Bangladesh lifts floor price on most stocks

Bangladesh Securities and Exchange Commission (BSEC) has lifted the floor price of stocks 18 months after introducing it, in order to bring back vibrancy in the market.

However, the floor price will still be applicable to 35 companies and for others the upper limit and lower limit of the circuit breaker will be there, according to an order of the BSEC issued today.

The 35 companies are: Anwar Galvanizing, Baraka Power, British American Tobacco Bangladesh, Beximco Ltd, Bangladesh Submarine Cables, BSRM Ltd, BSRM Steel, Confidence Cement, DBH, Doreen Power, Envoy Textile, Grameenphone, HR Textile, IDLC Finance, Index Agro Industries, Islami Bank, KDS Accessories, KPCL, Kattali Textile, Malek Spinning, National Housing Finance, National Polymer, Orion Pharmaceuticals, Padma Oil, Renata Ltd, Robi, Saiham Cotton, Shasha Denim, Sonali Paper, Sonarbangla Insurance, Shinepukur Ceramics, Shahjibazar Power, Summit Power, and United Power.

At the end of July of 2022, the BSEC set the floor price of every stock to halt the free fall of the market indices amid global economic uncertainties.

The floor price was the average of the closing prices on July 28 of 2022 and the preceding four days.

However, in December of 2022, the stockmarket watchdog lifted the floor price for 169 companies in order to bring vibrancy to the market.

In March of 2023, the regulator reintroduced the floor price for 169 companies again.

From then, all stocks came under the floor price curbs.