Staff Correspondent: The Dhaka Stock Exchange (DSE) and the DSE Brokers Association of Bangladesh (DBA) have welcomed the proposed national budget for fiscal year 2026-27, describing it as a positive step toward strengthening the country’s capital market and improving the overall investment climate.

In separate reactions following the budget announcement, market stakeholders praised several capital market-friendly measures introduced by Finance Minister Amir Khosru Mahmud Chowdhury. The proposals include tax reforms, regulatory improvements, and incentives aimed at enhancing corporate profitability, attracting investment, and increasing market efficiency.

DSE Chairman Mominul Islam said the budget reflects the government’s commitment to restoring investor confidence and ensuring the sustainable development of the capital market. He noted that the emphasis on improving coordination among regulatory agencies and market institutions would help strengthen transparency, accountability, and operational efficiency across the financial sector.

According to the DSE, one of the notable proposals is the simplification of procedures for foreign investors, including a provision allowing them to repatriate profits and transfer proceeds from shares purchased through Non-Resident Investors’ Taka Accounts (NITA) within one working day. Market operators believe the measure will encourage greater foreign participation in Bangladesh’s stock market.

The stock exchange also welcomed proposed reforms in tax administration, particularly the move to transform tax deducted at source (TDS) from a minimum tax settlement mechanism into an advance tax system. Analysts say the initiative could simplify compliance and improve the overall investment environment.

Meanwhile, the DBA expressed satisfaction with the budget’s focus on market development and investment promotion. Association leaders said the proposed measures align with long-standing recommendations from capital market stakeholders and could contribute to increased market depth, liquidity, and investor participation.

Earlier, during pre-budget consultations with the National Board of Revenue (NBR), representatives from the DSE, DBA, Chittagong Stock Exchange, Central Depository Bangladesh Limited, and merchant bankers had submitted a series of recommendations aimed at revitalising the country’s capital market. These included tax incentives, measures to attract foreign portfolio investment, and initiatives to strengthen the bond market.

The proposed national budget for FY2026-27 targets revenue earnings of Tk 6.95 lakh crore and total expenditure of Tk 9.38 lakh crore, with the government emphasising investment, economic growth, employment generation, and business-friendly reforms.

Market participants believe the successful implementation of the proposed measures will be crucial in translating the budget’s objectives into tangible benefits for investors and the broader economy.