The Bangladesh Securities and Exchange Commission organised a workshop on Monday on commodity derivatives, discussing the process of commodity derivatives trading, and its challenges.
The workshop titled ‘Potential and Legal Framework for Launching Commodity Derivatives in Bangladesh’ was organised at the BSEC’s Multipurpose Hall, according to a press release.
Commodity derivatives are tools that allow people to buy or sell future contracts for goods like rice, oil, or gold at a fixed price. They help reduce the risk of price changes and allow businesses to plan better.
BSEC Commissioner Farzana Lalarukh spoke about the possibilities of introducing such a market in Bangladesh.
She said, ‘To ensure the success of commodity derivatives, it is crucial to enhance capacity, take coordinated initiatives, and make necessary preparations for the future.’
She also urged everyone involved to work together to develop this new market and strengthen the country’s economy.
BSEC executive director and spokesperson Mohammad Rezaul Karim gave the main presentation, focusing on potentials and challenges of launching commodity derivatives in Bangladesh and legal framework, the press release said.
In his speech, Rezaul Karim explaining how a commodity derivatives market works and the benefits it could bring, how transactions are cleared and settled, and what rules are needed for smooth operations.
The workshop highlighted the challenges, including lack of awareness and infrastructure, and suggested solutions to overcome them, the press release added.
The event was attended by representatives from government ministries, the National Board of Revenue, Dhaka and Chittagong stock exchanges, and other financial organisations.
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