The Bangladesh Securities and Exchange Commission (BSEC) has decided to introduce scrip netting, or intraday trading, allowing investors to buy and sell the same shares within a single trading day to improve liquidity and boost activity in the country’s capital market.

The decision was approved at the 1,020th Commission meeting held on Tuesday under the chairmanship of BSEC Chairman Masud Khan, according to a press release issued by the regulator.

BSEC said the initiative is aimed at making the country’s trading system more dynamic, efficient and modern. The commission has given its approval for the Dhaka Stock Exchange (DSE) and the Chittagong Stock Exchange (CSE) to introduce intraday trading, subject to the completion of all necessary technical, operational and regulatory preparations.

The regulator said the two stock exchanges will be able to launch the facility once the required infrastructure and other implementation arrangements are fully in place.

The introduction of intraday trading has long been awaited by market participants, who believe it will help enhance market liquidity and increase trading efficiency in Bangladesh’s capital market.