The regulatory body Bangladesh Securities and Exchange Commission (BSEC) has not found any root cause of the abnormal fall in the capital market in the last two days. The commission said no cause had been identified after a meeting with the DSE Brokers Association (DBA).
After exchanging views with the DSE Brokers Association (DBA) on the virtual platform on Monday (February 8) afternoon, BSEC Commissioner Prof. Dr. Sheikh Shamsuddin Ahmed.
According to sources in the meeting, BSEC and DBA considered the instructions issued by Bangladesh Bank on Sunday to declare the bank’s dividend as positive. Besides, the commission feels that the effectiveness of DBA needs to be further enhanced. In particular, the relationship between BOC account holders and Bocarage House officials needs to be enhanced. At the same time, in case of lending, one must take into account the ability to collect the loan from the borrower. The loan has to be repaid according to the ability to repay the loan.
In addition, the borrower will borrow according to his ability to repay the loan. Accurate knowledge in this regard should be provided between Bocarage House and BO accountant.
BSEC Commissioner Sheikh Shamsuddin Ahmed told the media that the fall in the market is a normal behavior. There will be ups and downs in the market. The Commission has no say in the rise and fall of the market. However, it is the responsibility of the commission to keep an eye on whether the ups and downs are in accordance with the law and whether there is any kind of manipulation. According to the surveillance information, monitoring is going on in this regard.
He added that the meeting with the DBA did not find any root cause of the collapse in the talks. The DBA has emphasized two issues. First, ordinary investors are unknowingly selling shares. Large investors have millions of shares. Selling a part of them is selling shares to them as well as small investors. Which is having a negative impact on the market.
Therefore, dealers, bourgeois houses and investors will be trained not to sell as soon as one starts selling and to buy or sell shares according to their ability, he said.
In this regard, DBA President Sharif Anwar Hossain told the media, “We were called to discuss the overall issue of the capital market.” There is talk of strengthening the surveillance system to find out the reasons behind the current market downturn. Investors have come to the market with confidence in the current commission. Now it is up to them to maintain this confidence. I will provide all necessary assistance for this.
It was decided at the meeting that from now on, meetings with brokers will be held every month. Through this one will provide reviews and opinions with the other. The meeting also discussed what can be done for the development of the stock market.
BSEC Commissioner Prof. Dr. chaired the meeting held on the digital platform. Sheikh Shamsuddin Ahmed. BSEC Executive Director and Spokesperson Mohammad Rezaul Karim and DBA President Sharif Anwar Hossain and other directors of the organization were present on the occasion.