financial sector
When will surge in distressed loans in banking sector stop
When will surge in distressed loans in banking sector stop
Borrowing from banks is increasing, but repayment is not. On top of that, irregularities, scams and collusion with boards are leading to looting of funds. As a result, distressed and defaulted loans are rising uncontrollably. In such a situation, distressed loans in the banking sector have reached Tk 7.56 trillion. By the end of 2024, this amount rose by nearly 59 per cent compared to the previous year. This figure starkly illustrates the fragile state of the country’s financial sector.