The country's banking sector is stable and capable of tackling any risk, according to a Bangladesh Bank document, which attributes strong capital adequacy and sufficient liquidity to the banks' strength, reports BSS. Constant internal and external monitoring, upgrading loan classification and provisioning to the global standard and ensuring good governance in the board of directors have also contribute to the higher resilience and the strength of the banking sector, the document said.
According to the BB, the risk-weighted capital adequacy ratio, which is one of the major indicators of the banks' health, stood at 11.35 per cent at the end of December when the amount of reserve capital in banking sector rose to Taka 71 thousand 754 crore. 
"The higher capital adequacy ratio and reserve capital boosted the bank's resilience to risks," BB said.
It said the loan classification and provisioning also upgraded to the international standard, with limiting the time for loan classification and making minimum capital requirement (MCR) mandatory for all banks.
The central bank said the profit before tax and provisioning in the banking sector also rose to Taka 21 thousand 265 crore in 2014 from the previous year's Taka 18 thousand 610 crore.
The document showed that liquidity in banks was Taka 3 thousand 364 crore, which was usual for the country's banking sector, having 56 banks in operations.
"The adequate liquidity helps maintain stability in the call money market where the interest rate remains around 7.0 percent for long," BB said.
The credit growth also marked 13.99 percent rise in 2014 when banks disbursed Taka 5 lakh 28 thousand 755 crore compared to Taka 4 lakh 63 thousand 871 crore only to the individual borrowers, indicating dynamism of economy.
BB said the banks also disbursed loans to export oriented industries from the Export Development Fund (EDF) at only 2.0 percent rate of interest to help accelerate the country's export earnings.