BSEC seeks new land for headquarters 8 years after building current office
The capital market regulator, which spent Tk60 crore to build its current headquarters, has applied for land allocation under Rajuk’s Purbachal New Town Project.
Eight years after constructing its ten-storey headquarters in Agargaon, the Bangladesh Securities and Exchange Commission (BSEC) is now seeking three acres of land in Purbachal to build a new, modern office complex equipped with upgraded facilities.
The capital market regulator, which spent Tk60 crore to build its current headquarters, has applied for land allocation under Rajuk's Purbachal New Town Project, as no space is available in the Sher-e-Bangla Nagar administrative area under the housing and public works ministry.
In a letter sent to the Financial Institutions Division of the finance ministry in September, the commission cited acute space shortages, insufficient room for officers, and a lack of parking facilities that are hampering its regulatory and development activities and its ability to protect investors' interests.
BSEC currently operates with 369 approved staff members, and expects this crisis to deepen when an additional 301 positions are approved in the near future.
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When contacted, BSEC spokesperson Abul Kalam told The Business Standard, "The existing building no longer accommodates our operations. Many officers don't even have desks. The commission has long been seeking land for a new building."
He added, "We've written to the government to expand our manpower to strengthen capital market regulation. To function as a true regulatory authority, we need more staff."
"Once new staff are approved, the current building will not be enough," he said. "We also plan to establish our own academy and expand the product base of the capital market, so the commission will need more space."
Established in 1993 as a statutory body, the BSEC is tasked with regulating, developing, and protecting investors' interests in the capital market.
In February 2017, the commission relocated its office from Motijheel's Jiban Bima Tower to its own ten-storey building in Agargaon, constructed on 33 decimals of land adjacent to the passport office.
In the letter to the finance division, BSEC said it has undertaken various initiatives under the guidance of the chief adviser to elevate Bangladesh's capital market to international standards, including the urgent recruitment of consultants.
The letter noted that the commission is working on short-, medium-, and long-term plans to strengthen the capital market, increase the GDP–market capitalisation ratio to regional standards, and promote sustainable development.
Mentioned ongoing initiatives are: developing the bond market, introducing trading of unlisted company securities, expanding SME financing options, launching Real Estate Investment Trusts (REITs), establishing a Commodity Exchange, creating the Capital Market Stabilisation Fund (CMSF), and innovative Capital Market Learning programmes.
The letter stated, "The size of the country's capital market is expanding, and to ensure its regulation, development, and investor protection, the commission must increase its permanent staffing structure. Once bond and derivatives trading begin, the need for more personnel will rise further."
It also highlighted current infrastructure constraints: "The existing building cannot accommodate both newly recruited and long-serving officers. Due to space limitations, the commission has been unable to establish a modern auditorium for large-scale meetings and seminars."
It noted that BSEC became an 'A' category member of the International Organisation of Securities Commissions (IOSCO) in 2013, and therefore requires an auditorium suitable for national and international conferences.
"The shortage of space is disrupting day-to-day operations," the letter said. "Due to limited parking, the commission rents parking areas from the neighbouring Bangladesh Investment Development Authority."
The BSEC added, "Once the manpower expansion is implemented, the current building will no longer suffice, nor can the existing structure be expanded. An adequate physical environment is essential for effective institutional service delivery."
The commission believes that constructing a state-of-the-art headquarters equipped with modern facilities would enable it to serve investors more efficiently and effectively.
