Bangladesh Bank (BB) Governor Dr Atiur Rahman said the central bank would provide cooperation and support to the commercial banks if they ensured transparency and took step against irregularities in a bid to establish discipline in the banking sector.

“We assure the banks of providing all-out supports and cooperation if they ensure transparency in their activities and take steps against irregu-larities,” BB Governor said at a seminar yesterday.

He also urged the banks to sustain the growth they have achieved in the last year.

Bangladesh Bank organised the seminar on ‘Financial Crises and Regulatory Deficiency’ at its conference hall.

Former governor of the central bank AKN Ahmed presented the keynote paper at the seminar.

AKN Ahmed said the central bank would not only work independently but also maintain a mutual relation with the government to effectively run its business.

Urging the government for lessening dependency on IMF and World Bank, former BB chief suggested the developing countries to brace themselves to handle financial crisis on their own either unilaterally or collectively by making regional groupings between the countries having similar problems.

He also said the central banks of the developing countries should tune their monetary policies to the needs of the country’s overall development policy.

AKN Ahmed, however, said developing countries should give up their dependency syndrome but not their ongoing dialogues with IMF and the World Bank which, for poor countries, remained the principal source of financial aid on soft terms and technical advice in many areas.

No country could hide from globalisation now, he said observing that globilisation induced growth but growth was not globalised.

In his paper, former governor drew an elaborate analysis on financial crises and regulatory deficiency around the world with a background of the problem by citing cases of different countries.

Dr Atiur Rahman said the paper is a gist of knowledge AKN Ahmed acquired throughout his life and it could play a significant role in helping the officials of central bank in handling financial crisis efficiently.

The officers working in deferent units of Bangladesh Bank attended the seminar.

Source: Daily Sun/ Bangladesh/ Jan-7-2011