Hailing the ongoing reform process for stabilising the financial sector, shareholders of the country's commercial banks sought regular consultation with them before bringing any reforms to ensure effective implementation of the possible change in policies.
They also suggested that the Bangladesh Bank (BB) high-ups bring changes in the ongoing NPL (non-performing loan) regulations along with taking necessary steps for effective functioning of the Artho Rin Adalat to further accelerate the cash recovery process.
The demand and suggestion came at a meeting between Bangladesh Association of Banks (BAB), the country's apex body of bank shareholders, and central bank high-ups led by its governor Dr Ahsan H. Mansur held at BB headquarters on Wednesday.
The BAB leaders also demanded a separate guideline for the unconventional banks along with opening an Islamic banking department in the central bank for properly regulating the shariah-based banking activities.
Emerging from the meeting, BAB Chairman Abdul Hai Sarker said the central bank has already taken various reform steps for bringing stability in the country's banking system, which is good.
But the banking regulator should do stakeholder consultation meeting with the BAB members before taking any policy for the wellbeing of the industry, Mr Sarker, also Chairman of Dhaka Bank, said.
Responding to a question, BAB vice-chairman Mohammad Abdul Mannan said they have suggested that the banking regulator make a separate guideline for the unconventional banks along with opening a dedicated department for the Islamic banking operations in the BB.
"Don't get worried. Islamic banks will rebound strongly. Please give us sometimes," Mr Mannan, also chairman of First Security Islami Bank, said, adding that the BB should take quick steps so that the banks facing liquidity stress can get cash supports as quickly as possible.
Chairman of National Bank Abdul Awal Mintoo said the central bank should discuss with them regarding the ongoing reforms. "I think the time has come to amend the existing Bank Company Act," he said.
Regarding the new NPL regulations, he said the BB should follow international standard in dealing with loan defaulting issues and give some time like a grace period for the genuine businesspersons, not for the willful defaulters.
BB spokesperson Husne Ara Shikha said the BAB members suggested that the governor take immediate measures so that the defaulters cannot hold the cash recovery process through the culture of writ petition.
They also requested the BB to remove all the hurdles regarding attachment of properties in Artho Rin Adalat, she said.
In response, the central bank governor said they would take steps to ensure effective functioning of the Artho Rin Adalat. As part of the move, the central bank will soon sit with the attorney general office and take steps accordingly, she said.
Husne Ara Shikha, also an executive director of the BB, said the BAB members said the BB should take policies keeping Bangladesh's culture in their mind.
In reply, the governor said the central bank follows international standard in making policies and urged the entrepreneurs involved in banking business to take them to the global standard.
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