Macro News

Green banking activities see significant progress

http://www.thefinancialexpressbd.com/2014/09/04/54261
The green banking activities of banks and FIs in J une, 2014 quarter witnessed significant progress. "The
increasing trend of investment and expenditure in various green banking activities of banks and FIs shows
optimistic potential of expansion of green banking activities in Bangladesh," the Quarterly Review Report
on Green Banking Activities of Banks and Financial Institutions upto J une, 2014 said. According to the
report, all 47 banks (scheduled before 2013) have their own Green Banking Policy Guidelines approved by
their Board of Directors/Competent authority and have Green Banking Unit (GBU) for pursuing Green
Banking activities. They also have their own Green Office Guide for conducting their in-house green
activities.


Green Banking and CSR Department of Bangladesh Bank released the report Tuesday.



"BB anticipates the more rigorous and effective performance in mainstreaming green banking activities,"
the report commented.


Out of 9 new banks, 2 have formulated their own Green Banking Policy Guidelines and 2 have formed
Green Banking Unit (GBU) till the reporting quarter. 4 new banks have prepared their own Green Office
Guide.

Out of 31 FIs, 22 have formulated their own Green Banking Policy Guidelines approved by their Board of
Directors and 23 FIs have formed Green Banking Unit (GBU) till the reporting quarter.

22 FIs have prepared own Green Office Guide for conducting their in-house green activities.

Out of Tk. 243,499.85 million for green banking activities, 47 banks (scheduled before 2013) have allocated
Tk. 241,672.46 million for green finance, Tk. 1,124.58 million for climate risk fund and Tk. 702.81 million
for Marketing Training and Capacity Building. This allocation has been made on annual basis.

A total of 38 banks have utilized Tk. 112,705.33 million in the reporting quarter for green banking activities.

Out of which, Tk. 112,570.85 million for green finance, Tk. 102.49 million for climate risk fund and Tk.
31.99 million have been utilized.

No new banks has allocated and utilized fund for green banking in the reporting quarter.

The quarterly shift from March 2014 to J une 2014 evidences significant rise in respect of utilization of fund.

Out of Tk. 11,771.89 million for green banking activities, FIs have allocated Tk. 11,625.36 million for green
finance, Tk. 129.71 million for climate risk fund and Tk. 16.82 million for Marketing Training and Capacity
Building.

A total of 9 FIs have utilized Tk. 5,038.80 million in the reporting quarter for green banking activities. Out
of which, Tk. 4,938.42 million for green finance, Tk. 100.00 million for climate risk fund and Tk. 0.38 million
have been utilized.

A total of 45 banks (out of 47 banks scheduled before 2013) have conducted environmental risk rating in
the reporting quarter. According to that, number of Projects applicable for Environmental Due Diligence
(EDD) rating in this quarter is 11,349.

According to the report, a total of 41 banks (out of 47 banks scheduled before 2013) have exposure in
green finance, either direct or indirect mode. Total amount invested as green finance has been Tk.
112,570.85 million as of J une 2014.

A total of 46 banks (out of 47 banks scheduled before 2013) have at least one online branch and 30 banks
have introduced internet banking facility up to J une 2014. Progress has been observed in the expansion of
online branches since the previous quarter. Moreover, internet banking and SMS/mobile banking facility
have been increased notably over the preceding quarter.

A total of 38 (out of 47 banks scheduled before 2013) banks have arranged 166 training programmes
concerning green banking where total number of participants was 9,738.32 banks and 6 FIs have initiated
Green Marketing and 9 banks and 3 FIs have arranged Green Events in this quarter.

Upto J une 2014, 39 banks and 8 FIs have pursued disclosure on green banking in their annual report, 36
banks and 8 FIs have put green banking disclosure in their website. 20 banks and 5 FIs have disclosed
their green banking activities in the media and 4 banks and 1 FIs have prepared.

Commenting on the BB report, Md. Touhidul Alam Khan, Deputy Managing Director of Modhumoti Bank
Limited said, commercial banks are now acting as an environmentally responsible bank under prudential
guidelines of Bangladesh Bank.

"Banks hold a unique position in an economic system that can affect production, business and other
economic activities through their financing activities," Md. Touhidul Alam Khan, the first and only Certified
Sustainability Reporting Assurer (CSRA) in Bangladesh opined.

He said as per Green Banking Policy issued by Bangladesh Bank in February 2011, the banks are
implementing the green banking activities under three phases along with preparation of Sustainability
Report under globally accepted GRI (Global Reporting Initiative) method.

"It is matter of proud that other countries are now following Green Banking Model of Bangladesh," the
Modhumoti Bank DMD said.

He also added, "As a new bank, Modhumoti Bank has already taken various green banking initiatives at
first out of new nine banks by preparing Green Banking Policy, Green Office Guide, arranging workshop
and establishment of separate Green Banking Unit. Besides, the Bank celebrated month-long green banking
campaign in the month of J une this year, which started by celebrating World Environment Day.

"Modhumoti Bank has already planned to invest under green finance this year in some innovative projects
accommodating re-finance scheme of Bangladesh Bank," Mr Touhidul Alam Khan added.

VF, IFC team up to provide $10m for apparel sector
http://www.thefinancialexpress-bd.com/2014/09/04/54239
The VF Corporation, an American apparel giant, teamed up with International Finance Corporation (IFC)
Wednesday to provide US$10 million for financing fire and building safety improvements in the readymade
garment (RMG) sector of Bangladesh. These funds are part of VF's overall $17 million commitment to the
health and safety of Bangladeshi garment workers, a statement issued by the company said.


With this financial commitment, VF is providing a corporate guarantee for IFC remediation loans to VF
suppliers, it said adding the programme will enable the IFC to award loans at a reasonable cost to qualified
suppliers who own factories in Bangladesh that produce VF products, helping to accelerate the
implementation of needed fire and building safety improvements.

"The safety of the people making our products around the world is an imperative," Eric Wiseman, chairman,
president and CEO of VF said adding: "Our program with IFC helps to ensure that our suppliers have access
to the necessary capital to complete safety improvement plans."

Qualifying suppliers will have undergone structural, electrical and fire safety assessments under the protocol
outlined by the Alliance for Bangladesh Worker Safety, of which VF is a member.

"The funding will be used to implement corrective action plans derived from these assessments," the
statement added.

Individual loans granted to suppliers are expected to range from $100,000 to $1.0 million and must address
one of three applicable performance standards: assessment and management of environmental and social
risks and impacts; labour and working conditions; or, resource efficiency and pollution prevention.

"Employment in the apparel industry has reduced poverty for millions of women in Bangladesh," said Serge
Devieux, IFC Director for South Asia.

"This financing model, which we think could work well for other buyers and suppliers, will help Bangladesh's
suppliers improve work conditions and strengthen the country's ability to attract garment manufacturers."

With the support of IFC, this program provides an innovative solution to facilitate indirect financing support
from VF to help improve supplier factory safety. IFC will utilise its in-house expertise on environmental and
social standards to support the effort.

State banks' stressed assets: cause for concern
http://www.thedailystar.net/business/state-banks-stressed-assets-cause-for-concern-40071
Rising stressed assets and a couple of big financial scams in state banks have been a cause for concern for
the banking industry, Bangladesh Bank said in a report yesterday. Stressed assets, which include gross
non-performing assets and restructured advances, stood at 13.5 percent of total loans at the end of
December 2013, compared with 13.7 percent a year ago.


About a third (Tk 20,360 crore) of stressed assets are held by five state banks out of the 56 banks in
Bangladesh, according to the Financial Stability Report 2013.
Nearly half (48.2 percent) of stressed assets in the sector are with 10 banks: six state banks, two local
private banks and two foreign lenders.
Stressed assets can have adverse effects on banks' balance sheets and profitability. Consequently, it is a
major concern for the regulatory authority as well, the BB said in the report launched at its office.
Atiur Rahman, governor of Bangladesh Bank, unveiled the report along with his deputies and the chief
executives of banks and non-bank financial institutions.
The BB report attributed the increase in stressed assets in some banks to a lack of efficiency and
transparency in the credit approval process, credit administration, credit monitoring and recovery.
Poor selection of borrowers, politically motivated lending and negligence in risk management practices are
some other reasons the central bank identified for the rise in stressed assets.
The threat of increasing stressed assets may push the banks to put more money in place to meet additional
loan-loss provision, according to the report. It said most of the banks maintain only required provisions,
which may not be enough in the long run to mitigate the threat of increasing stressed assets in different
segments.
SK Sur Chowdhury, deputy governor of Bangladesh Bank, said three-fourths of total classified loans are
bad loans.
A further increase in bad loans will negatively affect the banking industry.
Quoting from the report, Chowdhury said financial scams at the state-owned banks in the last few years
may affect stability further. Rahman warned the CEOs of banks and other financial institutions on poor
governance.
We will not tolerate any loose governance and misreporting, said Rahman. The BB is equipped with
modern technology to detect the day-to-day works of banks and non-banks.
Glenn Tasky, banking supervision adviser for the central bank, said lending too much to the same type of
borrowers and against similar collateral is a risk to Bangladesh's banking sector.
Helal Ahmed Chowdhury, vice chairman of Association of Bankers Bangladesh and CEO of Pubali Bank, said
a rising number of nonperforming loans is a big challenge.
The report, the fourth of its kind, identified stringent loan classification and provisioning, constraint on loan
rescheduling, ample liquidity, and automation of payment and settlement system, financial inclusion and
satisfactory reserve contributed to bring stability in the financial sector.

Contract pharma makers to see 10pc advance tax
http://www.thedailystar.net/business/contract-pharma-makers-to-see-10pc-advance-tax-40072
Drug makers engaged in contract manufacturing will have to pay 10 percent advance taxes on the service
or toll charge, the National Board of Revenue said. The revenue authority said making medicine for others
firms under contract manufacturing (CM) will be treated as a service and advance taxes would have to be
paid on the service charge.


Pharmaceutical companies, for whom the CM operators will make drugs, will have to deduct the tax during
bill payment, said NBR in a letter sent to a field office early this week.
About 30 companies are engaged in contract manufacturing and will be able to adjust the advance tax with
the total income tax payable for a year.
The NBR issued the letter after one of its field offices, Tax Zone-8, sought clarification on the rate of tax
for CM in the pharma sector. The field office also wanted to know whether the tax paid on services for CM
would be treated as final settlement or not.
The rate of tax for CM is ambiguous, which gives a scope for tax evasion, said a senior official of NBR,
seeking anonymity.
Taxmen said field offices usually collected 5 percent source tax for a lack of clarity on CM.

Dull investment takes toll on GDP growth
http://www.thedailystar.net/business/dull-investment-takes-toll-on-gdp-growth-40073
The country may not be able to achieve 7 percent average economic growth in the final two years of the
Sixth Five Year Plan due to sluggish investment, a government review report said yesterday. Real GDP
growth was 6.7 percent in fiscal 2011, the first year of the plan, meeting the target. It was followed by 6.3
percent and 6 percent economic expansion in the following two fiscal years, but falling short of targets.


Shamsul Alam, member of general economics division of the planning commission, presented the report
on the country's achievements in the first three years of the Sixth Five Year Plan (for fiscal 2011 to fiscal
2015) at the National Economic Council in Dhaka.


"On the whole, the average GDP performance in the first three years is solid, but lower than the target in
the plan," Alam said.The economist said slow recovery in the western markets affected export growth as
expected.
"While domestic political stability has returned and there is likely to be a recovery in private investment, on
the whole, it is clear that the investment targets in the plan may not be achieved."
The investment-GDP ratio stood at 26.8 percent in fiscal 2013, against a target of 29.6 percent.
In the first three years, 63 lakh jobs were created by the government, he said.

Alam urged the government to improve the investment climate by removing the constraints.
The shortfall in public investment needs to be addressed speedily with a range of measures, including
more focused and steady implementation of the tax modernisation plan and proper pricing of electricity.
In Bangladesh, getting an electricity connection requires 185 days as per the Global Doing Business report.
"This issue should be addressed," Alam said.
Almost in all macroeconomic indicators, Bangladesh has been on target in the first three years of the Five
Year Plan.
In fiscal 2013, the tax-GDP ratio was 11 percent against a target of 11.2 percent. The fiscal deficit stood
at 4.4 percent of GDP against a target of 5 percent and the export-GDP ratio was 20.2 percent against the
22.1 percent target.
Remittance brought home $14.3 billion against a target of $14.2 billion and the foreign currency reserves
could finance five months of imports, whereas the target was to amass foreign reserve that could meet
three months of imports.
Only the inflation target could not be reached as it stood at 7.7 percent against a target of 7 percent.
The plan, however, targets to bring inflation down to 6 percent at the end of the programme. "This requires
continuous monitoring and management," Alam said.
AHM Mustafa Kamal, planning minister, who chaired the meeting, said no indicators suggest that
Bangladesh is lagging behind any of its targets.
Atiur Rahman, governor of Bangladesh Bank, said the country has achieved quality GDP growth as it cut
poverty and has not widened inequality.
"We did not expect the export sector to perform so well, as trucks could not ply the roads and even small
shops could not be opened for five months last year."
Mustafizur Rahman, executive director of Centre for Policy Dialogue, said the country is not being able to
ensure expected returns on investment.
"The Padma bridge project is being delayed, which is raising the cost," he said, adding that the cost of the
project has been revised up to Tk 25,000 crore; it was Tk 10,000 crore in 2010.
AMA Muhith, finance minister, said the mid-term review is also an attempt to have a good input for the
next Seventh Five Year Plan.
In many countries, there has been poverty alleviation but inequality has also gone up in many of those
countries, he said.
"Bangladesh is the only country where inequality has been static from 2006 and it has been going down
from 2010."
Bangladesh will have to increase the expenditure set aside for social protection as it has a great contribution
to bringing down inequality, the minister said.
Mahbub Ahmed, finance secretary, said there should be no worry if inflation goes up a bit as a consequence
of actions aimed at boosting economic growth.

Indicators Baseline 2010 Baseline 2010 Target 2015
GDP growth (%) 6.2 6.2 8
Exports (% of GDP) 16.2 16.2 23.9
Private investment (% of GDP) 19.4 19.4 25
Tax revenue (% of GDP) 9 9 12.4
Poverty headcount rate (%) 31.5 31.5 22.5
Govt spending on social protection (% of GDP) 1.7 1.7 3
% of seats held by women in parliament 12.7 12.7 33
Income tax (% of GDP) 2.9(2011) 2.9(2011) 5
Public investment (% of GDP) 4.6 4.6 7.5
Inflation (%) 7.3 7.3 6


ADB urges govt to cut cost of doing business
http://www.thedailystar.net/business/adb-urges-govt-to-cut-cost-of-doing-business-40074
The Asian Development Bank has asked the government to take steps to make major progress in cutting
the costs of doing business.
Reducing costs of doing business and enhancing external competitiveness are essential to achieve high
economic growth, the Manila-based donor said in its latest quarterly economic update.
Strong efforts are needed to enhance access to electricity and credit, reduce the burden of paying taxes
and improve the trading environment, it said.
To increase the economy's external competitiveness, Bangladesh needs to raise the overall quality of
infrastructure, including roads, ports, railways, electricity and water supply and sanitation. Bangladesh
needs to heavily invest in infrastructure to create conditions for higher and more inclusive economic growth,
ADB said.
Better infrastructure and higher connectivity can also contribute to diversifying the economy and increasing
export competitiveness.
In addition, higher infrastructure investment is necessary to improve labour productivity, capital efficiency
and total factor productivity growth to sustain long-term higher economic growth. For promoting higher
private investment, skills shortages also need to be addressed.
ADB also stressed the need for mobilising more domestic resources by modernising the country's tax
systems and streamlining tax machinery.
At 9.6 percent, Bangladesh's tax-GDP ratio is low compared with other countries in South Asia and also
lower than the average of developing countries, the lender said.
Bangladesh has made some progress in reforming tax systems but further reforms are needed to simplify
tax laws and collection procedures, including strengthening risk-based audit to promote voluntary tax
compliance.
To meet the large financing needs for infrastructure investment, significant private sector participation in
infrastructure development through public-private partnerships will be needed, given the inadequacy of
resources available within the public sector.
A decline in remittances, low private credit growth and weaker consumer confidence ahead of the J anuary
2014 elections contributed to the low growth in private consumption.
On the supply side, agriculture grew briskly and services growth was higher, although industry posted lower
growth.
For faster poverty reduction, Bangladesh needs to lift its annual GDP growth rate to about 8 percent in the
medium term.
Investment stood at 28.7 percent of GDP in 2013-14 following revision of the GDP series and associated
national income data, while corresponding GDP growth came in at 6.1 percent.
Considering the implied efficiency of investment, investment will need to rise to 37.6 percent of GDP to
attain 8 percent GDP growth, ADB said.
Economic growth will need to be more inclusive, providing people with access to productive opportunities,
so that they are able to contribute to, and equally share the benefits of higher economic growth.
Growth will also need to be environmentally sustainable.
Over the last four fiscal years, the economy grew at an average annual rate of 6.3 percent compared with
7.1 percent average growth targeted for the first four years of the five-year plan for FY2011 FY2015.

Remittance inflow increases by 15pc in August
September 4, 2014 12:16 am0 comments
http:/ / newagebd.net/ 45426/ remittance-inflow-increases-by-15pc-in-
august/ #sthash.ZCrsoplq.dpbs

A file photo shows expatriate Bangladeshis returning home at Hazrat Shahjalal International Airport in
Dhaka. The inflow or remittance increased to $1,160.06 million ($1.16 billion) in August of the current
financial year 2014-15 against $1,005.77 million in the same month of the FY14 as the expatriate
Bangladeshis sent significant amount of greenback during the period. New Age photo

The inflow or remittance increased to $1,160.06 million ($1.16 billion) in August of the current financial
year 2014-15 against $1,005.77 million in the same month of the FY14 as the expatriate Bangladeshis sent
increased amount of greenback to their relatives ahead of Eid-ul-Azha which will be celebrated in the first
week of October.
According to Bangladesh Bank data released on Wednesday, remittance inflow increased by 15.34 per cent
in August compared with that of a decline of 14.66 per cent in the same month of the FY14. The expatriate
Bangladeshis sent $1,178.65 million in remittance in August of the FY13.
The countrys inward remittance hit a new monthly record at $1.48 billion in J uly as expatriate Bangladeshis
sent huge amount of greenback to their relatives on the occasion of Eid-ul-Fitr which was celebrated on
J uly 29.
A BB official told New Age on Wednesday that the inflow of remittance would maintain the upward trend
in the current month ahead of Eid-ul-Azha.
The BB data showed that the inward remittance had also increased by 18.11 per cent to $2,651.43 million
in the first two months of the FY15 from $2,244.73 million in the same period a financial year ago.
Besides, the expatriate Bangladeshis are now feeling encouraged to send more greenback due to an eased
political situation than the FY14, the official said.
He said the expatiate Bangladeshis felt discouraged to send the remittance in the country during the
unstable political situation between J uly and J anuary of the FY14 as they were worried about security of
their hard-earned money due to a vulnerable position in the countrys law and orders.
The non-resident Bangladeshis also felt discouraged to send the greenback in that period due to a sluggish
business situation amid the political unrest.
The upward trend in the inward remittance may continue in the coming months if the countrys political
situation improves gradually, the BB official said.
He said the central bank was working continuously to increase the flow of inward remittance from different
parts of the world.
The central bank earlier took a series of measures to encourage the expatriate Bangladeshis to send their
hard-earned money through the formal banking channel, instead of illegal hundi system to help boost the
countrys foreign exchange reserve.
The private commercial banks received $750.73 million in inward remittance in August while the state-run
commercial banks received $379.62 million, foreign commercial banks $13.83 million, and specialised banks
got $15.88 million, the BB data showed.
In August, Islami Bank Bangladesh received the highest amount of remittance $295.78 million among
the private commercial banks, while Agrani Bank got the highest amount of remittance $132.71 million
among the state-run banks.
- See more at: http://newagebd.net/45426/remittance-inflow-increases-by-15pc-in-
august/#sthash.ZCrsoplq.dpuf

Netherlands wants to make BD IT outsourcing hub
Trade delegation due Sept 8
http:/ / www.thefinancialexpress-bd.com/ 2014/ 09/ 04/ 54248

The Netherlands wants to make Bangladesh a hub for its information technology (IT) outsourcing apart
from extending technological support and collaboration in the areas of flood and water management,
reports UNB.

A delegation from the Netherlands representing ICT, food security, logistics, technology, waste
management, water management and shipping sectors will visit Dhaka from September 8-11 to explore
potential areas for collaboration.

Nyenrode Business University and Dutch Embassy in Dhaka are arranging the visit.

Bangladesh Ambassador to the Hague Sheikh Mohammed Belal confirmed the visit of the Dutch trade
delegation on Wednesday. The delegation members met the Bangladesh envoy there on Tuesday and
shared their plan in connection with the visit.

A good number of IT companies are looking for partners in Bangladesh for their outsourcing need, said an
official here. They found that Bangladesh has many more aspects to do business.

Bangladesh Association of Software and Information Services (BASIS) and Dutch Embassy in Dhaka will
host a B2B matchmaking event on September 9-10 on the BASIS premises.

Representatives from leading Dutch IT companies will take pat in the event. Already around 45 BASIS
member companies have expressed their interest to have B2B meetings with Dutch companies. Around
2,000 companies are active in the Dutch water sector. Of them, 1500 are in water technology and 500 in
delta technology.

Now the Netherlands is completely free from flood, thanks to technologies and know-how for flood and
water management.

The Dutch companies are also eager to work with Bangladesh partners in the areas of water and flood
management.

Capital Market

Govt revenue from stock trading hits 13-month high
http://www.thefinancialexpressbd.com/2014/09/04/54260
The government received Tk 126.58 million in tax from stock trading in August this year from Dhaka Stock
Exchange (DSE), the highest in last 13 months since J uly 2013. In J uly 2013, the government bagged Tk
153.02 million in tax from stock trading from DSE.

Govt revenue from stock trading hits 13-month high Transaction in the market was on the rise last month
with a recovering tone from the prolonged downtrend in share prices in recent months.

The daily average turnover in August jumped to Tk 6.33 billion, which was only Tk 2.88 billion in the
previous months - J uly, according to data from the DSE.

The prime index of the DSE also crossed 4,500-point mark in August, gaining 134 points or 3.03 per cent
over the previous month- J uly.

Market analysts said market witnessed strong buying pressure mostly from institutions as continuous
positive market trend boosted up investors' confidence.

The month-on-month government' earnings from DSE also shot up by 208 per cent in August compared to
J uly, this year. In J uly, the government earned tax only Tk 41.15 million.

Tax collection is related to trading volume and value. More trading of stocks generates more tax for the
government, DSE officials said.

The DSE, on behalf of the government, collects the tax as brokerage commission at 0.05 per cent and
deposits the amount to the state coffer.

An official of the premier bourse said it is natural that tax collection will increase if turnover rises on the
trading floor, as the tax is collected from turnover value.

"Tax collection from brokerage commission marked a significant rise in August, as turnover also went up
compared to the previous months," the DSE official said.

"The revenue earnings are related to turnover. It's usual that tax will rise if turnover increases," said Akter
H Sannamat, managing director of Union Capital.

The government also earned higher tax from sales of sponsor and placement shares in August than the
last month.

It bagged Tk 74.82 million in tax from share sales by sponsor shareholders last month which was Tk 24.05
million a month ago.

The DSE, on behalf of the government, collects the tax as placement shares sales at the rate of 5.0 per
cent and deposits the amount to the government exchequer.

DSE data showed that in the last three fiscal years, the revenue earnings from the bourse declined at a
stress due to lower turnover value following slide in shares prices.

In fiscal year 2010-11, the bourse paid the highest tax worth Tk 4.47 billion, in FY 2011-12 DSE paid worth
Tk 2.72 billion and FY 2012-13 the bourse paid tax worth Tk 1.27 billion on brokerage commission and
share sales by sponsor-directors and placement holders.

However, tax collection from the bourse rose in the last fiscal year against the previous fiscal amid rising
trading volume. The government bagged tax worth around Tk 1.54 billion in the FY 2013-2014 against Tk
1.27 billion in the FY 2012-2013.

DSE index sees new 4-month high
http://www.thefinancialexpress-bd.com/2014/09/04/54266
Stocks ended higher for the third running sessions Wednesday with turnover remained unchanged as
investors put focus on micro and large cap stocks. After crossing 4,600-point mark in the previous session,
the prime index of the Dhaka Stock Exchange (DSE) further gained 30.02 points and closed at a new 4-
month high of 4,632.46 points.

The other two indices outperformed the broader index. The DS30, comprising blue chips gained 12.07
points or 0.69 per cent to close at 1,758.07 points. The DSE Shariah Index went up by 3.55 points or 0.32
per cent to close at 1,087.12 points.

The total turnover on DSE stood at Tk 5.50 billion, which was 0.34 per cent lower over the previous session's
Tk 5.52 billion.

The investors' activity was mainly focused on pharmaceuticals, engineering and power - the sectors that
accounted for 14.03 per cent, 11.90 per cent and 11.81 per cent respectively of the day's total turnover.

"The stock market's bullish spell stretched even further as the investors' continuous buying spree
established the prime index beyond 4,600-level," commented International Leasing Securities, in its regular
market analysis.

The investors found most of the scrips as lucrative price level from various sectors, particularly general
insurance, bank and financial institutions, said the International Leasing.

LankaBangla Securities said: "Bulls rejoin the market momentum with strong ground as soon as the
benchmark index crossed the resistance level 4,600".

Index recorded 30.02 points of gain amid a very positive market breadth, though some investors lured by
profit booking at attractive prices, it said.

"Investors are eyeing on the value stocks and finding those conducive to the long run strength of the
market," said the stock broker.

IDLC Investments said: "Gaining tone in equity market sustained, with investors' focus on micro cap stocks.
Some large cap stocks assisted the extension of previous session's positivity, at opening hour".

"Market once again snared rock solid gains from early morning, as almost all the stocks were subject to
substantial buy pressures," observed Zenith Investments.

With massive levels of volume, indices were somewhat stable in a positive manner, creating less diversion
through volatility, it said.

"The capital market have made lot of noise within these few days, as lot of money is being injected by the
investors raising the share prices as well as drawing the attention of the general public," said Zenith
Investments.

Multinational cement manufacturer Lafarge Surma Cement prolonged its recent price hike, gaining another
3.92 per cent.

Among the prominent sectors, insurance led the top market cap gainers with 3.4 per cent gain followed by
cement 2.6 per cent , bank 1.1 per cent and NBFI 1.05 per cent.

The gainers took a strong lead over the losers as out of 298 issues traded, 205 advanced, 67 declined and
26 remained unchanged on the DSE floor.

A total of 0.131 million trades were executed with 143.31 million securities of trading volume. The total
market capitalisation of the DSE stood at Tk 3,117.97 billion against Tk 3,106.73 billion in the previous
session.

Lafarge Surma Cement was the day's most traded stocks with shares worth Tk 258.90 million changing
hands followed by GP, Beximco, Beximco Pharma and MJ L BD.

Intech Online was the day's highest gainer, posting a rise of 10 per cent while Libra Infusion was the day's
worst loser, slumping by 3.67 per cent.

The port city bourse, Chittagong Stock Exchange (CSE) also ended higher with its Selective Categories
Index - CSCX - gained 55.30 points to close at 8,730.35 points.

Gainers beat losers 140 to 54, with 25 issues remaining unchanged at the port city bourse that traded
13.86 million shares and mutual fund units, turnover value of Tk 418.50 million.

International

Sensex hits fresh all-time high
http://www.thefinancialexpressbd.com/2014/09/04/54268
The BSE Sensex and Nifty extended a record-setting winning streak on Wednesday as software exporters
such as Infosys Ltd rallied on strong US economic data, while continued foreign buying and falling oil prices
also helped the gains.

A fall in Brent crude prices to 16-month lows and recent supportive economic data at home such as better-
than-expected 5.7 per cent GDP growth in April-J une are also reinforcing investor optimism.

The gains also tracked a rise in global stocks after Ukraine said it reached a ceasefire agreement with
Russia, despite conflicting reports from the Kremlin.