The Chittagong Stock Exchange (CSE) has revised its Shariah index (CSI) following its latest biannual review of listed companies’ financial and operational performance, keeping 112 stocks eligible for Shariah-compliant investment for the next six months.
The updated list, which is considered investable for both individual and institutional Islamic investors, will come into effect from Thursday.
As part of the revision, Heidelberg Materials Bangladesh has been included in the index, reflecting its compliance with the port-city bourse’s Shariah screening criteria.
At the same time, 10 companies, including AFC Agro Biotech, Asiatic Laboratories, Associated Oxygen, Marico Bangladesh and Yeakin Polymer, have been excluded from the revised index.
The five merged Islamic banks—Export Import Bank of Bangladesh, First Security Islami Bank, Global Islami Bank, Social Islami Bank and Union Bank—have also been removed from the index due to the suspension of their trading.
Following the latest adjustment, the CSI now comprises 112 companies out of the 384 currently listed on the exchange, spanning a broad range of sectors across the economy.
The index review, conducted by a CSE expert committee, serves as a key reference point for ethical and faith-based investors seeking Shariah-compliant investment opportunities in Bangladesh’s capital market.
A company’s shares are considered Shariah-compliant when its core business activities are not prohibited by Islamic principles, including involvement in interest-based banking, alcohol, gambling, prostitution or tobacco.
The screening process also examines whether a company relies excessively on interest-bearing debt to ensure compliance with Islamic financial principles.
Shariah compliance is reviewed regularly, and companies may be added to or removed from the index if their business activities or financial structure change over time.
The 112 CSE companies for Islamic investors
In the banking and financial institutions category, four lenders—Al-Arafah Islami Bank, Islami Bank Bangladesh, Shahjalal Islami Bank and Islamic Finance and Investment—have been classified as Shariah-compliant.
The information technology sector is represented by seven companies: Aamra Networks, Aamra Technologies, ADN Telecom, Agni Systems, E-generation, Daffodil Computers and IT Consultants.
The pharmaceuticals and chemicals segment accounts for 16 companies, including Acme Pesticides, Advent Pharma, Ambee Pharma, Beximco Pharma, Central Pharma, Far Chemical, Global Heavy Chemicals, Indo-Bangla Pharma, JMI Syringes and Medical Devices, Kohinoor Chemical, Reckitt Benckiser Bangladesh, Salvo Chemical, Silco Pharma, Silva Pharma, JMI Hospital Requisite and The Ibn Sina Pharma.
Textiles form one of the largest segments of the CSI, with 18 companies comprising Alif Industries, Aman Cotton Fibrous, Apex Spinning, Dragon Sweater, Esquire Knit Composite, Far East Knitting, Hamid Fabrics, Hwa Well Textiles, Malek Spinning Mills, Mozaffar Hossain Spinning Mills, ML Dyeing, Pacific Denims, Prime Textile Spinning Mills, Saiham Cotton Mills, Simtex Industries, The Dacca Dyeing, VFS Thread Dyeing and Zaheen Spinning.
The engineering sector contributes 16 companies after alignment with the Dhaka Stock Exchange sector classification, namely Anwar Galvanizing, Bangladesh Building Systems, BBS Cables, BD Thai Aluminium, Bengal Windsor Thermoplastics, Coppertech Industries, Dominage Steel Building Systems, Eastern Cables, Kay and Que, KDS Accessories, Nahee Aluminum Composite Panel, Navana CNG, Olympic Accessories, Quasem Industries, Rangpur Foundry and Walton Hi-Tech Industries.
In the food sector, eight firms—Apex Foods, Bangas, Beach Hatchery, Fine Foods, Fu-Wang Foods, Olympic Industries, Rahima Food Corporation and Rangpur Dairy & Food Products—have qualified as Shariah-compliant.
The miscellaneous category includes nine companies: Beximco Limited, Berger Paints Bangladesh, GQ Ball Pen, Index Agro, Khan Brothers PP Woven Bag, Miracle Industries, National Feed Mill, Sinobangla Industries and SK Trims.
Fuel and power is a major segment of the revised index, with 12 companies—Baraka Patenga Power, Baraka Power, Doreen Power, Khulna Power, Intraco Refueling Station, Linde Bangladesh, Lub-rref, MJL, Shahjibazar Power, Summit Power, Titas Gas Transmission and Distribution and United Power Generation and Distribution—meeting Shariah criteria.
The insurance segment comprises six companies, including Fareast Islami Life, Islami Insurance, Padma Islami Life, Prime Islami Life, Trust Islami Life Insurance and Takaful Islami Insurance.
Cement manufacturers account for three Shariah-compliant firms—Heidelberg Materials Bangladesh, Lafargeholcim Bangladesh and Premier Cement Mills.
The ceramics segment also includes three companies—Monno Ceramic Industries, RAK Ceramics Bangladesh and Shinepukur Ceramics.
The services sector is represented by two firms—Samorita Hospital and Summit Alliance Port.
In the tannery and footwear sector, Bata Shoe Bangladesh, Fortune Shoes, Legacy Footwear and Samata Leather are investable for Shariah-compliant investors.
The paper sector features two eligible companies, Hakkani Pulp and Paper Mills and Sonali Paper and Board Mills.
Among telecommunications operators, Grameenphone and Robi Axiata have been assessed as not violating any Shariah principles and remain part of the Shariah-compliant universe.
