Bonds of 11 banks being listed in capital market

The government wants to strengthen the corporate bond market as a source of long-term financing. As part of this, the Bangladesh Securities and Exchange Commission (BSEC), the regulator of the capital market, has updated the Debt Securities Act. Under this law, BSEC has taken initiative to list perpetual bonds in the capital market. Perpetual bonds worth Tk 5,100 crore of 11 approved banks are being listed directly. On Sunday, the BSEC issued a directive in this regard.

Perpetual bonds have no term. It remains in effect until the company is withdrawn.

Earlier, at the 744th meeting of the BSEC, the commission decided to list these 11 banks directly in the capital market. However, this bond will not have any effect on the capital market index. Bonds will play a role in increasing market capitalization even if the index is not affected.

In this regard, BSEC Executive Director and Spokesperson Mohammad Rezaul Karim said, “According to the decision of the commission, 11 thousand banks are being listed in the capital bond of 5 thousand one hundred crore per capita directly in the capital market.” In the future, 10 percent of all perpetual bonds will be approved for general investors.

Sunbd/NJ