Bangladesh Securities and Exchange Commission (BSEC) Chairman Professor Shibli Rubaiyat-ul-Islam has said that capital gains will not be taxed in the capital market.
He said this during a courtesy call on the Capital Market Journalists Forum (CMJF) on Tuesday. CMAJF president Golam Samdani Bhuiyan, general secretary Abu Ali, former president Ziaur Rahman and members of the executive committee were present.
The BSEC Chairman also said that the International Monetary Fund (IMF) authorities give various suggestions to Bangladesh every year. One of them is the imposition of tax on capital gains. But this is not possible in the current context of Bangladesh. A discussion has been held with the National Board of Revenue (NBR) in this regard. They will not impose tax on capital gains.
He said, "From now on it is not my job to see the index of initial public offering (IPO) and secondary market. Both of these are the responsibility of the stock exchange to look after. On Tuesday I reported this matter to the stock exchange authorities."
Chairman of BSEC said, "Other countries of the world are moving forward through bond issues. We have to go there too.
Development works of the government should be done through bond issues. Then the tax burden on the people will be reduced. One of the main goals will be to move the countrys economy forward through the stock market in the next 4 years."
Mentioning that the developed countries of the world, including America, develop nationally through bonds, he said, "Everything is done in America through bond financing. The country has trillions of dollars in bond issuance, issuing bonds as needed. Our country does not know this. I am telling Biman Bangladesh to buy 10 aircraft, and we will approve bonds for them.
I told them, you don need to go to the government and bring money. Leave the bond and buy the plane with this money.
Bonds will be issued, foreigners will buy them, after 8 years they will give the bond money. If you can pay the bond even after 8 years, I will approve the bond again. Pay off the previous bond with that money."
He said, "I bought bonds, derivatives and commodities markets during Covid pandemic. Once these are completed, the scenario of the countrys economy will change. National development will happen through bonds. This is my main job. Development is never possible with loans or tax money. When the tax burden is imposed, businessmen and common people all get angry. Suppose you will market Gulshan market with common peoples money. Suarez Canal around Dhaka will be done by Bangabazar Market and these will be done through bond issue."
The BSEC Chairman said, "There is no opportunity to get an appointment for more than 8 years in 2 times in the BSEC. I have been appointed 2 times already. No chance to get 3rd appointment. So there is nothing to lose. Now I just want to do something good for the stock market."
He said, "In the last 4 years, I have learned to recognize and understand many things about the capital market. Understand who is friend and who is enemy. In that light, I will advance the capital market in the future."
He said, "It is not BSECs job to watch the increase or decrease of the index. And it is not the job of BSEC to bring the company to the stock market. But while doing these two things for the development of the stock market, I have come under criticism."
