BGMEA chief criticises the way BB handles liquidity crisis
The chief of the garment makers' platform on Monday criticised the way the central bank is dealing with the ongoing liquidity crisis in the banking sector.
Siddiqur Rahman, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), also gave examples of some banking scams and suggested ways to check the irregularities.
He made the comments while delivering a speech at the BGMEA-BUFT Journalism Fellowship awarding ceremony at the BGMEA Bhaban in Dhaka.
“Whatever I said is true. None has influenced me or put pressure on me before or after the speech,” Rahman told The Daily Star yesterday.
“I said 90 percent of the banks are doing fine, but some banks are not doing well. We are not in favour or disfavour of any bank. I have not told anything bad about Bangladesh Bank.”
Rahman said the business activities will not be affected due to his speech. On Monday's event, Rahman said, “A bank has been given Tk 600 crore to help fight liquidity crisis, as it was hit by a Tk 600 crore loan scam. This is not the right way to solve liquidity crisis.”
“Giving a fund to a scam-hit bank to overcome the liquidity crisis will only inspire 10 other banks to get involved in such corruption. It should not work that way,” he said.
Such banks should merge with other banks and the directors should be thrown out of the boards, he said.
“What is the role of Bangladesh Bank here? If I steal today, will you give me Tk 100 crore to solemnise my theft?”
“We have regular contacts with many banks. We know that the conditions of banks are not good,” he said suggesting that the government discusses banking issues in cabinet meetings. Rahman said there was no reason for rod prices to rise by 40-45 percent to Tk 72,000 a tonne.
He also questioned the morality of a section of traders who always try to do brisk business taking advantage of sudden surges in demand for goods on different occasions.