Policy Rate Perks And Taxing Export

Policy rate has many solutions to offer, Tax export to fill govt coffer.

Latest inflation data reveals that inflation rose to 8.55% from 8.48% in July. Constant increase in rice prices,caused food inflation to rise to 9.56% in June , and rise in nonfood inflation from 9.37% to 9.38% maybe the reason for this hike. Rice price in particular increased by Tk 8/ kilo, prompting govt to allow private importers to import rice.

Meanwhile, keeping the policy rate at double digit is still being criticized though it brought down inflation from 11% to current level. The govt is apolitical and it has courage to do this thing before election. Otherwise, popular govt may have difficulties maintaining this kind of contractionary policy amid pressure from various groups. Before election, investors are reluctant to go for new investment and poor private sector credit growth tells all of it. So the timing is good and central bank is doing the right thing though many thought it was wrong.

As I highlighted before, keeping the policy rate high thwarted would-be launderers from taking loans and keeps Taka's value stable. Lowering the policy rate may make central bank's intervention in the foreign exchange market ineffective. With the high policy rate, depreciation pressure on Taka is low, so central bank's intervention in forex market will lead Taka keep a desired value. With low policy rate, depreciation pressure on Taka will be higher as the NPL keeps growing, so forex market intervention may not yield the desired result and wild fall of Taka maybe observed, worsening the passthrough effects of inflation and farther raising the cost of goods and services. Another thing I mentioned in one of my earlier posts is that higher policy rate is helping many ailing private and public institutions and it helps provident fund to grow,addressing the inflation. Otherwise, govt would have to intervene and provide cash to them through printing money or using the bloc grants. The balance sheets of many institutions say ,as the news reports revealed, they made profit through investment in treasury bonds. Again market mechanism addressing the prevailing maladies, when investment prospect and law & order situation is doomed at grassroot level. Recently, I encountered a news report on a public sugar mill[,located in Jhenidah,] bogged down with unsold sugar worth of TK 360 million as market price is lower than the govt set price. The mill is waiting with the sugar stock amid undue payments for the workers. If the provident fund's money is invested into treasury bonds, then by this time workers would take loan from provident fund and may not face financial hardship. They might sell the sugar in favorable time and clear the loans. Govt intervention would not need at all. Moreover, situation like workers [descending] on streets could be avoided.

The 20% tariff is not something to remain complacent. Back in February, no one would imagine such a situation might pop up. But it happened and seriously jolted the macroeconomic situation. We have to accept that WTO is dead and we live in post WTO world. We exactly do not know what will happen in the next two quarters. So there is no reason for being content with the 20% tariff. Rather, we should chalk out contingency plan how to avoid situation like this again.

It is indeed interesting that other countries are imposing [tax] on our exports and remittances while we are charging nothing. I argued several times if we would tax remittances and export(*see "Tax On Remittance: Good Or Bad?", published here on May 20,2025), govt coffer might fill with ample money to provide more private sector credit. 1% tax on remittances and export will bring Tk 4/5 billion revenue , discarding the need for imposing minimum tax on all the TIN holders. Revenue will be used to intervene in the forex market to depreciate Taka in a bid to give incentives and provide private sector credit to banks. There should be two way traffic of receiving incentives and giving tax.

It is indeed a good move to keep the policy rate same as it screens out would-be launderers, improves balance sheet of companies amid stagnant business, keeps the depreciation pressure low, checks cost of production and [reduces] need for govt intervention. 20% tariff does not herald a new dawn rather exposes challenges in a post WTO world where black swan events will be more frequent. We should start imposing tax on remittances and exports to cover the incentives. Preparing and bracing ourselves against the black swan event will prevent the need for Middle Eastern intervention for saving the day.

[*Update: this piece is updated on August 12,2025. The update includes reference to tax on remittance argument.]

Who Is Running The Narrative Mill?

As tools to change economy's fate, Under scanner are real policy and exchange rate.

Recently, a strong argument was put forward against pursuing high policy rate and depreciation of Taka against USD in the past. The two key policy decisions have been termed as a result of specific narrative. The argument came from a gentleman who is executive director of a local think tank. I am a bit surprised by reading the opinion piece and expected more economic reasoning behind such argument. (See "Shud Har,Mudra Binimoy Har Ebong Mullo Sphitir Boyaner Punorbhabna(Rethinking The Narrative Of Interest Rate, Exchange Rate and Inflation)", Sajjad Zohir,February 16,2025,Daily Bonikbarta )

The gentleman belongs to the same school of thought who believe raising the policy rate is not the solution to tame the inflation and transitory effect of depreciation worsens the inflation.

In the past,we heard argument that higher tariffs on commodities barred bringing down the price levels. For edible oil and sugar, the NBR should not have lifted off the tariffs since the two are major sources of revenue. And the decision cost the govt at least Tk 3156.5 crore (See "Where Is The Change?" published here on January 18,2025).Now govt is facing a revenue shortage(27% of the first half of current fiscal year) amid high inflation and chronic soybean oil shortage. For five long years, we have not raised the interest rate enough to beat the inflation. Rather, sticking to 9% and 6% rates for all these years led to massive money laundering. To meet the liquidity crisis of the banks, the central bank literally printed and injected money into the trouble ridden banks.

High interest rate worked as a screen to discourage potential money launderers from taking further loan. It also helped the govt to check its spending on interests of National Savings Certificate(NSC). High deposit rates and restrictions diverted money from non-bank savings to other sources(see the MPS, page-10).

Govt's heavy borrowing from banks is another reason for not having enough money at the banks. Public sector credit growth (18.1%) is higher than the projection(14.2%). So there is not enough of the pie left for the private sector. This is happening when foreign budget support is drying up.

Governance crisis in the banks is the main reason many clients feel shy to go to the banks. However, the governor claims many clients resumed depositing money into trouble-ridden specialized banks. Bangladesh Bank claims tight liquidity situation is due to continuous support of the subsidized Taka against USD, poor recovery of credit,cash holding, size of NPL and dismal state of deposit growth( see the MPS, page-10).

Real interest rate has only become positive in January 2025 if our inflation reading is correct. It is true that large depreciation causes inflation through transitory effect in the short run. But look at the timing of our depreciation: once it was done when crude oil price was falling. Now prices of rice and other commodities are falling. This somehow offset the pass-through effect of depreciation in the long run. I somehow find the statement depreciation causes domino effect of inflation a bit banal. When nominal interest rate is below inflation rate,the central bank intervenes and raises the policy rate,causing the local currency to appreciate against major currencies. It holds back the currency to depreciate further. Meanwhile, the new exchange rate of Taka attracts export order and remitter. This is indeed the case. Last year, despite the political turbulence, our RMG export registered 7.23% growth and remittances registered 22% growth. Riding on this achievement, our overall Balance of Payment deficit declined to $384 million in FY 2025 from $3.5 billion in FY 2024(see The MPS,page-14). This further stabilizes the local currency and thwarts the depreciation pressure ( more USD coming in then going out).

If the central bank were stuck at the old exchange rate, then it might have to sell more USD from reserve (which is now more than $20 billion),print and inject more Taka into the system (worsening the inflation), to increase the size of NPL,leading to a macroeconomic disaster.

Another good thing about large depreciation is that it works as incentives both for the exporters and the remitters. The extra Taka the remitter/exporter get will help him/ her to mitigate the loss from inflation and higher policy rate. Govt also saves the money given as incentives to these two groups. Previously govt gave 5% incentives to remitters. It has now become 2.5% and this costs the govt Tk 70 billion every year,as claimed by the governor himself. We can still save this Tk 70 billion, by discontinuing this 2.5% incentive and without disrupting the remittances inflow.

Despite high interest rate, undocumented money or money at hand is not coming to the banking system due to governance or political reason. Some of the areas where undocumented money may find the safe sanctuary are real estate, IT and the stock market. Scam ruined the IT sector. Political uncertainty and misaligned interest rate bar developers to undertake new project in the real estate. In addition, govt doubled the registration and reregistration fees in a bid to boost revenue earning amid revenue shortfall,discouraging owners/buyers to sell/buy property. Again undocumented money not coming to the system is mainly due to political uncertainty and governance situation, which caused the macroeconomic instability.

I still do not find any logical explanation why he thinks real policy rate or real exchange rate concepts are mere "narrative". If real interest rate is negative, then investing the pension money into interest- bearing assets of local institution and govt will ruin millions of employees including those from public and private think tanks.This is what the IMF laid bare in their discussion with the Pension Fund Authority , which intended to invest pension fund into NSC when inflation rate surpassed nominal interest rate.

Yes it is true that inflation is sometimes wielded as argument to raise the salary. But it is true for those affluent countries where collective bargaining is strong and government is no short of resources. Neither of the two presents here. So the argument inflation is put forward as a reason to salary hike is not true for Bangladesh.

Misaligned policy rate ,pegged exchange rate and high inflation are some of the reasons international credit rating agencies in unison downgraded our credit ratings. Singapore and UAE based banks charge more conditions and interest rate to lend us credit. Most importantly, I have deep faith in standard text books which never include mere "narrative".

MPS: Uncertainties Remain

Bangladesh Bank has unveiled second Monetary Policy Statement (MPS) to fight inflation. The MPS aims to bring down inflation to 7.5% at the end of FY 24 while anticipating a GDP growth rate of 6.5%. Government claims inflation slightly eased to 9.41% in December ’23 from 9.48% in November ’23. However, rice market shows a steady rise in prices. Meat market particularly beef experiences increase in prices after failure of concerted efforts to bring it down to Taka 600/kilo. In general, food inflation has not lowered to a tolerable level yet. Lowering of non-food inflation, caused by regulated imports, contributed to the slight improvement in inflation.

Bangladesh Bank recorded that consumer credit growth fell and became around 15% in 2023 than 27% in 2022. That means a fall in demand is likely to improve the inflationary situation in the future.

Crucial thing is Bangladesh Bank raised the policy rate by 0.25% ,making it 8% from 7.75%. The raise is small. I think after looking at the January inflation data it may raise the repo rate further. It lowered the standing lending facility (SLF)rate by 0.25%,making it 9.50%, and raised standing deposit facility (SDF) rate to 6%. Lowering of SLF rate indicates that the need for banks for emergency resort to the central bank will not wither away soon. That means liquidity crisis of the banks may persist in the remaining half of this fiscal year.

Bangladesh Bank also introduces exchange rate band corridor system, known as crawling peg, as a step before fully moving to floating exchange rate system . However, the difference between the official and unofficial rate is still more than Taka 10 and some economists remain skeptic about its effectiveness.

Bangladesh Bank projects that private sector credit growth will be 10% ,lower than 11% projected earlier. Public sector credit growth also lowered to 27.8% from 31%. This is in line with the measures to curtail money flow.

Bangladesh Bank governor remains optimistic about overcoming problems related to political uncertainties. He is optimistic that multilateral donors and investors will go ahead with their plans and pledged money will continue to come. Political uncertainties are still there as thousands are still in prison and no reconciliation has been reached between the two major parties. European Union Election monitoring team is still in the town and prepare their report ,which will decide future course of its relations with Dhaka. European Union head in Bangladesh while talking to journalists made it clear that EU will work with Bangladesh based on this report. Last week factories in Dhaka and Chattogram EPZs witnessed forced closures as crestfallen workers are not happy with the new wages. Not only that economist Rehman Sobhan compelled to pen an opinion piece in defense of Nobel Laureate Professor Yunus, sentenced to six months imprisonment by labor court in a so called violation of labor right, calling the whole trial decaying governance and biased. He fears similar oppressive moves against independent and objective voices. US sanctions still loom large after the one-sided election. In addition, a survey by World Economic Forum reveals that 87% economists think there will be uncertainties in the coming months. Insurance premium for container vessels has gone up after several ships came under attack in the red sea. Our RMG export to EU relies on this route. It is too early to tell confidently that governance is improved and uncertainties are gone.

I anticipated a big raise like the previous 0.75% in policy rate. Anyway in future months we may see more raises if inflation is not tamed. Containing food inflation should be the main focus right now.

Friday, November 24, 2023

Wrong Move And Slow Policy Alignment

MPS raises policy rate again, Despite optimism, uncertainties remain.

50 paisa raise without hike in policy rate A wrong move that may not improve the current state.

Recently, Bangladesh Foreign Exchange Dealers Association and Association of Bangladesh Bankers decided to raise the exchange rate of taka against USD by 50 paisa. Exchange rate of taka has become 110 against the USD from taka 110.50/USD. But this appreciation is not result of interest rate hike rather it is set by some platforms. Meanwhile, local banks unofficially and foreign remittance houses are offering USD at taka 120 or below , slight appreciation from the previous week. It is unclear how the move may help improving the inflationary situation. On the contrary, banks and local exchange houses are likely to gain from such appreciation. This is the right time for another significant raise in policy rate amid dull economic activity. Yet it did not happen. Back in October I penned a piece titled "Slow Alignment Costs Investment", highlighting the costs of slow alignment. Sharing it again:

Recently, the World Bank has downsized Bangladesh growth forecast. It also predicts that inflation in the next fiscal year will be hovering around 8.5%. Earlier IMF in its economic outlook said that it would take at least 2/3 years for Bangladesh to stabilize its economy.

Bangladesh Bank has already said that it has no intention to change its monetary policy before the next general election. This means easing of inflationary pressure may take some time.[However,on October 04,2023,Bangladesh Bank has raised the policy rate/repo rate by 75 basis points.]

Meanwhile, soaring inflation dents in the pockets of lower income group and casts shadow over the investment projects outside the economic zones. If there were several raises in policy rates in one/two quarters( that I argued in a previous piece,see "Could Bangladesh Get The Second Credit Pack?" ), things might have improved one/two quarter later. Now, real interest rate is negative, meaning nominal interest rate is still below the inflation rate. Notion such as this misalignment will be addressed future—interest rate will rise further ---will hold back investors to go ahead with investment projects. Why?

Answer lies on how big investors make their decision. If you look at the discounting criteria then it is not a wise idea to implement a project when interest rate is likely to rise further. Because net present value of cash inflow decreases as interest rate increases. Moreover,cost of capital goes up further,raising the cost of doing business in the country. For FDI project or investors investing in economic zones,this may not be a big issue as they have access to cheap foreign credit/financing. But interest rate could become a factor when their local vendors try to purchase things from local market. Not only the interest rate, the rigid exchange rate may also increase their cost of doing business.

While inflation may continue to dominate interest rate, interest rate may vary in future. In such case, internal rate of return (IRR) based decision becomes untenable as interest rate varies in short period.

Tribal nature of our politics plays a conducive role in mingling business with politics. In such case, investment projects associated with ruling regime with payback period longer than 5 years will go abroad. Investment with higher cash inflows and payback period less than 5 years may see the light. Now guess what businesses will offer you high cash inflows in the face of overwhelming odds! Meanwhile, investment projects associated with opposition creed may go abroad as they may find it difficult to operate here.

Failure of MPS to contain inflation casts shadow over the economy. Interest rate policy chases the inflation at slow pace, sending wrong signal to investors. Political impasse and US Visa restrictions complicated the matter. Amid high inflation we need investment projects to create jobs and generate optimism in the economy. Yet the current policy shelves those projects at a later date or pushes them abroad.

Is Bangladesh Bank Really Independent?

Meddling in decision making Yields result no one seeking.

Bangladesh Bank raised the policy rate by 50 basis points, detailing its inflation containing measures in the monetary policy statement for July-December. However, the increase may not be good enough to contain the inflation. Real interest rate is still negative( -4.26% for deposit and -1.35% for lending)¹. This means inflation is still higher than nominal interest rate. And we need to raise the interest rate high. Many argue inflation is hovering around 15%. Rate charged by unofficial money lenders could be a good indication of the market rate.

Central bank's argument of injecting $13 billion into market and mopping up Taka in the last one year sounds hollow as inflation officially is around 9.94%. It is not clear how it oozed the demand pressure.

Another thing I discussed earlier following the MPS in January is that Bangladesh Bank flaunts export receipt growth as an indication of demand increase of Bangladeshi items abroad². However, inflationary pressure is still there and prices of lower end items that Bangladesh export in bulk quantities also rise. Bangladesh Bank's own figure on policy rates of advanced countries show an upward trend since December 2022(see picture). Of course demand for Bangladeshi items is in rise in other countries, but the growth in export receipt does not account fully the growth in demand. Inflation played a role here and ratio between export earnings and volume could have yielded a better picture. Cargo handling through Chattogram port also declined significantly in recent months.

Policy rates of advanced countries (Source:MPS,Jul-Dec,2023,Bangladesh Bank)

Bangladesh Bank labelled the decision to downgrading the credit rating of Bangladesh by Moody's as a geopolitical one. Why did some banks based in Dubai and Singapore lower the credit limit and increase loan conditions for Bangladeshi banks if this is so? Both UAE and Singapore have good relations with Bangladesh and affluent Bangladeshis in general pick up the two countries as second home. Singapore is one of the top five investor countries.

Central bank also claimed that it takes decision independently and there is no political intervention.

Central bank is run by prudent and competent personnel. Their integrity and commitment to run an organization is not questioned here. Unfortunately , it is no distant island in Bangladesh’s command and control political atmosphere. On some occasions, past actions revealed how its independence was compromised:

• Bangladesh has long been following multiple exchange rates. Gaps in the rates discouraged bringing foreign currency home and played a conducive role to send foreign currency abroad. Many economists argued this mismatch plus incentives on remittances went in favor of speculators and money launderers. And future depreciation of Taka will benefit opportunists who willfully delayed bringing their earnings at home. It is naïve to say Central bank is ignorant about this fact. I think political pressure held it back from taking the right stand.
• In November last year, while an IMF team was in an official visit to Bangladesh, a little known Nabil Group swindled around Tk 90 billion from several Islamic banks.Till date,whereabouts of the money is not known.This plundering shook depositors' confidence so much that many were prompted to withdraw their money,leading to a liquidity crisis in the Islamic Banks. To address the crisis, central bank provided Tk 147.90 billion credit to the troubled Islamic banks through promissory demand note³.Govt literally printed the money and injected it into the ailing banks⁴. Troubled banks were not able to manage loans from other banks. I think this supply of fund through promissory demand notes was a political decision to restore depositors’ confidence. Similarly it is not clear how Nabil Group managed to get such a huge loan evading Bangladesh Bank radar. Clearly, independent decision making power of Bangladesh Bank is compromised here too.
• Bangladesh Bank recently approved application of Nagad Finance PLC to operate as another non-bank financial institution⁴. It will finance Nagad,set up in 2019 and country’s leading mobile financial services operator. Regulations prior to 2022 clearly stated that MFS operators work as subsidiary of a bank. Nagad is an exception. It is not subsidiary of any bank.Later MFS regulations 2022 allows non-bank financial institution to operate mobile financial services(see pictures). Approval of Nagad Finance hints strong political lobbying.Bangladesh Bank intervened when age limit of a managing director of a specialized bank crossed a threshold limit.But here we see a multibillion Taka company operates year after year not meeting vital criteria and regulations have been changed for its smooth operations.Political objectives here influenced the actions.
  

  MFS Regulations 2018

  

  MFS Regulations 2022

Apart from that Equity And Entrepreneurship Fund (EEF) and EEF for ICT have been misused on several occasions. Often it was found that external influence played a role in some cases.

Bangladesh Bank cannot act freely in the present context. Its exercise of sovereign decision making power has been limited in recent years as political intervention is more frequent. Despite cautious optimism and adherence to contractionary monetary policy , inflationary situation may spiral out of control if central bank kowtows before political pressure.

Notes And References

1. Monetary Policy Statement, July-December,2023,Bangladesh Bank
2. "Will MPS Attain The Goals?",Rezaul Hoque,January 20,2023.For more read at https://hoquestake.blogspot.com/2023/01/will-mps-attain-goals.html?m=1
3. "Receding Trust In Banks",Rezaul Hoque, https://hoquestake.blogspot.com,January 13,2023.For more read at https://hoquestake.blogspot.com/2023/01/receding-trust-in-banks.html?m=1
4. " Inflation Woes Remain",Rezaul Hoque,April 15,2023.https://hoquestake.blogspot.com,For more read at https://hoquestake.blogspot.com/2023/04/inflation-woes-remain.html?m=1
5. "Nagad Finance PlC Gets Bangladesh Bank Approval",bdnews24.com,May 17,2023.For more read at https://bdnews24.com/amp/story/business%2F42fo8053ep

[Update:This piece has been updated by me on June 23,2023 at 10:07, at 12:50 and at 13:12 Bangladesh Standard Time. Updates include: 10:07: references 12:50: screenshots of the Mobile Financial Services Regulations 2018 and 2022 and inclusion of phrase "...and regulations have been changed for its smooth operations.Political objectives here influenced the actions." at the end of the para highlighting Nagad Finance PLC issue 13:12: screenshot of policy rates of advanced countries and correction of "since April 2023" to "snce December 2022" in para discussing export growth and demand for Bangladeshi items]

Fed's Policy Rate Hike And Its Consequences

Fed's policy rate hike Hurts investment and job alike. Addressing deficit and inflation May lead to pick unapproved coalition.

The Federal Reserve System’s decision to hike policy rate further is a great cause of concern for Bangladesh. It is likely to depreciate Taka's value against dollar.Bangladesh is already under IMF prescription and has taken a credit of $4.7 billion to address budget deficit. Sloppy economic management, fuel price hike due to war in Ukraine and US policy rate hike have made a dent into the economy.

In addition, as the country is heading for next general election, clandestine capital flight under the disguise of genuine trade flow continues unabated. Huge demand of dollars has already reflected in continuous fall of Taka.

In 1990-91,rate of taka was Tk 35.67/USD . In 1991-92,it was Tk 38.14/USD.In 1996-97, it was Tk 42.70/USD. In 1997-98,it was Tk 45.46/USD. In 2000-2001,it became Tk 53.95/USD. In 2001-02,it was Tk 57.43/USD. In 2005-06, it was Tk 67.07/USD. In 2007-08,it became Tk 68.60/USD.Biggest depreciation came this year. Now in the open market Taka is being sold at Tk 107/USD.In general,big depreciation of Taka against US dollar is observed before and after election year.

When Fed's policy rate rises,investment from rest of the world goes to the USA. It is because return on investment is higher in the USA than anywhere else.Deposits at American banks pays more. However,bonds and stocks' prices go down*.At the same time,cost on investment also increases as the lending rate rises in response to policy rate hike. So we see more job cuts,fewer expansion of businesses and tightening of wallet by household. At one hand,consumption of foreign goods fall ,on the other hand,foreigners bring their dollars to the US legitimately and illegitimately. Often this kind of capital flight pushes up the property prices in the USA.

Last year,Bangladesh became the second largest exporter of RMG items to Europe. It is unclear whether Europe’s policy to discourage Chinese export or its slow response to Fed's policy rate hike played the key role in Bangladesh’s export success. But many exporters do not bring their export proceeds in time. It is reflected at the end of each fiscal year.Mismatch ranges between few millions to a billion US dollar. IMF has already stressed to maintain unitary exchange rate regime by the end of this fiscal year. In addition, it also suggested to raise Tax-GDP ratio significantly. Though depreciation of Taka is an incentive to exporter ,increasing business cost,deteriorating law and order and higher return abroad may drive further capital flight.

Rising cost of Dollar may also aggravate import of essential commodities. Government is running a rationing program of providing essential commodities at affordable prices to 10 million poor families. As most of the commodities are importable, strong dollar is likely to increase the cost of such program. Moreover, higher prices of utility has also increased household's expenditure. To subsidize agricultural inputs in order to ensure food security,govt has to raise subsidy amid IMF's insistence on downsizing subsidy. Earlier govt printed money to dole out to the problematic banks. Govt may further print money to subsidize its programs. This will evidently push the price levels up.

“Greenfield investment in Bangladesh was declined by 59% in 2022.”

--UNCTAD

Both the inflation and Fed policy rate hike may prompt the Bangladesh Bank to raise the policy rate further at home. This means lesser investment at home in future as cost of doing business and cost of investment are likely to rise in Bangladesh. According to a report by UNCTAD, investment on relocating factories from Occidental countries to Bangladesh was declined by 59% in 2022¹**. The latest development may further erode the investment prospect in Bangladesh. Growing deficit may lead Bangladesh to solicit Middle Eastern countries for more recruitment and special arrangement on fertilizer production.

In brief,US policy rate hike has already cast a shadow over Bangladesh economy that has been bleeding from mismanagement and corruption for quite some time. Strong dollar may further weaken Taka and rising fuel cost and inflationary pressure may push Bangladesh embracing further strategic ties that are not endorsed by the Parliament.

Notes And References

1. "Bangladesh Investment Flow Declines Sharply In 2022:UNCTAD",The Business Standard, March 08,2023.For more read at https://www.tbsnews.net/economy/bangladeshs-investment-flows-decline-sharply-2022-unctad-596462

[Update:This piece has been updated twice on March 14,2023 by me:
*First update,7:58 Bangladesh Standard Time,includes a correction on the relationship between bonds and interest rate.
**Second one,at 14:50 Bandladesh Standard Time,is the reference to UNCTAD report.]