BB withdraws administrator from EXIM Bank

The Bangladesh Bank (BB) has withdrawn the temporary administrator and five supporting officials it had appointed to oversee the merger of EXIM Bank PLC under the bank resolution process, according to an official order issued yesterday.

As per the order, central bank Executive Director Md Shawkatul Alam, who had been serving as EXIM Bank’s temporary administrator, has been relieved of his duties and reassigned to the central bank head office.

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The BB also withdrew the five officials who had been assisting the administrator. They have been transferred back to Human Resources Department-1 at the central bank head office.

The order said the officials were released from their duties at EXIM Bank with effect from the close of business yesterday.

Speaking on condition of anonymity, a senior BB official told The Daily Star that the central bank would withdraw administrators from the remaining four banks in phases.

The official said the newly appointed managing director and board of directors of Sammilito Islami Bank have already taken charge, paving the way for the administrators to be withdrawn.

After the ouster of the Awami League government in August 2024, the interim government moved to merge five troubled banks -- First Security Islami Bank, Social Islami Bank, Union Bank, Global Islami Bank and EXIM Bank -- under the Bank Resolution Ordinance.

The five banks collapsed after years of large-scale lending scams and irregularities while under the control of business groups linked to the Awami League government.

The BNP government later passed the ordinance to act, and merged the five lenders to form Sammilito Islami Bank.

The new bank has paid-up capital of Tk 35,000 crore, including Tk 20,000 crore provided by the government. Depositors will receive shares against the remaining Tk 15,000 crore.