Bangladesh Bank to Announce Deposit Repayment Scheme for Four Financial Institutions

Bangladesh Bank is set to announce a scheme to return deposits to customers of four financially troubled institutions. Administrators have been appointed to Abiba, Farist, FAS Finance and International Leasing, and the deposit repayment scheme has been finalized.

The central bank is expected to announce the scheme this week. Payments will begin in phases after receiving government approval and the necessary funds.

Under the proposed scheme, individual depositors with up to Tk 1 million will receive their full deposits. Those with deposits of up to Tk 2 million will receive 90 percent in the first phase, while depositors with up to Tk 3 million will receive 85 percent. The repayment rate will decrease as the deposit amount increases.

Bangladesh Bank spokesperson Arif Hossain Khan said the scheme will include a detailed timeline, including how much depositors will receive initially and when the remaining amount will be paid.

Institutional depositors will receive payments based on available assets after the liquidation process is completed.