The government of Bangladesh is preparing a compensation plan for general shareholders affected by the merger of five Islamic banks. Economic Adviser Dr. Salehuddin Ahmed said the issue is under policy consideration but involves complex technical calculations. He explained that compensation will be provided gradually after completing the necessary assessments. Speaking to reporters after a meeting of the government’s procurement advisory committee on Tuesday, he emphasized that depositors’ protection had been the government’s first priority.
Dr. Ahmed noted that the government has already provided Tk 42,000 crore to safeguard depositors’ funds, ensuring that customers could fully recover their deposits. Only after securing depositors’ interests is the government now focusing on shareholders. He acknowledged that compensating shareholders is difficult because several banks have negative net asset values, making conventional loss recovery methods impractical.
Possible compensation options include partial share allocations or direct financial payments, though the final model will take time to determine. Dr. Ahmed added that broader banking reforms require sustained efforts, stronger regulatory capacity, and rebuilding market confidence to achieve long-term economic stability.