Dhaka, Bangladesh (BBN)– The International Monetary Fund (IMF) has suggested to strengthen the resilience of the country’s banking sector.
The IMF has made the suggestion after completing the fifth and sixth reviews of Bangladesh’s economic programme under a three-year arrangement supported by the ECF.
“….important priority is to continue to strengthen the resilience of the banking sector. State-owned banks, in particular, should be reformed and guided by good corporate governance practices, supported by complete branch automation by 2016,” the IMF said in a statement.
It also said further reducing inefficient and regressive energy subsidies, including by aligning domestic fuel prices with international prices, and strengthening financial management and reporting in state-owned enterprises, would also open up space to increase well-targeted social spending.
“To further boost inclusive growth, continued efforts are needed at removing infrastructure bottlenecks, particularly in power and transportation, improving the business climate, and ensuring better labor rights and safer working conditions,” the IMF noted.