Biman, Bangladesh’s struggling national carrier which is recovering from near bankruptcy, will sign firm orders for eight Boeing aircraft, including four B777-300ERs and four B787-9 Dreamliners, valued at $1.65 billion on list price, next week, a top official said, according to Internet.

These aircraft will be delivered between 2013 and 2017, but the airline is in need of an immediate fleet replacement programme to operate on the essential routes.

“A Boeing team is due in Dhaka on April 15 when we are going to finalise the deal, and also going to discuss the possibility of leasing two Boeing 777-300ERs,” M. Abdul Momen, managing director of Biman Bangladesh Airlines, told Gulf News last week. Boeing has agreed to assist Biman’s search for an acceptable interim solution with four 777-200ER/787-8 on lease which will join the Biman fleet by 2009 onwards.

Boeing has also agreed to provide full logistic support for accommodation of new generation aircraft as well as to execute the replacement of Biman’s old fleet. Biman will completely replace its DC-10-30s with 777-300ERs and its A310 with 787-8s in 2009 onwards with the lease of new generation aircraft.

Biman, which has suffered losses since its inception in 1972 with the leftover assets of Pakistan International Airlines shortly after independence in December 1971, is expected to break even by the end of the year following cost-cutting measures including the laying off of more than half of its 6,838 employees and reducing services from 26 destinations to 18.

“We still have a liability of 11.94 billion taka. The Bangladesh government has agreed to absorb 5.73 billion taka which will be turned into equity before we float the company on the stock market later this year,” Abdul Momen said. Biman’s revenue more than doubled to 4.5 billion taka last year from the previous year’s 2.72 billion.

“This year, we have a positive cash balance and might become profitable by the end of the year,” he said. He added that Biman will continue to serve the Middle East, which is a profitable sector. More than half of the 5 million overseas Bangladeshis live in the six Gulf states, and prefer Biman over other airlines.

However, due to its own crises, the airline had difficulty maintaining schedules. Gulf central banks ‘need to step up efforts to achieve currency union’ Doha: Gulf central banks must step up efforts to achieve monetary union as regional economies come under mounting pressure from interest rates and exchange policies, Qatar’s Cental Bank Governor said here on Sunday.

Shaikh Abdullah bin Saud al Thani urged Gulf central banks to pursue additional consultations and better coordination of their joint committees to achieve the necessary regulatory convergence for the creation of the single currency.

“Our economies have been facing mounting pressure over the past year due to interest rates and exchange policies. Studies show that these pressures will continue during this year. Henceforth Gulf banks must enhance negotiations and coordination of their financial policies. This would help us achieve the currency union,” he said.

“The committees on monitoring prices and payment systems have worked very well in the direction of better coordination. But the technical committee together with the legal division will have to face bigger challenges such as finding an agreement over the economic standards as well as the legislative and organisational structures for the monetary union.”

“Central bank governors will meet again in two months,” GCC Secretary-General Abdul Rahman Al Attiyah said. “We are going to review the date in 2009,” Shaikh Abdullah said. Of the 2010 target, he said: “It is realistic.

We are committed to working towards that target.” According to a source close to the meeting, Gulf central bankers may discuss the signing of a “union currency agreement” as a precondition to the creation of the currency union.

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