Dhaka, Aug 06 (V7N)- Bangladesh Bank Governor Md. Mostakur Rahman has said that 36 percent of the total loans in the country's banking sector are currently classified as defaulted, describing the situation as a serious concern.
He made the remarks on Thursday while speaking at a seminar on Bangla QR Code held at Dhaka University.
The governor said that irregularities during the previous administration had adversely affected around 20 million depositors, making strict reforms essential to restore stability and confidence in the banking sector.
To address the crisis, Bangladesh Bank has adopted a special 18-month recovery plan. Under the initiative, borrowers will be offered an opportunity to settle liabilities through bullet payments during the first six months.
He added that the remaining one-year phase of the plan will be implemented through the proposed Distressed Asset Management Act and the Money Loan Court Act. According to the governor, both laws are expected to be placed before Parliament in its next session.
Mostakur Rahman also announced that Bangladesh Bank will introduce a Tk 60,000 crore financing package from September to boost credit flow to the private sector and support economic activities.
In addition, he said the central bank plans to help create 5,000 new entrepreneurs in every upazila with the support of July warriors, aiming to expand entrepreneurship and generate employment across the country.
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