DMD Circular Letter No. 01: Selection of Benchmark Securities and Two-Way Price Quoting

Bangladesh Bank
(Central Bank of Bangladesh)
Head Office
Motijheel, Dhaka-1000
Bangladesh.
Department of Market Development

DMD Circular Letter No.: 01/2023 03 Magh 1429 Date: ------------------- 17 January 2023

Managing Director/Chief Executive Officer All Primary Dealers operating in Bangladesh.

Regarding: Determination of Benchmark Securities for Government Securities and Two-Way Price Quoting.

Dear Sir,

We draw your attention to DMD Circular No. 6/2020 issued on November 10, 2020, and DMD Circular Letter No. 8/2021 issued on December 23, 2021, on the subject cited above.

2. Through the aforementioned circular and circular letter, 30 Treasury bonds were selected as benchmarks, with 5 bonds chosen from each of the 6 categories based on the remaining maturity of various Treasury bonds, with the aim of developing the government securities market and creating a market-based operational framework.

3. Now, the existing 30 bonds from the Treasury bonds currently available in the market are redesignated as benchmark securities.

4. All other instructions of DMD Circular No. 6/2020 regarding this matter will remain unchanged, and DMD Circular Letter No. 8/2021 issued on December 23, 2021, will be considered cancelled.

5. These instructions will take effect immediately.

Yours faithfully,

Attachment: As per list.

(Mohammad Anwar Hossain)
Additional Director
Phone: 9530511
E-mail: dmd@bb.org.bd

ISIN	Maturity (Years)	Issue Date	Maturity Date	Coupon Rate	Face Value	Duration
BD0923591020	2	03-02-21	03-02-23	4.80%	4,500.00	0.84
BD0924871025	2	08-01-22	08-01-24	7.21%	4,500.00	1.44
BD0924371059	5	12-01-19	12-01-24	8.10%	4,300.00	1.45
BD0924011028	2	06-01-22	06-01-24	7.40%	4,000.00	1.51
BD0924131024	2	06-06-22	06-06-24	7.45%	4,500.00	1.77
BD0925371058	5	29-08-20	29-08-25	8.12%	4,500.00	2.33
BD0925021059	5	15-01-20	15-01-25	7.19%	4,500.00	2.54
BD0926021108	10	20-01-16	20-01-26	7.59%	2,700.00	3.55
BD0927841058	5	18-05-22	18-05-27	7.70%	4,499.60	4.38
BD0927021057	5	13-01-22	13-01-27	7.89%	4,500.00	4.53
BD0928331109	10	20-01-18	20-01-28	7.50%	2,800.00	5.47
BD0929311100	10	17-08-19	17-08-29	7.74%	2,675.00	6.29
BD0930381100	10	07-05-20	07-05-30	8.74%	4,500.00	7.35
BD0930431103	10	17-01-20	17-01-30	8.66%	4,500.00	7.46
BD0930031101	10	22-01-20	22-01-30	7.89%	4,000.00	7.56
BD0931401154	15	27-08-16	27-08-31	7.79%	2,850.00	8.32
BD0931561106	10	19-06-21	19-06-31	6.80%	4,500.00	8.80
BD0932851100	10	25-05-22	25-05-32	8.00%	4,300.00	9.40
BD0932891106	10	22-01-22	22-01-32	8.10%	4,500.00	9.48
BD0932111109	10	21-09-22	21-09-32	8.10%	4,000.00	9.72
BD0933101158	15	26-09-18	26-09-33	7.20%	4,500.00	10.74
BD0933141154	15	28-02-18	28-02-33	7.55%	4,150.00	10.91
BD0935441156	15	24-01-20	24-01-35	8.70%	4,499.30	12.48
BD0935201204	20	25-02-15	25-02-35	8.70%	3,950.00	12.90
BD0937821157	15	27-08-22	27-08-37	7.98%	4,228.00	14.32
BD0938141209	20	28-02-18	28-02-38	8.24%	3,000.00	15.91
BD0939391209	20	26-01-19	26-01-39	9.29%	3,650.00	16.49
BD0940401203	20	20-05-20	20-05-40	9.20%	4,500.00	17.38
BD0940441209	20	24-01-20	24-01-40	8.94%	4,500.00	17.48
BD0942901200	20	29-01-22	29-01-42	8.65%	4,413.03	19.49

Category-1
(Maturity: 0 to 2 Years)
Category-2
(Maturity: Above 2 to 5 Years)
Category-3
(Maturity: Above 5 to 8 Years)
Category-4
(Maturity: Above 8 to 10 Years)
Category-5
(Maturity: Above 10 to 15 Years)
Category-6
(Maturity: Above 15 to 20 Years)

Redenomination
Face Value of Treasury Bonds