BB forms panel for appointment of bank MDs

The Bangladesh Bank (BB) has formed a four-member committee to assess the competence and suitability of individuals before they are appointed or reappointed to the post of managing director and CEO of banks.

The central bank issued a notice in this regard yesterday.

A deputy governor of the central bank will lead the committee while two executive directors and a director will be members.

According to the notice, the banking regulator constituted the body to ensure good governance in bank management and protect the interest of depositors.

The committee will evaluate and verify the qualifications, suitability, commitment to responsibility, experience, age, and leadership qualities of nominated persons before interviewing them.

The central bank will approve the nominated person on the basis of the recommendation of the committee.

As part of its efforts to restore good governance and reduce bad debts, the BB recently issued guidelines on appointing MDs.

It has set a minimum age limit, default loan recovery target, and other criteria for aspirant CEOs and those looking to be reappointed to the top job.