What has led to bank failures in the US may look different from what Bangladeshi banks are living through now, but the bottom line is the same.
As of September 2022, NPLs have soared over Tk 134,000 crores.
Bangladesh Bank, which is supposed to oversee the governance of the country’s financial institutions, has rather supported these irregular activities through its policies and actions.
As a result of the game of secrecy of the real beneficiaries, those involved in banking sector corruption and money laundering have hardly been brought to justice.
Lack of accountability and the culture of impunity destroyed governance from within.
The actual size of bad loans is more than double the officially recognised figure, according to a recent report of the International Monetary Fund -- a damning evidence of the fragile state of Bangladesh’s banking sector.
