BD to hire int’l firms to recover defaulted loan assets stashed abroad
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The government has initiated a process to engage international legal firms to help recover money linked to defaulted loans created through irregularities and corruption in the banking sector, Finance Minister Amir Khasru Mahmud Chowdhury told Parliament on Wednesday.
Responding to a question from Kurigram-1 MP Anwarul Islam, the finance minister said the government has signed non-disclosure agreements (NDAs) with nine international law firms and begun the recruitment process on a “no win, no fee” basis to assist nearly 30 troubled banks in recovering non-performing loans.
As part of the first phase, legal proceedings have been launched in six cases involving former Land Minister Saifuzzaman Chowdhury, controversial businessman S Alam, and business groups associated with Beximco, Sikder Group, Nasa Group and Orion Group.
The minister said the international firms would help banks identify overseas assets and funds belonging to alleged loan defaulters and provide legal assistance to repatriate those assets to Bangladesh. The government plans to expand the initiative further in the future.
The information was provided during the parliamentary question-and-answer session held under the chairmanship of Speaker Hafiz Uddin Ahmed.
Replying to a question from Chandpur-3 MP Sheikh Farid Ahmed, the finance minister said Bangladesh currently has 193.25 million bank accounts.
Of these, 177.95 million are savings accounts, while 15.31 million are loan accounts.
He added that the government has formulated the National Financial Inclusion Strategy (NFIS) with the goal of bringing all adult citizens under the formal financial system by 2026. Bangladesh’s current financial inclusion rate stands at 64.5%.
In response to a question from Jamalpur-3 MP Mostafizur Rahman Babul, the minister said Bangladesh’s external debt stood at $78.23 billion as of March 2026.
Concessional loans accounted for 61.97% of the total external debt portfolio, while non-concessional loans represented 38.03%.
Replying to a question from Mymensingh-8 MP Lutfullahel Majed, the finance minister said the number of registered taxpayers in the country has increased to 13.83 million.
The figure represents an 11.86% increase compared with the previous fiscal year.
Responding to a question from Gaibandha-4 MP Mohammad Shamim Kaisar, the minister said the government has allocated Tk 15.68 billion under the agricultural loan waiver programme for loans of up to Tk 10,000 during the current fiscal year.
A total of 1.41 million farmers have benefited from the scheme.
The finance minister also informed Parliament that Bangladesh Bank has been providing regular emergency liquidity assistance to banks facing difficulties in repaying customer deposits because of liquidity shortages.
Responding to a question from reserved-seat MP Mosammat Shammi Akter, he said the central bank had provided Tk759.03 billion in emergency liquidity support as of 15 June.
In response to a question from Sirajganj-5 MP Amirul Islam Khan, the minister said 63 banks are currently operating across Bangladesh through 11,326 branches and 4,929 sub-branches.
Replying to a question from reserved-seat MP Selina Sultana, the finance minister said the government’s revenue collection target for fiscal year 2024-25 was Tk 171,495 crore.
Against the target, revenue collection stood at Tk 129,090.45 crore, achieving 75.3% of the annual goal.
Responding to separate questions from lawmakers from both the treasury and opposition benches, the finance minister said five Islamic banks — Exim Bank, First Security Islami Bank, Global Islami Bank, Social Islami Bank and Union Bank — have been brought under the Bank Resolution Scheme 2025.
He said depositors of these banks are being repaid, and under the Deposit Protection Act 2026, each depositor is eligible to receive up to Tk 200,000.
The minister added that various departments of Bangladesh Bank are monitoring other banks facing liquidity stress and that actions will be taken under the Bank Resolution Act 2026 if necessary.
He also noted that the insured deposit limit has been doubled from Tk 100,000 to Tk 200,000 under the Deposit Protection Act 2026. According to the minister, Tk 12,000 crore has already been transferred from the Deposit Protection Fund to the current accounts of the merged Islamic banks to support depositor protection and financial stability.