Abu Taher BappaPublished:
2020-11-30 05:34:30 BdST
Bonds to be made tradable through beneficiary owners' accounts
A high-profile meeting on Sunday decided to take steps to make all kinds of bonds, including Treasury bond (T-bond), tradable through investors' BO (beneficiary owner's) accounts by removing existing legal and technical barriers.
Representatives of the finance ministry, Bangladesh Bank (BB), the securities regulator, Dhaka and Chittagong stock exchanges, and the Central Depository Bangladesh Limited (CDBL) attended the meeting held at the office of Dhaka Stock Exchange (DSE).
"The meeting was held to discuss how to make the bond market popular through ensuring investors' participation," said Dr. Shaikh Shamsuddin Ahmed, a commissioner of the Bangladesh Securities and Exchange Commission.
He said they have already received an instruction from the government to accelerate the process of making the bond market popular.
"At the meeting, it was decided that it would be the best if the bonds can be made tradable through investors' BO accounts, as there are around 2.5 million BO accounts," said Mr. Ahmed.
He, however, said there are some legal and technical barriers standing in the way of making this happen.
"We had earlier formed a committee which will submit its final report by Sunday next. After the report is submitted, steps will be taken to complete the process of making the bonds tradable within a shortest possible time," he added.
Asked about the time period, the commissioner said the bonds are likely to be tradable through BO accounts within next two months.
Unauthorized use or reproduction of The Finance Today content for commercial purposes is strictly prohibited.