Market stakeholders have emphasized that identifying problems alone will not be enough to overcome the ongoing challenges in Bangladesh’s capital market, calling instead for realistic and actionable solutions alongside swift resolution of long-pending issues.
The observations came at a meeting between representatives of leading brokerage houses and the Dhaka Stock Exchange (DSE) held Wednesday at the bourse’s boardroom in Nikunja, Dhaka. The discussion focused on the current market situation, as well as short-, medium-, and long-term development strategies and operational challenges faced by brokerage firms.
DSE Managing Director Nuzhat Anwar said the primary objective of the meeting was to gather stakeholder feedback and real-world experiences to guide the market’s future development. “Constructive and logical recommendations from stakeholders will be carefully considered and communicated to the DSE board and the Bangladesh Securities and Exchange Commission (BSEC) for necessary action,” she added.
She also noted that preparations for launching a derivatives market are progressing, with plans to complete technical and software readiness within the निर्धारित timeline. The DSE is also working to address investor related to five recent brokerage incidents.
DSE Brokers Association of Bangladesh (DBA) President Saiful Islam said the discussions highlighted two key issues: long-standing unresolved matters and the current difficult and discouraging market situation . “We must not only identify the causes behind the situation but also determine effective ways to overcome them,” he said.
Participants stressed the importance of restoring market stability by increasing liquidity, rebuilding investor confidence, and introducing new financial products and trading strategies. They also called for the দ্রুত নিষ্পত্তি of unresolved issues that have persisted over time.
Among specific proposals, stakeholders suggested reviewing the feasibility of reintroducing the pre-opening session, expanding support measures under special schemes of the Bangladesh Bank, and extending loan repayment timelines where necessary. They also recommended allowing member margin netting facilities to ease financial চাপ on brokerage firms.
Speakers underscored the need to strengthen inspection and surveillance mechanisms to make them more regular, data-driven, risk-based, and transparent. They recommended prioritizing abnormal price movements and genuine irregularities over routine trading volume fluctuations.
To reduce the market’s reliance on equities, participants emphasized expanding the range of financial instruments, including bonds. They also called for clearer regulatory frameworks to define the roles and responsibilities of dealers.
The meeting further highlighted the importance of attracting foreign investment by identifying and removing policy and procedural barriers. Stakeholders also suggested organizing investor-focused seminars and enhancing direct engagement between the DSE and high-net-worth investors as well as institutional market participants.
Encouraging leading companies to list on the stock exchange and exploring the introduction of share buyback opportunities were also discussed as part of long-term market development strategies.
In closing remarks, Anwar said the DSE board has approved plans to strengthen its IT and organizational capacity, which are currently under implementation. She acknowledged existing challenges but expressed optimism about progress through coordinated efforts among stakeholders.
Efforts are also underway to enhance investor protection through improved inspection and surveillance, including officer training and development of data-driven software systems to streamline processes and facilitate data reconciliation.
She added that, under BSEC initiatives, regular coordination meetings are being held involving Central Depository Bangladesh Limited, Central Counterparty Bangladesh Limited, and IT teams. Work is also ongoing on online account opening, simplifying retail investor services, and introducing T+1 settlement.
The DSE Managing Director further said that a new website is nearing completion and is expected to be officially launched at a press conference on September 22. The existing website will remain operational for two to three months to ensure a smooth transition.
She reaffirmed the exchange’s commitment to enhancing transparency, efficiency, and accountability, while working collaboratively with all stakeholders to strengthen the overall capital market ecosystem.
