Macro
LC openings, settlements dip in January YoY
In the first month of 2025, both the openings and settlements of import letters of credit (LCs) decreased compared to the same month of the previous year due to a decline in import demand and the pressure of overdue LC payments, among other factors. Bangladesh Bank data shows a 5.4% year-on-year decrease in import LCs opened in January, totalling $6.13 billion.
https://www.tbsnews.net/economy/lc-openings-settlements-dip-january-yoy-1071311

Undisbursed balance in ADB’s agri-rural sector hits 69%
Agriculture, food, nature, and rural development sectors have the highest percentage of uncontracted and undisbursed balances among the projects financed by the Asian Development Bank (ADB), standing at 68% or $349 million and 69% or $354 million, respectively, as of January this year. This is mainly due to project delays caused by government changes amid a student-led mass uprising in August last year, according to an ADB report.
https://www.tbsnews.net/economy/undisbursed-balance-adbs-agri-rural-sector-hits-69-1072146

Bank
BB to fix banks if deemed ‘non-viable’: Final draft law
The Bangladesh Bank has finalized the draft of the Bank Resolution Ordinance, 2025, equipping itself with provisions that allow it to resolve — meaning intervene and take corrective action against — banks it deems non-viable (no longer financially stable or capable of continuing operations). The Bangladesh Bank’s resolution powers will include appointing a temporary administrator, raising capital through new or existing shareholders, transferring the bank’s shares, assets, and liabilities to a third party, establishing a bridge bank to maintain critical functions and viable operations, and selling the bank to a third party, according to the draft ordinance published by the Financial Institutions Division (FID) on its website yesterday.
https://www.tbsnews.net/economy/banking/bb-fix-banks-if-deemed-non-viable-final-draft-law-1071326

Fuel & Power
Three pvt banks to open $240m LCs for LNG imports
State-run Petrobangla has started the process of opening letters of credit (LCs) with private commercial banks alongside government-owned ones to facilitate the import of liquefied natural gas (LNG), thus creating scope to clear its arrears to international oil companies (IOCs), said sources. With the help of private banks, it has brought down the LNG-import arrears by around one-fourth to nearly $340 million within a couple of weeks from $455 million, a senior Petrobangla official said. To date, Petrobangla has inked deals with Prime Bank, City Bank, and Brac Bank to open LCs of various credit limits to import LNG, market insiders said.
https://today.thefinancialexpress.com.bd/last-page/three-pvt-banks-to-open-240m-lcs-for-lng-imports-1739901806

Funding shortfall threatens renewable energy goals
Despite Bangladesh’s lofty aim of generating 40 percent of its energy from renewable sources by 2040, the country faces a significant funding gap, as only 3.6 percent of the required funds were allocated to the sector in 2023, according to a study. Despite the growing need for sustainable energy solutions, banks and financial institutions are providing minimal financing to this sector, said Khondkar Morshed Millat, a faculty member of the Bangladesh Institute of Bank Management. In 2023, banks and non-banking financial institutions (NBFIs) financed Tk 742 crore for renewable energy projects, up by 62 percent from 2021, the study said. However, quoting the BIBM’s research, Millat said Bangladesh required funding of around Tk 20,500 crore in 2023 to stay on course to provide 40 percent of its energy from renewable sources by 2040.
https://www.thedailystar.net/business/news/funding-shortfall-threatens-renewable-energy-goals-3827911

Textile
Apparel exports to EU rise by 4.8pc in 2024
Bangladesh’s apparel exports to the European Union in 2024 increased by 4.8 per cent to 18.27 billion euros from 17.44 billion euros in 2023 riding on the late year surge in shipment. According to data from the Eurostat, the statistical office of the EU, Bangladesh’s knitwear segment saw a notable increase in 2024, rising from 10.66 billion euros in 2023 to 11.04 billion euros in 2024, with 3.6 per cent increase. The woven apparel sector also saw stronger growth of 6.7 per cent, increasing from 6.78 billion euros in 2023 to 7.24 billion euros in 2024.
https://www.newagebd.net/post/apparel/258260/apparel-exports-to-eu-rise-by-48pc-in-2024

Stocks
Shipping Corporation sees 42% surge in H1 profit
Bangladesh Shipping Corporation (BSC), a state-owned company, has reported a 41.88% rise in its half-yearly profit, driven by rising freight rates in the international shipping sector. According to the corporation’s unaudited financial statements, its revenue grew by 31% to Tk297 crore as of December 2024. Its net profit for H1 surged to Tk142.62 crore, up from Tk100.46 crore in the same period of the previous year. In the second quarter of the current fiscal (October to December), revenue increased by 25.86% to Tk146 crore, while profit rose by 7% to Tk53.69 crore.
https://www.tbsnews.net/economy/stocks/shipping-corporation-sees-42-surge-h1-profit-1072136

Summit Power’s profit jumped 51% in 2024
Summit Power Ltd, a major private electricity producer, reported a significant increase in its profit for 2024, thanks to reduced volatility in the exchange rate. Summit said its consolidated EPS increased by 51.2 percent this financial year compared to last year, primarily due to the significantly higher heavy fuel oil (HFO) cost relative to HFO revenue in the previous year. The company posted a profit of Tk 334.24 crore in the year ended June 30, 2024, marking a 51 percent year-on-year increase. The board of directors has recommended a 10 percent cash dividend for the year, the same as in the previous year.
https://www.thedailystar.net/business/news/summit-powers-profit-jumped-51-2024-3827161

Shipping corp to expand its fleet with 6 new container ships
As part of expanding its container ship fleet, Bangladesh Shipping Corporation (BSC) has initiated the process of purchasing six modern container ships from South Korea in the next two to three years. With these six container ships, BSC plans to add 16 additional ships to its fleet by 2030, a move expected to bring a revolutionary change to the country’s maritime trade sector, according to shipping experts. According to the corporation, while BSC has operated oil and bulk cargo vessels, it currently has no container ships in its fleet. The addition of six new container vessels will mark a significant development for the state-run institution in maritime cargo transport.
https://www.tbsnews.net/bangladesh/shipping-corp-expand-its-fleet-6-new-container-ships-1072156

Square Pharma director to buy company shares worth Tk32cr
Square Pharmaceuticals Director Anjan Chowdhury has announced plans to purchase 15 lakh shares of the company through the secondary or block market within the next 30 days, according to a disclosure on the Dhaka Stock Exchange (DSE) today. On the day of the announcement, Square Pharmaceuticals shares closed at Tk214.90 each, valuing the intended purchase at approximately Tk32 crore. According to the shareholding report for November, Anjan Chowdhury currently holds 8.15 crore shares of Square Pharmaceuticals.
https://www.tbsnews.net/economy/stocks/square-pharma-director-buy-company-shares-worth-tk32cr-1071716