SEC Chairman Faruq Ahmad Siddiqi formally inaugurates the merchant banking wing of Citigroup at a function in Dhaka yesterday. Mark Renton, head of Global Investment Banking, Asia Pacific, Citigroup, and Mamun Rashid, Citigroup country officer-Bangladesh, look on. Photo: STAR

Citigroup Global Markets Bangladesh Private Limited, the first-ever Bangladesh incorporated entity of Citigroup, world's leading financial conglomerate with operations in investment banking and insurance, has started merchant banking activities in Bangladesh.
This is the first foreign financial institution that started merchant banking activities such as underwriting, issue management and financial advisory in the local capital market.
Earlier on August 28, the Securities Exchange Commission (SEC) gave approval to the Citigroup Global Markets Bangladesh Private Limited to operate full-fledged merchant banking activities. On September 16, the SEC handed over the license to the Citigroup.
SEC Chairman Faruq Ahmad Siddiqi formally inaugurated the merchant banking wing of Citigroup at a function in Dhaka yesterday.
Speaking at the function, he said the capital market has been getting a boost for the last few years.
Although the size of the market is still small and the market capitalisation ratio to the GDP is only around 9 percent, the capital market will see a robust growth in the next two-three years with inclusion of more government owned entities, he hoped.
He said the Citigroup will help in bringing companies including foreign ones in the stock market, which will increase the supply side in the market.
Mark Renton, head of Global Investment Banking, Asia Pacific, Citigroup, said there is a great opportunity for further economic development in Bangladesh and Citigroup wants to contribute modestly through their activities.
“We have involvement in capital market business in 17 countries in the Asia Pacific region and we can be a part of Bangladesh economic growth with our experience,” he said.