Bangladesh Bank on Sunday approved another non-bank financial institution aiming to attract venture capital, said central bank officials. The decision came at a meeting of the BB’s board of directors at the central bank headquarters in the capital with BB governor Atiur Rahman in the chair. The approved NBFI is Alliance Leasing and Finance Ltd. BB officials said the central bank had approved the NBFI on political consideration as the ruling party-backed people are behind its ownership. Besides, some investors of Sri Lanka will also be involved in the new NBFI. The BB board has decided to issue letters of intent to approve the NBFI, giving it a period of six months to comply with the existing rules and regulations for setting up new financial institution, central bank deputy governor SK Sur Chowdhuray told New Age on Sunday. The BB will issue licence to the NBFI after its proper compliance with all conditions, he said, adding that loan defaulters and tax evaders would not be allowed to become the directors of the new financial institution, he said. The authorities concerned of the approved NBFI will have to deposit the amount of their paid-up capital worth Tk 100 crore with the central bank, before starting its operation, another BB official said. The central bank issued letters of intents on March 5, 2014 to two more NBFIs namely CAPM Venture Capital Finance and Meridian Finance Investment on political consideration. The BB asked the two institutions to comply with the rules and regulations by six months to get licences from the central bank. But, the two institutions are yet to fulfil the rules and regulation resulting that they did not get the licences yet, the BB official said. Currently, 31 NBFIs are running their businesses in the country.