Trading resumes today, marking the first session of the capital market following the 13th National Parliamentary Election. Transactions had remained suspended since 11 February.
The 12 February election delivered a landslide victory to the Bangladesh Nationalist Party (BNP), which is set to form the next government. Ahead of the polls, investor sentiment strengthened amid reform pledges in the party’s election manifesto aimed at revitalising the capital market.
That optimism was reflected in pre-election trading, with key indices rising for three consecutive sessions and daily turnover climbing to nearly Tk800 crore.
When asked what kind of capital market is required in the post-election period, Saiful Islam, president of the DSE Brokers Association of Bangladesh, said political parties in the past had failed to accord the sector the priority it deserves. For years, market stakeholders have pressed successive governments through meetings, seminars and policy dialogues to formally recognise the capital market as a key economic pillar and ensure consistent policy support.
He noted that the reform commitments outlined by the BNP reflect many of those longstanding expectations. Effective implementation, he said, would promote sustainable market development, strengthen governance, create an investment-friendly climate, restore investor confidence and enhance overall market dynamism.
Saiful stressed that restoring confidence requires immediate action. Local companies must be encouraged to list; multinational corporations should be brought into the market and institutional investor participation needs to expand significantly. He also underscored the importance of strengthening the Investment Corporation of Bangladesh (ICB) and reviewing recently amended laws to ensure they genuinely facilitate investment and reinforce market discipline.
He described it as a positive and unprecedented development that political parties have placed explicit emphasis on capital market reform in their election manifestos, accompanied by structured development plans.
Under its manifesto titled “Reconstruction and Recovery of the Fragile Economy,” BNP pledged to reform the market by ensuring the independence and autonomy of the Bangladesh Securities and Exchange Commission, forming a capital market reform commission, enhancing transparency, curbing manipulation and strengthening both bond and equity segments.
The party also committed to introducing corporate bonds and sukuk, establishing an expatriate investment gateway and modernising market infrastructure through blockchain technology.
Further pledges include simplifying market access, launching a “Digital IPO Express” platform for startups and SMEs, establishing a capital market tribunal and expanding capital market education nationwide.
Anam Ataullah Naeem, president of the Bangladesh Capital Market Investors United National Alliance, said both major political parties have proposed reform measures, creating scope for bipartisan cooperation. With BNP set to form the government and the other major party in opposition, he said coordinated efforts could accelerate meaningful reform.
He added that simplifying IPO procedures, deepening the bond market and attracting expatriate investment would significantly strengthen the market’s structural foundation. However, he emphasised that the regulator must reinforce surveillance mechanisms to prevent manipulation and ensure orderly trading.
ICB Chairman Abu Ahmed told the Daily Sun that while the peaceful election has bolstered stability and investor sentiment, reform promises must translate into tangible outcomes.
He noted that following 5 August 2024, the interim government initiated several capital market reforms, particularly measures aimed at facilitating new listings. The incoming government, he said, should sustain and build upon those initiatives.
Abu Ahmed cautioned that election-related optimism has lifted confidence, but failure to deliver visible improvements could quickly reverse that momentum. Beyond reform rhetoric, he stressed the need for comprehensive market development.
On the final trading day before the election, 10 February, the Dhaka Stock Exchange recorded a strong rally. The benchmark DSEX index rose 87 points to 5,399, while the DSE Shariah Index gained 19 points to 1,096 and the DSE-30 Index advanced 27 points to 2,058.
Turnover climbed to Tk790.15 crore from Tk646.16 crore in the previous session, marking an increase of Tk143.99 crore, underscoring the surge in pre-election investor activity.
