Bangladeshi PM unveils ambitious digitalisation plan.

http://www.thedailystar.net/newDesign/news-details.php?nid=128470

Telecoms plan unveiled
Fibre-optic network to connect unions; hospitals, schools to get computers, net facilities

Unb, Dhaka

Prime Minister Sheikh Hasina yesterday unveiled an ambitious digitisation plan for building Bangladesh as a country fully furnished with modern telecommunications system for faster delivery of services to the people.

Under the mega-scheme ‘Digital Bangladesh: Plan of Connecting People’, all Union Parishads will be linked with fibre-optic network, upazilas will also get Community e-Centre, and hospitals and schools get computer, web-cam and internet.

Already, 100 Union Parishads have been selected for giving fibre-optic cable connections while another 1,000 unions will be bound with the cross-country cable network soon.

Addressing the inaugural ceremony of Concept Paper on ‘Digital Bangladesh: Plan of Connecting People’ at a city hotel, the PM urged the country’s scientists, technological experts and engineers to turn Bangladesh self-sufficient in using technologies rather than depending on foreign countries and agencies.

Prime Minister’s son, eminent computer scientist Sajeeb Wazed Joy, presented the theme paper of the function presenting and suggesting the priority tasks to turn Bangladesh into a true digital country.

Pushing a button of a computer, the premier opened the technical part of the agenda, aimed at breaking the digital divide between the advanced world and a developing country like Bangladesh.

Hasina disclosed that Community e-Centre will be set up in all upazilas of the country. Already, five upazilas have got Community e-Centre and 128 upazilas computer labs.

She said in line with government’s commitment to provide quality health services to the mass people, the government will give computers, web-cam and internet facilities to all hospitals of the country.

Besides, e-centre for Rural Community will be set up at 8,500 post offices of the country to ensure proper management of the postal services.

Moreover, the government is making arrangement to provide videoconferencing facility between PM’s office and the cabinet division, deputy commissioners of 64 districts and 7 divisional headquarters.

The government is also constructing necessary infrastructures to set up Hi-tech Park in Gazipur and install country’s own satellite to strengthen local telecommunications system, she informed.

Hasina said it is not possible to implement all the development programmes by the government alone and urged all concerned to help the government turn Bangladesh into a digital, modern country by 2021.

“I strongly hope joint ventures under public-private partnerships will fulfil our dream of building a digital Bangladesh,” she said.

Hasina mentioned that the ICT Policy 2009 has already been approved and the ICT ACT 2009 formulated, which will expedite the country’s ICT industry’s growth and joint efforts of public and private sectors.

The PM said some 1,500 laptops have been distributed to various educational institutions while computer labs equipped with internet facilities will be set up gradually.

“Our children are working successfully in various international institutions. If they are given necessary facilities, they will make tremendous contribution to the effort for turning Bangladesh into a technology-based modern country,” she told.

Post and Telecommunications Ministry arranged the function with its Minister Rajiuddin Ahmed Raju in the chair. International Telecommunications Union (ITU) Secretary-General Dr Hamadoun I Toure addressed the function as special guest.

Post and Telecommunications Secretary Sunil Kanti Bose and BTRC Chairman Maj Gen (rtd) Zia Ahmed also addressed the function.

Bangladeshi politician tells official not to violate diplomatic norms.

Law Minister Shafique Ahmed said Saturday the Bangladesh-India-Pakistan Shimla agreement signed in 1974 is no bar to trying the war criminals of Bangladesh.

Responding to reporters’ questions after attending a function of History Academy, he said under the Shimla treaty 195 prisoners of war of Pakistan had been released.

“It (agreement) has no relevance to the holding of trial of the Bangladeshi citizens who had committed offences against humanity like killing, looting, arson and repression of women in 1971,” said the law minister.

Shafique observed the Pakistan high commissioner in Dhaka violated the diplomatic norms by interfering into Bangladesh’s internal affairs.

On Thursday, newly appointed Pakistan High Commissioner Ashraf Qureshi said the issue of war criminals between Dhaka and Islamabad had been resolved in the year 1974 through signing a tripartite agreement among Bangladesh, Pakistan and India.

After meeting with Foreign Minister Dipu Moni at her office, the Pakistani diplomat said Islamabad maintains its earlier stand on the issue of war criminals.

However, he said the war crime trial issue is absolutely Bangladesh’s internal matter and he didn’t want to comment on it.

Comment: The Bangladesh minister told the Pakistani official not to break diplomatic protocol by interfering in Bangladesh’s internal affairs. Bangladesh was part of the Pakistan federation until 1971 when after a war launched by Pakistani forces, Bangladesh declared independence and defeated the Pakistan army. Despite the war crimes, rapes and other atrocities committed by Pakistani forces, many right-wing nationalists in Pakistan especially in the Punjab are bitter at their defeat and cannot accept the existence of an independent Bangladesh. Bangladesh also recently arrested some radicals linked to Pakistani militants and some in Bangladesh fear attempts to destabilize Bangladesh by the Pakistani secret services.

Assiyasah predicts that with increased Bangladeshi economic growth and self-confidence, their government will deal with attempts to destabilize Bangladesh by Pakistan in a stronger manner.

Russian-Korean car company, Tagaz, to invest $2 billion in Bangladesh.

 

Tagaz team looks into technicalities before setting up car plant

Jasim Uddin Haroon

A high-powered team of Tagaz, a Russia-Korea car manufacturer, is now in Dhaka to finalise a car-manufacturing project in Bangladesh.

Earlier in October, the Tagaz Bangladesh unveiled a US$ 2.0 billion plan to manufacture cars in Bangladesh aiming to grab the country’s fast growing market and explore the scope of export abroad.

Industries Minister Dilip Barua was present during unveiling of the plan at a function in the city.

Abdul Mannan Nasir, Bangladesh representative, told the FE Sunday: “A high-powered team of Tagaz from Korea has arrived in Dhaka and they are now discussing different technical issues.”

He also said: “Chairman of Tagaz from Russia will visit the site shortly and see for himself the others things.”

Tagaz is a Korea-Russia joint venture and it has two plants in Russia and one plant in South Korea.

Mr Nasir said they had already purchased around 350 acres of land at Bhoirab in Kishoreganj to set up the proposed plant.

Officials at the Tagaz Bangladesh said it wants to manufacture cars in Bangladesh, mainly because of its low labour cost and the advantage it enjoys in export to neighbouring countries and Europe.

Source: thefinancialexpress-bd.com

An article from a few months earlier states:

Taganrog Automobile Assembly Plant (TagAZ) Korea, a company which assembles Hyundai vehicles under license, plans to invest around US$2bn to assemble cars in Bangladesh.

TagAZ Korea has already bought 350 acres of land near the country’s capital city of Dhaka to set up an assembly plant. The facility is expected to be completely set up in the next 24 months, Xinhua says.

The company, a South Korean-Russian joint venture, decided on establishing a plant in Bangladesh owing to a combination of low labour costs and the region’s strategic location for the export market. TagAZ Korea will now become the first vehicle manufacturer in the country.

“A sedan costs US$10,000 in South Korea but we can reduce the cost here by around US$3,000 due to low labour cost and other facilities,” the Chinese newswire quotes Abdul Mannan Nasir, managing director of Cimillae Development, a concern of TagAZ in Bangladesh, as saying.

Another factor that attracted TagAZ Korea to Bangladesh is the availability of special benefits in exporting its goods to markets in Europe, the report says.

Published on Thursday, October 15, 2009

Source: Automotiveworld.com

Swedish company to increase investment in Bangladesh.

Swedish Hedge Fund Brummer to Set Up New Bangladesh Stocks Fund

By Netty Ismail

Dec. 2 (Bloomberg) — Brummer & Partners, the largest Scandinavian hedge-fund manager, plans to set up a fund to buy Bangladeshi stocks, betting the south Asian nation will attract investors seeking the world’s next low-cost labor hub.

The fund “should not be larger than $100 million” as only about a third of Bangladeshi companies’ outstanding shares are publicly traded, said Patrik Brummer, founder of the Stockholm- based firm, whose assets are at their peak of about $7 billion. The fund will be formed within the next three months, he said.

The nation of 162 million people, equivalent to about half of the population of the U.S., may join the ranks of the fastest-growing economies in the region as it benefits from its geographical proximity to India and China and low labor costs. The economy, which expanded 5.9 percent in the year to June, was shielded from the financial crisis because of its “limited integration” in the global economy, according to the World Bank.

“If you believe in labor arbitrage as a true trend, that will benefit Bangladesh,” Brummer, 60, said in an interview at the three-year-old Westin Dhaka hotel. “The predictability for this country is much higher than most countries that I know of; it is largely uncorrelated to the world economy.”

Bangladesh’s ready-made garment exports have shown resilience because of the so-called Wal-Mart effect, where consumers substitute more expensive products for cheaper ones such as those from the South Asian nation, the World Bank said in a September report. Buyers are also shifting production to Bangladesh, which may have become the world’s lowest-cost producer, from China, the Washington-based bank said.

Stock-Market Rally

Goldman Sachs Group Inc. in December 2005 included Bangladesh in a list of 11 developing countries that, according to its analysts, have the greatest potential to emulate the long-term economic success expected from China, India, Brazil and Russia. JPMorgan Chase & Co. named Bangladesh one of the “Frontier Five” markets worth investigating in an April 2007 note, along with Kazakhstan, Kenya, Nigeria and Vietnam.

“Bangladesh has a lot of raw potential and is full of opportunities for those ready to dig in,” said Douglas Clayton, Phnom Penh-based founder of Leopard Capital LP, which manages a Cambodia private-equity fund and is raising money to invest in Sri Lanka. “In time, we’ll probably launch a fund here.”

The Dhaka Stock Exchange General Index, which gained 21 percent this year, eclipsed its previous high reached in 1996 as shares of GrameenPhone Ltd., Bangladesh’s largest mobile-phone company, almost tripled on debut on Nov. 16. GrameenPhone, controlled by Norway’s Telenor ASA, raised 4.9 billion taka ($71 million) in Bangladesh’s biggest initial public offering.

The stock market’s daily turnover has grown to about $100 million over the last few months, from an average of $20 million a day in 2007, according to Brummer.

Bubble Danger

“One danger in this kind of an environment is that you get a bubble at one stage,” Brummer said. “If a lot of foreign investors take an interest in this market, being such a small market, then it can explode.”

The manager set up in July 2008 a Bangladesh hybrid fund to invest in stocks and private equity. About half of that fund’s $53 million will go into a private-equity fund, which the firm started this year. The International Finance Corp., part of the World Bank, has committed $10 million to the private-equity fund, which is set to attract more money from other investors, he said.

The private-equity fund, targeting returns of at least 20 percent, plans to hold minority stakes in “successful companies that have a bright future,” Brummer said. It has invested in the export business of Bangladesh’s largest automotive battery maker and a supermarket chain operator, both part of Dhaka-based Rahimafrooz Group.

Stockholm to Dhaka

“There has been a lot of change in the city of Dhaka, a lot of construction activity,” said Brummer, who first visited the capital city in 2005 and travels there four times a year.

The Stockholm-based manager is an investor in bracNet, a wireless broadband company in Bangladesh that Khalid Quadir, who runs Brummer & Partners’ unit in Dhaka, started in 2005. KDDI Corp., Japan’s second-largest mobile-phone operator, agreed to buy 50 percent of bracNet on Nov. 12.

Brummer started his hedge-fund business in 1996 after spending 22 years at Alfred Berg, the largest brokerage in the Nordic region. Alfred Berg was acquired by ABN Amro Holding NV in 1995.

Brummer & Partners attracted net inflows of $1.7 billion this year, he said.

The firm’s multistrategy fund, which invests in Brummer & Partners’ own strategies and accounts for more than a third of its total assets, “has become a very popular vehicle,” he said.

http://www.bloomberg.com/apps/news?pid=20601087&sid=abOlqUUVJMtM&pos=7#

Turkey and Bangladesh agree to work towards $1 billion trade.

Bangladesh-Turkey direct air, banking links at earliest

Dhaka, Nov 20 (UNB) – Bangladesh and Turkey have agreed to introduce direct air and banking links between the two countries at the earliest possible time to promote bilateral trade and economic cooperation.

The two sides also underscored the need for direct shipping link, as a protocol was signed between the two countries in Ankara, Turkey on Thursday.

Finance Minister AMA Muhith and Turkish Minister of State Mehmet Aydin signed the protocol on the concluding day of the third session of Bangladesh-Turkey Joint Commission for Trade, Economic and Technical Cooperation (JEC) held November 18-19.

According to the protocol received here Thursday night, the two sides agreed to cooperate with each other so they could raise the bilateral trade to US$ 1 billion in the shortest possible time.

To achieve the target, they agreed to encourage their designated airlines to start direct flight between Bangladesh and Turkey at the earliest possible time under a Memorandum of Understanding (MoU) signed in 1997.

The two countries would also consider establishing direct banking links through state-owned banks, suitable private banks or other financial institutions on a priority basis.

Other major areas the two sides have agreed to cooperate are agriculture and irrigation systems, contracting services, tourism, telecommunications, infrastructure projects, SMEs sector development, and standards and testing institutions.

The two sides agreed to explore the possibilities of joint venture in the fields of shipbuilding, heavy machinery industries, electronic appliances, textiles, pharmaceuticals, RMG, jute and jute products,
and petrochemical products.

Both sides stressed the need for reciprocal visits of business delegations to promote bilateral trade, economic and technical cooperation, and also the need for holding trade fairs in each other’s country.

Bangladesh expressed interest to export medicines and pharmaceutical products. The country invited Turkish investors to relocate their labour-intensive industries like textile and construction to Bangladesh to utilize cheapest labour and other fiscal incentives.

Both sides agreed to examine the investment possibilities from Turkey in the oil, gas, refinery and power plant sectors in Bangladesh.

The two countries decided to hold the next meeting of the JEC in Bangladesh at a time to be mutually agreed upon.

Source: http://www.unbconnect.com/component/news/task-show/id-9090

Comment: Malaysia is seen as one of the most influential countries in the Muslim bloc. Outside of the Arab world, alongside Turkey, Iran and Pakistan it is seen as one of the big 4 Muslim countries. However the Malaysian economic miracle has been a recent phenomenon and Bangladesh is accelerating its pace of economic growth. Bangladesh is also working with Gulf Arab states who have increased their business acumen and improved their investment strategies. Within a few years Bangladesh may join Malaysia as one of the key players in the Muslim bloc.

 

Bangladeshi students best in the world in Cambridge exams.

Bangladeshi students on top of world in Cambridge exams BSS, Dhaka Three students from Oxford International School (OIS) in Dhaka obtained the highest marks in the world (in 157 countries) in Cambridge GCE O & A Level Examinations in 2008-09 sessions. Anik Islam Badhan came out on top in the world in Additional Mathematics and Human & Social Biology in May-June 2009 session, while Minhazul Islam and Sidratul Montaha secured top position in the world for Mathematics and Additional Mathematics respectively in October-November 2008 session. The students of OIS have been identified as the best performing students in Bangladesh by the University of Cambridge International Examinations (CIE) for their outstanding performances in the recent GCE O & A Level Examinations held in October-November 2008 and May-June 2009 sessions. The school secured 75 Cambridge Outstanding Awards for the extraordinary performances of its students. Six students achieved Cambridge High Achiever Awards for their brilliant performances. Minhazul Islam secured first position in the country in the combined merit list in the A (Subsidiary) Levels, while Shajia Meraj and Nabil Tarique Hossain became second and third in the A Levels respectively. Anik Islam Badhan stood third in the country in O Levels. A total of 15 OIS students scored the highest marks in Bangladesh in various subjects. Tazrian Haider Rafi made the incredible achievement of a maximum 10 A-grades in a single sitting while Anik Islam Badhan and Tarek Bin Zahid achieved 9 A- grades in their O Levels. Jahan E Alam and Jyotirmoy Hore achieved 5 A-grades in their A (Subsidiary) Levels. The University of Cambridge International Examinations (CIE) will award these students along with many other students who achieved 7 or more A-grades in O Level and 3 or more A grades in the AS/A Level Examinations through a special award function. Principal of OIS G M Nizam Uddin said, this outstanding achievement is not only for the school it is also the achievement for the whole nation.

Source: Daily Star, Dhaka.

Bangladesh to produce Pajero jeep.

Pragoti to begin assembling Pajero Sports in 2011

Our Correspondent

CHITTAGONG, Oct 30: The country’s biggest vehicle assembling industry Pragoti will bring in the market a new model jeep – Pajero Sports – a modern version of its V-31 Pajero in 2011.

The new model jeep will be assembled at the factory of Pragoti Industries Ltd (PIL) at Barabkunda under Sitakunda of Chittagong under joint venture with Mitsubishi Motors Corporation of Japan, PIL sources said.

The sources said, the PIL management has already held primary consultation with the Mitsubishi Motors. A four-member team of Mitsubishi Motors visited the PIL factory at Barabkunda on July 13 last. The team also had a meeting with the senior officials of Bangladesh Steel and Engineering Corporation (BSEC) in Dhaka on July 15.

The sources said, the sales representative of Mitsubishi in Bangladesh and other officials of the company agreed to assemble Pajero Sports and Sedan at the PIL factory. The PIL is currently assembling V-31 Pajero under long-term agreement with the Mitsubishi.

Following that visit a team from Bangladesh headed by a joint secretary of the Ministry of Industries (MoI) visited the Mitsubishi factory in Thailand for three days from September 9 last. The team included senior officials from BSEC and PIL, the sources said.

PIL Managing Director Zahiruddin Chowdhury said, the price of Pajero Sports is yet to be fixed. “The price will be fixed after completion of the production process. But the new model Pajero will be an upgraded version of V-31. So the price will be more than that of V-31,” he said.

Chowdhury said, the PIL is not in a position to go for assembling bus, truck or light vehicle except V-31 due to absence of long term agreement with any other company. “That is why we are trying to procure such vehicles from other countries under joint venture or we will assemble those vehicles by importing completely knocked-down (CKD) vehicles under long-term agreement and assemble them in our factory,” he said.

Although the PIL has the capacity to produce as many as 500 vehicles a year it has no factory of its own for repairing and maintenance of the vehicles. So the PIL has currently decided to invite proposals for a service-cum-maintenance workshop at its 43,560 square feet vacant land at Tejgaon in Dhaka under public private partnership, the MD added.

Source: The Financial Express, Dhaka.

Bangladesh to become carmaker.

Bangladesh to become carmaker
Star Business Report

Bangladesh is set to become an automaker by the next two years, as a South Korean investment company yesterday announced a plan to invest $2 billion for setting up a Korean brand car manufacturing plant in the country.

The proposed car unit is expected to go into production in 2012, targeting to make 50,000 Korean Tagaz brand cars a year, and sell those in both local and international markets.

The plant will also manufacture cars to be branded locally.

If the plant is set up in time, it will be the first-ever car making venture in Bangladesh.

Industries Minister Dilip Barua formally unveiled the $2 billion investment plan, and termed it as a good sign for Bangladesh amid a sluggish foreign investment flow.

Cimillae Development Co Ltd, the local agent of Korean investment company CCGI, will coordinate the investment implementation.

Abdul Mannan, managing director of Cimillae Development, said local customers will get a Tagaz brand new car at only Tk 7 lakh. The company has already acquired land at Bhairab in Narsingdi for the plant.

Mannan said the plant will require two years to be set up. As many as 15,000 jobs will be created to run the car manufacturing plant.

CCGI Chairman Lee Young Choung said his company has already decided to invest more in Bangladesh besides the car manufacturing plant. He said CCGI has plans to invest in 30 sectors in future.

Presently Japanese reconditioned cars dominate the Bangladesh market. Around 20,000 used cars are imported each year, while the number is 2,000 for brand new cars.

Some brand new carmakers like Ford have already initiated move to enhance their presence in Bangladesh.

Japanese Toyota still leads the market in both used and brand new car segments.

Source: Daily Star, Dhaka.

Bangladeshi president on state visit to Saudi Arabia.

Dhaka, Sept 22 (UNB) – President Zillur Rahman left for Saudi Arabia Tuesday to pay a six-day state visit to Saudi Arabia at the invitation of King Abdullah Bin Abdul Aziz.

A flight of Biman Bangladesh Airlines carrying the President and his entourage took off from Zia International Airport at 2pm, a day after Prime Minister Sheikh Hasina flew for New York to attend the UN General Assembly session.

President’s son, Nazmul Hasan MP, and his other family members, secretary and military secretary are accompanying him on his first foreign trip after assumption of office as President in January.

During his stay, Zillur Rahman will attend the inauguration of the newly established King Abdullah University of Science and Technology in Jeddah and a dinner to be hosted by the Saudi monarch tomorrow (Wednesday).

The President will say his Maghrib prayer at the holy Makkah Sharif and perform Umrah on September 24.

On Sept 25, he will offer his Asr, Maghrib and Esha prayers at Masjid-e-Nababi in Madinah and visit the holy shrine of Prophet Hazrat Mohammad (pbuh).

He is scheduled to return to Dhaka on September 27.

Source: unbconnect.com

Bangladesh: General and Islamic banking to have different laws.

General, Islamic banking to have separate laws

 Tue, Sep 8th, 2009 4:33 pm BdST Dhaka, Sept 8 (bdnews24.com)—

The finance minister has said there will be separate laws to govern general banking and Islamic banking in Bangladesh. “A recent cabinet meeting in principle approved the draft amended insurance law,” AMA Muhith told reporters on Tuesday after a meeting with the Bangladesh Insurance Association representatives at the Economic Relations Division office. “The standing committee related to the finance ministry is now looking at it closely and after review, the draft law will be presented in parliament for passage. “The draft mentions separate laws for governing the two insurance genres—Islamic and general. Similarly, separate and dedicated legal regimes will be formulated and put in place.” Muhith said it has not been right to merge Islamic banking and general banking, he said. Both banking systems are facing glitches while being administered under the uniform legal regime. Separate laws will be made to get rid of these anomalies, he reiterated. Asked if the amended insurance act will be approved in the current parliamentary session, the minister said, “The session is a very brief one, so, we’ll have to see what all can be squeezed in.” Bangladesh Insurance Association chairman Rafiqul Islam headed the insurers in the meeting