Bangladesh Bank Governor Md Mostaqur Rahman has announced that the operations of newly formed Sammilito Islamic Bank will continue, while also outlining plans to reduce the policy interest rate.
These details emerged from two separate meetings held recently.
During a meeting on Tuesday with central bank officials and administrators appointed to the five merged banks, Mostaqur assured that the government will ensure punishment for those involved in the misappropriation of funds during the Awami League’s tenure.
Regarding the structure of Sammilito Islamic Bank – which was formed by the interim government through the merger of Exim Bank, Social Islami Bank, First Security Islami Bank, Union Bank, and Global Islami Bank – the governor stated that the current board of directors will remain in place.
He added that the process of recruiting a managing director for the bank will be completed as swiftly as possible. The consolidated entity began operations with a total capital of Tk35,000 crore, which includes a Tk20,000 crore contribution from the government.
In a separate discussion, the governor expressed his intention to lower the policy interest rate to 9.50%.
Consequently, a meeting of the Monetary Policy Committee originally scheduled for Tuesday has been postponed until after Eid-ul-Fitr to facilitate further deliberation on the adjustment.
Previously, during a courtesy meeting with the Association of Bankers, Bangladesh (ABB) last Sunday, Governor Rahman emphasised that all ongoing reforms within the banking sector will persist and asserted that he would not yield to any political pressure.
To align with the government’s commitment to create 10 million jobs within the first 18 months, the Governor highlighted the necessity of providing policy support to reopen factories that closed following the political transition.
He instructed that initiatives be taken to ensure factories under the jurisdiction of the five merged banks return to production, including measures to settle any outstanding foreign arrears. Mostaqur called upon bank MDs to take an active role in achieving these national economic objectives.
