Bond Market in Bangladesh

BOND MARKET IN BANGLADESH Bond trade behind acts as buffer of equity securities industry. This market in Bangladesh has been ensnare in truth inefficient with respect to number of issues, mint of trade, number of participant, long yield curve, interest straddle insurance policy etc. The discover has found that the size of debt market of Bangladesh is precise low as compared to other SAARC Countries; has huge growth potency; and identified classical impediments to the growth and development of Bond grocery in Bangladesh more(prenominal) as risk and return factor, silverity and political sympathies policy factor, issue management factor, investment policy factor, macro-economic and regulatory factor, and market & issue related factor. The study has suggested some(prenominal) significant policy measures such as regulatory change, administration of long-run yield curve, offering fiscal benefits, encouraging companies elevation silver with bodied bond issu es, keeping treasury lay out low etc. for the development of Bond Market in Bangladesh. Bangladeshs bond market represents the smallest in South Asia, accounting for lonesome(prenominal) 12 per cent of the countrys gross domestic product (GDP).At US$7.35 billion, the size of the countrys bond market is far smaller than the banking assets, estimated at approximately $32 billion-equivalent to more than 50 per cent of GDP.

It is move that Bangladesh, which is much larger than Nepal in terms of population, land athletic theater of operations and other measures, has the smallest bond market in the region. In Ban gladesh,banks liquid constitute the main so! urce of funds for the bodily sector. In Bangladesh, the bond market has only eight corporate bonds.All were issued through with(predicate) private placement partly because of the publics little confidence in corporate debt as stemming from the large-scale default of publicly offered corporate bonds in the financial markets history. As the countrys bond market strain less-developed, the report said Bangladesh should improve the efficiency of the primary market for government...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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