United News of Bangladesh

Bangladesh Securities and Exchange Commission (BSEC) on Thursday organised a free preliminary investment education workshop exclusively for women investors, continuing its series of financial literacy programmes aimed at encouraging greater female participation in the country's capital market. The daylong workshop was held at the Multi-Purpose Hall of the BSEC headquarters. A total of 35 women comprising investors and prospective investors attended the session. BSEC Commissioner Farzana Lalarukh inaugurated the training programme and underscored the critical importance of women's financial awareness. "It is very important that women, whether students, homemakers, or working professionals have a basic understanding of investment. Whoever understands and invests wisely will benefit. By making knowledge-based decisions and ignoring market rumours, one can invest their savings profitably," Farzana said. The workshop covered three core areas: Fundamental Financial Literacy, Investment Risk, and Investor's Protection, as well as Financial Planning. Participants received hands-on guidance aimed at equipping them to make informed, evidence-based decisions in the stock market. At the conclusion of the programme, certificates were distributed among all participants. The closing remarks and certificate distribution were presided over by BSEC Commissioner Md. Saifuddin. The event was organised by BSEC's Training Department under its Financial Literacy Division, as part of the commission's ongoing efforts to widen investor education and strengthen market confidence among women across the country.

The Bangladesh Securities and Exchange Commission (BSEC) has fined top officials of Fortune Shoes Limited over unpaid cash dividends and listing fees, while also taking several policy decisions at its 1,013th commission meeting. The meeting was held on Tuesday at the commission’s headquarters with BSEC Chairman Khondoker Rashed Maqsood in the chair, according to a press release issued on Wednesday. The commission said Fortune Shoes had declared a 10 percent cash dividend and a 5 percent bonus dividend for the financial year ended June 30, 2022. However, the listed company failed to disburse Tk 3.98 crore out of its total cash dividend payout of Tk 16.25 crore. The company also failed to pay Tk 18.29 lakh in listing fees to the Dhaka Stock Exchange for the previous three years until July 31, 2023. The commission directed the company to clear the unpaid cash dividend and listing fees within 30 days of the order. It also decided to impose financial penalties on responsible individuals for violating securities laws and harming investors’ interests. The fines must be deposited with the commission within seven days. Under the decision, Fortune Shoes Chairman Md Mizanur Rahman was fined Tk 5 crore. Directors Md Amanur Rahman, Robiul Islam and former director Md Khosrul Islam were each fined Tk 50 lakh. Managing Director Roksana Rahman was also fined Tk 50 lakh. Chief Financial Officer Jamil Ahmed Chowdhury was fined Tk 10 lakh, while former Company Secretary Riaz Uddin Bhuiya was fined Tk 5 lakh. In another decision, BSEC said if any listed company’s board is restructured by a primary regulatory authority and the reconstituted board jointly holds less than 30 percent shares, restrictions on capital raising through rights shares, bonus shares or similar measures will no longer apply. The commission also decided that listed banks under the ‘A’ category on stock exchanges will be allowed to maintain dividend accounts with their own banks. Besides, BSEC decided to continue organising the “BSEC Capital Market Journalism Excellence Awards and Fellowship 2026”, following last year’s initiative aimed at encouraging transparent, research-based financial journalism. The commission said the fellowship would help journalists enhance their knowledge of global financial markets, strengthen analytical skills and promote ethical reporting standards. Last year, BSEC introduced the programme for the first time and awarded nine journalists in print, electronic and online media categories.    

The Bangladesh Securities and Exchange Commission (BSEC) has directed listed companies that failed to appoint female independent directors in line with the Corporate Governance Code, 2018, to complete the appointments by June 30 this year. The decision was disclosed on Sunday through a press release following a meeting held on April 29 with company secretaries of non-compliant listed firms at the commission’s headquarters in Agargaon. BSEC Executive Director Md Anwarul Islam presided over the meeting organised by the Corporate Governance Department. According to the regulator, legal action will be taken against companies that fail to comply after the June 30 deadline. BSEC said eligible candidates for the post may include women entrepreneurs, members of business bodies, corporate leaders, teachers of public and private universities, serving or retired government officials, professional degree holders and practising High Court lawyers. The commission made the appointment of at least one female independent director mandatory for listed companies through a gazette notification issued on April 29, 2024, after amending a provision of the Corporate Governance Code. Initially, firms were given one year to comply, while the deadline was later extended until December 31, 2025. According to updated information submitted by Dhaka Stock Exchange PLC, 163 listed companies have already appointed female independent directors, while 131 companies failed to meet the requirement within the stipulated timeframe.

The Bangladesh Securities and Exchange Commission (BSEC) has rejected a proposal from the Chittagong Stock Exchange (CSE) to list 35 percent of its blocked shares on the Dhaka Stock Exchange (DSE). The decision came at the commission’s 967th meeting, presided over by BSEC Chairman Khondoker Rashed Maqsood. On July 13, at its 143rd board meeting, CSE decided, under the Exchanges Demutualization Act, 2013, to sell the shares that have remained blocked for over a decade. It subsequently sought BSEC’s approval. CSE’s plan was to list the shares on the DSE, with 20 percent to be sold to four to five reputed local and foreign institutions that are not current shareholders of CSE, and the remaining 15 percent to be offered to general investors through a special book-building process. Stocks sink for sixth day as losses grip Bangladesh’s both bourses The commission, however, said there is a restriction on directly listing the shares of any private company, other than state-owned enterprises, on the stock exchange. It also said that CSE’s proposed 20 percent private placement and 15 percent public placement are inconsistent with the Demutualization Act. Citing further deficiencies in the application, the commission said CSE lacked operating profit from its core business, failed to attach an information document or prospectus and did not include copies of the board and shareholder meeting resolutions. As the proposal was found to be inconsistent with the law and not submitted in compliance with the rules, BSEC declined to allow the listing of CSE’s blocked shares on the DSE.

Bangladesh Securities and Exchange Commission (BSEC) has made its investment education website and YouTube channel accessible through the Bangladesh National Portal (Bangladesh.gov.bd). From now on, investors can access all information related to BSEC’s investment education initiatives via the national portal, the regulator said in a press release on Wednesday. On the homepage of Bangladesh.gov.bd, users can scroll down and find the ‘All National Portals’ option on the right side. By clicking on ‘Chattogram Division’ (chattogramdiv.gov.bd), the homepage for the division will appear. Scrolling to the bottom right corner, users will find the ‘investment education programme’ section with links to both the website and YouTube channel. Similar links have been added to all divisional pages, enabling investors from any part of the country to gain knowledge about the capital market. As part of its awareness-raising activities, the commission has launched initiatives offering basic concepts of investment, awareness messages, documentaries and video content via its investment education website (www.finlitbd.com) and YouTube channel (www.youtube.com/@financialliteracyprogramba6178), the release said. It says that investment education helps investors avoid financial fraud and build a secure financial future. It equips them with the necessary knowledge to assess various investment products and make informed decisions.  

A group of unruly officers at the Bangladesh Securities and Exchange Commission (BSEC) caused massive disruption on Wednesday, hindering the commission’s operations during an ongoing investigation into irregularities in the capital market. The officers' actions have raised serious concerns about internal discipline and the functioning of this key financial institution, the BSEC said in a press release. The BSEC had formed a committee to probe various irregularities involving 12 listed companies, with the committee already submitting seven investigation reports. Based on these reports, charges were being formulated against various institutions in the capital market, as well as certain BSEC officials. In response to the investigations and multiple complaints, the commission’s Executive Director, Saifur Rahman, was sent on forced retirement March 4 2025, after 25 years of service, following the due process. Police deployed as BSEC chairman confined in office But in an unprecedented move, a group of BSEC officers violently disrupted the Commission’s internal operations, the release added. They (unruly officers) forcibly entered the ongoing meeting of the Commission’s board room, locking the main gate and turning off CCTV cameras, which further escalated the situation. In a brazen act of defiance, they also cut off the electricity supply, creating a chaotic and frightening atmosphere. The officers continued their aggressive behavior by using foul language and showing physical force. In addition, they insulted the newly appointed PS of the Chairman, a Senior Assistant Secretary of the government, it said. The officers issued an ultimatum, demanding the immediate reversal of the decisions made regarding the retirement of Rahman and other related matters. They threatened that if their demands were not met, the Commission’s entire leadership would have to resign, it added. This extreme disruption lasted for four hours, with the BSEC’s operations coming to a standstill. The situation quickly escalated to the point where the police and, later, the army had to intervene to restore order and control. BSEC, being an essential infrastructure institution (CII), was left in a state of siege until security forces took charge and secured the building, the release also said. This alarming incident has sparked outrage and concerns about the internal culture at BSEC. The officers' actions have highlighted a disturbing level of insubordination and a lack of respect for the authority of the Commission. The disruptive behaviour also put into question the stability and integrity of the institutions responsible for overseeing the capital market and enforcing regulations.

The private-sector Dutch-Bangla Bank PLC has received approval from the Bangladesh Securities and Exchange Commission (BSEC) to issue subordinated bonds worth Tk 1,200 crore in the market. The approval follows the bank's application on December 28, 2023, seeking to issue the bonds to strengthen its capital base under the Basel III international regulatory framework. According to the Dhaka Stock Exchange (DSE), the bonds will be unsecured, non-convertible, and redeemable in nature. Dutch-Bangla Bank plans to issue a total of 1,200 bonds, each priced at Tk 1 crore. The bank's financial performance has shown a declining trend in recent quarters. Read: MTB invests in treasury bills, bonds as private sector credit growth declines In the third quarter of last year, the bank's earnings per share (EPS) stood at Tk 0.38, a significant drop from Tk 1.97 during the same period in 2023. For the first three quarters of 2024, the bank reported an EPS of Tk 2.70, compared to Tk 4.71 during the same period the previous year.

Small investors in the stock market are frustrated as their wait for a good time gets delayed by the Bangladesh’s ongoing political unrest. The political impasse over who should oversee the upcoming national polls is thwarting the stock market’s recovery from Covid-19 pandemic and the Ukraine-Russia war. The small investors’ shares are stuck on the floor price (minimum sale rate) and overall economic downfall. This has been painful for many unfortunate small investors of the capital markets, according to market analysts. Policymakers and the Bangladesh Securities and Exchange Commission (BSEC) paint a rosy picture for small investors saying that stock markets will rebound with enlistment of new companies and injection of big investments. But the situation for the small investors seems to be hopeless. Read: Economy buffeted by political unrest amid declining forex reserves: Analysts A large number of shareholders have remained stuck with their investment in the capital market for over a decade amid fading hopes. “No one, not even the regulator or stock market authorities pay heed to their screams,” Abdul Latif, a grocery owner and one of the affected investors, told UNB in a broken voice. He said he invested Tk13 lakh in 2011 to buy shares of different companies listed in Dhaka Stock Exchange (DSE). After graduation in 1998 Latif found no suitable job and then started a small business in the Motjheel area in 2002 with support from his father-in-law. He made a good profit in the business and invested money in the share market. In 2010 Latif invested around Tk13 lakh of which 5 lakh was his own and 8 lakh borrowed from relatives. All of his investment was stuck in shares of different companies due to a big scam in the capital market in 2011. Read: Govt aims to collect 11.2% of GDP in taxes by FY 2025-26 Like Latif, thousands of investors lost their hard-earned capital in 2011, and after that, some were able to gain part of the capita. But most of them left the capital market losing nearly all investment. Many of such investors are still in the market hoping for a rebound in the DSE, but without any good news. There is no sign of lifting the floor price before the next election. However, economists say that people do not have confidence in the market. BSEC advises investors to be patient until the general election is held by January next. Dr ABM Mirza Azizul Islam, an economist and a former adviser of a caretaker government, told UNB that there has been a crisis in investors' confidence in the stock market for a long time. “To this are added various economic crises, the international situation, and everything including elections and national politics,” he said. Read: Despite challenges, govt hoping to restore economy’s pre-Covid momentum in current fiscal As a result, first of all, steps should be taken to eliminate the trust crisis. In this case, trust should be ensured by establishing good governance, he said. That is, the investors have to be given the assurance that if someone steals their money through manipulation, they will be prosecuted. Besides, the supply of good shares should be increased. Through these two steps, it is possible to eliminate the market problem. But it is not easy at all, said Dr Azizul Islam. Dr Abu Ahmed, former professor of Dhaka University’s Economics Department, said there are two crises in the market: one on the demand side and the other in investor confidence. On the supply side, the problem is that there are fewer good companies. As a result, it is a win-win situation for manipulation and syndicates, he said. Read: Country’s first electrical testing laboratory on the cards All in all, the stock market is currently in an unstable condition and gradually the situation is getting worse. The passage from here is very difficult, he said. According to market insiders, the stock market situation is in a dire. The situation is not improving due to political uncertainty ahead of national elections, increases in commodity prices, and various international issues. The market has lost its importance to the government as well. For those who are not directly involved with government policymakers, the stock market is a source of irritation. Their thinking is like this - if there is no stock market, there will be no problem in the country. For these reasons, the government wants to hold the market with floor prices until the next national election. This brings an opportunity for syndicates blessed by the regulatory body to be controlling the market, the market insiders said. They spoke on condition of anonymity. BSEC Chairman Professor Shibli Rubayat Ul Islam told UNB in this regard that the global situation is not in the hands of the regulator or the government. Investors should beware of investing with any company depending on rumours. He also said due to a lack of financial literacy, people are sometimes investing in weak shares with an expectation of big profit which is not the right way of investment. Read: BSEC sits with stock market stakeholders Thursday after drastic fall of share prices

The International Monetary Fund (IMF) will sit in a meeting with the Bangladesh Securities and Exchange Commission (BSEC) on November 7 to discuss issues including the current status of the capital market and the imposition of floor prices. Bond market development, risk management and control, compliance infrastructure and enforcement measures in the market will also be discussed in the meeting, according to officials involved with the process. Read more: Bangladesh Bank will go slow in calculating reserves following IMF formula BSEC spokesperson Mohammad Rezaul Karim told UNB on Monday that the regulator is making all preparations for the meeting. BSEC Chairman Shibli Rubaiyat-ul-Islam, Commissioners, and Executive Officers will be present in the meeting, he said. To prevent the ongoing fall in prices, the BSEC floor price system was imposed on the capital market on July 28 this year. Although its market is on the rise, two-thirds of the companies listed in the capital market are currently stuck at the floor price. Investors are not able to buy and sell shares of these companies despite their desire. Read more: Talks for loan with IMF satisfactory, says central bank spokesman As a result, the capital market transactions are continuously decreasing. A delegation of the global lender IMF from Washington arrived in Dhaka on October 26 to discuss a $4.5 billion loan sought by Bangladesh amid dwindling foreign currency reserves.

Product quality and competitive price are driving Walton's export success, Bangladesh Securities and Exchange Commission (BSEC) Chairman Shibli Rubayat-Ul-Islam said. Walton, one of the top electronics products manufacturers of Bangladesh, has a billion-dollar turnover, he added. Read: IBBL Bogura holds agent banking conference The BSEC chairman was addressing the second session of "Investment Flash Mob: Networking Dinner" in the United Arab Emirates (UAE), Abu Dhabi Thursday. BSEC arranged the flash mob in Dubai and Abu Dhabi to encourage non-resident Bangladeshis and foreign investors to invest in the capital market and other potential sectors of Bangladesh. Walton sponsored programmes.