The nonperforming loans (NPLs) of six state-owned commercial banks in Bangladesh have surged, contradicting the IMF’s conditions for economic stability. As of March 2024, these banks reported NPLs totaling Tk 85,870 crore, a significant increase from Tk 60,643 crore in the previous year. Only Tk 318 crore has been recovered, leading to a capital shortfall of Tk 35,532 crore.
Bangladesh Bank (BB) aims to reduce NPLs to 10% for state banks and 5% for private banks by June 2026, in line with a $4.7 billion IMF loan. Despite easing loan write-off policies, recovery efforts remain insufficient. Key banks like Sonali, Janata, Agrani, Rupali, BDBL, and BASIC Bank face substantial NPL increases and capital deficits.
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