Bond Market in Bangladesh
Objectives of the Report:
I. Broad Objective:
Broad objective of our report is find the weak regulatory framework, supply-side constraints such as a lack of the benchmark bonds, demand-side constraints such as the limited investor base, a lack of intermediaries with expertise in debt products, a lack of confidence in corporate borrowers, market distortions which are caused by the National Savings Scheme (NSS) offering above-market returns; and A lack of interest from private companies, including financial intermediaries and large business, In launching new debt products due to high fees. We have mainly tried to use our bookish knowledge practically. We have also looked for any further development of the Bond Market in Bangladesh in future which is in need. Finally, the paper offers a roadmap for the development of the Bangladesh bond market.
To contribute to develop an effective bond in Bangladesh.
If we analyze of the Bond Market, it will increase our knowledge about finance Market. In future we will be able to analyze the financial statements of any Market.
II. Specific Objective:
To get an overview and specific features of bond market in Bangladesh. To identify the impediments/ constraints and to tackle the problems in order to enhance the development of bond market and to make recommendations for the developments of the bond market. And also by comparing the bookish knowledge and practical knowledge.
Introduction:
The bond market is a financial market where participants buy and sell debt securities, usually in the form of bonds. Bond Market is composed of Treasury bond, Municipal Bond and Corporate Bond. This is of two kinds- Organized and OTC markets. There are various types of bond products depending on provisions, maturities, coupon rate, options, convertibility, etc. Bond Market in Bangladesh is dominated by treasury debt securities. It has now only one corporate bond; but does not have any municipal bond/debenture. In recent years,
I. Broad Objective:
Broad objective of our report is find the weak regulatory framework, supply-side constraints such as a lack of the benchmark bonds, demand-side constraints such as the limited investor base, a lack of intermediaries with expertise in debt products, a lack of confidence in corporate borrowers, market distortions which are caused by the National Savings Scheme (NSS) offering above-market returns; and A lack of interest from private companies, including financial intermediaries and large business, In launching new debt products due to high fees. We have mainly tried to use our bookish knowledge practically. We have also looked for any further development of the Bond Market in Bangladesh in future which is in need. Finally, the paper offers a roadmap for the development of the Bangladesh bond market.
To contribute to develop an effective bond in Bangladesh.
If we analyze of the Bond Market, it will increase our knowledge about finance Market. In future we will be able to analyze the financial statements of any Market.
II. Specific Objective:
To get an overview and specific features of bond market in Bangladesh. To identify the impediments/ constraints and to tackle the problems in order to enhance the development of bond market and to make recommendations for the developments of the bond market. And also by comparing the bookish knowledge and practical knowledge.
Introduction:
The bond market is a financial market where participants buy and sell debt securities, usually in the form of bonds. Bond Market is composed of Treasury bond, Municipal Bond and Corporate Bond. This is of two kinds- Organized and OTC markets. There are various types of bond products depending on provisions, maturities, coupon rate, options, convertibility, etc. Bond Market in Bangladesh is dominated by treasury debt securities. It has now only one corporate bond; but does not have any municipal bond/debenture. In recent years,