B Mirror Desk : The National Citizens Party (NCP) has put forth significant recommendations regarding the country’s economic landscape, the ongoing crisis, the untapped potential of the capital market, and the government’s initiatives. These recommendations were unveiled during a press conference at the Capital Market Journalists Forum (CMJF) office, organized by the Bangladesh Capital Market Investors Association on Saturday, May 10. NCP Joint Chief Coordinator Abdullah Al Faisal highlighted that the primary issue plaguing the stock market is a lack of investor confidence. He called on the BSEC Chairman and Commissioners to attract investors to the country and clarify any potential investment complications.

Furthermore, he suggested that the BSEC should hold regular meetings with investors, the DSE, and brokers, advocating for a collaborative approach to market development. He stressed the importance of implementing practical and timely measures to address the current crisis.

The recommendations presented at the press conference include:

1. When categorizing shares, it is essential to consider key indicators such as company insolvency and the failure to hold annual general meetings (AGMs), rather than solely focusing on dividends.
2. Efforts should be made to lower tax rates to a reasonable level by eliminating double taxation on capital gains and dividend income.
3. The mandatory implementation of multi-fund management for professional oversight, along with the possibility of management changes in cases of misuse, and tax exemptions on dividends should be explored.
4. The tax rate disparity between listed and unlisted companies should be increased to incentivize more companies to list on the capital market.
5. Development of alternative investments should be encouraged by providing tax exemptions on the transfer of asset-backed securities (such as REITs and Sukuk).
6. Swift reforms to the Money Laundering Court Act of 2003 and the Bankruptcy Act are necessary to expedite the recovery process for banks and corporations.
7. Opportunities for investors should be enhanced by boosting market liquidity through the introduction of currency trading and short selling.
8. Additionally, the tax framework for investments made by Provident Funds, Pension Funds, Sovereign Wealth Funds (SWFs), and other foundations must be made stable and conducive to investment.
9. The implementation of a floor price system should be permanently avoided, as it undermines the natural dynamics and trust within the market.
10. To attract foreign investors, local investment summits should be organized.
11. a reliable and inclusive market can be established through transparent and consistent communication among BSEC, stock exchanges, brokers, and investors.

These recommendations aim to foster the development and stability of the capital market.