The ongoing crisis has been caused by the last one and a half decades of grand-scale deviation of governance in the banking industry.
Despite rising interest rates on deposits and various efforts by the central bank, Bangladesh’s banking sector continues to face a liquidity crisis that has hamstrung some lenders.
The regime-sponsored immorality to protect or pamper the financial gangsters not only eroded the future of the banking sector, but also made the wound too difficult to recover from.
Traditional contractionary policies may not be suitable for Bangladesh’s unique economic structure.
The Bangladesh Bank is working to formulate a “Bank Resolution Act” for mergers, acquisitions, liquidation or recapitalisation of banks.
Restoring trust in the banking sector is crucially important
We hope that the BB governor will continue the momentum and spirit to bring order and promote the economy.
Good governance and adequate legal infrastructure—relevant laws, courts and impartial judges—need to be established.
But its objectives must be clearly defined and regularly scrutinised
The intricate connection between politics and corruption in Bangladesh raises profound concerns that demand immediate attention.
Merger takes place when two or more companies combine together to strengthen capital base and asset size.
With the facade of the elections at its height, prevailing financial issues seem to have faded into the background.
As most of our economic sectors depend heavily on banks, it has created many problems for the banking sector and its depositors.
Political support and a strong Bangladesh Bank are crucial to deal with the challenges, including high non-performing loans (NPLs), in the banking sector, said Mustafa K Mujeri, a former chief economist of the central bank, yesterday.
In the banking sector of Bangladesh, exemptions from rules and regulations for powerful loan defaulters seem to be the default rules.
Janata Bank must answer for its poor handling of AnonTex’s loans
Is the government ever going to stop them?
Relaxing loan repayment is unlikely to work if habitual defaulters continue to be tolerated
Non-bank financial institutions in Bangladesh lost 48,637 deposit accounts in the three months to December as savers moved away from NBFIs owing to the imposition of the cap on the deposit rate and the erosion of confidence in the wake of allegations of irregularities at some banks.
