The Bank of Bangladesh, the country’s central bank and financial services regulator, has introduced new guidelines regulating the opening of new branches and business centers by commercial banks. The new guidelines stipulate that commercial banks will need to seek prior permission from the central bank before setting up collection booths, electronic booths, business development centers and renting or leasing real estate. In an effort to increase financial inclusion, the number of rural bank branches will be at least 50 percent of the total new branches approved in a given calendar year.
By Chioma Okwudiafor, Research Associate
About Bangladesh Bank
Bangladesh Bank (BB) is the chief regulator of the country’s monetary and financial system. Established in 1972, BB’s mission is to regulate reserves, to manage country’s monetary and credit system and to foster development of the country’s economy. As of December 2010, BB operates nine branches and has a total staff of 5,071. The bank’s total reserves stand at USD 10 billion as at November 2010.
Sources and Additional Resources:
The Financial Express News: BB asks banks to open 50pc branches in rural areas http://www.thefinancialexpressbd.com/index.phpref=MjBfMTFfMzBfMTJfMV8xXzE1MTU3Ng==
MicroCapital Story: October 9, 2012, MICROCAPITAL BRIEF: At AFI Global Policy Forum, Bangladesh Bank Governor Endorses Financial Inclusion to Boost GDP https://www.microcapital.org/microcapital-brief-at-afi-global-policy-forum-bangladesh-bank-governor-endorses-financial-inclusion-to-boost-gdp/#more-20393
MicroCapital Story: October 5, 2011, “MicroCapital Brief: Bangladesh Bank Issues Guidelines on Mobile Microfinance”
https://www.microcapital.org/microcapital-brief-bangladesh-bank-issues-guidelines-on-mobile-microfinance/
MicroCapital Universe Profile: Bangladesh Bank
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Bangladesh+Bank+%28BB%29
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