The New Nation - Internet Edition

Staff Reporter

Bangladesh Bank Governor Dr Salehuddin Ahmed yesterday said the central bank would see the outcome of the commitment made by commercial banks in reducing the lending rates and various bank charges shortly.

Dr Salehuddin said BB would monitor the development of the banks to see the progress. He said as chief guest while inaugurating a training programme on Corporate Governance at Bangladesh Enterprise Institute (BEI).

BEI president Farooq Sobhan made welcome address while GCGF senior project officer Gene Spiro and M Jashimuddin from Commonwealth Secretariat spoke on the occasion.

On the issue of interest rate the central bank Governor said some 10-12 banks have already started reducing their interest rates and bank charges. He also said that the reducing interest rates would not be possible through Bangladesh Bank orders.

The banks have agreed on a package to reduce the interest rates and service charges over a three-month time, he added.

Replying to a query on ensuring governance in the financial institutions the BB Governor Dr Salehuddin Ahmed said the central bank has issued prudential guidelines and norms for the operation of banks and non-bank financial institutions.

But he mentioned that the central bank has no direct role in ensuring good governance in the insurance companies.

BEI president Farooq Sobhan said the programme aimed at helping participants develop their knowledge base and skill needed to lead direct education programmes that reflect international best practices adapted to regional needs in emerging markets.

Representatives form the institute of Company Secretaries of India, Pakistan Institute of Corporate Governance , Capital Market Development Authority of Maldives and Telecom Commission of Sri Lanka are now participating the three day programme.