5-bank merger: New Sammilito Islami Bank staff may face up to 20% salary cut
A formal directive may be issued to these banks by Sunday.
Employees of the new Sammilito Islami Bank, being created through the merger of five Shariah-based lenders, may face salary cuts of up to 20%, according to verbal instructions conveyed to the five banks by the central bank.
A senior official of Bangladesh Bank confirmed to The Business Standard that a formal directive may be issued to these banks by Sunday (30 November).
Mohammad Shahriar Siddique, Bangladesh Bank spokesperson and director, told TBS, "Bangladesh Bank has provided Tk350 crore in support to the merged bank. The governor has said salaries will be reduced to some extent. However, a new pay scale will be introduced for them."
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A senior official from one of the Shariah-based banks told TBS that the central bank verbally informed them about a 20% salary reduction and that a written order is expected by Sunday.
Earlier this month, Bangladesh Bank granted initial approval and issued a letter of intent for the formation of Sammilito Islami Bank PLC, created through the merger of five troubled Shariah-based banks.
Since the interim government assumed office last year, Bangladesh Bank has provided around Tk35,300 crore in liquidity support to these five banks.
The merged entity will see Nazma Mobarek, secretary of the Financial Institutions Division under the finance ministry, appointed as the new chairman of its board, officials said.
The board will also gain seven new directors: five representing the government and two from the private sector.
