Bangladesh Bank (BB) has issued a new directive requiring all scheduled banks to report any dividend declaration against shares within seven days of the respective board meeting, reports BSS.
The instruction was issued to protect the interests of depositors and strengthen the overall financial stability of the country’s banking sector, according to a circular released by the central bank on Sunday.
The directive forms part of the ongoing implementation of Risk Based Supervision (RBS), a strategic reform earlier notified through SPCD Circular No-03 dated December 24, 2025.
Under the framework, Bangladesh Bank is restructuring several of its supervision-related departments to align with international regulatory standards.
The move aims to consolidate the monitoring of banking activities and improve transparency in financial disclosures across the banking industry.
In a significant procedural change, the central bank has also revised the reporting channel for dividend declarations. Previously, banks were instructed to submit such reports to the Department of Off-site Supervision under the 2025 guidelines.
Under the new directive, banks must now submit their dividend reports to two designated units — the Bank Supervision Department (BSD) and the Supervisory Data Management and Analytics Department (SDMAD).
Bangladesh Bank said the reports must follow a prescribed format and be signed by the Managing Director or Chief Executive Officer of the respective scheduled bank to ensure institutional accountability.
Compliance with the seven-day reporting requirement will be mandatory for all dividend declarations against shares.
The circular, identified as SPCD Circular No-05, said the central bank introduced the updated regulations after reviewing several key factors, including the overall condition and financial health of the banking sector, the protection of depositors’ interests, and the need to maintain the financial strength of banks while ensuring consistent returns for investors.
Bangladesh Bank also clarified that apart from the revised reporting destination, other instructions outlined in DOS Circular No-01 issued on March 13, 2025 will remain in force.
Bd-pratidin English/ Jisan
