Dhaka, Nov. 28 -- The securities regulator would request Bangladesh Bank (BB) to exclude banks' investments in perpetual bonds from their exposure on bourse, in a measure meant for increasing liquidity supply to the capital market.

Sources say the Bangladesh Securities and Exchange Commission (BSEC) will raise the issue, among others, at a meeting scheduled to be held with the central bank Tuesday.

A senior official at the BSEC said the proposal is being mooted so that the banks' investment in the bond market does not get squeezed due to the exposure limit and the bond market remains vibrant.

Under the existing provision, such investment is considered included in the banks' exposure to the capital market as soon as the bonds are listed...