The government will set a standard to appoint the board of directors of the state-owned commercial banks (SOCBs) to avert any further fraud incident in the country’s banking sector.
Finance Minister AMA Muhith yesterday came up with the disclosure while talking to reporters after handing over the dividends of a joint venture named Bangladesh-UAE Investment Company at a ceremony held at the finance ministry auditorium in the capital.
It is important to maintain the standard in appointing the board of directors in the SOCBs for averting of any further fraud in the banking sector, said the finance minister.
“In most cases, the appointments are made on political grounds in the board of directors of the state owned banks. But, few of the politically-appointed board of directors are involved in wrong doing,” Muhith pointed out.
The minister also noted that there had always been corruption in the country’s banking sector.
“The large-scale corruption occurs in the banking sector because of our weak supervisions and lack of our vigilance service although the system has now been improved. You will see more progress in our vigilance in the banking sector in near future.”