Bangladesh Finance, South East Bank get BB recognition

The Bangladesh Bank (BB) has recognised Bangladesh Finance and South East Bank as sustainable financial institutions.

BB Governor Fazle Kabir presented the award to Bangladesh Finance Managing Director and Chief Executive Officer Md. Kyser Hamid, and Southeast Bank Limited Managing Director M Kamal Hossain on Thursday, through a programme held at the BB’s Jahangir Alam Conference Center of the central bank, said a statement.

Through this programme, eight other banks in the private sector were selected and given the status of sustainable banks. The top five financial institutions have also received sustainable status.

The Sustainable Core Banking Index considers the institution’s credit quality, capital situation, and agent banking activities, BB officials said.

Besides, green financing of banks and financial institutions, number of borrowers, rural financing, number of female borrowers, sustainable financing in agriculture, category and amount of green financing, financing of small and micro-entrepreneurs, defaulted loans in sustainable financing etc. have been taken into consideration.

Apart from this, the internal green banking practices of banks and financial institutions have also been used as one of the determinants of this standard. Bangladesh Bank has verified this standard based on four indicators, Sustainable Finance Indicator, Green Refinance, Social Responsibility Program (CSR) and Core Banking Sustainability of core banking activities.

Managing Director of Bangladesh Finance Md Kyser Hamid said, “Bangladesh Finance is one of the pioneers of sustainable finance. Bangladesh Finance is committed to achieving the government’s sustainable development goals through green finance, social responsibility and inclusion of marginalised people in the country - especially women entrepreneurs in economic advancement.”