Published: 11:15 AM, 28 September 2026
Stakeholders for consultation before major regulatory circular
Stakeholders on Saturday stressed the need for wider consultation with banks, businesses and other concerned parties before issuing any major regulatory circular on a proposed special exit facility for classified loans.
They made the observation at a roundtable titled "Special Exit Facility for Classified Loans: Balancing NPL Recovery, Business Sustainability, and Credit Discipline", organized by the International Business Forum of Bangladesh (IBFB) at its conference room in the capital, according to a press release.
The participants said consultation with relevant stakeholders would help identify practical challenges and ensure more effective implementation of major regulatory measures.
They also emphasized the need to maintain a balance among recovery of non-performing loans (NPLs), borrowers' repayment capacity, business sustainability, transparency and credit discipline.
Professor of Bangladesh Institute of Bank Management (BIBM) Dr Shah Md Ahsan Habib presented the keynote paper, highlighting key aspects of the proposed exit facility and the need to balance NPL recovery, business sustainability and credit discipline.
IBFB President Lutfunnisa Saudia Khan, in her opening remarks, stressed the importance of constructive dialogue among policymakers, banks, businesses and other stakeholders.
During the open discussion, Prof Md Mamun Habib emphasized good governance and fair practices, while University of Dhaka Professor Dr M Abu Eusuf raised the issue of enforcement in cases of loan non-repayment.
A representative of Pubali Bank PLC referred to the Money-lending Act, 1832, and stressed the need for reasonable rescheduling.
Former BIBM Director General Dr Toufic Ahmad Choudhury said political commitment was necessary for recovery of classified loans.
He also emphasized distinguishing between willful and non-willful defaulters and conducting case-by-case assessments.
Southeast Bank Executive Vice President Md Khairul Anam Mohiuddin and Agrani Bank Chairman Syed Abu Naser Bukhtear Ahmed shared their views on loan recovery and institutional coordination, emphasizing coordination among Bangladesh Bank, the Ministry of Finance and other stakeholders.
Bank Asia Adviser Ali Reza Iftekhar stressed the importance of consulting stakeholders before issuing such a major circular.
The roundtable was attended by senior representatives of banks and financial institutions, economists, academics and business leaders, including BIBM Director General Dr Md Ezazul Islam, IDLC Chairman Kazi Mahmood Sattar, Islami Bank Bangladesh Additional Managing Director Mohammad Jamal Uddin Mazumder, City Bank CRO Mohammad Firoz Alam, IPDC Finance Managing Director Rizwan Dawood Shams, BKMEA President Mohammad Hatem and other stakeholders.
The participants called for continued dialogue among Bangladesh Bank, financial institutions, businesses and other stakeholders to develop practical and sustainable approaches to addressing the country's NPL challenges.
