Bangladesh’s bold push to sell state shares and revive its struggling stock market
Bangladesh’s interim government is pushing ahead with plans to sell government-owned shares in profitable companies. The move aims to boost the country’s stock market today after years of stalled efforts. Officials now claim this initiative has gained more traction than previous attempts.
The plan follows a May 2025 meeting led by interim chief adviser Professor Muhammad Yunus. His directives called for urgent action to revitalise the stock market. Since then, the industries ministry and the power, energy, and mineral resources ministry have agreed to proceed with divestment.
Ten companies have been shortlisted for the process, including six multinational firms and four local ones. The government currently holds around 40% of shares in most multinational companies and nearly 100% in local firms. However, the ministries still need approval from the companies’ boards before moving forward. Finance adviser Salehuddin Ahmed noted that this attempt has advanced further than past efforts. Earlier attempts had been shelved for over a decade due to delays and limited success. Yet, Abu Ahmed, chairman of the Investment Corporation of Bangladesh, remains sceptical. He pointed to previous bureaucratic hesitation as a reason for concern. Despite the approvals, no public records confirm that any multinational companies have consented to the share sales in 2025. The interim government, however, is eager to speed up the divestment process.
The initiative now depends on securing board approvals from the selected companies. If successful, the sale of shares could inject new activity into Bangladesh’s stock market today. The government’s ability to follow through will determine whether this effort breaks the pattern of past failures.
