Bangladesh Bank has advised five Islamic banks to reduce employee salaries and allowances by up to 20% as part of cost-cutting measures amid a severe liquidity crisis. The affected banks—First Security Islami Bank, Social Islami Bank, Union Bank, Global Islami Bank, and EXIM Bank—are set to merge into a new entity called 'Combined Islami Bank.' During a meeting chaired by Governor Ahsan H. Mansur, the banks requested BDT 1,000 crore in liquidity support, but the central bank approved only BDT 350 crore. Officials emphasized the need to reduce operational expenses and expedite the launch of the new bank. Around 16,000 employees work across these institutions, which have previously received BDT 35,300 crore in government assistance yet to be repaid. The new bank’s board will consist of seven members, chaired by Financial Institutions Division Secretary Nazma Mubarak, with equal representation from professional bankers, accountants, and lawyers as independent directors.