The draft of the Bangladesh Bank Ordinance (Amendment) 2025 proposes giving the Governor of Bangladesh Bank the rank of a minister and requiring him to take an oath before the Chief Justice.

The proposed law, which replaces the Bangladesh Bank Order 1972, seeks to increase the central bank’s autonomy and responsibility. Governor Ahsan H. Mansur verified the situation.The proposal suggests removing all bureaucrats from Bangladesh Bank’s board of directors, which would be a significant departure from the current structure. The draft has been approved to improve the central bank’s independence, as suggested by the International Monetary Fund (IMF).

“There may be challenges posed by government and bureaucracy, yet the governance of the financial sector must transcend political influences,” stated Governor Ahsan H. Mansur during a discussion held by the Center for Policy Dialogue (CPD) on Sunday, August 10.

At present, the governor is appointed by the government and ranks below the Cabinet Secretary and the Principal Secretary to the Prime Minister. Under the new proposal, the President will appoint the Governor based on the Prime Minister’s recommendation and with Parliament’s approval. The candidate will be subject to ‘fit and proper’ criteria.

Before taking office, the Governor and Deputy Governors will swear an oath before the Chief Justice. The Board will include the Governor, two Deputy Governors selected by the Governor, and eight additional directors appointed by the government from the Governor’s proposed list. No current government official will be allowed to serve on the Board, and no appointments will be made outside the proposed list.

The draft suggests removing the current Board members, specifically the Secretary of the Finance Department, the Secretary of the Financial Institutions Department, and the Chairman of the National Board of Revenue.

The Board will be granted comprehensive supervisory and strategic control powers to ensure the bank’s autonomy is safeguarded.

A Coordination Council will be established to align monetary policy and exchange rate policy, chaired by the Finance Minister. Its members will include the Governor of Bangladesh Bank, the Commerce Minister, the Planning Minister, and the Secretary of the Finance Department.

The term for the Governor and Deputy Governor will be six years, with the possibility of one renewal. They will not be allowed to serve as members of Parliament, local government representatives, or hold any other government office, nor will they be permitted to occupy any other government-paid position. They may be dismissed by the President upon the Prime Minister’s recommendation and with Parliament’s approval.”