Bangladesh Bank says investors’ interests can’t be safeguarded in five banks’ mergerBangladesh Bank has confirmed that general shareholders will not benefit from the merger of five troubled Shariah-based private banks. Governor Ahsan H Mansur announced on Wednesday that all shares of Exim Bank, First Security Islami Bank, Global Islami Bank, Union Bank, and Social Islami Bank would be declared “zero” as the merger process begins. The central bank declared the banks “ineffective”, dissolved their boards, forced management resignations, and appointed administrators to manage the process. The central bank noted that the merger would follow international best practices under the Bank Resolution Act. It confirmed that at present, the interest of the general investors or shareholders cannot be protected in the merger.
