Committee formed to support war, disaster-hit borrowers defaulting over Tk50cr loan

The Bangladesh Bank has formed a five-member committee to provide policy support to borrowers with outstanding loans exceeding Tk50 crore, who have been impacted by the Russia-Ukraine war, floods, and other natural disasters.

According to the central bank officials, the committee will assess whether a borrower has genuinely been affected by circumstances beyond their control and determine if policy support could help revive the business. 

Based on this evaluation, recommendations will be made for rescheduling defaulted loans.

All loans classified as defaulted due to uncontrollable circumstances will be considered under this initiative.

Bangladesh Bank spokesperson Husne Ara Sikha stated that the selection committee consists of five members including Mezbaul Haque, executive director of the off-site supervision department, as the convenor; Dr Delwar Hossain, joint secretary of the Financial Institutions Division; economist Mamun Rashid; business representative Abdul Haque from Haq's Bay as members; and Shahriar, director of the Banking Regulation and Policy Department, as the member secretary.

"There is no fixed deadline for the committee to complete its task. However, members are entitled to a maximum of two remunerations per month for attending meetings," said the spokesperson.