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Tax

Bangladesh Economic Update, November 2011

The current issue of Bangladesh Economic Update focuses on the tax system in Bangladesh particularly in the wake of challenges posed by growing fiscal deficit. The issue investigates into changes in tax and non-tax revenue, compares its pattern in terms of GDP, and makes decomposition by sectors. The issue also tries to understand the biases of the tax system. The issue also looks into the current tax in relation to broader public expenditure.
 
The collection of tax is grossly increasing over the years in Bangladesh but at a slower rate which is inflating the gap between...
 
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Capital Market

Bangladesh Economic Update, October 2011

Capital Market of Bangladesh is one of the smallest in Asia but the third largest in the South Asia. It has two full-fledged automated stock exchanges: Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE). Securities and Exchange Commission (SEC) implements rules and regulations, monitors their implications to operate and develop the capital market.

This report has emphasized on the DSE in understanding the recent nose dive in capital market. This issue has also focused the trends in market capitalization, investment capitalization ratio, turnover, volatility of share index, the number of listed companies and monetary policy
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 Remittance

Bangladesh Economic Update, September 2011

The remittance, a driver of growth of the economy of Bangladesh, has become a cause of concern, particularly against the backdrop of dwindling current account balance and volatility in the exchange rates, having implications over the macroeconomic stability and prospects of growth. The gap between actual flow of remittance and the government’s target articulated in the medium term macroeconomic framework (MTMF) is on the rise and might grow sharply in the upcoming years. In FY 2010-11 the actual receipt of remittance totals USD 11,650.30 million than that of the MTMF projection of USD 14,000 million, a shortfall of USD 2,349.70 million. If the current trend prevails, the gap might increase further in FY 2014-15 and under the business...

 
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 Debt & Deficit

Bangladesh Economic Update, August 2011

 Public debt and debt sustainability have been a concern of both fiscal and monetary policies in Bangladesh. The ever-rising public debt has been exerting a serious pressure on the macroeconomic stability of the country.  It puts an upward pressure on real interest rate crowding private investment out. It increases demand for servicing debt payment, reducing the government capacity for public investment. The social sector spending becomes prime causality.

The per capita debt burden is also on the rise over the years. The per capita debt burden in FY 2010-11 in Bangladesh has increased by 8.41 percent than that of FY 2009-10 (USD 151)...
 

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