Dhaka, June 30 (New Age): Dhaka stocks advanced sharply
on Sunday, first trading session of the week, after the government had scrapped
the proposal of slapping 3-5 per cent gain tax on capital market investors from
the approved Finance Bill 2014.
The finance bill for the next fiscal year was approved by
parliament on Saturday, scrapping also some other capital market-related
proposals that had dejected investors.
The key index of the Dhaka Stock Exchange, DSEX, gained
1.76 per cent, or 77.64 points, to close at 4,487.07 points.
The DSEX on the day increased to its one and a half
months high after it was 4,497.12 points on May 12.
The government’s decision of withdrawing proposed taxes
on the capital market and its investors was the main reason for the bouncy
trend in the stock prices throughout the session, market operators said.
DSE managing director Swapan Kumar Bala on Sunday told
New Age, ‘The market trend suggests that the withdrawal of capital gain tax on
individual investors has made investors happy.’
‘The change in decision following our request also refers
that the government is cordial to the capital market which might be another
reason for investors’ optimism,’ he said.
The approved finance bill also restored 10 per cent tax
rebate for the listed companies, increasing the dividend payment limit by 10
per cent to 30 per cent.
For the outgoing fiscal year the tax rebate was against
20 per cent dividend disbursement.
The new finance bill also increased the tax-free dividend
income to Tk 20,000 from the existing Tk 10,000.
DS30, the blue-chip index of the DSE, closed at 1,638.90
points, increasing by 1.38 per cent or 22.32 points.
The Shariah index of the bourse, DSES, closed at 1,017.17
points, gaining 1.08 per cent or 10.95 points.
Of the 296 shares and mutual funds traded, 236 advanced,
44 declined and 16 remained unchanged.
The turnover of the bourse increased to Tk 390.12 crore
on Sunday from Tk 302.78 crore in the previous trading session.
‘Leaving a bundle of opportunities for capital market,
especially for investors, Finance Bill 2014 was passed last day [Saturday],’
IDLC Investments said in its daily market commentary.
‘Withdrawal of proposed capital gain tax stimulated
investors very positively,’ it said.
Besides, tax rebate seekers’ investment continued flowing
to the market, adding an additional boost to market activities, it said.
Lafarge Surma Cement traded most on the day with its
shares worth Tk 34.43 crore changing hands.
BEXIMCO, Grameenphone, United Airways, Square Pharma,
BSCCL, EHL, BSRM Steels and Appollo Ispat were among the other turnover
leaders.
Fine Foods gained the most with a 9.92-per cent increase
in its share price, while Active Fine Chemicals was the worst loser, shedding
4.09 per cent.