MPs blast govt for sorry state of banking sector

Three lawmakers in parliament yesterday blasted the government for the sorry state of the banking and financial sector.

Jatiya Party MP Hafiz Uddin Ahmed and independent lawmakers Pankaj Nath and Hamidul Haque Khandker said large companies were getting interest waivers on lame excuses. Bangladesh Bank cannot exercise its power to this end.

The lawmakers made the comments joining the discussion during passage of the "Payment and Settlement Bill-2024".

Finance Minister Abul Hassan Mahmood Ali did not respond to the criticism.

Pankaj Nath highlighted the report of a national daily on the interest waiver of four companies.

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He said, "Tk 6,497 crore interest was waived for four institutions ... Special approval of Bangladesh Bank was required. I will not go into details; I will not say the organisations' names."

The lawmaker said the state-owned bank Janata Bank was dying and that the status of private bank NBL was poor.

Criticising the interest waiver, he said natural calamities, death of borrowers could be the reason for waiving interest. But nothing happened, not even a disaster. Interest has been waived on dubious and lame excuses.

Without mentioning the name of former NBR official Matiur Rahman, Pankaj said the name of a controversial person is being discussed every day for his alleged corruption. One person holds three to four important positions. The controversy over his political identity started 15 years ago.

He enquired who recommended his name for these important positions.

While discussing the bill, JP MP Hafiz Uddin Ahmed said PK Halder had left for India with money. Many companies are bankrupt today. It is not clear whether those who deposited in the leasing company he was in will get their money back, he said.

Hafiz Uddin said Bangladesh Bank cannot exercise its power. The bank has become like a frog's umbrella. The condition of 10-20 banks is fragile.

Lawmaker Hamidul Haque Khandker said when it comes to our financial institutions and banks, everyone panics.