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The Financial Express

Resumption of trading during lockdown depends on BSEC, says DSE

FE REPORT | Published: May 12, 2020 09:46:09 | Updated: May 14, 2020 09:40:56


FE file photo FE file photo

The Bangladesh Securities and Exchange Commission (BSEC) is unable to deliver its decision required to resume the trading on the bourses as the regulatory body cannot hold its commission meeting due to quorum crisis.

Talking to the FE, some BSEC officials said the commission meeting is a must to take the decision to resume the trading on the bourses presently remained closed due to lockdown.

"The securities regulator will have to take decision regarding resumption of trading at the commission meeting. But, now there is no scope of holding commission meeting as the quorum is not fulfilled following the expiry of the tenures of two commissioners," a senior BSEC official said.

He said the commission meeting is also required to implement the government's decision, if any, delivered to resume the trading.

"Besides, the proposed waivers, sought by the Dhaka Stock Exchange (DSE) to resume trading, cannot be considered without holding commission meeting," the BSEC official said.

The quorum crisis began at the BSEC from May 4 following the expiry of tenure of a commissioner professor Helal Uddin Nizami.

Apart from the chairman professor M. Khairul Hossain, presently there is only one commissioner at the BSEC. The tenure of BSEC chairman Mr. Hossain will also expire on May 14.

The presence of at least two commissioners and the chairman is a must to hold the commission meeting.

The trading on both the bourses remained closed since March 26 following the lockdown announced to flatten the curve of infection of COVID-19.

Asked, Md. Shakil Rizvi, a DSE director, said to resume the trading, the stock exchanges will have to be included in the list of organisations providing emergency services amid the ongoing lockdown.

"We have extended the closure of trading till May 16. The resumption of the trading during the holiday depends on the BSEC decision and some exemptions sought for this purpose," Mr. Rizvi said.

He said the resumption of the trading may not be possible during the ongoing holiday extended till May 16.

"The usual trading will be resumed after May 16 if the ongoing public holiday is not extended further," said Mr. Rizvi, a former chairman of DSE.

mufazzal.fe@gmail.com

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