local-business
Budget offers no good news for lower, middle income groups: CPD
The Center for Policy Dialogue (CPD), a private think-tank, has found no good news for lower and middle-income groups in the newly announced budget, voicing doubt about government’s ability to lower the inflation rate at 5.6 per cent.
Finance Minister AHM Mustafa Kamal placed the budget for FY2022-23 expecting inflation rate to come down to 5.6 per from over 6.29 per cent (in April as per BBS).
Also read: Budget to make economy stronger: Finance Minister
Experts and economists believe the inflation has hit over 10 per cent.
As a result, lower, middle class and fixed income groups will face challenges to run a family as the commodity prices are unlikely to come down if the inflation trend remains higher.
The CPD made the observation at a press conference in a city hotel on Friday, a day after presentation of Bangladesh’s national budget of Tk6.78 trillion for the upcoming fiscal year starting from July 1.
“The prices of all kinds of goods including fuel oil and food products are increasing in the international market. Commodity prices have been rising in the world market since the Covid-19 situation began to normalize,” said Dr Fahmida Khatun, executive director of CPD.
She said, "The budget has not taken adequate steps to reduce the prices of essential commodities. It was necessary to reduce the prices of 29 commodities including rice and pulses, but it did not happen. The CPD had recommended a reduction in taxes to reduce the prices of commodities. But that too was not kept.
Budget FY23: Lower allocation for key mega projects worries FICCI
The Foreign Investors' Chamber of Commerce and Industry (FICCI) has raised concerns about the reduced allocation for some key mega projects in the proposed national budget for the fiscal year 2022-23.
The move will result in slowing the implementation of the projects as well as raise the total cost of the projects, according to FICCI.
"We feel instead of reducing the allocation in mega projects, the government could concentrate on enhancing the quality of spending, which could bring further efficiency as well as generate employment," the apex chamber of multinational companies doing business in Bangladesh said.
It also expressed concern about financing the deficit from banking sources, as that may tighten the liquidity situation.
Also, FICCI has said an entity is required to pay the Workers Profit Participation Fund (WPPF) as per the provision of labour law.
"It is not a dividend but rather an expense, a portion of which is also payable to the government. It is an expense not at the discretion of the company but a compulsion. Moreover, an individual is required to pay tax on it for an amount exceeding Tk50,000. Disallowing such a legitimate business expense will increase the tax burden of the compliant businesses," FICCI said.
"No significant changes have been made in section 56 of the ITO, 1984 except for bandwidth and other payments. The current TDS rate in section 56 is extremely high which should have been rationalised."
"Considering the overall existing macroeconomic scenario and increasing inflation rate, we feel the tax ceiling for individuals should have been increased, which has not been changed for the last two fiscal periods," FICCI said.
The budget proposed amnesty on the declaration of foreign assets in tax return by paying tax at different rates.
"We do not encourage this kind of amnesty, but as the foreign minister mentioned to bring the undisclosed monies from abroad back to the country to shore up reserves as a reason we appreciate. However, out of the three options, the one where cash and equivalents are brought back to Bangladesh seems to be the only one that supports the intention."
"The other two options where moveable and Immoveable properties are kept outside of Bangladesh may well go against the stated objective, in fact, these two may result in more money going out of the country," the chamber said.
The corporate tax rate for certain listed and non-listed companies will be cut by 2.5 percent subject to certain conditions.
"Corporate tax reduction has become a consistent change in tax policy which is welcoming. But considering the current economic condition and infrastructure, the proposed cash transaction limit must be increased," FICCI said.
"Tax deduction at source from payment to raw material suppliers will be reduced to 4 percent from 7 percent which will minimize the gap between statutory tax and an effective tax rate of those suppliers. We still believe TDS should not be made applicable for the supply of raw materials."
"Reduced tax rates at 10/12 percent have been introduced for all general industries exporting goods and services. Insertion of the definition of export will reduce the complexities of the export of goods and services. We also believe that this sort of export-friendly initiative will bring export diversification and bring down the trade deficit with other countries."
IBBL signs MoU with BRB Hospital
Islami Bank Bangladesh Limited (IBBL) recently signed an agreement on corporate facilities with BRB Hospital.
Under the deal, IBBL cardholders, the bank's officials and their family members will get a discount, up to 25 percent, from the hospital.
Read: NOVOAIR offers two nights free hotel in Cox's Bazar
JQM Habibullah, deputy managing director of IBBL, and Dr Md Monsur Ali, director of BRB Hospital, signed the MoU in the capital.
Bangladesh yet to reap full benefits of Chinese market facilities: Speakers
Despite obtaining almost 98 per cent duty-free market access in China, Bangladesh cannot take the opportunities properly yet due to lack of aggressive export promoting activities, building a solid B2B linkage, establishing a local presence, and participating in online sales, speaker said on Wednesday.
They suggested focusing on product quality and diversification, and signing a trade agreement to boost Chinese investment-backed export expansion.
The observations came from the seminar on ‘Making the Most of Market Access in China: What Needs to be Done?’ jointly organized by Bangladesh China Chamber of Commerce and Industry (BCCCI) and Research and Policy Integration for Development (RAPID) in the city on Wednesday.
Ambassador of China to Bangladesh Li Jiming hoped that Bangladesh would be member of Regional Comprehensive Economic Partnership (RCEP) soon which will help Bangladesh to promote export and welfare by trade and investment facilitation.
“The relationship between Bangladesh and China is well in trade and investment. However, Chinese commercial bank can be set up in Bangladesh for the sake of financial cooperation more. There are a lot of projects under taking by Chinese companies in Bangladesh. Many mega projects will also complete soon,” he added.
Jiming also said Bangladesh has a brighter future. There is a meaningful industrialisation. “China government provides Bangladesh zero tariff export facilities. It’s a very crucial. We are working G2G as well.”
Read: Chinese investors can maximise profits by setting up industries in Bangladesh: Envoy
Commerce minister Tipu Munshi said, “Our apparels are exported more to the USA and European countries but the volume is lower in Chinese market. We have to work and make proper strategy to take the opportunities.”
He said Bangladesh is going to graduate LDC by 2026 and now they need a comprehensive action plan. “Besides, the gabs in different sectors should be addressed soon. And, more and more fairs and branding of our products are also requirement,” he added.
Presenting key-note paper, RAPID chairman Dr. Mohammad Abdur Razzaque said despite obtaining zero-tariff market access facility to most products, Bangladesh’s exports to China remain rather modest. Since 2021, China has provided Bangladesh duty-free market access in almost 98 per cent of tariff lines.
Prior to that, Bangladesh used to get similar market access in 61 per cent of Chinese tariff lines.
“Bangladesh exported to China $680 million in 2021 FY while Bangladesh imports around $13 billion from China each year. Bangladesh’s potential exports to China should be at least $3 billion,” the economist said.
He said China imports products from different countries every year worth around $2.7 trillion dollars. So, it has huge market.
“Bangladesh’s duty-free benefits will end with LDC graduation. Bangladesh should negotiate a trade agreement with China. As part of the agreement, China can consider Bangladesh as a regional manufacturing hub to supply to other markets,” the economist also said.
Read: 5,161 more Bangladeshi products to enjoy zero tariff benefits to Chinese market from July 1
He added that Chinese consumers are focusing more on high-quality products. Bangladesh should develop a long-term strategy for export promotion to Chinese as China will soon emerge as the world largest retail market.
RAPID executive director and also Dhaka University professor Dr M Abu Eusuf moderated the function and with BCCCI president Gazi Golam Murtoza in chair.
BCCCI Acting Secretary General Al Mamun Mridha said the trade gap between the two countries should be reduced. “Bangladesh can take the opportunities through product value addition and sipping cost should be reduced to facilitate trade.”
He also urged China investors to invest more in Bangladesh’s potential sectors like e-commerce and agriculture.
Vice Chairman of Export Promotion Bureau (EPB) AHM Ahsan said they scrutinise how to increase Bangladesh’s export volume.
“Our main exportable item is RMG. Our export growth is low in Chinese market despite obtaining more tariff facilities there. We have to work as per the demand of Chinese market,” he added.
NOVOAIR offers two nights free hotel in Cox's Bazar
NOVOAIR announced two nights of the free hotel on purchasing two return tickets to Cox’s Bazar route.
To enjoy this offer, tickets must be purchased from the NOVOAIR sales counter by June 30, and travel must be completed by July 31, said a media release.
NOVOAIR offered free room hotels in Cox's Bazar are:
Ocean Paradise Hotel & Resort, Hotel The Cox Today, Seagull Hotel, Neeshorgo Hotel & Resort, Windy Terrace Hotel, and Grace Cox Smart Hotel. Apart from this offer, NOVOAIR announced attractive holiday packages with other renowned hotels.
Also Read: NOVOAIR celebrates its 9th anniversary
NOVOAIR operates daily flights from Dhaka to Cox's Bazar at 7:45am, 8:45am, 10am, 11am, 2:20pm, and 4pm.
Similarly, flights from Cox's Bazar to Dhaka are operated daily at 9:20am, 10:20am, 11:35am, 12:35pm, 3:55pm and 5:35pm.
Apart from Cox's Bazar, NOVOAIR operates daily flights from Dhaka to Chattogram, Jashore, Saidpur, Sylhet, Barishal, and Rajshahi and international destinations in Kolkata, it added.
Read Novoair may resume flights to Kolkata from March 27
X80 5G available in stores
Global smartphone brand vivo recently brought its newest flagship phone X80 5G to Bangladesh.
The phone is now available in stores, the company said.
Vivo X80 5G – the third vivo smartphone to come up with a Zeiss camera lens – features a 50MP ultra-sensing sensor that allows the users to capture beautiful images even if it is dark.
Read Vivo T2x Review: Should you consider this midrange gaming phone?
The camera is powered by vivo V1+ Chip and the ZEISS T Coating. ZEISS T Coating helps reduce light reflection, allowing users to capture more true-to-life images. Vivo V1+ Chip is meant to improve the device's imaging, display, and game graphics.
The device also provides cinematography enthusiasts with Zeiss Professional Video. Multiple professional modes, such as Zeiss Cinematic Style Bokeh and AI Video Enhancement, are included in the function.
The Zeiss Cinematic Style Bokeh gives consumers a film lens effect, making videos more elegant and film-like. The AI Video Enhancement provides seamless transitions by detecting scene changes.
Also Read: Vivo X80 5G top features
To cater the professional photographers, the Zeiss Style Portrait feature improves the users' portrait experience.
X80 5G is also equipped with MediaTek Dimensity 9000 processor, which offers a 45 percent increase in performance over its predecessor, and a 4500mAh battery.
The Fluorite AG Glass offers a good grip with zero fingerprint smudges.
Read Vivo X80 Pro 5G Review: Is it a reasonable flagship Smartphone?
Price at Tk76990, Vivo X80 5G comes in two colours: Cosmic Black and Urban Blue.
Huawei partners with Golden Harvest
Huawei Technologies and Golden Harvest will work together in Bangladesh to help every industry achieve higher business growth and significantly cut operation costs.
Abdul Huque, director of Golden Harvest, and Alex Li, director of Huawei Bangladesh, recently signed an agreement in Dhaka.
Under the deal, Golden Harvest Info Tech, a wing of Golden Harvest, will provide cloud solutions, software as a service (SaaS) and infrastructure as a service (IaaS) to different verticals like other cloud partners of Huawei Bangladesh.
Also Read: Huawei: 'Fastest-growing' cloud provider in Asia-Pacific
Alex Li said: "In Asia-Pacific, Huawei has established partnerships with nearly 10,000 enterprises and cloud partners and plans to invest $100 million in the Spark startup ecosystem. Huawei wants to work intensively on digital power and cloud in Bangladesh. I believe this partnership will help the industries of Bangladesh to get a better cloud solution more conveniently."
Abdul Huque said: "With Huawei's leading cloud solution, we will be able to develop a comprehensive cloud ecosystem in Bangladesh."
In Bangladesh, the government, Robi, IFAD Autos, bdjobs.com, Rokomari.com, Daily Star, DBC News, Ekattor TV, Symphony Softech, New Zealand Dairy, Ajkerdeal.com, Perfee, deliveryTIGER, UNITEX, and Flora Telecom are using Huawei Cloud.
Read Seeds For The Future moves to 3rd round with 30 students
Also, Huawei provided cloud service for the launch of the virtual Amar Ekushey Boi Mela last February so that the visitors and interested people can access all information related to the fair through a website.
RFL brings new cooker hood
Rangpur Metal Industries, a concern of RFL, has brought a new cooker hood.
"The cooker hood has different features including automatic motion sensor, touch control switch, auto heat clean technology, tempered glass panel, and stainless steel filter," Rangpur Metal Industries Director Md Moniruzzaman, who unveiled the product at an event in the capital recently, said.
Read RFL brings app-controlled geysers
RFL now has eight different types of cooker hoods of different sizes.
The price ranges of cooker hoods are between Tk7,060 and Tk31,765.
Also read: Pran-RFL bags 5 national export trophies
Nagad holds 'Distributors Meet 2022'
Mobile financial services provider (MFS) Nagad recently organised "Distributors Meet 2022."
One hundred and sixty-four distributors, regional managers, and market directors of Nagad from across the country participated in the event at a Dhaka hotel.
Read Nagad holds a ‘Get-together’ with DMP's Detective Branch
At the day-long programme, distributors, regional managers, and market directors from various regions were recognised for their accomplishments based on goals or performances.
Tanvir A Mishuk, founder and managing director of Nagad, said: "Since its inception, Nagad has been the world's fastest-growing MFS, with over 6 crore valued customers and nearly Tk1,000 average daily transactions. This has only been made possible due to your collaboration and partnership."
Also read: Healthcare payments: Nagad offers discounts of up to Tk2,350
Banglalink to observe 'Ethics and Compliance Week 2022'
Telecom operator Banglalink will observe Ethics and Compliance Week 2022 starting Sunday to ensure a transparent atmosphere where everyone feels encouraged to grow while remaining ethical and compliant.
With the slogan "Ethics and Compliance Starts with Me," a series of educational and awareness-raising activities will be carried out for Banglalink employees, partners, and stakeholders as part of the five-day programme.
Also Read: James, Miles withdraw cases against Banglalink
During the week, Banglalink employees will attend workshops on ethics and compliance conducted by the organisation's senior leaders. There will be sessions to exchange views and renew commitments for ethical conduct.
Muniruzzaman Sheikh, chief ethics and compliance officer at Banglalink, said: "We have established our brand identity as a leading compliant and ethical organisation."
Read Banglalink's digital services marketplace AppLink launched
"We want to keep raising our standards, which is not possible without the active participation of our employees and stakeholders."