In its move to keep the capital market stable, the Bangladesh Bank has decided to hold regular quarterly-basis coordination meetings with the Securities and Exchange Commission and other regulatory authorities.
"The central bank will sit with the regulatory bodies in every three months and even earlier, if necessary, for exchanging information to avoid market volatility," BB executive director Mohammad Jahangir Alam said after the first such meeting in the past one and a half years on Thursday.
Heads and senior officials of the central bank, SEC, Insurance Development and Regulatory Authorities (IDRA) and Registrar of Joint Stock Companies (RJSC) attended the meeting.
Enactment of the Financial Reporting Act was proposed at the meeting to ensure transparency and accountability of the companies, Alam said.
"We are trying to develop bond market and IDRA can play a significant role in this regard," he said.
Many life insurance companies could buy bonds in the secondary market to help develop a vibrant bond market, he added.
About the registration of multilevel marketing (MLM) companies, he said RJSC had stopped registering such companies because of their 'controversial' nature.
SEC member Helaluddin Nezami said the coordination meeting had not taken place in the past one and a half years.
"It will help the central bank to formulate market-friendly monetary policy," he hoped.
Many companies did not follow financial accounting standard and thus created anomalies in the financial reports, Nezami said. "The SEC will keep a watch on such companies and take measures against them."
"The government will also formulate a taskforce soon to monitor the activities of the SEC," Nezami said.
"The central bank will sit with the regulatory bodies in every three months and even earlier, if necessary, for exchanging information to avoid market volatility," BB executive director Mohammad Jahangir Alam said after the first such meeting in the past one and a half years on Thursday.
Heads and senior officials of the central bank, SEC, Insurance Development and Regulatory Authorities (IDRA) and Registrar of Joint Stock Companies (RJSC) attended the meeting.
Enactment of the Financial Reporting Act was proposed at the meeting to ensure transparency and accountability of the companies, Alam said.
"We are trying to develop bond market and IDRA can play a significant role in this regard," he said.
Many life insurance companies could buy bonds in the secondary market to help develop a vibrant bond market, he added.
About the registration of multilevel marketing (MLM) companies, he said RJSC had stopped registering such companies because of their 'controversial' nature.
SEC member Helaluddin Nezami said the coordination meeting had not taken place in the past one and a half years.
"It will help the central bank to formulate market-friendly monetary policy," he hoped.
Many companies did not follow financial accounting standard and thus created anomalies in the financial reports, Nezami said. "The SEC will keep a watch on such companies and take measures against them."
"The government will also formulate a taskforce soon to monitor the activities of the SEC," Nezami said.