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Tuesday, July 13, 2010

1923 people whiten around Tk 923 crore in last fiscal; govt got over 121 crore taxes: NBR

By AKM Moinuddin
Dhaka, Jul 13 (UNB) - About Tk 923 crore black money have been whitened by investing in four categories, the lion share being in the stock market, during the outgoing fiscal year.
A total of 1,923 people declared investment of undisclosed Tk 922.98 in four categories - new industry, infrastructure development, BMRE (balancing, modernization, rehabilitation and expansion), stock market and purchase flat or land.
This was informed by NBR Member (Tax Admin and Monitoring) Basir Uddin Ahmed at a press conference today. The exchequer got about Tk121.21 crore in taxes for legalizing the black money.
Of the black money holders, highest 1320 people legalized their money by purchasing flat or plot, 296 invested in capital market, 162 invested in new industry and 145 invested in BMRE, he said.
The government kept open the scope to whiten the black money by paying 10 percent tax and invest the money in different sectors. In case of flat and land purchase, undisclosed money holders were given a chance to legalize their money by paying tax varying on the size of the flat and land.
The investment of black money in the stock market was around Tk 427 crore while approximately Tk 258 crore was legalized in BMRE. More than Tk 239 crore was invested in new industry and approximately Tk 29 crore whitened by purchasing flats and lands.
Most of the money was whitened in the last two months of the fiscal year and only 81 people took advantage of the opportunity and legalized Tk 57 crore from July to April of 2009-10.
In the current fiscal year, the scope to whiten black money is restricted to only one category - investment in Bangladesh Infrastructure Finance Fund (BIFF).
During the army backed caretaker government 56,845 people legalized Tk 9,773 crore by paying Tk 911 crore in taxes.
Since fiscal 1976-77, all successive governments provided the opportunity to whiten the black money.
During the fiscal year 2000-2001 when Awami League was in power only Tk 1,000 crore was whitened. Meanwhile, approximately Tk 2,000 crore was legalized under the money whitening opportunity for three fiscal years during BNP-led four-party alliance rule.

Monday, July 12, 2010

Mani Shankar invites Bangladeshi businesspeople in NE region; proposes further talks in Agartala

By AKM Moinuddin

Dhaka, July 12 (UNB) - Indian Congress leader and seasoned diplomat Mani Shankar Aiyar has invited the business community leaders to take advantage of the business opportunities in north eastern region known as seven sisters and proposed further talks in Agartala within six months.
“Bangladesh’s both eyes are always focused on West Bengal but there are huge business opportunities in NE which remained unfocused to Bangladesh,” the veteran Congress leader and Rajya Sava member said urging Bangladeshi businesspeople to put their second eye on the east.
The former Indian minister for petroleum and natural gas, Mani Shankar, made the call while talking to the leaders of country’s apex trade body FBCCI at its conference room today. FBCCI president AK Azad presided over the discussion attended by Indian High Commissioner Rajeet Mitter, India-Bangladesh Chamber of Commerce and Industry (IBCCI) president Abdul Matlub Ahmad, FBCCI first vice president Jashim Uddin Khan, and members of NE business delegation.
Mani Shankar viewed that Bangladesh would be highly benefited and its growth rate might accelerate by 2 percent if it avails the opportunities as North East Industrial and Investment Promotion Policy (NEIIPP) provides a number facilities including tax exemption, capital investment subsidy, interest subsidy and comprehensive insurance.
Mentioning the Indian government’s vision 2020, Mani Shankar said the government has allocated Rs 20 lakh crore for its Northeastern (NE) region which lacks managerial, technical and technological support to implement the programme and urged the Bangladeshi businessmen to take the advantage.
“It’s a huge cake (Rs 20 lakh crore). If you get a slice of it, you will reduce trade imbalance with India to a large extent,” Mani Shankar said.
Explaining geographical advantages with long border, Mani Shakar said Bangladeshi businesspeople would get greater scope in the NE region compared to Indian businessmen.
“The Indian government has planned to raise the growth to 9 percent in the NE region which is now half of the mark. Without Bangladesh’s cooperation, it’s not possible to achieve the target,” admitted the Indian leader.
He said Chittagong and Mongla ports have been made available to India through Prime Minister Sheikh Hasina’s New Delhi visit in January this year. “Now road connectivity needs to be modernized and well-connected for better trade relations.”
He also said the prime ministers of both the countries have opened up new opportunities allowing each other to use their lands for transit and transshipment.
Mani Shankar proposed a follow-up meeting between FBCCI delegation led by its president AK Azad and NE trade delegation within next six months in Agartala to put things together for further discussion on trade ties between them.
He proposed that India-Bangladesh Chamber of Commerce and Industry (IBCCI) president Abdul Matlub Ahmad will coordinate the talks.
Mani Sankar arrived in Dhaka on Saturday leading a 31-member business delegation from the Northeast region. He aimed at using his diplomatic skills to improve trade between the landlocked region and Bangladesh.
END/UNB/AMK/

Ex-Indian Minister Mani Shankar seeks Bangladesh’s investment in India’s northeastern states; he terms Hasina’s New Delhi visit a historic breakthroug

By AKM Moinuddin

Dhaka, Jul 11 (UNB) – India’s former union minister Mani Shankar Aiyar said here Sunday that Prime Minister Sheikh Hasina’s visit to New Delhi last January was a historic breakthrough in strengthening Indo-Bangladesh relations.
“The document signed during the visit demonstrates a very welcome recognition of what are the potentials and how the potentials are realized between the countries,” the renowned politician-cum columnist said.
Mani Shankar made the remarks while delivering a talk titled “Bangladesh-India Relations” at the Bangladesh Enterprise Institute (BEI). BEI president Ambassador Farooq Sobhan presided over the discussion.
Mani Shankar observed that lot of time was wasted in the last 37 years and urged his Bangladeshi friends to calculate how much it had adversely affected the people of both the countries.
The Indian politician invited Bangladesh to invest in Indian northeastern region where he thinks possibilities are enormous.
“Northeast region was the most neglected element of the India-Bangladesh relations in the last 40 years but it (northeast region) has to be part and parcel of the Indo-Bangla ties,” he said.
Mani Shankar who worked for Rajiv Gandhi from 1989-91, said one can look forward to invest there. “In the northeast you will find opportunities and advantages which are not available to you in other parts of the country (India).”
“There are enormous possibilities but it’s the question of good will, and a good sign has already been reflected through Sheikh Hasina’s visit to India,” he said.
Mani Shankar said that Indian northeastern states want to enhance trade relations with Bangladesh. “I do believe things will look much brighter.”
He expressed happiness over the present initiatives to enhance the trade ties between Bangladesh and the seven-sister states of India.
Recalling his old memories Mani Shankar said things were very informal between Bangladesh and India in those days.
Indian High Commissioner in Dhaka Rajeet Mitter, former diplomats and political leaders were present.
END/UNB/AKM

Thursday, July 8, 2010

Tk 2171.34 crore DCC budget announced; no fresh tax, holding tax; 80 % of total budget for development

By AKM Moinuddin

Dhaka, Jul 8 (UNB) – Dhaka City Corporation (DCC) Mayor Sadeque Hossain Khoka on Thursday unveiled a Tk 2171.34 crore budget for the 2010-2011 fiscal without raising holding taxes or imposing any new taxes on the city dwellers.
Announcing his ninth budget at the crowded auditorium of city’s Mohanagar Natya Manch, the Mayor said that the DCC is concentrating on strengthening the tax collection process instead of increasing tax rate.
The Corporation allocated Tk 1735.49 crore, which is nearly 80 percent of the total budget, for the development of Dhaka metropolitan city.
The DCC Mayor gave priority to maintenance and development of roads and traffic infrastructure in the development budget and assured to increase civic facilities for the city dwellers.
Tk 279.50 crore has been allocated for the maintenance and development of roads and traffic infrastructure for the current fiscal, which was Tk 225 crore in the previous fiscal (2009-10).
Meanwhile, an allocation of Tk 18 crore has been kept for mosquito control activities and purchasing equipments. The amount was Tk 16 crore in the previous year.
The new budget reduced allocation against purchase of bulldozers and dump trucks, development of graveyards and crematoriums. It, however, kept allocation for citizens' recreational facilities and development of parks and children's parks almost unchanged in the current fiscal.
The DCC has set its own revenue collection target of Tk 704.35 crore for the fiscal 2010-11, which is slightly higher than the previous fiscal.
Though the corporation set a revenue collection target of Tk 603.80 crore in the last fiscal, it could collect only Tk 493.45 crore.
Mayor Khoka in his budget speech said the corporation is expecting to get Tk 100 crore as block allocation and Tk 50 crore as special allocation from the government, and Tk 7.05 crore from other sources.
Besides, the corporation has set an ambitious target of Tk 1,254.49 crore as income from government and foreign financed projects as well as public private partnership (PPP) projects though it received Tk 297.18 crore from this sector against a target of Tk 540.78 in the previous fiscal.
The corporation set a total expenditure target (revenue, development and others) of Tk 2,116.34 crore for the current fiscal compared to Tk 1,351.58 crore in the last fiscal. However, the revised budget of the fiscal 2009-2010 showed the expenditure as Tk 915.56 crore.
Of the total expenditure target, Tk 371.85 crore for revenue expenses, Tk 1735.49 crore as development expenditure and Tk 9 crore for others.
The highest Tk 188 crore has been allocated against the salary and allowances of corporation officials under revenue expenditure.
Mayor Khoka in his budget speech, however, said that the Corporation’s budget size should be Tk 10,000 crore as the 10 percent of the country’s population lives in the Dhaka City.
He urged the government to increase government allocation for the corporation to Tk 100 crore, which was Tk 26.83 crore in the last fiscal (2009-10).
“DCC’s yearly operational expenditure stood at Tk 372 crore while its revenue income was only Tk 704 crore. Naturally, it is not possible to see desired development of the city dwellers with the little surplus amount,” the Mayor said.
Earlier, the general meeting of the ward councilors approved the budget finalized by corporation’s sub-committee on finance.
END/UNB/AMK/

Wednesday, July 7, 2010

Nearly half of migrant workers were low-skilled during 1976-2009; Bangladesh may face challenge to stay competitive in labour market

By AKM Moinuddin

Dhaka, Jul 7 (UNB) - Bangladesh, which is eyeing increasing remittance flow through exploring new labour markets in the coming days, may face stiff challenges unless it ensures sending of skilled workers abroad, an expert says.
“One of the most important challenges that lie ahead for Bangladesh, as a labour sending country, is to enhance the skills of its labours, to stay competitive in the market,” said Kristina Mejo, Regional Programme Manager of International Organization for Migration (IOM).
In a recent paper on Bangladeshi labour migration, Kristina shows that 49 percent of the migrant labours during the period of 1976-2009 were low-skilled (cleaners, sweepers, domestic workers, etc.) while only 31 percent were skilled and 17 percent semi-skilled. Only the remaining 3 percent were professionals that included doctors, nurses, engineers and architects.
Skilled workers include garment-makers, drivers, electricians and caregivers while the semi-skilled workers include construction workers, carpenters and guards.
The IOM official said low-skilled migrants often find them exploited and face difficulty to protect them. She thinks that despite the benefits that migrant labours bring into the country by sending remittances, the sector is one which has not gained as much prominence as it should.
Remittances from Bangladeshi migrants have grown at an average rate of 17 percent since 2001, which surged by 32.39 percent and reached a record high of about US$10.72 billion in 2009.
The study shows that Bangladesh, India, Nepal and Sri Lanka are the major countries of origin of migrant workers. Experts think that Bangladesh may lose its competitiveness in international labour market and other countries will take the advantage if it fails to produce skilled workers to send abroad.
Kristina in her paper titled “Opportunities and Need for Skills Development for Migrant Workers” cited that Bangladeshis working abroad sent home a record US$ 950.92 million in the first month of current year, showing 8.81 percent growth over December 2009.
A total of 168,026 Bangladeshis secured jobs in different countries till May 2010 from the beginning of the year.
According to the Bureau of Manpower, Employment and Training (BMET), a total of 475,279 Bangladeshi migrants left the country in 2009, a 4 percent drop from the previous year. Approximately 875,055 workers left Bangladesh in 2008.
Meanwhile, the number of migrants that left Bangladesh during 2001-2005 period averaged 250,000 per year. This figure rose to almost 400,000 in 2006 and then doubled to 832,600 in 2007, according to BMET.
Citing global migration trends, Kristina said approximately 2.5 million Asian migrant workers leave their countries every year to work abroad.
“The number of international migration in the world has more than doubled since the 1960s and is currently standing at an estimated 214 million.”
Kristina in her paper said public and private sectors’ coordinated efforts is needed to enhance the skills of workers.
“Before making investment in enhancing skills of workers, it is important to know which skills are in demand. The government, with its new Market Research Unit, can assist the private sector to provide details on the demand of skills for migrant workers.”
Expatriates' Welfare and Overseas Employment Minister Engr Khandaker Mosharraf Hossain on Wednesday admitted that training is a must for enhancing skills of workers and said the government has taken all necessary steps to produce skilled workers for sending abroad.
He also said apart from the existing training institutes across the country, establishment of 31 new training centers is underway.
Earlier, on Tuesday, Mosharraf told the newsmen that during the fourth ministerial meeting of the “Colombo Process,” to be held in Dhaka October 20-21, they would give priority on reducing migration cost and making the entire process hassle-free apart from workers skill enhancement.
END/UNB/MK/

Minimum wage structure for RMG workers will be acceptable to both sides: Minister Musarraf ; Govt wants trade union in RMG sector to ensure workers’ r

By AKM Moinuddin

Dhaka, Jul 7 (UNB) - The government is in its final stage to come up
with the new wage structure for the readymade garment workers which
is expected to be acceptable to both owners and workers, Minister for
Expatriates' Welfare and Overseas Employment Khandker Musharraf
Hossain said on Wednesday.
“I hope the new wage structure to be announced on July 28 will
satisfy both owners and workers. The committee, working on it, will
ensure a win-win situation for both parties,” he said while talking
to the journalists after a seminar held in the city today.
Bangladesh Enterprise Institute (BEI) in association with CSR
(corporate social responsibility) Center arranged the seminar titled
“UN Global Compact Labour Standards” in Lake Shore Hotel in the city
with its president Farooq Sobhan in the chair.
Musarraf said garment workers’ “cry and sorrows” remained unheard
simply due to non-existence of trade union in the garments sector.
“It’s (trade union) urgent in the garment sector. We want
introduction of trade union in this sector as we believe it’ll
protect the right of both workers and owners,” Musarraf said adding
that the government is working on it.
He said the government is already discussing with the concerned
parties to create a formal trade union for RMG sector for keeping the
vital sector ‘trouble-free.’
Justifying his stand on trade union, he said: “We want to listen to
their complaints and grievances. We only find owners when a dispute
arises.”
The minister further said the government is actively reviewing wage
structure of 46 sectors with special attention to readymade garments
to ensure a harmonized environment both for owners and employees.
“An independent committee is working on it and the committee has so
far held 10 meetings which were fruitful,” the minister said.
He reassured that the government would form special security force -
industrial police - for ensuring peace in industrial zones. “It’s
(formation of industrial police) under process.”
Musarraf also said the government is reviewing the Labour Act (2006)
to remove all discrepancies including difference of wages between
male and female workers.
On enhancing skill and efficiency of workers, he said training is a
must and the government has taken all required steps to produce
skilled workers for sending abroad.
“Apart from the existing training institutes across the country,
establishment of 31 new training centers is underway,” he said adding
that currently 70 lakh Bangladeshi workers are working abroad.
Earlier, the panel speakers focused on child labour, forced labour,
discrimination and right to collective bargaining.
Regional Programme manager of International Organization for
Migration (IOM) Kristina Mejo, programme officer of International
Labour Organization (ILO) Nur Nabi Khan, sector head of ActionAid
Bangladesh Asgar Ali Sabri, president of Bangladesh National Woman
Lawyers Association (BNWA) Fawzia Karim Firoze, country manager of
Bureau Veritas Golam Kibria and UNDP, Bangladesh official Majeda Haq
presented papers on the four key principles on labour issues in the
seminar.

END/UNB/AKM

Friday, July 2, 2010

Mohiuddin Chowdhury becomes more active in politics; he is likely to meet Hasina before July 9

By AKM Moinuddin

Chittagong, Jul 2 (UNB) - After the recent electoral debacle, former
mayor and Chittagong city Awami League president ABM Mohiuddin
Chowdhury has apparently become more active in politics, devoting his
time in reorganizing party leaders and activists to face future
political challenges.
Mohiuddin Chowdhury, a three-time elected mayor of the port city,
does not want to waste time by meditating over the past and on what
happened in the last mayoral elections but wishes to continue his
task for the economic development of the port city.
The AL leader, who has been credited with many successful movements
and development works in Chittagong over the last 17 years, still
believes that Chittagong seaport is the key to country’s development.
And this is the area where he wants to lend “peaceful support” in
implementing government’s plan.
“I believe country’s overall development depends on Chittagong and at
the same time Chittagong’s development large depends on its seaport.
So, we must specially think of its (port) modernization,
infrastructure development, boosting efficiency to make it globally
competitive,” Mohiuddin said in an interview with UNB Correspondent
AKM Moinuddin at his Chashma Hill residence on Thursday.
The former mayor believes Bangladesh will turn into a business hub
with enormous potential for trade and commerce if the deep seaport
project is implemented and transit facilities to neighboring
countries are ensured.
“Chittagong can be a modern city like Singapore and tourism sector
will flourish here (Chittagong) if port’s development is ensured,” he
said.
When asked about the future leadership of Chittagong city unit Awami
League, Mohiuddin said: “I’m not a big leader. My leader is Sheikh
Hasina. I can’t say or do anything disregarding her directives.”
A faction of city unit AL is reportedly planning to keep Mohiuddin
out of party leadership in Chittagong and the rivals are taking
preparation to discuss it with party high-ups so that a new committee
can be formed without Mohiuddin. Asked about his reaction, Mohiuddin
said: “It’s up to them.”
Replying to a question, the AL leader said he did not talk to party
president Sheikh Hasina after the CCC election debacle.
“I am planning to meet her (Hasina) within next few days, hopefully
before July 9,” said Mohiuddin who will fly for Saudi Arabia on July
9 to perform umrah.
Mohiuddin declined to comment on the reasons of his unexpected defeat
in the recently held mayoral elections. He merely said: “People know
what I did for the development of Chittagong. Ask them and compare
present Chittagong with what it was previously (17 years ago).”
He even did not want to talk about new mayor M Manzur Alam Manzu.
Replying to a question, Mohiuddin, also a freedom fighter, said the
recent arrest of Jamaat trio was a right decision. The
anti-liberation forces will not dare to revive their destructive
activities if the trial of war criminals is held.
“I’ve been on streets against the war criminals; I’ll always remain
vocal against them,” he said.
Asked about his role in facing the anti-government movement launched
by the opposition, Mohiuddin said he would remain vocal against any
anti-state movement.

END/UNB/