Bad loans hit record Tk 420,335 crore

Bad loans in Bangladesh's banking sector hit a record high of Tk420,335 crore by March 2025, marking a 131 percent year-on-year surge from Tk182,295 crore in March 2024. 

According to central bank data, total loans in the sector reached Tk1,741,992 crore, with defaulted loans accounting for 24.13 percent of the disbursed amount. 

By the end of 2024, defaulted loans stood at Tk345,765 crore. Bangladesh Bank officials estimate that distressed assets—including written-off, rescheduled, and court-tied loans—likely exceed Tk700,000 crore. 

The sharp rise in defaulted loans followed the political shift in August 2024, when a student uprising ousted the Awami League-led government.