Commercial banks have got six more months to advanced-to-deposit ratio (ADR) that measures loans as the percentage of deposits.
Bangladesh Bank in an order on Thursday (Mar 7) extended the time amid liquidity crisis in the banks, according to officials.
It’s the fourth time, the central bank has extended the deadline since April last year when the ceiling for ADR was lowered by 1.5 percentage points to 83.5 percent to curb aggressive lending.
In its directive to top commercial bank executives, the Bangladesh Bank said that the ADR has to be adjusted by Sep 30, 2019.