Reported by: Jafar Ahmed
Written by: Eshan Maitra
Latest report of Bangladesh Bank mentioned that, 15 banks violated their national instruction in setting interest rates. Though, spread in total Bank Sector was 4.69% in March and reduced down to 4.65% by April. Private Banks still have bank spread over 5%. BB’s report says, public banks’ interest rates were reduced by most, from 4.01% to 3.96%. While, private banks’ and foreign banks’ average spread only reduced from 4.73% to 4.71% and 6.38% to 6.27% respectively.
Including BRAC, Standard Chartered Bank, Citi, IFIC, Uttara, Eastern and Dutch Bangla, total of 15 commercial banks are directly violating of BB’s instruction. Among them, BRAC Bank has the highest spread up to 8.44%. They collect capitals at 3.65% and distributes at 12.09%.