Dhaka, Bangladesh (BBN)- The central bank of Bangladesh has given the final clearance to the proposals of five new commercial banks for issuance of licence to start business, upon their due compliance with all the preconditions.
The banks are NRB Commercial Bank Limited, Union Bank Limited, South Bangla Agriculture and Commerce Bank Limited, Meghna Bank Limited and the NRB Bank Limited.
The clearance came in the meeting of the board of directors of Bangladesh Bank (BB), the country’s central bank, held at the central bank headquarters in Dhaka on Tuesday with BB Governor Atiur Rahman in the chair
“We’re going to issue licences to the five commercial banks shortly,” BB Deputy Governor SK Sur Chowdhury told reporters after the meeting. 
The BB board heard from the applicants about their business plans on three proposed banks on Sunday and on two others on Tuesday, before giving them the no-objection certificates (NOCs). 
However, the proposed Midland Bank Limited was also presented their business plan on before the board Tuesday. The board asked the applicant for the bank to further clarify their business plans or business strategies in its next meeting. 
The BB deputy governor said the board would give their final opinion on the bank after a review of the clarifications in its next meeting. 
Now the Banking Regulation and Policy Department (BRPD) of the central bank will issue NOCs to the proposed managements of the five banks to facilitate their registration with the Registrar of Joint Stock Companies and Firms (RJSCF).
“The central bank may issue licences to the five banks within a week,” Mr Sur said, adding that the BB would look into the information provided in their letters of intent (LoI) and business plans, before issuing the licences for opening of their branches. 
Earlier eight proposed banks, including those cleared on Tuesday, applied to the BB for licences to start their business on compliance with the requirements as per the letter of intent (LoI).
The banks were Union Bank Limited, Farmers Bank Limited, Meghna Bank Limited, Midland Bank Limited, South Bangla Agriculture and Commerce Bank Limited, Modhumoti Bank Limited, NRB Commercial Bank Limited and the NRB Bank Limited.
Another proposed bank — NRB Global Bank Limited — has been allowed to complete their formalities, as required by the LoI, by March 31 this year.
 
BBN/SSR/AD-06Feb13-2:25 pm (BST)