The managing directors of Sonali Bank and Rupali Bank yesterday swapped seats for the next three years, in what can be viewed as a baffling round of musical chairs.

The managing directors of Sonali Bank and Rupali Bank swaps seats for the next three years, in what can be viewed as a baffling round of musical chairs.

The Reserve Bank of India (RBI) is looking to get banks to link some new loans to its key policy rate or other external benchmarks, Governor Shaktikanta Das said on Monday, as he pushes them to cut rates faster to stimulate a flagging economy.

Loan write-offs almost quadrupled in the first quarter of the year on the back of the central bank’s easing of rules, in a sobering reminder of the banking sector’s deteriorating financial health.

The government’s bank borrowing last fiscal year was almost half of what it had planned to, thanks to its lower development expenditure and higher sales of national savings certificates, much to the relief of the cash-strapped banking sector.

The central bank is set to come up with a new formula for calculating the cost of funds for banks with a view to bringing down the interest rate on lending, much to the trepidation of bankers.

Banking commission will be formed within a reasonable time with a view to perking up the financial health of banks, Finance Minister AHM Mostafa Kamal says.

At a time when many banks are struggling to arrest default loans stemming from a lack of corporate governance, Pubali Bank can be a role model for them given its stunning performance in bringing down the bad debt.

Defaulters will get till September 7 to apply for rescheduling their loans under the central bank’s relaxed policy as per a Bangladesh Bank notice to banks yesterday. The relaxed policy was made available in May to allow defaulters to clear their loans.

Chairman of Grameen Bank Khandaker Mozammel Haque passes away at Square Hospital in Dhaka. He was 74.

Md Shafiul Azam has recently been reappointed managing director and chief executive officer of Modhumoti Bank.

The energy ministry has asked Bangladesh Petroleum Corporation (BPC) and Petrobangla not to deposit their funds with weak financial institutions in the hope of getting higher returns in the form of interest.

Bangladesh Bank issues a circular asking banks to keep their branched near cattle markets open till August 11.

Sayeed H Chowdhury has recently been re-elected chairman of One Bank for a one-year term from August 1.

Generating ideas and having a keen mind for innovation are key for a fledgling entrepreneur to attain success, said Md Arfan Ali, president and managing director of Bank Asia.

Finance Minister AHM Mustafa Kamal is finally cracking the whip on the wayward BASIC Bank, instructing shuttering of all branches that are in the red for three years in a row along with a host of other strict actions.

Banks’ loan recovery in the first quarter of 2019 was 9.68 percent higher than a year earlier, but given the extraordinary rate at which default loans are increasing it seems below par.

Bangladesh has made substantial progress in achieving price and macroeconomic stability. It has succeeded in maintaining inflation in modest single digits range, while also achieving high growth, due in a significant part to sound macroeconomic management.

Mastercard recently launched a new campaign marking Eid-ul-Azha offering cardholders discounts at electronics and 30 lifestyle merchants.

The central bank may set a 1.5 percentage points lower private sector credit growth target for the second half of the year amid the shrinking demand for credit.