5 Islamic banks’ depositors protest over frozen funds

Depositors of five troubled Islamic banks staged a road march in Chattogram on Tuesday, demanding the return of their savings and restoration of normal banking services.

The programme was held under the banner of the Sammilito Islamic Bank Depositors Association-Chattogram Division and began from the Chattogram Press Club following a press conference earlier in the day.

At the press briefing, General Secretary Md Jahangir Hossain said depositors have been unable to withdraw their savings for the past two years, causing severe financial hardship for many families.

He said people are struggling to meet daily expenses, education costs and medical bills, while many have been forced into debt due to the crisis.

Jahangir alleged that despite repeated peaceful protests, no effective solution has been provided so far.
Referring to the Bank Resolution Ordinance issued on April 10, he said the framework did not adequately protect depositors’ interests and instead created further uncertainty through restrictive provisions.

The association placed four key demands, including the abolition of the “haircut” policy, full repayment of deposits, restoration of normal banking operations, payment of FDR and DPS funds as per contracts, and maintenance of previously declared profit rates.

During the road march, Vice-President Sharmin Akter said many depositors had placed their life savings, pension funds, land sale proceeds and remittances in these banks, but are now unable to withdraw their money.

Association President Abul Kalam Azad said depositors are ordinary citizens without political backing and urged the government to prioritise their interests in upcoming policy decisions.

The five banks involved are EXIM Bank, Social Islami Bank, First Security Islami Bank, Global Islami Bank and Union Bank.

According to the association, the banks collectively hold deposits worth Tk1.31 lakh crore from around 75 lakh customers.

The protest movement has been ongoing for months in Chattogram, including earlier demonstrations where branches of several banks were locked in demand of withdrawal of the haircut policy and restoration of normal services.