Fareast Finance suffers Tk965cr loss since 2019 | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Saturday
July 12, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
SATURDAY, JULY 12, 2025
Fareast Finance suffers Tk965cr loss since 2019

Stocks

TBS Report
16 June, 2025, 10:15 pm
Last modified: 16 June, 2025, 10:19 pm

Related News

  • High Court rejects depositor’s plea for Fareast Finance liquidation 
  • BIPD's Tk1.8cr FDR stuck at Fareast Finance
  • 'Legal tangles' hold back Fareast from returning Tk1.08cr to training institution
  • Fareast Finance deprives shareholders of dividends for fourth straight year
  • BSEC to appoint special auditor for Fareast Finance

Fareast Finance suffers Tk965cr loss since 2019

TBS Report
16 June, 2025, 10:15 pm
Last modified: 16 June, 2025, 10:19 pm
Representational image. Photo: Collected
Representational image. Photo: Collected

Fareast Finance and Investment Ltd has incurred a staggering cumulative loss of Tk965 crore from 2019 to March 2025, primarily due to widespread irregularities and major loan scams, according to company insiders.

The non-bank financial institution (NBFI) reported losses of Tk71.80 crore in 2019, Tk28.56 crore in 2020, and a sharp jump to Tk419 crore in 2021. Losses continued at Tk230.65 crore in 2022, Tk112.32 crore in 2023, and Tk84.17 crore in 2024. The trend persisted in early 2025, with a loss of Tk18.91 crore in the January–March quarter alone.

Due to persistent losses, the company has not paid any dividend for eight consecutive years, including 2024.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

Currently, Fareast Finance shares are trading at Tk4.60, well below their face value of Tk10, resulting in a market capitalisation far below the paid-up capital of Tk164 crore.

The company's retained earnings have plunged to negative Tk1,046 crore, dragging the net asset value per share to negative Tk51.63, indicating that liabilities now vastly exceed assets.

As of March 2025, the company's non-performing loans (NPLs) stood at Tk856.44 crore, accounting for 98% of total disbursed loans. Meanwhile, total deposits amounted to Tk448 crore.

Due to persistent financial irregularities and corruption, the Bangladesh Securities and Exchange Commission (BSEC) dissolved the company's board in 2021 and appointed independent directors to oversee operations.

The current Chairman Ashraful Moqbul of Fareast Finance said in the annual report for 2024, the company has been loss-making since 2017 and has remained in the 'Z' category and red zone since 2018. However, he noted that the firm currently has no provisioning shortfall against its defaulted loans.

He added that from 2020 to March 2025, the company recovered a total of Tk257.93 crore in loans, including Tk129.62 crore from classified loans and Tk3.74 crore from written-off loans.

As of now, 89.62% of total loans are unsecured, and 98.13% are classified as non-performing, with most of these loans disbursed between 2001 and 2018.

The chairman emphasised that under the current board, the company has launched aggressive recovery initiatives to reduce defaulted loans. As a result of these measures, annual losses have significantly decreased since 2021.

Bangladesh

Fareast Finance

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • RAB Director General AKM Shahidur Rahman speaks at the press briefing on a fake bomb threat on Biman Bangladesh flight on Saturday, 12 July 2025. Photo: TBS
    Mother faked bomb threat on Biman flight to stop married son from flying to Kathmandu with girlfriend: RAB
  • Jubo Dal President Abdul Monayem Munna and other leaders of BNP's affiliate wings at a press conference at Nayapaltan office in Dhaka on Saturday. Photo: TBS
    Mitford murder: Jubo Dal accuses police of intentional neglect, demands arrest of ‘3 real killers’
  • Caught between a rock and a hard place. Cartoon: TBS
    Bangladesh's Trump tariff dilemma: Caught between a rock and a hard place?

MOST VIEWED

  • Representational image
    In addition to 35% tariff, US demands 40% local value addition for 'Made in Bangladesh' goods
  • Screengrab blurred
    Killers bash in head of man with rock, stomp body with perverse pleasure
  • How tender rules and a lone bidder stall a $2.5b power plant
    How tender rules and a lone bidder stall a $2.5b power plant
  • Economist Abul Barkat; Photo: Courtesy
    Economist Abul Barkat arrested in graft case
  • Photo: UNB
    WHO's Saima Wazed Putul 'placed on indefinite leave' amid corruption allegations: Health Policy Watch
  • After India's visa restriction, China's Kunming is drawing Bangladeshi patients
    After India's visa restriction, China's Kunming is drawing Bangladeshi patients

Related News

  • High Court rejects depositor’s plea for Fareast Finance liquidation 
  • BIPD's Tk1.8cr FDR stuck at Fareast Finance
  • 'Legal tangles' hold back Fareast from returning Tk1.08cr to training institution
  • Fareast Finance deprives shareholders of dividends for fourth straight year
  • BSEC to appoint special auditor for Fareast Finance

Features

After India's visa restriction, China's Kunming is drawing Bangladeshi patients

After India's visa restriction, China's Kunming is drawing Bangladeshi patients

19h | Panorama
Photo: Collected/BBC

What Hitler’s tariff policy misfire can teach the modern world

1d | The Big Picture
Illustration: TBS

Behind closed doors: Why women in Bangladesh stay in abusive marriages

1d | Panorama
Purbachl’s 144-acre Sal forest is an essential part of the area’s biodiversity. Within it, 128 species of plants and 74 species of animals — many of them endangered — have been identified. Photo: Syed Zakir Hossain/TBS

A forest saved: Inside the restoration of Purbachal's last Sal grove

1d | Panorama

More Videos from TBS

Home Affairs Advisor calls on everyone to come forward and stop violence

Home Affairs Advisor calls on everyone to come forward and stop violence

45m | TBS Today
More than a thousand layoffs at once in US government agencies

More than a thousand layoffs at once in US government agencies

1h | TBS World
Bangladesh-US tariff talks unresolved

Bangladesh-US tariff talks unresolved

2h | TBS Stories
Putul on indefinite leave after four months in 2 ACC cases

Putul on indefinite leave after four months in 2 ACC cases

3h | TBS Stories
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net