A 23-member Pay Commission led by former finance secretary Zakir Ahmed Khan has submitted a comprehensive report recommending significant salary and allowance increases for Bangladesh’s government employees. The proposal, if implemented, could more than double current pay levels. The commission suggested raising the minimum basic salary from 8,250 taka to 20,000 taka and the maximum from 78,000 taka to 160,000 taka, with overall increases ranging from 100 to 140 percent.

The government currently spends 1.31 trillion taka annually on 1.4 million employees and 900,000 pensioners. Implementing the new structure could require an additional 1.06 trillion taka. Separate reports have also been prepared for the Judicial Service Pay Commission and the Armed Forces. A 10-member high-level committee led by the Cabinet Secretary has been formed to analyze all three reports and finalize a phased implementation plan.

The proposed pay scale aims to reduce the salary ratio between the highest and lowest grades from 1:9.4 to 1:8 while keeping the existing 20-grade structure. Special pay steps have been recommended for top administrative positions, to be announced later by official notification.

The Bangladesh government spent Tk 71,253 crore on interest payments for domestic and foreign loans during the first six months of the current fiscal year (July–December), marking a 22 percent increase from the same period last year, according to the Finance Ministry’s latest quarterly debt bulletin. In the previous fiscal year’s first half, interest payments totaled Tk 58,392 crore.

The bulletin shows that domestic debt accounted for the largest share, with Tk 61,866 crore paid in interest—25 percent higher than the previous year—while foreign loan interest rose by 5 percent to Tk 9,387 crore. The report attributes the rising debt servicing burden to lower-than-targeted revenue collection, which has forced the government to rely more heavily on borrowing, particularly from domestic banks. Revenue shortfall in the first nine months reached nearly Tk 1 trillion, a record level.

The bulletin notes a strategic shift toward domestic borrowing to reduce currency risk and stabilize liquidity. As of December, total government debt stood at Tk 22.06 trillion, up from Tk 21.44 trillion in June 2025.

The National Board of Revenue (NBR) of Bangladesh has set a target to bring 2 million new business entities under VAT registration in the 2026–27 fiscal year. The plan includes expanding VAT coverage to all upazilas, particularly in rapidly growing business areas, and incorporating temporary shops in Dhaka with high sales volumes. Businesses with annual transactions up to 3 million taka will remain exempt from mandatory VAT registration. Currently, about 795,000 businesses are registered for VAT.

NBR data shows that during a special campaign in December of the previous year, 131,000 new businesses registered for VAT, surpassing the monthly average of 8,000–10,000. Since VAT was introduced in 1991, only around 800,000 businesses have registered. Business groups have urged the government to expand VAT coverage instead of raising rates, arguing that compliant taxpayers face disproportionate burdens.

The NBR also plans to simplify and digitalize the VAT system, including mandatory online return filing, simple software for small businesses, and a possible minimum monthly VAT of 500–1,000 taka payable semiannually or annually.

Depositors from five banks staged a protest in Chattogram on Wednesday morning demanding the return of their deposits. The demonstration took place around 10 a.m. at the city’s New Market intersection under the banner of the ‘Combined Islamic Bank Depositors Association’—Chattogram Division.

Participants expressed anger over remarks by a Bangladesh Bank spokesperson, calling for the withdrawal of what they described as defamatory comments. One depositor said they were becoming destitute while being unfairly labeled as wrongdoers. The association’s president, Abul Kalam Azad, warned that the movement could expand if their demands were not met, emphasizing that depositors’ money sustains bank operations.

Kotwali Police Station’s officer-in-charge Aftab Uddin said the area is a VIP zone with key installations, so protesters were asked to gather at New Market intersection but later moved to Alkaran intersection. He confirmed that adequate police were deployed to maintain security.

Global oil prices declined for a second consecutive day after U.S. President Donald Trump hinted at a possible peace agreement with Iran. According to a Reuters report, Brent crude dropped by $1.69, or 1.5 percent, to $108.18 per barrel, while West Texas Intermediate (WTI) crude fell by $1.67, or 1.6 percent, to $100.60. The previous day, Brent had already fallen by nearly 4 percent.

Analysts said Trump’s announcement suggested a potential easing of tensions in the Middle East. He stated that U.S. operations in the Strait of Hormuz would be temporarily suspended to ensure safe navigation and that there was a chance for an understanding with Iran, though he provided no details. Iran has not yet issued any response. Experts believe that if shipping in the Gulf normalizes, global oil supply could increase, putting downward pressure on prices, though full stability may take time.

Despite the peace signals, Trump confirmed that the U.S. naval blockade on Iranian ports would continue. Analysts noted that while short-term relief has returned to the market, geopolitical uncertainty remains.

Vast haor areas across Sunamganj, Habiganj, Netrakona, and Kishoreganj have been severely affected by sudden floods and prolonged waterlogging during the boro harvest season. The flooding submerged ripe paddy fields, destroying the only annual crop for many farmers. The article questions why sustainable solutions remain elusive despite recurring disasters and highlights that the crisis extends beyond individual losses to threaten national food security.

The report explains that haor agriculture is entirely dependent on natural cycles, making it highly vulnerable to upstream water surges, untimely rains, and climate change. It stresses that the damage to boro crops could disrupt the rice market, raise prices, and increase hardship for low-income households. The author urges the government to declare the affected areas as disaster zones to enable rapid relief, debt rescheduling, and distribution of seeds, fertilizers, and cash support.

The article further calls for regional water management cooperation, institutional accountability, and a context-specific agricultural policy. It warns that without transparency and effective oversight in embankment projects, recurring failures will persist, endangering both farmers’ livelihoods and national food stability.

The crude oil carrier MT Ninemiya entered Chattogram waters on Wednesday, heading to the Kutubdia channel anchorage before noon. According to Bangladesh Petroleum Corporation (BPC), customs formalities will be completed there, and lightering will begin before evening to transport the crude oil to the Eastern Refinery jetty. Two lighter tankers were dispatched early Wednesday, and unloading at the refinery depot is expected to finish by night. Preparations are underway to restart all refinery units on Thursday morning.

BPC sources said Eastern Refinery, the country’s only state-owned oil refinery, imports crude oil from Saudi Arabia for processing and marketing through BPC. The Bangladesh Shipping Corporation (BSC) handles crude transport. Due to a two-month supply disruption, two of the refinery’s three main units were shut down. The refinery is now preparing to resume full operations after 22 days of closure.

BSC officials explained that shipping through the Hormuz Strait was suspended due to war, prompting Bangladesh to use Saudi Arabia’s Yanbu port as an alternative route. The refinery used the downtime to repair two major units, which are now expected to increase production capacity.

Raw jute exports from Bangladesh have remained suspended for eight consecutive months, causing widespread frustration among farmers, exporters, and workers. The government initially imposed the restriction to protect jute mills from raw material shortages, but the ban has persisted far longer than expected. Only 18 companies with prior telegraphic transfers have been allowed to export 6,377 tons of jute, mostly to India. The Bangladesh Jute Association (BJA) reports that the interim government’s September 2025 directive made raw jute a conditional export item, effectively halting exports.

BJA Chairman Khandaker Alamgir Kabir said the ban has disrupted the sector, leaving exporters burdened with rent, loan interest, and wages despite no income. Farmers and suppliers are suffering losses as mill owners have reduced purchase prices, while around 100,000 workers have become jobless. Kabir alleged that the former textile and jute adviser imposed the ban unilaterally to benefit mill owners, many of whom he is linked to. Business leaders have repeatedly urged the government to lift the ban, warning that continued restrictions could discourage jute cultivation.

Exporters have requested the new government to withdraw the letter of credit restrictions to resume normal trade operations.

A workshop on disaster risk reduction (DRR) activities was held in Khulna with financial support from the Government of Japan and the World Food Programme (WFP), and implemented by the organization Sushilon. The event took place on Tuesday at the conference room of the Deputy Commissioner’s office. Khulna’s Deputy Director (Local Government) and Acting Deputy Commissioner Md. Ariful Islam attended as chief guest, while other officials from the district administration, WFP, and local organizations participated.

During the experience-sharing session, the guests emphasized strengthening future DRR initiatives through greater public participation and extending project timelines. They also highlighted the need to incorporate local contexts into planning and to enhance the capacity of Union Disaster Management Committees (UDMCs). Participants included government officials, engineers from LGED and the Water Development Board, UDMC members, contractors, journalists, and Sushilon staff.

Sushilon has been implementing various initiatives under the DRR program to improve the disaster resilience of coastal communities in Khulna. The project is executed at the field level by UDMCs with technical support from the Upazila Taskforce Committee.

Chevron Chairman and CEO Mike Wirth has warned that the closure of the Hormuz Strait, caused by the ongoing conflict between Iran and the United States-Israel alliance, is triggering a real shortage in global oil supply. Speaking at a Milken Institute discussion on Monday, Wirth said that with 20 percent of the world’s oil shipments halted, demand will have to decline to match tightening supply, leading to an economic slowdown that will first hit Asia.

Wirth explained that Asia’s heavy dependence on Gulf oil production and refining makes it the most vulnerable region, followed by Europe. He noted that commercial surpluses, shadow fleet tankers, and strategic reserves are nearly exhausted. The United States, as a net exporter of crude oil, will be less affected initially but will eventually feel the impact as well. The last Gulf shipment is currently being unloaded at Long Beach port in California.

The Chevron chief compared the potential scale of the disruption to the oil crises of the 1970s. The report also noted that U.S.-based Spirit Airlines has ceased operations due to soaring jet fuel prices linked to the supply disruption.

The Roads and Highways Department (RHD) conducted an eviction drive in Anwara upazila of Chattogram to remove illegal structures along the Karnaphuli Tunnel six-lane connecting road. The operation began at 10 a.m. on Tuesday under the supervision of Executive Magistrate Razia Akter Chowdhury. According to RHD, the drive is part of a seven-kilometer road development project stretching from Chatri Chaumuhani Bazar to the Marine Academy.

The project, implemented at a cost of Tk 78 crore, includes the construction of a 1,200-foot-long and six-foot-wide RCC drain to address waterlogging in the market area. During the operation, RHD officials stated that the eviction was necessary to accelerate the ongoing road improvement work. Several senior engineers and officials from the Chattogram South District Road Division were present during the drive.

The initiative aims to ensure smoother progress of the infrastructure project and improve drainage and traffic conditions along the key connecting route.

Bangladesh Bank has announced a temporary relaxation in loan regulations for the leather sector ahead of Eid-ul-Azha 2026. According to a circular issued on Tuesday, businesses that previously rescheduled their loans will now be able to access new financing without paying the earlier required compromise amount. The relaxation will remain effective until June 30, 2026, allowing more traders to secure working capital for rawhide collection, preservation, and marketing during the festival season.

The central bank emphasized that the leather industry is a key export-oriented sector based on domestic raw materials, contributing significantly to national growth, employment, and foreign exchange earnings. As nearly half of the annual rawhide supply comes from sacrificial animals during Eid-ul-Azha, the circular directed banks to ensure adequate financing and to distribute loans effectively to grassroots traders.

Banks have also been instructed to set loan disbursement targets for 2026 that are not lower than the previous year’s levels and to submit related data to Bangladesh Bank by July 31, 2026.

Bangladesh Bank has increased the maximum loan limit for purchasing cars under consumer loans from Tk 6 million to Tk 8 million. The central bank issued a circular on Tuesday to all commercial bank chief executives, stating that buyers can now receive loans covering up to 80 percent of a car’s price, particularly for hybrid and electric vehicles. Consumers will need to pay the remaining 20 percent themselves.

The circular explained that the decision reflects the growing demand for environmentally friendly and energy-efficient vehicles in Bangladesh. It also aims to align loan limits with current automobile market prices and encourage consumers to adopt hybrid and electric cars. Previously, banks could finance only 60 percent of a car’s price, requiring buyers to cover 40 percent.

Additionally, the central bank raised the ceiling for personal loans. Individuals can now borrow up to Tk 1 million without collateral, and up to Tk 4 million with adequate security. Banks have been instructed to ensure that consumer loan growth does not exceed their overall loan growth rate.

Bangladesh Submarine Cables PLC (BSCCPLC) has dismissed recent media reports warning of a potential internet disruption, asserting that the country’s digital infrastructure remains strong and secure. In a statement issued Tuesday, the state-owned company said the report titled “Fear of Internet Disruption; Concerns Grow Over Submarine Cable” contained misleading information. BSCCPLC clarified that its two operational submarine cable systems have a combined capacity of 7,220 Gbps and are functioning reliably.

The company explained that only 1.34 percent of its total bandwidth passes through the Red Sea route, while 98.66 percent flows through Singapore and Chennai, making Bangladesh’s internet largely unaffected by any crisis in the Hormuz Strait. It also rejected claims that the SMW-5 cable is at full capacity or that SMW-4 has expired, noting both remain active and under capacity. A third cable, SMW-6, is under construction and expected to add 30,000 Gbps by year-end.

BSCCPLC urged the public not to be misled by inaccurate reports and emphasized that reliable information should be obtained directly from the company.

The Bangladesh Meteorological Department has issued a five-day forecast predicting light to moderate rain or thundershowers accompanied by gusty or squally winds and lightning in eight divisions of the country. The forecast, effective from 9 a.m. Tuesday for the next 120 hours, indicates that Rangpur, Khulna, Mymensingh, Barishal, and Sylhet divisions may experience rain in several areas, while Rajshahi, Dhaka, and Chattogram divisions may see similar weather in a few places.

According to the department’s statement, a low-pressure area is currently present, with its extension stretching from West Bengal to the northern Bay of Bengal. The system is expected to influence weather patterns across the country during the forecast period.

The forecast also mentions the possibility of moderately heavy rainfall in some parts of the country, suggesting localized variations in intensity over the coming days.