No bank to face liquidation
No bank will face liquidation in the coming days as the country's financial sector is growing from strength to strength, the Bangladesh Bank said yesterday.
A rumour has been created that each client will get back only Tk 1 lakh despite depositing higher amount of money from a liquidated bank, said Md Serajul Islam, spokesperson of the central bank, at a press conference at the BB headquarters in the capital.
"This is completely baseless. People should not panic over the rumour," he said.
A depositor of a liquidated bank will get a maximum Tk 1 lakh within six months from the deposit insurance trust fund as per the existing Bank Deposit Insurance Act, 2000, he said. The rest of the deposits will be paid back by selling the assets of the liquidated lender as per the Banking Companies Act 1991.
Around 92 percent of the total accountholders are insured under the deposit safety net, Islam said.
If the insurance coverage is doubled, around 96 percent of accountholders will be insured.
The finance ministry is considering to enact the Deposit Protection Act, 2020, replacing the existing Deposit Insurance Act, 2000. As per the proposed Act, depositors of non-bank financial institutions will be brought under insurance coverage.
Comments