TA-8994 BAN: Third Capital Market Development Program
Client
Asian Development Bank (ADB)
Sector
Finance & Risk
Country
Bangladesh
Timeline
2018-2019
Project Description
The project aims to: (i) meet the capacity building needs of the Bangladesh Securities and Exchange Commission (BSEC) and the Insurance Development and Regulatory Authority (IDRA) to help both regulators discharge their oversight functions more effectively; (ii) strengthen the BSEC and IDRA for implementing reforms under the third capital market program; and (iii) support the government to carry out all policy conditions under the third capital market program.
Objective 1: Development of the capital market surveillance and supervision framework
Framework design of the surveillance and supervision system.
Stakeholder consultation before finalizing the surveillance and supervision system
Objective 2: To monitor and supervise installation and operationalization of the new ICT system of BSEC
Hardware and software specification of the new ICT system
Tender documents for procuring the software and hardware for the new ICT system
New ICT system installed and operationalized
Objective 3: Business process re-engineering of the capital market regulatory agencies
Diagnosis report on the existing business process and regulatory framework
Re-engineering of the business process of the capital market on basis of the new ICT system
Objective 4: To propose a Clearing and Settlement company based on international best practices
Regulatory framework for the proposed Clearing and Settlement regime
Proposed structure and management of national settlement guarantee fund
Linkage between the proposed C&S company and CDBL
Framework of the proposed C&S company including organizational structure, staffing, and operating parameters
Draft BSEC guideline for granting a license to establish a clearing and settlement company
Objective 5: To draft Sukuk (Islamic bond) rules based on international best practice
Developing an appropriate regulatory and procedural framework for Sukuk
Objective 6: To draft rules for derivatives based on international best practice
Drafting regulatory and procedural framework for derivative
Objective 7: To provide training to additional IDRA staff to be mobilized after approval of the IDRA organogram
Training and capacity building support to IDRA official