BSEC to take action against listed companies lacking active websites

A total of 15% of listed firms' websites are non-functional but it is mandatory for listed companies to have functional websites, according to the law, said Dr Shaikh Shamsuddin Ahmed commissioner of Bangladesh Securities and Exchange Commission (BSEC).

"We will take action against listed companies if they do not have active websites," he added.

Additionally, 7% of companies do not have annual reports on their websites. Although 62 directors of 32 companies have died, their information has not been replaced on websites. As a result, investors do not have access to updated information.

He remarked this at a webinar on "Technology to Protect and Assist Investors in the Capital Market" organised by the Bangladesh Merchant Bankers Association (BMBA) on Saturday.

Dr Shaikh Shamsuddin Ahmed said listed companies do disseminate information properly, or on time, to investors. The commission is working to update price-sensitive information notifications.

He said, "Our trading systems are transforming to digital from manual. Most of the work is now complete online. If we make the advance to use technology, trade volume will increase," he added.

"We want to spread out stock business in the whole country, even abroad. The foreign investors will be interested in our capital market if we are digitised," he added.

The commissioner emphasised strengthening mobile financial services and mobile apps, which are used in trading.

Md Sayadur Rahman, president of BMBA said an investor can now gather all the information for investing at home through technology.

He said Bangladesh has come a long way in technology. However, there are still many shortcomings.

For this deficit, the stock market had to be closed for 66 days due to the Covid-19 pandemic.

"The technology is crucial to protect the investment of investors in the development of the stock market," he added.

BMBA member Mir Mahfuz Ur Rahman was the keynote speaker at the webinar. He said the use of technology has been growing in the capital market in the last 20 years.

Daily average turnover reached Tk1,012 crore from Tk15.54 crore in the last years and market capitalisation has gone up Tk3,996.4 billion from Tk66.1 billion in the same period, he added.

He suggested concentrating trade on mobile apps. He said investors have placed above 7.09 million orders through the DSE mobile app. Of these, 4.96 million orders were executed in 2019.

Additionally, the number of active users of the application has increased gradually.

ICMAB President Md Jasim Uddin Akond and DSE Brokers Association of Bangladesh President Sharif Anwar Hossain took part in the webinar while BMBA General Secretary Md Riyad Matin was its moderator.