CFA Society Bangladesh Calls for Transparency on Loan Defaulters

Industry: Bank, Financial

CFA Society Bangladesh has urged the interim government to publicly disclose the list of loan defaulters to enhance transparency and restrict their access to state services. The society emphasized the need for stricter measures against willful defaulters, suggesting that Bangladesh Bank differentiate between defaulters due to economic downturns and deliberate delinquents. They also called for reforms in loan classification, provisioning, and rescheduling policies to align with international standards, while advocating for the establishment of an asset management company to resolve bad loans. Additionally, the society recommended more banking courts for faster case disposal, strengthening governance in the banking sector, and ensuring compliance with international financial reporting standards. They further highlighted the need for regulatory improvements in the capital market, urging changes to IPO valuation methods and governance enhancements to attract quality companies and investors. The society also called for greater autonomy for Bangladesh Bank, free from political influence, and stronger corporate governance standards in line with global practices.

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