business forward

Stock exchanges inaugurate online reporting software - The Business Standard

Initially, 80 brokerage firms have been included in the system

TBS Report

17 August, 2021, 10:00 pm

Last modified: 17 August, 2021, 10:46 pm

Stock exchanges inaugurate online reporting software

The Dhaka stock exchange (DSE) and Chittagong stock exchange (CSE) on Monday jointly inaugurated an online communication software for risk-based capital adequacy (RBCA) reporting among the market intermediaries.

Bangladesh Securities and Exchange Commission (BSEC) Commissioner Md Abdul Halim inaugurated the software in the DSE premises.

Initially, 80 brokerage firms—50 from DSE and 30 from CSE— have come under the online communication framework.

Risk-based capital adequacy is a minimum capital requirement for firms set by the BSEC. These requirements ensure that each financial institution has enough capital on hand to sustain operating losses while maintaining a safe and efficient market.

Earlier last week, the commission approved this system imposing some conditions for the stock exchanges to implement properly.

BSEC officials said all brokerage firms will come under the system by December 2021.

Merchant bankers, portfolio managers, asset managers, fund managers, credit rating companies also will come under this system gradually, they added.

The 80 brokerage firms will submit their reports online from next month. In the fourth quarter, 150 brokerage firms belonging to DSE and 60 others belonging to CSE will be included in the system.