Bangladesh: Prudential Regulations for Banks: Selected Issues

Publication Date: 7 Aug 2005
Document Type: Other (PDF)

View this Document (358 KB)   Email this Document

Regulations governing banks in Bangladesh

This document includes prudential regulations on selected subjects for banks in Bangladesh. The regulations include:

• Policies on:
  • Capital adequacy of banks;
  • Loan classification and provisioning;
  • Single borrower exposure;
  • Rescheduling of loans;
  • Loan write off.
• Corporate governance in bank management.
• Restriction on lending to directors of private banks.
• Rules and regulations for appointment of chief executive and advisor in banks.
• Constitution of:
  • The board of directors, and fit and proper test for appointment of bank directors;
  • The audit committee of the board of directors.
• Disclosure requirements for banks.
• Large loan restructuring scheme (LLRS).
• Requirement for obtaining information on large loan from credit information bureau.
• Payment of dividend by bank companies.
• Loan against shares, debentures etc.
• Interest rates on deposit and lending.
• Bank charges.
• Banks deposit insurance scheme.
• Guidelines on:
  • Managing core risks in banking and credit rating;
  • Consumer financing and small enterprise financing.