IMF urges banking discipline

The International Monetary Fund yesterday asked the government to better discipline banks to check financial frauds.
Naoyuki Shinohara, deputy managing director of IMF, made the call during a meeting with Finance Minister AMA Muhith at his ERD office.
The IMF raised the issue of banking forgery and Muhith said he informed the delegation about the remedial steps taken.
Muhith cited an example that the government boosted the powers of Bangladesh Bank in governing banks after the Hall-Mark scam.
But it is taking time to take action against BASIC Bank, he said, replying to a question on the issue.
Shinohara flew in on Monday and will leave Dhaka tomorrow. He is scheduled to speak at a media briefing today.
IMF's extended credit facility (ECF), a financial scheme to assist countries in maintaining sound balance of payments, will end in the year starting July 1.
“ECF is a good programme for the country and it is going to be completed successfully, even though many other IMF programmes have been cancelled half-way through,” Muhith said.