The Bangladesh Securities and Exchange Commission unveiled a technology-driven reform plan for the capital market, featuring digital trading, faster settlements, and AI-based surveillance to revitalize the market.

The roadmap liberalizes IPO access with direct-listing rules, introduces a hybrid capital-raising model, reduces mandatory offload requirements from 25% to 10%, and includes Public Interest Entities in the market.

Industry leaders, including BAPLC and DSE, urged coordinated reforms and emphasized prioritizing working-capital financing amid energy-sector challenges, while addressing barriers to forming stronger corporate groups and broader market diversification.

Regulatory reform is paired with a drive to spur fixed-income trading, including an 80% cut in bond-listing fees and steps to reimburse funds trapped in closed brokers, with a projected 95% repayment by year-end.

Officials are pushing for broader market participation by bringing large nonfinancial companies and multinational branches into local listings, potentially requiring local registration and later listing.

A central objective is a transition to a T+1 settlement cycle, with a long-term aim for T+0, alongside extended RTGS hours in coordination with the Bangladesh Bank to support cash trading.

MSCI has resumed Bangladesh Index publication from November, following earlier steps to resolve issues like the Beximco Pharmaceuticals GDR listing, signaling stronger international credibility.

The plan targets modernization of back-end processes by replacing paper-based systems with digital order placement, digitized internal files, and IAS 34-compliant condensed quarterly reporting to boost efficiency and cut regulatory queries.