The Dhaka Stock Exchange (DSE) has called on Bangladesh Bank to support a series of structural and technological reforms intended to strengthen the national capital market and protect shareholder interests.
During a high-level meeting on Thursday, a delegation led by DSE Chairman Mominul Islam met with Governor Md Mostaqur Rahman at the central bank headquarters to discuss modernising the market in line with international standards. The proposals focused on improving liquidity, enhancing transparency, and encouraging greater foreign investment through simplified procedures.
Key recommendations presented by the exchange include extending the operational hours of the Real-Time Gross Settlement (RTGS) system and shortening the securities settlement cycle from T+2 to T+1. To facilitate foreign capital, the delegation suggested streamlining Non-Resident Investor’s Taka Accounts (NITA).
Furthermore, the DSE proposed a phased liquidation of its own Fixed Deposit Receipt (FDR) and Special Notice Deposit (SND) accounts to independently fund necessary technological upgrades.
The exchange also requested wider financial integration, including refinancing facilities for initial public offerings (IPOs) and the bond market. Other technical proposals involved expanding the secondary market for government securities, launching Sukuk trading, and granting the DSE direct access to Credit Information Bureau (CIB) reports to improve risk assessment. These measures are viewed by the exchange as essential steps toward building a more sustainable and internationally competitive financial system.
A significant portion of the dialogue centered on the merger of five Islamic banks: First Security Islami Bank PLC, Social Islami Bank PLC, Global Islami Bank PLC, Union Bank PLC, and EXIM Bank PLC. The DSE expressed formal concerns that general shareholders could suffer financial losses or ownership dilution without fair compensation.
The delegation urged the central bank to ensure transparency throughout the merger process, arguing that small investors should not bear the burden of historical financial irregularities or mismanagement within these institutions.
Governor Md Mostaqur Rahman assured the delegation that the central bank would review the proposals with priority and take appropriate measures. The DSE believes that the successful implementation of these reforms will restore investor confidence and enhance overall market liquidity. The delegation included directors Syed Hammadul Karim, Snehasish Barua, Minhaj Mannan Imon, Richard D Rozario, and Md Sazedul Islam, alongside Managing Director Nuzhat Anwar.
