NBFIs asked to stop ‘unethical’ spending to earn deposits

Bangladesh Bank has asked non-bank financial institutions (NBFIs) to stop “unethical and unacceptable” spending made to collect deposits.

These spendings — under the pretext of commission, development, business development and others — are increasing expenditure illogically and raising interest rates.

The central bank issued a circular in this regard on Sunday, addressing all CEOs and MDs of NBFIs in the country.

The BB also asked the NBFIs to update the information of interest rates of loans and deposits on their websites.