58pc commercial banks have no guidelines for fund transfer: report

DHAKA – Country’s 58 percent commercial banks have no guidelines for transferring funds within their branches while 98 percent banks use old age system to calculate fund transfer pricing, according to a research report of Bangladesh Institute of Bank Management (BIBM), reports BSS.

Only four percent banks follow fund transfer curve for pricing calculation by using online calculator, said the report released at a seminar styled ‘Fund Transfer Pricing of Commercial Banks: Status and e for Complementing in Banks of Bangladesh’ here today.

Associate Professor of BIBM Md Alamgir presented the research report. BIBM Director General Dr Tawfiq Ahmad Chowdhury chaired the seminar while BB’s Deputy Governor Abu Hena Mohammad Razee Hassan, Bangladesh Securities and Exchange Commission (BSEC) Commissioner Dr Swapan Kumar Bala, BB’s Executive Director Md Shafiqul Islam, Prime Bank’s Managing Director Ahmed Kamal Khan Chowdhury, Prof Yasin Ali and Helal Ahmad Chowdhury of BIBM took part in the discussion.

According to the report, 62 percent banks calculate fund transfer costs manually. Again 85 percent banks calculate fund transfer pricing by a specific committee, it also said.

In the seminar, BIBM’s Director (research development and consultancy) Dr Prashanta Kumar Banarjee presented another research report titled ‘Sustainability Reporting Process in Banks of Bangladesh’.

It said only seven percent commercial banks follow Global Reporting Initiatives (GRI) guideline to prepare their sustainability reports.

“Thirty-four banks are not following GRI guideline and other banks partially follow this guideline although there was an order from BB to publish sustainability reports independently by June in 2015,” Banarjee said in the report.