Bangladesh Bank has repaid around Tk 4,000 crore to depositors of five weak banks that were merged to form the new Sammilit Islami Bank. The repayment, made through the central bank’s Deposit Insurance Trust Fund, began in January and has so far reached about 822,000 depositors. The merged institutions include EXIM Bank, Social Islami Bank, First Security Islami Bank, Union Bank, and Global Islami Bank.

According to the report, the banks previously operated under the control of two influential business figures and suffered from large-scale loan irregularities, including unsecured lending that led to severe financial distress. The interim government merged the five Shariah-based banks last year to stabilize the sector. The new bank’s paid-up capital has been set at Tk 35,000 crore, with Tk 20,000 crore provided by the government and Tk 15,000 crore in shares allocated to depositors.

Officials said the repayments initially helped restore confidence, but a recent amendment to the Bank Resolution Act allowing former owners to return has renewed withdrawal pressure and deepened trust concerns. The report suggests the government should issue a clear statement to ease the situation.