Classified loans on the wane

Classified loans in the country's banking sector dropped by more than 13.50 per cent or Tk 872.98 billion to Tk 5.57 trillion in December last from Tk 6.44 trillion in September 2025, latest central bank figures reveled.
Primarily driven by a massive debt-rescheduling campaign under relaxed central bank policies played its part in relieving banks of NPL burdens.
The share of non-performing loans (NPLs) also came down to 30.60 per cent of the total outstanding loans during the October-December period of 2025 from 35.73 per cent three months ago.
However, the amount of total outstanding loans rose to Tk 18.21 trillion as of December 2025 from Tk 18.04 trillion in September last.
Despite the decline, banks set aside just Tk 2.49 trillion in provisions against defaulted loans, resulting in a Tk 1.91 trillion shortfall - a gap that analysts say could pose serious risks to depositors.

siddique.islam@gmail.com