Capital Market in Bangladesh

Capital Market in Bangladesh:-

There are two stock exchanges in Bangladesh Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE). Dhaka Stock Exchange (DSE) formerly known as East Pakistan Stock Exchange established in and Chittagong Stock Exchange (CSE) established in1995. There is only one depository system for the transaction and settlement of financial securities, which is known as Central Depository Bangladesh Ltd (CDBL) was formed in 2000. It is conducting its operations under the following laws Depositories Act 1999, Depositories Regulations 2000, Depository (User) Regulations 2003, and the CDBL by-laws. It Capital market is regulated by BSEC. There are companies enlisted in DSE and Companies enlisted in CSE. Every share enlisted in DSE and CSE has a face value of taka 10 and market lot consists of only one share. 

Bangladesh Securities and Exchange Commission (BSEC) Classified companies in four categories

1. A Category

2. B Category

3 .N Category

4. Z Category

1.      A Category Companies: - These companies regularly hold Annual General Meeting (AGM) and Declare dividends at the rate of 10% or more in an accounting year.

2.      B Category Companies: - These companies held Annual General Meeting (AGM) regularly but declare dividend at a rate which is less than 10%.

3.      N Category Companies: - Newly enlisted companies are categorized in this category. There settlement system would be like B Category.

4.     Z Category Companies: - Companies which are failed to hold Annual General Meeting (AGM) or fail to declare dividend or which are not in operation more than six months.