BB reviewing its decision to keep banking services off in lockdown

A Bangladesh Bank’s decision to keep banking services off during the lockdown has perplexed businesses engaged in export and import.

Interestingly, the decision has been taken keeping the factories open.

“We have shipments every day, so we need the services of banks every day,” said MA Jabbar, managing director of DBL Group, one of the largest exporters of readymade garments from Bangladesh.

He said though he takes many banking services online, yet they need to go to banks directly for some documents.

But not all of the banks have adequate online facilities to provide services to their customers.

“As factories are on in lockdown, banks must remain open,” said AKM Shaheed Reza, a garment exporter who is also a director of a private commercial bank.

The decision will also affect importers badly.

“Unless we get bank documents, ports will not release imported goods,” said Lutful Bari, director, operations of Meghna Group that is the largest exporter of bicycles from Bangladesh.

Rizwan Rahman, president of Dhaka Chamber of Commerce and Industry, said the sudden move to close banks will impact adversely.

“Closure of banking services is a very big decision for the economy. Such decisions should not be made hurriedly as the businesses will suffer,” he told the Business Insider Bangladesh.

Many bankers said businessmen have been contacting them and the central bank as well on the issue. Now the central bank has understood that keeping banking services, especially commercial, off was not a good decision.

“Following the request from different quarters, the suspension of banking services is currently under review. There will be a decision by the end of today,” Sirajul Islam, spokesman of Bangladesh Bank, told the Business Insider Bangladesh.

The government on Monday issued a notification in which it clarified how the coming lockdown will be.

As per the notification, services of banks and other financial institutions will remain closed during the lockdown, while factories are allowed to run.

All kinds of emergency services like law enforcement, fire brigade, electricity, water, media, health care, telecom and internet will be out of the lockdown restriction, the notification says.