The Bangladesh Securities and Exchange Commission (BSEC) has approved draft amendments to the Margin Rules, 2025, relaxing several restrictive provisions introduced last November to improve market liquidity and make margin lending more accessible.The proposed amendments, approved today (14 July), will be published in newspapers and on the commission's website for public opinion before being finalised.The existing rules, introduced under the previous commission led by Khondoker Rashed Maqsood by replacing the Margin Rules, 1999, drew strong criticism from brokers, lenders and investors.
Since taking office in June, the new commission led by Chairman Masud Khan has pledged to make the framework more market-friendly. BSEC spokesperson Abul Kalam said implementation of the rules exposed practical difficulties, prompting the proposed revisions.

In an interview with The Business Standard, Masud Khan said the current framework is overly restrictive and prevents excess liquidity in the banking sector from flowing into the capital market.

"BSEC will set broad risk parameters. Beyond that, brokers will have the flexibility to develop their own risk management frameworks and determine whom to lend to," he said.

Margin loans opened to all investors

The commission will remove restrictions on extending margin loans to students, homemakers and retired persons.

Under the current rules, only high-net-worth individuals within some of these groups could qualify under lenders' internal policies – a provision strongly opposed by market participants and challenged in court.

The amendment will allow lenders to provide margin financing to all investors based on their relationship with clients and internal risk assessment.

More stocks eligible for margin financing

The amendment will make all 'A' and 'B' category stocks eligible for margin loans by scrapping the existing requirement that 'B' category companies must pay at least a 5% dividend.

Securities listed on the SME, ATB and OTC platforms will remain ineligible.

Tk5 lakh investment requirement dropped

The regulator will abolish the requirement for investors to maintain an average investment of Tk5 lakh in listed shares over the previous year to qualify for margin loans. Instead, investors must maintain a minimum equity of Tk3 lakh.

"The one-year Tk5 lakh investment requirement will be withdrawn, but a Tk3 lakh minimum equity requirement has been added for prudent risk management. If someone invests Tk10,000 today and seeks a margin loan tomorrow, that would not be logical," Abul Kalam said.

Margin call threshold lowered

Under the current rules, lenders must issue a margin call when a portfolio's value falls below 75% and execute a forced sale when it drops below 50%.

The amendment lowers the margin call threshold to 70%, while the forced-sale threshold remains unchanged.

P/E restrictions relaxed

The proposed amendments retain the restriction on margin lending for stocks with a price-to-earnings (P/E) ratio above 30 but change how the ratio is calculated. Instead of using the cumulative earnings per share of the latest four quarters, the P/E ratio will now be based on annual audited financial statements.

The commission will also remove the rule linking margin financing to the market's overall P/E ratio. Currently, if the main board's market P/E exceeds 20, lenders cannot provide financing above a 1:0.5 equity-to-loan ratio.

Under the amendment, lenders will be able to extend financing of up to a 1:1 ratio based on mutual agreement with clients, regardless of the market P/E.

Higher lending limit for financiers

The commission also plans to raise the ceiling on margin lending by financiers from three times their core capital or net worth to five times their net worth, allowing brokers to extend significantly larger margin portfolios.

The Bangladesh Bank (BB) has allowed Shinepukur Ceramics, a defaulting company of Beximco Group, to open letters of credit (LCs) for raw material imports under a special arrangement.

In a notification issued yesterday, the central bank said the move is meant for keeping production running at the ceramics manufacturer and protecting its workforce.

Under the arrangement, Shinepukur Ceramics can now open import LCs with Sonali Bank PLC by depositing a 100 percent margin, meaning the company will have to pay the full import value in advance.

The facility will remain in place until December next year.

Under Section 27 Ka Ka (3) of the Banking Companies Act, banks and financial institutions are barred from extending any loan facility to a defaulting borrower. With yesterday’s circular, the BB has exempted Shinepukur Ceramics from this provision for 18 months.

As a condition of the approval, the central bank said all revenue earned by the company must be deposited into a designated bank account. Sonali Bank will recover its outstanding dues from that account on a proportionate basis.

However, the government and the central bank will not assume any responsibility for the loan facility provided to support the opening of the import LCs, according to the notification.

As a result, Sonali Bank will not be able to seek any financial assistance from the government or the BB for those loans in future, the central bank said.

Earlier this month, the BB granted a similar facility to Abdul Monem Sugar Refinery Ltd, another defaulting borrower, allowing it to continue opening import LCs.

The US government has already paid back tens of billions of dollars in tariffs it collected before the Supreme Court ruled them illegal, according to budget figures released Monday.

Tariffs -- taxes on imported goods -- have been a key part of President Donald Trump’s game economic plan since he took office again last year.

But in February, the Supreme Court shut down a big chunk of the extra tariffs Trump ordered, forcing the government to return money to the companies that had paid them.

According to the budget data, the US has paid out $81 billion in tariff refunds so far this fiscal year, which started in October 2025, compared to just $5 billion during the same stretch last year.

A Treasury Department official told reporters that the spike is almost entirely because of the Supreme Court decision, with most of the refunds happening in May and June. Trump had pitched the tariffs as a catch-all fix for the economy -- bringing factories back to America, getting better trade deals and closing the deficit in the federal budget.

But the deficit, which had actually gotten a little smaller last year thanks to the tariff income, is now growing again.

It hit $1.367 trillion in the first nine months of the fiscal year, up two percent.

The US also spent over $1 trillion just on paying interest on its debt, up 14 percent, and military spending climbed five percent because of the war in the Middle East.

Bangladesh will expedite efforts to explore international bond markets to gather an increased volume of foreign funds to finance development works, the government was learnt to have told a visiting IMF delegation on Tuesday.

This way, it said, the domestic borrowings will be lessened as it ultimately lowers fund flow to the private sector, according to sources.

The International Monetary Fund (IMF) delegation on the day had meetings with the Government Debt and Financial Asset Management Wing of the Finance Division where they discussed domestic and external financing plans, government guarantees and the financing of the state-owned enterprises.

Also, the sources said, the Fund mission had meetings with the Economic Relations Division and the central bank discussing "external public debt stock and composition, disbursement, pipeline and rollover needs of external financing".

Moreover, they discussed the financing mix of Bangladesh's external borrowing to get update on flow of concessional loans, commercial borrowing, and non-concessional plans.

The risks to external planning, focusing geopolitical developments, and fiscal policies of donors also came up for discussion during the meetings, according to officials concerned.

The Fund delegation, led by Ivo Krznar, the IMF Mission Chief for Bangladesh, is visiting Dhaka to assess macroeconomic situation of the country and discuss a new credit programme. They are also discussing with the Bangladeshi authorities their reform agenda and policy priorities.

Bangladesh is expecting a $4.0 billion to $4.5 billion worth of credit programme once the discussion and subsequent negotiations are completed. The Fund is expected to flow in by the end of December, according to finance division officials.

The Bangladesh Bank has extended the Foreign Currency (FC)-Taka swap facility to exporters operating in the country's specialised economic zones, allowing them to access short-term Taka liquidity while retaining their foreign currency holdings.

The central bank issued a circular today (13 July) permitting Authorised Dealers (ADs) to execute FC-Taka swap arrangements against unencumbered balances maintained in eligible foreign currency accounts of exporters.

Under the facility, exporters will be able to meet local operational expenses, including wages, utility bills and other working capital needs, without permanently converting their foreign currency holdings. The measure is intended to improve liquidity management while preserving foreign exchange for future international obligations.

The facility will be available to exporters operating in Export Processing Zones (EPZs), Private Export Processing Zones (PEPZs), Economic Zones (EZs) and High-Tech Parks (HTPs).

The latest directive expands the scope of FE Circular No. 41, issued on 3 November 2025, which had restricted FC-Taka swap arrangements to balances held in 30-day pool and Export Retention Quota (ERQ) accounts.

Bangladesh Bank said the measure also complements FE Circular No. 31, issued on 1 July 2025, under which industrial enterprises in specialised zones were allowed to maintain the foreign currency accounts that are now eligible for the swap facility.

The central bank said all other provisions of the earlier circulars will remain unchanged.

Bangladesh’s pharmaceutical industry is urging the government to review the country’s medicine pricing policy, saying years of limited price adjustments have squeezed profitability, discouraged investment in new medicines and put increasing pressure on smaller drug makers.

In a June 30 letter to Health and Family Welfare Minister Sardar Md Sakhawat Husain, the Bangladesh Association of Pharmaceutical Industries (Bapi) sought an urgent meeting to discuss the challenges facing the sector and propose policy support.

The association said rising production costs, persistent inflation, foreign currency shortages and constraints in the pricing regime have left many manufacturers struggling to survive.

Bangladesh has 258 pharmaceutical manufacturers, but the market has become highly concentrated, according to Bapi. Just 20 companies account for about 94 percent of total production, while the remaining 238 produce only 6 percent. Citing data from IQVIA, a leading global healthcare data company, it said 64 of the top 100 pharmaceutical companies recorded negative growth in 2025.

Bapi also rejected claims that medicines made in Bangladesh are expensive. It said 30 of 39 commonly used medicines are cheaper than equivalent products in India, despite local manufacturers relying heavily on imported raw materials.

Calling the pharmaceutical industry a strategic national asset, the association urged the government to introduce policies that would help restore the competitiveness of smaller manufacturers.

Industry leaders echoed Bapi’s concerns, saying the current pricing policy is discouraging investment in research and development and making it harder to introduce innovative medicines.

Abdul Muktadir, chairman and managing director of Incepta Pharmaceuticals, said Bangladesh’s pharmaceutical industry grew rapidly over the past three decades because of policy reforms that encouraged competition and investment.

He said the National Drug Policy introduced in the early 1980s shifted the industry’s focus towards essential medicines, while reforms in the early 1990s gave companies greater flexibility to set prices and expand their product range.

“The free-market approach encouraged competition,” he told The Daily Star. “As more companies entered the market, medicine prices fell while product quality improved.”

However, he said the industry’s momentum has slowed since 2016 as the drug regulator has become increasingly restrictive in approving prices for new medicines.

“If it costs Tk 10 to produce a technologically advanced medicine but the approved price is Tk 8, no company will continue investing in innovation,” he said.

According to Muktadir, companies are now less willing to introduce complex medicines that require significant investment in research and manufacturing technology. He also claimed that around 60 of the country’s roughly 100 pharmaceutical companies are struggling because of pricing constraints.

He called for a review of the current pricing framework, saying a commercially viable system is needed to sustain investment in research and development.

The industry also faces fresh challenges as Bangladesh prepares to graduate from least developed country (LDC) status.

Rabbur Reza, chief operating officer of Beximco Pharma, said Bangladesh has benefited from the World Trade Organization’s intellectual property waiver, which allows local manufacturers to produce certain patented medicines at affordable prices.

After the waiver expires, medicines introduced later will require licensing agreements with patent holders, involving royalty payments and higher costs.

While large companies may be able to negotiate such agreements, smaller manufacturers are likely to find it difficult because of limited financial capacity, he said. He urged companies to register as many eligible products as possible before the waiver expires.

Kaiser Kabir, managing director and CEO of Renata PLC, said many pharmaceutical companies are dropping low-margin medicines as rising costs and years of limited price adjustments squeeze profitability.

He said only 32 of the country’s top 100 pharmaceutical companies recorded revenue growth, while the rest posted lower sales.

“The industry has been going through a series of shocks since 2020,” he said, citing the Covid-19 pandemic, the depreciation of the taka, high inflation and disruptions to global supply chains.

Kaiser said the weaker taka has sharply increased the cost of imported raw materials, but manufacturers have not been able to fully pass on those costs because medicine prices have remained largely unchanged.

“If prices cannot reflect production costs, companies will stop making some medicines,” Kabir said.

He warned that patients could eventually have to rely on more expensive imported medicines, including products brought into the country illegally, as cheaper locally made alternatives disappear from the market.

Bangladesh's electric vehicle (EV) industry is poised to enter a new growth phase, with around Tk4,000 crore in private investments announced over the past few years expected to gather pace following incentives unveiled in the FY2026-27 budget.

From automotive manufacturers and industrial conglomerates to energy companies and filling station operators, private investors are positioning themselves for what they believe could become Bangladesh's next major manufacturing and infrastructure industry.

Industry leaders, however, say the sector's biggest challenge has shifted to ensuring reliable electricity, faster grid connections, and commercially viable charging stations.

The budget has changed the investment equation significantly, several industry leaders told The Business Standard. They added that charging stations remain a long-term business that requires policy support, quality electricity and patience.

The FY27 budget reduced import duties on EVs, introduced tax incentives for local EV manufacturing, exempted duties on charging equipment, and proposed fiscal incentives for charging station operators. The draft EV Industry Development Policy has also proposed a 10-year income tax exemption for charging station businesses.

The government has also set a target of establishing 1,200 commercial EV charging stations by 2030, with the Sustainable and Renewable Energy Development Authority (Sreda) tasked with preparing the regulatory framework and implementation guidelines.

Md Aminur Rahman, director of Sreda, said they have received a large number of applications for commercial charging stations. "We are approving applications phase by phase after technical inspections," he told TBS.

Tk4,000cr investment in pipeline

Industry insiders estimate that more than Tk4,000 crore in investments are now in the pipeline, spanning the manufacture and assembly of electric cars, motorcycles and scooters, as well as the development of charging infrastructure.

The Bangladesh Auto Industries Limited has announced the largest investment so far, committing Tk1,500 crore to establish an EV manufacturing facility in Mirsarai while simultaneously developing charging infrastructure.

Nasir Group and Akij Motors have each unveiled Tk500 crore investment plans, while Rancon Motors has committed Tk300 crore for EV assembly and charging stations.

Runner Automobiles, in partnership with EV giant BYD, is implementing a phased Tk260 crore investment to locally manufacture electric vehicles alongside charging infrastructure.

PRAN-RFL and Walton Group have each earmarked around Tk200 crore for electric mobility projects, primarily electric scooters and related infrastructure.

Several other companies, including TMSS, Progress Motors, Sena Hotel (Radisson Blu), Kazi LPG, Good Luck Filling Station, and Isha Kha Group, have either secured approval or are preparing investments in commercial charging stations.

According to Sreda, 32 commercial charging stations have received approval, but only nine are currently operational, including in Dhaka, Chattogram, Cox's Bazar, and Cumilla. Besides, thousands of home charging units have already been installed alongside newly sold EVs.

By comparison, India has 29,151 public EV charging stations, Nepal has around 400, while more than 100 stations have been licensed in Pakistan, according to available official data from the respective countries.

Sreda Director Aminur said commercial DC charging stations have already been approved for Rancon Motors and Progress Motors in Dhaka, Kazi LPG and Sena Hotel in Chattogram, TMSS along the Bogura-Rajshahi corridor and Good Luck Filling Station in Rajshahi.

"We have comprehensive guidelines covering land requirements, location, equipment quality, investment size and electricity quality," he said.

Meanwhile, the government is set to introduce 400 electric buses in Dhaka, aimed at reducing air pollution and modernising the capital's public transport system.

Transport experts have welcomed the initiative, but said the project's success will depend on developing adequate charging infrastructure, and maintenance facilities.

Power reliability, profitability remains biggest hurdles

Hafizur Rahman Khan, chairman of Runner Automobiles, said every BYD vehicle sold by the company is supplied with a home charger that can operate using a standard household electricity connection.

"Commercial charging stations are a different story," he said. "They require high-quality, uninterrupted power supply, and that remains our biggest concern."

He explained that home charging typically takes between 5-10 hours, whereas highway charging must be completed within 5-10 minutes using ultra-fast DC charging technology.

"BYD already has that technology. But Bangladesh currently lacks both the quality electricity supply and the supporting infrastructure needed to deploy it on a large scale," he said.

Establishing a conventional commercial DC fast-charging station requires an investment of around Tk1-Tk1.5 crore, while an ultra-fast charging station, including land acquisition and dedicated substations, could cost between Tk3-Tk5 crore, he said.

"After making such a large investment, operators will need years to attract enough customers to generate acceptable returns," Hafizur added.

Shahriar Hasan Utsho, co-founder of Crack Platoon Charging Solutions, said they are currently assisting dozens of businesses in establishing charging stations and obtaining regulatory approvals.

"There is strong investor interest, but everyone asks the same question: When will we recover our investment?" he said. "A DC charging station costs around Tk1-Tk1.5 crore, yet the number of EVs remains limited. No one can estimate how long it will take to break even."

He cited the example of a privately operated charging station in Bogura that sometimes goes an entire day without serving a single vehicle. "The staff remain idle because there simply are not enough EVs on the road yet," he said.

The manager of one charging station said his company invested nearly Tk70 lakh to install a 10-kW Level-2 charger, but customer numbers remain low. "This is still a new business in Bangladesh. We hope demand will gather momentum."

Sreda's Aminur acknowledged that deploying ultra-fast charging infrastructure nationwide would take time. "Given Bangladesh's current power system, we are prioritising DC fast-charging stations based on an energy-efficient model.

He said Sreda's immediate focus is to ensure uninterrupted electricity supply, and it arranges dedicated power support for charging stations depending on location and demand. Sreda is also focusing on introducing solar-based charging stations, he added.

Runner Chairman Hafizur Rahman Khan argued that private investors alone cannot build a nationwide charging network during the market's early stage.

"This business is still at a nascent stage. Initially, the government needs to take the lead by investing in charging infrastructure or providing financial support. Once the market matures and vehicle numbers increase, private investment will naturally follow," he said.

Companies build entire EV ecosystem

Runner Automobiles has established branded charging points in Dhaka, Cumilla, Chattogram, Bogura and Cox's Bazar for BYD customers while expanding technician training. The company said it has already sold more than 1,000 BYD vehicles in Bangladesh.

Samiul Hasan, chief marketing officer of Nasir Group, said, "We are investing across the entire ecosystem vehicle manufacturing as well as charging stations because we believe the market will expand significantly."

Mir Masudul Karim, managing director of Bangladesh Auto Industries, said the company's locally manufactured EVs will offer a driving range of more than 450km on a full charge and support fast charging in 30 minutes.

"We are supporting both home charging and commercial charging infrastructure alongside vehicle production," he said.

Sheetal Taslim, country lead for marketing and operations at Audi Bangladesh and Ekhon Charge, said the company has installed 150 home charging units and established five commercial charging stations across the country.

She said Ekhon Charge, Bangladesh's first and largest EV charging solutions provider, has the capability to support the establishment of charging stations anywhere in the country.

Execution now matters

A full highway charge typically costs between Tk308 and Tk759, making electric driving roughly 70% cheaper per kilometre than petrol-powered vehicles.

However, industry leaders said the next phase of Bangladesh's EV transition will depend less on investment announcements and more on execution.

According to Taskeen Ahmed, president of the Dhaka Chamber of Commerce and Industry (DCCI), around 6 million battery-powered three-wheelers already operate across Bangladesh, while only a few thousand electric passenger vehicles are officially registered.

"The actual number of EVs is much higher than official records. Without reliable data, planning and policymaking become difficult," he said.

He said charging infrastructures, reliable power, common technical standards, and an investment-friendly policy are essential to accelerating EV adoption.

Mohammad Wahid Hossain, chairman of the Bangladesh Energy and Power Research Council, said uninterrupted electricity would ultimately determine the industry's success.

"If EV adoption increases while electricity shortages persist, the sector cannot grow at the desired pace," he said, adding that Bangladesh also needs greater use of renewable energy and stronger coordination among government agencies.

Oil prices jumped and stocks fell again Tuesday after fresh US strikes against Iran that marked a new escalation in hostilities that has fuelled fears over their already fragile truce and the chances of another spike in inflation.Tech firms were once again in the crosshairs, with South Korea's Kospi extending a painful selloff as chip titan SK hynix continued to be routed amid growing fears about the AI boom.
The latest attacks came after Iranian forces struck a commercial ship in the Strait of Hormuz -- through which a fifth of global oil passes -- early Sunday, before announcing the closure of the waterway.That led to a series of US strikes on sites in the Islamic republic, which replied by hitting targets in Bahrain, Jordan, Kuwait and Oman.Before the latest US attacks, President Donald Trump told conservative radio host Hugh Hewitt on Monday that "we're going to hit them very hard tonight, and we're going to hit them hard tomorrow".

He later declared on Truth Social that the United States would be "known as 'THE GUARDIAN OF THE HORMUZ STRAIT'" and levy a 20 percent fee on all cargo shipped through the waterway.

While Iran's ports would again be blockaded, Trump said "all other countries will have fair and open use of the strait".However, he also said a deal with Tehran to end the crisis was still possible."Yeah, I think a deal is possible. Sure, I do," he told reporters in the Oval Office. "We had a deal with them two days ago and then they said 'Oh we can't make that deal. We have to negotiate it further.'"Oil prices shot up more than nine percent Monday over fears of renewed conflict and the possibility that a fresh surge in inflation could force the Federal Reserve and other central banks to hike interest rates soon.And they continued to rise Tuesday, piling on more than one percent."With Trump, one never quite knows how seriously to take such pronouncements, but Gulf allies would not be pleased with this plan, and it almost certainly violates international law," said BNZ's Jason Wong.

"The 20 percent levy would add about $16 to the cost of every barrel of oil passing through the strait on a typical supertanker.

"It remains to be seen whether the plan will stick -- probably not -- and whether it is merely a negotiating tactic aimed at getting Iran to pause its military strikes on shipping in the area."

The renewed hostilities once again dragged on equities, compounding the flight from tech firms that has characterised markets in recent weeks as traders worry that the sector's AI-led rally has gone too far.

Seoul again suffered heavy selling, with SK hynix shedding more than three percent, the day after a 15 percent collapse. Its New York-listed shares -- which soared more than 13 percent on their debut Friday -- plunged more than nine percent Monday.

Tokyo, Hong Kong, Sydney, Singapore, Taipei, Wellington, Manila and Jakarta were also sharply down.

The losses came at the start of a big week for traders, with earnings season about to kick off, Fed boss Kevin Warsh due to testify in Congress and US inflation data set to be released.

Meanwhile, Fed governor Christopher Waller stoked concerns over an early interest rate hike as inflation continues to remain elevated.

"If we get another hot reading on core inflation this week, then the (rate-setting committee) will need to consider tightening monetary policy in the near term," he said Monday.

They are the stock market’s dividend-free club.

The 21 listed companies have not paid shareholders any dividend for at least five years. Most have shut their factories, while others are burdened by constant losses.

Under stock exchange rules, these companies should already have been delisted. Market analysts say keeping them on the market is an anomaly by almost any international standard.

The Dhaka Stock Exchange (DSE) also acknowledges it has allowed the problem to persist for too long. The DSE says it is now reviewing the companies one by one before deciding on the next steps.

Even as the market considers action against these junk stocks, investors continue to trade them. And some are changing hands at prices higher than those of some of the country’s strongest listed companies.

According to DSE data, shareholders have invested Tk 2,286 crore in paid-up capital across the 21 companies. Paid-up capital represents the equity shareholders have committed through initial public offerings and subsequent share issues, including stock dividends.

In return, investors have received nothing from what has effectively become dead capital. In some cases, they have gone without any return for nearly a decade, as 15 of the 21 companies have paid neither cash nor stock dividends since 2016.

The companies are Bangladesh Services, Bangladesh Industrial Finance Company (BIFC), Fareast Finance and Investment (FFIL), Hami Industries, ICB Islamic Bank, Jute Spinners, Meghna Condensed Milk Industries, Meghna Pet Industries, Mithun Knitting and Dyeing, People’s Leasing and Financial Services, Savar Refractories, Shyampur Sugar Mills, Tallu Spinning Mills, Tung Hai Knitting & Dyeing, and Zeal Bangla Sugar Mills.

The remaining six companies issued a single stock dividend at some point during the past decade but have paid neither cash nor stock dividends in the past five years.

They are Appollo Ispat Complex, Delta Spinners, Familytex BD, International Leasing and Financial Services, Ring Shine Textiles, and Usmania Glass Sheet Factory.

Under the listing regulations, a listed security may be delisted if the issuer fails to declare a cash or stock dividend for five years from the date of its last dividend or from the date of listing.

Saiful Islam, president of the DSE Brokers Association of Bangladesh (DBA), said most people who buy these shares either do so without fully understanding what they are investing in or knowingly take the risk in the hope of making short-term profits.

“Market manipulators target these stocks because they belong to companies with relatively small paid-up capital. They create manipulative traps to lure inexperienced investors into buying them,” he said.

Saiful added that every market has a group of day traders who treat the stock market like a casino, chasing these gambling-type stocks.

On the impact of keeping such companies listed, the DBA president said, “Most of these are virtually non-existent companies. They will not be able to generate returns over the long term. Instead, they create noise in the market and undermine the overall ecosystem.”

“The number of such companies is increasing day by day. When investors in these companies incur losses, the ripple effects spread across the entire market.”

“Moreover, if the share price of these companies exceeds that of fundamentally sound companies, what kind of image does that create about the market?”

Saiful said such companies should be removed from the market. “Listing and delisting should proceed in parallel in the stock market.”

DSE Managing Director Nuzhat Anwar acknowledged that the exchange had allowed the problem to persist for too long.

“Decisions regarding many of these companies should have been taken much earlier, but they were not,” she said. “As a result, the problems have accumulated over a long period and reached their current state.”

“We are currently reviewing the matter,” she added.

The exchange said it is reviewing the companies individually, holding discussions before submitting its findings to the Bangladesh Securities and Exchange Commission (BSEC).

“We intend to clean up the situation,” Nuzhat said. “However, we want to ensure that any action we take is justified, which is why we are proceeding carefully and taking the necessary time.”

She said the DSE has recently suspended trading in several companies whose factories were closed but whose share prices continued to rise. In some cases, the companies themselves said there was no valid reason for the increase.

“Halting trading sends investors a signal that something is wrong,” she said.

“At the same time, we are working to bring more quality companies to the market so that investors have better investment opportunities and a wider range of sound investment options,” she added.

Apart from the 21 companies, another 13 appear to have found a way to remain listed. Each paid a token dividend of between 0.1 percent and 2 percent on a single occasion, apparently enough to stay within the five-year requirement.

Speaking at a public event last week, Masud Khan, the newly appointed chairman of the BSEC, said Bangladesh is an outlier in the way it manages its capital market.

“Most stock markets do not keep non-operational companies listed indefinitely, but Bangladesh does, leaving retail investors exposed to risks they may not fully understand,” he said.

The responsibility rests with the stock exchange as the primary regulator, said Masud, and the DSE is now trying to establish a more rational and transparent process.

Under the proposed approach, he said inactive companies could be given a fixed period, such as one year, to resume operations before facing further action.

The BSEC chairman also urged investors to be cautious about companies that are non-operational, are no longer going concerns, fail to hold annual general meetings or do not pay dividends.

Meanwhile, a senior DSE official, speaking on condition of anonymity, said the exchange had tried several times to delist these companies but backed down each time for fear of protests from investors.

Stocks opened higher on Tuesday, extending the previous session's gains as growing investor confidence, driven by recent regulatory reforms and supportive fiscal measures, outweighed concerns over the possibility of renewed geopolitical tensions in the Middle East.

By 11:10 am, the benchmark DSEX index of the Dhaka Stock Exchange (DSE) had advanced 26 points, or 0.43 per cent, to 5,892, supported by strong buying in large-cap and fundamentally strong stocks.

Market operators said investor sentiment has continued to strengthen following the passage of the Finance Bill 2026, which introduced a range of incentives aimed at revitalising the country's capital market. They also noted that recent reform initiatives announced by the securities regulator have reinforced expectations of a more efficient and transparent market.

Analysts said the budgetary measures are expected to make equity investments more attractive, encourage greater participation from both retail and institutional investors, strengthen the mutual fund industry, and enable companies to raise long-term funds more efficiently through the capital market.

Trading activity also remained buoyant. Turnover on the premier bourse reached Tk 4.84 billion within the first one hour and 10 minutes of trading, reflecting sustained buying interest across major sectors.

Market breadth was broadly positive, with 238 issues advancing, 80 declining and 69 remaining unchanged by 11:10 am, indicating widespread gains.
The Chittagong Stock Exchange (CSE) also witnessed a positive trend. Its benchmark CASPI index rose 18 points to 15,729, while the CSCX index gained 12 points to 9,646 in early trading.

The Bangladesh Securities and Exchange Commission (BSEC) has approved the introduction of intraday trading, in a move aimed at modernising the capital market and improving trading efficiency.

Intraday trading allows investors to buy and sell stocks within the same day, aiming to capitalise on short-term price movements and market volatility.

The decision was taken at the regulator’s commission meeting held yesterday, chaired by BSEC Chairman Masud Khan, according to a press release.

The commission approved the necessary arrangements to introduce the system, subject to completing required preparations before launch, it said.

Stock brokers had recently demanded the facility, prompting the BSEC chairman to announce at an event that it could initially be introduced for a select group of fundamentally strong stocks.

The regulator said the move is intended to make the stock trading system more dynamic, efficient and modern.

Meanwhile, the commission also approved, in principle, amendments to the Bangladesh Securities and Exchange Commission (Margin) Rules, 2025. The detailed amendment will be published on the commission’s website for public feedback.

Separately, BSEC approved Royal Footwear PLC’s proposal to raise Tk 12 crore through an Initial Qualified Investor Offer (IQIO), issuing 1.2 crore ordinary shares at Tk 10 each to qualified investors.

Royal Footwear is a fully export-oriented manufacturer that supplies footwear to several countries, including the US brand ROSS. Proceeds will go toward repaying bank loans, improving its working environment, purchasing machinery, and meeting IPO-related expenses.

According to the company’s audited financials as of December 31, 2025, its net asset value per share stood at Tk 27.54 with revaluation, and half-year earnings per share stood at Tk 0.82.

Prime Bank Investment PLC is the issue manager, with Prime Bank Investment PLC and EC Securities Limited acting as underwriters.

The commission approved the proposal submitted by Bangladesh General Insurance Company, trustee of Vanguard AML BD Finance Mutual Fund One, to redeem the fund as its tenure expires.

Vanguard Asset Management Limited is the asset manager of the fund; its total unit capital fund is Tk 104.32 crore, with a face value of Tk 10 per unit.

The benchmark index of the Dhaka Stock Exchange (DSE) climbed above the psychological 5,900-point mark on Tuesday (14 July), reaching a 23-month high as investors aggressively accumulated shares on expectations of regulatory reforms.

The DSEX gained 44 points, or 0.75%, to close at 5,911, its highest level in nearly two years. The blue-chip DS30 index also advanced 24 points to 2,227.

Trading activity strengthened significantly, with turnover rising 16% to Tk1,651 crore from the previous session.

According to EBL Securities' daily market review, the stock market extended its rally for a fourth straight session as investor sentiment remained upbeat over proposed revisions to margin loan rules and planned measures to improve market liquidity, including a shorter share settlement cycle and the introduction of scrip netting for intraday trading.

The market opened higher and maintained its upward momentum throughout the session. Strong participation and broad-based buying intensified in late trading, helping the benchmark reclaim the 5,900-point level for the first time in nearly two years.

Analysts said optimism over domestic policy initiatives outweighed concerns stemming from the renewed conflict in the Middle East.

The textile sector led trading, accounting for 14.1% of total turnover, followed by general insurance with 13.7% and engineering with 9.3%.

Among sectors, cement posted the highest gain, rising 3.5%, followed by tannery at 1.8% and jute at 1.7%. Life insurance, mutual funds and general insurance edged lower as investors booked profits.

Market breadth remained positive, with 199 stocks advancing, 137 declining, and 57 remaining unchanged.

Lovello Ice Cream was the most traded stock by value, followed by Bangladesh Shipping Corporation, Malek Spinning, LafargeHolcim Bangladesh and IPDC Finance.

Aman Feed topped the gainers with a 9.97% rise, followed by National Tea (9.96%), Northern Jute (9.94%) and Rahima Food (9.93%).

International Leasing was the day's biggest loser, falling 8.33%, followed by Meghna Insurance and Premier Leasing.

Market analysts said the DSEX could test the 6,000-point resistance level if the regulator implements the proposed margin rule changes and liquidity-enhancing measures over the next two weeks.

The Bangladesh Securities and Exchange Commission (BSEC) has approved Royal Footwear PLC's proposal to raise Tk12 crore through an Initial Qualified Investor Offer (IQIO) on the SME platform, marking the regulator's first approval for SME fundraising in more than two years.

The approval came at the commission's meeting held at the BSEC headquarters today (14 July).

The 100% export-oriented footwear manufacturer will issue shares under the fixed-price method and use the proceeds to expand its operations, strengthen its business, and meet growing export demand.

According to the approved utilisation plan, Tk8 crore will be used to repay bank loans, Tk2 crore to purchase raw and packing materials, Tk1.67 crore to procure spare parts, and the remaining Tk0.33 crore will cover expenses related to the IQIO.

Royal Footwear exports shoes to several international markets, including supplying products to the renowned US footwear retailer ROSS.

For the issue, Prime Bank Investment PLC has been appointed as the issue manager, while Prime Bank Investment PLC and EC Securities Limited will act as the underwriters.

The approval signals a gradual revival of fundraising through the SME capital market, where new public offerings had stalled for more than two years.

Royal Footwear had initially applied for the same fundraising plan in 2024 but later withdrew its IQIO proposal, citing political uncertainty, a slowing economy, and an unfavourable business environment for expansion.

With the business environment showing signs of improvement, the company has revived the plan to support capacity expansion and capitalise on growing export opportunities.

Royal Footwear shares some common directors with Al-Madina Pharmaceuticals PLC, an SME-listed company that raised Tk5 crore through the SME platform in February 2023. Al-Madina declared a 12% cash dividend for shareholders for FY25.

According to the company, incorporated in 2014, the decision to enter the capital market is aimed at expanding operations while strengthening corporate governance and compliance standards. Management said several international buyers have encouraged the company to become publicly listed, believing it would enhance governance, transparency, and compliance with global standards.

Royal Footwear primarily exports to European and Asian markets, where demand for its products has continued to grow. Management also views capital market financing as a more sustainable long-term funding source than relying heavily on bank borrowing.

According to the company's audited financial statements for the year ended 31 December 2025, the net asset value (NAV) per share, including revaluation, stood at Tk27.54, while the NAV per share without revaluation was Tk15.74. Its earnings per share (EPS) for the half-year stood at Tk0.82.

For FY2024-25, Royal Footwear reported revenue of Tk52.91 crore, slightly higher than Tk52.34 crore in the previous fiscal year. However, profit after tax declined to Tk2.78 crore from Tk3.19 crore a year earlier, while EPS fell to Tk0.82 from Tk0.94. The company's NAV per share, including revaluation, stood at Tk27.54.

SK Trims & Industries, an accessories manufacturer, has reported a narrower net loss for the first quarter of fiscal 2025-26, driven by lower manufacturing and operating expenses compared with the same period a year earlier.

According to a disclosure published today (14 July), the company's loss per share fell to Tk0.33 in the July-September quarter from Tk0.53 in the corresponding period of the previous fiscal year.

The company published its quarterly financials today, around six months after the quarter ended.

Explaining the improved performance, SK Trims said its negative earnings per share (EPS) improved due to lower manufacturing and operating expenses, which reduced its net loss after tax compared with the same period a year earlier.

Net operating cash flow per share improved to Tk0.28 from negative Tk0.02 in the July-September quarter of the previous fiscal year, mainly due to higher cash collections from turnover during the period, the company said.

However, its net asset value per share stood at Tk11.93 as of 30 September 2025, which was Tk14.96 as of 30 September 2024.

Following the disclosure, SK Trims shares surged by 5.97% today to Tk14.20 each at the Dhaka Stock Exchange.

According to its auditor, SK Trims incurred a loss of Tk28.17 crore and its revenue declined to Tk26.43 crore.

The auditor said a primary driver of the operational disruption was a significant delay in the renewal of the company's bond license, which stemmed from the internal administrative misstatement and procedural oversights.

The dollar steadied on Tuesday ahead of US inflation data, with Middle East tensions lifting oil prices.

The yen was calm amid caution over possible intervention and after policymakers’ comments on state pension fund allocations.The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, eased 0.09 percent to 101.18.Inflation risks remain in the spotlight with the release of US June CPI data on Tuesday.June PPI gauges follow the next day, along with Fed Chair Kevin Warsh’s first semiannual testimony before Congress.

Concerns over escalating tensions between the United States and Iran returned to the fore.

President Donald Trump said on Monday Washington was reinstating a naval blockade on Tehran.

He added that the US would ensure the Strait of Hormuz remained open for a fee following fresh exchanges of missile and drone strikes.

US and Iranian forces exchanged heavy missile and drone assaults at the weekend.

Tehran struck US facilities across the Gulf on Sunday and said it had again closed the vital Strait of Hormuz shipping route.

Oil prices climbed nearly 3 percent on Tuesday to their highest point in four weeks after the US said it would reimpose a naval blockade, heightening uncertainty about energy flows.

The euro was up 0.1 percent against the dollar at $1.1392 and sterling gained 0.09 percent to $1.3358.

Meanwhile, Federal Reserve Governor Christopher Waller said rates may need to rise “in the near term” if data shows inflation remaining well above the central bank’s 2 percent target.

A core CPI reading of 0.3 percent or higher would likely imply that the Fed’s preferred core PCE deflator is also running at 0.3 percent or above, depending on PPI data due later in the week.

This was noted by Ray Attrill, head of FX strategy at National Australia Bank, in a podcast.

“That may well be a trigger for a Fed rate hike as early as the July meeting,” Attrill said.

Economists’ median estimate for the June core CPI was 0.2 percent growth month-on-month

The government is operating “like the private sector, seven days a week” to clear red tape and achieve a $1 trillion economy by 2034, Finance Minister Amir Khosru Mahmud Chowdhury said yesterday.

Highlighting the massive scale of regulatory reforms, the minister noted that his recent budget speech required four and a half pages just to list the deregulation measures being introduced.

To prevent these changes from being stalled by bureaucratic bottlenecks, the government is taking direct enforcement actions, he said.

The minister made the comments while speaking as the chief guest at the formal inauguration of RSGT Bangladesh, held at the Sheraton Dhaka in Banani.

The Red Sea Gateway Terminal (RSGT) Bangladesh operates the Patenga Container Terminal at Chattogram port.

“I am constituting a task force to oversee the deregulation we have made, so nobody stands in the way,” the finance minister said.

“A website will be launched where anyone facing problems with the new deregulated framework can lodge a complaint, and we will take care of it. There will be no compromise.”

The entry of Saudi Arabia’s RSGT into Chattogram is seen as a vital step toward fixing the long-standing logistics issues that plague the local business community -- primarily vessel turnaround and delivery times, he said.

“Every hour and every day costs money in business,” the minister noted, stressing that port efficiency is the backbone of the country’s economic growth.

The goal is to establish Chattogram as the primary logistics hub not just for Bangladesh, but for the entire South Asian region, he said.

Reflecting on the historical relationship between Dhaka and Riyadh, the minister said the deepening Saudi-Bangladesh ties began with President Ziaur Rahman’s close relationship with the Saudi royal family.

The relationship expanded significantly under Begum Khaleda Zia, paving the way for over 4 million Bangladeshi expatriates currently working in Saudi Arabia.

The minister welcomed RSGT’s presence as a natural continuation of this historic bond and urged the Saudi firm to look beyond the port sector for future investments, promising the government’s full support.

Aamer Abdullah Zainal Alireza, executive chairman of RSGT, and Erwin Haaze, CEO of RSGT Bangladesh, also spoke at the event.

Stocks ended higher on Tuesday, extending the previous session's gains as growing investor confidence, driven by recent regulatory reforms and supportive fiscal measures, outweighed concerns over the possibility of renewed geopolitical tensions in the Middle East.

The benchmark DSEX index of the Dhaka Stock Exchange gained 44.69 points, or 0.76 per cent, to close at 5,911.24.

The day's index was the highest in 23 months, since August 14, 2024, when the index stood at Tk 5953.

Market operators said investor sentiment has continued to strengthen following the passage of the Finance Bill 2026, which introduced a range of incentives aimed at revitalising the country's capital market. They also noted that recent reform initiatives announced by the securities regulator have reinforced expectations of a more efficient and transparent market.

Analysts said the budgetary measures are expected to make equity investments more attractive, encourage greater participation from both retail and institutional investors, strengthen the mutual fund industry, and enable companies to raise long-term funds more efficiently through the capital market.

The DS30 index, comprising leading blue-chip companies, increased 24 points to 2,227, while the DSES index, which tracks Shariah-based stocks, increased 10.24 points to 1,207.

Market participation improved on Monday, with turnover on the Dhaka Stock Exchange (DSE) rising to Tk 16.51 billion from Tk 14.19 billion in the previous session.

Gainers outnumbered Losers on the DSE floor. Of the 393 issues traded, 199 closed higher and 137 ended lower, while 57 remained unchanged.

The Chittagong Stock Exchange also ended higher, with its All Shares Price Index (CASPI) gaining 67.5 points to 15,778 while the Selective Categories Index (CSCX) rose 38.6 points to 9,673.

China's exports surged more than expected last month, with official data on Tuesday showing that the global AI boom helped fuel demand for chips and computing equipment from the world's second-largest economy.

The figures came despite global trade disruptions caused by the US-Israeli war on Iran, providing a much-needed boost to China, which is increasingly reliant on exports to fuel growth.
Overseas shipments rose 27.0 percent year-on-year, beating the 19.0 percent forecast in a Bloomberg survey of economists.The General Administration of Customs data also showed imports soared 36.0 percent, easily outstripping the 26.1 percent estimated in the Bloomberg survey, and well up from the 27.4 percent jump seen in May."Trade values took another big leg up in June. This predominantly reflects the recent surge in semiconductor prices on the back of the AI boom," Julian Evans-Pritchard, of Capital Economics, said in a note.The value of China's semiconductor exports more than doubled from the same month a year ago and rose $2.7 billion from May, while data processing equipment shipments also rose 53.1 percent from a year earlier.

But that expansion was "entirely a price story caused by the ongoing shortage of memory chips", Evans-Pritchard said, noting that the volume of semiconductor exports actually fell year-on-year in June.

"Surging semiconductor prices are playing a key role in pushing up import values," rather than domestic consumption surging, he said.

Automobile exports jumped 69.6 percent on-year, reflecting strong demand for Chinese electric vehicles, he added.

Shipments to the United States rose 13.9 percent to $43.5 billion, putting China's trade surplus with its superpower rival at $28.9 billion.

Ties between Washington and Beijing have stabilised since US President Donald Trump visited Beijing in May, but the persistent trade imbalance remains a source of friction between the two.

China is also locked in a simmering trade feud with the European Union, with which it recorded a trade surplus of $32.9 billion in June, a rise from $30.7 billion in May.

June's data "showcases the competitiveness and resilience of China's manufacturing sector", Zhang Zhiwei, of Pinpoint Asset Management, wrote in a note.

"It also put further pressure on the trade tension between China and its trading partners, Europe in particular," he said.

The volume of rare earths exports sank 34 percent last month and 6.4 percent on-year in the first six months of the year as Beijing tightened restrictions on the critical elements.

China accounts for around two-thirds of the total global production of the minerals, which are used to make everything from smartphones to missiles, and has wielded its dominance in the sector as a weapon in trade wars with the West.

China's overall trade surplus hit $126 billion last month, up from $105 billion in May, a gap that is worrying for European economies and other governments.

Stakeholders and policy experts have urged the government to make the blue economy a national priority, calling for stronger governance, a comprehensive legal framework and greater inter-ministerial coordination to unlock Bangladesh's vast ocean-based economic potential.

The call came at a policy dialogue titled "National Stakeholder Consultation on Blue Economy Governance in Bangladesh", held yesterday (13 July) at the Doyel Seminar Hall of SIMEC Institute of Technology in Uttara.

The consultation was organised by the Blue Economy Think Tank and chaired by Prof S M Shameem Reza of the Department of Mass Communication and Journalism at the University of Dhaka.

Speakers said Bangladesh's marine resources present significant opportunities to boost sustainable development and economic growth, provided the sector is supported by effective policies, institutional collaboration and scientific research.

They called on the government to formulate a comprehensive national strategy and legal framework for the exploration, utilisation and sustainable management of marine resources.

Participants also stressed the need to strengthen coordination among ministries and foster closer collaboration between government agencies, research institutions and other stakeholders involved in the sector.

The discussants said policymakers and researchers with specialised expertise in the blue economy should play a leading role in designing and implementing policies.

They also highlighted the importance of public-private partnerships in attracting foreign investment and accelerating sustainable economic development through the responsible use of marine resources.

Among those attending the consultation were Bangladesh Investment Development Authority (BIDA) Director General (Investment Promotion) Jibon Krishna Saha Roy, Prime Bank Deputy Head of Sustainable Finance Fareba Naz Shaule, Executive Officer Sharmin Akter Shetu, SIMEC Group Executive Director Foara Yasmin, BRAC University Assistant Professor Ratan Kumar Roy, Port City University Senior Lecturer Md Nurul Amin, Maasranga Television Special Correspondent Noor-un-Nahar Weely, Australia Awards 2024 alumni, and faculty members and researchers from public and private universities.

The consultation was organised under the Australia Awards - Driving Change: Alumni Grants for Innovation initiative, which aims to promote knowledge-sharing on the blue economy and strengthen stakeholders' capacity to support sustainable ocean governance in Bangladesh.

Advanced Chemical Industries (ACI) PLC has decided to invest Tk700 crore in its subsidiary, ACI Logistics Limited, which operates under the retail brand Shwapno.

The investment decision was approved at a meeting held today (14 July), according to company sources.

As part of the investment, ACI will subscribe to 70 lakh convertible preference shares of ACI Logistics, each with a face value of Tk1,000. The investment is expected to be completed by 15 October of the current year.
The move is expected to strengthen ACI Logistics' capital base and support the continued expansion of its retail operations under the Shwapno brand, according to the company's statement.