MoU signed for Exim Bank – Padma Bank merger on Monday
Mr. Mohammad Feroz Hossain and Tarek Reaz Khan, the managing directors of Exim Bank and Padma Bank signed a memorandum of understanding (MoU) to open the process of merger on Monday, 18th March morning.
The Bangladesh Bank governor and deputy governors and other officials were present at the signing ceremony. The Padma Bank and Exim Bank chairmen, Md. Afzal Karim and Mr. Md. Nazrul Islam Mazumder were also present.
After the signing ceremony, Exim Bank Chairman Md Nazrul Islam Mazumder told journalists that it is a historic decision for the betterment of the country.
Exim Bank chairman assures safety of depositors’ money and no layoffs at Padma Bank, but there will be no Padma Bank directors on Exim Bank’s board
“The government proposed us to take the weak bank and that is why Exim Bank acquired Padma Bank,” he said.
The name of Padma Bank will not exist after the merger, Mazumder said.
After changing its name and merging with Exim Bank, the journey of Padma Bank, formerly known as Farmers Bank, came to an end on Monday.
However, it will take about 3-6 months to complete this merger process, according to sources in the two banks, and Bangladesh Bank.
The two banks will now be audited by a third party.
