DSE, Swisscontact mediate exploring stock financing for RMGs

The Dhaka Stock Exchange (DSE) PLC and Swisscontact jointly organized a workshop on exploring capital market financing for RMGs

The Dhaka Stock Exchange (DSE) PLC and Swisscontact jointly organized a workshop titled “Expanding RMG’s Financing Horizons: Opportunities in the Capital Market” at the DSE Training Academy on Wednesday to explore long-term capital market financing for the ready-made garment (RMG) sector.

The event brought together senior officials from leading member institutions of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), along with key capital market stakeholders.

Delivering the opening remarks, DSE Managing Director Nuzhat Anwar emphasized that the capital market serves as a vital source of long-term financing for economic growth and private sector expansion. She stressed the need to expand beyond initial public offerings (IPOs) and equity markets into bond markets, calling for effective measures to bridge the gap between private sector financing demands and capital market capacity. 

She added that DSE is actively working to build a transparent, business-friendly market by identifying regulatory constraints and addressing entrepreneur needs.

Farzana Amin, Team Leader of Swisscontact’s PROGRESS project, stated that Swisscontact plans to provide end-to-end support to RMG companies interested in entering the capital market, with a goal to develop several role-model firms over the next year to encourage wider participation.

BKMEA Deputy Secretary Md. Harunur Rashid noted that Bangladeshi industrial enterprises remain heavily dependent on bank loans, which restricts expansion. He highlighted the capital market as an effective alternative for long-term financing that can accelerate growth and job creation, provided listed companies maintain sustainable business practices to retain investor confidence.

Iftekhar Alam, President of the Bangladesh Merchant Bankers Association (BMBA) and CEO of LankaBangla Investments, presented on listing processes, equity capital raising, valuation, and qualification criteria for both Main Board IPOs and SME Board Qualified Investor Offers (QIO).

Additionally, Sayeed Mahmud Zubaer, General Manager of DSE's Market Development Division, delivered a presentation on capital market structures, DSE infrastructure, bond markets, direct listing opportunities, and corporate governance benefits.

During the closing session, DSE Chief Technology Officer Dr. Md. Asifur Rahman stated that DSE is offering one-to-one counseling and advisory services to guide entrepreneurs through the listing process. Bidowra Tahmin Khan, Team Leader of Swisscontact’s INSPIRE project, added that Swisscontact will coordinate with DSE, the Bangladesh Securities and Exchange Commission (BSEC), and other stakeholders to offer technical and advisory support to promising RMG and textile companies.

The workshop was also attended by Swisscontact Bangladesh Deputy Country Director Syeda Ishrat Fatima, alongside senior representatives from DSE and partner organizations. - UNB