Desk Report,
Defaulted loans have increased by more than Tk 3 lakh crore in a year
Bank loans distributed during the former Awami League government are becoming defaulters. Especially, the loans of many businessmen known to be close to the top leaders of the ousted party are becoming bad. Again, due to the current economic downturn in the country, the loans of many businessmen are becoming bad. Apart from this, defaulted loans are also increasing due to new policies. Defaulted loans are increasing in almost all banks, good and bad.
Defaulted loans have increased by more than Tk 3 lakh crore in a year
At the end of June, defaulted loans in the country increased to 5 lakh 30 thousand 428 crore taka, which is 27.09 percent of the total loans distributed. That is, more than a quarter of the total loans distributed by the banking sector have already become defaulted. At the end of last March, defaulted loans in the banking sector were 4 lakh 20 thousand 334 crore taka. At that time, the defaulted loan rate was 24.13 percent. The banks mentioned such information in the report submitted to Bangladesh Bank. It is known that in June 2024, defaulted loans in the banking sector were 2 lakh 11 thousand 391 crore taka, which increased to 5 lakh 30 thousand 428 crore taka in June this year. That is, defaulted loans have increased by 319,370 crore taka in a year.
■ Defaulted loans have increased by 530,000 crore taka in June, which was 420,000 crore taka in March. ■ Defaulted loans of all good and bad banks increased in June. ■ It is alleged that defaulted loans are also increasing due to new policies.
Bangladesh Bank officials said that the money that was withdrawn from banks anonymously during the previous Awami League government has now started to be identified as defaulted. Again, defaulted loans are increasing in the country due to the upgrading of the rules for loan default to international standards. Many of the loans that are renewed are not being collected. Due to irregularities, the central bank has listed many loans as defaulted. This is increasing defaulted loans, which may increase further in the future.
When the Awami League formed the government in 2009, the total defaulted loans were only 22,481 crore taka. Since then, the amount of defaulted loans has been increasing. Economists had been complaining for a long time that influential people close to the then government were siphoning off huge amounts of money from banks through various irregularities, a large part of which was smuggled abroad.
After the fall of the Awami League government, the true picture of defaulted loans began to emerge. During that government’s tenure, banks gave various facilities to influential people to lend large amounts of money. In addition, one policy after another was taken to make defaulted loans appear less on paper and in writing. After the change of government, the central bank has moved away from that policy.
Meanwhile, Bangladesh Bank has decided to merge five Islamic banks plagued by defaulted loans. The average defaulted loans of these banks are 70 percent.
Sources say that the true picture of the loans of the banks that were freed from the control of the S Alam Group of Chittagong, a business group close to the Awami League and much criticized, has begun to emerge. Of these, defaulted loans have increased more in Islamic banks. Similarly, defaulted loans of First Security Islami Bank, Global Islami Bank, Union Bank and Social Islami Bank and Exim Bank have increased more. Bangladesh Bank has taken the initiative to merge these five banks. In addition, the defaulted loans of most banks, including public sector Agrani and Janata and private sector IFIC, UCB, NRB and NRB Commercial, are increasing.
Meanwhile, 1,200 business organizations that have become defaulters have applied to the central bank for special consideration for renewal of their loans. More than a hundred businessmen have already been given this facility. The banks are planning to provide policy support considering the situation.
