Default loans surge by Tk25,000cr, standing at Tk1.45 lakh crore in December, accounting for 9% of the total loans The country’s banking sector experienced a steep rise in default loans by Tk25,000 crore in 2023 amid election-centric political uncertainties and a severe dollar shortage that slowed down business activities, making many borrowers unable to
This file photo shows the headquarters of the Bangladesh Bank at Motijheel in the capital Dhaka. The Bangladesh Bank has aimed to bring down defaulted loans below 8 per cent of the country’s total outstanding loans by June 2026 and to eliminate shady loans in the banking sector. — New Age photo The Bangladesh Bank
The country’s banking sector throughout 2023 faced a series of serious crises, including a dollar shortage, depreciating local currency, loan irregularities and liquidity crisis. Economists and experts observed that due to the soaring level of bad loans, preferential treatment for loan defaulters, widespread irregularities and lack of good governance, the banking sector appeared to be