Bangladesh

The proponents of the new banks argue that the new operators will infuse more competition into the banking industry and thus bring benefits to the clients. "The (Bangladesh Bank) Board has finalized a set of guidelines including new conditions with the older regulations," said A F M Asaduzzaman, a deputy general manager in the governor's office. "The old regulations have been amended substantially. Later, a senior official who did not want to be named said the new banks would require a minimum paid-up capital of Tk 400 crore from its sponsors. "And in three years, they have to go public," said the official, who attended the Board meeting, "and raise an amount equal to the paid-up capital." The official said the new guidelines took a tough line against "loan and tax defaulters" and would not allow anyone even with a family member having such a record. Those criticizing the move say the already overcrowded market does not need new ones ...

Bangladesh need to concern the emerging inflation as prices of staples like rice are increasing since October last year, says a study by Centre for Policy Dialogue. It also says that outlook for the global recovery in the next half of the fiscal year signals that prices are expected to go up on the international market. The private research arm suggested boosting farm output by supplying enough inputs during the upcoming Boro crop season and maintain the spread of prices at different level import price, wholesale price, retail price and farm level. "Inflation can be contained by ensuring higher agricultural production or the other way is by importing food which would increase the subsidy burden," CPD executive director Mustafizur Rahman said on Monday. Inflation rate in the recent past has been tolerable, but since October there has been upward movements of prices, reads the report. The high growth in agricultural and industrial credit along with excess liquidity in the ...