Bangladesh Bank Headquarters

Dhaka, Bangladesh (BBN)– The central bank of Bangladesh has asked non-banking financial institutions (NBFIs) to share information about default loans of the aspirants of the national elections, if any, with the returning officials.

“We’ve taken the measure to prevent any loan defaulter from contesting the parliamentary polls as per the electoral rules,” a senior official of the Bangladesh Bank (BB) told the BBN in Dhaka.

Under the existing rules, loan defaulters cannot participate in the national elections.

The central bank issued a directive in this connection on Sunday, asking the managing directors (MDs) and chief executives of all the non-banks to comply with the instructions properly.

The officials of NBFIs have also been asked to collect necessary information on the aspirants from the returning officers, once the deadline for filling nomination paper ends on November 28, it added.

Besides, information about default loans will have to be provided to the returning officers on or before the day of scrutinising nomination papers, according to the notification.

The NBFIs officials have also been directed to be present at the offices of returning officers when nomination papers of candidates are scrutinised, if necessary.

The 11th national election is scheduled to be held on December 30.

Earlier on November 22, the central bank issued a similar directive and asked the MDs and chief executive officers of all banks to provide information about classified loans of the electoral candidates to the returning officials.

The central bank of Bangladesh has already taken preparations for providing information about default loans to the authorities through its Credit Information Bureau (CIB), according to the BB officials.

The CIB was set up on August 18, 1992 in the central bank to minimise credit risks through reducing the volume of default loans.