Macro
Govt cuts target of borrowing from banks
The government has slashed its bank borrowing target by 28 per cent, or Tk 385 billion, for this fiscal year, due to lower expenditures and slower implementation of the Annual Development Programme (ADP). Under the revised target, the government will borrow Tk 990 billion instead of Tk 1375 billion by the end of June 2025 from the country’s banking system, officials said. Meanwhile, the central bank estimated that the government’s bank borrowing may reach maximum Tk 900 billion by the end of the current fiscal year (FY), 2024-25.
https://today.thefinancialexpress.com.bd/first-page/govt-cuts-target-of-borrowing-from-banks-1739384534

Fitch skeptical of govt projections
Global rating-agency Fitch paints a downbeat outlook for Bangladesh economy on several grounds that include political unrest surrounding polls. Fitch Solutions in its latest appraisal report forecasts headline inflation to average 8.5 per cent and intends to revise down its earlier-projected 5.5-percent GDP growth in the country for the current fiscal year.
https://today.thefinancialexpress.com.bd/first-page/fitch-sceptical-of-govt-projections-1739384342

Tight monetary policy to raise production costs: BUILD
The continuation of a tight monetary policy by keeping the policy rate unchanged at 10 percent could lead to higher production costs, public-private dialogue platform Business Initiative Leading Development (BUILD) said yesterday.
https://www.thedailystar.net/business/news/tight-monetary-policy-raise-production-costs-build-3823111

NBR urges Finance not to set unrealistic revenue target
The National Board of Revenue has requested the Ministry of Finance to set more realistic revenue targets for the next three fiscal years. In a letter to the Finance Division secretary, NBR Chairman Md Abdur Rahman Khan cautioned that revenue targets should be aligned with the country’s economic growth and business activity. “Otherwise, as seen in previous years, the targets will remain unmet, leaving the NBR to take the blame for failing to achieve them,” he said.
https://www.tbsnews.net/nbr/nbr-urges-finance-not-set-unrealistic-revenue-target-1067791

Banking
Money flowing back into banks, Tk1,085cr in Dec alone
After increasing for ten consecutive months, money outside banks – often referred to as “mattress money” – has started flowing back into the banking system over the past four months, albeit at a slow pace, with Tk1,085 crore deposited in December alone. According to the central bank, money outside banks decreased from Tk2.77 lakh crore in November to Tk2.76 lakh crore in December, but it still represents an 8.44% increase compared to December 2023, when it was Tk2.55 lakh crore, marking an increase of about Tk21,000 crore over the year.
https://www.tbsnews.net/economy/banking/money-flowing-back-banks-tk1085cr-dec-alone-1067736

Pharmaceuticals & Chemicals
Pharma industry has a bright future
Foreign participants at the 16th Asia Pharma Expo foresee a bright future for Bangladesh’s pharmaceutical industry, given its continuous product development and expanding global footprint. “Bangladesh’s pharmaceutical sector has shown really impressive development. The country manufactures medicines of global standard and has developed a highly skilled workforce,” said Lashimikanth Enaganti, assistant general manager of Smilax Laboratories Limited, India.
https://www.thedailystar.net/business/news/pharma-industry-has-bright-future-3823131

Textile
Govt to clear Beximco worker dues before Ramadan
The government will clear salary arrears and service benefits of over 27,000 laid-off workers of Beximco Group within this month, ahead of Ramadan, said Labour and Employment Adviser Brig Gen (retd) M Sakhawat Hussain yesterday. However, the amount of funds required and its source are yet to be determined, he said, adding that it may come from government sources or from the sale of Beximco Group’s companies.
https://www.thedailystar.net/business/news/govt-clear-beximco-worker-dues-ramadan-3822641

Stocks
Green Delta Insurance profit drops 12% in 2024
Green Delta Insurance reported a 12% decline in its consolidated profit for 2024, mainly due to lower premium income. According to the general insurer’s price-sensitive statement, its net profit stood at Tk54 crore last year, down from Tk61.21 crore in the previous year. At the end of 2024, its consolidated earnings per share (EPS) was Tk5.39, compared to Tk6.11 in 2023. The company attributed the profit decline to a decrease in premium income compared to the previous year.
https://www.tbsnews.net/economy/stocks/green-delta-insurance-profit-drops-12-2024-1067731

Walton’s free float surges to 30pc
Free float of Walton Hi-Tech Industries was 1.49 per cent even six months back. Then by January this year, the number of publicly tradable shares jumped to more than 30 per cent. The free float increased so quickly, as six sponsor-directors gifted shares to their family members to comply with the regulatory requirement of at least 10 per cent shares available for trading in the equity market. In the latest development, S. M. Rezaul Alam, a sponsor director of Walton, transferred 12.12 million shares to his daughter and spouse on Tuesday, the value of which is Tk 5.45 billion at the current market price.
https://today.thefinancialexpress.com.bd/stock-corporate/waltons-free-float-surges-to-30pc-what-does-it-mean-to-investors-1739378615

5 more firms downgraded to Z category
The Dhaka Stock Exchange (DSE) today decided to downgrade five more firms to the Z category, making the decision effective the same day after they failed to disburse approved dividends to their shareholders. The companies are Samata Leather Complex, Golden Son, SS Steel, Aamra Technologies, and Aamra Networks
https://www.tbsnews.net/economy/stocks/5-more-firms-downgraded-z-category-1067711