BSEC working to bring fundamental companies to market: Chairman
Bangladesh Securities and Exchange Commission (BSEC) authorities are working to bring some fundamental companies to the stock market, said BSEC Chairman Professor Shibli Rubayat-Ul-Islam.
"Some fundamental companies will be listed on the capital market this year. We do not want to force them, rather want to convince them," the BSEC chairman said while speaking as the chief guest at a seminar titled "Obstacles and Ways to Solve Good Companies Listing in the Stock Market" organised by BusinessHour24.com in the capital on Sunday.
Regarding the inclusion of multinational companies in the capital market, Shibli Rubayat said the commission cannot force any multinational companies. Also, setting criteria of a certain amount of paid-up capital for being listed will not help in this regard.
"We did not give much importance to the cottage, micro, small and medium enterprises but at present, we have a separate platform for the sector. By being en-listed here, they can learn about corporate culture. Later, they will be able to come to the main market by showing good performance," he added.
He further said, "We are adamant about holding 2% and 30% of the directors' shares, which must be there."
Bangladesh Merchant Bankers Association President Saidur Rahman said good companies have to be provided facilities to bring them to the market. There are only eight listed multinational companies though there are over 100 companies in the country. So, there should be policies in this regard.
Faruq Ahmad Siddiqi, former BSEC chairman said, "I cannot match our economy with our stock market because it has not developed much in parallel to the economy."
Banks are always ready to provide loans to good companies so why would a company come to the stock market where there are many problems. While they get these facilities from banks they will not be interested in the capital market, he added.
He also suggested that companies improve their audit quality.
The Institute of Cost and Management Accountants of Bangladesh President Md Mamunur Rashid presented the keynote paper at the programme.
