International Monetary Fund has expressed concern over the increase in government borrowing from the banking system. The IMF suggested policy actions on both the macroeconomic and structural fronts in light of a recent weakening in the global economic environment and rapid rise in oil imports and subsidy costs.

The suggestion came during a series of meetings with Bangladesh’s government functionaries when a mission from the international lender visited Dhaka on a 14-day visit, according to a press rfelease.

The IMF team noted that well-coordinated policy adjustments were needed to mitigate balance of payments, fiscal and inflation pressures and contain macro-financial risks faced by Bangladesh.

The mission met with Prime Minister Sheikh Hasina, her economic and energy advisers, the minister of finance, finance secretary, Bangladesh Bank governor and other senior officials, as well as private sector, development partner and civil society representatives.

The talks focused on policy moves to engender moderate monetary and fiscal tightening, backed by greater exchange rate and interest rate flexibility.

Source: The Independent/ Bangladesh/ 16th Dec 2011

The City Bank introduced ‘City Home Loan’ on Thursday at a press conference at a city hotel that was also attended by representatives of the country’s  top real estate developers. Under the loan scheme, a customer would be able to avail City Home Loan up to Tk 1 crore, the Bank’s top official said.

K Mahmood Sattar, managing director and chief executive officer of the Bank, formally launched the new loan scheme along with the Bank’s additional managing directors-- Sohail R K Hussain and Faruq M. Ahmed. Head of retail banking Zabed Amin was also present.

The loan scheme will also facilitate clients with other salient features, includimg repayment tenor up to 25 years, loan against property, financing up to 80 per cent of the property value, faster loan processing etc. The home loan will also allow customers to make their first installment payment after six months of availing the loan.

The Banks MD said, "Now a days with the growing demand of purchasing apartments by the customers, we recognised their needs and have come with Home loan product that will enable our customers to get loan up to Tk 1 crore, fulfilling the dream of having their own apartment or house.”

With the launch of City Home Loan, City Bank has again shown its serious commitment to introduce exciting retail products and services in the market, he added.

Source: The Independent/ Bangladesh/ 16th Dec 2011

The South and South West Asia (SSWA) region that suffered growth slowdown in 2008-2009 needs appropriate strategies, both internal and external, to effectively cope with the fresh threat to the recovery, said Bangladesh Bank governor.

Dr Atiur Rahman was addressing a high-level sub-regional policy dialogue on ‘Development Challenges Facing by the South and South West Asia’ at Taj Mahal Hotel in New Delhi on Thursday, according to a message received here on Thursday.

He stressed the need for fresh negotiations on intraregional preferential trade and tariff arrangements among the SSWA countries and said massive investment needs for addressing the crippling deficiencies in physical infrastructure for all countries in the region.

Source: The Daily Sun/ Bangladesh/ 16th Dec 2011

Alhaj Md Harun-or-Rashid Khan, member of the Executive Committee of Al-Arafah Islami Bank Limited, is seen inaugurating the 85th branch of the Bank at Natun Bazar at Baridhara in the city on Thursday. Alhaj AZM Shamsul Alam, founding chairman of the Bank, director Alhaj Abdul Malek Mollah, managing director Ekramul Haque, are also seen.

Source: The Daily Sun/ Bangladesh/ 16th Dec 2011

Neaz Ahmed, managing director of National Bank Limited (NBL), is seen inaugurating a branch of the bank at Keranigonj recently.

National Bank Limited (NBL) has recently opened its 150th branch at Keraniganj in Dhaka.

Neaz Ahmed, managing director of the Bank formally inaugurated the branch as chief guest, said a press release. AKM Shafiqur Rahman, deputy managing director and company secretary of the Bank presided over the occasion.

Abdul Hamid Mia, deputy managing director, Syed Arab Ali, assistant vice president and manager of Kholamora branch, Ifte- khar Hossain Chowdhury, executive vice president and manager of foreign exchange branch, Atiqul Alam Showpan, Shanti Gopal Sarker, Zakir Uddin and Nazim Uddin, among others, spoke at the opening ceremony.

Source: The Daily Sun/ Bangladesh/ 16th Dec 2011