The Bangladesh Bank on Wednesday reconstituted boards of directors of three more private commercial banks, extending its restructuring efforts in the banking sector following the political transition on August 5.

According to central bank officials, the boards of NRBC Bank, NRB Bank, and Meghna Bank were removed, with their respective chairmen—Parvez Tamal, Mohammed Mahtabur Rahman, and HN Ashequr Rahman—losing their positions.

The central bank has appointed new directors to the boards of NRB Bank, NRBC Bank, and Meghna Bank as part of its ongoing restructuring efforts in the banking sector.

For NRB Bank, sponsor shareholder Iqbal Ahmed has been appointed alongside six independent directors.

The newly appointed independent directors are former Grameen Bank director Ferdous Ara Begum, former Bangladesh Bank executive director Sheikh Md. Selim, former Mercantile Bank managing director Md Kamrul Islam Chowdhury, former Prime Bank deputy managing director Sheikh Matiur Rahman, North South University professor Sharif Nurul Ahkam, and chartered accountant Mizanur Rahman.

At NRBC Bank, former Bangladesh Krishi Bank managing director Ali Hossain Prodhania has been appointed as chairman of the board.

The independent directors include former Bangladesh Bank executive directors Abul Bashar and Anwar Hossain, former Sonali Bank deputy managing director Md Nurul Haque, Bangladesh Supreme Court advocate Shafiqur Rahman, American International University-Bangladesh professor Abul Kalam Azad, and chartered accountant Muhammad Emdadullah.

For Meghna Bank, the central bank appointed sponsor shareholder Uzma Chowdhury and Tanvir Ahmed, representing Cassiopea Fashion Ltd, as directors.

Additionally, former Bangladesh Bank executive directors Md. Mamunul Haque and Razab Ali, former Jamuna Bank managing director Md. Nazrul Islam, former Prime Bank additional managing director Habibur Rahman, and chartered accountant Md Ali Akhter Rizvi have been appointed as independent directors.

With this latest move, a total of 14 banks have undergone board restructuring under the new government, a drastic step aimed at addressing prolonged irregularities and financial mismanagement in the banking sector.

The Bangladesh Bank had previously dissolved and restructured the boards of 11 other private banks in an effort to halt further deterioration and improve governance.

The banks that saw restructuring earlier include Islami Bank Bangladesh Limited, First Security Islami Bank, Social Islami Bank, Global Islami Bank, Union Bank, Al-Arafah Islami Bank, Bangladesh Commerce Bank, National Bank Limited, United Commercial Bank, IFIC Bank, and EXIM Bank.

The central bank’s sweeping action follows years of concerns over loan irregularities, high levels of non-performing loans, and governance failures in these banks, many of which were linked to politically influential business groups.

To stabilize the crisis-hit banking sector, Bangladesh Bank injected approximately Tk 28,000 crore into nine struggling banks from the above-mentioned banks.

However, this liquidity support came through money printing, raising concerns about inflationary pressure on the economy.

The funds were meant to ensure that depositors could withdraw their money, albeit in a controlled manner, as many banks faced significant liquidity shortages.

The restructuring of boards is part of the Bangladesh Bank’s broader strategy to restore confidence in the banking system, which has suffered from rising non-performing loans, financial mismanagement, and a crisis of depositor trust, BB officials said.

Areif Hussain, executive director and spokesperson of Bangladesh Bank, confirmed the latest board dissolutions but indicated that further measures might be announced today. ‘The next course of action will be declared today,’ he stated.