Banks

Banks

Banks of Bangladesh

Scheduled Banks in Bangladesh

Scheduled banks play an essential role in Bangladesh’s financial system. They provide a wide range of financial services, including savings and current accounts, loans, investments, remittance services, trade finance, digital banking and payment facilities. These services help individuals, businesses, and entrepreneurs manage their finances and contribute to the country’s economic development.

According to Bangladesh Bank’s published information, Bangladesh had 61 scheduled banks operating during FY 2023–24. The number and classification of banks may change as a result of regulatory decisions, mergers and other developments. Readers should consult the latest Bangladesh Bank records for the current official position.

Scheduled banks operate under the regulatory framework established by the Bangladesh Bank Order, 1972, and applicable banking legislation, including the Bank Company Act, 1991, as amended. Bangladesh Bank supervises these institutions to help maintain financial stability and ensure compliance with banking regulations.

The country’s banking industry initially developed around nationalised commercial banks, specialised state-owned banks and foreign bank branches. Since the 1980s, the sector has expanded significantly with the establishment of private commercial banks and the growth of Islamic banking.

This article explains the different types of scheduled banks in Bangladesh and provides lists of the major banking institutions in each category.

What Is a Scheduled Bank?

A scheduled bank is a bank included in the official list maintained by Bangladesh Bank under the Bangladesh Bank Order, 1972. These banks are subject to the applicable regulatory requirements and supervision of the central bank.

Scheduled banks provide banking services such as accepting deposits, extending credit, processing payments, facilitating international trade and transferring money domestically and internationally.

What Is a Non-Scheduled Bank?

A non-scheduled bank is an institution established for a specific purpose under the relevant legislation but not included in Bangladesh Bank’s scheduled-bank list. Such institutions generally have a more specialised mandate and cannot perform every function available to scheduled banks.

Bangladesh has several specialised non-scheduled financial institutions, including Ansar-VDP Unnayan Bank, Karmasangsthan Bank, Grameen Bank, Jubilee Bank and Palli Sanchay Bank, as listed in Bangladesh Bank’s published information. Their regulatory status and institutional mandates should be checked against the latest official records.

Types of Scheduled Banks in Bangladesh

Scheduled banks in Bangladesh are generally classified according to their ownership and business structure.

The four principal categories are:

  1. State-owned commercial banks
  2. Specialised banks
  3. Private commercial banks
  4. Foreign commercial banks

Private commercial banks can be further divided into conventional banks and Islamic Shariah-based banks according to their operating principles. Some conventional banks also offer Islamic banking services through dedicated branches or banking windows.

1. Private Commercial Banks in Bangladesh

Private commercial banks are mainly owned by private investors and business entities. They provide banking services to individuals, small and medium-sized enterprises, large companies and international businesses.

These banks compete by offering different deposit products, lending facilities, credit cards, mobile banking, internet banking and other financial services.

Bangladesh Bank’s published classification identifies 43 private commercial banks in the conventional and Islamic categories combined. The following sections list the banks included in the supplied directory; names and operating status should be verified before publication.

Conventional Private Commercial Banks in Bangladesh

Conventional commercial banks generally operate using interest-based deposit and lending arrangements, together with other banking and financial services.

The supplied list of conventional private commercial banks includes:

  1. AB Bank PLC
  2. BRAC Bank PLC
  3. Bank Asia PLC
  4. The City Bank PLC
  5. Dhaka Bank PLC
  6. Dutch-Bangla Bank PLC
  7. Eastern Bank PLC
  8. IFIC Bank PLC
  9. Pubali Bank PLC
  10. National Bank PLC
  11. Southeast Bank PLC
  12. Trust Bank PLC
  13. Mercantile Bank PLC
  14. Mutual Trust Bank PLC
  15. ONE Bank PLC
  16. United Commercial Bank PLC
  17. Uttara Bank PLC
  18. Bangladesh Commerce Bank Limited
  19. Citizens Bank PLC
  20. Community Bank Bangladesh PLC
  21. Jamuna Bank PLC
  22. Meghna Bank PLC
  23. Midland Bank PLC
  24. Modhumoti Bank PLC
  25. National Credit and Commerce Bank PLC
  26. NRB Bank PLC
  27. NRBC Bank PLC
  28. Padma Bank PLC
  29. Premier Bank PLC
  30. Prime Bank PLC
  31. Shimanto Bank PLC
  32. South Bangla Agriculture and Commerce Bank PLC
  33. Bengal Commercial Bank PLC

These banks offer a variety of services, including savings accounts, fixed deposits, personal loans, business financing, corporate banking, trade finance, remittance facilities and electronic payment services. The exact products and eligibility requirements vary from one bank to another.

2. Islamic Shariah-Based Private Commercial Banks in Bangladesh

Islamic banking is an important part of Bangladesh’s financial sector. Islamic banks conduct their banking activities according to Islamic Shariah principles, using arrangements such as profit-sharing, trade-based financing, leasing and other Shariah-compliant investment structures.

Unlike conventional banking, Islamic banking is designed to avoid interest-based transactions. However, the actual terms, risks and returns depend on the specific product and contractual arrangement.

Bangladesh Bank’s published classification identifies the following 10 full-fledged Islamic private commercial banks:

  1. Islami Bank Bangladesh PLC
  2. Shahjalal Islami Bank PLC
  3. Social Islami Bank PLC
  4. Al-Arafah Islami Bank PLC
  5. EXIM Bank PLC
  6. First Security Islami Bank PLC
  7. ICB Islamic Bank Limited
  8. Union Bank PLC
  9. Standard Bank PLC
  10. Global Islami Bank PLC, formerly known as NRB Global Bank

Services Offered by Islamic Banks

Islamic banks provide many services that are also available from conventional banks, including:

  • Savings and deposit schemes structured according to Islamic banking principles
  • Business and SME financing
  • Home, property and asset financing
  • Import and export financing
  • Investment facilities for entrepreneurs
  • Local and international remittance services
  • Debit cards, digital banking and payment services

Customers should review the terms of each product to understand how profits, fees, investment risks and potential losses are handled.

3. State-Owned Commercial Banks in Bangladesh

State-owned commercial banks are wholly or predominantly owned by the Government of Bangladesh. They play a significant role in delivering banking services across the country, including in areas where access to private financial services may be limited.

These banks support government transactions, public-sector organisations, businesses, individuals and various economic activities. They also help facilitate financial inclusion by serving customers in rural and urban communities.

The six state-owned commercial banks traditionally listed in this category are:

  1. Agrani Bank PLC
  2. Sonali Bank PLC
  3. Janata Bank PLC
  4. Rupali Bank PLC
  5. BASIC Bank Limited
  6. Bangladesh Development Bank PLC

Why Are State-Owned Banks Important?

State-owned commercial banks contribute to Bangladesh’s financial system in several ways:

  • Providing banking services through extensive branch networks
  • Supporting government financial transactions
  • Facilitating salary, pension and benefit payments
  • Offering deposit and lending services to individuals and businesses
  • Supporting trade, industry and economic development
  • Expanding access to banking services in rural and underserved areas

Their products, service charges, eligibility requirements and lending policies differ by institution and account type. Customers should check the relevant bank’s official website for current information.

4. Specialised Banks in Bangladesh

Specialised banks are established to meet particular economic or social objectives. Unlike general commercial banks, they focus on specific sectors or groups of customers, such as farmers, rural communities and migrant workers.

Bangladesh has three specialised state-owned banks commonly included in its scheduled-bank classification.

List of Specialised Banks

1. Bangladesh Krishi Bank

Bangladesh Krishi Bank primarily supports agricultural development. Its services are designed to help farmers and agricultural businesses finance farming, livestock, fisheries and related activities.

2. Rajshahi Krishi Unnayan Bank

Rajshahi Krishi Unnayan Bank focuses on agricultural and rural development, particularly in its designated service areas. It provides financing and other banking services to support agricultural production and rural economic activity.

3. Probashi Kallyan Bank

Probashi Kallyan Bank supports Bangladeshi migrant workers and their families. Its services include financing facilities designed to assist eligible overseas employment candidates and returning migrant workers, subject to applicable conditions.

These institutions help address financing needs that may not be fully met by conventional commercial banking services.

5. Foreign Commercial Banks Operating in Bangladesh

Foreign commercial banks are banks incorporated outside Bangladesh that operate locally through authorised branches and other permitted arrangements. They are subject to applicable Bangladeshi laws and Bangladesh Bank’s regulatory requirements.

Foreign banks can play an important role in international trade, corporate banking, foreign exchange transactions, cash management and cross-border financial services.

The nine foreign commercial banks listed in Bangladesh Bank’s published directory include:

  1. Standard Chartered Bank — United Kingdom
  2. HSBC (The Hongkong and Shanghai Banking Corporation) — United Kingdom-based banking group
  3. Commercial Bank of Ceylon PLC — Sri Lanka
  4. Bank Alfalah Limited — Pakistan
  5. Citibank N.A. — United States
  6. State Bank of India — India
  7. Woori Bank — South Korea
  8. Habib Bank Limited — Pakistan
  9. National Bank of Pakistan — Pakistan

The country descriptions above refer to the banks’ origins or incorporation and should not be interpreted as a statement about every group’s current ultimate ownership structure.

Services Provided by Foreign Banks

Depending on their local operations and customer eligibility, foreign banks may provide:

  • Corporate and commercial banking
  • International trade finance
  • Import and export services
  • Foreign exchange transactions
  • Cross-border payments and remittances
  • Cash management and treasury services
  • Banking services for multinational companies

Some foreign banks focus primarily on corporate and institutional customers rather than offering the same range of retail services as domestic banks.

Scheduled Banks vs Non-Scheduled Banks in Bangladesh

The main difference between scheduled and non-scheduled banks is their regulatory classification and the scope of banking activities they are authorised to conduct.

Feature Scheduled Banks Non-Scheduled Banks
Official classification Included in Bangladesh Bank’s scheduled-bank list Not included in the scheduled-bank list
Regulatory framework Operate under applicable banking laws and central bank supervision Operate under their relevant legal framework and applicable regulatory arrangements
Banking activities May provide a broad range of authorised banking services Generally focus on specific purposes and have a more limited scope
Institutional purpose Serve general banking and financial needs Often serve specialised social or economic objectives
Examples Sonali Bank, BRAC Bank, Islami Bank Bangladesh Ansar-VDP Unnayan Bank, Karmasangsthan Bank, Palli Sanchay Bank

The specific powers and obligations of each institution depend on its governing legislation and regulatory status.

Conventional Banking vs Islamic Banking

Bangladesh has both conventional and Islamic banking services. Although they may offer similar customer-facing facilities, their financing structures and contractual principles differ.

Feature Conventional Banking Islamic Banking
Operating principles Generally uses interest-based banking arrangements Follows Islamic Shariah principles
Financing structure Loans and credit facilities with contractual interest Trade, leasing, investment and other Shariah-compliant arrangements
Deposits and returns Returns may be fixed or variable according to product terms Returns depend on the relevant Shariah-compliant contract
Risk allocation Depends on the product and contractual terms Depends on the underlying Islamic financing structure
Available services Deposits, loans, cards, payments and trade finance Deposits, investments, payments and trade finance structured according to Shariah principles

Customers should compare fees, contractual terms, risks and service quality before choosing a bank or financial product.

The Role of Bangladesh Bank

Bangladesh Bank is the central bank of Bangladesh and plays a key role in supervising the country’s banking sector. Its responsibilities include monetary policy, banking regulation, financial stability, payment systems and other central banking functions.

In relation to scheduled banks, Bangladesh Bank maintains the official classification of banks and establishes applicable prudential and regulatory requirements. It also publishes information about banking activities, branches, deposits, credit and other financial indicators.

For the most reliable and up-to-date information, readers should consult the official Bangladesh Bank website at https://www.bb.org.bd/.

Frequently Asked Questions (FAQs)

1. How many scheduled banks are there in Bangladesh?

Bangladesh Bank’s published information identifies 61 scheduled banks operating during FY 2023–24. Its current website may reflect subsequent regulatory developments, so the latest official list should be checked before relying on a precise present-day count.

2. What are the main types of scheduled banks in Bangladesh?

The four principal ownership-based categories are state-owned commercial banks, specialised banks, private commercial banks and foreign commercial banks. Private commercial banks also include conventional and Islamic Shariah-based institutions.

3. How many private commercial banks are there in Bangladesh?

Bangladesh Bank’s published classification identifies 43 private commercial banks, comprising 33 conventional private commercial banks and 10 Islamic Shariah-based private commercial banks.

4. How many state-owned commercial banks are there in Bangladesh?

The traditional classification lists six state-owned commercial banks: Agrani Bank, Sonali Bank, Janata Bank, Rupali Bank, BASIC Bank and Bangladesh Development Bank. Readers should verify any subsequent restructuring or changes with Bangladesh Bank.

5. Which Islamic banks operate in Bangladesh?

The published list of full-fledged Islamic private commercial banks includes Islami Bank Bangladesh, Al-Arafah Islami Bank, Social Islami Bank, Shahjalal Islami Bank, EXIM Bank, First Security Islami Bank, ICB Islamic Bank, Union Bank, Standard Bank and Global Islami Bank. Current operating and regulatory status should be checked against official records.

6. How many foreign commercial banks operate in Bangladesh?

Bangladesh Bank’s published directory lists nine foreign commercial banks, including Standard Chartered Bank, HSBC, Citibank N.A., State Bank of India and Woori Bank.

7. What is the difference between a scheduled and a non-scheduled bank?

A scheduled bank is included in Bangladesh Bank’s official scheduled-bank list. A non-scheduled bank is not included in that list and generally operates under a more specialised legal mandate.

8. Which authority regulates scheduled banks in Bangladesh?

Bangladesh Bank is the country’s central bank and the principal authority responsible for regulating and supervising scheduled banks under the applicable laws and regulations.

Conclusion

Scheduled banks are an essential part of Bangladesh’s financial infrastructure. They support savings, business investment, agriculture, international trade, remittances, payments and financial inclusion.

The country’s banking sector includes state-owned commercial banks, specialised banks, private conventional banks, Islamic Shariah-based banks and foreign commercial banks. Each category serves different financial needs, and the services available vary by institution.

If you are looking for a bank in Bangladesh, compare its account options, fees, interest or profit arrangements, digital banking facilities, branch availability and customer service before making a decision. For official bank classifications and the latest regulatory information, always refer to Bangladesh Bank.

Official reference: Bangladesh Bank — https://www.bb.org.bd/