Bangladesh Bank

Department of Banking Inspection 6   

Name & Designation Email Telephone Fax
A.K.M Sajedur Rahman KhanDeputy Governor880-2-9530417880-2-9530479
A.K.M. Mohiuddin AzadExecutive Director880-02-9530428--
Mohammad Mamunul HoqueGeneral Manager (G)880-2-22335770188-02-9577702

Bangladesh Bank is empowered to regulate and supervise the banking companies and financial institutions of the country (vide Bangladesh Bank Order 1972) The Department of Banking Inspection-6 (DB1-6) is one of the core departments of Bangladesh Bank, which is entrusted with the responsibility of supervising the performance of 05 (five) Islamic banks named- (1) Islami Bank Bangladesh Ltd; (2) First Security Islami Bank Ltd; (3) Global Islami Bank Ltd; (4) Standard Bank Ltd and (5) ICB Islamic Bank Ltd. with special emphasis on regulatory and supervisory compliances. This department conducts on-site inspections periodically in these banks. In addition, this department also looks after the activities of the Islami banking branches of local conventional banks.

Stability and soundness of the country's financial services industry mostly depends on the smooth operations of the financial system. With a view to ensuring stability in the financial system DB1-6 examines the books of accounts and related documents/records through on-site inspection of 05 (five) Islamic banks mainly to ensure the safety of the depositors' money.

This department mainly conducts regular comprehensive inspections on quarterly basis. In addition, the Department conducts risk based and special inspections. The regular comprehensive inspections are conducted in accordance with the Annual Inspection Program prepared ahead of beginning of each calendar year.

Each year the department examines asset quality of the banks on the basis of 31st December and ensures reflection of observation of this inspection in the annual financial statements of the banks. This is ensured through exchanging views in a tri-partite meeting among concerned bank management, external auditors and inspection team before finalization of financial statements.

Review of Internal Capital Adequacy Assessment Process (ICAAP) of banks is also done by this department.

Risk-based inspection is conducted to examine the level of compliance of the Core Risk Management Guidelines by the regulated banks. Core risk inspections are done on annual basis that cover risks associated with credit/investment, Internal Control and Compliance, Asset-Liability Management, Information & Communication Technology and Anti-Money Laundering. Special inspections are, on the other hand, conducted in addition to routine and regular programs for any special purpose either being instructed by the higher authority, or by the Department by itself to investigate into the Issues relating to compliances or on self-motivated basis.

Inspection reports are prepared by the inspection teams incorporating their observations and recommendations are solely meant for compliance by the banks. Ensuring compliance of the recommendations through respective Compliance Unit is one of the core functions of the department.