Bank Asia to acquire Bangladesh operations of Bank Alfalah
Bank Asia PLC has signed a Memorandum of Understanding (MoU) with Bank Alfalah Limited, a leading commercial bank based in Pakistan, to acquire Bank Alfalah's Bangladesh operations—marking a major milestone in the country's banking sector.
The acquisition, which remains subject to definitive agreements and regulatory approval, is part of Bank Asia's long-term strategic roadmap aimed at expanding its footprint and delivering greater value to customers and employees in Bangladesh.
Initiated in April 2024, the process has reached a key stage with the signing of the MoU and the completion of all necessary legal formalities for the transfer of Bank Alfalah's local assets and liabilities.
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Bank Alfalah, widely regarded as one of Bangladesh's most efficient foreign banks, has maintained a classified loan ratio of less than 2% and a deposit mix that consistently outperformed the industry average—demonstrating prudent lending practices and strong financial governance.
Headquartered in Pakistan, Bank Alfalah was acquired by the Abu Dhabi Group in 1997. The group's chairman, His Excellency Sheikh Nahayan Mabarak Al Nahyan—a senior member of the Abu Dhabi royal family and the UAE's Minister of Tolerance and Coexistence—recently visited Bangladesh and met Interim Government Head Dr Mohammed Yunus to discuss bilateral cooperation.
This will be Bank Asia's third major acquisition in its 26-year journey. It previously made history by acquiring the Dhaka operations of the Bank of Nova Scotia, followed by the successful integration of the local operations of Pakistan's Muslim Commercial Bank Ltd (MCB).
Through this acquisition, Bank Asia is poised to become one of the country's largest banking institutions, reinforcing its commitment to strategic growth, innovation, and sustainable banking practices.
A pioneer of agent banking in Bangladesh since 2014, Bank Asia has expanded across corporate, SME, and retail banking, currently serving over 8.8 million customers. Its strong corporate governance and transparency have earned the bank numerous accolades at home and abroad.
The acquisition reflects the evolving dynamics of Bangladesh's financial sector and underscores both the resilience of the country's economy and Bank Asia's robust financial standing and visionary leadership.
