FSIB agrees to merge under BB's reform plan

First Security Islami Bank (FSIB) PLC has agreed to merge under the merger-and-acquisition initiative of the Bangladesh Bank (BB) targeting struggling shariah-based lenders.

"BB presented an assessment of FSIB's fundamentals at the meeting with the governor, and that its findings were consistent with reports by an overseas auditor and the bank's own audit teams. There were no differences between the findings," said FSIB Chairman Abdul Mannan.

The chairman said this while talking to reporters after a meeting at the central bank.

Mannan said that entities linked to S Alam Group had "taken away" about Tk 380 billion of the bank's assets under various names. The claim could not be independently verified, he added.

A senior FSIB official, on condition of anonymity, said the bank's board has already decided to proceed with a merger in line with the central bank's suggestion and conveyed that decision during the meeting.