Citizen Initiative is closely monitoring, with deep concern, the ongoing crisis surrounding Islami Bank Bangladesh PLC, one of the country’s largest banks. Recent changes to the bank’s Board of Directors, the appointment and replacement of its Chairman and Managing Director (MD), and the controversies surrounding the decision-making process are matters directly related to good governance, transparency, and public confidence in the country’s banking sector.

We are observing serious questions regarding transparency, accountability, and the meaningful participation of stakeholders—including depositors and shareholders- in decisions concerning the bank’s ownership structure, composition of its Board of Directors, and changes in its senior management. If these decisions have been influenced by political pressure, administrative interference, or the interests of a particular group associated with the ousted regime, they could pose a long-term risk to the stability of the country’s economy. It is essential that the public be given a clear explanation of the process and legal basis through which decisions concerning the bank’s ownership structure, changes to its Board of Directors, and appointments to senior management have been made.

We are also deeply concerned by reports in various news media that law enforcement agencies used force during a peaceful program organized by the Islami Bank Customer Forum. The reported use of water cannons, sound grenades, tear gas shells, and batons against peaceful protesters is a matter of serious concern. Citizen Initiative firmly believes that citizens’ rights to peaceful assembly and freedom of expression are fundamental to a democratic system and must be respected and protected through a restrained and proportionate approach.

Citizen Initiative’s Demands

1. The legal basis and procedures behind all decisions concerning changes to Islami Bank’s Board of Directors, Chairman, and senior management must be made public.
2. If there are allegations that the bank’s ownership or control structure was changed due to political influence, administrative pressure, or the interests of any particular group, these allegations must be investigated independently and impartially, and any unlawful decisions must be revoked.
3. A transparent and independent investigation must be conducted into the use of force by police during the Customer Forum’s peaceful program.
4. Medical treatment, safety, and legal assistance must be ensured for those who were injured or otherwise affected.
5. Bangladesh Bank must provide a comprehensive explanation of all recent administrative and operational changes at Islami Bank.
6. Formal and regular dialogue must be established with customers, depositors, and shareholders.
7. Any action taken by law enforcement agencies must be consistent with human rights standards, restrained, proportionate, and subject to accountability.

Citizen Initiative believes that the ongoing crisis surrounding Islami Bank represents an important test of good governance in Bangladesh’s banking sector, transparency in the state’s regulatory framework, and the state’s responsibility to uphold citizens’ rights. A sustainable resolution to this crisis can only be achieved through genuine political will, transparency, accountability, and meaningful dialogue on the part of the government.

Submitted by
Public Relations
Citizen Initiative