Md. Ehsan Khasru, Managing Director and CEO of Prime Bank Limited, inaugurates the 145th ATM booth of the bank at Banasree Residential Area in Dhaka recently. 

Prime Bank Limited opened its 145th ATM booth at Banasree Residential Area in Dhaka recently. Managing Director and CEO of Prime Bank Limited Md. Ehsan Khasru inaugurated the ATM booth, said a press release.

Habibur Rahman, Head of Retail Banking Operations & SEVP, Farhad Uddin,EVP, Ferdousi Sultana, EVP, Md. Mizanur Rahman,AVP and Head of Banasree Branch SAVP Md. Kabirul Hasan were also present.

Mohammed Nurul Amin, Managing Director of NCC Bank Limited, inaugurates an ATM booth at Ganginarpar Panir Tank in Mymensingh on Tuesday. 

NCC Bank Limited opened an ATM both at Ganginarpar Panir Tank in Mymensingh on Tuesday.

Mohammed Nurul Amin, Managing Director and CEO of the bank formally inaugurated the booth as chief guest, said a press release.

Among others, Mayor of Mymensingh Pourashava Ekramul Haque Titu, Additional Managing Director of NCC Bank, Golam Hafiz Ahmed, EVP and Head of Cards Md. Omar Faruque Bhuiyan and senior officials of the bank, and local journalists were present.

From now on, customers of NCC Bank will enjoy 24-hour cash withdrawal, balance inquiry, utility bill payment, mini statement and pin change facilities through this ATM booth without any cost.

HSBC Holdings plc has failed to win regulatory approval from the State Bank of Pakistan for the sale of its business in the country, the UK-based lender said.

HSBC will now explore alternative options for its banking business in Pakistan, it said in a Hong Kong Stock Exchange filing on Wednesday.

HSBC subsidiary HSBC Bank Middle East Limited had been trying to sell the Pakistan business to JS Bank Limited as part of a global retreat from countries where it lacked scale or struggled to make a profit.

The bank had announced in April last year that it was in talks to sell the Pakistan unit, which had just 10 branches.

World Bank country director Johannes Zutt speaks at a briefing at the WB office in Dhaka on Wednesday. — New Age photo

The World Bank on Wednesday projected that Bangladesh’s economic growth would slow down to 5.7 per cent in the current fiscal year, much lower than the government’s projection of 7.2 per cent, mainly due to political unrest ahead of next general elections and lower investment.  

 
The international lender disclosed their projection at a press briefing on Bangladesh Development Update-2013 at its office in Dhaka. 

The WB also said that rebuilding the image of readymade garment industry is the most pressing challenge for the country in coming days along with improving investment situation, removing supply bottlenecks and maintaining economic and financial reforms. 

Earlier in the month, the International Monetary Fund and Asian Development Bank also forecast lower GDP growth for fiscal year 2013-14 at 5.5 per cent and 5.8 per cent respectively.

 
‘Economic Growth targeted for the current fiscal year cannot be achieved. The GDP growth may be even lower than the forecast if the ongoing political disturbance along with other internal strife continues,’ WB lead economist, Zahid Hussain, said. 
Low growth in industry and service sectors will play a role in reduction of the overall economic growth, he said. 

He said that the projected growth would depend on internal stability and structural reforms. 
‘Bangladesh’s overall economy is moving into a more volatile phase,’ Zahid said. 

The risks stemming from the impending political transition have grown significantly while new risks and challenges have gained prominence, including notably the risks associated with the damaged image of the RMG industry, he added. 

He said that inflation might go up because of internal reasons. The election may hamper the implementation of tax policy, good governance and manpower export. These will have an impact on national economic growth.

World Bank country director Johannes Zutt said that the RMG sector has been a key contributor to Bangladesh’s strong economic performance. 

But the industry is now at a critical crossroads, as recent factory fires and building collapse have exposed the hazards the workers face and also severely tarnished the industry’s image, he said. 

‘Bangladesh must act now to articulate and enforce improved standards for building safety and worker health and security, so that the garments industry can continue to grow and other industries can follow its example,’ he said. 

In its update, the WB said that industrial accidents have revived concerns over compliance in labour standards and worker safety, putting Bangladesh’s competitiveness in RMG at risk. 

‘The time to act is now. The most immediate priority for the government is to ensure enforcement of the steps suggested by foreign buyers, international agencies and domestic regulatory bodies,’ it stated. 
It warned that the cost of inaction could be high. 

‘Removing GSP facility by the USA may not hurt the RMG sector unduly, as the benefits to the industry were non-existent, but if the EU truncate or suspend the GSP facility, Bangladesh could see its total exports fall by as much as 4.1 to 8 per cent,’ it said.

The central bank has asked the commercial banks and non-banking financial institutions (NBFIs) to disburse loans under the Japan International Cooperation Agency (JICA)-funded project for improving infrastructure and doing safety assessment in the country's apparel and clothing sector.

"We're ready to release the fund to the participating financial institutions (PFIs) under the project," Mr Masum Patwary, acting general manager of the SME and Special Programmes Department of the Bangladesh Bank (BB), told the FE Wednesday. 

Mr. Patwary also said the central bank would approach development partners for arranging further funds for the project to confirm success of it.

The central bank issued a notification in this connection Wednesday and asked the banks and NBFIs to take necessary measures for sanctioning loans in line with the related operating guidelines. 

Currently 39 banks and NBFIs are eligible for disbursing the loans under the project to interested RMG entrepreneurs for the purpose of retrofitting, rebuilding and relocating their factory buildings. 

"We expect that four banks and one NBFI will sign memorandums of understanding (MoUs) with the central bank shortly for disbursement of the fund," another BB official noted. 

The JICA has already provided Tk 1.0 billion as a soft loan for improving the working environment in the country's ready-made garment (RMG) sector. 

Under the project, an entrepreneur will be given maximum Tk 1.0 million as a soft loan at the maximum interest rate of 10 per cent to develop infrastructure for their garment factories. The loan will be repayable in 15 years including a two-year grace period. 

An MoU was signed to this effect by the JICA, the central bank, Public Works Department (PWD) under the Ministry of Housing and Public Works, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) at a hotel in the capital on October 3. 

The funding is aimed at providing financial support to the RMG enterprises for conducting safety assessment of their buildings under the supervision of JICA experts and engineers of the public works department under the Housing and Public Works Ministry. 

The central bank has taken the latest initiative against the backdrop of the Rana Plaza collapse at Savar in Dhaka on April 24 last, where more than 1,100 people died and hundreds were severely injured.