DSE cuts trading settlement time

Dhaka Stock Exchange will introduce a new trading settlement period on April 16, in a bid to accelerate market activities.
The T+2 will replace the existing T+3 trading cycle, meaning the trading settlement period will be reduced by one day.
At present, the buyer must make payment and the seller must transfer ownership of the stock to the buyer within three days after the trade was made.
From April 16, the transaction obligations must be completed within two days of the transaction date.
The premier bourse announced the effective date of the new trading settlement period at a web posting on its website yesterday.

Earlier, the DSE at a meeting on January 23 decided to reduce the trading settlement period by a day.
The move will enhance the liquidity flow to the market and increase the supply of shares, said a DSE official.
Chittagong Stock Exchange, however, has already introduced the shortened trading settlement period.