In 2025, Bangladesh approved the Bank Resolution Ordinance to strengthen oversight on banks misusing funds. Under the ordinance, Bangladesh Bank can now appoint temporary administrators, increase capital through shareholders, transfer bank assets to third parties, and suspend weak banks’ operations for up to two days fully or three months partially. If a bank is found insolvent or unable to repay depositors, Bangladesh Bank can initiate dissolution by court. Individuals responsible for bank failures may face a personal liability and fines up to 50 lakh taka, with an additional 5,000 taka fine for each day of delay. The ordinance also proposes forming a six-member Bank Sector Crisis Management Council led by the central bank governor. Originally suggested under IMF discussions, the measure aims to enhance discipline, protect depositors, and restore confidence in Bangladesh Bank’s authority. Top industry leaders, including ABB Chairman Selim R. F. Hossain, welcomed the initiative.
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