BB lends Tk 520 billion to 12 weak banks by printing money

Bangladesh Bank (BB) has given Tk 520 billion (Tk 52,000 crore) to 12 weak banks by printing money.

According to the central bank, among the private banks that took emergency loans are First Security Islami Bank, Social Islami Bank (SIBL), National Bank, EXIM Bank, Global Islami Bank, Islami Bank Bangladesh, AB Bank, BCBL, ICB, BASIC Bank, and Padma Bank.

In the wake of a severe liquidity crisis, the central bank is moving to merge five troubled private Islamic banks. The BB confirmed on Saturday that over Tk 330 billion has been disbursed as demand loans to 10 banks struggling to return depositors’ money.

Of these, First Security Islami Bank borrowed the most, taking Tk 142 billion from the central bank.