Non-performing loans in Bangladesh's scheduled banks have increased by Tk 31,487 crore in the past three months, according to the latest report from Bangladesh Bank. The amount of non-performing loans stood at Tk 5,88,704 crore at the end of March. In December, the amount of non-performing loans in the banking sector was Tk 5,57,217 crore. The increase in non-performing loans comes despite a decrease in the previous quarter.
The total amount of loans disbursed by the country's 61 scheduled banks increased to Tk 18,24,668 crore by the end of March. Loan disbursement increased by approximately Tk 4,000 crore over three months. Currently, 32.26% of the total disbursed loans have turned non-performing.
State-owned banks have the highest rate of non-performing loans, with approximately 46% of disbursed loans turning non-performing. However, non-performing loans in these banks increased in the January-March quarter compared to the previous quarter. The total amount of loans in these banks is Tk 3,26,686 crore.
Non-performing loans increased during the tenure of the previous Awami League government. In January 2009, when the Awami League-led coalition government took office, the amount of non-performing loans was Tk 22,481 crore. By June 2024, before they were ousted, non-performing loans had increased to Tk 2,11,391 crore.
Bankers attribute the increase in non-performing loans to irregularities, fraud, and corruption in the banking sector during the Awami League government's 15-year rule. Incidents involving groups like S Alam Group, Beximco Group, NASA Group, Bismilla Group, and Hall-Mark Group, as well as scandals at National, Islami, and Basic banks, significantly contributed to the rise in non-performing loans.
