BB guidelines on Islami bond bidding

Bangladesh Bank (BB) issued on Wednesday guidelines on bidding for Bangladesh Government Islami Investment Bond, which is known as Islami Bond, reports BSS.

According to the guidelines, only Islamic Shariah-based banks and financial institutions will be allowed to participate in bidding for the bonds usually issued with maturity periods of three and six months.

Any individual or institution wishing to purchase the Islami Bond should participate in the bidding through any Islamic bank or financial institution.

There will be no limit of bonds for bidding; instead, the bidders will be allowed to submit the bidding document as per their own demand.

The base rate will be calculated on the basis of provisional profit rates against the 3-month and 6-month deposits of the participatory banks and financial institutions.