Sub-branch loan growth outpaces banking sector average

Outstanding loans and advances disbursed through sub-branches of scheduled banks recorded a notable rise in July-September 2025, outpacing overall growth in the banking sector, according to the latest data from Bangladesh Bank (BB).

Total outstanding loans through sub-branches increased from Tk 172.77 billion in April-June 2025 to Tk 186.45 billion in July-September 2025, marking a 7.9 per cent growth.

In contrast, overall loan growth in the banking sector stood at only 0.4 per cent during the same period, the central bank data showed.

Despite the higher growth, loans disbursed through sub-branches accounted for just 1.1 per cent of the aggregate loans and advances of scheduled banks during the period under review.

Women's participation in credit also saw a marginal decline. The share of loans disbursed to women fell from 15.2 per cent to 14.8 per cent during the period, while women's share of loan accounts edged down from 20.0 per cent to 19.5 per cent.

Nevertheless, the total number of loan accounts increased from 205,904 to 221,037, reflecting a 7.3 per cent growth.

On the deposit side, sub-branches posted stronger performance than the sector average.

Total outstanding deposits collected through sub-branches rose from Tk 680.71 billion to Tk 720.56 billion, registering a 5.9 per cent growth, compared to the overall banking sector's 1.7 per cent deposit growth.

The share of sub-branch deposits in total deposits of scheduled banks edged up from 3.4 per cent to 3.5 per cent.

However, the rural share of deposits declined slightly from 33.7 per cent to 31.8 per cent, suggesting continued dominance of urban areas in deposit mobilisation.

Women's participation in deposit mobilisation showed a positive trend. The share of women's deposit accounts increased from 26.3 per cent to 27.0 per cent.

The data suggest that while sub-branches are contributing to credit and deposit growth beyond the sector average, rural and women-focused lending require greater attention to ensure balanced financial inclusion.

As of end-September 2025, the highest number of sub-branches (989) was operated in Dhaka district, followed by Chattogram (449), Cumilla (210), Narayanganj (169) and Gazipur (166).

During the same period, IFIC Bank PLC operated the highest number of sub-branches (1,225), followed by NRBC Bank PLC (693), Dutch-Bangla Bank PLC (316), Islami Bank Bangladesh PLC (271) and Pubali Bank PLC (252).

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