Tk70,000cr needed to fix troubled banks: BB governor
The government will ensure the protection of the 66 lakh families who have deposits in these banks, he says
It will take around Tk70,000 crore to resolve the issues facing weak banks, Bangladesh Bank Governor Ahsan H Mansur said today (4 December).
"There are multiple challenges in the financial sector. We have addressed five banks, but others remain problematic. Resolving them will require Tk70,000 crore. It cannot be done all at once," he said during a dialogue with businessmen at the Bangladesh Investment Development Authority (Bida) office in the capital's Agargaon.
The governor stated that the government will ensure the protection of the 65 lakh families who have deposits in these banks.
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Mansur also touched on issues in non-banking financial institutions (NBFIs), noting that nine NBFIs are currently facing difficulties.
"Work is underway to resolve their problems. In the future, 4-5 more NBFIs may need to be closed, but only if they cannot demonstrate their ability to survive," he added.
On loan defaulters, the governor stressed that legal measures, not arbitrary punishment, are the path forward.
"There is no scope for punishing anyone with a 'stick.' We have taken strict action against defaulters and those involved in money laundering, but court processes are lengthy, and we cannot directly intervene. We must operate within the legal framework," Mansur said.
He added that while money loan courts have been activated to expedite recovery, delays continue due to legal loopholes.
The governor emphasised that institutions should not be closed due to the wrongdoing of individuals.
He said, "Most organisations remain operational, including SS Power, because they represent national assets, employment, and livelihoods. Legal action will target individuals, but institutions must continue functioning."
