A decision has been made by the Bangladesh Securities and Exchange Commission (BSEC) to form a Shariah supervisory board to ensure compliance with Shariah laws by Islamic compliant securities.
Previously on June 24, the decision was made by BSEC during a commission meeting.
Headed by its commissioner Abdul Halim, the BSEC formed a 4-member committee, to assess the matter and submit a proposal for the formation of the Shariah board by 15 working days.
The committee would frame a guideline on the formation of the Shariah board and its activities.
Shaikh Shamsuddin, the BSEC commissioner, stated that the regulator wanted to frame a permanent composition of the Shariah board to look after Sukuk-like Islamic products.
He further stated that the board would ensure compliance with Islamic Shariah in such products.
He also stated that there is a possibility that the board might be formed with local and foreign distinguished persons.
After the Bangladesh Export Import Company proposed to issue Tk 3,000 crore in Islamic compliant Sukuk, the necessity of the Shariah board came to the fore.
On June 23, Bangladesh Export Import Company got a letter of intent from the BSEC for issuing Tk 3,000 crore in Islamic compliant Sukuk.
The board would supervise the compliance of Islamic Shariah in such products.
BEXIMCO has been asked to submit a trustee registration certificate, BSEC-approved trust deed as well as subscription agreement to the BSEC to get the final approval.
The secured convertible asset-backed Sukuk will be issued for the purpose of construction of solar projects of Teesta Solar Limited and Korotoa Solar Limited, two subsidiaries of Beximco Power Company Limited, and for financing and refinancing of machinery and equipment required for expansion of BEXIMCO’s textile division.