United News of Bangladesh

The price of gold in Bangladesh has been reduced by Tk 5,482 per bhori, with the rate of 22-carat gold now set at Tk 229,373 per bhori, according to the Bangladesh Jewellers Association (Bajus). In a statement issued on Saturday morning, Bajus said the latest adjustment was made in view of the decline in the price of pure gold (tejabi gold) in the local market. The new rates came into effect from 10am. Under the revised pricing structure, the price of 21-carat gold has been cut by Tk 5,249 per bhori to Tk 218,933. The price of 18-carat gold has been reduced by Tk 4,490 per bhori to Tk 187,674, while gold produced under the traditional method now costs Tk 152,857 per bhori after a reduction of Tk 3,616. Bajus last adjusted gold prices on June 2, when it reduced the price of 22-carat gold by Tk 3,266 per bhori, setting the rate at Tk 234,855. So far in 2026, gold prices in the country have been revised 71 times. Of those, prices were increased on 37 occasions and reduced 34 times. Alongside gold, Bajus also lowered silver prices. The price of 22-carat silver has been cut by Tk 408 per bhori to Tk 5,249. Similarly, the price of 21-carat silver has been reduced by Tk 408 to Tk 4,957 per bhori, while 18-carat silver now costs Tk 4,257 per bhori after a Tk 350 reduction. The price of traditional-method silver has been lowered by Tk 233 per bhori to Tk 3,441. Silver prices have been adjusted 42 times so far this year, with increases recorded on 22 occasions and reductions on the remaining 20.

In a major move to inject vitality into a sluggish economy and generate employment, Bangladesh Bank (BB) on Thursday night announced a Tk 20,000-crore pre-refinancing scheme aimed at fully reviving closed and partially operational industries. Under this new policy, titled the "Pre-Refinancing Scheme for Assisting Closed Large-Scale Industry and Service Sectors," eligible business entities and corporate groups can secure working capital loans up to Tk 200 crore at a highly concessional interest rate of 7 percent. The initiative offers massive relief to manufacturers, given that the market interest rate across commercial banks currently exceeds 14 percent following recent monetary tightening. The central bank issued a comprehensive circular detailing the implementation guidelines late Thursday. This policy stems from a broader economic recovery roadmap announced on May 23 by Bangladesh Bank Governor Mostafizur Rahman, who promised a Tk 60,000-crore master fund to stimulate economic growth. According to the guidelines, commercial banks will pull funds from this central bank repository at a 4 percent interest rate and disburse it to qualified industrial and service enterprises at a maximum capped rate of 7 percent. All scheduled banks operating in Bangladesh are eligible to participate in the scheme. The central bank noted that the fund primarily targets large-scale manufacturing and service establishments that possess the necessary machinery and infrastructure but are suffering from production stoppages solely due to an acute shortage of working capital. Special emphasis will be placed on boosting export volumes and generating fresh employment opportunities. Partial or completely closed enterprises capable of resuming full operations will receive priority. Furthermore, efficient, functional companies that acquire or lease underperforming or closed external factories to revitalize them will also receive priority access to the credit facility. To maintain financial discipline, the central bank has imposed strict compliance checks. Borrowers must have a clean slate in the Credit Information Bureau (CIB) database, with no active loan defaults. Any business or entrepreneur with a record of money laundering or past credit misappropriation will be strictly barred from accessing the fund. Loan Utilization Rules: The tenure of the working capital loan will be a maximum of one year at the customer level, renewable based on actual performance and utilization. Borrowers will also enjoy a six-month grace period, meaning interest installment collections will only begin after the first six months. The policy strictly regulates how the loan can be spent. Companies can use the funds to cover up to four months of wages and allowances for workers and staff. It can also be utilized to clear utility dues (electricity, gas) and procure raw materials necessary for immediate production. To ensure transparency, all worker salaries must be routed directly into their respective bank accounts or verified Mobile Financial Services (MFS) accounts linked to their National Identity (NID) cards. Cash transactions are strictly prohibited. The central bank explicitly stated that these loans cannot be used to adjust, settle, or pay off any pre-existing bank liabilities or debts. Strict Monitoring & State Recognition: To prevent fund diversion, Bangladesh Bank has mandated a rigorous oversight framework. Lending banks must collect weekly sales and revenue reports from the borrowers. Bank representatives will be required to physically inspect the factory premises every three months to prepare compliance reports, while Bangladesh Bank reserves the right to conduct surprise spot inspections at any time. Borrowers must channel all business-related income and expenditures through a single, designated bank account. Failure to repay the funds on time will result in the central bank automatically deducting the outstanding amount directly from the respective commercial bank’s current account held with Bangladesh Bank, alongside a 2 percent punitive interest penalty. In a unique motivational approach, the central bank announced that companies, entrepreneurs, and banks that demonstrate successful implementation and actively contribute to the national economy through this scheme will be honored with official state recognition.

Inward remittances to Bangladesh fell by nearly 20 percent during the first three days of June compared to the same period last year, according to the latest data from Bangladesh Bank. Expatriate Bangladeshis sent US$483.05 million in remittances between June 1 and June 3. Bangladesh Bank (BB) Spokesperson and Executive Director Arief Hossain Khan confirmed the figures on Thursday. Central bank statistics show that on June 3 alone, the country received $116.31 million. However, the overall inflows for the first three days represent a 19.96 percent decline compared to the matching period of the previous year (June 1–3, 2025), when remittances stood at $603.51 million. Despite the brief drop at the start of the month, overall remittance inflows for the current fiscal year FY2025–26 remain robust. From July 1, 2025, to June 3, 2026, Bangladesh received a total of $33.24 billion in remittances. This marks an 18.25 percent growth compared to the $28.11 billion recorded during the corresponding period of the previous fiscal year.

Masud Khan, the newly appointed chairman of the Bangladesh Securities and Exchange Commission (BSEC), on Tuesday promised a sweeping transformation of the country's capital market, outlining plans to scrap floor prices, crack down on market manipulation, attract foreign investment, and shift the market from retail-investor dependence to an institutionally driven, credible investment destination. Delivering his inaugural address at a press conference at the BSEC office in Agargaon, shortly after taking charge on Tuesday afternoon, Masud acknowledged that the capital market had failed to keep pace with Bangladesh's broader economic growth and that investor confidence had been severely eroded over the years. “Trust is not built through speeches. Trust is not built by artificially supporting the market. Trust comes from fairness, transparency, consistency and accountability,” the new BSEC chairman said. In one of his most significant policy pronouncements, Masud declared that no floor price would be imposed on securities in the future, and that existing floor prices would be phased out in a calibrated manner based on market conditions, allowing the market to return to a natural price discovery process. Masud set out an unambiguous vision for the regulator: to transform Bangladesh's capital market from a retail-driven frontier market into a transparent, institutionally anchored market capable of mobilising long-term domestic and international capital for the country's economic growth. He said the new commission had assumed responsibility at a critical juncture, when many investors had suffered losses, quality companies remained reluctant to list, foreign investor participation had dwindled, and the mutual fund industry had failed to earn public trust.  

Dhaka's stock market surged to its highest turnover of 2026 on Thursday as the capital market regulator Bangladesh Securities and Exchange Commission (BSEC) saw its outgoing chairman resign and a new one appointed on the same day. Trading on the Dhaka Stock Exchange (DSE) hit Tk 1,351 crore by the close of the session, the highest single-day turnover this year, buoyed by renewed investor confidence following the leadership transition at the top securities regulator. Markets began climbing in the morning after news of the resignation of BSEC Chairman Khondoker Rashed Maqsood and four commissioners spread around. Turnover crossed Tk 1,000 crore before noon. Sentiment strengthened further during the session when Masud Khan was appointed as the new BSEC chairman, pushing activity higher through the closing bell. The previous year-high turnover had been set just a day earlier, when DSE turnover stood at Tk 1,279 crore on Wednesday. Positive momentum had, in fact, defined the entire week. All four trading sessions since markets reopened Monday following the Eid-ul-Azha holiday recorded gains, with the benchmark index rising on each day. Thursday was no exception. The flagship DSEX index gained 33 points, the Shariah-based DSES rose 9 points, and the blue-chip DS30 index added 11 points. Advancers outpaced decliners with 242 companies posting gains against 104 losers, while 45 scripts closed unchanged. Genex Infosys PLC led the gainers with a 10 percent jump, while Jamuna Bank PLC was the top loser, shedding nearly 10 percent. The Chittagong Stock Exchange (CSE) also closed in the green. The all-share index CASPI advanced 83 points, with 152 companies advancing against 74 declining and 29 unchanged. Total turnover at the CSE stood at Tk 27.46 crore.  

Administrative action will be taken against anyone disrupting customer services, said Islami Bank acting Managing Director Md. Altaf Hossain on Thursday amid reports of a symbolic work stoppage at several branches. The warning came after a section of bank officials reportedly observed a one-hour ‘pen-down’ strike at multiple branches in response to a call from the ‘Sachetan Grahak Forum’ (Conscious Customers Forum), which has been protesting for the past three days demanding removal of newly appointed Chairman Md. Khurshid Alam. The forum on Wednesday urged employees to suspend work for an hour on Thursday in solidarity with its movement. Speaking at the bank’s head office in Dilkusha, Motijheel, Altaf Hossain clarified that the management had issued no instructions for any form of work stoppage. “There is no such directive from our side. If any official refuses to provide services, administrative action will be taken against them,” he said. Customer services were partially or fully disrupted for about an hour in some locations although bank officials largely refrained from making public comments. Responding to the situation, the acting MD said the bank’s staff remain committed to serving customers. “Our officers are fully ready to serve. If customers do not come forward for services, it is not possible for us to force it. It is also difficult to monitor the real-time situation of every branch from the head office,” he said. Asked about concerns over possible withdrawal pressure amid the ongoing unrest, Hossain acknowledged increased activity but said there was no cause for alarm. “If all depositors rush to withdraw their money in a single day, any bank in the world would collapse. That is a basic financial reality. But practically that never happens,” he said. He added that the bank has seen a rise in withdrawal pressure due to the prevailing situation, but it remains within manageable limits. “There is definitely some increased pressure due to the current situation, but it is still tolerable. There is no reason for panic. If any critical situation arises, it will be visible to everyone,” he added. The unrest at the Shariah-based lender began late last month following the resignation of former Chairman Prof. M. Zubaidur Rahman and the central bank's subsequent appointment of former Deputy Governor Md. Khurshid Alam to the post.

The government has appointed Masud Khan as the Chairman of  Bangladesh Securities and Exchange Commission (BSEC) as part of its efforts to strengthen the country's capital market regulatory framework. The Financial Institutions Division of the Ministry of Finance issued a notification in this regard on Thursday. According to the notification, Masud, Group CEO of Crown Cement PLC, has been appointed Chairman of the BSEC for a four-year term under Section 5(2) of the BSEC Act, 1993. The notification said he will assume the new role subject to relinquishing all employment and professional engagements with Crown Cement and other organisations. Under the terms of his appointment, he will receive government pay, allowances and other benefits applicable to the position. A seasoned corporate executive with more than four decades of experience in multinational and local companies, Masud has been serving as an independent director and chairman of the audit committee of Singer Bangladesh Limited and Community Bank Bangladesh. He was also serving as an independent director of British American Tobacco Bangladesh and chairman of its Nomination and Remuneration Committee. Before joining Unilever Consumer Care as Chairman, Masud worked for 18 years as Chief Financial Officer (CFO) of LafargeHolcim Bangladesh. Earlier, he spent two decades in various finance and leadership positions at British American Tobacco. Masud has also been associated with the Institute of Chartered Accountants of Bangladesh (ICAB) as a faculty member for more than 40 years. He earned a Bachelor of Commerce (Honours) degree from St. Xavier’s College in Kolkata. A Chartered Accountant (CA) and Cost and Management Accountant, Masud won a silver medal in the All-India Chartered Accountancy Examination in 1977. He is also a Fellow of the Institute of Certified Management Accountants of Australia and New Zealand. His appointment came hours after former chairman Khondoker Rashed Maqsood resigned on Thursday morning after serving for 21 months during the tenure of the interim government. Four commissioners of the securities regulator also stepped down on the same day. The development follows the passage of the Bangladesh Securities and Exchange Commission (Amendment) Act, 2026 in Parliament on April 30, which abolished the previous age limit of 65 for appointing the BSEC chairman and commissioners. The government said the amendment was intended to enable the appointment of experienced professionals to the country's capital market regulator.

Bangladesh is facing mounting economic challenges as weak revenue collection, persistent inflation, banking sector fragility and rising energy costs weigh on the economy, the Centre for Policy Dialogue (CPD) said on Thursday. Presenting the third reading of its Independent Review of Bangladesh's Development (IRBD) FY2025-26 at its office in Dhaka, the think tank said the economy is grappling with a combination of macroeconomic, financial, sectoral and social challenges despite signs of resilience in some areas. The report, titled “State of the Bangladesh Economy in FY2025-26: Multidimensional Challenges during the Transition Period,” was presented by CPD Executive Director Dr. Fahmida Khatun, who said recent developments reflect a mixed picture of resilience and vulnerability. Revenue and Public Finance Bangladesh's revenue mobilisation grew by only 6.9 per cent during July-March of FY26, against a target growth rate of 29.3 per cent. CPD said meeting the annual target would now require an improbable 84.6 per cent growth in the final quarter, calling the revenue mobilisation target “operationally unrealistic.” NBR tax collection fell short of the target by BDT 104,533 crore during July-April FY26, with growth of 10.6 per cent against a target of 34.5 per cent. Closing the gap by June would require 128.6 per cent growth in May-June, a figure the think tank described as near-impossible. ADP implementation stood at just 35.4 per cent during July-April FY26, significantly below the FY17-FY24 average of 49.8 per cent. To finance the widening deficit, the government leaned heavily on bank borrowing, which reached BDT 102,442 crore or 98.5 per cent of the full-year target by March FY26, up 20 per cent from the same period of FY25. CPD warned this could crowd out private sector credit and dampen investment. Inflation and Living Costs Inflation rose to 9.04 per cent in April 2026, up from 8.71 per cent in March, with non-food inflation reaching 9.57 per cent. The Strait of Hormuz blockade triggered sharp fuel price increases between December 2025 and May 2026: diesel rose 15 per cent to BDT 115 per litre, while octane and petrol each surged over 20 per cent. The price of a 12 kg LPG cylinder jumped 40.57 per cent, from BDT 1,341 in March 2026 to BDT 1,885 in June 2026. A CPD market survey of around 1,000 agents across 10 commodities identified green chilies, onions, pulses and brinjals as carrying the highest markups in the supply chain, driven largely by the dominant role of urban aratdars. Banking Sector The banking sector's capital adequacy ratio fell to a historic low of negative 2.93 per cent. Specialised banks collapsed to a CRAR of negative 87.9 per cent in September 2025. While the gross NPL ratio declined from 35.73 per cent in September 2025 to 32.26 per cent in March 2026, CPD said the improvement reflects rescheduling and restructuring rather than any real asset quality recovery. Private sector credit growth fell to a record low of 4.72 per cent in March 2026, constraining investment and job creation. Excess liquidity as a share of total liquid assets rose from 43 per cent in May 2025 to 55 per cent in March 2026, a sign of cautious lending and weak economic activity, CPD said. On regulatory measures, CPD flagged concern over a proposed amendment that would allow former owners of distressed banks to regain control, calling it an accountability risk that could weaken resolution credibility. It also raised concern over a Bangladesh Bank circular raising the single-borrower exposure limit from 15 per cent to 25 per cent of capital until June 2028, warning it could amplify systemic risk. External Sector Bangladesh's overall balance of payments shifted from a deficit of USD 1.1 billion in FY25 to a surplus of USD 3.6 billion in FY26 during July-March, an improvement of USD 4.8 billion. Remittances rose 19.8 per cent during July-April FY26, continuing to serve as a critical external stabiliser. Forex reserves stood at USD 34.57 billion on 23 May 2026. However, CPD cautioned that the BoP improvement was driven largely by debt-creating financial account inflows of USD 3.2 billion, not a genuine improvement in the current account. Exports fell 2.02 per cent during July-April FY26, far below the 14 per cent target. RMG exports declined 2.8 per cent, with knitwear falling 3.7 per cent. Bangladesh lost ground in both the US and EU markets, while Vietnam gained. External debt stood at USD 113.2 billion as of June FY25. Debt servicing costs have more than doubled in five years, from USD 3.2 billion in FY20 to USD 7.2 billion in FY25. The IMF in January 2026 moved Bangladesh to moderate risk from low risk, while Fitch revised its outlook to negative in May 2026. Labour Market CPD said factory closures since August 2024 left between 100,000 and 300,000 workers unemployed. Real wages declined throughout January 2025 to April 2026, with industrial workers bearing real wage contractions of up to 2.1 per cent. Wage-related labour unrest incidents rose from 59 in 2023 to 204 in 2025. Workplace deaths stood at 1,190 in 2025, with at least 186 recorded in the first quarter of 2026 alone. Overall unemployment is expected to remain at 3.8 per cent in 2026, while youth unemployment is projected to rise from 9.1 per cent to 9.7 per cent. Energy Crisis and Haor Floods The Strait of Hormuz blockade exposed Bangladesh's deep vulnerability to imported fuel dependency. CPD estimated that the government will need BDT 31,122 crore in additional subsidies for the energy sector by the end of FY26. The Haor floods of April 2026 damaged an estimated 49,000 hectares of boro cultivation, affecting 236,811 farm households. CPD's own estimate placed rice losses at 339,449 metric tonnes, significantly higher than the official DAE revised figure of 214,000 MT. The government's compensation of BDT 7,500 per farmer, CPD said, covers only 14-18 per cent of per-household production loss. Measles Outbreak CPD characterised the 2026 measles outbreak as a case study in health sector governance failure. Between 15 March and 2 June 2026, the outbreak produced 74,572 suspected cases, 9,191 lab-confirmed cases and 601 deaths. About 72 per cent of cases were among zero-dose children. CPD attributed the outbreak to vaccine stockouts in 2024-2025, the absence of a nationwide MR campaign since 2020, and procurement failures. Recommendations CPD called for broad structural reforms, including expanding the tax base, curbing illicit financial flows and improving ADP implementation. It urged stricter loan classification, greater transparency in rescheduled loans and an end to political influence in banking. The think tank also recommended accelerating gas exploration, expanding rooftop solar, digitising the fuel supply chain, improving agricultural loss assessments, increasing compensation for flood-hit farmers and providing a 12-month loan moratorium. “Bangladesh's recovery requires credible governance reform beyond macroeconomic stabilisation,” said Fahmida Khatun, stressing the need for stronger institutions and accountability to achieve the government's development goals.

Bangladesh has formally requested a fresh financial arrangement from the International Monetary Fund (IMF) to support and anchor its ongoing macroeconomic reform initiatives, the global lender announced on Wednesday. In a statement issued today (Wednesday), IMF Mission Chief for Bangladesh, Mr. Ivo Krznar, said that discussions are already underway regarding the policy priorities and structural updates underpinning the new funding request. "The ongoing IMF-supported program, approved in January 2023 under the Extended Credit Facility (ECF), Extended Fund Facility (EFF), and Resilience and Sustainability Facility (RSF), has served as a critical policy anchor for Bangladesh," the Mission Chief noted. However, the global lender emphasized that the country’s macroeconomic and political landscape has shifted significantly since the inception of the 2023 program, with banking-sector vulnerabilities and chronic revenue-collection shortfalls emerging as primary structural challenges. The IMF indicated that negotiations for the potential new facility are designed to address current ground realities and align closely with the strategic priorities of the new administration. The multilateral lender explicitly clarified that any new credit package will be strictly contingent upon the country’s balance of payments (BOP) needs, the strength of its policy commitments, and the credibility of its structural reform agenda. Any finalized deal will ultimately require the stamp of approval from the IMF’s Executive Board. To lay the groundwork, the IMF is planning an upcoming staff visit to Dhaka. The delegation will review recent macroeconomic developments, evaluate policy priorities, and assess looming economic headwinds. Detailed negotiations regarding the exact financial quantum, tranches, and conditions of the new package will take place during subsequent formal missions. Reiterating its long-term stance, the Washington-based lender stated that it remains fully committed to partnering with Bangladesh to restore sustainable macroeconomic stability, fortify financial sector resilience, and stimulate inclusive economic growth.

Bangladesh’s export earnings declined by 7.09 percent year-on-year in May 2026, reflecting continued weakness in the country’s key ready-made garment (RMG) sector amid persistent domestic and global economic challenges. According to data released by the Export Promotion Bureau (EPB) on Wednesday, export receipts stood at $4.40 billion in May, down from $4.73 billion in the same month a year earlier. The decline also weighed on overall export performance during the first eleven months (July–May) of fiscal year 2025–26. Total export earnings fell by 2.55 percent to $43.79 billion, compared with $44.94 billion in the corresponding period of the previous fiscal year. The RMG sector, which contributes more than 80 percent of Bangladesh’s export earnings, remained the main drag on overall performance. Apparel exports dropped by 8.29 percent year-on-year to $3.59 billion in May from $3.91 billion a year earlier. During the July–May period, cumulative RMG exports declined by 3.41 percent to $35.31 billion, compared with $36.56 billion in the same period of FY2024–25. Industry stakeholders attributed the slowdown to a combination of domestic and external factors, including energy shortages, higher production costs, elevated gas prices, weak consumer demand in key export markets and cautious purchasing by global retailers. Despite the annual decline, export earnings posted a month-on-month recovery in May. Total exports rose by 9.8 percent from April’s $4.0 billion, while apparel shipments increased by 14.43 percent from $3.14 billion recorded in the previous month. Meanwhile, several non-traditional export sectors registered positive growth, offering some support to the overall export basket. Pharmaceuticals, plastics, jute and jute goods, printed materials, home textiles and engineering products recorded notable gains during the period. Exports of leather goods, fresh fruits and crabs also increased, indicating gradual progress in export diversification efforts. The data also showed encouraging performance in several overseas markets. While demand remained subdued in parts of Europe, exports to the United States posted growth during the July–May period. Bangladesh also strengthened its position in a number of emerging and secondary markets, including Spain, the Netherlands, Poland, Canada, China, the United Arab Emirates and Saudi Arabia.