Thursday, November 7, 2013

Weekly News Clippings (November 7, 2013)

Social Business Summit kicks off in Malaysia today (The Daily Star, November 7, 2013)
The Global Social Business Summit has kicked off in Kuala Lumpur today with an aim to find ways on how the new economic theory can be applied to solve social problems. The summit, introduced by Prof Yunus, the founder of Grameen Bank, brings together the efficient and innovative methods of business as well as solving social problems such as poverty, healthcare, education or energy and all the main actors in the field of social business. Themed ‘Social business to change the world’, the three-day annual event has opened at KLCC Convention Centre in the Malaysian capital. This year, 600 participants from around 40 countries, including 107 participants from Bangladesh, are attending the fifth edition of the summit.

Apparel makers threaten shut down (Dhaka Tribune, November 6, 2013)
Garment makers have threatened to shut down all factories if the government does not lower the minimum wage recommendation of Tk 5,300 within the next 15 days. According to Atiqul Islam, president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), the recommendation of Tk 5,300 as entry-level wage is “suicidal” for the garment sector. At a joint press conference with Bangladesh Knitwear Manufacturers and Exporters Association, he said that the 77 percent higher minimum wage was “simply imposed on the garment owners”, as the sector does not have the “capacity to absorb the 77 percent wage rise.”  Before the press conference the BGMEA and BKMEA held an emergency meeting with their general members where the minimum wage of Tk 5,300 was unanimously rejected.

Old smartphone sales jump (Dhaka Tribune, November 6, 2013)
The online sale of second-hand smartphones in the country rose by 20% following the launch of third generation mobile broadband service. According to the market insiders, this is the highest ever surge in the country’s online sale of old smartphones.Bikroy.com, one of the leading online stores in Bangladesh, witnessed an influx of over 65,000 smartphone advertisements across the country in September alone. They said a large number of customers in Dhaka and Chittagong cities are looking for second-hand smartphones and the 3G-enabled devices and feature phones at the online stores.

Political turmoil taking toll on frozen food sector (The Financial Express, November 6, 2013)
Frequent spells of hartal have badly affected shrimp and white fish supply to processing units as well as shipment of export consignments in the frozen food industry. "Production has come to a halt due to unavailability of shrimp and other fishes following scarcity of transports during hartals," said former president of Bangladesh Frozen Food Exporters Association (BFFEA) Md Golam Mostafa.  According to the Export Promotion Bureau (EPB) Bangladesh exported frozen food worth $191.28 million during the July-September period in FY 2013-14. The government has set a target of exporting frozen foods worth $578.77 million this fiscal. "The growth rate of our frozen food export is encouraging so far, might be adversely affected if the political impasse continues.”

Bangladesh brings microlender Grameen Bank under central bank supervision (Reuters, November 5, 2013)
Bangladesh's parliament has approved a law bringing the Nobel prize-winning Grameen Bank under the central bank’s authority. Its founder Mohammad Yunus has branded the move as “a ploy to destroy the microfinance lender.” The draft of the act has been approved at the parliament said lawmaker AHM Mustafa Kamal, chairman of the standing committee on the finance ministry, which recommended the law be passed. Kamal, a member of the ruling party said that the central bank and government had the right to know how Grameen Bank, which was established in 1983 and has 8.3 million borrowers, organises its finances.

Remittance up in October (Dhaka Tribune, November 5, 2013)
Remittance from wage earners abroad rose more than 20% in October from the previous month due to Eid-ul-Azha. According to Bangladesh Bank the country received $1.23billion in October as opposed to $1.02billion received in September and $1billion in August. Bangladesh’s foreign currency reserves recently exceeded $16 billion, but political turmoil and weak dollar are discouraging expatriates to send money home said a high official of Bangladesh Bank. A World Bank report described Bangladesh as the 7th most remittance earning country in 2012.

Jica offers $400m for metro rail (Dhaka Tribune, November 5, 2013)
Construction work of the Mass Rapid Transit (MRT)-6, known as metro rail, will start one year ahead of the previous schedule as the Japan International Cooperation Agency (Jica) wants to disburse Tk130 billion ($400m) next year for the project. The committee approved the communication ministry’s proposal for appointment of a consultant for the Tk220 billion project. A consortium of six local and international firms, led by Nippon Koei Construction Company of Japan, gets the Tk9.5 billion consultancy work. “The MRT-6 will be completed within four years,” the finance minister said.

Bangladesh overtakes India in overall prosperity (The Daily Star, November 4, 2013)
Bangladesh has overtaken India on the prosperity index for the first time this year, according to the 2013 Legatum Prosperity Index, an annual ranking of 142 countries based on a variety of factors including wealth, economic growth, personal wellbeing and quality of life. In the index compiled by London-based Legatum Institute, Bangladesh came in at 103, three spots above its neighbour, who slipped 5 spots down to 106, and nearly 30 spots above Pakistan, who came in at 132. Despite the fact that the country’s gross national income per capita – at purchasing power parity – amounts to just half that of its larger neighbor, Bangladeshis not only live 3.4 years longer than their Indian counterparts, but fewer are undernourished, a lower number die in infancy and more have access to sanitation. Furthermore, the average Bangladeshi worker has more secondary years of education (1.8 years) than his or her Indian counterpart (1.2 years).

Online shop opens for real estate buyers  (The Daily Star, November 3, 2013)
An online marketplace for buying, selling and renting property, Lamudi.com.bd has been launched in Bangladesh. The goal of the site is to empower customers with thorough information on the market and to assist them in contacting developers, agents and landlords. Lamudi.com.bd is part of the Rocket Internet family, an online venture builder across the globe that has created over 100 market leading companies in more than 50 countries. Lamudi has launched real estate platforms in 12 markets over the past five months, including Colombia, Kenya, Myanmar, Mexico, Nigeria, Pakistan and Saudi Arabia, said the chief executive.

FBCCI calls for a formalin control act (The Daily Star, November 3, 2013)
The Federation of Bangladesh Chambers of Commerce and Industry has urged the government to pass a formalin control act soon to prevent misuse of the health hazardous chemical. Leaders of the apex trade body also demanded the government to allow only the state-owned Trading Corporation of Bangladesh to import, sell and distribute formalin in the domestic market. The annual demand for formalin in the country is 40 tonnes now. The country imported 750 tonnes of formalin in 2010-11, which came down to 22 tonnes in 2012-13 due to strict government rules. Earlier, the FBCCI had donated nine formalin detection kits for nine kitchen markets in Dhaka and seven in markets outside the capital.
Spiralling environmental risks haunt Bangladesh  (The Financial Express, November 3, 2013)
A leading UK-based environmental institution, Maplecroft, listed Bangladesh and its capital city Dhaka as the 'most vulnerable' to climate change among 193 countries and 50 cities across the world. According to its latest analysis released globally late last week, the country and its capital city are likely to suffer the most due to global warming by 2050. If immediate measures are not taken about half the population of Bangladesh —70 million people — could be affected by flooding every year and a tenth of the low-lying land could be lost forever.   After Bangladesh, Guinea-Bissau, Sierra Leone, Haiti, South Sudan, Nigeria, Congo, Cambodia, Philippines and Ethiopia are among the 10 top vulnerable countries.  Meantime, Germanwatch, in its Global Climate Risk Index, 2013 listed Bangladesh as the fourth vulnerable country to extreme events resulting from climate change.

Form a separate ministry for garment sector: TIB (The Daily Star, November 1, 2013)
Transparency International Bangladesh (TIB) has recommended the government to form a separate ministry for the garment industry to formulate and implement long-term plans and boost monitoring of the sector. According to TIB, the labour laws should be amended in line with the International Labour Organisation Convention. In addition, a department needs to be set up under the ministry for factory inspection and compliance implementation. In order to help the sector recover, TIB recommended formulating a uniform code of conduct to improve the working conditions, introducing a gender code of conduct, and amending the laws for filing criminal cases against owners after accidents.













No comments:

Post a Comment