Connect with us

Business

Remittance inflow increase by 14pc in July

Published

on

Reading Time: < 1 minute

Remittance inflow rose to a fourteen-month high in July which was around 14 percent higher than the previous month of this year. 

Bangladesh received $2.09 billion from the migrants overseas in July which was $1.83 billion in June.

Remittance flow to Bangladesh also rose to 11.76 percent year-on-year.

Migrant workers sent home $1.87 billion in July last year.

Advertisement

The flow of remittance is a development that would bring some relief for the country that is struggling to keep its foreign currency reserves in a healthy shape, said an official concerned.

This upward movement, albeit largely buoyed by the Eid festival, would come as a relief for Bangladesh after remittances slipped back into negative in 2021-22 for the first time in the last six fiscal years as many remitters opted for the informal channels to send their money as economies reopened in keeping with the easing of travel restrictions.

Remittance earnings are expected to go up in the coming months since 8.77 lakh people went abroad for work in the first 11 months of the last fiscal year in contrast to 2.31 lakh in the entire FY21.

In July, $330 million in remittance was channeled to Bangladesh through state-run commercial banks, $32.42 million through state-run specialised banks, $1.78 billion through private banks, and $6.64 million through foreign banks, data from the BB showed

Advertisement
Continue Reading
Advertisement

Business

Smart Technologies syndicate sips millions of dollars from IDRA automation

Published

on

Reading Time: 3 minutes

A syndicate led by Smart Technologies, backed by former finance minister AHM Mustafa Kamal’s daughter Nafisa Kamal, has allegedly siphoned off millions of dollars from a foreign-funded project of the Insurance Development and Regulatory Authority (IDRA).
Despite the $67 million project aimed at developing Bangladesh’s insurance sector, no tangible improvement in financial security has been observed, according to a media investigation.
A few companies, including Smart Technologies and eGeneration, have reportedly misappropriated project funds, with Nafisa Kamal positioned as the frontwoman, sources confirmed.
The World Bank-funded IDRA project was designed to enhance the administrative and documentation capacities of insurance institutions by increasing the use of technology.

A source revealed that the Implementation Monitoring and Evaluation Department (IMED) of the planning ministry could not take any action on the project due to Smart Technologies’ association with Nafisa Kamal. Consequently, most of the funds from the insurance development project were smuggled abroad in a ‘very systematic way’.
The Smart Technologies-led syndicate in the insurance sector development project included Nafisa Kamal’s NK Solutions, China-based Sinosoft, CNS, and Shameem Ahsan’s eGeneration. Project sources revealed that project management specialist Nazrul Islam Bhuiyan coordinated the entire process from IDRA to extract dollars.

Project Director Md Kamruzzaman reportedly refrained from opposing the syndicate, allegedly due to his ambition for a promotion in government service. He seemingly operated as a close ally of Nafisa Kamal. Project documents reveal that Nafisa Kamal got the IDRA project approved by showing joint ownership with almost every participating institution.
On 22 May 2023, project officials approved a contract for $1.21 million for a joint venture between NK Solutions and eGeneration, led by BASIS’s former president Shameem Ahsan.
In addition to this, Shameem and Nafisa’s syndicate received a further Tk17.7 million in local currency. Despite this substantial withdrawal, there has been no visible improvement in the research facilities at the Bangladesh Insurance Academy in Mohakhali.

On 30 March 2022, Project Director Kamruzzaman approved Smart Technologies as the second-lowest bidder (L-2) for the supply of IT and supporting network infrastructure, servers, and storage for the first phase of $10.3 million. In this phase, an additional Tk 26.3 million was allocated to Smart Technologies, which has flourished over the past decade with backing from the Awami League.
In February 2023, a further $9.68 million was awarded to Smart Technologies for IT infrastructure support for IDRA, general insurance, and life insurance. Again, Smart Technologies was the second-lowest bidder (L-2). According to project sources, Smart Technologies secured the entire sum despite completing less than 20% of the technical support required.
At the end of the last fiscal year, on 20 June, Smart Technologies signed a joint venture agreement with NK Solutions and Sinosoft, valued at $76 million. An additional Tk 23.1 million was allocated to the project in local currency.

Advertisement

On 21 August 2022, Chinese company Sinosoft received $11.1 million for developing the project’s website, customer relationship management system, and call centre. On the same day, Sinosoft was awarded an additional $9.17 million for insurance management software known as RegTech.
On 31 May 2022, another technology company, Computer Network System (CNS), was awarded Tk230.4 million for enterprise resource planning (ERP) software and email management. However, CNS failed to provide the original software licenses, contributing to the misappropriation of project funds.
On 24 May 2022, a joint venture between India’s Xerox India and Bangladesh’s IOE was approved for a $54 million contract to supply a ‘Document Management System’. In this phase, the syndicate received an additional Tk173.6 million.

It has been discovered that this money from the insurance project was invested by Shameem Ahsan, who is favoured by Salman F Rahman, in capital market generation. Gaining proximity to Hasina as the president of BASIS, he eventually became a director of the state-owned Agrani Bank.
According to project documents, on 21 December 2023, Project Director Kamruzzaman approved a $1.71 million contract for the supply of cybersecurity, ransomware, and endpoint protection products to Nafisa Kamal’s joint venture company NK Solutions, Express Systems, and Aspire Tech Services, with a 28-day deadline. In this phase, the syndicate received an additional Tk5.8 million.
Although official figures indicate lower amounts, investigations suggest that Tk8 billion from this project was diverted to Smart Technologies and Nafisa Kamal’s NK Solutions. Despite the three-year duration of the insurance development project, officials from IDRA confirm that the state of the financial security sector remains unchanged.

Following the fall of the Awami League government on 5 August 2024, Mustafa Kamal, also known as Lotus Kamal, and his daughter Nafisa Kamal moved to Singapore with their family.
“The World Bank project for insurance development has not progressed, but the funds are being withdrawn. Additionally, foreign software firms are involved, meaning money is being siphoned out of the country,” said a former president of the Bangladesh Association of Software and Information Services (BASIS), on condition of anonymity.
This former BASIS president suggested that if domestic firms were responsible for the technical support and software development for the insurance sector, the equivalent of $30 million could have been saved.
Nafisa Kamal and Smart Technologies Chairman Mazharul Islam, Managing Director Zahirul Islam did not respond to phone calls regarding the irregularities in the project.

Source:Daily Sun

Advertisement
Continue Reading

Business

BSEC chairman Shibli Rubayat resigns

Published

on

Reading Time: < 1 minute

Bangladesh Securities and Exchange Commission Chairman Prof Shibli Rubayat-Ul Islam resigned today.

He sent his resignation letter to the official concerned at the finance ministry.

He stepped down citing health reasons, said Abdur Rahman, secretary of the Financial Institutions Division of the Ministry of Finance, confirming receipt of the letter.

The development came five days after Sheikh Hasina’s government fell and she fled Bangladesh in the face of a civil uprising.

Advertisement

Islam has remained absent from work for the past several days.

Islam, a Dhaka University teacher, was appointed as chairman of the BSEC in 2020. Last May, he was reappointed for another four-year tenure.

Continue Reading

Business

Progressive Life Insurance Company organizes 199th Board Meeting

Published

on

Reading Time: < 1 minute

The 199th board meeting of Progressive life Insurance Company Limited (PLICL) was held in the organization’s corporate office in the capital’s National Scout Bhaban on Wednesday 10 July 2024. It was presided over by PLICL Acting Chairman M. Shoeb Chowdhury.

The meeting was also attended by Directors viz Bajloor Rashid, MBE, Zakariya Ahad,Mezanur Rahman,DR. Md. Jamil Sharif, Phd, FCMA,DR. Tazrina Farah,Babel Miah,Kamal Miah, M A Karim,Gulam Mostafa Ahmed. Managing Director and Chief Executive Officer Md. Saidul Amin, Additional Managing Director Md. Mizanur Rahman Shipon, Senior Executive Vice President & Company Secretary Abdullah Al Mansur.

The participants in the meeting talked about pending claim settlements, business development plans and laid emphasis on complying with regulatory norms, laws and principals.

The officials of Progressive life Insurance Company Limited greeted the newly appointed Acting Chairman M. Shoeb Chowdhury with flowers at the beginning of the meeting.

Advertisement

Continue Reading

Trending

Copyright © 2021 Daily Frontline. Bangladesh Independent Daily. e-mail:dailyfrontlinebd@gmail.com