Merger of 5 Islamic banks in final phase: BB Governor

Bangladesh Bank Governor Dr Ahsan H Mansur has announced that the merger of five private Islamic banks is in its final stages, with assurances that no employees will lose their jobs as a result.

Speaking to journalists at the central bank headquarters on Sunday, Dr Mansur clarified, “This merger process is not linked to the upcoming election. It is already underway, and we expect the next government to carry it forward. However, we will not delay—these banks will be merged within the next few months.”

The five banks involved in the merger are First Security Islami Bank, Global Islami Bank, Union Bank, Social Islami Bank, and EXIM Bank.

The Governor reassured employees that job losses are not anticipated. “Some branch restructuring may occur. For instance, branches heavily concentrated in urban areas may be relocated to rural regions to improve coverage,” he said.

Regarding efforts to repatriate laundered money, Dr Mansur said the process is complex and depends on court verdicts. “Recovery is only possible through legal procedures backed by concrete evidence. It’s a step-by-step effort,” he explained.

He added that the option for out-of-court settlements via Alternative Dispute Resolution (ADR) remains open. “Lawyers from both sides can engage in negotiations. Bangladesh Bank will appoint legal teams based on the government's chosen path—either through court or ADR.”

Preparations are underway to pursue asset recovery through domestic legal channels for local cases and foreign courts for assets abroad, the Governor added.