The Bangladesh Merchant Bankers Association (BMBA) has proposed a 15% tax exemption on tax and VAT for large multinational, local, and state-owned companies to incentivize their listing on the stock market. They also suggested revising the taxation on capital gains exceeding Tk50 lakh by introducing different tax slabs for gains above this threshold. Emphasizing the capital market’s potential in boosting the tax-to-GDP ratio and addressing budget deficits, BMBA urged for clear directives in the FY25 budget. They advocated for leveraging the capital market for long-term financing through bonds and debentures, highlighting merchant banks’ role in facilitating deficit financing. Additionally, BMBA called for policy measures to enhance the primary market, simplify listing processes, and bridge the tax disparity between listed and non-listed firms to encourage more listings and investments in stocks.
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