Ahsan H Mansur, economist and executive director of the Policy Research Institute (PRI), revealed significant discrepancies in Bangladesh’s reported financial figures during a dialogue at the Economic Reporters’ Forum (ERF) in Dhaka. While Bangladesh Bank reports non-performing loans (NPLs) at 11%, Mansur claims the actual figure is 25%. He cautioned that increasing liquidity in Shariah-based banks could spur inflation and devalue the taka, calling for immediate intervention.
Mansur criticized banks for showing profits by counting unpaid loan interest as income, distributing dividends from these non-existent profits, and paying taxes on them. He warned that this practice depletes depositors’ funds, risking future insolvency. Highlighting systemic issues like bad loans, corruption, and money laundering, Mansur emphasized the need for comprehensive financial sector reforms backed by strong political commitment.
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