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National News Big blow to Boro: Flashfloods, early rain, fungal disease inflict extensive damage

Prices won't rise under new VAT law: NBR

Experts for group taxation to avoid multiple payments

Bangladesh to use Indian $4.5b credit in 17 projects

Projects using India credit will get speed: Muhith

BB receives 73 proposals worth $435m for long-term financing

Access to banking rises at upazila level: study

Indian co gets order to execute power project at Rampal

PM asks Teletalk to find foreign partner

IT parks to be set up in 12 districts

Patenga container terminal to be ready by 2019

First tea processing factory in Thakurgaon

Major data gaps in monitoring SDGs

International News With execs in hot seat, Wells Fargo gets OK for bankruptcy plan

Banks lending more freely again in early 2017: ECB

Uber, France spar over whether firm is a transport service

National News Big blow to Boro: Flashfloods, early rain, fungal disease

inflict extensive damage

For the first time in recent years, Bangladesh is set to experience a less

productive rice season owing to a huge loss of Boro crops.

DSEX 5,469.47 33.84 Gold (Ounce) $1,265.50 Dollar 82.75 (Buy) 83.75 (Sell) REPO Rate (24/04/2017) 3.19%

CSCX 10,273.02 72.66 Oil (Barrel) $49.45 Euro 88.85 (Buy) 93.18 (Sell) REPO Rate (23/04/2017) 3.19%

Source: DSE and CSE Source: Yahoo Finance Source: One Bank Limited Source: Bangladesh Bank (W AV))

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Back-to-back disasters -- flashfloods, intense rainfall and fungal disease blast attacks -- have come as a blow to Boro,

the biggest of the country's three rice seasons. The other two seasons are Aus and Aman.

Following the first strike of flashflood in Sunamganj and few other adjoining haor-rich districts, the Department of

Agricultural Extension estimated a crop loss of six lakh tonnes with Boro on two lakh hectares gone under water.

The DAE, however, is reassessing the Boro losses as reports on new areas being submerged after haor embankments

gave way to flashfloods continue to come, officials from the agriculture ministry and the DAE told The Daily Star

yesterday.

After an unusually early flashflood struck the backswamp of the northeastern regions late last month, the

government had said Boro output would be some 4.5 lakh tonnes less than the 1.91 crore tonnes production target.

But with flashfloods inundating fresh haor areas and incessant and early rainfalls submerging many other parts of

the country, the probable gap now also required to be rechecked.

DAE Field Services Wing Director Chaitanya Kumar Das yesterday acknowledged reports also came in from some

other parts of the country other than the haor zones that farmers were harvesting Boro ahead of the full-ripening

stage to save the crop from completely being submerged in rain water.

He said fungal disease blast also struck rice in some districts but, "to what extent it would hamper the production is

yet to be assessed."

Prof M Bahadur Meah, a preeminent plant pathologist, told The Daily Star yesterday that crops were getting sterile

due to neck blast attacks on different Boro growing regions of the northern, southern and central districts.

"Early and intense rainfalls in late March and in April created a favorable atmosphere for fungi to attack the necks of

rice plants during the grain formative stage. Through relevant government departments, we sent out messages to

farmers to spray anti-blast fungicides," said Bahadur, who teaches plant pathology at the Bangladesh Agricultural

University (BAU) in Mymensingh.

He feared a substantial crop loss this year because of the rice neck blast. He recommended that the government

provides farmers with subsidised fungicides as many poor farmers can ill afford the high fungicide prices.

Blast is caused by the fungus Magnaporthe oryzae and can affect all above ground parts of rice plant; leaf, collar,

node, neck, parts of panicle, and sometime leaf sheath.

Seeking to redress blast, the agriculture ministry is going to hold a consultative workshop involving all relevant

departments and representatives from the international community early next week.

The production loss in Boro came at a time when public granaries were having one of the lowest stocks of food

grains in six years.

Total food grain stocks stood at 5.46 lakh tonnes, the lowest since fiscal 2009-10, shows data from the food ministry.

The failure to reach the government's food grains procurement target and increased food distribution brought down

the rice stock to 3.59 lakh tonnes only.

A newly released United States Department of Agriculture (USDA) report also noted that Bangladesh's rice stock in

the public food distribution system got nearly halved compared to last year's stock of this time.

USDA said, the government distributed 1.1 million tonnes of rice to the poor through various programmes from July

last year till this March 16, which was a rise by 56 percent year on year.

Against the backdrop of the situation, market sources fear that the government would ill-afford going for any large-

scale relief and OMS (Open Market Sale) operations for flashflood victims in the vast haor regions, unless it made

quick strides in replenishing the granaries.

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And this development comes at a time when importers and rice millers are pressing the food ministry to take steps

to reduce import tariff to ensure adequate domestic supplies, but the government believes domestic supplies of rice

in the wholesale market are still sufficient.

Besides, the food ministry also plans to go for a 1.5 million tonnes of rice and paddy procurement drive from next

month.

To stop fall in rice prices and protect the domestic market from cheap rice imports from India, the government last

year slapped a 25 percent import tariff, which is still in force with millers and importers pressing the government to

reduce the tax.

The government, however, has apparently a better plan up its sleeve -- it wants to expand high yielding varieties and

African drought-tolerant Nerica variety in coming Aus rice season by distributing seed and fertilizer and by

subsidising irrigation to over 200,000 small and marginal farmers.

Officials say this would help recoup, to some extent, the loss of Boro and stabilise the market prices of rice, which

according to USDA, have gone up to a three-year high.

USDA stated that the wholesale and retail prices of rice in March were Tk 36 and Tk 38 per kilogram, which is 38 and

28 percent higher than they were last year.

It notes that despite good harvest of the Aman season rice (which is marketed in December), prices of milled rice in

2016-17 soared to a three-year high. Some sources claim the leading rice traders are sitting on stocks to create an

artificial shortage and thus push up prices, said USDA, adding that "Since the private sector provides no official

records of grain stocks, this claim is not easily confirmed or disputed."

Source: http://www.thedailystar.net/frontpage/big-blow-boro-1396456

Prices won't rise under new VAT law: NBR

The revenue authority yesterday said the

prices of goods will not rise in general once

the new VAT law comes into effect in July 1.

The National Board of Revenue's assurance

comes amid concerns that the prices of

many goods and services will soar, while

various local industries will face increased

competition with imported goods once the

new VAT and Supplementary Duty law is

implemented.

It said the net VAT burden under the new

law will be 13.04 percent because of the

scope to get rebate and inclusion of VAT in

the selling prices of an item.

The government is also considering measures so that the prices of products that currently enjoy waiver or low VAT,

such as edible oil and rod, do not rise, said the VAT Online Project in a press release.

The VOP, which is an office under the NBR, issued the statement to mark a discussion on implementation of the new

VAT law at its office at the Institute of Diploma Engineers, Bangladesh.

At present, rod, a key construction material, enjoys a fixed amount of VAT.

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The new VAT law, which envisages a uniform 15 percent VAT instead of the existing multiple rates, will be

implemented under an automated environment, bringing down the curtains on the present manual system.

At the programme yesterday, NBR Chairman Md Nojibur Rahman said domestic industries will be given protection.

Incentives for export-oriented sectors will also be present so that the locally manufactured goods can enjoy

comparative advantage in the international market, he said.

Representatives from businesses and professional bodies said the impact of 15 percent uniform VAT will fall on the

country's 16 crore populations: they will all have to pay the consumption tax.

Subsequently, they demanded slashing the uniform VAT rate to 7 percent for smooth transition into the new system.

Earlier, the Centre for Policy Dialogue by analysing rates said Bangladesh's proposed uniform VAT rate of 15 percent

is on the high side when compared to neighbouring low- and middle-income countries in South and East Asia.

It recommended trimming the present 15 percent VAT rate to 12 percent gradually.

“People will have to pay the VAT, so it should be seen from the consumers' point of view,” said Md Humayun Kabir,

chairman of Taxation and Corporate Laws Committee of the Institute of Chartered Accountants Bangladesh.

“Political sides should be concerned about it too. This is not just the issue of businesses.”

But firms are concerned if their cost of doing business will rise, Kabir added.

In response, Law Minister Anisul Huq said the new law will reduce the cost of doing business and bring in

transparency and accountability.

The NBR and the businesses held a series of discussions on the new VAT law and there was also a joint declaration

too, said Abdul Matlub Ahmad, president of the Federation of Bangladesh Chambers of Commerce and Industry.

“But we are not yet clear whether the recommendations of the joint declaration will be accepted. We are kept in

suspense.”

Ahmad said there are some services such as doctors' consultation where 15 percent VAT will be applicable. “This

would be too high.”

Besides, withdrawal of supplementary duty under the new law may affect various domestic industries.

Imported goods will be cheaper, Ahmad said, citing biscuits as a case in point.

“The government should not take any such step,” he added.

NBR officials said the law will be implemented gradually so that businesses can get accustomed with the latest

legislation and comply accordingly.

Businesses favour keeping VAT rate at 7-10pc initially

Speakers at a programme on Tuesday urged the authorities concerned to assess new VAT law's impact on consumers

first, apart from holding talks with members of the business community only.

They also said the VAT rate should be kept within 7.0 per cent to 10 per cent initially which can be increased

gradually in future considering consumers' affordability.

They came up with their suggestions at a discussion on 'Implementation of Value Added Tax (VAT) and

Supplementary Duty Act, 2012' organised by the National Board of Revenue (NBR) at the Institution Of Diploma

Engineers, Bangladesh (IDEB) in the city's Kakrail.

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The discussion programme was attended by Law, Justice and Parliamentary Affairs Minister Anisul Huq as chief

guest, Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) President Abdul Matlub Ahmad as

special guest, Dhaka Chamber of Commerce & Industry (DCCI) Acting President Kamrul Islam, Institute of Chartered

Accountants of Bangladesh (ICAB) Executive Committee member Md Humayun Kabir and NBR Member (VAT Policy)

Barrister Jahangir Hossain with NBR Chairman Md Nojibur Rahman in the chair.

Stating that imposition of 15 per cent VAT will fuel inflation in the country, the DCCI Acting President said VAT

percentage should be kept within 7.0 per cent to 10 per cent considering the pressure on the consumers.

The VAT rate can be gradually increased in future, he added.

Mr Islam also said there are some sectors more important than enforcing VAT law to develop the country's economy

including boosting investment and production, and generating more employment opportunities.

Speaking at the programme, Mr Kabir of the ICAB said, "VAT is not something for the businesses to bear; it's a

consumer tax. So, the authority should pay extra attention to VAT's possible impact on the consumers."

The business community is concerned about increase in the cost of doing business due to the new VAT law, he said

adding the NBR should clarify it to the businesses as to whether their cost would increase or not.

Besides, he proposed to raise turnover tax ceiling to Tk 15 million from existing Tk 8.0 million to facilitate small and

medium enterprises (SMEs). The law minister said it took five years to frame the new VAT law and it was done on the

basis of consensus.

Addressing the leaders of some business groups, he said, "As the law is executed, there will be some problems. With

your cooperation, the NBR will remove all the defects of the law where needed." "There is no scope of getting

confused about the VAT law and we have to move forward as there is no time for further analysis," Mr Huq added.

Welcoming the VAT Online, a digital platform to pay VAT and describing it very convenient to the businesses, the

FBCCI president said the online VAT payment system will ensure transparency in the process, saving time and

reducing harassment.

He said the turnover tax ceiling should be Tk 15 million instead of existing Tk 8.0 million to help grow SMEs.

Mr Matlub suggested reconsideration of imposing 15 per cent VAT on service sectors like consultation of doctors,

engineers or lawyers.

Pointing to the government's decision to disband Supplementary Duty (SD), he said SD should be continued to

protect local entrepreneurs because elimination of the duty will make foreign products cheaper.

Source: http://www.thefinancialexpress-bd.com/2017/04/26/68115/Businesses-favour-keeping-VAT-rate-at-7-10pc-

initially

Experts for group taxation to avoid multiple payments

An expert recommendation calls for introducing group taxation and share-based payment for employees in a new

income-tax law.

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Experts also suggested focusing on principle-based tax structure by keeping consistency with the existing law at the

time of framing the new Income Tax Law 2017.

Major changes in the existing income-tax ordinance may trigger shockwaves in the public mind, said Md Humayun

Kabir FCA, convener of the income-tax subcommittee of the Federation of Bangladesh Chambers of Commerce and

Industry (FBCCI).

"Every year, income-tax law is being updated in the Finance Act. The new law will incorporate the international best

practices but should be close to the provisions of the existing law," he told a consultation meeting on the

formulation of draft direct tax law on the National Board of Revenue (NBR) premises Tuesday.

Income Tax zone-8 arranged the consultation with the participation of experts and stakeholders like chartered

accountants, lawyers, and representatives of pharmaceutical companies, Petrobangla, BAPEX, Bangladesh Telecom

Regulatory Commission, and Bangladesh Infrastructure Finance Fund Limited.

The government has decided to frame a new income-tax law in Bengali by replacing the existing Income Tax

Ordinance1984.

Institute of Chartered Accountants of Bangladesh (ICAB) president Adeeb H Khan FCA suggested introducing group

taxation in the new income-tax law as many have to pay multiple taxes on same income.

The groups having sister concerns and multiple units face multiple taxes on same income, particularly on group

dividend, he said.

Under the existing law, there is no provision of taxation in group structure.

He mentioned that foreign investors feel discouraged from investing in equity here due to the provision rather they

prefer debt for country.

"Employees can be encouraged by allowing them to make share-based payment," he said.

Income-tax law does not allow the payment but many employers want to give share to their employees, he added.

He also suggested introducing principle-based financial audit system.

Mr Humayun Kabir also suggested continuing the fiscal incentives to encourage private investment, changing

mindset of tax officials for proper execution of provisions of the law.

Nesar Uddin of HodaVasi said similar-nature businesses should be kept under a jurisdiction of tax zone to conduct

proper assessment of tax files.

Shahadat Hossain, councillor of the ICAB, said tax payment by a sector can be assessed by reviewing its contribution

to the GDP.

He also suggested considering individuals and companies under small and medium enterprises under separate tax

structure.

Snehasish Barua of the ICAB said tax rates should be forward- advance so that they can make their tax and

investment plan.

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Commissioner of the zone-8 Abu Taher Chowdhury made a presentation on the context or formulation of a new

income-tax law and constraints of the existing law.

BIFFL executive director and chief executive officer SM Formanul Islam said tax exemption is an inter-ministerial

issue which should be given in discussion with the NBR.

The Bangladesh Tax Lawyers Association president said taxmen should be punished for demanding unrealistic

amount of tax.

He said there are 1.3 million taxpayers but tax lawyers deal with only 20 per cent tax-related disputes while other

cases are settled by internal arrangement.

NBR chairman Md Nojibur Rahman said the NBR will gradually implement three new laws on VAT, customs and

income tax.

He said the revenue board is also digitizing the tax system and getting its positive results.

Until Monday, 28,39,000 taxpayers had obtained e-TIN online, he told the meet, chaired by NBR member (income

tax policy wing) Parvez Iqbal.

The chairman said the new income-tax law will focus employment and export products having demand on the

international market.

Source: http://www.thefinancialexpress-bd.com/2017/04/26/68116/Experts-for-group-taxation-to-avoid-multiple-

payments

Bangladesh to use Indian $4.5b credit in 17 projects

The latest Indian credit of $4.5 billion will be used in 17 projects, high official of Bangladesh said.

Economic Relations Divisions Secretary Shofiqul Azam, who was present at a meeting between Finance ministers of

India and Bangladesh in Washington.

Bangladesh Finance Miniser MA Muhith had recently a bilateral meeting with Indian Finance Minister Arun

Jaitley on the sidelines of the annual Spring Meeting of the International Monetary Fund and the World Bank .

He further said eight of the projects taken with the first phase of Indian line of credit had been completed.

The remaining seven are in their final stages, he said.

He said the 14 projects that were initiated with the second phase of Indian credit of $2.0 billion are under way.

Meanwhile Bangladesh Finance Minister is hopeful of quick implementation of the India-assisted developmental

projects.

"This in addition to the previously announced assistance of USD 1.5 billion takes to total of USD 6 billion," said

Muhith.

The implementation of projects under the previous assistance package, he said took a longer time.

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"This time it may be less because we provided the list of projects before Sheikh Hasina went there (to India). I am

hoping that there should be quick implementation of these projects," Muhith said.

Source: http://www.thefinancialexpress-bd.com/2017/04/25/68053/Bangladesh-to-use-Indian-$4.5b-credit-in-17-

projects

Projects using India credit will get speed: Muhith

Bangladesh is hopeful of quick implementation of the India-assisted developmental projects. This was disclosed by

Bangladesh Finance Minister Abul Maal A Muhith recently in Washington.

Indian Prime Minister Narendra Modi announced a line of concessional credit of USD 4.5 billion for implementation

of projects in Bangladesh during premier Sheikh Hasina's visit to India this month.

"This in addition to the previously announced assistance of USD 1.5 billion takes to total of USD 6.0 billion," said

Muhith, according to a report of indiatimes.com.

The implementation of projects under the previous assistance package, he said took a longer time.

"This time it may be less because we provided the list of projects before Sheikh Hasina went there (to India). I am

hoping that there should be quick implementation of these projects," Muhith told PTI last week on the sidelines of

the annual Spring Meeting of the International Monetary Fund and the World Bank here.

Muhith also led a bilateral meeting with visiting Indian Finance Minister Arun Jaitley during which they discussed

bilateral aid package and projects associated with it.

Bangladesh, he said, now has $ 6.0 billion line of credit from India. "It is quite something," he said, but quickly noted

that this is far less than that of India.

"It is (Indian aid) not anything like China. (When) the (Chinese) President came (to Bangladesh), we had great

difficulty in calculating in monetary terms how much it can be. Then it has turned out to be USD 22 billion," the

Bangladeshi Finance Minister said.

Meantime, Bangladesh India Friendship Power Company Pvt Ltd (BIFPCL) issued Tuesday a notice to proceed to

Indian BHEL for executing contract for coal based thermal power project at Rampal in Bangladesh, reports Reuters.

Investment in project has been approved by BIFPCL board at an appraised estimated cost of USD 2.0 billion

Meanwhile, according to other reports by India based web portals Indian state-run Bharat Heavy Electricals Limited

(BHEL) announced that it bagged largest ever export order from Bangladesh.

The company will set up a thermal power project in Bangladesh valued at Rs 100 billion (10,000 crore), according to

BHEL's filing Tuesday to the stock exchanges.

Source: http://www.thefinancialexpress-bd.com/2017/04/26/68113/Projects-using-India-credit-will-get-speed:-

Muhith

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BB receives 73 proposals worth $435m for long-term financing

Bangladesh Bank has so far received 73 project proposals involving $435 million from export-oriented companies to

facilitate long-term financing under the World Bank-funded Financial Sector Support Project.

‘We have already sanctioned 27 proposals with $109.77 million, of which $50.79 million of 18 proposals has been

disbursed, the rest of the sanctioned amount is under the process of disbursement,’ a senior BB official told the BSS

on Tuesday.

Out of the total sanctioned funds, some have been disbursed partially and some others are under the process as the

amounts will be disbursed through opening letter of credit for importing machinery, he added.

Out of the total applications received through commercial banks, the central bank is processing 27 proposals while

13 have been sent to the World Bank for consideration, the BB official said.

He also said the BB has also rejected six proposals with $31.71 million for various reasons.

We have submitted proposals of 11 companies involving $52.99 million, of which four companies have already been

given their sanctioned funds amounting to $8.46 million,’ said additional managing director and COO of Mutual Trust

Bank M Hashem Chowdhury.

Out of the total submitted proposals, he said, one proposal has already been approved, two have been withdrawn

for different reasons and rest of the proposals awaits approval.

BB under the auspices of International Development Association of the World Bank would provide a total of $350

million under FSSP, which would play a pivotal role in meeting the growing demand for long-term financing for

productive sectors in the country.

BB has signed separate Participating Financial Institutes agreement with 31 banks to distribute the long term finance

among the country’s export-oriented industries.

Of the total amount, World Bank will provide $300 million and rest of the amount will provide from BB’s own fund.

The tenure of the project is July 1, 2015 to March 31, 2021.

The initiative will accelerate further the country’s export as the finance is providing among export-oriented

industries on a low interest rate (within 6.50 per cent) for incorporating modern technology in production system

and increasing the efficiency, said M Hasim Chowdhury of Mutual Trust Bank.

Managing director of Best Wool Sweater Limited Alamgir Kabir said, ‘We have imported machinery with the support

of FSSP fund at a low interest rate.’

It has created a great opportunity to set up modern technology-based machinery in the industry and the production

of the company has increased which will increase exports, he added.

Best Wool Sweater Limited submitted a proposal for $2.82 million loan, of which BB approved $2.27 million through

Trust Bank Limited.

Under the FSSP fund for long-term financing, the banks can lend money for ventures in the industrial productive

sectors for tenures of five to 10 years, under the condition that the banks would pay interest rate between 2.50 per

cent and 3.50, including LIBOR (London Inter Bank Offered Rate) depending on the category of banks.

The interest is being fixed considering the respective bank’s CAMELS (Capital, Assets quality, Management, Earning,

Liquidity, and Sensitivity) rating, a recognised international rating system that bank supervisory authorities use in

order to rate financial institutions.

Source: http://www.newagebd.net/article/14305/bb-receives-73-proposals-worth-435m-for-long-term-financing

Access to banking rises at upazila level: study

The access to and use of formal banking services at the upazila level improved substantially between 2010 and 2015,

according to a recent study that highlighted the government's efforts to take financial services closer to the people.

The General Economics Division of the Planning Commission carried out the study with support from the statistics

department of the central bank.

The findings of the study titled 'Banking Atlas' will be published in Dhaka tomorrow.

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According to the report, Bangladesh has shown a steady upward trend in all eight major banking variables at the

upazila level, giving a boost to the government's financial inclusion efforts.

Banking Atlas consists of 48 maps on the eight major banking variables from 2010 to 2015 at the sub-district level.

The number of branches of all banks increased at the upazila level during the time. The branch density, the average

number of branches of all banks per square kilometre, rose to 0.86 from 0.71.

The average number of branches per 100,000 adults went up to 11.34 in 2015 from 9.25 in 2010.

The average size of deposits and loans also witnessed a significant rise. An adult's bank deposit nearly trebled to Tk

118,050 in 2010 from Tk 44,500 five years ago. The loan per account increased to Tk 24,970 from Tk 17,170.

According to the report, while the outreach of branches in terms of geographical density and account per adult

increased substantially over the period for the whole country, the rate of increase is much higher in rural areas.

“This growth is largely driven by the growth in branches and accounts of private banks.”

The southern part of the country saw much higher proliferation in the number of bank accounts between 2010 and

2015.

“This is interesting because we don't see such patterns for the branch density. It implies that the number of accounts

per branch has grown at a much faster rate in the south than in the north during the period.”

According to the GED, the Banking Atlas will help Bangladesh Bank as well as the government identify the regions

where greater banking penetration is required.

“It will also help private sector banks take informed decisions on opening a branch upon identifying the potential

untapped markets.”

Source: http://www.thedailystar.net/business/access-banking-rises-upazila-level-study-1396636

Indian co gets order to execute power project at Rampal

Bangladesh India Friendship Power Company Pvt Ltd (BIFPCL) issued Tuesday a notice to proceed to Indian BHEL for

executing contract for coal based thermal power project at Rampal in Bangladesh, reports Reuters.

Investment in project has been approved by BIFPCL board at an appraised estimated cost of USD 2.0 billion

Meanwhile, according to other reports by India based web portals Indian state-run Bharat Heavy Electricals

Limited(BHEL) announced that it bagged largest ever export order from Bangladesh.

The company will set up a thermal power project in Bangladesh valued at Rs 100 billion (10,000 crore), according to

BHEL’s filing Tuesday to the stock exchanges.

" BHEL's largest ever export order, valued at Rs 100 billion, for setting up 1,320 MW (2x660 MW) Maitree Super

Thermal Power Project in Bangladesh has taken off, following the issuance of the 'Notice To Proceed' by the

developer," the company said in the BSE filing.

The order has been secured from Bangladesh India Friendship Power Company Pvt Ltd (BIFPCL), a 50:50 JV company

of NTPC and Bangladesh's BPDB.

Shares of BHEL rose as much as two per cent to Rs 180.45 during late morning trade on Tuesday, after the

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engineering and manufacturing company announces the discloser.

BHEL has arranged debt financing for the project from EXIM Bank for which loan agreement between EXIM Bank and

BIFPCL was signed in March this year, an official statement said.

The Export-Import Bank of India (EXIM Bank) indicates that it has extended a term loan of $1.60 billion for financing

the project on turnkey basis at Rampal in the Bagerhat district of Bangladesh, the bank said in a separate statement

on its website.

BHEL will design and construct two 660-MW super critical turbines for the power plant. State of the art technologies

have been selected for this project to make it an environment-friendly project, the company said in its filing.

Earlier, BHEL has set up one 100-MW and two 120-MW plants in Bangladesh besides setting up 220 KiloVolt (KV)

substations.

The scope also includes setting up of a jetty and a river-water intake system.

The key equipment for the project will be manufactured at BHEL’s Trichy, Haridwar, Hyderabad, Ranipet, Bhopal,

Bangalore and Jhansi plants, while the company's power sector construction division will be responsible for

construction and installation activities at site, according to a report by economictimes.indiatimes.com.

Source: http://www.thefinancialexpress-bd.com/2017/04/25/68016/Indian-co-gets-order-to-execute-power-

project-at-Rampal

PM asks Teletalk to find foreign partner

Prime Minister Sheikh Hasina yesterday expressed dissatisfaction over the service quality and business performance

of state owned mobile carrier Teletalk, asking i t to seek a suitable foreign company for probable merger.

A network expansion project proposal for Teletalk was placed before Hasina,

who is also the telecom minister, at a meeting of the Executive Committee of

the National Economic Council (ECNEC). However, she came down heavily

upon the operator's passive attitude on becoming a competitive player.

The prime minister directed the management of Teletalk to find ways of

becoming a profitable venture.

“To become a competitive player in the market, the prime minister gave an

order to Teletalk to search for an appropriate foreign company for merger,”

AHM Mustafa Kamal, planning minister, told journalists after the meeting.

The premier also directed the operator to improve service quality and offer

better services to customers, he added.

The meeting held at the NEC conference room at Sher-e-Bangla Nagar with the prime minister in the chair approved

a project of Teletalk for network expansion at a cost of Tk 675 crore.

Teletalk will get the money from the government as equity, which the company will return from its earnings, said the

planning minister.

Earlier, Telecom State Minister Tarana Halim sought investment for Teletalk from the Malaysian government as well

as Indian giant Tata Communications, as a part of efforts to turn the state-run operator into a vibrant company.

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Tarana was present at yesterday's meeting. However, she was not available for comment later.

Shyam Sunder Sikder, secretary of the telecom division and chairman of the Teletalk board, said the prime minister

has directed them to become a vibrant company.

Teletalk began its journey as the country's fifth operator in March 2005 with a capital of Tk 643 crore as a company

under the telecom ministry. It initially had the capacity to serve only 40 lakh users, which has now been raised to one

crore. The state operator has never made public its profitability. However, it is a loss making venture despite extra

government support, said officials. The company began commercial 3G services more than a year before the other

operators, that too without paying any spectrum fee that has a market price of around Tk 2,000 crore.

Teletalk is also acting as a service delivery tool for the government; that is also why it has to expand its network, said

Kamal. Currently, it has around 1,700 3G sites. It is also running a project to establish 1,500 3G sites, which will

conclude in June next year.

Under the project approved yesterday, the state operator will establish an additional 1,500 3G sites and 1,000 2G

sites, mostly targeting growth centres and educational institutions, said a top official of Teletalk.

“After completion of these two projects, Teletalk will become a competitive player,” said the official.

Of the total costs, the government will bear Tk 607 crore and Teletalk will bear the rest Tk 58 crore.

Recently, private telecom operators Robi and Airtel merged operations in efforts to become profitable.

Source: http://www.thedailystar.net/business/pm-asks-teletalk-find-foreign-partner-1396651

IT parks to be set up in 12 districts

The government approved the establishment of 12 IT and hi-tech parks in different distric ts at a cost of Tk 1,796.40

crore, to move closer to a digital economy.

In a meeting yesterday, the Executive Committee of the National

Economic Council (Ecnec) approved the project, where Tk 1,544

crore will come in the form of credit from India and the government

will bear the rest of the amount. Prime Minister Sheikh Hasina

presided over the meeting at the NEC conference room at Sher-e-

Bangla Nagar.

The IT and hi-tech parks will be built in Khulna, Barisal, Rangpur,

Natore, Chittagong, Comilla, Cox's Bazar, Mymensingh, Jamalpur,

Gopalganj, Dhaka and Sylhet under the project 'Establishing IT

Park/High-Tech Park at District Level (12 Districts)'.

The project will be implemented from July 2017 till June 2020,

according to a statement of the ICT division.

A senior official related to the project said they are in the process of selecting lands in the districts for the parks.

The project will further strengthen the endeavours of the government to build a knowledge-based society by 2021,

said Zunaid Ahmed Palak, state minister for ICT.

“It will boost our initiative to earn $5 billion from the ICT sector by generating employment for 20 lakh youths.”

The government is also setting up the Sheikh Hasina Software Technology Park in Jessore, which will be launched by

June.

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Furthermore, it is establishing the Bangabandhu Hi-Tech City -- the country's first full-fledged special economic zone

for IT/ IT-enabled services and hi-tech industries -- at Kaliakoir, Gazipur.

Earlier, the government formed the Bangladesh Hi-Tech Park Authority in 2010 to develop the ICT industry through

creation, management, operation and development of hi-tech parks.

Palak said these initiatives will help generate employment in the sector.

Source: http://www.thedailystar.net/business/it-parks-be-set-12-districts-1396648

Patenga container terminal to be ready by 2019

The construction of the 600-metre long Patenga container terminal, which is expected to take the pressure off the

Chittagong port, will be complete by the end of 2019, the chairman of the Chittagong Port Authority said yesterday.

“A new jetty is a must to cope with the ever increasing growth in cargo, container as well as vessel traffic,” CPA

Chairman M Khaled Iqbal said at a meeting with journalists on the eve of 130th Chittagong Port Day.

The Chittagong port has been experiencing 16 to 17 percent growth in cargo and container handling in the last few

years, according to Iqbal.

“If the new jetty is not ready by 2019, this growth rate would come down and that would have the ultimate

cascading effect on overall economy.”

A number of projects have been undertaken in the last one year to enhance the capacity and efficiency of the port,

he said.

Emphasis is being given on the Patenga terminal, which would have three jetties, yards and rail link, as the other

three big projects -- Karnaphuli container terminal, Laldia multipurpose terminal and bay terminal -- can only be

partially completed before 2021.

The CPA has requested the government to construct the terminal through the direct procurement method for timely

completion.

The existing 13 jetties of general cargo berth area would be reconstructed as the Karnaphuli container terminal, he

said, adding that contracts for the Tk 2 billion-project are likely to be awarded by 2018.

Though the Chittagong port has been used as a harbour since 400 BC, it formally started its journey as a port on April

25 in 1887.

Source: http://www.thedailystar.net/business/patenga-container-terminal-be-ready-2019-1396642

First tea processing factory in Thakurgaon

Green Field Tea Industry opens its tea processing factory in Thakurgaon yesterday that is capable of producing

10,000 kg of processed tea every day.

Located in Shahbazpur village under Baliadangi upazila, this is the first tea processing factory in the district.

The factory will purchase tea leaves from the local growers, who have to travel 65 kilometre to sell their produce in

Panchagarh district, said Fayjul Islam Hiru, managing director of Green Field Tea Industry.

“As a result, the growers will get fair prices and will be able to save on transport cost,” he said at the opening

ceremony. The opening of the factory would certainly encourage small tea growers in the district, said Md Shafeenul

Islam, chairman of Bangladesh Tea Board.

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Dabirul Islam, a lawmaker and Amirul Islam, president of the Small Tea Garden Owners Association, also spoke.

Source: http://www.thedailystar.net/business/first-tea-processing-factory-thakurgaon-1396639

Major data gaps in monitoring SDGs

Bangladesh is facing a significant data gap for monitoring the Sustainable Development Goals as statistics on two-

thirds of the indicators are either partially available or not available at all, a study found.

There are 241 indicators to monitor the 169 targets under 17 SDGs. But, data of only 70 indicators are readily

available, 108 partially available and 63 not available at all, according to the study that will be released tomorrow.

The General Economics Division of the Planning Commission in collaboration with the Support to Sustainable and

Inclusive Planning Project of the UNDP conducted the study styled “Data Gap Analysis for SDGs: Bangladesh

Perspective”.

The data used for the study were provided by all relevant ministries, divisions, agencies and the Bangladesh Bureau

of Statistics, which is the national statistical organisation.

The United Nations said data will be crucial to tracking the progress of the goals and in formulating a monitoring and

evaluation framework for the implementation of the SDGs.

Though the UN has globally set 230 indicators to monitor the SDGs, the GED has done the analysis using seven

indicators twice and two indicators thrice, raising the total number of indicators to 241.

The analysis identified that there are high challenges to tracking SDG 12, which pertains to ensuring sustainable

consumption and production patterns.

As much as 69 percent of the data for the goal is not available.

Tracking SDG 14, which involves conserving and sustainably using the oceans, seas and marine resources for

sustainable development, will also be challenging as 60 percent of the data is unavailable.

However, maximum data can be found for SDG 1, 2, 5, 7 and 19. The goals mainly pertain to ending poverty and

hunger, improving nutrition, promoting sustainable agriculture, and achieving gender equality. The report said the

BBS as a national statistical organisation will have to take the core responsibility for producing official national

statistics and spearhead the process of coordination with other data producers of the government to timely

generate the relevant data.

Financing, technology, logistics and human capital have been identified as major challenges for data generation,

according to the report.

Source: http://www.thedailystar.net/business/major-data-gaps-monitoring-sdgs-1396645

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Source: http://www.prothom-alo.com/economy/article/1158161/

International News With execs in hot seat, Wells Fargo gets OK for bankruptcy plan

Retail banking giant Wells Fargo has fixed problems in its 2015 bankruptcy plan and will now be allowed to open new

international branches, US banking regulators said Monday. The reprieve comes a day before a high-stakes

shareholder meeting at which the bank's board is facing a no-confidence vote.

Wells Fargo has struggled to right itself since September, when it reached a $190 million settlement with federal

authorities over its sham accounts scandal. The bank admitted to opening millions of accounts and moving money

without customers' permission.

A Treasury Department agency found this month found the bank's board as early as 2005 had received "regular"

reports that employee firings and internal ethics complaints were related to unethical sales practices.

Source: http://www.thedailystar.net/business/execs-hot-seat-wells-fargo-gets-ok-bankruptcy-plan-1396633

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Banks lending more freely again in early 2017: ECB

European businesses and households enjoyed easier access to credit in the first quarter of 2017, the European

Central Bank said Tuesday, reversing tighter lending conditions seen at the end of last year.

A loosening of the standards banks use to judge creditworthiness "continued across all loan categories" as banks

compete for borrowers' business, the ECB said in a press release.

According to central bank figures, lenders eased requirements for businesses by 2.0 percent, after a 5.0-percent

tightening in the last quarter of 2016. Meanwhile, mortgage loans became significantly easier to come by, with

standards 5.0 percent looser -- compared with a 1.0-percent tightening on home loans between October and

December.

Banks expect to toughen creditworthiness rules for business loans slightly in the second quarter, while keeping those

for house-buyers broadly stable, the ECB found in its poll of 139 eurozone lenders between March 16 and 31. On the

other side of the equation, demand for loans "continued to increase across all loan categories," the central bank

said.

With interest rates at historic lows, businesses took advantage by taking out new loans or refinancing existing ones,

while a rising housing market and low interest rates also encouraged home buyers to take on mortgages.

Source: http://www.thedailystar.net/business/banks-lending-more-freely-again-early-2017-ecb-1396588

Uber, France spar over whether firm is a transport service

US ride-hailing app Uber told Europe’s top court on Monday that it was a digital service, not a transport service, and

that a French law clearly targeted online taxi services, in its latest European legal battle with the taxi industry,

reports Reuters.

Uber expanded into Europe five years ago and has come under attack from taxi companies who see it as unfair

competition bypassing strict licensing and safety rules.

In a hearing in Europe’s top court in Luxembourg, the US start-up described itself as a digital platform connecting

willing passengers with drivers and said it does not itself provide a transport service, which would see it subjected to

stricter rules.

Hugues Calvet, Uber’s lawyer, compared it to online hotel booking services like Booking.com, saying they did not

actually provide the room.

‘In fact it doesn’t give the transport service itself,’ Calvet said.

The case before the Court of Justice of the European Union, referred to it by a court in Lille, concerns a 2014 French

law on taxis and chauffeured services which makes it a criminal offence to organise illegal taxi services and sets

restrictions on the use of software to find customers in the street.

Two of Uber’s executives in France were fined last year over UberPOP, Uber’s service using unlicensed drivers, which

has since been suspended.

Uber, as well as the European Commission, also argued that the French law targeted electronically provided taxi

services and therefore Brussels ought to have been notified about it. EU law requires that Brussels be informed of

measures relating to online services.

France did not notify Brussels of its law and as such criminal penalties cannot be enforced against Uber, the

company argued.

It is the second case concerning Uber that the Luxembourg judges will rule on, the other being a dispute with

Barcelona’s main taxi operator in which the ECJ is asked whether Uber is a digital service or a transport service.

The legal tests stand to define whether the Silicon Valley company has a future in Europe after years of battles with

city regulators and local taxi associations. Its service has been banned in several countries or cities around Europe

after the company lost lawsuits in France, Germany, Belgium and Spain.

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The court battles come as Uber struggles with a wave of executive departures and criticism of its work culture.

Referring to the penalties foreseen in the French law, Calvet said a ‘sledgehammer has been used to crack a nut.’

Tayeb Ismi-Nedjadi, a lawyer for the taxi driver who brought the original case, replied that Uber was no small

company, so ‘when we’re talking about using a sledgehammer to crack a nut, we’re talking about a pretty big nut.’

Uber is valued at $68 billion and its investors include Goldman Sachs and GV, formerly known as Google Ventures.

France said its law was not aimed at online services and would also have targeted people meeting travellers at

airports and touting illegal taxi rides.

Joanna Hottiaux, a lawyer for the European Commission, said it was hard to imagine that people touting illegal taxi

services could be so widespread as to require specific legislation.

An ECJ adviser will give a non-binding opinion on the case on July 4.

Source: http://www.newagebd.net/article/14310/uber-france-spar-over-whether-firm-is-a-transport-service