• Wednesday, Feb 26, 2020
  • Last Update : 03:41 pm

Finance minister unveils list of 8,238 loan defaulters

  • Published at 09:17 pm January 22nd, 2020
Shapla Matijheel Dhaka
File photo of Shapla Chattar, Matijheel, Dhaka Md. Manik/Dhaka Tribune

Bank directors themselves owe more than Tk173,230 crore

Finance Minister AHM Mustafa Kamal in parliament on Wednesday unveiled a list of individuals and companies who have defaulted on their loans taken from banks and financial institutions.

Up until November 2019, according to the list, there were 8,238 defaulters in the country with debts totalling over Tk96,986 crore.

Of that, only Tk 25,836 crore has been paid back until November, said the minister, quoting data from the Credit Information Bureau (CIB) of Bangladesh Bank.

Until September last year, non performing loans in the banking sector stood at a record Tk116,288 crore, the highest ever in the country’s history.

The finance minister shared the 107 page list of loan defaulters in response to a question from Tangail 6 MP Ahasanul Islam Titu during a session in the House on Wednesday evening.

Kamal also detailed how much the directors of banks owe to their own institutions and other banks.

From their own banks, 25 directors borrowed over Tk1,614 crore until September 30, 2019, which accounted for 0.166% of all loans disbursed by all banks.

Also, from 55 other banks, the directors took more than Tk171,616 crore in loans, which is 11.21% of the total loans.

According to the data shared by Kamal, AB Bank directors borrowed over Tk907.47 crore — the highest — from their own institution.

Two of the country’s 57 scheduled banks — Rajshahi Krishi Unnayan Bank and ICB Islami Bank — did not give any loans to either their own directors or other bank directors.

Remax Footwear topped the list of loan defaulters with Tk1,800 crore in unpaid debt, followed by Crescent Leather Products and Rupali Composite Leatherwear with unpaid loans of Tk1,300 crore.