BSEC, World Bank Explore Mortgage Refinance Company Feasibility
The Bangladesh Securities and Exchange Commission (BSEC) and a World Bank Group delegation discussed the feasibility of establishing a Mortgage Refinance Company (MRC) in Bangladesh, with a focus on expanding housing finance and deepening the capital market.
The meeting was held on Tuesday at the BSEC Commission Meeting Room and was chaired by BSEC Chairman Masud Khan, said a press release.
BSEC Commissioners Tanwir Habib Rahman, CPA, Nahid Mahtab, Md Nafeez Al Tarik, CFA, FRM, and Hossain Sadat, FCS, along with Executive Director and Spokesperson Md Abul Kalam, Executive Director Mohammad Jahangir Alam and officials from relevant departments attended the meeting.
Representatives of the World Bank Group also participated in the discussion.
The meeting reviewed the feasibility of establishing the MRC, its potential institutional structure and its possible role in developing Bangladesh's housing finance and capital markets.
The participants exchanged views on how an MRC could help deepen the primary mortgage market by providing long-term refinancing facilities to financial institutions. They also discussed the potential for mobilising capital market resources to support housing finance.
The proposed institution could potentially help financial institutions access longer-term funds for mortgage lending, thereby supporting the expansion of housing finance in Bangladesh.
The World Bank Group is conducting the feasibility study in response to a formal request from the Financial Institutions Division (FID) of the Ministry of Finance.
