Foreign Investors Returning to Bangladesh Stock Market

Staff Reporter
1 October 2025

After a prolonged period of decline, foreign and expatriate investors are gradually returning to the country’s stock market. In September alone, 40 new Beneficial Owner (BO) accounts were opened in their names, signaling renewed interest in equity investment. During the same period, local investor participation also saw a moderate increase.

According to Central Depository Bangladesh Limited (CDBL), the total number of BO accounts stood at 1,652,227 as of September 30, compared to 1,645,401 at the end of August — an increase of 6,826 accounts within a month.

Among these, BO accounts held by foreign and expatriate investors rose to 43,801 in September, up from 43,761 in August. This is a positive shift after a consistent drop in their participation from November 2023 to August 2024, during which time their BO accounts declined by 11,711.

Local investors also showed renewed interest. Their BO accounts rose by 6,591, bringing the total to 1,590,695. However, compared to the beginning of the year when the number stood at 1,773,551, the net decrease remains significant.

In terms of investor demographics, male BO accounts rose by 5,578 and female accounts by 1,049. Corporate BO accounts increased by 199. Most of the growth came from single-name accounts (up by 6,219), with joint accounts increasing by 1,408.

Despite the rise in investor numbers, market performance remained under pressure. The DSEX index dropped by 179 points during September — from 5,594 at the end of August to 5,415. Meanwhile, market capitalization declined by Tk 2,850 crore, totaling Tk 7,250,630 million at the end of September.

Daily turnover, which had briefly crossed Tk 1,000 crore earlier, fell back to Tk 600 crore levels over the last 15 trading days.

Market analysts view the return of foreign and expatriate investors as a positive indicator, but emphasize the need for stronger policy support and market confidence to ensure sustainable growth.