Commodity exchange key to managing risks in import-dependent economy

Prime Minister’s Special Assistant on Investment and Capital Market Affairs Tanvir Ghani on Wednesday said that a commodity exchange would play an important role in risk management through hedging for importers in Bangladesh’s import-dependent economy.
He made the remarks during a visit to the head office of the Chittagong Stock Exchange (CSE), where he also held a meeting with exchange officials.
During the meeting, CSE officials briefed him on the exchange’s contribution to the capital market, the current market situation, and ongoing initiatives and work plans aimed at market development.
Tanvir Ghani expressed satisfaction over the CSE’s preparation for launching a commodity exchange.
Referring to the finance minister, he said deregulation is also necessary in the capital market sector so that stakeholders do not need to approach regulators for every issue.
He also stressed the need to activate mutual funds, noting a significant gap in financial literacy among equity market investors.
“Derivative trading in commodity exchanges requires a high level of financial literacy,” he said, adding that the CSE is now ready to introduce a new asset class.
At the meeting, CSE Managing Director M Saifur Rahman Majumdar presented an overview of the exchange and market conditions, while General Manager and Head of IT Mezbah Uddin highlighted technical preparations for the proposed commodity exchange.