October 25, 2020, 10:55 am

Abu Taher Bappa

2020-09-01 12:38:53 BdST

Single-day cash deposit to be doubled

The securities regulator has assured stock brokers of doubling single-day cash deposit by investors to accelerate their participation in transactions.

The assurance came on Monday at a webinar attended by a large number of stock brokers of Dhaka Stock Exchange (DSE).

The chairman of the Bangladesh Securities and Exchange Commission (BSEC) Prof. Shibli Rubayat Ul Islam attended the webinar as the chief guest.

"The securities regulator has said single day cash deposit will be doubled. The official order is likely to be issued within this week," said Sharif Anwar Hossain, president of DSE Brokers Association (DBA).

As per existing cash deposit limit, stock brokers are allowed to receive Tk 0.5 million from an investors per day for transaction purpose.

Stock brokers recently have made a proposal of doubling the single day cash deposit limit following upward trend of the capital market.

At Monday's webinar arranged by the DBA, the securities regulator also assured stock brokers of allowing opening trading outlets in the country's remote areas.

"Many stock brokers urged for the regulatory permission to allow them in opening brokerage branches in different areas of the country. The securities regulator said trading outlets will be more cost effective compared to brokerage branches," said DBA president Mr. Hossain.

He said the BSEC also said interested stock brokers can come up with the proposal of opening foreign trading outlet to ensure direct participation of non-resident Bangladeshis (NRBs).

Apart from assurance of fulfilling demands, the securities regulator has also asked stock brokers to conduct market operations maintaining disciplines.

"Market operators will face music if they conduct operations breaching the securities rules," said another participant of the webinar.

The BSEC commissioners Khondoker Kalamuzzaman, Dr. Shaikh Shamsuddin Ahmed, and Professor Dr. Md. Mizanur Rahman were the special guests of the programme attended by 180 stock brokers of the premier bourse DSE.

Of the stock brokers, Md. Shakil Rizvi, also a DSE director, Ahmad Rashid Lali, Mostaq Ahmed Sadeq attended the online meeting.

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