The US-Israeli war with Iran could leave consumers and businesses worldwide facing weeks or months of higher fuel prices even if the week-old conflict ends quickly, as suppliers grapple with damaged facilities, disrupted logistics, and elevated risks to shipping.

The outlook poses a global economic threat and a political vulnerability for US President Donald Trump leading into the midterm elections, with voters sensitive to energy bills and unfavorable to foreign entanglements.

"The market is shifting from pricing pure geopolitical risk to grappling with tangible operational disruption, as refinery shutdowns and export constraints begin to impair crude processing and regional supply flows," JP Morgan analysts said in a research note on Friday.

The conflict has already led to the suspension of around a fifth of global crude and natural gas supply, as Tehran targets ships in the vital Strait of Hormuz between its shores and Oman, and attacks energy infrastructure across the region.

Global oil prices have surged more than 25% since the start of the war, driving up fuel prices for consumers worldwide.

A nearly complete shutdown of the Strait means the region's giant oil producers - Saudi Arabia, the United Arab Emirates, Iraq and Kuwait - have had to suspend shipments of as much as 140 million barrels of oil - equal to about 1.4 days of global demand - to global refiners.

As a result, oil and gas storage at facilities in the Middle East Gulf are rapidly filling, forcing oil fields in Iraq and Kuwait to cut oil production, with the United Arab Emirates likely to cut next, analysts, traders and sources said.

"At some point soon, everyone will also shut in if vessels do not come," said a ⁠source with a state oil company in the region, who asked not to be named.

Oilfields forced to shut in across the Middle East as a result of the shipping disruptions could take a while to return to normal, said Amir Zaman, head of the Americas commercial team at Rystad Energy.

"The conflict could be ended, but it could take days or weeks or months, depending on the types of fields, age of the field, the type of shut-in that they've had to do before you can get production back up to what it once was," he said.

Iranian forces, meanwhile, are targeting regional energy infrastructure - including refineries and terminals - forcing them to shut down too, with some of those operations badly damaged by attacks and in need of repairs.

Qatar declared force majeure on its huge volumes of gas exports on Wednesday after Iranian drone attacks and it may take at least a month to return to normal production ‌levels, sources told Reuters. Qatar supplies 20% of global LNG.

Saudi Aramco’s mammoth Ras Tanura refinery and crude export terminal, meanwhile, has also closed due to attacks, with no details on damage.

The White House has justified the attack on Iran, saying the country posed an imminent threat to the United States, although it has not provided details. Trump has also said he was concerned about Iran's efforts to obtain a nuclear weapon.

DANGER IN THE STRAIT

A quick end to the war would soothe markets. But a return to pre-war supply and pricing could take weeks or months, depending on the extent of the damage to infrastructure and shipping.

"Considering physical damage due to Iranian strikes, so far we have not seen anything that would be considered structural, although the risk remains as long as the war continues," said Joel Hancock, energy analyst, Natixis CIB.

The biggest question for energy supplies is how and when the Strait of Hormuz will become safe for shipping again. Trump has offered naval escorts to oil tankers and promised US insurance support to vessels in the region.

But safety in the waterway may be elusive, as Iran has the capacity to sustain drone attacks on shipping for months, intelligence and military sources have said.

The conflict could also encourage countries to top up their strategic petroleum reserves in the weeks and months after the conflict ends, by exposing the dangers of thin inventories. That would increase demand for oil and support prices.

GLOBAL ECONOMIC, POLITICAL RISK

In the meantime, the disruption in energy shipments is reverberating through supply chains and economies in import-reliant Asia, which sources 60% of its crude oil from the Middle East.

In India, state-run Mangalore Refinery and Petrochemicals MRPL.NS declared force majeure on gasoline export cargoes, sources said this week, joining a growing number of refineries in the region unable to fulfill sales contracts due to lack of supply.

At least two refineries in China have cut runs. China, a big supplier to the region, has asked refineries to suspend fuel exports. Thailand has also suspended fuel exports, while Vietnam has suspended crude shipments.

Disruption has given Russia a boost. Prices for Russian crude cargoes have risen as the US has given Indian refiners a 30-day waiver to buy Russian crude to substitute for lost Middle East supply. Washington had pressured India to cut Russian oil imports under the threat of tariffs.

In Japan, the No. 2 global LNG importer, baseload power futures for Tokyo for the fiscal year starting in April jumped more than a third this week on the EEX in anticipation of higher fuel prices. And in Seoul, drivers queued up at petrol stations in anticipation of rising pump prices.

For European consumers, the crisis in gas supplies and the higher prices are a double whammy. The region was hit the hardest by the disruption to gas supplies due to sanctions on Russian energy imports after Russia invaded Ukraine in 2022.

Europe turned to LNG imports to substitute for Russian pipeline gas. And Europe now needs to buy 180 more LNG cargoes than it did last year to fill gas storage to the levels needed before next winter.

The supply risks to the United States are fewer, as the country has grown in recent years into the world’s largest oil and gas producer. But US crude and fuel prices rise in tandem with international crude markets, so pump prices for gasoline and diesel are affected even if domestic supply is plentiful.

US average retail gasoline, for example, hit $3.32 a gallon nationally on Friday, up 34 cents over last week, according to AAA. Diesel prices, meanwhile, hit $4.33 a gallon, up from $3.76 a gallon a week ago.

Higher prices at the pump mark a major risk for Trump and his fellow Republicans as they head into midterm elections in November.

"Gasoline prices are psychologically powerful," said Mark Malek, chief investment officer at Siebert Financial. "They are the inflation number that consumers see every single day."

Authorities have shut five of the country’s six urea fertiliser factories as a precaution amid fears of gas supply disruptions caused by the widening war in the Middle East and Iran’s closure of the Hormuz Strait, a key global energy route.

From Wednesday, gas supplies to the urea plants, including one privately owned unit, were suspended as part of an energy rationing, said officials at the state-run Bangladesh Chemical Industries Corporation (BCIC).

The corporation runs seven fertiliser factories, including four producing urea.

The factories affected are Ghorashal Polash Fertiliser Public Ltd Company, Chittagong Urea Fertiliser Factory Ltd (CUFL), Jamuna Fertiliser Company Ltd, Ashuganj Fertiliser & Chemical Company Ltd, and the privately run Karnaphuli Fertiliser Company Limited (KAFCO). Of these, production has remained suspended in the Ashuganj factory for months.

Officials say that now only the Shahjalal Fertiliser Factory remains operational, though even this may not continue for long.

However, two state-owned non-urea factories that do not rely on gas remain open.

The country meets nearly 30 percent of its gas demand, equivalent to 2,650 million cubic feet per day (mmcfd), through imported liquefied natural gas (LNG) as domestic output continues to fall short.

Officials said about 197 million cubic feet of gas per day are required to run the five urea factories at full capacity. The factories were already suffering from an inconsistent gas supply before the shutdown.

The suspension of urea output comes at a critical time for farmers planting Boro, the main dry season rice crop, which accounts for more than half of Bangladesh’s annual 40 million tonnes of grain.

Bangladesh requires more than 26 lakh tonnes of urea each year. Around 40 percent is produced locally, while the remainder is imported from Middle Eastern countries including Saudi Arabia, the UAE and Qatar.

Two-thirds of the annual urea demand falls between November and March, mainly for Boro rice cultivation.

Contacted, Md Moniruzzaman, director of production and research at BCIC, said the corporation currently holds 468,000 tonnes of urea in stock, enough to cover demand for the rest of the Boro season.

“So, there will be no shortage of the fertiliser during the current Boro rice cultivation season,” he said.

The BCIC officials said they were asked to keep production shut for 15 days. The closed factories together have a total daily capacity of around 7,100 tonnes. This means more than 1 lakh tonnes of urea production will be affected.

Although the target for fertiliser output in the 2025-26 fiscal year was 10 lakh tonnes, only 550,000 tonnes have been produced in the eight months to February, according to officials.

One of them expressed doubts about meeting the target in the remaining four months.

Engineer Syed Abu Naser Md Saleh, general manager of the engineering services division at Karnaphuli Gas Distribution Company, said that gas supply to the two fertiliser plants has been suspended since Wednesday in line with government instructions.

“Around 70-80 million cubic feet of gas used to be supplied to the two plants,” he said.

Riaz Uddin Ahmed, executive secretary of the Bangladesh Fertiliser Association, said the urea factory closures are unlikely to affect the current Boro season.

Planned imports of non-urea fertiliser for this fiscal year have already been completed, he added.

“So, I see no problem until June-July of this year. We have to be ready for the later months. If the crisis [in the Middle East] lingers, there will be a problem,” he said. “We should start exploring alternative sources to avoid any risk.”

Unilever Consumer Care Limited has recommended a 420% cash dividend for its shareholders for the year ended 31 December 2025, according to a price-sensitive disclosure approved on 5 March.

The company had declared a higher 520% cash dividend for the previous year. The proposed dividend will be placed for approval at the annual general meeting scheduled for 18 May, while the record date to determine eligible shareholders has been fixed for 6 April.

The healthcare and consumer products manufacturer reported improved profitability during the year. Earnings per share rose 19% year-on-year to Tk41.21. However, the net asset value per share declined by 8.30% to Tk116.30.

Despite higher profits, the company posted a negative net operating cash flow per share of Tk21.54, compared to a positive Tk25.62 in the previous year.

In its disclosure, the company said profit growth was mainly driven by strong revenue performance and improved operational efficiency. It also benefited from a one-off gain arising from the reassessment of prior obligations related to technology and trademark royalty payments. Additionally, efficient investment of surplus cash contributed to significantly higher net finance income during the year.

The decline in net asset value per share was attributed to the higher dividend payout in the 2025 financial year compared to the earnings generated during the same period.

Explaining the sharp change in operating cash flow, the company said that although profit increased, net operating cash flow per share dropped significantly due to the settlement of all outstanding Usance Payable at Sight (UPAS) letters of credit during the year, without availing any new UPAS facilities.

As a result, the company experienced a substantial cash outflow during the period compared to the operating profit generated.

UPAS is a widely used trade finance instrument structured as a letter of credit that allows importers to defer payment while exporters receive immediate payment.

Under this arrangement, banks bridge the payment timing gap by financing the transaction, enabling buyers to pay later while ensuring sellers are paid at sight.

Unilever Consumer Care shares closed 0.37% down at Tk2,153 each on Thursday at the Dhaka Stock Exchange (DSE).

According to the shareholding report for January, sponsors and directors hold 92.80% shares in the company, while institutional investors have 3.58%, foreign investors have 0.11% and the remaining 3.51% are held by public shareholders.

Deposit growth in banks hit a five-year high at the end of December 2025 -- owing to a gradual recovery in confidence among savers.

Banks in the country recorded Tk 21 lakh crore in savings at the end of last year, which was 11.51 percent higher year-on-year, according to quarterly statistics of scheduled banks published by the Bangladesh Bank (BB).

With this growth, deposits in 61 banks crossed the Tk 20 lakh crore mark, the highest so far.

“It appears that people’s confidence in banks is gradually being restored,” said Md Mahiul Islam, deputy managing director at BRAC Bank.

But not all banks registered an increased flow of savings. The deposit surge is limited to some seven to eight banks, he said.

The BB data showed that private banks, including Islamic banks, accounted for 69.52 percent of the total deposits, followed by state banks and foreign banks.

In 2024, the growth of deposits in the banking sector slowed due to a confidence crisis centring on some banks that suffered from high loan irregularities and faced problems returning money to savers on demand, even though most banks offered high interest on savings.

The BB had to inject funds into those weak banks to help them overcome a liquidity crisis.

A top banker at a private bank said a number of banks still face challenges in attracting savers.

The Bangladesh Bank Quarterly -- another report by the central bank -- said, “A gradual easing of inflationary pressure apparently halted dissaving by households and businesses, leading to strong inflows into time and savings deposits.”

It said the robust expansion of bank deposits reflects increased savings and a higher public propensity to hold financial assets in the formal banking sector.

“This trend was further supported by heightened public confidence in the banking industry, likely resulting from recent political developments that fostered greater stability and trust,” it said.

Despite deposit expansion, banks recorded the slowest growth in loans and advances in 2025 amid muted investment demand from the private sector due to rising interest rates and banks’ cautious lending to avoid a buildup of default loans.

Banks gave Tk 17.77 lakh crore in loans and advances, up 5.6 percent from a year ago.

The BB in its quarterly said advance growth remained steady, reflecting banks’ cautious lending amid high NPLs and tighter monetary policy.

Four vessels carrying about 247,000 tonnes of liquefied natural gas (LNG) and two ships transporting nearly 35,000 tonnes of liquefied petroleum gas (LPG) are heading to Chattogram Port.

The vessels had already crossed the strategic Strait of Hormuz before tensions escalated in the Middle East, and thus, easing concerns over any immediate gas supply disruption when the country is going through a panic of fuel shortage.

Confirming the matter, Md Nurul Alam, senior deputy general manager of Uni Global Business Limited, the local representative of the LNG carriers, said the arrival of the four vessels is almost certain.

However, another LNG carrier named Libretha is currently waiting inside the Strait of Hormuz after loading cargo and has yet to pass through the waterway.

"If the situation deteriorates further, future LNG shipments may face uncertainty," he said.

Port and shipping sources say the vessels had already passed through the Strait of Hormuz and the Gulf of Oman days before the conflict intensified following joint strikes by the United States and Israel on Iran on 28 February.

Altogether, 15 vessels carrying LNG, LPG and cement raw materials are now arriving at Chattogram.

Of them, 12 have already reached the port while three more are expected within this week. The ships are carrying nearly 750,000 tonnes of cargo in total.

LNG shipments from Qatar

Two LNG carriers, Al Zor and Al Jasasiya, have already arrived at Chattogram carrying about 126,000 tonnes of LNG from Ras Laffan Port in Qatar.

Two more vessels, Lusail and Al Galaiel, are scheduled to reach the port's outer anchorage on Monday and Wednesday respectively.

Together, the four ships are bringing roughly 247,000 tonnes of LNG to Bangladesh.

Shipping data show the vessels crossed the Strait of Hormuz between two and seven days before the conflict escalated.

Government agencies have also purchased two additional LNG cargoes from the spot market at higher prices to avoid potential supply shortages, though those vessels have not yet arrived.

LPG cargo for Meghna Group

An LPG carrier named Sevan is scheduled to arrive at Chattogram on Sunday carrying 22,172 tonnes of LPG from Sohar Port in Oman.

Another vessel, GYMM, carrying 19,316 tonnes of LPG from the same port had already reached the port before the conflict escalated.

The two ships together are delivering nearly 35,000 tonnes of LPG for Meghna Fresh LPG, a concern of Meghna Group of Industries.

Apart from energy shipments, several vessels carrying clinker and other raw materials for the cement industry have also reached Chattogram from Gulf ports.

These include clinker, gypsum, limestone and stone, with around 515,000 tonnes of such materials arriving from the region.

Officials say Bangladesh imported goods worth nearly $6 billion from Gulf countries through the Strait of Hormuz during the 2024-25 fiscal year.

However, if tensions persist around the waterway, fresh shipments could face disruptions in the coming weeks.

Sean Robinson, a 54-year-old schoolteacher in the US capital Washington, did not realize how high gas prices had gotten until he arrived at the pump on Friday.

“That is a sizeable jump,” he told AFP, pointing to a neon sign showing $3.27 for a gallon of regular gasoline.

Robinson is among US consumers feeling the sting of a cost surge sparked by the US-Israel war on Iran, which sent oil prices soaring as Tehran effectively blocked the Strait of Hormuz after being attacked.

But the price hike comes at a politically sensitive time for President Donald Trump as midterm elections approach, hitting voters hard.

Expensive gasoline could also prompt the independent central bank to put the brakes on the world’s largest economy as it battles stubborn inflation.

Since last week, US average domestic fuel prices have risen 11 percent, according to the AAA’s fuel price gauge.

It is the kind of move that Robinson said will have him cutting down on all but the essentials.

“It just determines what I’m going to do on a day-to-day basis,” he said. “Pretty much start thinking about (watching) Netflix, staying in the house instead of burning gas.”

Others at the gas station agreed.

“It impacts all areas of life,” said Toloria Washington, 39. “We are in a state of survival mode.”

Washington, who works in finance, said fuel expenses are non-negotiable for her. With prices rising at the pump, she had to make cuts elsewhere.

That, she said, is a problem for people already battered by years of high prices post-pandemic. “That’s the key thing, it’s tapping into everybody’s basics,” she added. “It’s the basics. Daily survival of food, water, housing.”

US inflation hit a peak of 9.1 percent during the pandemic. While it has cooled since then, analysts warn of risks of another pick-up.

“Inflation showed signs of accelerating prior to the jump in energy prices,” said KPMG chief economist Diane Swonk.

“That has left consumers in a sour mood,” she added.

Swonk warned that rising fuel prices added “insult to injury” for low-income Americans, who are already seeing higher healthcare costs and a tightening of welfare benefits under Trump.

Trump, who has bragged about oil prices falling during his term, sought to address the political fallout on Friday, telling CNN he expected prices to come down quickly.

His Republican party holds only a slim majority in both the House and Senate.

With midterm elections due in November, he will be hoping that voters do not let tightening household budgets weaken his political position.

Trump could see further complications if inflation from gasoline price hikes pushes the Fed to respond by keeping interest rates at a higher level.

The central bank has a dual mandate of maintaining stable prices and maximum employment, but has one main tool to do so -- adjusting interest rates.

Raising them generally cools economic activity and reduces inflation while lowering them can spur activity, boosting the weakening employment market.

The prospect of more inflation due to oil prices raises the specter of what some analysts call a nightmare scenario.

“This could not come at a worse time for the Federal Reserve,” said KPMG’s Swonk. “It now has a dueling mandate with the risk that inflation not only lingers but accelerates.”

Fed policymakers remain cautious.

Addressing higher domestic energy prices on Friday, Federal Reserve governor Christopher Waller told Bloomberg TV he considered them “unlikely to cause sustained inflation.” But this is scant consolation for many Americans hit by even a temporary bout of price increases.

“One thing after another, it’s chaos, you know, every day,” said Lucas Tamaren, 32, at a gas pump in Los Angeles.

“Living in America feels unpredictable and chaotic and it’s hard.”

Robinson, the schoolteacher, said he will be watching gas prices every day now. He expects price pressures will be reflected at the voting booth in November.

“The more you pay higher gas, higher groceries (costs),” he said, voters will “start to see” that the middle class is shrinking.

As escalating geopolitical tensions in the Middle East create uncertainty over global economic stability, Bangladesh's top eight economists have advised the central bank to preserve foreign currency reserves, hold off on cutting the policy interest rate for now, and closely monitor unusual fluctuations in the dollar market.

These recommendations were made during a meeting at Bangladesh Bank today (7 March) with Governor Mostaqur Rahman, confirmed by spokesperson and executive director Arif Hossain Khan.

The economists noted that the full impact of the Iran-US standoff remains unclear, but warned that if the crisis continues, it could disrupt fuel supplies, affect remittance inflows, and place additional pressure on the dollar market, underscoring the need for a cautious approach.

They insisted that the central bank should protect foreign currency reserves and avoid unnecessary expenditure, particularly on import financing.

To mitigate potential risks in fuel supply, they suggested reducing reliance on the Middle East and exploring alternative sources, including examining the possibility of importing fuel from Brunei, Singapore, and other countries if necessary.

Even with rising global fuel prices, they recommended refraining from immediately passing these costs to consumers, cautioning that such action could worsen inflation and destabilise the broader economy.

With inflation already high, the economists said lowering the policy interest rate now would not likely stimulate investment, and any reduction should be considered only after global conditions stabilise to encourage growth.

The group also urged accelerating disbursement of loans pledged by the World Bank and other development partners and exploring additional financing from the Islamic Development Bank to support fuel imports.

They highlighted that rising tensions in the Middle East could disrupt remittance flows if workers face travel restrictions, stressing that processes should be streamlined to ensure those willing to send money home can do so efficiently.

Acknowledging that global shocks may be unavoidable, the economists advised policymakers to focus on minimising potential economic damage.

Governor Mostaqur Rahman, according to multiple sources, pledged to act with integrity, make decisions free from political influence, and encourage banks to do the same.

They also recommended forming a special committee to monitor economic developments, analyse trends, and advise policymakers, reducing the risk of panic-driven market reactions.

A source present at the meeting, speaking to The Business Standard on condition of anonymity, said the economists emphasised three core points: foreign reserves should not be depleted because substantial dollars are needed for importing essential goods beyond fuel; the policy interest rate should not be reduced under current conditions, as businesses are unlikely to invest; and the central bank should remain vigilant to prevent abnormal spikes in the dollar rate.

The meeting follows Governor Mostaqur Rahman's initial move to lower the policy rate after taking office on 26 February, which was postponed following the resignation of a Monetary Policy Committee member and objections from economists.

The ongoing US-Iran confrontation has created fresh uncertainty over global fuel supply and pricing, prompting the central bank to convene leading economists to assess potential economic impacts.

Officials present from the Bangladesh Bank included the governor, four deputy governors, and senior officials.

Economists attending the meeting were Mustafizur Rahman, fellow at CPD; Fahmida Khatun, executive director at CPD; former cenbank chief economist Mustafa K Mujeri; Mohammad Abdur Razzak, chairman of RAPID; Selim Raihan, executive director of Sanem; Masrur Riaz, chairman of Policy Exchange Bangladesh; AK Enamul Haq, director of Bids; and Najmus Sadat Khan, senior economist at the World Bank Dhaka office.

US retail gasoline and diesel prices are soaring as the US-Israel war with Iran constrains oil and fuel exports, which could be a political test for President Donald Trump's Republican Party ahead ​of midterm elections in November.

Fuel prices jumped more than 10% this week as oil rose above $90 a barrel, its highest in years, adding pain at the ‌pump for consumers already strained by inflation. Trump on Thursday shrugged off higher gasoline prices in an interview with Reuters, opens new tab, saying "if they rise, they rise."

The president had vowed to lower energy prices and unleash US oil and gas drilling during his second term, but much of his tenure has been marked by volatility and uncertainty amid shifts in policies like tariffs and geopolitical turmoil. The US is the world's largest oil producer. It is a major exporter ​but also imports millions of barrels a day since it is the world's largest oil consumer.

As of Friday, the national average prices for regular gasoline stood at $3.32 a ​gallon, up 11% from a week ago and the highest since September 2024, according to data from the motorists association AAA. Diesel was at $4.33, ⁠up 15% from a week ago, surging to the highest since November 2023.

MIDWEST, SOUTH FEEL THE PINCH

US motorists in parts of the Midwest and the South, including states that supported Trump, have ​seen some of the steepest increases in fuel costs since the conflict in Iran started.

In Georgia, a swing state, average retail gasoline prices rose 40.1 cents a gallon over the past week, ​according to fuel tracking site GasBuddy.

Andrenna McDaniel, a healthcare insurance worker in South Fulton, Georgia, said she was surprised to see prices skyrocket overnight.

"They jumped up so quickly," she said on Friday, adding that she does not agree with the war at all.

McDaniel, a Democrat, said that for now she is only driving for the most important things, and feels lucky that she works from home so she does not have to drive as ​much as other people do.

Georgia voted for Donald Trump in the 2024 election.

Trump voter Richard Soule, 69, a US Air Force veteran and a retired firefighter, said a little pain at the pump ​is worth Trump's efforts to protect America.

"When President Trump went in there and bombed out their nuclear, and they just thumbed their nose at it, I believe he did the right thing at the right ‌time," Soule said ⁠on Friday as he filled up his Ford F-150 truck in Marietta, Georgia.

Other states, including Indiana and West Virginia have seen prices rise by 44.3 cents and 43.9 cents, respectively.

PRICES MAY RISE FURTHER

More pain may be on the way, analysts said, as oil prices continue to trend upward. On Friday, US oil futures settled at $90.90 a barrel, up nearly $10 and the biggest single-day rise since April 2020.

"Given current market conditions, the national average price of gasoline could climb toward $3.50 to $3.70 per gallon in the coming days if oil continues rising and supply disruptions persist," GasBuddy analyst Patrick De ​Haan said.

The disruptions in the Middle East and ​the Strait of Hormuz, a key trade ⁠conduit, have boosted demand for US oil abroad, which in turn has driven up prices for domestic refiners too.

"The US has weaned itself off of its dependence on Middle Eastern crude, but obviously Asian refineries, and to a lesser extent, European refineries have not," Denton Cinquegrana, chief oil ​analyst with OPIS. "That's what you're seeing happen in the spot market, because the demand for US exports rise, and so the price rise."

Seasonal ​factors could add further ⁠pressure. Gasoline prices typically go up in the spring and peak in the summer due to higher gasoline demand and production of summer-blend gasoline, which is more costly to produce.

Diesel fuel saw an even more aggressive jump since Iran began retaliating against US and Israeli strikes, significantly disrupting shipping in the Strait of Hormuz.

Global diesel inventories have remained in tight supply due to heavy demand for heating and power generation ⁠during a ​prolonged winter in the US and other parts of the world and a structural tightness of refining capacity.

Sticker prices ​of everything from food to furniture go up when the cost of diesel goes up, as the fuel is mainly used in freight transportation, manufacturing, agriculture, and global shipping, analysts said.

"In a world where buzzword seems to be 'affordability', that is ​certainly not going to help," Cinquegrana said.

Adeline Beauty Technology (Bangladesh) Co Ltd, a Chinese company, will invest $22 million to establish a fashion and beauty products manufacturing factory at the Bepza Economic Zone in Mirsharai, Chattogram.

The investment will create employment opportunities for approximately 4,170 Bangladeshi nationals.

The company will manufacture a wide range of fashion, hair and beauty products, including wigs, eyelashes and cosmetic nails, primarily for export to major international markets such as the US, Canada, the UK, Germany, France, Spain, Italy, the UAE, Russia and Mexico, among other destinations.

Md Tanvir Hossain, executive director (investment promotion) of Bangladesh Export Processing Zones Authority (Bepza), and Hang Sun, managing director of Adeline Beauty Technology (Bangladesh) Co Ltd, signed a land lease agreement in this regard at the Bepza Complex in Dhaka yesterday, according to a press release.

Major General Mohammad Moazzem Hossain, executive chairman of Bepza, attended the signing ceremony.

Speaking on the occasion, he reaffirmed the authority’s commitment to providing a secure, compliant and business-friendly environment for investors.

He also encouraged further Chinese investment in diversified and value-added sectors.

Abdullah Al Mamun, member (engineering); ANM Foyzul Haque, member (finance); Samir Biswas, executive director (administration); Md Khorshid Alam, executive director (enterprise services); and ASM Anwar Parvez, executive director (public relations), along with senior officials of Bepza and representatives of the company, were also present.

After several rounds of rises, gold prices in Bangladesh fell, with the rate of 22-carat gold dropping by Tk9,214 per bhori.

The new rate sets the price of 22-carat gold at Tk2,68,214 per bhori (11.664 grams), according to a statement issued this morning (4 March) by the Bangladesh Jewellers Association (Bajus).

Bajus said the decision was taken considering the overall market situation, particularly a decline in the price of pure gold (tejabi gold) in the local market.

The revised rates have come into effect immediately.
Gold prices hiked by Tk3,324 per bhori

Under the new pricing structure, 21-carat gold now costs Tk2,56,025 per bhori while 18-carat gold is priced at Tk2,19,258 per bhori.

The price of traditional-method gold has been set at Tk1,79,159 per bhori.

The last adjustment was made on 3 March, when Bajus increased the price of 22-carat gold by Tk3,324 per bhori to Tk2,77,428.

So far in 2026, gold prices have been adjusted 37 times in the domestic market, with rates increased 24 times and reduced 13 times.

Alongside gold, silver prices have also been reduced.

The price of 22-carat silver has been cut by Tk641 per bhori to Tk6,532.

The price of 21-carat silver now stands at Tk6,240 per bhori, 18-carat silver at Tk5,365 per bhori, and traditional-method silver at Tk4,024 per bhori.

In 2026, silver prices have been adjusted 22 times so far, including 14 increases and eight reductions.

Commerce Minister Khandakar Abdul Muktadir has said the recently signed trade deal between Bangladesh and the United States is not irreversible, noting that there remains scope for amendment, addition or deletion of provisions if needed.

The agreement includes elements that could help further strengthen bilateral trade ties in the future and should not be viewed as "wholesale negative" or "wholesale positive", he said while speaking to reporters after a meeting with US Assistant Secretary of State for South and Central Asian Affairs S Paul Kapur at the commerce ministry today (4 March).

Muktadir said there was no discussion on the recent trade deal, noting that the agreement has already been signed and constitutes a state-level arrangement, leaving little scope for fresh decisions at this stage.

"The agreement was signed on the 9th [February]. There was no separate discussion on it today," he said, adding that the deal was signed to expand economic, trade and investment relations between the two countries.

Referring to bilateral trade, he said the volume of trade between the countries exceeds $8.5 billion, while Bangladesh imports goods worth nearly $2.75 billion from the US. "As a single country, the US remains one of Bangladesh's largest trading partners."

Asked whether issues mentioned in a congratulatory letter to the premier from US President Donald Trump – including trade and defence-related matters – were discussed, the minister replied that military issues do not fall under his ministry's jurisdiction.

On the issue of visa bonds, he said the matter would be handled by the foreign ministry. The government wants businesspeople and investors from both countries to travel without obstacles, he said.

At the meeting, Muktadir highlighted the volatility in the global energy market following the Middle East conflict and sought US cooperation, especially in ensuring LNG supplies.

He said discussions covered investment, digital infrastructure development and prospects for future economic cooperation, alongside trade-related issues.

During the meeting, Paul Kapur recommended the removal of non-tariff barriers that may be hindering American investment in Bangladesh, Muktadir said.

The US believes that eliminating certain non-tariff barriers would help attract more American investment to Bangladesh, making the country a more appealing destination for US businesses, the minister said.

US cuts Bangladesh tariff to 19%, no duty on RMG made of US cotton

He said that addressing these barriers could also facilitate Bangladesh's smoother inclusion in US development assistance and financing programmes. However, the minister did not disclose which non-tariff barriers were discussed.

Meanwhile, the US assistant secretary held a separate meeting with Foreign Minister Khalilur Rahman at the foreign ministry.

Speaking to the media on the recent deal, Khalilur said that the reciprocal trade agreement was not signed abruptly just days before the national election.

He claimed that the matter had been discussed in advance with the leadership of the country's two major political parties – BNP and Jamaat-e-Islami, and both had agreed to the deal before its signing.

"The US Trade Representative spoke to the heads of our two key parties before the elections and they also agreed to it. So it's not like we did this in the dark," Khalilur said in response to a question on whether there had been any pressure to expedite the signing of the deal ahead of the recently held national election.

US makes up to Tk18 lakh visa bond mandatory for Bangladeshi B1/B2 applicants from 21 Jan

He said there are entry and exit clauses and the government can review it if it desires so.

"We have discussed the crisis in the Middle East. I told him [Paul Kapur] that two of our Bangladeshis have lost lives and seven others have been injured. If this war is prolonged or spreads, this fear may increase further," he said.

Dhaka conveyed to the US official that the US should try to resolve this conflict, this problem, through dialogue as soon as possible by giving diplomacy opportunity.

Paul Kapur, however, underscored the importance of implementing the provisions of the agreement on "reciprocal trade" to foster greater bilateral trade and investment, the foreign minister said.

Bangladesh’s monthly import bill could rise by up to $80 million for every $10 increase in oil prices, as escalating conflict in the Middle East drives up global energy prices, according to the report prepared by BRAC EPL Stock Brokerage Ltd.

The warning came yesterday as oil prices rose about 1 percent following US and Israeli strikes on Iran, which have disrupted supplies in the region.

Iran has closed the Strait of Hormuz, the only maritime gateway to the Persian Gulf. Around one-fifth of global oil exports pass through this route.

Brent crude climbed $1.1, or 1.4 percent, to $82.52 a barrel by 1143 GMT, after closing on Tuesday at its highest level since January 2025, Reuters reported. The BRAC EPL report cited analyst warnings that a prolonged blockade could push prices well beyond $100 a barrel if the escalation continues into a second week.

Bangladesh spends roughly $1 billion to import more than 60 lakh tonnes of petroleum a year and relies heavily on the Hormuz route
Bangladesh bought crude at an average of $72 a barrel in 2025, according to the Bangladesh Petroleum Corporation (BPC).

Amid rising concern, the government held an emergency meeting yesterday. Officials discussed whether energy supplies from alternative sources could be secured in time if the disruption in the Gulf continues.

The report said war risk premiums have surged. Insurance costs for vessels operating in the Gulf have risen to 1 percent of ship value, up from 0.2 percent before the strikes. That has added hundreds of thousands of dollars to individual voyages.

Major insurers have begun cancelling war risk coverage for the Persian Gulf. About 150 tankers have dropped anchor, effectively stalling 20 percent of global oil and LNG shipments.

“Bangladesh’s immediate exposure is the higher delivered cost of crude and refined products, amplified by freight and insurance premiums,” the report said, adding that disruption in the Gulf now poses a direct operational risk for the country.

It added that contingency plans are under discussion, including prioritising gas for fertiliser and power generation while raising coal-based output to offset the “Hormuz risk”.

Bangladesh spends roughly $1 billion per year to import more than 60 lakh tonnes of petroleum and relies heavily on the Hormuz route. It sources most petroleum from the Middle East, and more than half of LNG imports in 2025 passed through this chokepoint.

The country meets nearly 30 percent of its gas demand, equivalent to 2,650 mmcfd, through imported LNG as domestic output continues to fall short.

On March 2, Oxford Economics projected that LNG prices could rise 30 percent to an average of about $14 per million British thermal units (MMBtu) between April and June, up from $9 to $10 at present.

Against the backdrop, state-run Rupantarita Prakritik Gas Co Ltd has floated tenders to purchase two LNG cargoes from the spot market for March 15-16 and March 18-19 deliveries, according to people familiar with the matter.

The BRAC EPL report said foreign exchange reserves stood at $30.27 billion in late February 2026, calculated under the IMF manual, providing a stronger buffer than a year earlier. However, it said the first impact of the conflict is likely to appear in the marginal dollar price of trade credit, particularly in letter of credit (LC) margins and forward premiums.

It said imported energy inflation leaves little room for absorption without wider knock-on effects.

“Under the current automatic pricing architecture, energy price changes transmit faster into transport, irrigation and food distribution costs, raising the probability of sticky headline inflation if the war premium persists into the April-May period, potentially forcing a reversal of the planned monetary easing if the war premium is not neutralised by June,” it added.

The report said a shift towards a more accommodative monetary stance is expected under the new governor of the Bangladesh Bank to support growth.

It said policymakers are likely to focus on ensuring dollar liquidity for commercial banks and could reintroduce import curbs on luxury goods, similar to measures taken during the 2022 Russia-Ukraine war, to contain imported inflation.

The Gulf Cooperation Council (GCC) accounts for 51 percent of remittance inflows to Bangladesh, with the United Arab Emirates and Saudi Arabia together contributing about one third of the total, the report noted. Historically, higher oil prices have strengthened fiscal spending and labour demand in the Gulf.

“This acts as a stabilising medium-term force on remittance continuity. Our take is that remittances can cushion US dollar liquidity to some extent but cannot fully neutralise a sustained energy import shock.”

On exports, the report said that higher freight and insurance premiums will increase the landed cost of Bangladeshi goods. Airspace disruption will cut belly cargo capacity and force rerouting. Belly cargo refers to goods transported in the lower deck or “belly hold” of a passenger aircraft.

As of March 4, global insurers had designated the Gulf a “Listed Area”, lifting premiums by 300 to 400 percent, it said.

“Expected longer lead times will require higher inventory buffers and may increase the risk of delivery-linked discounting. The competitiveness challenge, therefore, is whether Bangladesh exporters can preserve on-time delivery economics. Exporters with stronger balance sheets, better forwarder diversification, and resilient buyer relationships should be structurally better positioned,” it concluded.

Taxpayers may soon sigh with relief from the rigours of responding separately to multiple queries from tax and VAT officials as the government's revenue authority is integrating its outmoded auditing system.

A joint audit system for income tax and VAT (value-added tax) payers is set to be launched with a twin-purpose: to remedy taxpayer vacation and curb tax evasion through inter-agency data sharing. Both individual and corporate taxpayers will no longer have to respond to the same queries or submit the same documents twice.

Income-tax and VAT officials will conduct audits simultaneously to obtain a comprehensive picture of a taxpayer's financial position.

"Initially, we will start with 15 cases on a pilot basis to assess its feasibility," says Abdur Rahman Khan, chairman of the National Board of Revenue (NBR), in an interview with The Financial Express.

He mentions that the NBR has already begun selecting taxpayers for the piloting. A joint team comprising VAT and income -tax officials will conduct the audits and submit reports.

"If this model proves successful, the number of joint audits will be increased gradually," he adds.

The initiative -- which comes amid a recast of the revenue system, including bifurcation of the NBR into policy and implementation divisions -- is also expected to pave the way for merging the two separate Large Taxpayers Units (LTUs), which currently handle income tax and VAT matters independently.

Additionally, a data -integration system between the income-tax and customs wings will be introduced, allowing income tax officials to access customs import data for verifying tax returns, Mr Khan further mentions.

Currently, the income -tax and customs wings maintain separate databases, which will be bridged under the new initiative.

President of the Institute of Chartered Accountants of Bangladesh (ICAB) NK Mobin appreciates the move. He hopes it would reduce taxpayers' time and hassle caused by multiple audits from different agencies.

"This will provide comfort to taxpayers who previously had to furnish the same documents before income-tax and VAT officials during separate audits," he explains.

"Corporate taxpayers spend significant time and incur substantial costs in facing several audits by different agencies each year."

Apurba Kanti Das, former income-tax member at the NBR, mentions that the concept Large Taxpayers Unit (LTU) was introduced with a focus on income tax under the Revenue Reforms and Modernisation Project (RIRA), funded by UK's Department for International Development (DFID) in 2003.

Although the LTU initially had separate chambers for VAT officials, the VAT wing later opted to establish its own LTU, he notes.

Former customs member Farid Uddin, who served on the NBR reform advisory committee, says the two wings currently operate under separate laws and should be brought under one administrative structure.

In its reform report, the expert advisory panel recommended merging VAT and income tax into a single department.

"The two wings need to work in an integrated manner to conduct central audits effectively," he opines.

Talking to the FE, several field-level officials, however, have given some different views. They think the process would be difficult to conduct on a large scale as filed offices for income tax and VAT are scattered across the country.

There are numerous tax files with several timelines and natures which would need a rigorous brainstorming to make the model successful.

US Treasury Secretary Scott Bessent said Wednesday that Donald Trump’s 15-percent global tariff is likely to be rolled out this week, as the president moves to rebuild his trade agenda after a major legal setback.

The Supreme Court last month struck down Trump’s country-specific tariffs, which he imposed on allies and competitors alike, delivering a stinging rebuke of his signature economic policy.

Since then, the US leader has tapped a different law to impose a new 10-percent duty, and vowed to raise this level to 15 percent.

Asked when the hike will be implemented, Bessent told CNBC: “That’s likely sometime this week.”

He added that this will be done under Section 122 of the Trade Act of 1974 -- the same basis for Trump’s new 10-percent tariff -- which only allows for a duty lasting 150 days unless Congress extends it.

During this five-month window, the Trump administration will move to wrap up investigations linked to concerns over national security and unfair trade, Bessent said. These probe, in turn, could bring about new sets of tariffs.

“It’s my strong belief that the tariff rates will be back to their old rate within five months,” Bessent said.

“And those are very fulsome authorities,” he added, referring to the laws justifying these investigations.

“They have survived more than 4,000 legal challenges. They are more slow moving, but they are more robust,” Bessent said.

Oil prices rose 1% on Wednesday as the U.S.-Israeli war on Iran disrupted Middle East supplies, but the pace of gains slowed from ‌past sessions after President Donald Trump raised the possibility of the U.S. Navy escorting vessels through the Strait of Hormuz.

Brent rose $1.17, or 1.4%, to $82.57 a barrel by 0408 GMT, after closing at its highest since January 2025 on Tuesday.

U.S. West Texas Intermediate crude rose 72 cents, or 1%, to $75.28, after settling at its highest since June. Both rose by around 5% or more in the past two sessions.

"Right now, geopolitics has clearly overtaken the usual price ⁠drivers like inventory data, U.S. economic numbers or OPEC commentary," Phillip Nova senior market analyst Priyanka Sachdeva said.

"In the near term, the key pointers to watch are physical export data from the Gulf, any confirmed tanker incidents, U.S. naval movement, and Iran's tone," she added.

Israeli and U.S. forces struck targets across Iran on Tuesday, prompting Iranian strikes against energy infrastructure in a region that accounts for just under a third of global oil production.

Iraq, the second-largest crude producer in the Organization of the Petroleum Exporting Countries, has cut output by nearly 1.5 million barrels a day, about half its production, due to storage limits and the lack of an export route, officials told Reuters. They said the country may have to shut its nearly ‌3 ⁠million bpd of output within days if exports do not resume.

Iran has also targeted tankers in the Strait of Hormuz, through which about a fifth of the world's oil and liquefied natural gas flows. Traffic through the Strait remains effectively closed.

Trump has said that the U.S. Navy could begin escorting oil tankers through the Strait of Hormuz if necessary, adding he had ordered the U.S. International Development Finance ⁠Corporation to provide political risk insurance and financial guarantees for maritime trade in the Gulf.

"The promise of such guarantees comes as insurers are cancelling war risk coverage for vessels moving through the Strait of Hormuz. This is welcome news, but clearly it won't happen overnight. ⁠Naval escorts would be helpful, but again, this effort will take time," ING analysts said in a note.

Countries and companies have begun seeking alternative routes and supplies. India and Indonesia said they were looking for other energy supplies, while some Chinese ⁠refineries were shutting or moving up maintenance plans.

In the United States, crude stocks rose by 5.6 million barrels last week, according to market sources citing American Petroleum Institute figures, well above the 2.3 million barrels analysts projected. Official figures from the U.S. government are expected later on Wednesday.

Gold prices rose over 1 percent on ‌Wednesday, rebounding from a more than one-week low hit in the previous session, as a widening Middle East conflict sent global markets tumbling and supported safe-haven demand.

Spot gold gained 1.5 percent to $5,164.42 ​per ounce by 0701 GMT. US gold futures for April delivery ​added 1 percent to $5,174.30.

On Tuesday, bullion fell more than 4 percent to its lowest since February 20, weighed by a firmer dollar and dimming rate-cut prospects ​as inflation concerns were intensified by fears of a prolonged war.

Gold could shrug ​off the previous session’s selloff over the coming days as the metal has swayed to its own narrative and has been resilient despite whatever the dollar and yields have been ​doing since the beginning of last year, said Ilya Spivak, head of global ​macro at Tastylive.

Oil and gas prices surged as the US-Israeli war on Iran halted energy exports ‌from the Middle East, with Tehran attacking ships and energy facilities, closing navigation in the Gulf and forcing production stoppages from Qatar to Iraq.

“Higher oil prices as a result of escalating geopolitical tensions in Iran added to inflationary concerns and complicated ​the outlook for ​monetary easing,” said Christopher Wong, a strategist at OCBC.

“The underlying fundamentals (for gold) have not materially shifted. Structural drivers such as geopolitical uncertainty, policy ​unpredictability and portfolio diversification needs remain intact,” Wong added.

Investors ​expect the US Federal Reserve to hold rates at the end of its next two-day meeting on March 18, according to the CME Group’s FedWatch tool.

Qatar on Monday suspended its Liquefied Natural Gas (LNG) production following attacks on key operating facilities by Iran.

This suspension means Bangladesh, which has a long-term agreement with Qatar to supply LNG, will not get its much-needed fuel in this lean season. As a result the country will face heavy load shedding, since a significant portion of its gas-based power generation will not have adequate supply.

Bangladesh is heavily dependent on imported fuels to meet its energy needs. It imports various fuel oil, coal, LNG, and liquefied petroleum gas (LPG) worth around $5 billion annually because domestic gas and coal resources are very limited.

Lost opportunity

Bangladesh could have fared differently and better had the Yunus-led government not cancelled 31 renewable power projects totalling 3,300 megawatt capacity, mostly solar, with around 300MW wind and a small 25MW waste-to-energy project.

By now, around one third of these projects could have been generating electricity, reducing the impact of load shedding caused by impending LNG supply shortfall.

However, they were cancelled in September 2024, just one month after Muhammad Yunus assumed office. The government argued that these projects, signed under the Awami League through the controversial Quick Energy Supply (Special Provision) Act 2010, had not been awarded through competitive bidding.

The power tariffs under these projects ranged between 9.7 cents and 10.6 cents per kilowatt hour. The Transparency International Bangladesh (TIB) and the investors criticised the cancellation, and the government's decision was challenged at the High Court. The court ruled that the projects had been signed in good faith and could therefore be condoned with a review option.

With Letters of Intent (LoIs), the power companies had already purchased or were in the process of purchasing lands for their projects. Land acquisition is the most difficult part for any such ventures.

Costly mistake

When companies were expecting final agreements, the then-energy adviser Fouzul Kabir Khan pushed for the cancellation of all LoIs. The government subsequently floated fresh tenders for renewable projects totalling more than 5,000MW.

Although these tenders drew bids with lower tariffs at between 7 and 8 cents, the participation was weak, and the government secured deals for only about 900MW. If these bidders prove competent, their project may come online in 2028 or later but not before.

Cancelling the 31 deals was a costly mistake. Bangladesh remains far behind its renewable energy targets. The more energy it imports, the more vulnerable it becomes to global market volatility, geopolitical conflict, and foreign currency depletion. Building renewable capacity is essential for long-term energy security.

Renegotiation was better

Instead of outright cancellation, the Yunus government could have renegotiated the bids for these 31 projects.

Dozens of bidders told TBS in 2024 that the tariff offered by these solar projects ranges between 9.7 cents and 10.6 cents per kilowatt hour. These offers were made more than a year ago during which time solar modules price dropped by 20%. Since solar modules account for 35% of the project costs, the government could have renegotiated tariffs down by at least 1 cent and up to 1.5 cents bringing them into the 8-9 cents range.

The Yunus government also significantly reduced import duties on solar panels to 1% for the 2025-26 fiscal year to promote renewable energy. Additionally, a 10-year tax holiday (100% for 5 years, then 50% for 3, 25% for 2) is available for eligible renewable energy projects, with proposals to exempt VAT and stamp duty.

This prompted some of the cancelled bidders to offer even more cuts in their tariffs. But the government did not respond, a couple of bidders said.

Solar module prices decline almost every year globally. This was confirmed when the bids in 2025 under the Yunus government came in at 7-8 cents.

These 31 cancelled projects could have replaced $820 million worth of fossil fuel imports while providing direct jobs to 10,000 people.

Bangladesh had set a target of generating 15% of its electricity from renewable resources by 2030 and 40% by 2040. Yet, current achievements hover around just 3%.

Cancelling projects is easy because it requires doing nothing. But prudently executing them demands foresight, effort, and the intellectual capacity to secure the nation's future.

Northern Jute Manufacturing Company, a company listed on the stock exchanges, has said there is no undisclosed price-sensitive information behind the recent surge in its share price.

In response to a query from the Dhaka Stock Exchange (DSE) on 2 March over the unusual price hike, the company made the statement through a disclosure published on the exchanges yesterday (4 March).

DSE data show that in just six trading sessions up to 2 March, the company's share price jumped around 52% to Tk139.20 from Tk91.50 on 22 February. Yesterday, the shares closed at Tk131.80, up 4.27% from the previous session.

In the 2019–20 fiscal year, the company reported a profit of Tk2.43 crore. Since then, it has not disclosed any financial statements.

The company has been out of production for several years. A DSE inspection team found in 2024 that the factory premises were completely closed.

Officials at the Bangladesh Small and Cottage Industries Corporation (BSCIC) industrial estate in Kushtia, where the factory is located, said the plant had been shut eve before the Covid-19 pandemic as the board of directors went into hiding. It operated partially during the pandemic before eventually closing down entirely.

Listed in 1994, the company has a paid-up capital of Tk21.14 crore. Of the total shares, public shareholders hold 84.9%, while sponsor-directors hold 15.09%.

According to its website, Northern Jute set up a modern jute yarn and twine manufacturing plant with 2,433 spindles on 5.5 acres of land at the BSCIC Industrial Estate in Kushtia. The company has two units for producing heavy- and light-count yarn and previously exported its products to several countries, including Turkey, Japan, Hong Kong, Poland, Russia, Bulgaria, India, China, and Australia.

Trading activity at the Dhaka Stock Exchange (DSE) shrank sharply yesterday (4 March) as investors largely stayed on the sidelines following Tuesday's record-breaking plunge, although the benchmark index managed to stabilise.

The DSEX edged down just 2 points, or 0.03%, to close at 5,323, trimming the massive 218-point fall recorded a day earlier the steepest single-day drop in six years since the Covid-19 pandemic. The blue-chip DS30 shed 4 points, or 0.23%, to settle at 2,045.

Market breadth remained positive, with 227 issues advancing against 112 declining, while 54 remained unchanged.

However, turnover fell sharply by 34% to Tk582 crore, reflecting subdued participation as investors adopted a cautious stance after recent volatility.

Major index draggers included Grameenphone, BAT Bangladesh, Square Pharma, LafargeHolcim Bangladesh and National Bank, which collectively kept the benchmark under pressure despite gains in smaller stocks.

Market insiders said the bourse appeared to have absorbed the shock from Tuesday's panic-driven selloff, triggered by fears of an energy supply disruption amid escalating tensions in the Middle East.

Analysts noted that the moderation in losses suggested investors were reassessing the situation rather than rushing to exit positions.

A managing director of a brokerage firm told The Business Standard that investor confidence improved after the government decided to procure fuel from the spot market to avert a potential energy crisis.

The move helped calm fears of immediate supply shortages and power disruptions, which had intensified in the previous session.

Yesterday's trading reflected a pause in panic selling, with many investors staying on the sidelines while some bargain hunters picked up low-priced stocks that had fallen sharply regardless of fundamentals.

As a result, several loss-making firms dominated the gainers' list.

Top gainers included Fareast Finance, FAS Finance, Peoples Leasing and Pacific Denims, each rising 10%, while Saif Powertec gained 9.67%.

On the losing side, GSP Finance fell 9.67%, Union Capital dropped 8.82%, Sonargaon Textile declined 8.05%, while Grameenphone and BIFC also posted notable losses.

The cautious sentiment extended to the port city bourse. At the Chittagong Stock Exchange PLC, the CSCX fell 52 points to 9,175 and the CASPI tumbled 68 points to 15,017.

Turnover there plunged 62% to Tk8.86 crore, reflecting a sharp contraction in trading activity.

Dacca Dyeing and Manufacturing Company Ltd is facing a deepening financial crisis that has cast serious doubt over its ability to continue as a going concern, according to its latest audited financial statements.

In the audit report for the financial year 2024–25, the company's auditor flagged significant uncertainties surrounding its future operations, citing accumulated losses, mounting debt obligations and substantial underutilisation of production capacity.

The audit observations show that the company has incurred heavy retained losses, eroding its capital base. A sizeable portion of both long-term and short-term loans has either matured or is due for repayment, intensifying liquidity pressure.

At the same time, a large share of its installed production capacity remains idle, reflecting weak operational performance and limited business activity.

Considering these conditions, the auditor expressed concern about the company's ability to continue its business operations in the foreseeable future.

Listed on the Dhaka Stock Exchange PLC in 2009, the company has a paid-up capital of Tk87.15 crore.

Its shareholding structure shows that sponsors and directors hold 30.10%, institutional investors 17.25%, foreign investors 0.08%, while the remaining 52.57% is held by general shareholders.

Today (4 March), the company's shares closed 0.56% lower at Tk17.90.

The textile manufacturer has been incurring losses and has not declared any dividend since the 2022–23 financial year, leading to its downgrade to the Z category on the stock exchange.

Companies placed in the Z category typically fail to pay dividends or hold annual general meetings on time, signalling elevated risk for investors.

The financial strain has intensified further in the current fiscal year. In the first half of FY26, the company reported a loss of Tk372.20 crore, marking a sharp deterioration in its financial health.

During the July–December period of FY26, turnover fell 41% year-on-year to Tk8 crore, underscoring a severe contraction in business activity. In the corresponding period a year earlier, the company had reported a loss of Tk18.20 crore.

Loss per share surged to Tk42.71 during the period, reflecting the scale of the downturn.

Founded in 1963, the company is currently operated under the QC Group. Its board includes Gias Uddin Quader Chowdhury, Samir Quader Chowdhury, Samiha Quader Chowdhury and Sajia Quader Chowdhdhury, who are relatives of former BNP leader Salahuddin Quader Chowdhury, executed in 2015 for crimes against humanity committed during the 1971 Liberation War.