Detrimental impact of defaulted loans on banking sector
The prevalence of non-performing loans (NPLs) in Bangladesh's banking sector is a widely discussed issue, and it is not confined to causing problems only for banking accounts. Rather, it has evolved into a complex problem affecting our national economy. About 86 percent of economic transactions in Bangladesh occur through the banking system. Consequently, if there are issues with banking accounts, these problems have a ripple effect on the entire economy. If non-performing loans in the banking sector were to reach their current levels, banks would be able to contribute more efficiently to the national economy. Many of the mega projects we are implementing could have been completed with this defaulted loan (TK 1 lakh 56 thousand 039 crore).