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Senior bankers and experts have urged the authorities concerned to ensure a coordinated and integrated approach among the government, the central bank and the financial institutions (FIs) to promote sustainable financing in the country. This is now the right time for transformation from regulatory approach to collaborative approach for ensuring ownership of the market participators as well as for giving the right kind of impetus towards achieving sustainable finance, they added. These observations came at a research workshop on 'Exploring Barriers of Sustainable Finance in Financial Sector and Policy Propositions to Remove the Barriers'. The programme was held at Bangladesh Institute of Bank Management (BIBM) in the capital on Thursday with BIBM Director General (DG) Dr. Toufic Ahmed Chowdhury in the chair. It was jointly organized by Sustainable Finance Department of Bangladesh Bank (BB) and BIBM. "The coordinated approach will help make sustainable finance more effective and beneficial," said Shah Md. Ahsan Habib, leader of the research team, while presenting his draft findings at the workshop. Sustainable finance should be promoted as an approach for having the right kind of balance between efficient banking operations in an environment of sound corporate governance as well as for addressing needs of the society, explained Dr. Habib, also a professor and director (training) of BIBM. BB has been giving efforts and taking initiatives to make the finance of banks and non-banking financial institutions (NBFIs) sustainable. "We want to make finance sustainable. It will make business sustainable, which will in turn make our development sustainable," BB Deputy Governor S K Sur Chowdhury said while speaking at the workshop as the chief guest. He also said the fundamental challenge is to ensure that the financial system serves the transition to sustainable development, which needs to unleash future wealth creation while ensuring an inclusive development that protects and restores the environment. "Policies, regulations and norms must shape more stable and efficient financial systems that are also more connected to the mainstream economy along with social and environmental challenges it faces," the BB deputy governor noted. He also said integrating sustainable financing innovations into the evolution of financial systems provides the developed and developing countries with both short and long-term potential benefits. The bankers have indentified lack of technical know-how about green products as a major barrier to effective governance of green finance, according to the draft survey report, prepared on the basis of data and opinions, collected from 33 banks and NBFIs. The report also said the banks and NBFIs are facing several challenges in ensuring transparency. Around 27 per cent banks identified fake documentation by clients as a major obstacle in ensuring transparency. "Wilful default and fund diversion are the major risks associated with transparency to ensure fund recovery properly," it noted. Besides, insufficient knowledge in all levels of stakeholders is identified as the major barrier to promote sustainable financing in capacity development issue, according to the survey. The policy propositions might contribute to addressing the social and environmental concerns, associated with financing by the local banks and NBFIs. However, if the key areas of financing activities do not sustain or do not perform in a sound manner, the developmental roles of the banks and NBFIs for environmental and social risk management cannot be optimised, the report added. Taking part in the discussion, Khondkar Ibrahim Khaled, A K Gangopadhya Chair Professor of BIBM, recommended developing a core fund in the central bank with allocations from the government. BB and the commercial banks will also contribute to the proposed fund that will help minimize possible loss in the sustainable financing, the senior banker opined. Helal Ahmed Chowdhury, Supernumerary Professor of BIBM, suggested all the stakeholders to work jointly under an umbrella for boosting sustainable finance across the country. Muhammad Yasin Ali, Supernumerary Professor of BIBM, emphasised expediting financial literacy, saying that it should be introduced from primarily school level. Among others, Shafiqul Islam, executive director of BB, Abdul Qaymum Mohammad Kibriya, faculty member of BIBM, and Manoj Kumar Biswas, general manager of BB, also spoke on the occasion.     siddique.islam@gmail.com....

Published at: 2017-08-25 05:00:05

The damage to the dam protecting Bangabandhu Bridge due to floodwaters is not posing any risk to the bridge, authorities have said. The Bridges Division said in a statement on Thursday the work to repair the damaged part of the dam was under way.  On Tuesday, a portion of the dam on the southeastern side of the bridge collapsed, raising fears that the bridge will also be harmed. The division said in the statement there is 'no possibility' that the bridge will be damaged due to the collapse of a portion of the 200-metre long dam, some two kilometres away and 800 metres from the guide bund. It urged the people not to 'panic', saying that bags were being put on the damaged part in an immediate effort to protect the dam.     — bdnews24.com  ....

Published at: 2017-08-25 05:00:05

Speakers at a seminar stressed on Wednesday the need for implementation of the Financial Reporting Act (FRA), 2015 to ensure credibility, transparency and accountability in the audited reports of the publicly listed companies. Meanwhile, the professional accountants working with these organisations should scrutinise the financial reports from the standpoint that secures the public interest most, they said. The speakers came up with the views at a seminar titled 'Financial Reporting Act: Role and Responsibilities of Professional Accountants' organised by the Institute of Cost and Management Accountants of Bangladesh (ICMAB) at its headquarters in the city's Nilkhet area. Financial Reporting Council (FRC) chairman C. Q. K. Mustaq Ahmed attended the programme as the chief guest while associate professor of East West University Dr Nikhil Chandra Shil presented the keynote paper. ICMAB president Jamal Ahmed Choudhury chaired the seminar while the institute's vice president Mohammed Salim, secretary Md Abdur Rahman Khan and former president Arif Khan also spoke on the occasion. Mustaq Ahmed said implementation of the FRA and establishment of the FRC will ensure good governance in the financial institutions, and it is a must to attract foreign investment into the country. He said the FRC will regulate the functions of auditors and different financial organisations to ensure transparency and accountability. "Self regulations are no longer there, people are getting affected; so, regulation is needed for the sake of people and the society," he said replying to the professional accountants' concern over the FRC's power to punish convicted auditors. The FRC chairman, however, said the regulatory body's role is yet to be finalised, the process is on evaluation, rules are still to come and ethical standard of the body is yet to set. Before enacting the law, the government thought that the FRA will not be effective without the provision of punishment in it, he added. Referring to the contribution of ICMAB members in formulating the FRA, the institute's president said ICMAB replicated the USA model of the act and structure of the regulatory body in line with the context of Bangladesh. The act will bring credibility, transparency and accountability of the companies which will ultimately benefit general people, he added. Mr Choudhury also mentioned that the ICMAB has submitted a report to the Ministry of Commerce to make it mandatory in the draft Companies Act to employ qualified chartered accountants or cost management professionals in the publicly listed companies. Presenting the keynote paper, Dr Shil said the FRC has four different roles to play including -- standard setting, financial report monitoring, audit practice review and enforcement - which will make its operation challenging if lacks in workforce. Replying to a question about safeguard of the chief executive officers if they refuse to sign any manipulative financial reports, Mr Arif Khan said it is a problem of our country's culture, so, professional accountants will have to face this type of crisis collectively to find a way out. ahb_mcj2009@yahoo.com....

Published at: 2017-08-25 05:00:05

Former Thai PM Yingluck Shinawatra has failed to show up for the verdict in her trial over a controversial rice subsidy scheme. Lawyers for Ms Yingluck, who is charged with negligence, said she was ill. But the Supreme Court said it will issue an arrest warrant for her and has delayed the verdict to 27 September. She has denied any wrongdoing in the scheme which cost billions of dollars. If found guilty, she faces jail and a lifetime ban from politics. On Friday Ms Yingluck's lawyers requested a delay in the ruling, telling the court that she had vertigo and was unable to attend. But an official Supreme Court statement said prosecutors "do not believe the defendant is indeed ill as there is no medical certificate, and the condition that she claimed is not so severe that she cannot travel to the court". Ms Yingluck, who became Thailand's first female prime minister in 2011, was impeached in 2015 over the rice scheme by a military-backed legislature, which also brought on the legal case. But she remains popular. Hundreds of her supporters turned up outside the Supreme Court in Bangkok on Friday, amid a heavy police presence. Ms Yingluck's rice subsidy scheme, which was part of her election campaign platform, launched in 2011 shortly after she took office. It was aimed at boosting farmers' incomes and alleviating rural poverty, and saw the government paying farmers nearly twice the market rate for their crop. But it hit Thailand's rice exports hard, leading to a loss of at least $8bn (£6.25bn) and huge stockpiles of rice which the government could not sell. Though popular with her rural voter base, opponents said the scheme was too expensive and open to corruption. During her trial, Ms Yingluck had argued she was not responsible for the day-to-day running of the scheme. She has insisted she is a victim of political persecution. Ms Yingluck's time in office was overshadowed by controversy as well as strong political opposition. The youngest sister of tycoon and former prime minister Thaksin Shinawatra, Ms Yingluck was seen by her opponents as a proxy for her brother, who was controversially ousted by the military in 2006. Both siblings remain popular among the rural poor, but are hated by an urban and middle-class elite. Their Pheu Thai party has - under various different names - won every election in Thailand since 2001.  ....

Published at: 2017-08-25 05:00:05

Consumer Rights Protection wing under the commerce ministry in partnership with the Bangladesh Food Safety Authority (BFSA) under the food ministry will work together to ensure safe food in the country. The consumers have already started getting the benefits of formation of BFSA as the average life expectancy has increased.   Commerce minister Tofail Ahmed made the observations on Thursday at the concluding session of a two-day Bangladesh Food Safety Conference 2017 with the theme 'Protecting Consumers: A Shared Responsibility'. The conference started Wednesday at a city hotel and brought together the food industry and regulators with an aim to enhance the quality and safety of food for the consumers. Metropolitan Chamber of Commerce and Industry (MCCI), Foreign Investors' Chamber of Commerce and Industry (FICCI), Bangladesh Standards and Testing Institution (BSTI) and BFSA jointly organised the conference, first of its kind, in collaboration with 19 local and multinational companies. "The Directorate of National Consumer Rights Protection (DNCRP) and BFSA will work jointly to ensure safe food for the consumers," Mr Tofail said. He said consumer rights protection department has been working to create awareness among the consumers. Besides, the success rate of settlement of the complaints of last four years is quite encouraging. "We have settled all the complaints lodged in last three years. This year from January to July, 6060 complaints have been lodged of which 5,762 have been settled," he said. Besides, the department realised Tk 61.44 million in fines from different organisations. The minister informed that Coca-Cola has expressed interest to invest about $75 million in a new project in Bangladesh. Food minister Qamrul Islam who was present as the special guest said in foreign countries, people can eat street food without any concern. As Bangladesh has a vision to become a developed country by 2041, it should have same types of food so that other people can have the Bangladeshi street foods without being worried. "We want to reach the target so that people can take our any kind of food without tension. After ensuring food sufficiency, the government has been working to ensure the constitutional rights of people to get safe food," he said. By forming the BFSA, now 18 ministries and 480 agencies have got the chance to work together under it in the areas of food safety which was earlier quite scattered, the minister added. BFSA chairman Mahfuzul Haque said one of the major mandates of BFSA is to work closely with the food industry so that they are encouraged to produce high quality food products and come under a good food safety compliance, which is also mentioned in the law. "We have a target to work closely with the food industries as per the five-year strategic plan 2017-2021," he said. Earlier in a consultation session titled "A Farm to Fork Approach', chaired by Bangladesh Institute of Development Studies (BIDS) director general KAS Murshid, speakers laid emphasis on Codex harmonisation, capacity building of the inspectors, implementation of regulation seamlessly, consumer education, self regulation by the industries by ensuring quality assurance and quality control to help guarantee safe food for the consumers.     msshova@gmail.com....

Published at: 2017-08-25 05:00:05