Downturn in the import payments continued in March as an unfavourable business situation persisted in the country in the last few months due mainly to the ongoing political turmoil, shortage of gas and electricity and higher rate of interest on banks’ lending,
said officials of the Bangladesh Bank.The latest import data of the BB showed that the settlement of letters of credit or actual import payment posted a negative growth in March although the import of food grains (rice and wheat) increased significantly in the period.
The BB officials feared that the declining trend in import payment might continue in the months to come if the existing political crisis persists.
According to the latest BB data released on Thursday, settlement of LCs in March registered a negative growth of 5.38 per cent compared with that of a negative growth of 3.52 per cent in the corresponding month of 2012.
The total import bill payment in March stood at $2.63 billion. It was $2.78 billion in March 2012 and $2.88 billion in March 2011.
The BB data showed that the import of capital machinery decreased to $117.68 million in March this year from $160.22 million in March last year, that of other machinery to $48.81 million from $57.53 million and that of computer accessories to $15.75 million from $20.09 million.
A BB official told New Age on Thursday that the import of capital machinery which is considered a pivotal component in setting up new industries had maintained a declining trend in March.
The businesspeople are now reluctant to expand their industrial units as they are anxious about the trade and commerce situation in the country amid the current political unrest, he said.
Moreover, the high rate of interest on banks’ lending and shortage of gas and electricity also held the businesspeople back, he said.
The lower import payments for rice and wheat earlier made a positive condition for the government, but the import of the food grains increased significantly in March, the official said.
The import of rice and wheat increased to $2.79 million and $32.96 million in March this year from those of $0.88 million and $17.23 million in March last year.
The BB data showed that the LC opening or import orders in March this year had increased by 16.70 per cent compared with that of a negative growth of 18.52 per cent in the same period a year ago.
In March 2013, LCs worth $3.28 billion were opened by the banks compared with LCs worth $2.81 billion opened in March 2012. LCs worth $3.45 billion were opened in March 2011.
Another BB official said that the increasing trend in LCs for food grains and back-to-back LCs (fabrics and accessories) for the garment sector had increased the import orders in the period.
newagebd
-With New Age input
