Government Security Market of Bangladesh consists of Treasury Bill, Bangladesh Government Treasury Bond (BGTB) and Bangladesh Government Investment Sukuk (BGIS). Banks, Non-bank Financial Institutions, Insurance companies and Individuals can invest in Government securities. Non-resident individuals/institutions can also purchase Bangladesh Government Treasury Bond (BGTB) and Bangladesh Government Investment Sukuk (BGIS) from Primary and Secondary market through Primary Dealers and other Banks in Bangladesh using funds deposited in their non Resident Foreign Currency Account (NFCA) or a Non Resident Investors Taka Account (NITA) with a bank in Bangladesh in name of purchaser. Coupon and principal amount can be repatriated freely.

Bangladesh Government Treasury Bill(T-Bill) & Bangladesh Government Treasury Bond (BGTB):
Bangladesh Government Treasury Bills(T-Bill) are short-term government securities (up to One year). There are three tenors available for T-Bills namely 91days, 182 days and 364 days. Bangladesh Government Treasury Bonds (BGTB) are long-term government securities (more than One year). There are five tenors available for BGTB namely 2, 5, 10, 15 & 20 years. Interest rate/price for T-Bills and coupon rate for BGTB is determined by auction. T-Bills are issued at a discount and redeemed at the face value at maturity whereas coupons of BGTB are paid half yearly and the principal is repaid on maturity. T-Bills and BGTBs are tradable in the secondary market. For T-Bills and BGTBs bid can be submitted for TK. 1,00,000/- or any amount of its multiple on auction. Investment can be made in the primary market from weekly auctions through primary dealers (usually on Sunday for T-bills and on Tuesday for BGTBs) and in the secondary market from any banks, financial institutions and stock exchange at anytime. Tax rebate facilities are available for individual investors for investing in BGTB according to “Income Tax Act-2023(Under Section 106)”.

Eligibility of investment in T-Bills and BGTBs:
Resident individuals and institutions of Bangladesh such as- banks, non-bank financial institutions, insurance companies, corporate bodies, authorities responsible for the management of provident funds, pension funds etc can invest in T-Bills and BGTBs. Non-resident individuals/institutions can also purchase BGTB from primary and secondary market through primary dealers and other banks in Bangladesh using funds deposited in their “Non Resident Foreign Currency Account (NFCA)” or a “Non Resident Investors Taka Account (NITA)” with a bank in Bangladesh in name of purchaser. Coupon and principal amount can be repatriated freely.

Bangladesh Government Investment Sukuk (BGIS)
Bangladesh Government Investment Sukuk gives a scope for the government for Shari’ah-based finance in the ongoing development projects. At the same time, sukuk assists the Islamic Banks and IFIs in managing their liquidity offering a secured investment opportunity.
In line with ‘Bangladesh Government Investment Sukuk Guidelines, 2020, dated 08 October 2020’, the following Sukuk has been issued-

1. The first sovereign investment Sukuk: On 29 December, 2020 against the project titled 'Safe Water Supply for the Whole Country'.
2. The second sovereign investment Sukuk: On 30 December, 2021 in Ijarah mode against the project named “Need Based Infrastructure Development of Government Primary School Project (1st Phase)”.
3. The third sovereign investment Sukuk named “IRIDP-3 Social Impact Sukuk”: On 20 April, 2022 in Istisna and Ijarah mode against the project amed “Important Rural Infrastructure Development Project on Priority Basis-3”.

Till June 2023, 18000 Crore Taka Sukuk was issued.

Main Features and Eligibility of investment of BGIS:
Sukuk is shariah based government security where tenor and mode of investment is determined on the basis of underlying project. Investors get rent as profit on semi-annual basis and principal is payable at maturity. Any individual and institutions irrespective of resident and non-resident can invest minimum Tk. 10,000/- or any amount of its multiple in sukuk. It is also tradable in secondary market.