Home ›› 13 Apr 2022 ›› Stock
Chittagong Stock Exchange Limited (CSE) and Multi Commodity Exchange of India Limited (MCX) have signed an agreement to establish the first-ever Commodity Exchange in Bangladesh.
The signing ceremony was held at the Grand Ballroom, Radisson Blu Water Garden, Dhaka on Tuesday, according to a statement.
A commodity exchange is an organized marketplace where buyers and sellers come together to trade commodity-related contracts following rules set by the exchange.
The purpose of establishing commodity exchange is to provide a centralized marketplace where commodity producers can sell their commodities to those who want to use them for manufacturing or consumption.
Commerce Minister Tipu Munshi, BSEC Chairman Shibli Rubayat-Ul-Islam and High Commissioner of India to Bangladesh Vikram K Doraiswami attended the signing ceremony. Representatives from MCX, Securities and Exchange Board of India (SEBI) and Bangladesh High Commission in India also attended the programme virtually.
Considering the financial aspect, previous relationship, practical implications in the execution phase and solid cultural integration, CSE has entrusted MCX India to work as a consultant.
MCX will facilitate CSE to frame Byelaws, Rules and Regulations based on international best practices, product identification, clearing and settlement methods, trading and surveillance systems and warehousing, delivery infrastructure and partnership models.
CSE has been instrumental and keenly working for the establishment of a commodity futures exchange in Bangladesh for a long. CSE has recently obtained approval from the Bangladesh Securities and Exchange Commission to move forward in establishing the first-ever Commodity Exchange in Bangladesh.
