Eastern Bank PLC (EBL) posted a 28% year-on-year rise in consolidated net profit in the first quarter of 2026, driven by higher investment income and strong foreign exchange earnings, says a press release.

According to the bank's January-March financial statement, consolidated profit after tax rose to Tk199 crore from Tk155 crore in the same period last year.

Consolidated earnings per share increased to Tk1.24 from Tk0.97 a year earlier, while net asset value per share rose to Tk32.75 from Tk26.41.

EBL Managing Director Hassan O Rashid said the bank delivered resilient performance despite slower private sector credit growth.

"We continue to remain focused on maintaining strong asset quality, liquidity and capital strength while ensuring superior financial result for our shareholders." he added.

The bank's standalone non-performing loan ratio stood at 2.80%, almost unchanged from 2.79% a year earlier and well below the industry average.

EBL's standalone capital-to-risk weighted assets ratio was 16.71%, higher than the regulatory requirement of 12.5%.

By the end of March 2026, deposits grew 20% year-on-year to Tk56,207 crore, while standalone total assets rose to Tk76,961 crore.

The Bangladesh Startup Investment Company (BSIC), a venture capital platform formed by 39 commercial banks, plans to invest from its inaugural $35 million fund in at least three firms over the next four months, according to officials involved in the process.

They, however, also said the number of recipient companies could exceed during the period.

The announcement of the investment came at the launch event of BSIC at the Radisson Blu Water Garden Hotel yesterday (12 May), where officials described the initiative as the country's first institutionally governed venture capital platform backed by banks.

Finance Minister Amir Khosru Mahmud Chowdhury attended the launch event as the chief guest, while Bangladesh Bank Governor Md Mostaqur Rahman was present as the special guest.

Mashrur Arefin, managing director of City Bank, serves as the chairman of Bangladesh Startup Investment Company.

The platform launched the "Onkur Bangladesh Fund 1" with committed capital of around Tk425 crore or $35 million. Participating banks will contribute 1% of their annual net profits to the fund, creating a recurring capital structure rather than a one-time allocation.

BSIC officials stated that the fund will invest in seed, late-seed and Series A-stage startups. While the investment scope is broad, agro-based and technology-focused ventures are likely to receive priority.

However, the company will not provide financing at the very initial stage of a startup. Instead, it plans to back ventures that have already demonstrated operational and growth potential, with further investments to be made in phases to support expansion.

Officials also said the disbursement policy is still being finalised, although investments are expected to be made through equity participation.

Alongside domestic investment, BSIC is also working to attract foreign investment into Bangladesh's startup ecosystem in an effort to strengthen funding opportunities for local ventures.

The launch event was attended by representatives from several international investment firms and development-focused organisations, including VentureSouq, Wavemaker Partners, 500 Global, Plug and Play, ADB Ventures, GFR Fund, Sturgeon Capital, Conjunction Capital and Orbit Startups, as well as regional technology media outlets Tech in Asia and FWDstart.

Officials said the platform is currently in discussions with international investors and development partners to mobilise additional capital alongside its own investments.

The initiative is being seen as a major effort to mobilise domestic financial capital for Bangladesh's startup ecosystem, which has historically relied heavily on foreign investors.

Speaking at the event, Amir Khosru said, "This fund will not be used for political motives, and there will be no political intervention." He said the fund would operate free from political interference and would be used solely to support the growth of startups.

"Bangladesh is entering a new phase of economic transformation, where future growth must increasingly come from productivity, technology, entrepreneurship, and private sector innovation," the minister further said.

"BSIC reflects confidence in our young entrepreneurs and in the ability of domestic institutions to help build the next generation of nationally and globally competitive companies."

Governor Mostaqur said the BSIC fund will be managed independently and will support start-ups, helping strengthen the rural economy. "BSIC represents an important step in mobilising domestic capital for productive, technology-enabled enterprises that can contribute to employment, productivity, and financial inclusion," he said.

"We expect the Association of Bankers, Bangladesh, to support the initiative of Bangladesh Bank in building a cashless society," he further said, adding that another initiative would be implemented in the coming days.

According to published data, Bangladesh's startup sector has received more than $1 billion through over 450 investment deals since 2010. However, less than 7% of the total investment came from domestic sources.

Addressing the event, Mashrur Arefin said the fund would prioritise SMEs and technology-based companies, although non-tech businesses would also be eligible. "This fund helps the growth of companies, and a company can expand their business through BSIC's equity participation," he said.

Mohammad Ali, managing director and CEO of Pubali Bank PLC and also a board member of BSIC, said the company also planned to support cottage-level startups.

"We will finance them, and if they succeed, we will work to turn them into corporations as well. That should be a way of journey," he said.

Separately, at the event, BSIC announced the appointment of Sami Ahmad, a global venture capital veteran, senior advisor at B Capital and previously a general partner at the firm, as an advisor to the BSIC board.

Islami Bank Bangladesh reported that it incurred a loss of Tk288 crore in the January-March quarter of 2026.

According to the bank's price sensitive statement, its consolidated loss per share was Tk1.79 in the first quarter.

The bank said, it incurred the loss mainly due lower interest earnings, higher deposit cost and rising non performing loan.

BRAC Bank reported that its consolidated net profit jumped by 44% to reach Tk695.68 in the January-March quarter of 2026.

According the bank's price sensitive statement, its consolidated earnings per share was Tk2.90 in the first quarter, which was Tk2.02 during the same quarter a year ago.

The bank said, net profit was driven by higher interest income as well as investment income. Moreover, robust performances fron the subsidiaries companies also helped to post such profit growth during the quarter compared to the previous year.

Finance Minister Amir Khosru Mahmud Chowdhury directed authorities to work towards bringing at least one member from each of the country’s nearly 4 crore families under the Universal Pension Scheme (UPS) by 2030.

The directive came at a high-level meeting held at the finance ministry yesterday to review the progress, challenges, and future roadmap of the pension scheme.

During the meeting, officials said a total of 377,545 people had enrolled in the four existing schemes -- Probash, Progoti, Surokkha, and Somota -- as of April 30 this year.

The pension fund has so far accumulated Tk 256 crore in contributions, while total investments, including profits, have reached Tk 280 crore, according to a press release.

The previous Awami League government rolled out the UPS in August 2023 with a view to bringing the country’s growing elderly population under a single social security system.

Khosru stressed the need to further expand the pension scheme, particularly among people working in the informal sector, who account for nearly 85 percent of the employed workforce.

They remain without any retirement protection, he said.

Officials at the meeting also highlighted concerns over the country’s growing ageing population and the increasing dependency ratio in the coming decades, the press release said.

The meeting discussed several proposals aimed at making the scheme more attractive and inclusive, including the introduction of a Shariah-based pension scheme, lifetime pension benefits for nominees, and the inclusion of outsourced workers under the Progoti scheme.

Officials also informed the meeting that the Asian Development Bank (ADB) has pledged $100 million in concessional loans for a project to strengthen the UPS.

Currently, contributions can be deposited through 45 banks and financial institutions, as well as mobile financial services such as bKash and Nagad.

The finance minister also emphasised the importance of strengthening public confidence in the pension system through wider awareness campaigns, enhanced cybersecurity measures, and the recruitment of skilled professionals.

The board of Bangladesh Bank yesterday decided in principle to liquidate five non-bank financial institutions (NBFIs) from July this year, according to central bank officials.

The non-banks are FAS Finance, Fareast Finance, Aviva Finance, People’s Leasing and International Leasing.

Before the liquidation process begins, the central bank will announce a scheme for depositors. Under it, individual depositors with savings of up to Tk 10 lakh will receive a full refund of their principal amounts, but no interest payments.

Officials familiar with the matter told The Daily Star that the central bank will seek funds from the Ministry of Finance to meet the repayment obligations.

The decision was taken at the central bank board meeting yesterday. It was chaired by Bangladesh Bank Governor Md Mostaqur Rahman.

Central bank officials said that individual depositors with savings above Tk 10 lakh will be repaid on a proportional basis, depending on the availability of funds and the size of their deposits.

To manage the process, they said the central bank is planning to introduce a separate repayment mechanism.

Earlier, the Bangladesh Bank board under the interim government approved the liquidation of six non-banks, including Premier Leasing.

In November last year, it approved the liquidation proceedings under the Bank Resolution Ordinance 2025, the country’s first comprehensive framework for resolving failed banks and non-banks.

The latest decision to liquidate five NBFIs came amid protests by depositors of the distressed institutions.

On May 7, an alliance representing more than 12,000 depositors of six troubled NBFIs urged the central bank to take urgent steps to return their long-frozen funds.

The six institutions are FAS Finance, Premier Leasing, Fareast Finance, Aviva Finance, People’s Leasing and International Leasing.

The depositors have submitted multiple memorandums to the Bangladesh Bank governor, saying they have faced severe financial hardship, mental distress and a humanitarian crisis as their savings have remained locked for nearly seven years.

“Many depositors are unable to access treatment for critical illnesses such as cancer, kidney disease, and heart conditions due to a lack of funds,” one memorandum said, adding that several depositors had already died without receiving necessary medical care.

Over the years, several NBFIs have collapsed due to widespread mismanagement, weak governance and heavy exposure to non-performing loans. Poor regulatory intervention and oversight failures further deepened the crisis, eventually leading to liquidation.

Under the interim government, the regulator initially proposed liquidating nine NBFIs: FAS Finance, Bangladesh Industrial Finance Company (BIFC), Premier Leasing, Fareast Finance, GSP Finance, Prime Finance, Aviva Finance, People’s Leasing and International Leasing.

According to Bangladesh Bank data, these nine institutions hold deposits worth Tk 15,370 crore, of which Tk 3,525 crore belongs to individual depositors and Tk 11,845 crore to banks and corporate clients.

After hearings in January this year, three institutions, Prime Finance, GSP Finance and BIFC, were given three to six months to improve their financial condition.

As of September 2025, the country’s 35 NBFIs had non-performing loans of Tk 29,408.66 crore, accounting for 37.11 percent of total outstanding loans of Tk 79,251.11 crore, according to Bangladesh Bank data.

A year earlier, in September 2024, the sector’s non-performing loan ratio stood at 35.52 percent.

Major Asian ​liquefied natural gas (LNG) importers Japan and South Korea ramped up coal-fired power generation in April and into early May, ‌market data showed, as the Iran war disrupted supplies of the super-chilled fuel and boosted prices.

Japan’s gas-fired power supply hit two-year lows in April and South Korea’s dropped to six-month lows, according to data from the Japanese Electricity Market Data Hub and Korea Power Exchange (KPX).

The switch underscores how the conflict is reshaping power ​generation patterns after Iranian retaliation to US-Israeli attacks knocked out 17 percent of LNG export capacity in No. 2 global supplier Qatar.

“The longer ​this war continues, the more switching we will see,” Andre Lambine, a power analyst at S&P Global Energy, told a recent industry event.

In April, coal-fired power supply in Japan surged 11.1 percent, the fastest pace in at least a year, as ​gas-fired power plunged 12.9 percent to 16,447 gigawatt-hours (GWh), statistics from the Japanese Electricity Market Data Hub showed.

Japan and South Korea typically use LNG to ​offset nuclear maintenance shutdowns before demand starts rising in June.

“Japan’s rising coal power output displaced roughly 4 LNG cargoes in April - already about half the annual imports the government expected to avoid by using more coal,” said Fei Xu, senior gas analyst at ICIS.

“This has helped maintain end-April LNG inventories near 5-year averages.”

South ​Korea’s coal-fired power supply rose 39.7 percent annually to 10,733 GWh in April - the sharpest rise since August 2019, while gas-fired power fell 6.4 percent, ​data from KPX showed.

Nuclear supply fell 2.7 percent annually in Japan and 14.6 percent in South Korea in April ‌and continued declining in the first 10 days of May, the data showed.

The conflict is reshaping power generation after attacks disrupted 17% of LNG export capacity in Qatar, the world’s second-largest supplier
That was offset by an 18.3 percent annual increase in coal-fired supply in Japan and 14.7 percent in South Korea in May, as gas-fired power plunged 23.4 percent and 12.2 percent respectively.

S&P’s Lambine said South Korea could use more coal as its coal-fired power plants remained underutilised, while ICIS’ Xu said Japan’s ability to switch from gas to coal may be larger and faster ​than expected.

Elsewhere, a heatwave across ​Southeast Asia drove a 12.3 percent surge ⁠in Vietnam’s coal-fired output to a record 17,864 GWh last month, pushing coal’s share in its power mix to the highest since March 2024, government data showed.

The war-induced LNG supply crisis and hot weather ​also drove a surge in Asian thermal coal shipments in May outside China and India - the top ​global coal users, ⁠with imports by countries set to rise 9.4 percent annually to 31 million metric tons, according to London-based DBX Commodities.

Vietnam’s electricity-grade coal imports surged to a record 5.4 million tons in April, Kpler data showed.

In May, coal imports by South Korea and Japan are on track for annual rises of ⁠more than ​50 percent and 20 percent respectively, the data showed.

Asian spot LNG prices have surged 62 percent since ​the start of the war, dwarfing a 13 percent rise in the Newcastle coal benchmark . Coal’s supply chain to Asian markets is unaffected by the war.

“Coal’s value is increasingly ​being defined by security rather than economics,” said DBX Commodities CEO Alexandre Claude.

The government is moving ahead with a plan to bring the Bangladesh Investment Development Authority (Bida), Bangladesh Economic Zones Authority (Beza) and Bangladesh Export Processing Zones Authority (Bepza) under a single umbrella entity to streamline the investment ecosystem and improve coordination among investment-related institutions, Commerce Minister Khandakar Abdul Muktadir said yesterday (12 May).

"The government has undertaken a series of regulatory reforms aimed at reducing the cost of doing business, simplifying business entry and accelerating Bangladesh's transition towards a trillion-dollar economy," he said while disclosing the plan during a call-on meeting with a delegation from Business Initiative Leading Development (BUILD), according to a press release.

As part of the reforms, the government plans to introduce provisional licences valid for 12 months for six essential approvals, including fire service, DIFE and chamber memberships, allowing entrepreneurs to begin operations without delay, he said.

India today hiked import duties on gold and silver to 15% from 6% as part of measures to curb inbound shipments of precious metals amid a rising import bill due to the Middle East crisis.

The move came a couple of days after Prime Minister Narendra Modi's call for curbs on gold purchases for a year, along with other austerity measures to save foreign exchange.

The duty hikes will raise the overall customs duty on gold to 15%.

India, the second biggest gold importer after China, had in the 2024-25 budget cut customs duty on gold to 6% to boost the domestic gems and jewellery industry, curb smuggling and bring down local prices.

In 2022, India had increased gold import tax to 15% to check capital account deficit amid a falling rupee due to the Russia-Ukraine war that began in February that year.

India's imports of the yellow metal went up by over 24% to an all-time high of $71.98 billion in 2025-26. In volume terms, however, the shipments dipped 4.76% to 721.03 tonnes in 2025-26.

Bangladesh Bank has purchased dollars from commercial banks for two consecutive days in the second week of May.
FE

The central bank bought $20 million from a commercial bank on Tuesday at a rate of Tk 122.75 per dollar, according to officials.

A day earlier, the regulator purchased $45 million from another bank at the same rate.

Arief Hossain Khan, executive director and spokesperson for the central bank, told bdnews24.com: “So far this month, up to $145 million has been purchased from the market.”Stock Market Data

The central bank’s cut-off rate for dollar purchases throughout May has remained Tk 122.75 per dollar.

According to Bangladesh Bank data, the regulator has bought a total of $5.82 billion from the market so far in the current fiscal year.

Following the trend of previous months, inward remittance has continued to maintain positive momentum in May.

In the first 11 days of the month, expatriates sent $1.44 billion in remittances, which is 56.4 percent higher than the same period last year.

During the corresponding period in 2025, remittance inflow stood at $922 million, the central bank said.

The increased remittance inflow has boosted foreign currency holdings at commercial banks, with many banks exceeding their foreign exchange retention limits.

At the same time, dollar demand has remained subdued due to lower import pressure.

In such a situation, Bangladesh Bank has been absorbing dollars from the market to provide local currency liquidity against remittances and maintain exchange rate stability.

The move is helping the central bank stabilise the dollar market while also increasing foreign exchange reserves.

On May 7, Bangladesh paid $1.51 billion in liabilities to the Asian Clearing Union (ACU).

Following the payment, Bangladesh Bank resumed dollar purchases on Monday after reserves declined.

The central bank again bought dollars on Tuesday to further strengthen reserves.

After Monday’s purchase, foreign exchange reserves stood at $29.56 billion under the BPM6 calculation method and $34.22 billion in gross terms, according to Bangladesh Bank data.

Fresh nuclear fuel has been successfully loaded into the reactor core of Unit-1 at the Rooppur Nuclear Power Plant, marking a major milestone toward the plant's commissioning and electricity generation.

The fuel loading process began on 28 April and involved the sequential insertion of 163 fuel assemblies into the reactor core, according to officials involved in the project.

The operation is considered one of the most critical stages before the unit begins commercial power generation.

Alexey Deriy, vice president of Atomstroyexport, said the work was carried out in full compliance with the initial core loading programme, operational regulations and international nuclear safety standards.

"The next stage includes installation of the upper reactor unit and integration of all required in-core instrumentation systems," he said.

"Hundreds of additional tests will then be conducted to ensure the reliable and safe operation of all process systems."

According to him, the reactor will soon be brought to its minimum controllable power level, after which capacity will gradually be increased.

These procedures will pave the way for power startup and trial commercial operation of Unit-1.

The Rooppur Nuclear Power Plant, Bangladesh's first nuclear power facility, is being constructed with Russian technical and financial assistance.

The project includes two VVER-1200 reactors with a combined generation capacity of 2,400 megawatts.

Officials said the Generation III+ reactor design complies with international nuclear safety standards.

The engineering division of Rosatom is serving as the project's general designer and contractor.

A foreign-aid laden annual development budget of Tk 3.0 trillion in size is forthcoming as the new government has proposed 53-percent hike in project assistance for bankrolling its recipe,
FE

Officials say for the first time in two decades that such foreign loan-dependent development programme is being framed, now that the time of tightfisted of interim era is over.

Considering external and internal economic shocks, the past interim government slashed the project aid for consecutive two years for reducing dependence on foreign loan, but this government overturns that policy, they say.Economic Trend Reports

The project-aid target, mainly foreign loans, in the upcoming Annual Development Programme, accompanying the national budget, has been proposed at Tk 380 billion that is 53-percent higher than that in the revised ADP of the outgoing fiscal year FY2025-26, Ministry of Finance (MoF) and Planning Commission (PC) officials said Tuesday.

The PC has already finalised the Tk 3.0 trillion ADP for the next fiscal year (FY2027) with Tk 1.10 trillion targeted as project aid, to be borrowed from external sources. The remaining funds worth Tk 1.90 trillion will come from internal resources.

In the current fiscal's Tk 2.0-trillion ADP, the government allocated Tk 720 billion worth of PA, mostly come from foreign loans, while the remaining Tk 1.28 trillion is being provided from state coffers, usually mobilised from revenue income.

According to an FE analysis, Bangladesh government's highest growth in project-loan allocation in the ADP was in FY2016-17 as Bangladesh started the Rooppur nuclear power plant and metro-rail construction works.

Meanwhile, in the last FY2025, foreign debt, including interest and principal, was repaid with Tk 500 billion -- the highest ever.Business News Alerts

In the current FY2026, foreign-debt service cost Tk 430.61 billion during the first 9 months (July to March).

This foreign debt-repayment rate is 10-percent higher over the same period of the last fiscal year. The repayment rate has reached a point where it is more than the amount of loan received from development partners every month.

The installment repayment of the loan taken from Russia for the Rooppur Nuclear Power Plant will start soon, which will add up to the current debt-servicing obligation. According to the Economic Relations Division (ERD), some Tk 46.36 billion will have to be repaid every year. The time schedule for the repayment of many other big loans would also start within next few years.

Economist Masrur Reaz says the dependency on foreign loan would put further pressure on the repayment amid the lower revenue-income base.

"Following the current domestic and international situation, though the government has no good alternative except for borrowing foreign loans, but their best utilisation would have to be ensured," Dr Masrur notes.

According to a report by the Implementation and Monitoring Department (IMED) of the Ministry of Planning, government dependence on foreign loans and grants had increased in the last five fiscal years. The rate of use of domestic resources has decreased.Bangladesh Investment Guide

Meanwhile, the scope for loans on easy terms is becoming limited as most of the donors going for lending market-based loans. This has created additional pressure on loan repayment.

Some major development partners, including the World Bank, the Asian Development Bank (ADB) and Japan International Cooperation Agency JICA, are gradually making their terms and conditions harder.

Incidentally, currently, almost all of the foreign loans and grants in development projects are mainly loans. Grants are very small.

According to the Economic Relations Department (ERD), 90.67 per cent of the money released from development partners in the last fiscal year 2024-25 came as loans. Only 9.33 per cent were grants.

Officials of ERD and PC have told the FE that the proposed Tk 3.0-trillion ADP with the allocation of Tk 1.10-trillion project aid has been prepared by considering the government's election manifesto, the demands of various ministries, and the progress in the implementation of the ADP during the last 9 months.

The proposed ADP will be presented for approval in the National Economic Council (NEC) meeting soon ahead of presentation in parliament along with the national budget which is forecast to be around Tk 9.0 trillion in size.Economic Trend Reports

Meanwhile, the updated report of IMED shows that 40 per cent of the total allocation for foreign loans had been spent in the last nine months till March.

Oil prices rose by about 3 percent on Tuesday as stark differences ‌between the US and Iran on a proposal to end the war in the Middle East pushed supply concerns back into the spotlight.

Brent crude futures gained $2.85, or 2.7 percent, to $107.06 a barrel by 0931 GMT and US West Texas Intermediate was up $3.13, or ​3.2 percent, at $101.20. Both benchmarks climbed nearly 3 percent on Monday

Oil prices moved higher after President Trump ​cast doubt on the durability of the ceasefire with Iran, prolonging uncertainty around the ⁠Strait of Hormuz and global energy supplies, said MUFG analyst Soojin Kim.

US President Donald Trump said on Monday ​that the ceasefire was on "life support", pointing to disagreements over demands such as the cessation of hostilities on all ​fronts, the removal of a US naval blockade, the resumption of Iranian oil sales and compensation for war damage.

Iran also emphasised its sovereignty over the Strait of Hormuz, through which about a fifth of global oil and liquefied natural gas flows.

Disruptions ​linked to the near-closure of the strait have prompted producers to curtail exports, with a Reuters survey ​on Monday showing OPEC oil output in April fell to its lowest level in more than two decades.

"A genuine breakthrough towards ‌a ⁠peace deal could trigger a sharp $8 to $12 correction, while any escalation or renewed blockade threats would quickly push Brent back toward $115-plus," said KCM Trade analyst Tim Waterer.

Saudi Aramco CEO Amin Nasser had warned on Monday that disruptions to oil exports through the strait could delay a return to market stability until 2027, with the ​loss of about 100 million ​barrels of oil per ⁠week.

Elsewhere on the supply front, US crude stocks were estimated to have dropped by about 1.7 million barrels last week, a Reuters poll of analysts showed.

Walt ​Chancellor, energy strategist at Macquarie Group, said that strong waterborne export flows of ​crude and products ⁠are likely for the next several weeks.

Market participants were also keeping a close eye on President Trump's planned meeting with Chinese President Xi Jinping on Thursday and Friday after Washington imposed sanctions on three individuals and nine companies for ⁠facilitating ​Iranian oil shipments to China.

Tariffs imposed during the US-China trade war ​have halted most Chinese imports of US oil and LNG, which were worth $8.4 billion in 2024, the year before Trump began his second ​term.

The country’s remittance inflow registered a strong year-on-year growth of 41.7 percent, reaching $1,280 million in the first 11 days of May, according to the latest data released by Bangladesh Bank (BB).Bangladesh Investment Guide

During the same period last year, remittance inflow stood at $904 million.

The steady rise in inward remittances reflects continued resilience in external earnings and stronger inflows through formal banking channels, officials said.

Data also showed that expatriate Bangladeshis sent a total of $30,613 million in remittances during the period from July to May 11 of the current fiscal year. In comparison, the inflow was $25,441 million during the corresponding period of the previous fiscal year.

The upward trend in remittance earnings is expected to provide support to the country’s foreign exchange reserves and help stabilise the external sector, analysts added.

LafargeHolcim Bangladesh reported a net profit after tax of Tk112.2 crore for the first quarter ended 31 March 2026, down 19% from Tk139.1 crore in the corresponding quarter of the previous year.

LafargeHolcim Bangladesh reported a net profit after tax of Tk112.2 crore for the first quarter ended 31 March 2026, marking a 19% decline from the Tk139.1 crore recorded in the same period last year.

The multinational cement manufacturer said its bottom line came under pressure from rising energy costs and persistent inflation, driven largely by the broader macroeconomic fallout from the West Asia crisis, according to a company press release.

According to the company's financial disclosure, net sales during the January–March period stood at Tk803.8 crore, down 6% year-on-year from Tk851.5 crore in the first quarter of 2025.

Operating earnings before interest and taxes fell 31% to Tk123.3 crore, while earnings per share declined to Tk0.97 from Tk1.20 a year earlier.

Despite these headwinds, the company maintained a profit-after-tax margin of 14% through operational efficiency initiatives and strict cost-control measures.

Chief Executive Officer of LafargeHolcim Bangladesh Iqbal Chowdhury said despite persistent inflationary pressure, the company remains focused on resilience through innovation and operational excellence.

He added that specialised product lines, including Water Protect and Fair Face, continued to perform strongly, reinforcing the company's market leadership and consumer confidence.

Looking ahead, management acknowledged that the remainder of the year will remain challenging due to elevated inflation and energy costs. However, the company said it remains optimistic after implementing rigorous cost-efficiency measures and strategic pricing reviews.

The cement maker said it aims to sustain strong performance and preserve industry-leading margins by balancing innovation with operational efficiency as the economic environment gradually stabilises.

The company also began the year by diversifying its portfolio with the launch of Holcim Coastal Guard and Power Crete — specialised solutions designed for coastal environments and the ready-mix concrete segment. These new offerings are expected to contribute to performance growth in the coming quarters.

Meanwhile, the company's sustainability arm, Geo-cycle, co-processed around 12,000 tonnes of non-recyclable waste and achieved a 13% replacement of fossil fuels with alternative fuels, supporting both environmental sustainability and operational efficiency.

The country's premier bourse returned to a positive trajectory on Tuesday as the benchmark index snapped a five-day losing streak, supported by a significant surge in trading activity.

Market turnover at the Dhaka Stock Exchange (DSE) crossed the prestigious Tk1,000 crore mark for the first time in recent weeks, jumping by 54% to reach Tk1,101 crore.

While broad-based bargain hunting played a role in the recovery, the massive turnover was largely driven by a single heavyweight transaction in the block market, where shares of BRAC Bank worth Tk335 crore changed hands.

The benchmark DSEX index rose by 24 points to settle the session at 5,229. The blue-chip DS30 index followed a similar path, gaining 4 points to close at 1,989.

The day's trading reflected a shift in investor sentiment as opportunistic buyers moved in to accumulate fundamentally strong scrips that had become undervalued during the previous week's persistent decline, according to the market insiders.

Market breadth turned positive as well, with 188 issues advancing, 138 declining, and 67 remaining unchanged on the DSE floor.

According to the daily market review by EBL Securities, the capital bourse staged a modest recovery yesterday after five consecutive losing sessions. The market opened on a firm footing and maintained positive momentum throughout the day. Although the rebound offered some relief to the market's weakened sentiment, analysts said investors remain cautious amid concerns over potential policy developments and evolving geopolitical tensions in the Middle East.

The banking sector dominated the day's proceedings, accounting for a staggering 36% of the total turnover, primarily due to the high-value block trades. This was followed by the engineering sector with 11% and the pharmaceutical sector with 9.7% of the total trading volume.

In terms of returns, the jute sector led the gainers with a 2.5% increase, while services and information technology also posted gains of 1.6% and 1.2%, respectively.

On the other hand, the mutual fund sector faced the steepest correction of 2.2%, while the paper and tannery sectors also saw marginal declines.

Among individual performers, RD Food and Rahima Food topped the gainers' list, both surging by over 9.9%. Other notable gainers included Islami Commercial Insurance, Prime Textile, and VFS Thread.

Conversely, Meghna Pet emerged as the top loser, shedding 6.20% of its value, followed by Monno Ceramic and several mutual funds.

Monno Ceramic also featured prominently in the turnover chart alongside Dominage Steel, Acme Pesticide, Asiatic Laboratories, and NCC Bank.

The positive sentiment extended to the Chittagong Stock Exchange (CSE) as well, where the key indices settled in green territory. The selective categories' index (CSCX) gained 25 points, while the all share price index (CASPI) rose by 41 points.

BRAC Bank's second subordinated bond started trading on the Alternative Trading Board (ATB) platform of the Dhaka Stock Exchange (DSE) today (12 May), marking another step in the country's bond market expansion.

The "BRAC Bank 2nd Subordinated Bond" was listed following the signing of a listing agreement between the bank and DSE at the stock exchange's office in Dhaka today.

DSE Managing Director Nuzhat Anwar and BRAC Bank Managing Director and CEO Tareq Refayet Ullah attended the signing ceremony along with senior officials from both organisations.

Trading of the bond commenced under the "P" category on the ATB platform with the trading code "BBL2NDSB" and scrip code "55008".

BRAC EPL Investments Limited acted as the lead arranger of the bond, while UCB Investment Limited served as the trustee.

According to DSE data, the Tk700 crore bond carries a face value and minimum investment of Tk10 lakh per unit. The non-convertible, fully redeemable, unsecured subordinated bond offers a floating coupon rate of 12.59% per annum, payable semi-annually.

Issued on 11 March 2024, the bond currently has a remaining tenure of around four years and 10 months. Repayment will begin annually from the end of the third year from the issue date, specifically on 11 March each year. The DSE approved the listing on 20 April 2026.

The stock exchange has also imposed special circuit breaker rules for the initial trading sessions. A 4% circuit breaker will apply during the first two trading days. On the first day, the limit will be determined based on the present value calculated using at least a 10% annual discount rate, while the second day will use the reference price.

Trading will remain suspended on the third trading day before the regular 5% circuit breaker rule takes effect from the fourth trading day.

Market insiders said the bond would strengthen BRAC Bank's long-term capital base, as subordinated bonds are considered part of regulatory capital and help maintain the capital adequacy ratio required by regulators.

They added that the listing reflects growing interest among banks in raising long-term funds through the capital market instead of relying solely on deposits and conventional borrowing.

DSE's Alternative Trading Board was introduced to facilitate trading of bonds, sukuk, exchange-traded funds (ETFs), alternative investment funds and other non-equity securities, aiming to diversify investment products and support long-term financing in Bangladesh's capital market.

Analysts said the expansion of the corporate bond market through the ATB platform would create more fixed-income investment opportunities for investors and help deepen the country's capital market.

Bangladesh Bank (BB) has instructed banks to introduce QR-based digital verification systems for bank statements and other financial documents submitted by customers for overseas visa applications.

In a circular issued yesterday, the central bank said Bangladeshi citizens are often required to submit bank statements, solvency certificates, investment certificates, and similar documents to embassies or visa centres while applying for visas for different countries.

However, embassies and visa centres frequently face difficulties in instantly verifying the authenticity of these documents.

To reduce processing time and administrative costs and to make verification easier and more reliable, BB said such documents must be made digitally verifiable immediately.

Under the new directive, banks have been advised to follow several measures while issuing documents related to visa applications.

Banks must include a digitally verifiable QR code in bank statements, solvency certificates, investment certificates, and similar documents requested by customers for visa purposes.

By scanning the QR code, embassies or visa centres should be able to verify at least the following information related to the customer: bank statement, account number, account name, opening balance on the statement date, closing balance on the statement date, and statement generation date.

BB also instructed banks to ensure that the information remains stored and digitally verifiable for at least six months.

Banks have been given 90 days from the date of the circular to prepare and implement the required systems.

The central bank further said banks must ensure compliance with existing cybersecurity and data protection regulations while introducing the new verification mechanism.

The instruction was issued under Section 45 of the Bank Company Act, 1991, and came into effect immediately.

The government is set to allow the private sector to build, operate and manage jetties and terminals at seaports. The initiative has been taken to expand trade and commerce, improve ease of doing business, and attract foreign investment.

To facilitate this, the shipping ministry is drafting the "Private Jetty and Terminal Construction, Operation and Management Policy-2026". The policy will be published soon, Shipping Secretary Md Zakaria told TBS on 10 May.

The draft states that import-export trade centred around seaports has expanded significantly. Considering future economic growth, more industries are expected to be set up, which will further increase trade volumes.

As a result, alongside the government, the private sector may be included in constructing, operating and managing jetties and terminals to ensure smooth cargo unloading, loading and other services, it says.

According to Bangladesh Bank data, Bangladesh exported goods worth $43.96 billion worldwide in FY2024-25, while imports stood at $64.36 billion during the same period, with 93% of external trade being handled through seaports.

According to the shipping ministry, in FY2024-25, ports handled 3 million TEUs of containers, 105 million tonnes of cargo, and 4,500 ships.

At times, current port capacity is insufficient to handle containers, cargo and ships efficiently, leading to congestion, delays in raw material supplies to factories and export shipments to destinations.

A jetty or berth is a port structure that includes platforms, stages, ramps and docking points where ships can safely berth for unloading, loading and transshipment.

Under the draft policy, private entrepreneurs will be able to establish such jetties on both government and privately owned land within port boundaries, subject to approval from the shipping ministry.

Companies in which the government holds shares will also be allowed to jointly establish such jetties with private investors.

Selection process must be transparent

East Coast Group Chairman Azam J Chowdhury told The Business Standard that the initiative is undoubtedly positive.

"It will benefit domestic entrepreneurs. The more terminals there are, the lower different service charges at ports will become. In most countries, port operations are managed by the private sector. At the same time, modern technology will be introduced, making port-related activities easier and faster," he said.

However, he added that the process for selecting who will receive responsibility for building and operating jetties must be transparent.

"If qualified institutions are not selected, the benefits of this policy will not be realised. It must be ensured that financially and technically capable organisations receive the responsibility," he said.

Speaking to TBS, BGMEA President Mahmud Hasan Khan said including the private sector in building, operating and managing jetties and terminals would create competition in service delivery.

"Customers will go wherever they receive better service. This will create competition between government and private services, ultimately benefiting users," he said.

How ports are managed globally

Port insiders said there are four types of port management systems globally: service port, tool port, landlord port and pure private port.

The government plans to allow private sector participation under the landlord port model.

In a landlord port, land belongs to the government, while most infrastructure is built and operated by the private sector. Bangladesh's Laldia Container Terminal and Patenga Container Terminal fall under this category.

Currently, Chattogram Port, Mongla Port and Payra Port operate under the tool port model.

In a tool port, land, infrastructure and equipment belong to the state or port authority, while private companies use the facilities for cargo loading and unloading.

A service port is fully state-owned, including land, infrastructure, equipment and labour.

A pure private port is one where everything, including land ownership, belongs to private entities.

India's Mundra Port, owned by Adani, is an example of a pure private port. Similar ports exist in the Philippines, Indonesia, Australia, the UK and Brazil.

The draft policy also states that private jetties and terminals must use the relevant port's operational system or an approved automated system.

They must pay designated fees to port authorities.

For customs operations, private jetties must provide the necessary infrastructure for customs officials.

Modern equipment and technology must be used for cargo loading, unloading and handling to reduce users' time, cost and physical presence.

Tariffs or fees for imports, exports and handling at private jetties will be determined by the port authority.

Private jetty owners and port authorities will sign separate tariff-sharing agreements specifying how revenue generated from the jetty or terminal will be divided.

According to the draft policy, the application fee for setting up such jetties or terminals will be Tk20 lakh, non-refundable.

Approved companies will also need to deposit Tk1 crore as security with the government.

Among the major port users are members of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), as more than 80% of the country's exports come from the ready-made garment sector.

The sector also imports cotton, yarn, fabrics and other raw materials.

Bangladesh currently has three seaports – Chattogram, Mongla and Payra. In addition, the Matarbari Deep Sea Port is under construction and expected to be operational this year.

Chattogram Port, with 18 jetties and container terminals, handles around 90% of the country's trade with the world. It has general cargo berths, container terminals and the New Mooring Container Terminal.

The National Board of Revenue is weighing doubling the source tax on export cash incentives provided by the government from 10% to 20% in the upcoming national budget, according to officials at the Ministry of Finance.

If implemented, the move could significantly boost tax collection from export incentive payments at a time when exporters – particularly the RMG sector, which accounts for nearly 85% of Bangladesh's export earnings – are already under mounting pressure from slowing shipments and rising costs.

In the current fiscal year 2025-26, the government allocated Tk9,025 crore for export incentives, including support for the jute export sector. If export performance and incentive rates remain unchanged in the next fiscal year, doubling the tax rate could generate around Tk900 crore in additional revenue for the government.

A budget-related meeting between Prime Minister Tarique Rahman and the NBR is scheduled for Thursday, according to relevant NBR sources. The meeting will review proposals that the NBR plans to incorporate into the finance bill.

Finance Minister Amir Khosru Mahmud Chowdhury, Prime Minister's Finance Adviser Rashed Al Mahmud Titumir, and budget-related officials from the Ministry of Finance are also expected to attend.

NBR officials said the proposals could be revised or expanded based on directives from the prime minister.

The finance ministry official said corporate tax rates in Bangladesh currently range from 22% to 27%, while in some cases they are as high as 45%.

"In comparison, the 10% tax on export incentives is relatively low. That is why increasing the tax rate for this sector is being considered," he said.

Exporters, however, believe raising taxes on incentives would be unjustified, arguing that the support has already been reduced over the years.

Mohammad Hatem, president of Bangladesh Knitwear Manufacturers and Exporters Association, told TBS, "The rate of these incentives has already been reduced over the past several years. These incentives are almost like charity for us. We had proposed abolishing the tax deduction imposed on these funds."

"If the tax is increased instead of reduced, it would be completely unreasonable," he said. "Garment exports are already declining, and entrepreneurs in this sector are currently under enormous pressure. Increasing taxes at this moment would create additional pressure on exporters."

Exporters also said they face significant harassment, lengthy delays, and procedural complications in receiving incentive payments due to audit requirements. They argued that further tax increases would reduce the practical value of the incentives.

Currently, around 43 export sectors, including the garment industry, are eligible for export incentives, with rates ranging from 0.30% to 10%.

All categories of garment exports receive a 0.30% incentive, while garment exports using locally sourced yarn receive 1.5%. Small and medium-sized exporters receive 2%, and exports to non-traditional markets receive 3%.

Leather and leather goods exporters receive incentives ranging from 6% to 10%, while jute and jute goods exporters receive between 3% and 10%.

A leader of the Bangladesh Garment Manufacturers and Exporters Association, speaking anonymously to TBS, said the industry had earlier been assured that taxes would not be increased in the next budget.

"The government had asked us not to seek any tax benefits in the upcoming budget. However, we were assured that taxes would not be increased," he said. "But now we are also hearing that taxes on export incentives may be increased."