Professor Shibli Rubaiyat-ul-Islam, chairman of the regulatory body Bangladesh Securities and Exchange Commission (BSEC), said the budget for the next 2021-22 fiscal year would include proposals on eight issues, including the withdrawal of double taxation and reduction of interest rates on margin loans.
He was responding to a reporter’s question about the budget proposal at a press conference after the road show in Dubai at the BSEC conference room on Monday.
The BSEC chairman said the next budget (2021-22) will have six proposals for the stock market. Notable among these is the minimum 15% gap between a corporate company and a non-listed company in a good company listing. Reducing interest rates on margin loans by more than 12%. Reduce taxes on merchant banks. Double tax withdrawal. There will be 6 proposals for the restructuring of the ICB, including funds and some other minor issues.
He said the current commission took over after the last budget (2020-21) was proposed. Even then we were able to change two things with great force. This time I got a lot of time to propose before the budget. Hopefully most of the proposals will pass. If 5 out of 6 subjects are approved, then we will think that we have made progress.
Speaking on the road show in Dubai, he said foreign investors are interested in big government projects and at very low interest rates. They are also interested in coming to our power plants and infrastructure. But they want to invest in the long term, not in the short term.
Professor Shibli Rubaiyat said, “We introduced our Economics Introduction at the Road Show, Total Information Flow Where We Are. In some places they asked us a lot of questions, found out a lot and after hearing a lot face to face they decided what to do now. Now we get mail every day. Some of them want to invest in mutual funds. They suggest what kind of correction is needed there.
He said that the size of the projects that are coming to us is 500 crores, thousands of crores, two thousand crores, four thousand crores. I am working on my bond as it is not possible to give any solution only with the equity market. Only through bonds is it possible to give us this solution. Conventional bonds have been seen to be in the trillions of dollars on the Sukuk market. And they can’t find a place to invest.
“When we did this presentation, they each had a separate meeting with us after the presentation,” he said. Every big investor. Here are all the names of the world whose seven trillion, three trillion. They are looking for a better place to invest. They are not getting any return by investing in their country. And the countries in which they invest in this rating.
He further said that we see the future of Bangladesh and we think that it should play a role in the capital market of Bangladesh. We have a huge role to play in the days ahead. In keeping with that, we have seen that the size of capital that we inject in the equity market does not work in the future of Bangladesh.
Mentioning that foreigners had a negative image of Bangladesh, the BSEC chairman said, “What did they think of us before?” But we are trying to present the exact position of the country to everyone. That’s why we went to Dubai. I went there and picked up the correct data of Bangladesh. They were surprised to see our data. They wanted to know if I was right, we said they were all right. If you have any doubts, you can do a Google search. Then they began to believe. Even two or three Bangladeshi businessmen in Dubai recently said that we are getting a lot of respect here. When we go to the bank for any work, they look at us with respect. Not as trivial as before. In this way, our image will gradually brighten. He has been spreading negative propaganda about Bangladesh all his life and still is. Nobody says we’re good, Let’s find out the worst. For these reasons, by presenting this road show Bangladesh’s proper documentary, I think that the proper documentary of Bangladesh’s economy has come up abroad.
He said that if we can present the correct information of Bangladesh to the people, to the subtractors, to the foreign newspapers or to the foreign businessmen in different places like financial hubs like Dubai, London, New York, Hong Kong or Singapore. We have been able to get out of there for years. People will look at us with respect. Yet in the way they do we probably go on human donations. They don’t know that we don’t need donations now.