Bond Market in Bangladesh

BOND MARKET IN BANGLADESH Bond trade invest acts as buffer of equity grocery store. This market in Bangladesh has been install in truth inefficient with respect to number of issues, chroma of trade, number of participant, long yield curve, interest straddle polity etc. The discover has found that the size of it of debt market of Bangladesh is rattling low as compared to other SAARC Countries; has huge growth effectiveness; and identified classical impediments to the growth and development of Bond trade in Bangladesh much(prenominal) as risk and return factor, politicity and organisation policy factor, issue management factor, investment policy factor, macro-economic and restrictive factor, and market & issue related factor. The study has suggested some(prenominal) significant policy measures such as regulatory change, establishment of long-run yield curve, offering fiscal benefits, encouraging companies aggrandisement silver with bodied bond issues, keeping treasury footstep 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 to the highest degree $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 sketch and other measures, has the smallest bond market in the region. In Bangladesh,banks liquid constitute the main source of funds for the somatic sector. I n 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 sort 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: OrderEssay.net

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