SC Halts HC Stay Order on Sonali Life Insurance Decision

IDRA has mandated that no one can use the CEO title in any insurance company without prior approval. Additionally, CEO appointments on a current charge basis are prohibited. Until IDRA approves a CEO, an additional managing director may serve as "CEO (in-charge)."

Bangladesh’s insurance sector faces a confidence crisis due to corruption, liquidity shortages, and weak regulation, with unsettled life insurance claims rising 66% in five years and insurance penetration at just 0.5%.

Chartered Life Insurance Company Limited, listed on the stock market, received a long-term credit rating of "AA-" and a short-term rating of "ST-2" from Alpha Credit Rating PLC, based on audited financial data as of December 31, 2023.

The Payment and Settlement System Act, 2024, now in effect, enables Bangladesh Bank to pursue legal action against Nagad Limited over alleged operational irregularities. A gazette notification issued by the Financial Institutions Division formalized the legislation, granting certain clauses retrospective effect from August 12, 2023.

The Bangladesh Bank has relaxed the $10,000 foreign currency limit for individuals injured during the July-August mass uprising seeking treatment abroad. Authorized dealers of commercial banks can now release foreign exchange based on medical estimates, with transactions permitted through both traditional banking and international card channels.

Bangladesh Bank (BB) has updated its stress testing guidelines to enhance the banking sector’s resilience by requiring banks to disclose information on both their portfolios and those of their subsidiaries. The revised rules also clarify the roles and responsibilities of senior management and board directors, areas previously lacking clear guidance. Banks must now take preventive actions in adverse economic scenarios and assess risks related to credit, market, operational, and liquidity factors.