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The Bangladesh Financial Intelligence Unit (BFIU) has identified 42 companies as major loan defaulters and is seeking the assistance of eight foreign firms to trace their assets and funds held abroad.
The international firms will help identify overseas assets and financial holdings belonging to the alleged loan defaulters and provide legal assistance to recover and repatriate the assets to Bangladesh.
The initiative is part of the government’s broader efforts to recover defaulted loans and assets allegedly transferred abroad through irregular financial transactions.
The government plans to expand the initiative in phases as it seeks to strengthen efforts to recover money siphoned out of the country.
The move comes amid growing concerns over the sharp rise in non-performing loans in Bangladesh’s banking sector.
Authorities have been pursuing various measures to identify assets of major defaulters and recover public money.
Earlier, the government also engaged international accounting and consultancy firms to conduct reviews of banks and assist in tracing assets linked to major borrowers.
The authorities hope that cooperation with foreign firms and overseas agencies will help overcome legal and jurisdictional challenges involved in recovering assets held outside Bangladesh.
