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State-Owned Enterprises Default on Loans

Company: Bangladesh Jute Mills Association (BJMA)
Company Intelligence Tag: Regulatory Insights

State-owned enterprises in Bangladesh have become significant loan defaulters. According to the Bangladesh Economic Survey 2024, eight state-owned banks now default on loans totaling Tk 184 crore. The defaulters include the Bangladesh Jute Mills Corporation (BJMC), Bangladesh Textile Mills Corporation (BTMC), Bangladesh Agricultural Development Corporation (BADC), Bangladesh Tea Board (BTB), Bangladesh Rasayan Shilpa Sangstha (BCIC), Bangladesh Food and Sugar Industries Corporation (BSFIC), Bangladesh Road Transport Corporation (BRTC), and Trading Corporation of Bangladesh (TCB). Among these, BJMC has the highest defaulted loans, amounting to Tk 131.30 crore. BTMC, BADC, and BTB have defaulted on Tk 24.9 crore, Tk 21.27 crore, and Tk 4.62 crore, respectively. The combined defaulted loans of BCIC, BSFIC, BRTC, and TCB total Tk 6 crore. Overall, the loan status of banks to 49 companies is Tk 65,089 crore. Additionally, data from Bangladesh Bank shows that default loans in the banking sector hit a record Tk 1.82 trillion at the end of March, primarily from the private sector. The Finance Division of the Ministry of Finance annually reports the default loans of government agencies in the Bangladesh Economic Survey.

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