B Mirror Report: Administrators overseeing five merged Islamic banks have sought clear guidance from Bangladesh Bank on the institutions’ future following a new legal provision that has triggered fresh uncertainty among depositors.

A recently added clause in the Bank Resolution Act, 2026 allows former owners to regain control of merged banks by repaying 7.5 percent of the financial assistance provided by the government and the central bank. The development has raised concerns among depositors, many of whom are now attempting to withdraw their funds.

Bank officials say some customers are even willing to forgo profits and withdraw only their principal, highlighting growing unease about the banks’ stability.

The five Shariah-based banks EXIM Bank, Social Islami Bank, First Security Islami Bank, Union Bank, and Global Islami Bank were merged into a single entity in 2025 under the Bank Resolution framework. Bangladesh Bank appointed five administrators in November last year to oversee the consolidation process.

During a meeting with Bangladesh Bank Governor Mostakur Rahman on Sunday, the administrators raised the issue and formally requested written clarification on whether the merger process will continue as planned.

According to sources, depositors had long faced difficulties in accessing their funds. Confidence briefly improved after the government took control through the merger. However, uncertainty returned when the banks initially announced no profit payouts for 2024 and 2025, before later revising the rate to 4 percent. The new legal provision has further unsettled the situation.

Administrators warned that the ongoing uncertainty is hampering new deposit inflows and stalling loan recovery efforts. They stressed the need for a clear explanation of the intent behind the new clause, particularly whether there are plans to restore previous ownership and how depositor interests would be safeguarded.

Governor Mostakur Rahman did not provide immediate direction, stating that decisions would be made based on the evolving situation.

According to official data, the central bank has provided Tk 47,084 crore in support to the five banks, while the government has injected Tk 20,000 crore as capital into the merged entity. Additionally, Tk 12,000 crore has been allocated from the Deposit Insurance Trust Fund to ensure repayment of up to Tk 200,000 per depositor.

As of December, the combined loan portfolio of the five banks stood at Tk 196,827 crore, of which Tk 165,781 crore about 84.23 percent had become non-performing. In comparison, the overall non-performing loan ratio in the banking sector is 30.60 percent.

The five banks also account for a large share of the sector’s capital shortfall. Of the total Tk 282,603 crore deficit across 22 banks, Tk 150,691 crore is attributed to these institutions.