The Bangladesh Securities and Exchange Commission (BSEC) has relaxed its blanket ban on capital market investments by board members of market intermediaries, allowing directors of stock exchanges, depositories and clearing houses to invest in securities subject to mandatory quarterly disclosures.

In a directive issued on 12 October and signed by BSEC Chairman Masud Khan, the regulator amended its earlier order of 1 September by removing "Directors" from the list of those barred from investing in the capital market.

Under the revised rules, directors of stock exchanges, Central Depository Bangladesh Ltd (CDBL) and Central Counterparty Bangladesh Ltd (CCBL) must submit quarterly disclosures of their personal and institutional investments in capital market securities to the commission within 10 days of the end of each quarter.

However, the investment ban remains in force for officers and employees of stock exchanges, CDBL, CCBL, the Bangladesh Institute of Capital Market (BICM) and the Bangladesh Academy for Securities Markets (BASM).

The regulatory change is expected to bring governance standards in line with market realities while allowing experienced business leaders to participate in the capital market, market insiders said.

Directors of stock exchanges and market intermediaries are often drawn from trading right entitlement certificate (TREC) holders, corporate leaders and industry experts. A blanket ban on their investments in equity securities could discourage experienced professionals from joining these boards, they said.

Replacing the outright ban with mandatory quarterly disclosures could improve transparency by enabling the Bangladesh Securities and Exchange Commission (BSEC) to monitor directors' investments while allowing them to participate in the market.

However, the revised framework could increase the regulator's monitoring burden. The requirement for self-declared quarterly disclosures means the BSEC will need to audit transactions and verify compliance to ensure the rules are properly enforced, market insiders said.

The change could also create potential conflicts of interest if directors trade on price-sensitive information before it becomes public, potentially undermining market fairness despite the disclosure requirements, an executive of an asset management company said.

Far East Knitting and Dyeing Industries PLC incurred a net loss in the fiscal year ended 30 June 2026, prompting its board to halve the proposed cash dividend to 6% from 12% in the previous fiscal year.

According to a price-sensitive disclosure approved at a board meeting today (14 October), the textile manufacturer posted a net loss of Tk14.62 crore in FY26, against a net profit of Tk37.46 crore in FY25.

Consequently, earnings per share (EPS) fell to Tk0.67 negative in FY26. The company attributed the deterioration in EPS primarily to a decline in sales and other income during the period.

Despite the loss, the board recommended a 6% cash dividend, equivalent to Tk0.60 per ordinary share of Tk10 each, for FY26. The proposed payout is half the 12% cash dividend declared for FY25.

The company's cash flow metrics also suffered a severe contraction, with Net Operating Cash Flow per Share (NOCFPS) falling to Tk3.40 negative in FY26.

The decline was driven by reduced cash receipts from customers and other income, coupled with higher operating expenses.

Meanwhile, Net Asset Value (NAV) per share dropped to Tk19.27 as of 30 June 2026, down from Tk21.37 a year earlier.

The company will seek shareholder approval for the dividend and financial statements at its annual general meeting (AGM) scheduled for 23 December, via a digital platform. The record date for dividend entitlement has been set for 12 November.

Bangladesh Bank Governor Md. Mostaqur Rahman has stressed the need for strengthening the activities of the SAARCFINANCE Working Group and boosting bilateral trade and financial cooperation between Bangladesh and Bhutan.

He made the observations during a courtesy meeting with Yangchen Chhophel, Governor of the Royal Monetary Authority of Bhutan (RMA), held on Wednesday on the sidelines of the IMF-World Bank Group Annual Meetings 2026 in Bangkok, Thailand.

During the meeting, Governor Rahman highlighted the critical role of regional financial coordination and underscored how expanding trade ties between Bangladesh and Bhutan could foster mutual economic resilience across South Asia.

Both central bank chiefs discussed various aspects of SAARCFINANCE operations, bilateral trade mechanisms, and avenues for mutual cooperation, describing the high-level dialogue as constructive and highly fruitful.

According to a press release issued by Bangladesh Bank, the meeting was also attended by Bangladesh Bank Deputy Governor Dr. Md. Habibur Rahman and Royal Monetary Authority of Bhutan Deputy Governor Ugyen Choden.

The United States and China have signalled support for Bangladesh's economic recovery and energy security, with Beijing expressing interest in expanding investment in the country's power and energy sectors and Washington offering cooperation on debt management.

The assurances came during separate meetings between Bangladesh's delegation and officials from the US Treasury Department and the Export-Import Bank of China (China Exim Bank) on the sidelines of the IMF-World Bank annual meetings in Bangkok, Thailand, officials familiar with the discussions told The Business Standard today (14 October).

A member of the Bangladesh delegation said China Exim Bank had expressed interest in increasing investment in Bangladesh's energy and power sectors.

The bank also informed the delegation that its chairman would visit Dhaka next week, raising the prospect of further engagement on investment.

The US Treasury Department, meanwhile, assured Bangladesh of cooperation in several areas, including debt management and bilateral relations, officials said.

Bangladesh pledges faster project delivery to secure $10b in WB loans
Washington's support is seen as particularly important to Bangladesh's efforts to secure financing from the International Monetary Fund (IMF), given the United States' veto power over the institution's decisions.

After meeting US Treasury officials, Finance Minister Amir Khosru Mahmud Chowdhury said Bangladesh had received less support from the United States than it had expected in the past, but hoped closer bilateral ties would lead to greater assistance.

The discussions covered debt management, bilateral relations and other issues, he said, adding that the improvement in relations had raised the government's expectations of further US support.

Pointing to Bangladesh's purchases of aircraft from the US and imports of goods including soybeans, the finance minister said the country should receive greater American support in advancing its development and economic interests.

Government expects support in coming months

Prime Minister's Economic Adviser Dr Rashed Al Mahmud Titumir said the IMF, World Bank and US Treasury Department, among others, had acknowledged that the current government had inherited economic difficulties and high inflation.

The conflict in the Middle East had added to the pressure on the economy, he said.

They also said the current government was working sincerely to resolve the problems. As a result, the World Bank, IMF, US Treasury Department and other organisations have assured Bangladesh of their support.

According to Titumir, international financial institutions and US officials recognised the government's sincere efforts to address these challenges. As a result, the World Bank, IMF, US Treasury Department and other organisations had assured Bangladesh of their support, he said.

The government expects confirmation of the assistance within the next two to three months, he added.

DBH Finance PLC reported a 22% year-on-year decline in net profit for the July-September quarter of 2026, as a sharp drop in investment income from government securities offset a surge in net interest income.

According to a financial disclosure filed with the Dhaka Stock Exchange (DSE) today (14 October), the specialised housing finance institution posted a net profit of Tk25 crore in the third quarter ended 30 September 2026, down from the same period a year earlier.

Consequently, its quarterly earnings per share (EPS) fell to Tk1.24 from Tk1.60 in July-September 2025.

The decline in quarterly profit came despite a 91% surge in net interest income to Tk55.60 crore. However, income from investments in government securities plunged 76% to Tk8.38 crore during the three-month period, weighing on overall profitability.

Despite the third-quarter decline, the lender's cumulative performance for January-September 2026 remained positive. Net profit for the nine-month period rose 9% year-on-year to Tk80.76 crore, lifting EPS to Tk3.98 from Tk3.67 in the same period last year.

The company attributed the growth in cumulative earnings to a recovery in the capital market in 2026, which enabled it to reverse approximately Tk5.5 crore in provisions for investment impairment. Lower provisioning requirements against loans and advances compared with the same period last year also supported profitability.

Meanwhile, net operating cash flow per share turned negative at Tk4.51 in January-September 2026, compared with a positive Tk17.36 in the corresponding period of 2025, mainly due to a contraction in the deposit portfolio.

Net asset value per share rose to Tk52.03 as of 30 September 2026 from Tk49.55 on 31 December 2025.

Following the earnings announcement, DBH Finance shares fell 0.76% to close at Tk39.10 on the DSE today.

Chinese company KPST is set to expand its operations in Bangladesh by establishing a second factory at the BEPZA Economic Zone-1 in Mirsharai, Chattogram, with an investment of US$7.01 million.

The new factory is expected to create employment opportunities for around 200 Bangladeshis.

To this end, KPST New Material (BD) Company Limited signed a land lease agreement with the Bangladesh Export Processing Zones Authority (BEPZA) in Dhaka on Wednesday.

BEPZA Member (Investment Promotion) Md Tanvir Hossain and the company’s Director Zhang Youyu signed the agreement on behalf of their respective organisations.

According to BEPZA, the factory will be built on 7,200 square metres of land. It will have an annual production capacity of 11 million pairs of footwear accessories, 24,000 cubic metres of foam, various bag and luggage components, 200,000 cutting boards and 250,000 cutting dies or moulds.

The products will be supplied to footwear manufacturers in India and Cambodia, as well as export-oriented footwear factories in Bangladesh.

Zhang Youyu said the company had decided to establish a second factory as demand for products and purchase orders from its first facility continued to rise. Considering the overall investment climate, the company had chosen BEPZA for its expansion, he added.

BEPZA Executive Chairman Major General Mohammad Moazzem Hossain welcomed the investment and thanked the company for expanding its operations in Bangladesh.

KPST Shoes (BD) Company Limited, which shares the same ownership, was the first company to begin exports from BEPZA Economic Zone-1. It started production in November 2023.

The new investment will further increase the group’s manufacturing capacity in the same economic zone.

According to BEPZA data, 14 companies were operational in BEPZA Economic Zone-1 as of September 2026, while 33 other projects were under implementation.

The zone has so far generated exports worth $68.29 million, with total investment reaching $98.83 million. The operational companies have created jobs for 4,428 Bangladeshis.

The BEPZA Economic Zone in Mirsharai has been divided into two separate zones, BEPZA Economic Zone-1 and BEPZA Economic Zone-2, to facilitate more efficient administrative and operational management.

Daily turnover on the Dhaka Stock Exchange (DSE) fell to a near seven-month low today (14 October) as cautious investors largely stayed on the sidelines, despite a modest recovery in benchmark indices following heavy losses in recent sessions.

Turnover on the country's premier bourse stood at Tk416 crore, reflecting persistent liquidity constraints amid macroeconomic concerns and earnings uncertainty.

The benchmark DSEX rose 0.38%, gaining 20 points to close at 5,429, while the blue-chip DS30 index edged up 0.15% to 2,092 points.

Market breadth favoured gainers, with 197 issues advancing, 137 declining and 51 remaining unchanged.

EBL Securities noted in its daily market commentary that selective bargain hunting in recently battered stocks provided modest support, helping the market recover after shedding nearly 70 points in the preceding sessions. However, investor sentiment remained subdued amid domestic economic headwinds, weak corporate earnings expectations and global geopolitical tensions.

Sheltech Brokerage reported that the session saw a volatile tug-of-war between opportunistic buyers and profit-taking sellers. The market opened on a firm note, led by selective large-cap and insurance stocks, pushing the DSEX to an intraday high of 5,439 points.

Mid-session selling pressure dragged the index down to 5,412 points before a late buying wave helped it recover towards the day's high.

Textiles accounted for 24% of total trading volume, followed by general insurance at 13.4% and pharmaceuticals at 8.8%.

General insurance led sectoral gains, rising 2%, followed by life insurance at 1% and engineering at 0.9%. In contrast, jute stocks suffered the steepest correction, falling 4%, while services and financial institutions declined 1% and 0.9%, respectively.

Evince Textile topped the turnover chart by trade value, followed by Sonali Aansh, Prime Finance First Mutual Fund, Paramount Textile and Apex Spinning.

Usmania Glass led the gainers with a 9.82% surge, followed by Prime Finance First Mutual Fund at 9.81%, Techno Drugs at 9.58%, BIFC at 9.09% and Rahima Food at 8.12%.

On the losing side, Nurani Dyeing fell 7.14%, followed by Sharp Industries, Sonali Aansh, EBL First Mutual Fund and Standard Bank.

The Chittagong Stock Exchange (CSE) moved in the opposite direction, with the CSCX falling five points to 8,912 and the CASPI shedding six points to close at 14,515.

Bangladesh expects to get financing commitments finalised with international development partners within two to three months as it strives for economic recovery, banking reform and managing mounting pressure from energy costs.

In another development at Bangkok talks, Bangladesh has proposed and the financiers signaled for synchronised government-World Bank project approval by a single stroke for rapid fund release and rapid returns on investment, including targeted job generation for millions in search.

The indications came from Finance Minister Amir Khosru Mahmud Chowdhury and Finance and Planning Adviser Rashed Al Mahmud Titumir on Wednesday.

Speaking to journalists on the sidelines of the IMF-World Bank annual meetings here, Prof Titumir said discussions with the International Monetary Fund (IMF), the World Bank, US Treasury and other development partners established a broad consensus on the country's economic challenges and the government recovery strategy.

"Negotiations are progressing, and we expect these financing commitments to be finalised within the next two to three months," he said.

The government is seeking to address a fragile economic situation while containing inflation, restoring confidence in the banking sector and protecting vulnerable households from rising living costs. The Middle East conflict has added to the pressure by pushing up energy prices and increasing transport costs, the adviser said.

He said international partners considered the government's reform agenda realistic and expressed confidence in its approach to economic recovery.

The government will move swiftly to separate revenue policy from revenue collection under a reform of the National Board of Revenue (NBR), Mr Titumir said.

A committee formed after the government took office has submitted its report, and the separation will be implemented by an executive order, he added.

The reform is intended to improve transparency, reduce harassment of taxpayers and raise the tax-to-GDP ratio. The government is also pursuing the digitisation of tax administration to strengthen compliance and revenue collection.

The IMF has previously identified revenue mobilisation as a central element of Bangladesh's fiscal reforms. Its January 2026 assessment noted that the country's Medium- and Long-Term Revenue Strategy aimed to raise the tax-to-GDP ratio to 10.5 per cent by fiscal year 2034-35. The Fund also referred to the separation of revenue policy and management functions under the revenue-reform framework.

On banking, Mr Titumir said the government has a clear plan to reduce non-performing loans, clean up bank balance sheets and restore financial discipline.

He said depositors in the consolidated Islamic banking institutions were now able to access their funds, helping rebuild confidence after the government moved away from proposed reductions in depositors' claims.

The adviser also referred to the damages accumulated in the banking sector, saying that Bangladesh Bank had previously estimated that about $40 billion would be needed to address the problems.

Responding to questions about central bank independence, Mr Titumir said Bangladesh Bank is exercising greater autonomy while monetary and fiscal policies were being coordinated to support economic recovery.

He cited a Tk 60-billion financing package carrying negative interest rates, intended to stimulate investment and help reopen closed factories.

The government wants to increase credit flows to the private sector while restoring stability in financial institutions.

Mr Titumir said the government has also developed a strategy to address poverty through targeted social protection, employment generation and support for farmers and vulnerable households.

He cited a World Bank assessment indicating that nearly eight million people had fallen below the poverty line amid prolonged inflation. The government expected its expanded safety-net programmes to help reverse that trend.

He said discussions with the International Islamic Trade Finance Corporation had taken place and that existing financing facilities remained operational. The World Bank, the Asian Development Bank and the Islamic Development Bank also provided support to the energy sector.

Mr Titumir said development partners backed the government's domestic reform agenda without imposing externally dictated measures, arguing that the political leadership has taken ownership of its reform programme.

The discussions in Bangkok have taken place as the IMF and World Bank hold their annual meetings on October 12-18 discussing economic stability, growth and financing challenges across the world.

The adviser said the government would continue negotiations with multilateral and bilateral partners to secure the resources needed to implement its recovery strategy.

Meanwhile, Bangladesh proposed synchronising government and World Bank approvals for projects and fund disbursements to reduce administrative delays and quicken implementation to generate targeted jobs.

Finance Minister Amir Khosru Mahmud Chowdhury made the proposal at 'Ministerial Roundtable on Accelerating Implementation for More and Better Jobs', organised by the World Bank at the Queen Sirikit National Convention Centre in the Thai capital on Wednesday.

He said delays between approvals by the government and the World Bank often slow project execution so it is necessary to align the two processes and ensure funds are disbursed without avoidable delays.

"In our conversation with Anna and the Bank Group, we have discussed to start with: the approval of the World Bank and this government should be synchronised so it happens at the same time, because the approval on both sides sometimes (causes delay), and I think the same should be followed with the disbursement for the projects," he said.

The minister mentioned that Bangladesh had set a target of creating 10 million jobs that makes timely project implementation essential to achieve the goal.

To strengthen oversight, the government plans to introduce a centralised digital dashboard from the beginning of project implementation, with daily monitoring of progress through indicators highlighting potential delays and implementation problems.

The Ministry of Finance, the Prime Minister's Office and the relevant line ministry will monitor the projects.

The government will also assess projects after completion to determine whether they have delivered their intended results.

Khosru said proposed projects would have to meet four criteria before receiving approval: value for money, returns on investment, job creation and environmental considerations.

The measures are intended to ensure that development financing translates into tangible economic benefits, particularly employment opportunities.

World Bank President Ajay Banga told the roundtable that faster project delivery is critical as developing countries face mounting pressure to create jobs for a growing working-age population.

"Development delayed is development denied," he said, urging governments and development institutions to spend less time discussing plans and more time delivering results on the ground.

Banga said the World Bank and borrowing countries should work together to reduce project-implementation timelines by one-third over the next three years.

He stressed that faster approvals by the Bank alone would not be sufficient unless governments also addressed domestic obstacles, including procurement delays, land acquisition and coordination among public agencies.

The International Monetary Fund (IMF) has warned that eroding foreign exchange reserves, shrinking fiscal buffers and opaque borrowing arrangements are leaving some emerging and frontier economies more vulnerable to global shocks.Economic analysis reports

The warning carries implications for Bangladesh as it faces pressure from energy costs and external financing needs, although the IMF’s Global Financial Stability Report, released on Tuesday, does not mention Bangladesh by name or provide a country-specific assessment.

The report says measures taken by emerging and frontier economies to cushion the energy shock have weakened their capacity to absorb further external pressures.

“Measures to cushion the energy shock have weighed on fiscal space and reserve buffers, leaving less room to maneuver if energy price pressures intensify or global financial conditions tighten,” it says.

Asian economies dependent on imported energy have experienced larger swings in capital flows, according to the report. It cautions that the effectiveness of foreign exchange intervention depends on countries’ underlying vulnerabilities and broader economic policies.

“Foreign exchange intervention outcomes depend importantly on underlying vulnerabilities, including energy dependence, and the broader policy response,” the IMF says.

The report also raises concerns about opaque financing arrangements, particularly among frontier economies, warning that such transactions can obscure debt exposures and weaken access to international markets.

“Continued buildup of these and other opaque transactions could increase the vulnerability of frontier economies to global shocks and hinder future market access,” it says.Buy Maps

The IMF highlights sovereign total return swaps, through which governments can raise cash against assets, including their own bonds. Such transactions may not be fully reflected in standard public debt statistics, making transparent reporting essential.

For Bangladesh, the report’s broader message is the importance of preserving foreign exchange buffers, maintaining credible macroeconomic policies and ensuring transparency in public borrowing as global financial conditions remain uncertain.

Bangladesh received US$9.88 billion in workers' remittances during July 1 to October 12 of the current fiscal year 2026-27, marking a 12.7 per cent increase from US$8.77 billion in the corresponding period of the previous fiscal year.Buy Maps

According to the latest Bangladesh Bank data, expatriate Bangladeshis sent home US$1.29 billion during October 1-12, compared to US$1.18 billion in the same period of 2025, registering a year-on-year growth of 9.2 per cent, reports BSS.

On October 12 alone, remittance inflow stood at US$124 million.

Asian equities fell sharply on Tuesday led by technology shares as a widening conflict in the West Asia kept oil prices elevated, supporting the dollar ahead of an earnings season that will set the tone for the rest of the year.

Energy prices are back driving global markets as investors weigh the geopolitical developments in West Asia and Russia-Ukraine, with Brent crude futures at $105.9 per barrel, near a two-week high.

Oil markets have been volatile as investors contend with the supply risks from attacks on Saudi Arabia while considering the prospect of additional diesel supplies from Russia.

"Markets are rediscovering that geopolitics matters most when it feeds back into inflation," said Charu Chanana, chief investment strategist at Saxo in Singapore.

"The renewed jump in oil is keeping pressure on yields and taking some shine off expensive growth stocks, especially as the Russia-Ukraine energy truce looks fragile and West Asia supply risks remain live."

In stocks, MSCI's broadest index of Asia-Pacific shares outside Japan fell 2 per cent in early trading, with tech-heavy South Korea's sliding 6 per cent. Japan's Nikkei sank 2.6 per cent after returning from a holiday.

"A lot of it has to do with the chip selloff we saw on Wall Street overnight. That's bleeding into the Asian region," said Kyle Rodda, a senior analyst at Capital.com.

Overnight, the tech-heavy Nasdaq fell 0.5 per cent, dragged by chipmakers as investors fret about the durability of the rally in AI stocks amid higher competition between the US and China.

"When you add another jump in oil prices and some positioning ahead of inflation data and earnings, you have all the ingredients for a risk-off day in Asia," Rodda said.

The cautious sentiment helped keep the US dollar near an 18-month high. The euro last bought $1.1157, while the Japanese yen was at 158.50 per US dollar.

Earnings Test Awaits

Investors' attention will be on the slew of US bank earnings this week to get a gauge on the impact of the recent surge in Treasury yields on dealmaking, lending growth and funding costs across the industry.

A toxic mix of inflationary pressure from elevated energy prices and worries about ballooning government debt have triggered several bouts of bond selloffs in recent weeks, pushing borrowing costs to multi-decade highs across the globe.

Four of the six largest US lenders, JPMorgan Chase, Goldman Sachs, Citigroup and Wells Fargo will report results later in the day.

Anthony Saglimbene, chief market strategist at Ameriprise Financial, said investors will be looking to bank results for insights on whether households are still paying their bills, borrowing, and spending at healthy levels.

"The Q3 earnings season starts with stocks near record highs and little room for disappointment," he said.

"We believe for stocks to have an opportunity to grind higher from here, corporate America needs to turn in more A’s and B’s on their latest report cards and show they can maintain that momentum into year-end."

The benchmark 10-year yield was down 2.9 basis points at 5.214 per cent in Asian hours, staying close to the 24-year high of 5.364 per cent it hit last week.

Economist Selim Raihan has called for greater involvement of the private sector and international partners, including global buyers and investors, in financing Bangladesh’s green energy transition and supporting green growth. He made the remarks at a policy dialogue in Dhaka yesterday.

Bangladesh needs $230 billion between 2023 and 2050 to adapt to climate change, but the required funding has yet to be secured, said Raihan, a professor of economics at the University of Dhaka and executive director of the South Asian Network on Economic Modeling (SANEM).
Mobilising such a large amount would be challenging, making private investment and international financing essential to meeting the country’s climate goals and supporting the transition to cleaner energy, he said.

Selim made the remarks while presenting a keynote paper at SANEM’s policy dialogue titled “Can Green Growth Drive Bangladesh’s Next Phase of Development?” at the Sheraton Dhaka in the capital.

Businesspeople, economists and government officials attended the event, where discussions also focused on rooftop solar integration, grid stability, battery storage and disposal, and financing green growth through green bonds and carbon markets.

Monzur Hossain, member (secretary) at the General Economics Division of the Bangladesh Planning Commission, said the government was focusing on generating solar electricity from rooftops, particularly in areas along riverbanks.

However, integrating rooftop solar power into the national grid could create instability and imbalances, he said. Establishing isolated grids in some areas could be one solution, and work was underway to address the challenges.

While the government was considering these issues in its commercial projects, private-sector initiatives involving direct electricity sales to the government required strict quality control to protect public interests, Monzur added.

Md Fazlul Hoque, administrator of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), also raised concerns about the practical challenges of implementing solar power projects, particularly battery storage and disposal.

Installing solar systems without batteries can reduce costs, but electricity generated during the day cannot be used at night unless it is stored, he said. However, lower nighttime demand warrants an assessment of whether battery-free systems could remain viable.

Fazlul also highlighted the environmental and technical challenges of battery disposal, particularly in the garment sector, where compliance requirements are stringent.

“Where will the batteries be disposed of? This is a major issue. It is highly technical and potentially very risky,” he said.

Drawing on his 12 years of experience with solar energy projects, Fazlul said implementing solar power initiatives was far more complicated than it might appear.

Fahmida Khatun, distinguished fellow at the Centre for Policy Dialogue (CPD), said green growth had become imperative for Bangladesh rather than a matter of choice.

“For Bangladesh, it is no longer a matter of choice; it has become an imperative,” she said.

The key challenge is to advance green growth through domestic policies and actions alongside international engagement, Fahmida added.

She also urged Bangladesh to explore green bonds and carbon markets to mobilise financing, saying both remained underutilised.

“Financing is an important issue. Bangladesh could explore green bonds and opportunities in carbon markets, areas that we have not explored sufficiently,” she said, adding that greater emphasis on market-based mechanisms was necessary because public resources were limited and faced competing demands.

Bangladesh will request Japan to introduce a country-specific "transitional concessional window" to provide Bangladesh with low-interest loans at least until 2029, as interest rates on loans under the official development assistance (ODA) programme have risen significantly, officials at the Economic Relations Division (ERD) said.

The request is set to be placed at a meeting between Finance and Planning Minister Amir Khosru Mahmud Chowdhury and Japan International Cooperation Agency (Jica) Senior Vice-President Shohei Hara, expected tomorrow, on the sidelines of the annual meetings of the International Monetary Fund and the World Bank in Thailand.

The finance minister is expected to seek measures to reduce the risks associated with Jica's floating-rate loans and propose an interest rate cap on such loans. He may also seek the option to convert floating-rate loans into fixed-rate loans, if necessary, or introduce other mechanisms for sharing interest rate risks between borrowers and lenders, ERD officials said.

They said the need for special concessions was being felt as the rising cost of Japanese loans had become a major concern during the transitional period ahead of Bangladesh's graduation from the Least Developed Country (LDC) category.

In April 2020, Jica's standard fixed interest rate for loans to eligible LDCs and low-income countries was just 0.7%. Under the agency's new lending terms, effective from 1 October 2026, the standard fixed interest rate has risen to 3.50%, marking a fivefold jump in six years. These loans have a repayment period of 30 years, including a 10-year grace period.

Bangladesh will emphasise at the meeting that Japanese ODA loans should not become comparable in cost to market-based financing and that their flexible and concessional nature remains crucial given the country's current economic situation.

Bangladesh is currently in the process of graduating from the LDC category and has also sought additional time to prepare for the transition.

An ERD senior official said interest rates on Jica loans were revised every six months. Before last October, the interest rate on Japanese loans was 3.05%, but it had since risen to 3.50%. The rate could increase further over the next six months.

Meanwhile, the interest rate on new floating-rate loans from Japan currently stands at 1.80%, although there remains a risk that the rate could rise over the long term, even after the loan agreement is signed. The issue is now under review.

ERD officials said that if the six-month Tokyo Term Risk-Free Rate (TORF) were used as the benchmark, the current six-month reference market rate would be approximately 1.35%. Adding a fixed spread of 0.45 percentage points would bring the total interest rate to around 1.80%.

If TORF rises to 1.50%, the total interest rate in the next cycle would increase to 1.95% – 1.50% plus the 0.45-percentage-point spread.

The government believes that although floating-rate loans may initially appear attractive, they can create considerable uncertainty over future debt-servicing costs, particularly for long-term infrastructure projects.

ERD officials said predictability in future debt-servicing costs was essential for medium-term revenue planning and debt management.

Bangladesh seeks to expand budget support

Bangladesh wants to move Japan's development assistance beyond project-based loans towards a regular, long-term framework for budget support and policy-based financing, ERD officials said.

The government also wants to discuss ways to curb cost overruns and repeated deadline extensions in Jica-funded projects, ensure the proper use of funds and improve transparency in project implementation.

Officials said one of the finance minister's key messages at the meeting would be the need to increase Japan's policy-based financing and direct budget support.

Urgent support on Matarbari power plant

Officials familiar with the matter said the finance minister might raise operational and technical problems at the Matarbari Ultra Super Critical Coal-Fired Power Plant directly with Jica's senior vice-president.

Recent reports have highlighted declining generation and several unresolved technical issues, including problems with the boiler and other systems. There have also been delays in determining technical responsibility and resolving the problems.

The main challenges facing the 1,200MW Matarbari coal-fired power plant include supply chain and fuel shortages caused by delays in coal imports and the dollar shortage, difficulties in opening letters of credit on time, mechanical and technical interruptions in maintaining ultra-supercritical technology, and limitations in transmission infrastructure for supplying electricity to the national grid.

These interconnected problems have frequently prevented the plant from generating electricity at full capacity or maintaining an uninterrupted supply.

Govt to be more selective in Jica projects

With interest rates on Jica loans rising, the government has decided to be more selective when approving future projects. New projects will need to align with the country's current development priorities and the government's electoral pledges.

Bangladesh also wants to develop a "strategic investment portfolio" with Jica instead of relying primarily on project-by-project loans. This would place greater emphasis on a project's contribution to employment, exports, production and private investment rather than simply the volume of financing.

Bangladesh seeks Japanese cooperation in new sectors, including export diversification

Bangladesh wants to expand cooperation with Japan beyond traditional development assistance into several new areas, including export diversification, the bond market, skilled human resources, digital transformation, pharmaceuticals and healthcare industries, ERD officials said. The finance minister will present a package of proposals on these issues at the upcoming meeting with Jica.

Officials said discussions would cover improvements in trade and logistics with Japan, as well as reducing Bangladesh's dependence on a limited range of export products, particularly readymade garments.

Bangladesh would finally achieve the government-set 6.5-percent GDP growth notwithstanding a sharply lower forecast by the International Monetary Fund (IMF), Finance Minister Amir Khosru Mahmud Chowdhury has expressed the optimism.

He said the country would assess its economic performance at the end of the fiscal year rather than debate growth projections.

"We do not want to debate anyone's projections. We are carrying on with our work, and the results will be seen at the end of the fiscal year. We remain hopeful of achieving the growth target set in our budget," he told journalists on the sidelines of the IMF-World Bank Annual Meetings in the Thai capital.

The IMF Tuesday projected Bangladesh's gross domestic product (GDP) growth at 3.2 per cent in FY2026-27, less than half the government target.

Meanwhile, the government is pursuing fresh financial support from the World Bank and the IMF to help cushion the economy against mounting external pressures, particularly the impact of the conflict in the Middle East on energy costs.

About his latest engagement with the World Bank as part of an ongoing dialogue, Mr Chowdhury said discussions with the lender were progressing as expected.

"Everything is moving on track. We spoke with the World Bank's vice-president yesterday and held discussions with its managing director for operations today."

The minister said the World Bank understood the economic challenges facing the new government, including the liabilities inherited from previous administrations and the additional pressure created by the ongoing war.

"They want to support us. They understand the circumstances in which the new government took charge, the economic difficulties we inherited and the liabilities left by previous governments.

"They also understand the pressure the ongoing war is putting on the economy, and they are prepared to support us in addressing these challenges," he told the press. Mr Chowdhury said the World Bank was aligned with the government's economic programmes and policy priorities for the short, medium and long terms.

"The World Bank is aligned with our programmes and policies," he said, adding that the discussions would lay the groundwork for continued cooperation.

Asked whether the government was seeking an additional $10 billion in assistance, the finance minister said no concrete decision had emerged from the meetings.

"These meetings are part of a series of discussions that will continue over the next few months. The World Bank's team will then visit Bangladesh, and a final decision will come thereafter."

He said the current discussions were intended to establish the basis for future cooperation rather than produce an immediate financing commitment.

"These discussions will establish the foundation for what we plan to do in the future," he added.

The minister also disclosed that Bangladesh submitted a detailed partnership framework to the World Bank, describing it as an unprecedented step in the country's engagement with the lender.

"This has never happened before, and we are now discussing the agenda outlined in that framework," he said.

The discussions come as Bangladesh seeks external financing to manage economic vulnerabilities, including higher energy import costs, inflationary pressure and strains on public finances.

The government is looking to multilateral development partners to help sustain its economic programme amid heightened geopolitical uncertainty.

Bangladesh entered a $4.7-billion IMF loan programme in January 2023 under the previous Awami League government. The package was subsequently increased to $5.5 billion during the interim administration.

The BNP-led government decided in May this year to exit the programme eight months before its scheduled expiry and later applied for a fresh financing arrangement, according to a June-3 statement by Ivo Krznar, the IMF's mission chief for Bangladesh.

Bangladesh has so far received $3.8 billion in five instalments under the original $4.7-billion package.

The government's pursuit of fresh support from multilateral lenders has gained importance as the conflict in the Middle East threatens to increase energy costs and complicate efforts to stabilise the economy and achieve its growth target.

Bangladesh has pledged to slash project implementation timelines for World Bank-funded initiatives from seven years to five and streamline the approval process from 18 months to just eight, as it seeks to secure $10 billion in additional loan assistance over the next three years.

Finance Minister Amir Khosru Mahmud Chowdhury informed the multilateral lender that the government is aiming to compress the approval window even further, down to five months, to accelerate development delivery.

The commitments were made during a high-level meeting in Bangkok between a Bangladeshi delegation led by senior government policymakers and World Bank Managing Director Anna Bjerde. As part of the discussions, the World Bank agreed to finalise its Country Partnership Framework with Bangladesh by June 2027.

Speaking to reporters following the talks, Khosru expressed satisfaction with the trajectory of negotiations, noting that the World Bank remains fully aligned with Bangladesh's broader economic policies and medium-to-long-term development plans. However, he cautioned that negotiations over the $10 billion package remain ongoing and could take several months to wrap up.

Coordinated support from World Bank and IMF
Senior government officials present at the meeting told The Business Standard that both the World Bank and the International Monetary Fund (IMF) have responded positively to Bangladesh's requests for assistance. Alongside the World Bank talks, the BNP-led government has proposed borrowing $4.5 billion from the IMF under a new loan programme.

"Both institutions are setting conditions across various areas, including banking sector reforms and enhanced revenue collection," a senior government official said. "Discussions are currently under way to coordinate and harmonise these reform requirements to prevent overlapping conditions."

If secured, the additional funding will cushion the economy against global shocks by financing critical energy and fertiliser subsidies, securing essential imports, recapitalising banks, and strengthening overall financial sector resilience.

Four priority pillars underpin $10b proposal

The government's request for additional financing rests on its newly drafted Resilience and Reform Investment Programme, which outlines four key priority pillars:

Trade Financing: Securing essential imports, particularly energy and fertiliser supplies.

Trade Facilitation: Supporting micro, small, and medium-sized enterprises (MSMEs).

Financial Governance: Driving deep reforms across the banking and financial sectors.

Economic Resilience: Enhancing macroeconomic capacity to absorb external shocks.

The proposal follows a high-level meeting between Prime Minister Tarique Rahman and World Bank President Ajay Banga on the sidelines of the UN General Assembly in New York last month. The formal framework was presented to World Bank officials in Bangkok on Monday.

Describing the effort to secure aid under this framework as "unprecedented in Bangladesh's history," the finance minister confirmed that written proposals and initial recommendations have been exchanged between both sides.

Focus on private investment, tax automation, and job creation

The World Bank's reform agenda for Bangladesh places heavy emphasis on private investment and job creation. Key priorities include tackling high non-performing loans (NPLs), reforming state-owned enterprises, and restoring health to the banking system to reignite economic momentum.

The Bangladeshi delegation highlighted several immediate steps already under way to restore market confidence:

Banking Sector Restructuring: Initiatives are in motion to recapitalise banks and protect depositor confidence, including joint interventions with the International Finance Corporation (IFC), the World Bank's private-sector arm. Visible cleanup measures have already commenced in targeted institutions.

Capital Market Oversight: An independent, professional securities commission has been instituted, replacing the previous political leadership model. Eased regulatory barriers have renewed interest among institutional fund managers across New York, London, and Hong Kong, with progress on a Hong Kong-based equity fund advancing rapidly.

Tax Administration Reforms: In line with longstanding recommendations from the IMF and World Bank, revenue policy formulation has been completely separated from tax administration. Furthermore, full automation of tax processes is being rolled out to boost the national tax-to-GDP ratio.

State-owned Sonali Bank has lent Tk7,000 crore to financially distressed private lender National Bank at an interest rate of 10% for three months, backed by a 100% guarantee from Bangladesh Bank.

Meanwhile, National Bank received around 7,500 withdrawal requests over the past three days, although the total amount sought was significantly lower than the bank's estimates, said its Chairman Melita Mehzabeen.

The bank has been accepting withdrawal requests from customers with deposits exceeding Tk1 lakh since 11 October to assess their demand for funds.

Speaking to The Business Standard today (13 October), Melita said National Bank would resume full and normal banking operations from 15 October 2026.

She expressed gratitude to customers for their patience and continued trust despite the bank's prolonged difficulties.

National Bank has sent SMS notifications to around 1.25 million customers explaining how to submit withdrawal requests at branches and providing the necessary instructions. It has also launched a hotline to provide information and assistance.

The bank is arranging to distribute sufficient cash across its 221 branches and 65 sub-branches. Adequate cash will also be available at its 53 ATMs so customers can withdraw money according to their needs, she said.

Melita added that National Bank was preparing to receive remittances through its own remittance houses and branches in Malaysia, the Maldives and Singapore. Although these institutions had received recognition for their contributions to remittance transfers, liquidity constraints had meant that most remittances sent through them were not routed via National Bank.

The bank is now prepared to ensure that beneficiaries receive remittances on time if the funds are channelled through it, she said.

According to Melita, National Bank is trying to manage its operations using its own funds under Bangladesh Bank's guidance. The central bank has assured it of support if needed, while other financial institutions may also provide assistance when required.

However, transactions will not resume in accounts frozen or restricted under applicable government or Bangladesh Bank regulations. Transactions in dormant accounts or accounts with outdated know-your-customer (KYC) information will also remain suspended until the required procedures are completed.

She also expressed hope that depositors would keep their money with the bank after receiving interest on their deposits rather than withdraw funds before maturity.

A Bangladesh Bank spokesperson told TBS that the central bank had instructed National Bank to take the necessary steps to return depositors' money.

"The governor has assured the bank that Bangladesh Bank will provide support if it faces difficulties while implementing these measures," the spokesperson said.

Under the guarantee arrangement, Bangladesh Bank will reimburse Sonali Bank within three working days if National Bank fails to repay the loan at maturity.

Sonali Bank Managing Director Shawkat Ali Khan said the bank had extended the liquidity support in line with Bangladesh Bank's initiative to restore confidence in the banking sector.

He said the central bank's 100% guarantee ensured that Sonali Bank would be reimbursed within three working days if National Bank failed to repay the loan at maturity, leaving Sonali Bank exposed to no risk.

He added that similar financing had previously been extended to Islamic banks against guarantees from the central bank.

National Bank struggles with financial distress

National Bank was once among the leading private-sector banks in Bangladesh. After the Awami League government came to power in 2009, major changes were made to the bank's board, and control subsequently passed to the Sikder family.

The bank underwent another board change following the fall of the Awami League government on 5 August 2024. However, it has yet to recover from irregularities and alleged financial plundering during the Sikder family's tenure.

A high volume of non-performing loans has weakened its financial indicators. The bank has continued to incur losses and struggled to meet depositors' withdrawal demands.

Bangladesh Bank has also provided substantial liquidity support to keep the loss-making lender afloat. Despite the assistance, the bank's normal transaction activities have yet to improve significantly.

Recently, four National Bank depositors approached the High Court after failing to withdraw their deposits. The court subsequently directed Bangladesh Bank to ensure that the depositors could withdraw money from their savings accounts.

Against this backdrop, National Bank Chairman Melita Mehzabeen and acting managing director Zahidul Haque met Bangladesh Bank Governor Md Mostaqur Rahman on 8 October.

During the meeting, Melita said recent measures taken by the central bank had helped establish good governance at National Bank. She also said positive changes had been introduced in loan management to improve efficiency and operational capacity.

The governor said the bank's liquidity position and its ability to meet depositors' withdrawal demands were being treated as priorities. He instructed the bank to take the necessary measures to protect depositors' interests, maintain confidence in the banking system and ensure orderly operations.

He also directed the bank to ensure that all depositors could withdraw money according to their needs from 15 October.

Central bank's exposure to National Bank

Earlier, National Bank borrowed Tk985 crore from several banks but failed to repay the money within the stipulated period. Bangladesh Bank subsequently settled the liability, turning the amount into a debt owed by National Bank to the central bank.

National Bank currently owes Bangladesh Bank Tk10,568 crore. The entire amount was provided by the central bank through the creation of new money, according to the information provided.

Banking sector insiders say Bangladesh Bank is facilitating loans from other banks against central bank guarantees to support lenders facing liquidity shortages.

While such assistance can help address immediate cash shortages, a lasting recovery will be difficult unless loan recovery improves and distressed banks strengthen their financial positions.

Olympic Industries has decided to buy 32.87 decimals of land in Narayanganj for Tk 1.15 crore to expand its operations.

The leading biscuit and confectionery maker decided to make the purchase at a board meeting on Monday, according to a disclosure on the Dhaka Stock Exchange (DSE) yesterday.

The land is located in Changain mouza under Kanchpur in the Sonargaon area of Narayanganj.

The company will also bear the registration costs, including value-added tax, other taxes and related charges.

This is the second time in a month that Olympic Industries has decided to buy land in the same district. On October 11, the company disclosed plans to purchase land in Narayanganj for Tk 3.38 crore.

In fiscal year 2025-26, the company’s revenue rose by more than 6 percent to Tk 2,955 crore.

However, net profit edged down to Tk 199 crore from Tk 201 crore a year earlier, which the company attributed to higher income tax expenses, according to a price-sensitive disclosure.

Olympic Industries has recommended a 35 percent cash dividend for the year ended June 30, 2026, up from 30 percent a year earlier.

The company’s shares remained unchanged at Tk 139.40 at the end of trading yesterday on the DSE.

Sponsors and directors held 37.38 percent of the company’s shares as of September 30, 2026, while institutional and foreign investors held the remainder, according to DSE data.

Bangladesh has extended the deadline for submitting bids under its Offshore Bidding Round 2026 by four months to 31 March 2027 from 30 November 2026, following requests from international oil companies (IOCs).

The government has also made data-sale packages for the bidding round more accessible to encourage participation, according to a press release issued by the Ministry of Power, Energy and Mineral Resources today (13 October).

The ministry said the decision followed recent discussions with several internationally renowned oil companies and their requests regarding the bidding process.

The extended deadline will give interested companies more time to assess available data and prepare their bids for offshore exploration, the ministry said.

It expects the deadline extension and improved access to data packages to boost international oil companies' interest in the bidding round.

The information was disclosed in the press release by Muhammad Arif Sadek, deputy chief information officer of the ministry.

Bangladesh's finance and planning minister has signalled a shift towards international capital markets to reduce reliance on financing from the World Bank, IMF, and Asian Development Bank. He has spoken of cancelling the existing IMF programme the government inherited and issuing sovereign bonds. An Alternative Financing Committee is examining the options.

Diversifying financing sources is a sensible objective. Access to international capital markets can provide greater flexibility, broaden the investor base, and establish a sovereign borrowing track record. But commercial creditors impose their own discipline. They demand compensation for sovereign risk, scrutinise fiscal and external vulnerabilities, and can withhold new financing precisely when a country needs it most.

Ironically, accessing international bond markets on affordable terms may depend on guarantees from the very multilateral institutions Bangladesh seeks to move beyond. The central question is how much commercial borrowing can realistically provide, at what cost and maturity, and under what conditions.

The financing arithmetic
Options include renminbi-denominated Panda bonds issued in mainland China, offshore renminbi-denominated Dim Sum bonds, yen-denominated Samurai bonds issued in Japan, Islamic Sukuk, and international Eurobonds. Commercial sovereign bonds commonly carry maturities of three to 10 years, although longer tenors are possible. For a speculative-grade borrower, securing longer maturities at affordable rates is difficult.

Lower interest rates in Japan and China make yen- and renminbi-denominated bonds appear cheaper than dollar-denominated Sukuk and Eurobonds. But Bangladesh's credit rating would attract a substantial risk premium, while currency hedging costs could offset the apparent interest-rate savings.

The relevant measure is the all-in borrowing cost, including interest, issue expenses, guarantee fees, and currency hedging costs. Without hedging, foreign-currency bonds expose Bangladesh to exchange-rate movements that could substantially increase debt-servicing obligations.

Recent issuances illustrate the variation in borrowing costs. Indonesia's Panda and Dim Sum bonds in 2025-26 carried coupons of roughly 2-3%. Pakistan, a closer credit comparator, issued dollar Eurobonds in 2026 at around 7.5-8%. These differences reflect creditworthiness, currencies, maturities and financing structures, rather than directly comparable all-in borrowing costs.

Bangladesh's own experience offers a useful benchmark. In 2019, AAA-rated IFC issued a three-year taka-denominated Bangla Bond in London at around 6%, while PRAN, the ultimate borrower, paid about 9.5%. Although PRAN faced no direct exchange-rate risk, its borrowing cost was substantial. Bangladesh would face higher borrowing costs than AAA-rated IFC, reflecting its weaker credit standing.

Commercial bonds offer greater policy autonomy. They do not generally require specific reforms in utility pricing, state-owned enterprises or fiscal management. Governments also have more freedom over how they spend the proceeds, except when bonds are issued for specified purposes, and establish an international pricing benchmark for Bangladeshi corporations.

Multilateral financing offers a different cost structure. IDA blend credits carry interest rates of around 2%, with maturities of about 25 years, including five-year grace periods. ADB's concessional loans offer broadly similar terms, although its regular lending is market-linked. Lower rates and longer repayment periods substantially reduce debt-servicing and refinancing pressures.

But they entail negotiations, documentation and oversight. World Bank and ADB project loans impose procurement and safeguard requirements, while policy-based financing involves agreed reforms. IMF programmes carry macroeconomic targets and structural benchmarks. These requirements consume administrative resources and limit policy discretion.

The limits of market access
Can international bond markets make a meaningful contribution to Bangladesh's financing needs? External loan disbursements declined from about $9.5 billion in FY2023-24 to $7.5 billion in FY2025-26. Even against this reduced flow, how much could Bangladesh realistically raise through sovereign bonds, and at what cost?

The Bangla Bond experience illustrates the difficulty of sustaining market access. Despite a successful launch, it did not develop into a regular programme of international taka-denominated bond issuance. Initial investor interest does not necessarily translate into a dependable source of financing.

Annual Panda bond issuance was approximately $25-30 billion in 2024-25, although the market expanded rapidly in 2026. At the earlier market size, raising $2-3 billion would have represented roughly a tenth of annual issuance. Securing such financing would be a substantial undertaking for a new sovereign borrower, particularly in a market dominated by established, highly rated issuers.

Securing guarantees at this scale is far from straightforward. The World Bank Group issued more than $25 billion in guarantees in FY26, covering a range of investments and financing arrangements rather than sovereign bonds alone. Pakistan's inaugural Panda bond in 2026, backed by ADB and AIIB guarantees, raised about $260 million. These illustrate both the potential of guarantees and the difficulty of mobilising several billion dollars annually through guaranteed sovereign bonds. Paradoxically, commercial borrowing may require continued reliance on multilateral institutions.

Multilateral guarantees cannot substitute indefinitely for stronger creditworthiness. Investors and rating agencies assess fiscal performance, debt sustainability, external vulnerabilities, and the credibility of economic policies, drawing partly on IMF assessments. Ending an IMF programme without a convincing alternative policy framework could undermine investor confidence. Ultimately, affordable market access depends on stronger tax revenues, a healthier banking sector, better management of state-owned enterprises, and adequate foreign-exchange reserves.

Sovereign bonds come with refinancing risks. The principal often falls due in a single large payment. Governments may expect to repay maturing bonds by issuing new ones, but that option can disappear when investor confidence weakens. Sri Lanka, Ghana and Zambia illustrate how fiscal and external vulnerabilities, compounded by restricted market access, can culminate in debt distress and default. Their circumstances differed, but the lesson is common: borrowing from international markets is easier than ensuring continued access when debts mature.

Multilateral development loans are generally better suited to long-gestation infrastructure projects. Their extended repayment schedules allow more time for economic benefits to materialise. Financing such projects with shorter-maturity bonds creates repayment obligations well before those benefits emerge.

The policy trade-off
Sovereign bonds offer greater flexibility and fewer policy conditions, but at the price of higher borrowing costs and greater refinancing risks. Whether that trade-off is worthwhile depends on the terms Bangladesh can secure.

The Alternative Financing Committee should assess investor appetite and borrowing costs before considering a modest initial issue. A small offering could help establish a presence in international bond markets without taking on excessive commitments. Developing a reliable benchmark requires regular issuance, transparent disclosure, and an active investor base.

That comes from financial strength. Bangladesh still needs stronger public finances, a healthier banking system, reliable energy supply and credible macroeconomic policies. The measure of success is not how much Bangladesh can borrow from global bond markets, but whether doing so improves the country's long-term financing position.

The Chittagong Stock Exchange has decided to issue 30 new Trading Right Entitlement Certificates (TRECs) to eligible domestic and foreign corporate entities to expand its commercial operations and broaden market participation.

The port city bourse currently has 153 TREC holders. The move is part of its broader business expansion plan, particularly as it prepares to operationalise the country's first commodity exchange, for which it received a licence from the Bangladesh Securities and Exchange Commission (Bsec) on 19 March 2024.

According to an official notice, interested applicants, including large conglomerates, foreign institutions and commodity value chain participants, must submit applications in sealed envelopes to the bourse offices in Chattogram or Dhaka by 4pm on 15 November.
A non-refundable application fee of Tk1 lakh must be paid through a pay order or demand draft.

The issuance will comply with the Exchanges Demutualization Act, 2013 and the bourse's demutualisation scheme.

Under the eligibility criteria, locally owned companies must have a minimum paid-up capital of Tk5 crore. The requirement rises to Tk8 crore for companies jointly owned by local and foreign shareholders and Tk10 crore for wholly foreign-owned entities.

Applicants must also maintain an audited net worth of at least 75% of their paid-up capital at all times.

Selected firms will be required to maintain security deposits of Tk3 crore for local entities, Tk4 crore for joint ventures and Tk5 crore for foreign-owned companies.

The exchange has barred loan defaulters, convicted individuals and firms whose directors have previously been expelled by any stock exchange. Applicants seeking to operate Shariah-compliant businesses must maintain a dedicated Shariah board and appoint a qualified adviser.

The expansion drive comes as the Chattogram bourse faces mounting operating losses and declining profitability amid subdued trading activity.

The exchange's operating loss widened 13.54% year-on-year to Tk16.58 crore in FY26, up from Tk14.60 crore in FY25, while net profit after tax fell 28.35% to Tk20.59 crore from Tk28.74 crore.

Consequently, earnings per share declined to Tk0.32 from Tk0.45, according to disclosures approved by the board on 8 October.

An official said the exchange remained profitable mainly because of interest income from fixed deposit receipts held with different banks. However, a shortage of listed products and low trading turnover continued to drive operating losses.

Despite the decline in net profit, the board recommended a 3.25% cash dividend for the fiscal year ended 30 June 2026.

The recommendation is subject to shareholders' approval at the annual general meeting, scheduled for 10 December at the conference hall of the Chittagong Stock Exchange Building in Agrabad, Chattogram. The record date for dividend entitlement is 8 November.