Government Weighs Removal of Investment Limits on Savings Certificates

During the seminar, the Finance Secretary stated that the government is re-evaluating the regulations surrounding the purchase of savings certificates. The primary focus of this review is the withdrawal of investment caps, which currently restrict the amount individuals or joint account holders can deposit in various schemes. Removing these limits would allow investors to park larger volumes of funds in these government-backed instruments.

Boosting the Bond Market to Tk 6 Trillion
At the same event, Bangladesh Bank Governor Dr. Ahsan H. Mansur shared an optimistic outlook for the country's debt market. He noted that if bond trading and transactions are simplified, the domestic bond market could expand to a valuation of Tk 6 trillion. The Governor emphasized that large commercial organizations must reduce their total dependency on the banking sector and instead integrate into the bond market or seek foreign investment to secure long-term funding.

Stability Through Single Interest Rates
The Governor further explained that the sustainability of the bond market is intrinsically linked to inflation control and interest rate stability. He suggested that moving toward a "Single Rate" for interest would provide the necessary foundation for a thriving market. This integrated approach to both savings certificates and bonds is part of the government’s broader economic strategy to establish a robust source of long-term investment for the nation.