export income of Bangladesh to the United States has decreased by about 12 percent in the last year.
Earlier, due to some restrictions given by the US and the recent visa policy, the money of Bangladeshis is coming to the country in the form of remittances from the US and the remittance flow increased suddenly from the US.
The report said Bangladesh is already dealing with the negative impact of price-hiked goods in the global market and the disruption of the supply system due to the effect of the Russia-Ukraine war. Its effects are still there.
The global economic slowdown caused by the war's impact is still hitting Bangladesh's economy. There was instability in the financial sector. Now it has started to ease. The supply of liquidity in banks is increasing.
The Central Bank has expressed optimism that this situation will improve in the coming days.