The Bangladesh Bank on Monday asked banks to furnish audited financial statements by chartered accountants for loan approvals forpublic interest institutions to bring discipline in the financial sector.
Some public interest institutions were not submitting the statements, nor any updated financial statements before applying for bank loans or rescheduling any previous loans, flouting the Financial Reporting Act 2015, said the central bank notice.
The statements were submitted under various names such as managementaudit report, review report, and others.
But now, statutory audit reports will have to be included in the loan files for getting new loans or rescheduling previous ones.
However, audited financial statements by other institutions will also be preserved in the loan file, it added.
