BSEC overhaul lifts market, sparks reform hopes

A major leadership overhaul at the Bangladesh Securities and Exchange Commission (BSEC) has raised expectations of regulatory reforms and revitalised investor sentiment.

Following his appointment as BSEC chairman on Thursday, Masud Khan pledged to streamline the IPO process and broaden participation in the capital market.

His appointment came hours after outgoing BSEC Chairman Khondoker Rashed Maqsood resigned on Thursday morning after serving 21 months during the interim government period.

The change in leadership coincided with a surge in trading activity that pushed the Dhaka Stock Exchange (DSE) to its highest turnover of the year.

Four commissioners---Md Saifuddin, Md Mohsin Chowdhury, Md Ali Akbar and Farzana Lalarukh---also stepped down the same day.

The resignations came two days after Finance Minister Amir Khosru Mahmud Chowdhury announced that the commission would be reconstituted within two weeks with a leadership team comprising experienced market professionals free from political affiliations.

The transition coincided with a surge in trading activity that pushed the Dhaka Stock Exchange (DSE) to its highest turnover of 2026.

Taking charge, Masud Khan identified IPO reform as an immediate priority, saying lengthy and complicated approval procedures have discouraged many fundamentally strong companies from seeking listings.

He made the remarks while speaking to journalists at the BSEC headquarters shortly after the Financial Institutions Division under the Ministry of Finance issued a notification confirming his appointment.

“Our focus will be on making the IPO process faster, simpler and more investor-friendly,” he said, adding that several companies had expressed interest in listing but ultimately withdrew because of procedural complexities.

On the prospect of listing state-owned enterprises (SOEs), he adopted a cautious approach.

“We want to work first. Time will tell what can be done in the future,” he said.

Policy coordination a key priority

Beyond IPO reforms, Masud Khan highlighted the lack of coordination among key regulatory bodies as a major obstacle to capital market development.

He stressed the need for closer alignment among the BSEC, Bangladesh Bank and the National Board of Revenue (NBR), arguing that sustainable market growth requires coordinated policymaking.

“Without coordination among all relevant institutions, desired market development is not possible,” he said.

The new chairman also outlined several governance priorities, including enhanced transparency, stronger disclosure standards and greater digitalisation of regulatory processes.

He said the commission would improve disclosure of investigation activities, ensure the timely publication of financial reports by listed companies and strengthen compliance with International Financial Reporting Standards (IFRS), particularly in the banking sector.

Masud Khan also indicated plans for more regular engagement with the media, while calling for balanced reporting to help maintain investor confidence.

“This is our first press conference. What matters most is what we do, not what we say,” he said.

Veteran corporate executive takes charge

The Financial Institutions Division appointed Masud Khan as BSEC chairman for a four-year term under Section 5(2) of the BSEC Act, 1993.

Before formally assuming office, he is required to resign from all professional positions, including his role as Group CEO of Crown Cement PLC. 

He will receive the salary, allowances and benefits applicable to the post under government rules.

Masud Khan brings more than four decades of experience in multinational and local corporations. 

He served as chief financial officer of LafargeHolcim Bangladesh for 18 years and held senior finance positions at British American Tobacco for two decades.

He also served as an independent director and audit committee chairman at Singer Bangladesh Limited and Community Bank Bangladesh, and as an independent director and chairman of the Nomination and Remuneration Committee at British American Tobacco Bangladesh. 

A chartered accountant and cost and management accountant, he has been a faculty member of the Institute of Chartered Accountants of Bangladesh (ICAB) for over 40 years. 

He was a silver medallist in the All-India Chartered Accountancy Examination in 1977 and is a Fellow of the Institute of Cvwertified Management Accountants of Australia and New Zealand.

Meanwhile, Advocate Nahid Mahtab, a former deputy attorney general, has been appointed commissioner of the BSEC. Tanwir Habib Rahman and Md Nafeez Al Tarik have also been appointed commissioners for four-year terms.

Md Nafeez Al Tarik is the managing director of Dhaka Bank Securities, Nahid Mahtab is an advocate of the Supreme Court, and Tanwir Habib Rahman serves as director (finance) at ASA International.

Market responds positively

Investors welcomed the leadership change, driving the DSE to its highest turnover of the year.

Turnover rose to Tk1,351 crore, surpassing the previous day’s record of Tk1,279 crore, as trading activity accelerated following news of the resignations and fresh appointments at the regulator.

The benchmark DSEX gained 33 points, while the DSES and DS30 indices advanced by nine and 11 points respectively.

Of the 391 issues traded, 242 advanced, 104 declined and 45 remained unchanged, indicating broad-based buying interest across the market.