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The annual growth in the number of workers leaving Bangladesh for overseas jobs slowed sharply to 5.1 percent in 2008 compared to 118.2 percent in 2007.Among the major destinations for overseas employment, new jobs for Bangladeshi workers in Saudi Arabia fell by 35.3 percent in 2008. Kuwait has reduced hiring Bangladeshi workers since late 2006. In 2008 new jobs for Bangladeshi workers in Kuwait fell by 92.4 percent and in Bahrain by 19.8 percent.New job opportunities also declined in 2008 in Malaysia by 51.8 percent and in Brunei by 11.1 percent on economic downturn.The recession is also badly affecting new Bangladeshi job seekers in Europe. Jobs fell by 36.7 percent in Italy and 2.1 percent in the UK in 2008.Job opportunities however grew by 202.6 percent in Oman, 85.2 percent in the UAE, 68.9 percent in Qatar and 47.6 percent in Singapore.The central bank officials' forecast indicates a lower remittance inflow in the next few months as a significant number of workers returned home.

According to the latest revisions by the World Bank, India, China and Mexico retain their position as the top recipients of remittances among developing countries. The top 10 recipients list also includes Philippines, Poland, Nigeria, Romania, Egypt, Bangladesh and Pakistan.

After perfecting the community-based composting model, Waste Concern turned its attention to the many tons of organic waste generated by Dhaka’s business sector, notably its many produce markets. WC took advantage of the Kyoto Protocol’s Clean Development Mechanism (CDM) to create the world’s first carbon-trading scheme based on compost. Last November it launched this new project at its Bulta plant, which lies next to farmland and brick factories a couple of hours northeast of Dhaka. Initially, this new project collected only 10 tons of organic waste daily from the Karwan Bazar market, but it should reach 100 tons later this month, says deputy plant manager Syed “Jubilee” Ahmed. After the waste is trucked in, it is spread out in open-air bins, monitored carefully, and becomes saleable compost in a little over a month. Two other CDM composting plants are planned to open this year to handle a combined 700 tons of organic waste per day, says Sinha. That works out to 233 tons of finished, dry compost every day with a retail value of nearly $14,000. Composting works well in a nation like Bangladesh because of the tropical climate and high percentage of organic waste in the trash stream. Organic waste buried in a landfill can generate greenhouse gases, according to the US Environmental Protection Agency. But when the organic waste is composted in the open air, these gases are not made. The fact of this negative generation amounts to carbon credits, which can be traded on overseas markets for $20 per ton. “From one ton of organic waste,” says Sinha. “You can reduce half a ton of greenhouse gas.” When it reaches full capacity, this CDM project will reduce CO2 emissions by 127,750 tons per year. The carbon credits will be worth $2.5 million. “Waste Concern is doing a commendable job,” says Quamrul Islam Chowdhury, chairman of Forum of Environmental Journalists of Bangladesh. “It is really important to translate those wastes into resources because that will help the country achieve sustainable development in the years ahead.”

The fact is, India still has a long way to go. There is a disproportionate amount of poverty (India is estimated to have one third of the world’s poor) and the health and education systems outside the major population centres are as bad as anywhere else in South Asia. How can a nation call itself a democracy when an estimated 200,000 farmers have committed suicide in the last 20 years, 20 million female foetuses have been aborted in the last 10 years, and people remain unequal due to the caste system? There is a strange mix of pride and denial amongst the Indian elite, resulting in little room for criticism and a lack of recognition that India is still struggling - it’s the image that is thriving.

No doubt, there is an inferiority complex that can be associated with any smaller nation. But Bangladesh should realise that it has a lot to offer in terms of fighting terrorism (both separatist movements in Assam and religious extremism), allowing transit to the Seven Sisters, and, of course, taking the edge off the threat posed by an increasingly unstable Pakistan. However, the lack of magnanimity shown by the current Indian government and its predecessors with regards to water sharing, the lowering of tariffs and transit to Nepal has left Bangladeshi politicians with their hands tied. To be seen as giving in to India would be tantamount to political suicide.

"At least 2 million to 2.5 million new local jobs will be needed until the global economy recovers fully, compared with 1 million to 1.1 million local job creation needed prior to the global economic crisis," the WB said in a report "Bangladesh: State of the Economy and Policy Response to the Global Economic Crisis" launched yesterday.

Due to the global meltdown, the jute sector job loss is projected to reach 50,000 by the end of fiscal 2009, the report said. Twelve spinning mills out of 341 have been shut in the textiles sector.

"The labour force is increasing by two million people a year. If manpower exports revert to the pre-boom era in the Middle East (up to 300,000 a year), the domestic economy will have to create jobs for another 500,000 people a year," the WB said.

Foreign banks are trying to gain a foothold in Vietnam, where the government forecasts economic growth will top 8.5 percent by the end of the decade. The nation joined the World Trade Organization this year and its benchmark stock index has climbed 34 percent since Dec. 31.

Zahid said the economy of the country was stable and the projected economic growth for the fiscal year 09 would be 5.5 per cent. He, however, said in the worst case of declining of export and remittance it could be as low as 4.5 per cent in the fiscal year 09.The senior economist of the bank said that the inflation rate of 6.1 per cent in January of this year was quite satisfactory due to the falling prices of commodities in the international market.

Recession in the developed markets and slowdown in the Middle East has already begun to pose threat to Bangladeshi exports and remittance inflows, he added. Citing a 30 percent decline in capital machinery import, Zahid said there might have been a significant slowdown in investments. On the impacts of the global crisis he said, export, remittance, revenue and banking sector along with the employment would be affected severely. "At least 2 to 2.5 million new local jobs will be needed until the global economy recovers, compared to 1.1 million job creation prior to the crisis," he mentioned."Demands for bailout packages from businesses might not help the poor and the agriculture, livestock and fisheries sectors are doing well", said the senior economist of the international donor agency.Xian Zhu said the impact on Bangladesh's growth may not be severe during the current fiscal year and the government should prepare the best for the worst.He said that government need to take precautionary measures to mitigate the impacts of the crisis especially for the poor by creating more jobs internally and safety net programmes should be given highest priority."The government needs to carry out the unfinished reform agenda to turn Bangladesh a middle income country," he added.

The new-generation internal communications are planned attuned to the fast-moving external world as the prime minister expressed her desire to build Bangladesh as a ‘Bridge between the East and the West.’   The major plans laid out by the prime minister are linking Bangladesh with the Asian Highway and the Trans-Asian Railway, constructing elevated expressway on Tongi-Gazipur-Narayanganj route, introducing commuter train service between the capital city and adjacent districts, setting up rail line from Chittagong to the resort town of Cox’s Bazar, underpass in Dhaka, creating a ring-road surrounding the city, modernising Chittagong and Mongla seaports.

Describing the Chittagong and Mongla seaports as the two big assets of the country, the premier said if the two ports could be modernised and a deep-sea port set up, potential of use of the ports by neighbouring countries like Nepal, Bhutan, India and even China will be created.   ‘We want to build up Bangladesh as the bridge between East and West hemispheres of the world,’ she told the meeting.   ‘Already we have decided to construct elevated roads on the Tongi-Gazipur-Narayanganj route and introduce commuter train service between Dhaka and its adjacent districts to ease the traffic congestion and overcrowds in the capital city,’ she said.

Hasina said country’s waterways and railways need to be developed so lower-income people can use these paths for communications at cheap rates.   The premier asked the ministry officials to think how the railways and waterways could be upgraded and made more effective means of travels.   Hasina informed the meeting about the government’s another plan to set up rail line from Chittagong to Cox’s Bazar to directly link the town of scenic beauty with the capital city, Dhaka, for cheaper movement of holidaymakers from home and abroad.

"This indicates the frivolous and volatile nature of the country's politics, from which, unfortunately, the major parties have again failed to break out," Ataur Rahman, a Dhaka University professor and chairman of Bangladesh Political Science Association, said of the dispute. "They are (fighting) each other on a largely non-political issue at a time when the country badly needs a new democratic structure and a sustainable administration," he told Reuters on Sunday. Analysts say such disputes are a distraction when Bangladesh's government should be concentrating on measures to stem corruption and increase transparency, steps that would help attract much-needed investment and aid to the impoverished South Asian country of more than 140 million people. Asif Nazrul, a law professor and analyst, said the government and opposition should go to court to resolve the dispute over Khaleda's residence. "It could temporarily calm down the situation. But the mistrust created through this incident may manifest in various ways and impact future politics," he told Reuters on Sunday.

The Indian delegation, headed by ICC president Sanjay Budhia, while meeting Bangladesh Prime Minister Sheikh Hasina in Dhaka on Monday, expressed willingness to set up an SEZ there. For this, it has sought a suitable 150 acre plot in that country, wherein it may attract Indian investments worth $5 billion, suggested the chamber.

Direct investment from India could help Bangladesh reduce its trade deficit with India. Massive investments from Indian corporates, including prominent ICC members will create surplus capacity which would not only improve availability of manufactured goods and diversify its basket of goods for re-export to India, said ICC.

During its discussion with the Bangladesh authorities, the Indian delegation has pointed out that sectors like energy, power (both hydel and thermal), steel, communication, healthcare, fertiliser, oil & gas, limestone and forest-based industries like paper, export of plantation crops, spices, fruits, vegetables, flower, herbs and processed foods are some of the areas which can drive a stronger bilateral economic relations between the two countries.

 According to BB statistics, Bangladesh's remittance inflow grew24.43 percent to around 7.03 billion U.S. dollars in July-March period of the current fiscal year (July 2008-June 2009) despite a global recession that forces job cuts around the world.     Bangladesh's exports in the first eight months of the current fiscal year 2008-09 (July 2008-June 2009) posted 15.90 percent growth and stood at around 10.35 billion U.S. dollars.     The country's Letter of Credits (L/Cs) against imports worth 1.57 billion were settled in February over that of 1.999 billion U.S. dollars in January, according to the central bank provisional statistics.

  The EPZs of Bangladesh is known in investment sector as an emerging star of South Asia because EPZs of Bangladesh called Asia’s low cost production base, the release mentioned. > > > >

Korean Youngone Group to expand in Dhaka EPZ

BEPZA elected vice-president of World EPZ Association

The cyclone was around 735 kilometers (456 miles) southwest of Chittagong Port, 685 kilometers (425 miles) off Cox's Bazar and 600 kilometers (372 miles) south/southwest of Mongla Port at 6 p.m. (local time), the Met office said."It is likely to intensify further and move in a north or north-easterly direction," the Met office bulletin added.

The country's march towards white revolution has suffered a severe jolt as a massive slump in price of imported powdered milk and low taxes put the dairy industry on a life support.

The country's overall trade deficit rose to $3.451 billion during the period from $2.838 billion of the corresponding period of the previous fiscal.During the period, export earnings stood at $9.073 billion against the import payments of $12.524 billion, according to the central bank statistics."Due to larger current account transfers of $5.784 billion the current account balance recorded a surplus of $464 million during July-January, 2008-09 against the surplus of $168 million during July-January, 2007-08," the central bank said in its Major Economic Indicators: Monthly Update-March, 2009, released recently.The overall balance also showed a larger surplus of $618 million during the period under review against the deficit of $45 million during July-January period of the previous fiscal, the Monthly Update added.

"Both the government and the central bank are now working to help mitigate the impact on the ongoing economic meltdown in our economy," the central bank official said.He also added that the BB has taken some measures including slashing interest rate on lending in five specific areas and relaxation of loan rescheduling rules to four affected export-oriented sectors.

Meanwhile, remittances from Bangladeshi expatriates stood at $7.029 billion in nine months of this fiscal, growing by 24.43 per cent from that of the corresponding period of last fiscal.The country received $7.029 billion during the July-March period of fiscal 2008-09 against $5.649 billion of the corresponding period of the previous fiscal, the BB's data showed.However, the flow of net foreign direct investment (FDI) rose to $764 million during the period from $430 million of the corresponding period of the previous fiscal, according to the Update.On the other hand, the flow of portfolio investment has recorded a deficit of $67 million during the period under review due to the ongoing global financial meltdown, they added.The net receipts of foreign aid stood also lower at $580.62 million during the period against $669.15 million of the corresponding period of previous fiscal, the BB officials confirmed.

The top three operators -- Grameenphone, Banglalink and AKTEL -- have withdrawn their Tk 0.25 special tariff. The three operators control more than 90 percent of the market, or 40.14 million customers. The total market size is 45.21 million customers.The mobile operators had previously charged Tk 0.25. Now they are charging a minimum of Tk 0.40 to Tk 0.49 per minute. Grameenphone and Banglalink have recently increased their 'start-up' prices to Tk 900, which ranged from Tk 450 to Tk 500 a month ago. "Bangladesh has the lowest call rates in the world, which means that return on investment takes a very long time. This is why most mobile operators today are still not profitable," Ahmed Abou Doma, chief executive officer and managing director of Banglalink, said yesterday.

Egypt-based Orascom Telecom's subsidiary Banglalink entered the market in 2005. Even after having the market's second largest customer base, the company is yet to enjoy profits mainly because they had to bear the huge subsidised connection costs.

Till December 2007, Aktel was churning profits. But after paying a big fine for conducting illegal VoIP (voice over internet protocol) operations, like other companies, Aktel started to incur losses from early 2008. However, among the top three players, only Grameenphone is now enjoying profits. But it has also revised its tariff plan to continue the trend.