In a major financial restructuring move, the Bangladesh government has approved the merger of five struggling Islamic banks—First Security Islami Bank, Union Bank, Global Islami Bank, Social Islami Bank, and EXIM Bank—into a new state-owned entity named Combined Islami Bank. The initiative, approved by Bangladesh Bank, the Finance Ministry, and the Advisory Council, aims to stabilize the Islamic banking sector, which has been plagued by liquidity shortages and allegations of mismanagement. The new bank will start with a paid-up capital of Tk 35,000 crore and authorized capital of Tk 40,000 crore, making it the largest bank in the country. The government will contribute Tk 20,000 crore, partly through sukuk bonds. A significant portion of the capital will go toward repaying depositors. Officials hope the merger will rebuild public trust, attract new deposits, and enhance remittance inflows under government ownership.