Banking Reform Fails: Bangladesh Bank’s banking sector reform roadmap of last week will come to no use if the implementation failures of previous roadmaps cannot be understood, said eminent economist Wahiduddin Mahmud yesterday.
Banking Reform Fails: Bangladesh Bank's banking reform roadmap is nothing new, but failures to implement it has distressed the sector, said eminent economist Wahiduddin Mahmud
In Bangladesh, the primary reason behind excessive bad loans is a general lack of governance and, in particular, the inability to enforce banking regulations, which breeds corruption and moral hazard.
Instead of superficially looking at the numbers and making excuses, the Bangladesh Bank should have observed the trend and character of surging risky loans in the country.