Govt to identify those behind stock market crash, take action: PM tells JS

Prime Minister Tarique Rahman has said the government will identify those responsible for the continued stock market downturn that caused losses to thousands of investors and bring them to justice.

The government is also determined to restore investor confidence through a fair investigation and trial of the irregularities and manipulations that happened during the Awami League regime, he said while responding to a question from Khulna-4 MP Sk Azizul Baree Helal during the budget session of the Jatiya Sangsad, with Speaker Hafiz Uddin Ahmad in the chair today (8 July).

Tarique said the Anti-Corruption Commission had already conducted investigations into allegations of capital market manipulation, leading to the identification of several suspects and the filing of cases against them.

Explaining the reasons behind the prolonged decline in the stock market during the Awami League's tenure, the prime minister said findings from experts, investor organisations and investigative agencies pointed to a range of structural weaknesses.

These include market manipulation, artificial inflation and suppression of share prices, irregularities in initial public offerings, bonds and other securities, weak regulatory oversight, poor corporate governance, lack of transparency in financial disclosures, limited participation by institutional investors, declining investor confidence, inconsistent policies and the absence of a capital market-friendly tax regime.

Tarique said the Bangladesh Securities and Exchange Commission has already imposed fines amounting to Tk1,497 crore on individuals and institutions found involved in market manipulation, irregularities and corruption.

He added that probe body reports had also been forwarded to the anti-graft commission for further legal action against those responsible.

The premier said a new securities and exchange commission has already been formed with the appointment of an experienced chairman and three commissioners. Following the formation, the long-standing floor price mechanism was withdrawn to improve market efficiency.

Tarique outlined a series of reform initiatives designed to deepen the capital market and make it more investor-friendly. These include facilitating the direct listing of profitable state-owned enterprises, multinational companies and fundamentally strong firms, encouraging small and medium-sized enterprises to raise funds from the market and introducing legal protection for whistleblowers who report market manipulation.

Replying to two separate questions on the defence, the premier said the government plans to spend nearly Tk86,000 crore over the next decade to modernise the Bangladesh Army as part of a broader initiative to strengthen national security.

The government also plans to significantly enhance the capabilities of the navy by acquiring modern frigates, corvettes, offshore patrol vessels and submarines, while fourth-generation multirole combat aircraft, attack helicopters, medium-range missile defence systems, anti-drone technology and electronic warfare systems will be procured for the air force.

Besides, a plan to develop a "Made in Bangladesh Defence Industry" through a national defence industrial policy has been taken, alongside the establishment of Defence Industrial Zones, he said.

Tarique said the implementation of these plans would enhance the army's overall combat capability. The programmes include acquiring new tanks and armoured fighting vehicles to improve ground warfare capability, alongside modern artillery rocket systems, anti-tank weapons, and short- and medium-range air defence systems to strengthen precision strike and air defence capabilities.

He also said that strategic and operational mobility will be improved by expanding the army's air assault capability, air transport capacity for troops and equipment, and riverine transport operations.