The meeting of the Financial Institutions Division (FID) to reach a decision on banks and financial institutions’ (FIs) investment in the share market ended on Tuesday without a decision.
Bangladesh Bank (BB) and Bangladesh Security and Exchange Commission (BSEC) sat in several meetings earlier on different issues arising from banks’ stock market investment including settling the unclaimed or undistributed profits of banks and FIs.
But they failed to agree on the issues. As result the FID, a wing of the Ministry of Finance, sat in a meeting on Tuesday with the BB and BSEC for settling it. Additional secretary of FID Mofij Uddin Ahmed presided over the meeting. This meeting has also been finished without any decision.
Mofij Uddin Ahmed told reporters after the meeting that the discussion was positive, but they could not reach any decision.
In earlier meetings both the regulators have discussed the issues to settle. After the meeting BSEC officials told reporters that they had agreed to settle the unclaimed profits of banks and FIs.
But after a day of the meeting the central bank opposed reports of settling the issue. The BB issued a press release adding that BB and BSEC discussed several issues, but no decision was taken.
Then, the BB said the issue was discussed in details at the meeting where it had clarified the limitations of investment by banks and NBFIs in the capital market under the Bank Company Act, 1991 and Financial Institutions Act 1993.
The central bank said reports published in a section of the media about decisions being taken were not based on facts.
Source: United News of Bangladesh