Five Shariah-based banks to get administrators ahead of merger

This is the first step towards merging the banks into one state-owned entity

Bangladesh Bank has decided to appoint administrators to five Shariah-based private banks as the first step towards merging them into one.

The decision came at a special board meeting of the central bank on Tuesday, said its spokesperson Arief Hossain Khan.

The Bangladesh Bank executive director told bdnews24.com that the decision to merge the five banks was taken under the Bank Company Act. The administrators will be appointed as part of that process.

The banks to be merged are First Security Islami Bank, Global Islami Bank, Union Bank, EXIM Bank and Social Islami Bank.

These banks will be combined into a new Shariah-based bank under full state ownership, with their assets and liabilities transferred to the new entity.