The Bangladesh Bank has begun implementing the decision to merge the country’s five Shariah-based banks.

As part of this initiative, central bank officials have started collecting various data from the respective banks.

Discussions are underway regarding the management of manpower and branch networks once the merger is complete. The central bank is also consulting with the banks on how to handle potential pressure from depositors.

Meanwhile, the government-formed committee overseeing the merger process has initiated steps to establish the new bank.

Upon approval from the Ministry of Law and the Bangladesh Bank, the bank’s registration will be completed. The proposed name for the new entity has been finalised as Sammilito Islami Bank.

The merger will combine First Security Islami Bank, Union Bank, Global Islami Bank, Social Islami Bank and EXIM Bank, all of which have faced crises due to irregularities and corruption.

Sammilito Islami Bank will acquire these institutions and the government will provide 200 billion (20,000 crore) taka in capital support, making it a state-owned bank at the outset.