Economy
Middle East, world cannot ‘afford more war’: UN chief
United Nations (UN) Secretary General Antonio Guterres warned the international community Sunday against deeper descent into conflict, addressing the Security Council during a meeting over Iran’s weekend attack on Israel.
“Neither the region nor the world can afford more war,” Guterres said.
“The Middle East is on the brink,” he told the Security Council.
“The people of the region are confronting a real danger of a devastating full-scale conflict. Now is the time to defuse and de-escalate,” he added, calling for “maximum restraint.”
Late on Saturday, Iran launched a direct attack on its long-time arch foe Israel for the first time, firing a wave of more than 300 missiles and drones.
Nearly all of them were intercepted by Israel and others, including the United States, Jordan and Britain.
According to the Israeli army, 12 people were injured.
Iran said its attack came in response to a deadly April 1 air strike on Tehran’s consulate building in the Syrian capital Damascus that was widely blamed on Israel.
That attack killed seven Iranian Revolutionary Guards, including two senior generals, and prompted Iranian threats of retaliation.
The unprecedented exchange, marking a major escalation between the two countries, has sparked renewed fears of a broader conflict, including the potential for an Israel counterstrike.
– ‘Step back from the brink’ –
The United States said Sunday it will not join any Israeli counterattack on Iran, with President Joe Biden warning Prime Minister Benjamin Netanyahu to “think carefully” about any escalation.
The rising tensions come against the backdrop of Israel’s six-month-old war against Hamas in Gaza, which began after the Palestinian Hamas group’s unprecedented attack in Israel October 7 which resulted in the deaths of 1,170 people, mostly civilians, according to an AFP tally based on Israeli figures.
Israel’s retaliatory offensive has killed at least 33,729 people in Gaza, mostly women and children, according to the territory’s Hamas-run health ministry.
Since the start of the conflict, Iran-backed groups in Iraq, Lebanon, Syria, and Yemen have carried out a flurry of attacks on Israeli and Western targets.
Sunday’s Security Council session on the simmering crisis came at Israel’s request, with its Ambassador Gilad Erdan urging the council to “take action (and) condemn Iran for their terror.”
The body must “impose all possible sanctions on Iran before it’s too late,” he said.
Iran’s UN envoy Amir Saeid Iravani meanwhile insisted the Islamic republic was exercising its “inherent right to self-defense.”
“The Security Council… failed in its duty to maintain international peace and security,” Iravani said.
Therefore, Tehran “had no choice” but to respond, he said, adding that his country does “not seek escalation or war,” but will respond to any “threat or aggression.”
During his speech, Guterres repeated his condemnation of Iran’s strikes on Israel, and the Israeli attack on the Iranian consulate in Damascus.
“It’s time to step back from the brink. It is vital to avoid any action that could lead to major military confrontations on multiple fronts in the Middle East,” Guterres said.
He also repeated his call for an “immediate humanitarian ceasefire” in Gaza, which experts warn is on the verge of famine.
During the eleventh month of the current fiscal year, the country’s foreign currency reserves have fallen below $19 billion for the first time. After paying off some import bills, the reserves have now stood at $18.26 billion on Sunday.
According to the International Monetary Fund (IMF), as of May 8, the total foreign currency reserves of the country were $19.82 billion.
Mohammad Mezbauul Haque, the spokesperson of Bangladesh Bank, informed that through the Asian Clearing Union (ACU), the central bank has paid off import bills totaling $1.63 billion over the past two months.
However, Bangladesh Bank maintains that after paying off the import bills, the foreign currency reserves now stand at $23.71 billion.
According to the Central Bank’s accounts, the reserves were $25.27 billion on May 8.
The Dhaka Stock Exchange (DSE) and the DSE Brokers Association (DBA) have expressed gratitude towards Prime Minister Sheikh Hasina for her directive to list government companies in the capital market, a move hailed as timely and positive.
The directive was issued during the recent meeting of the Executive Committee of the National Economic Council (Ecnec) last Thursday.
Dr. Hafiz Muhammad Hasan Babu, Chairman of DSE, described the directive as a significant step towards enhancing the dynamics of the capital market. He emphasized that besides invigorating the capital market, this move would also attract foreign investment and promote sustainable development.
Despite previous efforts, government institutions had not been listed in the stock exchange, according to a notification issued by the DSE. The Prime Minister’s directive is seen as a pivotal step towards revitalizing and expanding the economy.
Dr. Babu further remarked, “The listing of reputable companies in the capital market, as directed by the Prime Minister, will greatly benefit the country’s economy. It will also enhance investor confidence.”
Similarly, the DBA released a notification applauding the Prime Minister’s directive, terming it as positive and timely for the capital market.
Saiful Islam, President of DBA, expressed optimism about the directive’s potential to accelerate the country’s capital market and overall economy. He pledged support to relevant government departments and regulatory bodies in implementing the directive, ensuring its positive impact on the economy, including the capital market.
India has expressed interest in financing Bangladesh’s Teesta project, announced Foreign Minister Hasan Mahmud. Speaking to reporters after a meeting with Indian Foreign Secretary Vinay Mohan Kwatra, Mahmud stressed the importance of aligning the project with Bangladesh’s needs. He confirmed discussions on the Teesta issue during the meeting. Mahmud also affirmed Prime Minister Sheikh Hasina’s upcoming visit to New Delhi, indicating that the finalization of the date would depend on the formation of the new Indian government following ongoing elections.
Meanwhile, the IMF has approved a $1.15 billion staff-level loan for Bangladesh in its third tranche. Mahmud noted the ongoing elections in India and the subsequent formation of the new government as factors influencing the scheduling of PM Hasina’s visit.
When asked about the sequence of visits to India and China, Mahmud suggested Delhi’s geographical proximity to Bangladesh. Diplomatic sources suggest PM Hasina’s visit to India is planned for early July, following India’s elections.
Pre-election surveys indicate strong prospects for Indian Prime Minister Narendra Modi’s re-election. Modi previously congratulated PM Hasina on her electoral victory in January, expressing optimism about strengthening ties between the two nations.
The last bilateral engagement between the prime ministers occurred during the G-20 Leaders Summit in September 2023. Modi is expected to invite South Asian and BIMSTEC leaders to his swearing-in ceremony, fostering regional cooperation.
Addressing border killings, Mahmud emphasized the government’s commitment to ending such incidents and promoting the use of non-lethal weapons by border forces. Discussions also covered enhancing physical and people-to-people connectivity, including cooperation with India to import hydropower from Nepal and Bhutan through India. Mahmud highlighted the need to further ease visa restrictions to strengthen people-to-people relations.
