Dhaka, Bangladesh (BBN)- The government revenue earnings from the Dhaka Stock Exchange (DSE) marked a 46 percent decline month-on-month in July amid reduced trading hours and weak volumes owing to the occasion of Ramadan.
The government bagged tax worth BDT 65.20 million in July which was BDT 120.85 million in June, 2014, according to statistics from the Dhaka Stock Exchange (DSE).
The DSE, on behalf of the government, collects the tax as brokerage commission and sponsor and placement shares sales at the rate of 0.05 percent and 5.0 percent respectively and deposits the amount to the government exchequer.
Trading hours on the premier bourse had been reduced by an hour for Ramadan, which began on June 30. Furthermore, trading took place on 18 days in July as against 22 days in June.
The daily average turnover on the DSE also declined to BDT 2.88 billion in July from BDT 3.36 billion the month of June.
Tax collection is related to trading volume and value. More trading of stocks generates more tax for the government, said a DSE official.
“Tax collection decreased in the July due to lower transactions and reduced trading hour and trading sessions,” he said.
BBN/SSR/BB-05Aug14-11:30 pm (BST)
