Bangladesh Bank has enlisted 131 institutions and companies to assess securities offered as collateral against loans from scheduled banks, formalising the pool of valuers banks can use to determine the value of pledged assets.
In a circular issued on Monday, the central bank said 98 institutions were placed in Group A and 33 in Group B.
The list was prepared under a policy for enlisting collateral valuation institutions and companies introduced through a circular on 28 November 2023.
Bangladesh Bank instructed scheduled banks to have collateral provided against loans valued by enlisted institutions in accordance with the policy and other instructions issued by the central bank from time to time.
The enlistment will remain valid for three years. The enlisted institutions must apply for renewal six months before the expiry of their validity, the circular said.
Bangladesh Bank may remove any institution from the list before the end of the three-year period if it fails to comply with prescribed conditions or instructions or for any reasonable cause.
The enlisted valuation firms must also submit annual reports to the central bank’s Banking Regulation and Policy Department-1 by 15 January of the following year in the prescribed format.
The directive took effect immediately.
Among the 98 Group A firms are Bangladesh Inspection & Survey, Mollik Adjusters, Saybolt Adjusters, City Engineering Inspection, Baltic Control (BD), MSK Inspection Company, Amanah Survey & Engineering Inspection and Professional Survey and Engineering.
The 33 Group B institutions include Dhaka Survey Company, Prime Consulting (BD.), Rightway Surveyors, The Radiant Surveyors, Prime Survey & Consultancy, Asian Surveyors, Pyramid Survey and Inspection and Geotech Survey.
The enlistment provides banks with an approved pool of valuers for assessing collateral, a key safeguard in determining the value of assets backing bank loans.
