Best Forex Brokers Bangladesh 2022

None of the major online forex brokers are situated in Bangladesh, although traders based in the country can deposit money for online trading by opening accounts with foreign brokers that will accept them as clients. Traders should also make sure that a broker allows for withdrawals and deposits in Bangladeshi taka if they do not have an available balance in another currency.

Any broker located outside of Bangladesh also needs to be strictly regulated in its local jurisdiction and keep client funds separate in segregated accounts to keep funds deposited as margin protected. Brokers should also have good overall client reputations, as well as a sufficient range of tradable assets and services.

Most online forex brokers will allow practice trading and strategy development via demo accounts funded with virtual money. Funded accounts are also available at online brokers, and they require traders to put up a minimum initial deposit to use as a margin before starting to trade live. Since Bangladesh is a Muslim country, some brokers offer Islamic accounts without swaps on rollovers that comply with Sharia law.

Virtually all online brokers provide customer service and a website in English. If accessing a broker’s website in a language other than English is important, such as in Bengali, Rangpuri, Assamese, Bihari, or Urdu, then be sure to ask about that in advance to assure that those needs can be accommodated.

Online brokers vary substantially when it comes to the asset classes they allow clients to trade, although most do offer some kind of forex trading for the major currency pairs. Contract for difference (CFD) trading is popular outside the United States, and CFD brokers will typically give traders the ability to trade more assets.

Regarding stock trading, both The Dhaka and Chittagong Stock Exchanges provide fair and transparent markets for several asset classes, including Bangladeshi stocks. DSE and CSE trades are generally executed in Bangladeshi taka, and live trading has taken place on the DSE via its automated trading system (ATS) since 2006 and on the CSE’s Next Generation Trading System (NGTS) since 2011.

The Bangladeshi financial sector is in the process of development. It presently consists primarily of a banking sector and a mostly undeveloped equity and capital market. And while the country is relatively small in size, its population of 167.9 million makes Bangladesh the eighth-most populous and the most densely populated nation in the world, excluding city-states.

According to GOV.UK, Bangladesh aims to become a middle-income country by 2021, with a plan for growth through massive investment in infrastructure, skills development, and trade. Other benefits for companies aiming to do business in Bangladesh include:

• An annual growth rate of at least 5.3% over the last 16 years.
• Poverty levels have approximately been cut by half in the last decade.
• Ready-Made Garment (RMG) export levels have quadrupled in 5 years.
• English is widely spoken in business.
• There is strong consumer demand for products, equipment and services.

With respect to World Bank rankings for doing business, Bangladesh scored rather poorly in most categories, with protecting minority investors being its best overall ranking at 89th.

According to the World Bank Group, Bangladesh’s top trading partners are the United States, Germany, the UK, Spain, and France. Other countries that trade actively with Bangladesh include: China, India, Hong Kong/China and Singapore.

Any upcoming Brexit, which is set to occur on October 31st, 2019, should have minimal impact on Bangladesh’s existing trade with the UK since those countries do not have an existing trade agreement.

The World Bank ranked Bangladesh at a dismal 176th for general ease of doing business, and the country had even worse rankings of 189th for enforcing contracts and 183rd for registering property. Other areas that received low scores were obtaining electricity, trading across borders, and obtaining credit, for which the country ranked 179th, 176th, and 161st respectively.

In summary, traders and businesses may find Bangladesh a somewhat challenging place to operate in. Although Bangladeshi securities firms receive competent oversight by the BSEC, forex traders should look for a firm authorized to operate in Bangladesh by the Bangladesh Bank.

When selecting an online broker to trade through from Bangladesh, traders should ensure that a broker offers the asset classes they want to trade, has a good reputation, is well regulated, and accepts deposits in a currency they can readily obtain. The online broker should also provide a free trading platform that has the necessary features and should separate client funds from its own money for added safety.