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National News More needs to be done for skill development

BTRC initiates move against 5 telcos for non-payment

Defaulted loans in eight SOBs Tk 40,099cr

Industries ministry wants to join global patent treaty

Bangladesh envoy frustrated with $81m heist money recovery

Dhaka stocks soar for 3rd week

Multinationals to pass decision on offloading shares to parent companies

NBR withdraws export tax for EPZ tobacco factories

Govt’s revenue collection thru BTRC slumps to 6-yr low

BTRC issues guidelines, setting licence fee at Tk 50 lakh

Jica offers low-cost funds to businesses

B’desh faces 23pc food production loss for environmental reasons

Prices of vegetables increase

Illegal handset imports cost Bangladesh Tk 800cr a year

International News China boosting Southeast Asian economies

Rohingya issue: India refuses to be part of global declaration against Myanmar

Unemployment in Canada drops to 9-year low

‘EU to seek Google tax reform’

National News

More needs to be done for skill development

Bangladesh sent a record 750,000 migrant workers abroad last year but it is a mystery that remittance inflow in the last

fiscal declined by 14.47 per cent to $12.769 million, the lowest in six years.

Experts say it is time to train workers before sending them abroad, as most Bangladeshi migrant workers leave the

country as ‘unskilled’ labourers and earn less than their peers.

Falling remittance

For Bangladesh, remittance is the second largest source of foreign exchange earnings after ready-made garment exports.

In fact, it has contributed substantially to the building up of the country’s foreign exchange reserves. But the recent

declining trend in remittance inflow has left the government worried.

Bangladesh Bank (BB) expressed concerned over the declining trend of the inward remittances. The central bank’s data

show that migrant workers sent home $12.77 billion during the last fiscal year, which was down by 14.47 per cent year-

on-year.

When asked why the flow of inward remittances dropped significantly in the last fiscal despite a record number of

workers being sent abroad last year, former adviser to a caretaker government AB Mirza Azizul Islam told The

Independent that there was a database on how many workers were going to abroad but there was no statistics of how

many workers were returning from abroad. It was tough to find out the number of migrant workers coming back to

Bangladesh.

DSEX 6114.99 32.98 Gold (Ounce) $1,296.50 Dollar 80.60 (Buy) 81.60

(Sell) REPO Rate (20/08/2017) 3.32%

DSE30 2178.50 21.41 Oil (Barrel) $47.86 Euro 94.16 (Buy) 98.49 (Sell) REPO Rate (17/08/2017) 3.35%

Source: DSE Source: Yahoo Finance Source: One Bank Limited Source: Bangladesh Bank (W AV)

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Unskilled workers

Bangladesh has been an exporter of workers in the unskilled, semi-skilled and less-skilled categories. This is also

reflected in the low average per capita remittance made by Bangladeshi workers compared to those of other countries.

An unskilled worker from Bangladesh gets a monthly wage equivalent to between $220 and $250 in the Middle East or

Malaysia, while a skilled worker earns double the wage, experts say.remittance of Bangladeshi migrant workers is lower

compared to the migrant workers of other countries like the Philippines, Sri Lanka, India and Nepal. So, we need to

develop the skill of the migrant workers before sending them abroad,” said Mirza Azizul.

He also said, “If the workers are provided training according to the demand of the recruiting countries and then sent

abroad, the flow of remittance will obviously increase.” Besides, it was important to explore new markets, the economist

said.

The number of work permit holders in Singapore, excluding domestic workers, fell by 12,600 to 753,000 in 2016, with

most of the losses in the construction and shipping industries, according to Singapore’s Ministry of Manpower.

Some Bangladeshi workers, who went to Singapore last year after selling land and borrowing money from banks and

relatives to pay $12,000 in fees to multiple agencies, returned to Bangladesh empty-handed a few months later, as

employers laid them off, saying there wasn’t enough work.

Former Bangladesh Bank governor Salehuddin Ahmed told The Independent that many workers were returning to

Bangladesh from Malaysia and other countries due to various problems. “The skill development of migrant workers is

needed before they are sent abroad,” he said, adding that in most of the cases the unskilled workers lost their jobs when

a company planned job cuts.

Middle Eastern slide

Saudi Arabia, which had been the biggest destination for Bangladeshi migrant workers, lifted a six-year ban on

Bangladeshi workers in 2016, but the measure is unlikely to increase recruitments because falling oil prices have left

tens of thousands of workers unemployed.

In 2016, some 188,247 workers were sent to Oman, the highest figure of Bangladeshi workers going to any one country.

Saudi Arabia recruited 143,913 workers, the second highest number. And the third highest destination country was

Qatar, which took 20,382 workers that year.

Mirza Azizul said Bangladeshi workers mainly worked in Middle Eastern countries, where wages were now low because

of an economic slide caused by falling oil prices. Many workers there were losing their jobs or were being poorly paid.

So, they were now sending smaller sums of money back home.

Most of the migrant workers from Bangladesh are young with low levels of education. The majority of them are in the

unskilled category, although, in recent years, there has been some increase in the proportion of semi-skilled and skilled

workers. Migration of skilled workers can have potential benefits in terms of better paid jobs, leading to higher

remittances per worker.

Bangladesh is not unique in suffering such a downturn: for the first time in three decades, remittances to developing

countries fell in both 2015 and 2016, according to the World Bank.

Although Saudi Arabia lifted a six-year ban on Bangladeshi workers in 2016, this is unlikely to increase recruitment

because falling oil prices have left tens of thousands of workers — mainly Indians — unemployed and starving there.

Others are returning from conflict-ridden Middle Eastern countries.

Salehuddin said many Bangladesh workers in the Middle East were working under uncertain economic and political

conditions and were not sending money.

He also said the remittance inflow dropped, as the income of the expatriates fell in the Middle East countries. Besides,

many migrant workers were saving money abroad, sending home lesser amounts.

First, the annual flow of remittances increased from less than $2 billion in 2000 to over $15 billion in 2014–15, when

remittances received were equivalent to about 8 per cent of the country's GDP. Remittances in 2014-15 were equivalent

to about 61 per cent of the reserve in 2014-15.

Second, in terms of employment, during the three-year period of 2012 to 2014, about half a million people found jobs

abroad every year—representing over a fifth of the annual addition to the total labour force of the country and over half

the additional jobs created by the manufacturing sector in recent years.

Savings abroad and Hundi channel

Ahsan H Mansur, executive director of the Policy Research Institute of Bangladesh, says the flow of remittance has not

merely dropped from the Middle Eastern countries but also from the USA.

He wonders why remittances from the USA have dropped when there is no recession there.

Mansur thinks a rising demand among Bangladeshis to hold foreign currency abroad is the reason behind the falling

trend.

According to BB, the country received a total of $15316.91 million in FY15, $14931.15 million in FY16 and $12,769

million in FY17.

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The authorities say migrant workers are using illegal channels to send money home. Many are using Hundi, as it is

cheaper, faster, and thought to handle at least as much in remittances as banks, without foreign currency ever crossing

the border. Many are using authorised mobile-money operators, such as bKash, which alone has 28 million accounts

and 170,000 agents.

The exchange rate, controlled by the government, makes money remittance through banks unattractive. The difference

between bank and Hundi rates is five taka (six cents) per dollar, say experts.

In the backdrop of a declining remittance inflow, the government has taken some initiatives such as the abolition of

bank fees on remittance transfers and is working on other ways to keep cash flowing through banking channels.

Remittance, however, hit a 14-month high in August, mainly due to Eid-ul-Azha, which may bring a sigh of relief for

the government. In August, migrant workers sent home $1.42 billion.

Bangladesh has one of the highest unemployment rates in South Asia, despite a steady economic growth. Unemployment

is likely to be fuelled by high inflation and an increasing population. A World Bank report estimated that, in 2013, about

41 per cent of Bangladeshi

youths were not employed or in education or training, and the portion of young unemployed people was 78 per cent. So,

many young men placed all their hopes of a better life for their families in Bangladesh on getting jobs abroad.

Source: http://www.theindependentbd.com/post/113332

BTRC initiates move against 5 telcos for non-payment The Bangladesh Telecommunication Regulatory Commission has initiated a move against five mobile phone operators

for non-payment of unused balance in the SIM cards which were blocked by the telecom regulator for various reasons.

Although the BTRC issued a directive in this regard last year, none of the country’s mobile phone operators, except

Grameenphone, is yet to return the money to the commission.

Country’s leading mobile phone operator Grameenphone in February this year deposited Tk 7.33 crore in the telecom

regulator against the unused balance in the connections that were blocked in between 2008 and 2014.

BTRC officials said that the commission might take punitive measures against the other operators — Banglalink,

Robi, Airtel, Citycell and Teletalk — in this regard. Airtel, formerly known as Warid Telecom, has already merged

with Robi in November, 2016.

Although the telecom regulator asked the mobile phone operators to give data of unused balance in SIM cards which

were blocked for different misdeeds mostly for operating illegal voice over internet protocol services, none of the

operators, except GP, is yet to provide any such data, the BTRC officials said.

Meanwhile, the BTRC also issued show-cause notices to the operators asking them to show reasons why they did not

provide the commission with the unused balance-related data, a senior BTRC official said.

The entities, however, refrained from giving any reply as well, he said.

Considering the reluctance of the operators, the commission has initiated a move to take regulatory measures in this

regard, he said.

The issue would be placed in the upcoming commission meeting for final decision, the BTRC official said.

He also said the operators have around two crore blocked connections and most of the accounts have unused balance

worth a few hundred crores of taka.

The BTRC had blocked 25,40,666 SIMs of Grameenphone in the six years (2008-2014) for allegations of use in

illegal call termination and most had unused credit balance stored in them.

After the payment of the money, the telecom regulator has allowed GP to resell these blocked numbers.

In a letter to the BTRC, Grameenphone said the total unused balance of the SIMs blocked in the six years was Tk 9.37

crore, of which, it had already deposited Tk 1.22 crore to the government exchequer as 15 per cent value-added tax.

Besides, GP also deducted Tk 81.44 lakh — 10 per cent of the amount -- as different taxes that they had already paid

to different government authorities. Source: http://www.newagebd.net/article/23672/btrc-initiates-move-against-5-telcos-for-non-payment

Defaulted loans in eight SOBs Tk 40,099cr

The eight state-run banks held 54.07 per cent or Tk 40,099.19 crore of the total defaulted loans in the country’s

banking sector as of June 30, 2017 as the banks disbursed large amounts of loans to their clients violating rules,

Bangladesh Bank officials said.

The amount of the total defaulted loans in the banking sector stood at Tk 74,148.54 crore as of June 30, 2017.

Sonali Bank, Rupali Bank and BASIC Bank also failed to keep required provisions against their disbursed loans and

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advances at the end of June due to a drop in their operating profits.

The five other state-run banks are: Janata Bank, Agrani Bank, Bangladesh Krishi Bank, Rajshahi Krishi Unnayan

Bank and Bangladesh Development Bank.

A BB official told New Age on Thursday that the defaulted loans in the banking sector including that in the state-run

banks increased significantly in the first half of 2017 as the central bank had recently discovered a number of loans

scams in the banks.

According to the BB data, the amount of defaulted loans in the banking sector increased by Tk 11,976.22 crore to

Tk 74,148.54 crore as of June 30, 2017 from Tk 62,172.32 crore as of December 31, 2016.

Former interim government adviser Mirza Azizul Islam earlier told New Age that financial stability in the banking

sector would decrease more if the banks failed to curb the upward trend in the defaulted loans.

He said, ‘The excessive defaulted loans will create a risky situation for the depositors. So, the authorities concerned

should take immediate measures to control the non-performing loans in the interest of the whole financial sector.’

The BB, the finance ministry and the law ministry should take a joint initiative to bring down the defaulted loans in

the banks, he said.

The large amount of defaulted loans has already put an adverse impact on the good borrowers as they have to count

against their bank loans higher interest rates stemmed from the non-performing loans in the banking sector, he said.

The BB data showed that the amount of defaulted loans in Sonali Bank stood at Tk 11,421.11 crore, that in Janata

Bank at Tk 5,340.52 crore and that in Agrani Bank at Tk 4,904.29 crore as of June 30, 2017.

The amount of non-performing loans in Rupali Bank stood at Tk 4,759 crore, that in BASIC Bank at Tk 7,390 crore,

that in BDBL at Tk 764.75 crore, that in BKB at Tk 5,464.78 crore and that in RAKUB at Tk 1,185.86 crore as of

June, 2017, the data showed.

The BB official said that excessive defaulted loans in the state-owned commercial banks had created a very alarming

situation in the country’s banking sector.

The classified loans in private and foreign commercial banks are comparatively lower than that in the SCBs, he said.

The rising defaulted loans have also put an adverse impact on the rates of interest on lending, he said.

He said banks set their interest rates calculating the provision against classified loans, cost of fund and considering

their respective profit targets.

For this reason, banks will have to reduce their defaulted loans to decrease the rates of interest on lending, he said. Source: http://www.newagebd.net/article/23603/defaulted-loans-in-eight-sobs-tk-40099cr

Industries ministry wants to join global patent treaty The industries ministry is exploring the possibility of joining the Patent Cooperation Treaty to facilitate local inventors

in getting patent rights on the global markets.

An inter-ministerial meeting has already decided to join the PCT, an international treaty administered by the World

Intellectual Property Organisation with more than 145 contracting countries, seeking patent protection globally for an

invention.

Officials of the industries ministry has told New Age that the ministry has sought revised opinion of the foreign

ministry regarding Bangladesh’s possible accession to the PCT as the foreign ministry initially opposed the move

fearing additional obligation to adopt Trade-Related Aspects of Intellectual Property Rights-related measures and

compliance which allow least developed countries from enforcing IP rights on pharmaceutical products until 2033.

After getting opinion from the foreign ministry and completion of relevant procedures, the proposal will be sent soon

to the cabinet for its approval, they said.

The PCT is one of the three WIPO-administered treaties for IPR protection system. The two other treaties are Madrid

Agreement on Trademarks and Hague Agreement on Industrial Designs.

An inventor can get patent protection for an invention simultaneously in a large number of countries by filling a single

application instead of filing several separate national or regional patent applications, officials of the Department of

Patents, Designs and Trademarks of the industries ministry say.

They say attaining patent protection is very difficult and expensive for inventors of least developed countries like

Bangladesh without being party of the treaty.

An inventor must have to file separate applications to gain the protection in separate countries and have to spend

significant amount of money in forms of fees.

But in PCT system, he or she will get 90 per cent waiver of the fees.

Though Bangladesh has made insignificant progress in intellectual property, the country should prepare itself for

global IP system from now keeping its possible graduation to middle income country from the status of least

developed country possibly by 2021, the officials say.

Accession in PCT is important for getting international patent registration for its inventions, they say.

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The Federation of Bangladesh Chambers of Commerce and Industry also suggested that the government join the treaty

to attain the right for seeking IP rights protection.

DPDT registrar Sanowar Hossain has recently told New Age that the department had been trying to join the PCT since

2010.

He said that inventors would be benefited in getting overseas patent protection as they would be able to seek patent

protection in all member countries by filing a single application by paying subsidised application fees.

In 2015, Bangladesh ranked 92th, among 116 countries, in the ranking of patent filing activities, according to the

WIPO data.

DPDT in 2016 got 344 patent applications. Of which, only 72 applications are made by local inventors and the

remaining applications are made by foreign individuals and companies.

Source: http://www.newagebd.net/article/23673/industries-ministry-wants-to-join-global-patent-treaty

Bangladesh envoy frustrated with $81m heist money recovery

Bangladesh Ambassador to the Philippines Asad Alam Siam has expressed frustration with the current pace of

recovering money lost in last year’s $81-million heist from Bangladesh Bank’s account with the Federal Reserve in

New York.

In an interview with a local TV channel on Thursday, the ambassador expressed hopes of recovering money, but

admitted there was “immense pressure” to achieve results more than a year after the incident.

“Yes, there is a sense of frustration back home,” he said in the interview.

Bangladesh Bank sent a team to Manila this week to expedite the recovery of $81 million that were stolen by hackers

in February last year and stashed in the Philippines.

Asad Alam Siam said the Philippine government promised Bangladesh “all out efforts and cooperation” in recovering

the stolen money.

“We are having high expectations from our Filipino colleagues in fact, because this admin[istration] is very much

against any sort of corruption and transnational crimes like the heist one, so let’s see,” Siam said.

He said the money was supposed to be used for poverty alleviation programmes such as children’s education and

immunization.

A key personality in the money laundering scheme, dismissed Rizal Commercial Banking Corp. (RCBC) bank

manager Maia Deguito was indicted by the Department of Justice (DOJ) on August 30.

Eight counts of violations of the Anti-Money Laundering Act were filed against Deguito and four account holders,

namely Michael Francisco Cruz, Jessie Christopher Lagrosas, Alfred Santos Vergara, and Enrico Teodoro Vasquez.

The accounts were later discovered to have been faked.

The case had since been raffled off to four branches of the Makati City Regional Trial Court.

Source: http://www.dhakatribune.com/business/banks/2017/09/08/bangladesh-envoy-frustrated-81m-heist-money-recovery/

Dhaka stocks soar for 3rd week Dhaka stocks advanced last week, the third week in a row, with key index DSEX reaching an all-time time high, aided

by an increased purchasing of bank shares amid investors’ expectation of better gain.

The key index of Dhaka Stock Exchange gained 1.81 per cent, or 108.55 points, over the week to close at 6,114.99

points on Thursday.

The week was shortened to four trading sessions as a three-day Eid-ul-Azha vacation included Sunday.

The DSEX gained 253 points in last three weeks.

The market opened bullish on Monday, increasing by 32 points and the vibe sustained over the week with a marginal

correction of 13 points on Wednesday.

The key index reached to a new high on Thursday after its launch with 4,055 points on January 28, 2013.

Market operators said that investors’ optimistic share purchasing, especially bank shares, helped the market reach to

the position.

Among the most prominent sectors, bank shares were still selling at lower prices that provoked all types of investors

to buy the scrips, they said.

With the indices hitting records every other day, investors who were earlier on the sidelines started to invest their fund

in the market, stockbrokers said.

Lower bank deposit rates instigated a section of investors to pull their idle money from banks for investing in the

capital market with an expectation of better gain, they said.

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Like the previous weeks, banks led the rally from the front last week, increasing by 3.64 per cent and holding 32 per

cent of the total turnover.

Besides that, telecommunication and pharmaceuticals added fuel to the record-breaking surge in the week.

On the other hand, the average share prices of engineering, energy and non-bank financial institutions faced profit-

booking correction over the week.

The daily average turnover on the bourse increased by 16.36 per cent to Tk 1,057.74 crore compared with that of

Tk 908.99 crore in the previous week.

‘Broad index passed another buoyant week as the pre-Eid rally continued with the index gaining 108.5 points,’ said

LankaBangla Finance in its daily market commentary.

Of the 334 companies and mutual funds traded, 178 advanced, 136 declined and 20 remained unchanged.

DS30, the blue chip index of the DSE, added 1.86 per cent, or 39.78 points, to close at 2,178.50 points over the week

after increasing by 27 points in the previous week.

The Shariah index of the bourse, DSES, added 1.95 per cent, or 25.77 points, to close at 1,347.86 points.

LankaBangla Finance led the turnover chart in the week with its shares worth Tk 169 crore changing hands.

National Bank, Fortune Shoes, IFIC Bank, Premier Bank, City Bank, Bangladesh Export Import Company, BBS

Cables, C&A Textiles, Square Pharmaceuticals were the others turnover leaders.

Social Islamic Bank gained the most during the week with a 28.24-per cent increase, while Samata Leather Complex

was the worst loser, shedding 15.30 per cent. Source: http://www.newagebd.net/article/23674/dhaka-stocks-soar-for-3rd-week

Multinationals to pass decision on offloading shares to parent companies

Ministry of Industries has asked multinational companies to place proposals to their parent firms to offload

their shares on September 5, 2017 Bigstock

Finance Minister AMA Muhith said at a meeting that the government was considering the possibility of

offloading 10% share of Unilever Bangladesh Limited

The Ministry of Industries (MOI) has asked multinational companies, including Unilever Bangladesh Ltd, to place

proposals to their parent firms to offload their shares, an inside source has confirmed.

The decision was taken at a meeting with representatives of multinational companies presided over by MOI Senior

Secretary, Md Mosharraf Hossain Bhuiyan.

In addition to Unilever Bangladesh, Sanofi Bangladesh Ltd and Novartis Pharma Ltd were also present.

The source said the ministry will inform all the stakeholders and arrange a high-level meeting for offloading the

shares, if the Financial Institutions Division takes an initiative regarding the move.

In the meeting, the representative of Unilever Bangladesh Ltd said the ministry’s proposal cannot be fulfilled unless

Unilever’s parent company in the United Kingdom allows it.

“The proposal needs to be approved by the parent company’s board,” he said. “We will give a written statement to the

ministry after our managing director gives his consent.”

The representative said Unilever Bangladesh does not need extra funds from the stock market due to its nature

operation in Bangladesh, and that it is also not possible to offload its shares in the stock market because there is a

shortage of existing paid-up capital.

The Novartis Pharma Limited representative expressed his company’s interest in offloading their shares but also said

they do not have enough paid-up capital. After issuing two right shares, Novartis’ paid-up capital stands at Tk11.75

crore.

“However, Novartis will place the proposal to offload shares as per the ministry instructions,” the representative said.

The representative from the Bangladesh arm of Sanofi, a French multinational pharmaceutical company, said the

Bangladesh government holds a total of 45% of their shares.

“We have no choice. We have to place the proposal in our next board meeting with the parent office,” he said.

No representative from Karnaphuli Fertiliser Limited, a company owned by a Japanese firm, attended the meeting so

its decision was not discussed.

Earlier, Finance Minister AMA Muhith said at a meeting that the government was considering the possibility of

offloading 10% of its shares in Unilever Bangladesh Limited.

“The government owns a 39.25% share of Unilever, but Unilever is not interested in offloading it in the local stock

market,” he said.

“Multinational companies, like Unilever, are also not interested to increase their share in the market, although they are

making huge profits here.”

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According to the banking division, the government currently also holds 45.32% of Sanofi Bangladesh Limited,

12.92% of Novartis Pharma Limited, 51% of Fisons (Bangladesh) Ltd, 12.92% of Organon Bangladesh Ltd, 0.64% of

British American Tobacco, and 43.88% of Karnaphuli Fertiliser Limited.

It also has 48% stake in Hoechst Bangladesh Ltd, 21.88% in Industrial Promotion Development Corporation (IPDC)

Finance Ltd, 20% in Mirpur Ceramics Works Ltd, and 3.79% in Reckitt Benckiser Bangladesh Ltd.

Source: http://www.dhakatribune.com/business/stock/2017/09/05/govt-multinational-companies-place-offload-share-

proposal-parent-firms/

NBR withdraws export tax for EPZ tobacco factories The National Board of Revenue has withdrawn export duty on tobacco products for the factories located at the

country’s export processing zones, sparking criticisms among the anti-tobacco campaigners.

The revenue board issued a statutory regulatory order on Monday withdrawing 25 per cent tax, which was imposed in

the budget for the current fiscal year 2017-2018, on export of tobacco products such as cigarettes, cigars, cheroots and

cigarillos, water pipe tobacco, homogenized or reconstituted tobacco and other tobacco products.

The exemption will come into force from July 1, 2017 with retrospective effect.

The tax was imposed to discourage the production, use and export of tobacco items considering its harmful impact on

human health in line with the government’s target to make the country tobacco free by 2040.

In addition, the government is also taking measures to control tobacco consumption and protect public health.

But the NBR exempted the tobacco companies operating in the export processing zones under the Bangladesh Export

Processing Zone Authority from paying the duty on export of the products within two months of imposing the duty.

Officials of the revenue board said that they took the decision in line with the BEPZA Act which says export by the

factories located at the EPZs will be tax free.

There are eight EPZs in the country.

Currently, only US-based Pace Tobacco Industries (BD) Limited is producing and exporting tobacco products from

the Mongla Export Processing Zone.

Multinational and local tobacco companies including British American Tobacco Bangladesh and some other trading

companies also export tobacco products mainly tobacco leaves and tobacco refuse from the country.

In FY 2010-2011, the NBR for the first time imposed 10 per cent duty on export of tobacco leaves, tobacco refuse and

unmanufactured tobacco.

According to the data of the Export Promotion Bureau, Bangladesh exported tobacco products worth $46.62 million in

FY 2016-2017. In FY 2015-2016, export earnings from the sector were $55 million.

The main export destinations of tobacco products are the United Arab Emirates, the United States, Italy, Armenia,

Azerbaijan, Belgium, Canada, Germany, Denmark, Spain, France, Russia, Netherlands, Pakistan, India and Poland.

Tobacco exports started in 2004.

Local manufacturers have been demanding withdrawal of export duty on tobacco products to explore the export

potential of the items.

ABM Zubair, executive director of Proggra, an anti-tobacco campaigner in the country, said that the NBR exempted

tobacco export tax for EPZ companies at the time when the government had been taking various steps to discourage

tobacco cultivation and consumption of tobacco products.

Export tax exemption for tobacco products will encourage tobacco cultivation in the country, which will go extremely

against the public health and food security, he said.

He also said that there should also be no such industries in the EPZs.

Source: http://www.newagebd.net/article/23537/nbr-withdraws-export-tax-for-epz-tobacco-factories

Govt’s revenue collection thru BTRC slumps to 6-yr low Government’s revenue collection through the Bangladesh Telecommunication Regulatory Commission hit a six-year

low in the fiscal year 2016-17 mainly due to a drastic fall in revenue earnings from international call segment.

BTRC’s revenue collection dropped by 10.79 per cent, or Tk 453.3 crore, to Tk 3,754.64 crore in FY17 against

Tk 4,207.94 crore in the previous fiscal year.

Although the BTRC received Tk 366.30 crore in fees from the merger of two mobile operators (Robi and Airtel) that

was not included in the regulator’s initial earnings target, the telecom regulator also missed its revenue earnings target

— Tk 4,060 crore — for FY17.

In FY16, the BTRC’s revenue declined to Tk 4,207.94 crore, while its original target was Tk 6,700 crore.

Earlier in FY15, the BTRC was given a target to collect Tk 13,660 crore in revenue, but the regulator’s revenue

collection slumped to Tk 4,219.19 crore as it could not arrange spectrum auction.

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In FY14, revenue collection by the telecom regulator jumped to record high at Tk 10,085.35 crore mainly due to 3G

spectrum auction and 2G licence renewal fees submission by the telecom operators.

Senior BTRC officials, however, expect that in FY18 the commission’s collection might increase much higher and

might hit the record high as the government would award 4G licences and would arrange spectrum auction within few

months.

Awarding licences for mobile number portability and tower sharing services would also give some boost to the BTRC

revenue collection during the ongoing fiscal year.

The BTRC collects annual spectrum charges, licence fees, later fees, and fines from the telecom operators, downlink

charge of television channels and different charges from service providers.

The regulator’s main chunk of revenue, however, comes from revenue sharing from mobile operators and international

gateway operators.

As per the BTRC’s annual report for FY17, the BTRC collected Tk 2,455.08 crore as revenue sharing against

Tk 3,361.45 crore collected in 2015-16 fiscal year.

The telecom watchdog gets 5.5 per cent of the mobile operators’ gross revenue and 40 per cent of the IGWs’ earnings

that come from incoming international calls.

The commission’s revenue dropped by few hundred crores taka only in international call termination segment in a

year, said a top official of the commission.

At present, the BTRC has also about Tk 1,100 crore outstanding with different gateway operators as well and some of

them are backed by ruling party leaders.

Licence fee collections also declined by about Tk 120 crore to Tk 156.51 crore in FY17.

The regulator, however, got a huge boost in spectrum charge segment by receiving Tk 901.20 crore in last fiscal year

against its receipt of Tk 412 crore in the previous fiscal year.

Of the total collection, BTRC’s expenses were Tk 62.64 crore for administrative purposes and the rest of the money

has already been deposited to the national exchequer.

The regulator has a huge amount of fund outstanding in the market, but it cannot collect the sum as the operators are

government-owned or politically-backed.

State-run mobile operator Teletalk owes huge amount of money for 3G spectrum charges. It paid only Tk 60 crore for

3G licence although the total fee was Tk 1,627 crore.

Another state-owned telecom company, Bangladesh Telecommunications Company Limited, owes the BTRC

Tk 1,600 crore, he added.

The regulator also cannot collect around one hundred crore taka outstanding from the private land phone operators,

although most of them have been out of service in last few years.

Source: http://www.newagebd.net/article/23536/govts-revenue-collection-thru-btrc-slumps-to-6-yr-low

BTRC issues guidelines, setting licence fee at Tk 50 lakh The Bangladesh Telecommunication Regulatory Commission has issued guidelines on local manufacturing and

assembling of mobile handsets, setting Tk 50 lakh as manufacturing and assembling enlistment certificate fee for the

local enterprises.

The commission issued the guidelines on September 7 in line with the government’s budgetary incentives to patronise

the sector.

The guidelines were published on the BTRC’s web site on the day.

As per the guidelines, the telecom regulator will introduce two types of enlistment certificate for assembling and

manufacturing mobile handsets locally.

The types are: category ‘A’ and category ‘B’ enlistment certificates.

Fee for getting the ‘A’ category enlistment certificate will be Tk 50 lakh with 15 per cent value-added tax on top of it

and the renewal fee will be Tk 10 lakh with additional 15 per cent VAT.

On the other hand, the ‘B’ category certificate fee will be Tk 25 lakh with an additional 15 per cent VAT and the

renewal fee Tk 5 lakh with additional 15 per cent VAT.

The certificate for both the categories will be issued for three years initially.

The rising import of mobile handsets has prompted the telecom regulator to take the move, BTRC officials said.

Currently, the BTRC-listed mobile handset importers, also known as vendors, have to take approval from the telecom

regulator for importing any mobile devices including handsets.

Mobile importers bring in about three crore mobile handsets in the country in a year through legal channel to meet a

growing demand for the handsets from the country’s 13 crore mobile phone users.

Besides, another 50 lakh mobile phones enter in the country annually through illegal channel.

According to the data, the country spends around Tk 8,000 crore or equivalent foreign currency annually to import the

devices.

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Considering the fact, the government in the budget for the fiscal year 2017-18 reduced import duty on equipment for

mobile assembling and manufacturing of handsets to 1-10 per cent from 37.07 per cent.

The telecom regulator also thinks that local assembling and manufacturing of mobile handsets would save huge

amount of foreign currency and allow users to get handsets at lower prices.

As per the guidelines, a manufacturing unit will have to have its own testing lab for checking quality of the handsets to

be manufactured or assembled in its factory to get the category ‘A’ enlistment certificate.

Before giving a final ‘A’ category enlistment certificate, an entity will be issued a provisional certificate based on its

commitment to set up testing lab. The final certificate would be given based on a BTRC inspection in this regard.

A manufacturing unit will not require having its own testing lab for getting the category ‘B’ enlistment certificate. The

‘B’ category enlistment certificate-holders, however, will have to have contract with an ‘A’ category enlistment

certificate-holder for checking quality of the mobile handsets to be manufactured by the entities.

The ‘B’ category mobile handset manufacturers will get ‘A’ category certificate once they install their own testing

labs. Until a testing lab is installed, a local manufacturer will have to check technical quality of at least 5 per cent of its

handsets by an internationally-certified entity.

Local mobile handset manufactures will be liable for managing e-wastage.

Source: http://www.newagebd.net/article/23606/btrc-issues-guidelines-setting-licence-fee-at-tk-50-lakh

Jica offers low-cost funds to businesses Local as well as foreign entrepreneurs can get low-cost credit from the Japan International Cooperation Agency (Jica)

in a scheme of the Bangladesh Bank designed to boost foreign direct investment in the country.

The central bank has already formed a fund worth about Tk 457 crore, which is equivalent to 7,033 million yen, for

this purpose and invited all banks last week to participate in the programme.

Entrepreneurs can take loans for a maximum of 10 years from the fund at 7 to 10 percent interest, according to BB

officials.

Only manufacturing firms are eligible for loans from the fund and they stand to get loans worth between Tk 1 crore

and Tk 50 crore.

If the factory is located in an economic zone, the nationality of the owner is irrelevant in getting the loan, meaning

both Bangladeshi and Japanese investors can get credit from the fund, according to Jica guideline.

If any Bangladeshi or foreign entrepreneur sets up a joint venture with a Japanese firm outside of the economic zones

they would be eligible for the loan as well.

Also, if any Japanese investor sets up factories outside of an economic zone they would qualify for the loan.

As per another eligibility criterion, Bangladeshi companies outside of the economic zones but with substantial amount

of deals with Japanese firms will qualify for the credit.

However, the value of the deals with Japanese firms is expected to exceed $1 million within one year of applying for

the loan. Bangladeshi firms having business contract with Japanese-invested companies in the country such as sub-

contract, supply contract, service contract and so on are included in the category. The recommended industrial sectors

are: electrical and electronics, light engineering, leather, food processing, pharmaceuticals and ICT.

In getting the credit, the entrepreneurs would furnish 30 percent of the total cost for setting up the proposed industrial

unit. Credit can be taken for machinery, equipment, factory building, related civil works, and working capital.

The loan will be of three categories. The one-year short term loan will have to be paid back within one year of

disbursement. The medium-term loan of not less than two years and up to five years is repayable in five years

including a one-year grace period.

The long-term loan of more than five years and up to 10 years is repayable in 10 years with a grace period of two

years. The repayment will be quarterly in equal instalments.

About the rate of interest on the loan, the guideline said the banks cannot charge more than the lending interest rate

plus 5 percent. A central bank official said the rate of interest the borrower will pay would be fixed through

discussions with the finance ministry within one week.

However, the official said it may be 7-10 percent. He said the banks will be selected following the Jica guideline. Source: http://www.thedailystar.net/business/jica-offers-low-cost-funds-businesses-1459966

B’desh faces 23pc food production loss for environmental reasons If Bangladesh fails to maintain environmental flow requirements in river ecosystems, it will face a food production

loss of up to 23 per cent in the future, says an international study.

It highlights that India, Bangladesh, Uzbekistan, Afghanistan, Italy and Greece, among others, would face a food

production decline of 15-23 per cent for lack of water flow in rivers.

Safeguarding river ecosystems is a precondition to attainment of the UN Sustainable Development Goals related to

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water and the environment, while rigid implementation of such policies may hamper achievement of food security,

says the study published recently in a peer reviewed journal - Nature Communications.

River ecosystems provide life-supporting functions that depend on maintaining environmental flow requirements).

And the current food production thus heavily relies on water that would actually be needed to sustain riverine

ecosystems.

The study tilted, ‘Reconciling irrigated food production with environmental flows for Sustainable Development Goals

implementation’ indicates that 41 per cent of current global irrigation water use (997 km3 per year) occurs at the

expense of EFRs.

‘If these volumes were to be reallocated to the ecosystems, half of globally irrigated cropland would face production

losses of about 10 per cent, with losses of 20-30 per cent of total country production especially in the Central and

South Asia, including Bangladesh,’ the study says.

The researchers of the study lay out the regions and the degree to which EFRs are currently undermined to sustain the

human water demand, which is the case especially in Central and South Asia, the North China plain, the Middle East,

the Mediterranean region and North America.

However, the study shows that the improvement of irrigation practices can widely compensate for such losses on a

sustainable basis. Integration with rainwater management can even achieve a 10 per cent global net gain. Such

management interventions are highlighted to act as a pivotal target in supporting the implementation of the ambitious

and seemingly conflicting SDG agenda.

It predicts: ‘Gains are naturally marginal in countries operating highly efficient systems already, but major gains are

possible in countries with presently predominately large-scale surface irrigation systems and unlined conveyance

canals such as Pakistan, Afghanistan, Uzbekistan and Bangladesh.’

The study finds alarming violations of EFRs along many rivers such as the Indus River, the Amu Darya, Euphrates,

Yellow River, Ganges (known as Padma in Bangladesh), Murray and Rio Grande.

Global irrigated kcal production would be subjected to a 13.9 per cent loss, corresponding to a 4.6 per cent loss of

total production.

This number is significant, given that irrigation water sustains only 15 per cent of total global kcal production,

illustrating that maintaining EFRs will impinge on about a third of the current overall contribution to agricultural

production made by irrigation - in the absence of water management improvements, according to the study.

Freshwater is a finite resource, which is over-exploited around the world, and aquatic ecosystems are rapidly

degrading in many regions.

Restoration of currently compromised river ecosystems through securing environmental flow requirements - that is,

the daily river flow needed to maintain aquatic ecosystem services and the human livelihoods that rely on them -

would entail a substantial reduction in water availability for irrigated food production.

Source: http://www.newagebd.net/article/23607/bdesh-faces-23pc-food-production-loss-for-environmental-reasons

Prices of vegetables increase The prices of vegetables increased in the city’s kitchen markets over the week mainly due to the Eid-centric supply

shortage and the recent floods that damaged farms across the country.

Traders said that everyone remained busy with their beloved ones to celebrate Eid-ul-Azha at village area that caused

shortage of vegetables supply in the city.

Moreover, the recent floods and downpour still kept the stain of disaster at farmland as several parts of the country

went under flood water.

The prices of most of the vegetables increased by Tk 5-10 a kg and the items were selling at between Tk 60 and Tk 90

a kg.

Aubergine was selling at Tk 60-80 a kg, bitter gourds at Tk 70-90 a kg, bottle gourd at Tk 60 a piece, okra at Tk 80 a

kg, papaya at Tk 45 a kg and tomato at Tk 150-160 a kg.

The prices of cucumber was selling at Tk 60-80 a kg, carrot at Tk 50-70 and pointed guard at Tk 55-60.

The price of green chilli however, declined from its higher position and the item was sold Tk 90-Tk 120 a kg from Tk

200 in the previous week.

Potato was selling at Tk 20-30 a kg over the week.

The prices of onion dropped by Tk 5 a kg and its local variety was retailing at Tk 45-50 a kg, while the imported

variety was selling at Tk 40-45 a kg ending on Friday.

The prices of garlic remained unchanged and the local item was selling at Tk 90-100 a kg, while garlic imported from

China was retailing at Tk 120 a kg on Friday.

Garlic imported from India was selling at Tk 100-110 a kg on the day.

The prices of rice remained high in the city markets over the week.

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The coarse variety of rice was selling at Tk 45-48 a kg while BR-28 rice was retailing at Tk 50-52 a kg in the city

markets on Friday.

The coarse variety of Miniket rice was retailing at Tk 55 a kg, while its fine variety was selling at Tk 58-60 a kg.

The price of egg also remained unchanged and the item was selling at Tk 32-36 a hali in the city markets over the

week.

The prices of fish remained unchanged over the week.

Rohita was selling at Tk 230-350 a kg, Katla at Tk 220-350 a kg, Pangas at Tk 120-260 a kg and Tilapia at Tk 120-

160 a kg, depending on size and quality.

Beef was selling at Tk 500-520 a kg while mutton was selling at Tk 750-800 a kg in the city markets.

The price of broiler chicken remained same and the item was selling at Tk 150-160 a kg in the city over the week.

The price of locally-bred hens remained unchanged and the item was selling at Tk 300-350 a kg on Friday.

A one-litre container of soya bean oil was selling at Tk 105-107, while a five-litre container at Tk 505-525 in the

city’s kitchen markets on Friday.

Unpacked soya bean oil was selling at Tk 98 a kg, while palm oil was selling at Tk 85 a kg.

Fine quality packet salt was selling at Tk 40 a kg, while the refined one was retailing at Tk 28 a kg in the city markets.

The price of sugar remained unchanged and the item was selling at Tk 60-70 a kg in most of the city markets.

The price of red lentil remained unchanged over the week. The local variety of red lentil was selling at Tk 130-140 a

kg. The fine variety of imported red lentil was also selling at Tk 130-140 a kg.

The coarse variety of imported red lentil was retailing at Tk 80-100 a kg over the week.

The price of ginger remained unchanged and the item was retailing at Tk 100-140 a kg.

Source: http://www.newagebd.net/article/23604/prices-of-vegetables-increase

Illegal handset imports cost Bangladesh Tk 800cr a year Bangladesh is losing Tk 800 crore in lost revenues every year because of illegal imports of mobile phones, said

Muyeedur Rahman, head of mobile at Samsung Mobile Bangladesh.

"One in every four Samsung branded cellphone in Bangladesh is brought in through illegal channels."

Last year, the company imported about 20 lakh handsets, including 15 lakh smart devices, at Tk 1,897 crore,

according to Bangladesh Mobile Phone Importers Association.

The country imported 3.12 crore mobile phones last year, up 11 percent over the previous year, at Tk 8,000 crore, the

association's data showed.

About 50 lakh pieces of mobile handsets are brought in to the country through illegal channels a year, according to a

recent report of Bangladesh Telecommunication Regulatory Commission (BTRC).

The BTRC has recently taken an initiative to stop illegal imports by launching a database of the National Equipment

Identity Register to store information of all legally-imported devices.

Rahman lauded the regulator's efforts to crack down on illegal imports. “This will encourage legal imports and

customers will avail the maximum benefit of an original device,” Rahman told The Daily Star in an interview recently.

Samsung also faces challenges from low-cost and hazardous parallel imports carried out by travellers, he said.

“This has continued to deepen customers' sufferings as they can't avail after-sale services for such devices from our

service points. This has been denting Samsung's reputation in terms of quality and safety.”

The establishment of assembly plant in Bangladesh would discourage illegal imports and encourage customers to buy

original devices and make products more affordable, Rahman said.

However, high investment and business feasibility are some of the key factors that need to be taken into account

before setting up an assembly plant, he said.

In July, the government cut custom duties for mobile parts and increased tax for imported finished mobile sets to

encourage local assembly.

Rahman, however, declined to say whether Samsung would set up any assembly plant in Bangladesh. “We are unable

to disclose this information at the moment.”

Bangladesh is recognised as the ninth-largest handset market in the world and Rahman said it would soon move up to

the seventh position.

He said the country is moving towards digitalisation and smartphones are one of the main vehicles to connect the local

people with the digital world.

“However, Bangladesh's smartphone penetration, now at 27 percent, is quite low compared to other developing

countries.”

He blamed the low penetration on the existing tax structure. He stated the increase of duty on handset imports from 5

percent to 10 percent for 2017-18 as a case in point.

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The price of smartphones has increased with the double amount of duty in place, he said.

It might impact our business growth and could slow down the pace of reaching the mass users.”

According to Samsung, the number of mobile phone users would grow significantly in Bangladesh by 2020.

Internet usage through mobile phone is also expected to grow, and the prospect of 4G rollout, favourable government

policy and greater 3G internet penetration have created demand for smartphones, said Rahman.

“The rise in demand for smart devices will reach extraordinary heights in line with the fast changing lifestyle of the

people.”

Samsung Mobile has been doing business in Bangladesh for the last seven years and has already become a top brand

in the country.

“It's a sheer pride for the brand to see Samsung growing. We have grown at faster rate than the overall growth of the

handset industry. We are committed to continuing our growth journey.”

He said the company sees a huge growth potential in Bangladesh in the coming days, and in order to cement its pole

position, it always localises campaigns and products to enrich the taste of the customers.

Samsung has recently launched pre-orders for its new “Galaxy Note 8” in Bangladesh, and Rahman said it would be

the best in class premium device in its segment for 2017 and might surpass all previous records.

“I believe, like previous products, this innovation is going to create history in Bangladesh.” Source: http://www.thedailystar.net/business/illegal-handset-imports-cost-bangladesh-tk-800cr-year-1459975

International News

China boosting Southeast Asian economies

Southeast Asia appears to be on a roll. The Philippines is boasting the second-fastest growing economy in Asia,

Malaysia has posted its best growth figures in more than two years and Thailand in more than four.

The growth is being fuelled by China, whose expanding economic presence is propping up fundamental weaknesses

around Southeast Asia. It also underlines China's dominance in a region that will be under increasing pressure to

follow Beijing's lead.

Even as the rest of the world feels the pinch of Beijing's clampdown on outbound capital, China is ploughing money

into Southeast Asia – much of it into infrastructure projects related to President Xi Jinping's signature Belt and Road

initiative. Chinese tourists are also flocking to beaches, temples and shopping malls around the region. And trade is

surging.

Exports to China from Indonesia and Malaysia grew more than 40 percent in the first half of the year; from Thailand

and Singapore it was almost 30 percent, and more than 20 percent from the Philippines, according to Reuters

calculations. China has been investing heavily in infrastructure and property in the region and buying commodities

such as rice, palm oil, rubber and coal. It is also buying electronic components and equipment from countries like

Malaysia, Thailand and Singapore.

Going the other way is everything from cheap T-shirts to high-end telecommunications systems.

Welcome as all this economic activity is to the region, it could also present political problems, as countries confront

China over issues such as its claims in the South China Sea, as both Vietnam and the Philippines have found.

And it raises the risk that China could apply economic pressure to get its way.

"The large rise in Asean's exports to China has increased potential vulnerabilities to geopolitical risks," said Rajiv

Biswas, Asia Pacific chief economist for IHS Markit.

For a glimpse of how that feels, Southeast Asian countries could look at South Korea's experience.

The deployment in South Korea of a US anti-missile defence system that China opposed resulted in a sharp decline in

Chinese tourists. South Korean companies doing business in China, like Lotte Group and Hyundai have also been hit

in the diplomatic fallout.

"The South Korea example is a highlight of how the geopolitical vulnerability to China can increase as the bilateral

economic relationship expands," Biswas said.

The Philippines found itself subject to a Chinese ban on its fruit in 2012 after challenging China's maritime claims.

The ban was only lifted last year as President Rodrigo Duterte adopted a friendlier stance towards Beijing.

"Any sector that you have with a big exposure - tourism inbound like Thailand, bananas outbound like the Philippines,

coal from Indonesia - is vulnerable," said Dane Chamorro, senior partner and head of South East Asia at Control

Risks, a global risk consultancy. "You can imagine how that would be pretty easy for China to stop or hinder."

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Leaders of Malaysia's ruling party last year voiced concerns after Prime Minister Najib Razak secured deals worth $34

billion on a trip to Beijing, saying it opened the door for a more direct Chinese influence on Malaysia's affairs, besides

saddling the country with billions of dollars in debt.

A planned $5.5 billion rail link through Thailand to southern China also hit resistance, with Thai critics targeting what

they said were Beijing's excessive demands and unfavourable financing. However, Thailand's cabinet in July approved

construction of the first phase of the project. There has also been popular opposition to such deals around the region,

raising the stakes for leaders.

In Myanmar, a $10 billion Chinese oil pipeline linked to the Belt and Road project sparked angry protests in May.

Three years ago, the deployment of a Chinese oil rig in disputed waters in the South China Sea triggered anti-Chinese

riots in Vietnam.

"The next level from here is you can see more social outcry," said Sanchita Basu Das, lead researcher for economic

affairs at the Asean Studies Centre at ISEAS-Yusof Ishak Institute in Singapore.

"These are the checks and balances for some of these countries, especially those where leaders are elected for a

specific number of years," she said. "China will be mindful of that as well."

The growing economic dependence on China is another concern for countries in the region with underlying

vulnerabilities.

Consumption growth has been lagging in countries like Indonesia and Philippines, which are dependent on domestic

demand, even as they posted growth figures of 5 percent and 6.5 percent in the second quarter. And investment from

sources other than China is slowing, as are portfolio inflows.

Indonesia, which has been lagging its regional peers, cut interest rates last month. In Thailand, where the economy

grew 3.7 percent in the second quarter, the baht has been surging in recent months, putting pressure on exporters,

while the Philippine peso has been weakening on concerns over the country's shrinking current account surplus.

If there was a downturn in China, it could have serious ripple effects in export-reliant countries like Thailand and

Malaysia. Malaysia grew 5.8 percent in April-June. "Southeast Asian countries are becoming more dependent on

China," said Jean-Charles Sambor, deputy head of EM fixed income, BNP Paribas Asset Management. An event like a

sharp slowdown in China could have "a very significant spillover," he said, citing exports, financing and investment.

For the moment, the Chinese economy remains strong and it appears that Southeast Asia is weathering a crackdown

by Beijing on overseas acquisitions.

Data from China's Ministry of Commerce shows outbound direct investment globally nearly halved in the first half of

the year. But data from the American Enterprise Institute shows Chinese investments and construction contracts of

$13.46 billion in the period, almost unchanged from a year earlier.

The initial stages of a rail line on Malaysia's east coast, in which China Communications Construction Company has

already invested $2 billion, according to the data, is one of the most high-profile investments.

Other investments, many of which are tied to the Belt and Road initiative, include energy projects in Laos, Cambodia

and Philippines, another large railway investment in Indonesia and real estate purchases across the region.

This week, Thailand signed contracts worth 5.2 billion baht ($157 million) with Chinese state enterprises for a high-

speed rail project with China.

"Notwithstanding the recent introduction of restrictions on outbound investment, Chinese investment in Southeast

Asia is likely to remain strong over the coming years," said Stephen Smith, lead partner at Deloitte Access Economics.

“Chinese authorities appear to remain strongly committed to investment in projects tied to the Belt and Road

Initiative."

Source: http://www.thedailystar.net/business/china-boosting-southeast-asian-economies-1459972

Rohingya issue: India refuses to be part of global declaration against Myanmar In yet another show of solidarity with Myanmar, India has refused to be a part of a declaration adopted at an

international parliamentary forum conference in Indonesia as it carried "inappropriate" reference to violence

in Rakhine state from where 1,64,000 Rohingyas have fled to Bangladesh. An Indian parliamentary delegation, led by Speaker Lok Sabha Sumitra Mahajan, distanced itself from the Bali

Declaration adopted at the “World Parliamentary Forum on Sustainable Development” held in Nusa Dua, Indonesia.

"This was in view of the fact that the declaration, which was to be adopted at the conclusion of the Forum, was not in

line with the agreed global principles of “sustainable development," a press statement issued by the Lok Sabha (Lower

House of Parliament) Secretariat on Thursday night said.

India reiterated its stance that the purpose of convening the parliamentary forum was to arrive at mutual consensus for

implementation of Sustainable Development Goals which requires inclusive and broad-based development processes,

it said.

"Therefore, the proposed reference to the violence in Rakhine state in the declaration was considered as not

consensus-based and inappropriate," the statement said.

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The part of the declaration to which India objected spoke of the forum expressing "deep concern on ongoing violence

in the Rakhine state of Myanmar, amongst others..."

The conference declaration went on to "call on all parties to contribute to the restoration of stability and security,

exercise maximum self-restraint from using violent means, respect the human rights of all people in Rakhine state

regardless of their faith and ethnicity, as well as facilitate and guarantee safe access for humanitarian assistance."

The Lok Sabha statement said “the country-specific amendment to the draft declaration was proposed at the eleventh

hour by selective countries which referred to the violence in Rakhine state of Myanmar.

"India argued that specifying a particular country is unjustified as this forum is focused on Sustainable Development

Goals and inclusive development for all countries based on cooperative and collaborative approach to achieve the

2030 Agenda for the world," according to the statement.

“Never before country-specific issues have been included in the declaration as these dilute the objective of these

Forums which require unity and focused efforts of all the countries," the Lok Sabha Secretariat statement said.

The Indian delegation took the stance on a day Prime Minister Narendra Modi wrapped up his maiden three-day

bilateral visit to Myanmar where he backed the government of that country in the face of extremist violence in

Rakhine state.

Modi had, during a joint appearance before the media with Myanmar’s State Counsellor Aung San Suu Kyi, had urged

all stakeholders to find a solution that respects the country’s unity.

Source: http://www.thedailystar.net/world/south-asia/rohingya-refugee-crisis-india-refuses-be-part-global-

declaration-against-myanmar-1459273

Unemployment in Canada drops to 9-year low Canada's unemployment fell to its lowest rate in nine years last month, Statistics Canada said Friday.

The unemployment rate dropped 0.1 percentage point to 6.2 per cent as the economy added 22,000 jobs in August,

primarily in finance, insurance and real estate, and among workers aged 55 and over.

But the increase relates exclusively to part-time work -- with the 110,000 increase in people working part-time offset

by a decline of 88,000 full-time workers compared to July.

Employment fell in well-paid sectors including manufacturing and natural resources.

The overall rise however exceeded the expectations of economists, who forecast the creation of just 15,000 jobs and a

stable 6.3 per cent unemployment rate.

Source: http://www.theindependentbd.com/post/113328

‘EU to seek Google tax reform’

EU finance ministers are set to discuss changing rules so that tech giants such as Google or Facebook are on the hook

to pay more taxes in Europe, according to an EU document seen by AFP on Friday.

European regulators have become increasingly aggressive against US technology giants seen by officials as gaining too

much power, with Amazon and Apple also facing scrutiny.

“It is urgent to close the gap in international tax rules in order to ensure the fair taxation of profits from businesses in

the digitalised economy,” said an EU document seen by AFP, prepared for a meeting of finance ministers in Estonia on

September 15.

The paper was drawn up by the government of Estonia, which currently holds the EU’s six-month rotating presidency

and sees itself as a digital leader in Europe.

The document deplores the current situation in Europe in which taxing rights are held by EU nations with the “physical

presence” of multinationals.

Source: http://www.theindependentbd.com/post/113329