Bangladesh Bank (BB) Governor Ahsan H. Mansur has announced plans to merge six financially distressed banks under temporary government ownership by July, citing widespread irregularities and loan scandals as the primary causes of their deterioration.

In an interview with a private television channel, the Governor stated that the banks—First Security Islami Bank, Social Islami Bank, Union Bank, Global Islami Bank, EXIM Bank, and National Bank—will be consolidated to stabilize the financial system. The merger aims to inject fresh capital and restructure their operations before transferring ownership to public and strategic international investors.

Five of the six banks are reportedly linked to the controversial business conglomerate S. Alam Group, while the sixth was run by Nazrul Islam Majumder.

“We expect to bring these six banks under government control by July and provide the required capital,” said Mansur. “Bangladesh Bank has already extended liquidity support to them.”

The Governor clarified that the government’s ownership would be temporary, intended only to facilitate necessary reforms. Once restructured, the banks’ shares will be gradually offloaded to the public and qualified foreign investors.

According to central bank regulations, commercial banks must maintain a minimum capital adequacy ratio (CAR) of 12.5%, including a 2.5% capital conservation buffer (CCB). The Governor noted that banks failing to meet this requirement will be brought to compliance over the next four years, with a new target range of 12.5% to 15%.

Bangladesh Bank spokesperson Arif Hossain Khan confirmed that while there has been no official press release, the Governor’s statements were accurate and not denied by the central bank. “Since no rebuttal has been issued, we assume the Governor’s comments stand,” he said.