Bangladesh Bank Governor Fazle Kabir's term ends on Friday (July 3). Thursday was his last working day in the second term.
Therefore, the post of governor is going to be vacant from next Saturday (July 4). Deputy Governor SM Moniruzzaman and Deputy Governor Ahmed Jamal will be acting governors from next Saturday until Fazle Kabir is appointed in the new term.
A letter in this regard was sent from Central Bank Branch of the Financial Institutions Division of the Ministry of Finance on Thursday evening.
The letter signed by the deputy secretary of the department Md Jehad Uddin has been sent to the two deputy governors of the central bank. A copy of the letter has also been sent to Governor Fazle Kabir. The directive has been issued by the ministry in the interest of continuing the day-to-day operations of the bank in the absence of the central bank governor.
Sources said, on receiving the directive, the two deputy governors had a meeting with Central Bank Governor Fazle Kabir on Thursday evening. The governor also gave them necessary instructions at the meeting.
Meanwhile, the government has decided to extend the term of Fazle Kabir for another two years by amending Bangladesh Bank Order. But the law cannot be amended and cannot be enforced until it is passed in the parliament.
According to finance ministry sources, a proposal to amend the law was approved by the cabinet on June 8 to increase the current age limit of the central bank’s governor from 65 to 67 years to extend current governor Fazle Kabir’s tenure. The amendment was later sent to the budget session at Parliament. The amendment was brought to the notice of the Parliament on June 29, but was not raised.
The session of Parliament has been adjourned till July 8. The Financial Institutions Department has issued an office order directing two deputy governors to act as central bank governors until the amendment is passed. The two deputy governors will serve as governors until the government appoints a new governor.
