The banks will not go for aggressive sales of stocks in a bid to help the market remain stable, said Association of Bankers, Bangladesh (ABB).

There was a meeting between ABB and DSE on Thursday where the bankers’ leaders agreed to avoid aggressive sales for the sake of market’s stability.

Dhaka Stock Exchange president Rakibur Rahman said, “ABB leaders have pledged to avoid massive sales of stocks like 2010.”

He said if there were more contributions from banks, merchant banks, financial institutions, brokers and dealers, the market would be more stable.

In 2010, the banking sector went on massive sales, which eventually placed the market in a highly and prolonged volatile situation.

DSE president said: “There is no alternative to the institutional investors to ensure stability on the stock market.”

ABB president Nurul Amin urged SEC and DSE to be careful about supply-demand balance of stocks, which is “essential for a stable market.”

In this regard, he put stress on strengthening bond market in, adding that “the banks are not traders, but market makers.”

Besides, ABB president claimed that banks invest in the stock markets complying with the related rules and regulations.

News: Daily Sun/Bangladesh/28-Sep-12