Quick fixes like appointing foreign experts will not resolve the underlying issues in Bangladesh's stock market, said Debapriya Bhattacharya, distinguished fellow at the Centre for Policy Dialogue (CPD).
"We have a notion that foreign experts will solve all problems. The stock market won't be solved with such quick-fix remedies," he said at a discussion meeting titled 'Capital Market in Bangladesh's Political Discourse: Philosophy and Practice' organised by the DSE Brokers Association of Bangladesh (DBA) today (May 24), reports TBS.
"Five directions have been given from the Chief Adviser's Office for developing the capital market. I was surprised to see the directions because four of them depend on government steps," Debapriya said.
"When I asked about the progress on this matter at an event, a BSEC official could not say anything. We talk a lot here but don't work," he added.
Earlier on May 11, the government decided to bring in a team of foreign experts to reform the stock market effectively.
These experts, with no vested interest in Bangladesh's capital market, will be tasked with delivering actionable reform recommendations within three months.
The decision was made at a high-level meeting chaired by Chief Adviser Muhammad Yunus.
At today's event, Debapriya said, "I think the decisions are being made this way because all stakeholders in the market are not being consulted. People have no confidence in the market due to a lack of accountability."
"IPOs have been closed in the stock market for a long time. Moreover, a standstill has been created through significant index falls. This problem won't be solved with quick-fix remedies. It has to be solved through major initiatives with discussions involving everyone," he added.
The CPD distinguished fellow said, "The stock market is not a place for hand-to-mouth living. It's a place for long-term investment."
"Bangladesh's stock market is unable to provide adequate investment, savings, and employment. Besides, the investors, regulators, and listed companies that run this market are not functioning properly," he added.
The eminent economist said, "If we don't discuss the current problems in the stock market within a broader framework, it won't work. If you make decisions without discussion, that won't be right either."
BNP Standing Committee member Amir Khasru Mahmud Chowdhury was present as a special guest at the event.
Panel discussants included Bangladesh Securities And Exchange Commission (BSEC) Commissioner Md Mohsin Chowdhury, Bangladesh Jamaat-e-Islami Central Executive Council Member Md Mobarak Hossain, Policy Exchange Bangladesh Chairman Masrur Reaz, National Citizens Committee (NCP) Joint Convener Tajnuva Jabeen, ICMAB President Mahtab Uddin Ahmed, and others.
Bd-Pratidin English/ARK
