The decision to form the Bank Commission

The government has decided to form a banking commission for sustainable reforms in the banking sector. A blueprint for the overall situation and reforms of the financial sector will be released within 100 days of the formation of the interim government.

On Sunday (August 18), the chief advisor of the interim government on the overall economic situation of the country. A meeting of Bangladesh Bank Governor Ahsan H Mansoor was held with Muhammad Yunus. The meeting decided on the formation of 'Banking Commission'.

According to the sources of the meeting, the current situation of the banking sector was discussed in detail in the meeting. In view of this, the issue of reforming this sector has come up. A banking commission will be formed to take swift action to bring about sustainable reforms in the banking sector.

Bank sector analysts have been saying for several years that the long-standing problems in the country's banks have become complex. The current volatile situation in the financial sector requires swift action to resolve it in the short term, so as to restore consumer confidence. At the same time, the banking sector needs to be reformed to restore stability permanently.

And for this reform of the banking sector, economists have been suggesting the formation of banking commission for a long time. However, during the 15 long years of former Prime Minister Sheikh Hasina's government, no one paid attention to this issue.

Discussion During this time, instead of reforming the banking sector, the practice of 'bank robbery' has been seen. As a result, the banking sector of the country has become a distrust of people today. The entire economy of the country is standing on the edge of the ditch.

Economists say, the ongoing instability in the banking sector was not created in a day. This problem was kept alive for a long time. The problem of bad loans in the banking sector and major problems in Islamic banks have been there for many years. No effective steps have been taken to address it. As a result, the situation has become more complicated.

Meanwhile, in the meeting of the Bangladesh Bank Governor with the Chief Advisor, the issue of inflation in the country also came up. According to the decision of the meeting, the prevailing inflation in the country should be brought down through proper management of demand and supply. For this, the monetary policy should be kept contractionary and at the same time the supply situation should be improved. Appropriate measures have been taken in this regard. But everyone needs to be patient to reap the benefits of inflation.

Initiatives have been taken to increase liquidity in the foreign exchange market in the meeting. The existing band for inter-bank foreign exchange transactions has been increased from 1 percent to 2.5 percent. The meeting also expressed hope that liquidity will return to the interbank foreign exchange market very soon and the volume of exchange will also increase rapidly.

Besides, a blueprint on the overall situation and reforms of the financial sector will be prepared which will be released within 100 days of the formation of the interim government.

Bangladesh /FM