Investor Presentaiton
Independent Review of
RBD
Bangladesh's Development
Banking Sector as the
Factor Inhibiting Development
ā The severity of high NPLs is currently invisible due to the
measures taken to ease loan classification.
However, the volume of NPL may rise significantly in the coming days as
impact of lifting the moratorium on loan classification becomes visible
At present, problems of the banking sector are being tackled by
government's support. This is possible since banking assets are only
about 56% of GDP. When banking assets will increase, the
government may not be able to do so.
As Bangladesh prepares for graduation from a Least Developed
Country (LDC) to a developing country and from a lower middle-
income country to an upper middle-income country, it is crucial to
develop a sound financial system which will ensure finance for
development, not finance for crony capitalism.
ā Regrettably, reform in the banking sector is still an unfinished
agenda
CPD (2022): State of the Bangladesh Economy in FY2021-22 (Third Reading)
77View entire presentation