Dhaka Stock Exchange (DSE)
What Is the Dhaka Stock Exchange (DSE)?
The Dhaka Stock Exchange (DSE), situated in the Motijheel Park area of Dhaka, is one of two financial marketplaces in Bangladesh. The other is the Chittagong Stock Exchange. The DSE was incorporated in 1954 and started proper trading in 1956.
Understanding the Dhaka Stock Exchange
The Dhaka Stock Exchange endeavors to be the leading exchange in its region and a key driver of economic growth. Thusly, the DSE is proactive about keeping pace with innovative progressions. The DSE initiated automated trading in 1998, and introduced a central securities depository system in 2004.
Since its beginning, the Dhaka Stock Exchange has tried to contend on the world stage of financial markets. It is mindful of how it must drive forward toward this goal and has set an aggressive schedule of objectives that it means to satisfy before very long, which incorporate the accompanying:
- Attracting more foreign investors to accomplish a consistent level of no less than 30% total market cap
- Achieving a sustainable average daily turnover of BDT 25 billion
- Guaranteeing consistent domestic and offshore institutional investments of somewhere around 3/4 of its total investments
- Upgrading its offerings by listing government municipal (munis), and corporate bonds
- Doubling its number of listed individual company securities
- Expanding its scope to offer index futures, exchange traded funds (ETFs), and derivatives
- Propelling its technology to empower global trading and settlement
The Dhaka Stock Exchange (DSE): Background
Initially, the DSE was called the East Pakistan Stock Exchange Association Ltd. In 1962, the name was amended to East Pakistan Stock Exchange Ltd., and after two years, the name again different to the current, Dhaka Stock Exchange Ltd.
The Dhaka Stock Exchange is registered as a Public Limited Company (PLC) and is regulated by the Bangladesh Securities and Exchange Ordinance of 1969, the Companies Act of 1994 (Bangladesh) and the Bangladesh Securities and Exchange Commission (SEC) Act of 1993, which laid out oversight for the Dhaka Stock Exchange.
Similarly as with the SEC in the United States, the Bangladesh SEC's liabilities are comprehensively "to safeguard the interest of investors in securities, foster the securities markets, and figure out rules on securities related matters."
The Dhaka Stock Exchange trades in Bangladeshi taka, which is the currency of Bangladesh, and whose official International Organization for Standardization (ISO) 4217 currency code is BDT. The taka was issued in 1972, supplanting the Pakistani rupee at a ratio of balanced. Companies listed on the DSE are based principally in Bangladesh. As of Oct. 13, 2021, the DSE's market capitalization in adjusted U.S. dollars was $67.11 billion.
