CA-audited financial report mandatory for NBFIs loan approval

The Bangladesh Bank on Tuesday asked Non-bank Financial Institutions (NBFIs) to furnish audited financial statements by chartered accountants for loan approval and loan rescheduling to bring discipline in the financial sector.

Some institutions working for public interest were not submitting their updated financial reports before applying for loans or rescheduling any previous loans, thereby flouting the Financial Reporting Act 2015, according to the central bank notice issued on Tuesday.

Earlier, the financial statements used to be submitted under various names such as management audit report, review report and the like.

But now a statutory audit report has to be incorporated into the loan file for getting new loans or rescheduling previous ones, as per the notice.

However, audited financial statements by other institutions will also be preserved in the loan file, it added.