Company Act to be modernised with business community input Commerce Minister

The Companies Act 1994 will be amended based on the views of businesspeople and industrialists to make the business environment easier, more transparent and investment-friendly, Commerce Minister Khandakar Abdul Muqtadir said on Monday.

“We have sought clear opinions and recommendations from private-sector entrepreneurs and business leaders to make the existing company law modern and business-friendly,” he said.

The minister was addressing a consultation meeting on the proposed amendments to the Companies Act, 1994, held at the FBCCI office in Motijheel as the chief guest.

FBCCI Administrator Fazlul Haque chaired the meeting while former MCCI President Barrister Nihad Kabir presented the keynote paper.

BGMEA President Mahmud Hasan Khan, BKMEA President Mohammad Hatem, DCCI President Taskeen Ahmed, BTMA President Shaukat Aziz Russell and Bangladesh Chamber of Industries (BCI) President Anwar-ul Alam Chowdhury Parvez, among others, attended the meeting.

Commerce Minister urged business leaders to take 30 to 60 days, if necessary, to thoroughly review the draft law and provide their recommendations.

He said updating the Companies Act, 1994, in line with contemporary needs has become essential.
The proposed draft has been prepared drawing lessons from successful models and experiences of developed and efficient economies, including Singapore, he said.

“There is no need to be impatient in conducting economic activities and taking decisions. The business community will be the main beneficiary of the new law,” he continued.

The government only frames regulations, while the private sector drives the core economic activities, he added.

The minister described the private sector as the main driving force of the country’s economy and stressed the importance of formulating effective and timely laws for businesses.

He said the government would give due importance to the views of businesspeople in amending the company law.

“The country’s economy is passing through a period of transition. We have to move forward patiently with proper planning.

The government and the private sector must work together to build a strong economic foundation for the future,” he said.

At the meeting, the Bangladesh Securities and Exchange Commission (BSEC) proposed allowing listed companies to buy back their own shares.

BSEC Executive Director Abul Kalam said several proposals submitted by the commission on 18 December 2025 for amendments to the Companies Act were not reflected in the current draft, including share buybacks.

He said Section 58 of the existing law restricts companies from purchasing their own shares and called for allowing listed companies to buy back shares under specific conditions.

The BSEC also proposed modernising companies’ annual reports and allowing digital publication.
Business leaders and representatives from different industrial sectors were also present.