CSE submits draft rules on commodity exchange to BSEC

The Chittagong Stock Exchange (CSE) has submitted the draft rules on setting up the first-ever commodities exchange in the country to the securities regulator— Bangladesh Securities and Exchange Commission (BSEC).

A CSE delegation led by its Chairman Asif Ibrahim handed over the documents to BSEC Chairman Prof Shibli Rubayat Ul Islam during a ceremony held on Tuesday, said a media statement issued by the CSE.

The draft rules (proposed to be divided into two phases) for creating and developing a market that still does not exist, have been submitted to the commission for its perusal and feedback.

The CSE formulated the rules after successful sessions with various relevant stakeholders, the press statement read.

The Multi Commodity Exchange of India (MCX) played the role of the project consultant to formulate the rules needed to operate a commodity exchange in Bangladesh.

Earlier on April 12 this year, the CSE entered into a consultancy agreement with the MCX to this end.

And the Chittagong Stock Exchange completed the first initiative in six months after signing the MoU with the project consultant— the MCX.

The Commodities exchange is a market that aims to reduce the price difference of commodities between what consumers pay and what producers get.

The opening of the commodity exchange may enable buyers and producers to buy and sell goods at competitive prices and reduce the scope of price manipulation now alleged to have been rampant in domestic trades.