Banks must spend 30pc CSR fund for edn sector: Atiur

Bangladesh Bank (BB) Governor Dr Atiur Rahman on Thursday said banks will have to spend at least 30 per cent of their corporate social responsibility (CSR) fund in the education sector, reports UNB.

"We've already issued directives in this regard. Banks and financial institutions must abide by the central bank's CSR policy guidelines," he said.

Atiur was addressing a scholarship awarding ceremony of NCC Bank at city's Diploma Engineers' Institution.

NCC Bank awarded scholarships to 275 students who obtained GPA 5 in the HSC and SSC examinations this year.

The function was also addressed by NCC Bank Chairman Nurun Newaj Selim and vice chairman ASM Moinuddin Monem.

The BB governor appreciated the NCC Bank's initiative and urged them to further extend cooperation in the CSR activities.

The central bank boss said the BB has taken initiatives to recast the CSR policies to make those more pragmatic, modernized and time befitting ones. The new policies will be circulated soon.

He said the banks have to encourage its clients to get involved in the CSR activities as well. The central bank governor claimed that CSR activities in the banking sector have increased and the spending of their funds have gone up 10 times in the last five years.

He, however, said only giving something to a student in grant is not called a CSR activity. "The core objectives of CSR activities must remove the plights of people and improve the livelihood of the underprivileged groups in society."

Atiur said the 56 banks now operating in the country could take the responsibility of a huge number of students through extending their helping hands.

Meanwhile, some 100,000 students have been brought under the scholarship programmes of the banks' CSR funds.