Motion on banking sector withdrawn from parliament on Muhith’s request

Md Israfil Alam MP has withdrawn from parliament a motion on mismanagement in the banking sector on Finance Minister AMA Muhith’s request.

“Transparency and accountability must be ensured to run the banks and financial institutions without any irregularities and errors,” he said in the motion, a Private Member’s Resolution, in parliament on Thursday.

Following the rules, Muhith presented his statement on the motion.

“The banking sector is not totally flawless. But there is no lack in government’s efforts,” he said.     

Israfil Alam

“The irregularities and flaws in the banks appeared along with Bangladesh’s birth and became severe at a time.

“The defaulted loans amounted 40 percent of total loans given by the banks. The percentage of such loans is still in double digits, 11 or 12 percent. The government amended the banking act in 2013. It’s a continuous process. We passed another amendment two days ago,” he said.

When a Private Member’s Resolution is brought before parliament, the corresponding minister can accept it or request the MP to withdraw it.

But once placed, both acceptance and withdrawal of a motion are always determined by the ballot.

On Thursday, Muhith requested Israfil to withdraw the motion and the MP obliged. A voice vote was also held on the withdrawal of the motion.

Israfil brought the motion amid huge criticism of the government for an unprecedented increase in bad debts, liquidity shortage and financial scams in the new banks, cleared on political considerations. 

In the motion, the MP said criticisms, debates and problems over the banking and financial sectors ‘often embarrass and upset the government and the parliament’.

“We can’t say the government is found wanting in efforts, law and manpower. The banking sector is facing a disaster due to the failure of those who are tasked with enforcing these laws and preventing such situations through monitoring.

“And the government and the parliament finally have to take the blame.   

“The people can see everything; they know everything. Neither the ministry and government nor the central bank gave taken any exemplary action. Some steps were taken, but those were like patchwork,” the MP said.

Israfil also said there should be no reason to keep the banks that embezzle money afloat.

“Why the licences of these banks are renewed instead of them being cancelled even after they fail to fulfil the conditions (set by the government)?” he asked.    

He also demanded the finance minister reveal the names of the loan defaulters and the bankers who gave the bad debts.

“This sector won’t be strong unless transparency is ensured,” he said.