Taskeen Ahmed urges accountable, growth-friendly banking reforms

President of the Dhaka Chamber of Commerce and Industry (DCCI) Taskeen Ahmed on Wednesday urged a balanced approach to banking sector reforms, warning that excessive tightening could deepen economic slowdown and hurt employment, particularly in the SME sector.

Speaking at a roundtable titled “Banking Sector Reforms”, organised by The Financial Express at a city hotel, he said a small fraction of borrowers were responsible for a disproportionately large share of non-performing loans (NPLs).

Citing data, he noted that less than 2.0 per cent of borrowers accounted for over 40 per cent of defaulted loans, questioning whether private banks alone should bear the blame.

He stressed that regulatory accountability, especially of the Bangladesh Bank, must be part of reform efforts. Ahmed also highlighted the lack of reliable data on SME closures and job losses, warning that poorly sequenced reforms could shrink businesses and worsen poverty. He emphasised that economic recovery would take years and that no overnight solution exists.