Islami Bank Bangladesh PLC has emerged as Bangladesh’s largest lender by total deposits, surpassing Sonali Bank PLC for the first time despite recent challenges with financial scams. In 2023, Islami Bank attracted deposits amounting to Tk 153,456 crore, marking a 9 percent year-on-year increase. Sonali Bank, the largest state-run lender, gathered deposits worth Tk 150,606 crore, reflecting a 6 percent rise according to financial reports.
The success of Islami Bank in deposit mobilization is attributed to several factors, including religious considerations influencing deposit decisions and limited safe investment opportunities for depositors. Despite facing scrutiny and financial difficulties since 2017, Islami Bank’s ability to retain depositor trust has been pivotal. However, the bank has been under scrutiny due to significant financial irregularities, including large loan disbursements in violation of banking regulations.
In terms of network, Sonali Bank maintains the largest branch presence in Bangladesh with 1,232 branches compared to Islami Bank’s 394 branches as of the end of 2023. While state-run banks like Sonali Bank historically enjoyed greater trust and wider geographic coverage, private banks like Islami Bank are leveraging technology and expanding rapidly through agent banking and digital services.
Source for more details:
