Bank officers can become directors after retirement

Bank officers can also become directors of the same bank after their retirement. From managing director or chief executive officer to low-ranking officer will get this opportunity.

But they have to wait for five years after their retirement or discharge from banking service or expiry of his/her job contract with the banks. Earlier, they had no chance to become director of the same bank.

To this end, Banking Regulation and Policy Department (BRPD) of Bangladesh Bank issued a circular on Sunday.

It said that a regular or contractual officer of a bank or financial institution shall not be eligible to be appointed as a director of the same bank unless five years have elapsed after retirement or discharge or expiry of the job contract period.

In a circular issued on May 12, 2021, Bangladesh Bank published the rules and regulations for the appointment of bank directors, contractual advisers and consultants. There was a provision that bank officers should not be appointed to the same bank as directors.

In the case of non-bank financial institutions, Bangladesh Bank withdrew it from this provision last year. To maintain balance, similar provisions have been introduced in the case of banks, according to central bank sources.