Relaxing loan repayment is unlikely to work if habitual defaulters continue to be tolerated
Bangladesh’s banking sector has the second-highest ratio of non-performing loans (NPL) among the countries in South Asia as lenders continue to face multiple challenges emanating from scams, a lack of corporate governance and borrowers’ growing reluctance to make instalments regularly.
'Lunthito Bhabishyat: Bangladesher Arthanoitik Shonkoter Chalchitra' gives an overview of Bangladesh's current economic crisis.
Several farmers, accused of defaulting on loans in Pabna, have said they became victims of fraudulent activities when they took the loans from Bangladesh Samabaya Bank.
An unholy nexus of powerful people are protecting those who've stolen thousands of crores.
Fighting tax evasion, preventing trade-based illicit financial outflows and ending the culture of money laundering and loan defaults is a much more sustainable solution to adding to foreign exchange reserves than taking foreign loans on interest.
The Bangladesh Bank today revised its policy for post import financing (PIF) in order to give clarification to banks as importers have faced complexities to get fund properly.
The government seems to lack the will to arrest bad loans and restore corporate governance in the banking sector with the habitual defaulters working the system, analysts said.