Staff Reporter :
Bringing in foreign experts as a quick-fix solution will not resolve the deep-seated issues in Bangladesh’s stock market, warned Debapriya Bhattacharya, Distinguished Fellow at the Centre for Policy Dialogue (CPD), on Saturday.
Speaking at a discussion titled “Capital Market in Bangladesh’s Political Discourse: Philosophy and Practice”, organised by the DSE Brokers Association of Bangladesh (DBA), Bhattacharya urged caution against relying on external consultants for structural reform.
“There is a widespread perception that foreign experts can resolve all our problems. But the challenges facing the capital market cannot be solved through shortcuts,” he stated.
Referring to recent government initiatives, Bhattacharya noted that five directives have been issued by the Office of the Chief Adviser aimed at capital market development. “Surprisingly, four of them require direct government intervention,” he observed.
Expressing concern over implementation gaps, he added, “At a recent event, I asked a BSEC official about the progress on these measures and received no clear answer. We speak extensively about reforms, but actual action remains limited.”
The government had earlier, on 11 May, announced its intention to bring in a team of foreign experts to assist with market reforms. However, Bhattacharya’s comments highlight concerns about the effectiveness of such an approach in addressing foundational issues.
Offering a contrasting perspective, BNP Standing Committee Member Amir Khosru Mahmud Chowdhury was more optimistic about foreign investor sentiment.
“Many international investors view Bangladesh as a high-potential market, particularly in bonds, manufacturing, and services. However, they are adopting a wait-and-see approach until after the national elections,” he said.
According to Khosru, these investors manage portfolios ranging from $10 billion to $20 billion. “We are fully committed to deregulating and liberalising the capital market,” he added.
He also highlighted growing interest in municipal bonds, in addition to conventional sectors. Citing global trends, he noted that approximately $100 trillion is currently invested in stock markets worldwide, predominantly through sovereign wealth funds, insurance companies, and institutional investors.
“Vietnam alone attracts $300 billion. If Bangladesh could attract even $100 to $200 billion, it would be transformative for our capital market,” Khosru remarked.
Other panellists at the event included Bangladesh Securities and Exchange Commission (BSEC) Commissioner Md Mohsin Chowdhury, Jamaat-e-Islami Central Executive Council Member Md Mobarak Hossain, Policy Exchange Bangladesh Chairman Mashrur Riaz, National Citizens Committee Joint Convener Taznuva Jabin, and ICMAB President Mahtab Uddin Ahmed.
