EXIM Bank takes over Padma Bank

The EXIM Bank and Padma Bank on Monday signed a MoU at the Bangladesh Bank (BB) headquarters, under which the EXIM Bank will 'take over' the troubled Padma Bank.

Chairman of the EXIM Bank Mr. Nazrul Islam, after the signing of the MoU, told the newsmen that the ‘takeover’ will not anyway affect the interests of depositors and shareholders of both banks.

He said Padma Bank has now completely merged with EXIM Bank.

The EXIM Bank Chairman said they have taken over the Padma Bank in the greater interest of the economy.

He also assured that no one in the Padma Bank will lose his/her job, adding there will be no job cut in the EXIM  Bank.

He said the interests of the shareholders will also be protected.

Mr. Islam said the board members of the Padma Bank will no longer be members of the EXIM Bank.

He said independent auditors will be appointed to assess the financial state of both banks in detail and take decisions accordingly.

The signboard of Padma Bank from now on will be replaced with that of EXIM Bank, he said.

“We will emerge as a very strong bank within next year”.

 Mr. Islam said this was not a forced merger rather there was a proposal from the central bank as the EXIM Bank is a strong bank.

This is done in the interest of the economy, he said, adding that BB is expected to give its policy support to them.

According to a press release, Bangladesh Bank Governor Abdur Rouf Talukdar joined the signing ceremony as the chief guest at the Bangladesh Bank.

EXIM Bank Managing Director Mohammad Feroz Hossain and Padma Bank Managing Director Tarek Riaz Khan signed the MoU in the presence of EXIM Bank Chairman Md Nazrul Islam Majumdar and Padma Bank Acting Chairman Md Afzal Karim.

Bangladesh Bank deputy governors, managing directors of state-owned banks (Janata Bank, Agrani Bank, Rupali Bank), and representatives from the Investment Corporation of Bangladesh, various Bangladesh Bank departments, EXIM Bank and Padma Bank also attended the MoU-signing event.

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