Law and Practice

1
JAGANNATH UNIVERSITY
Department of Finance
A Group Assignment on Bangladesh Bank's

Departments' Activity Statements
Course Name: Law & Practice of Banking

Course Title: FIN- 2204
Submitted to:
Ayesha Akhter
Assistant Professor
Department of Finance
Jagannath University
Submitted by:
Group Number - 11
15th Batch
Date of submission: 12 September 2023
Team Profile
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SL. Name Id Marks

No.
Presentation Report/
Assignment
01. Dalim chandra das B200203052 p
02. Fahima Akter Shova B200203061

03. Md. Naimur Rahman Nayan B200203074
04. MD. Shahed Ali B2020203089

05. Somapty Islam Soma B200203098
06. Jarin Tasnim B200203108

07. Sabbir Hossain B190203043
08. MD. Tamim Hossen B190203054

09. Ambia Binte Asad Lamia B190203078
10. Mahia Chowdhury B190203095
Table of Contents
1. Central Bank of Bangladesh...........................................................................................................................................4
3
2. Departments Of Bangladesh Bank and their activities.................................................................................................5

2.1 Accounts and Budgeting Department (A&BD):......................................................................................................6
2.2 Agricultural Credit Department:.............................................................................................................................6
2.3 Bangladesh Bank Library (BBL):............................................................................................................................6
2.4 Bangladesh Bank Training Academy (BBTA):.......................................................................................................6
2.5 Bangladesh Financial Intelligence Unit (BFIU):.....................................................................................................6
2.6 Bankers selection committee Secretariat and its activities.....................................................................................7
2.7 Banking regulations and policy department:..........................................................................................................7
2.8 Chef Economist unit..................................................................................................................................................8
2.9 Common Services Department.................................................................................................................................8
2.9.1 Common services department 1........................................................................................................................8
2.9.2 Common services department 2........................................................................................................................9
2.10 Credit Guarantee department..............................................................................................................................10
2.11Credit Information Bureau....................................................................................................................................11
2.12 Cyber Security Unit...............................................................................................................................................11
2.13 Debt Management Department............................................................................................................................12
2.14 Department of Banking Inspection......................................................................................................................12
2.14.1 Department of Banking Inspection 1............................................................................................................12
2.15 Department of Communications and Publications.............................................................................................19
2.16 Department of currency management of Bangladesh Bank:.............................................................................20
2.17 Department of Financial Institutions and Markets of Bangladesh Bank:.........................................................20
2.18 Department of Foreign Exchange Inspection of Bangladesh Bank:..................................................................21
2.19 Department of Off-Site Supervision of Bangladesh Bank:.................................................................................22
2.20 Deposit Insurance Department of Bangladesh Bank:.........................................................................................22
2.21 Equity and Entrepreneurship Fund Unit............................................................................................................23
2.22 Expenditure Management Department...............................................................................................................24
2.22.1 Expenditure Management Department 1.....................................................................................................24
2.22.2 Expenditure Management Department 2.....................................................................................................25
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2.23 Financial Inclusion Department...........................................................................................................................27

2.24 Financial Institutions Inspection Department.....................................................................................................28
2.25 Financial Integrity and Customer Services Department....................................................................................29
2.26 Financial Sector Support and Strategic Planning Department (FSSSPD)........................................................32
2.27 Financial Stability Department............................................................................................................................32
2.28 Foreign Exchange Investment Department.........................................................................................................32
2.29 Foreign Exchange Operation Department..........................................................................................................33
2.30 Foreign Exchange Policy Department.................................................................................................................33
2.31 Forex Reserve and Treasury Management Department:...................................................................................34
2.32 Grihayan Tahbil and Fund Management Unit:..................................................................................................35
2.33 Human Resources Department............................................................................................................................36
2.33.1 Human Resources Department 1...................................................................................................................36
2.33.2 Human Resources Department 2...................................................................................................................36
2.34 Information and communication Technology Department:...............................................................................37
2.35 Integrated Supervision Management Department:............................................................................................37
2.36 Department of Internal Audit of Bangladesh Bank:...........................................................................................38
2.37 Department 0f Investment Promotion & Financing Facility II (IPFF II) Project Cell of Bangladesh Bank: 38
2.38 Department of Law of Bangladesh Bank:............................................................................................................39
2.39 Department of Monetary Policy of Bangladesh Bank:.......................................................................................39
2.40 Department of NFIS Administrative Unit of Bangladesh Bank:.......................................................................40
2.41 Department of Payment Systems of Bangladesh Bank:......................................................................................40
2.42 Department of Research of Bangladesh Bank:...................................................................................................41
2.43 Secretary's Department:.......................................................................................................................................42
2.44 Security Management Department:.....................................................................................................................43
2.45 SME & Special Programmes Department:.........................................................................................................44
2.46 Special Studies cell:...............................................................................................................................................44
2.47 Statistics Department:...........................................................................................................................................45
3. Conclusion.....................................................................................................................................................................46
4. References:.....................................................................................................................................................................46
1. Central Bank of Bangladesh

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Bangladesh Bank: the central bank and apex regulatory body for the country’s monetary and financial system,
was established in Dhaka as a body corporate, by the Bangladesh Bank order, 1972 (president order no 127, of
1972) with effective from 16th December, 1971.
Bangladesh Bank ordinance 1972 is the order of president by which Bangladesh bank is effective and also
described the rules regarding operation of Bangladesh Bank which are summarized latter.
Branches of Bangladesh Bank: There are 10 branches of Bangladesh Bank. They are located at:
1. Motijheel
2. Sadarghat
3. Mymensingh
4. Barishal
5. Khulna
6. Sylhet
7. Bogra
8. Rajshahi
9. Rangpur
10. Chittagong
2. Departments Of Bangladesh Bank and their activities
Dalim Chandra Das

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B200203052
2.1 Accounts and Budgeting Department (A&BD):
● The Accounts and Budgeting Department (A&BD) within Bangladesh Bank plays a pivotal role in
ensuring the financial integrity and transparency of the central bank. It is primarily responsible for
maintaining meticulous records of Bangladesh Bank's income and expenditure. This includes conducting
daily trial balances and preparing income statements on various timelines, ranging from monthly to
annually. An essential aspect of its function is to ensure that all financial statements adhere rigorously to
International Accounting Standards (IAS) and International Financial Reporting Standards (IFRS).
● Budgetary control is another significant dimension of the A&BD's responsibilities. This entails the
formulation of budgets, reallocation of funds within budget allocations, and the establishment of policies
and regulations pertaining to financial reporting. Moreover, A&BD is instrumental in maintaining
government accounts and disseminating financial data to government stakeholders. It validates and
settles government account transactions managed by commercial banks and generates compliance
reports based on external and commercial audit findings.
● Beyond this, the department manages foreign currency transactions and maintains associated records. It
also prepares daily reserve position statements. In addition, it oversees accounts related to central bank
strengthening projects and facilitates fund withdrawals, as well as report submissions to international
organizations like the World Bank. In essence, the Accounts and Budgeting Department is an
indispensable pillar of financial oversight and accountability, ensuring that the central bank's financial
operations strictly adhere to international standards while providing precise and comprehensive financial
information to internal and external stakeholders.
2.2 Agricultural Credit Department:
● The Agricultural Credit Department is a pivotal player in shaping and executing agricultural credit
policies in Bangladesh. Its core responsibilities encompass the formulation of policies related to the
agricultural and rural credit sectors. An essential facet of its mission is to ensure the transparent and
timely distribution of credit to rural communities, specifically for agricultural purposes and rural
employment initiatives.
● Furthermore, this department extends loan facilities to specialized banks, including institutions like
Grameen Bank, Ansar VDP Unnayan Bank, and Karmasangsthan Bank. These loans are backed by
government guarantees, enabling the extension of microcredit services to rural communities. The
Agricultural Credit Department also assumes the crucial role of overseeing the Lead Bank Scheme,
which aims to coordinate the distribution of agricultural credit for overall rural development.
● Another significant function is the collection and maintenance of data on agricultural credit, which is
then shared with government ministries and international bodies such as the IMF, World Bank, ADB,
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and IFAD when necessary. In essence, the department plays a central role in ensuring the effective
distribution of credit to bolster agricultural and rural development in Bangladesh, fostering economic
growth and sustainability.
2.3 Bangladesh Bank Library (BBL):
● The Bangladesh Bank Library (BBL) stands as a modern and specialized repository of knowledge,
actively adapting to contemporary technology and information needs. Its historical roots trace back to
1962 when it initially began as the 'State Bank of Pakistan Library' within a single room. However,
following the liberation war in 1971, it underwent a transformation into the 'Bangladesh Bank Library.'
Substantial structural development and automation initiatives initiated in 2012 propelled BBL into the
ranks of modern libraries in Bangladesh by 2016.
● BBL's overarching vision revolves around being a dynamic repository that actively contributes to the
economic and financial development of Bangladesh. Its multifaceted mission encompasses catering to
the informational and recreational needs of Bangladesh Bank's human capital, fostering collaboration
with libraries both domestically and internationally, delivering top-notch services to its patrons, and
promoting the library as a center for knowledge and recreation.
● In sum, the Bangladesh Bank Library is a progressive institution that serves as a gateway to valuable
information and plays an indispensable role in advancing the knowledge and development goals of the
banking community, development workers, researchers, and various stakeholders within the nation.
2.4 Bangladesh Bank Training Academy (BBTA):
● The Bangladesh Bank Training Academy (BBTA) is dedicated to achieving several key objectives in the
realm of education and training. Foremost among its goals is the aspiration to establish itself as a world-
class center of excellence, delivering high-quality training to both banks and non-bank financial
institutions. Simultaneously, BBTA seeks to enhance knowledge management through research,
knowledge exchange, and innovations in learning processes.
● BBTA conducts a diverse array of functions, including close collaboration with the Training &
Development Wing of HRD. This includes the formulation and design of an Annual Training Plan,
course calendars, syllabi, and course contents. Moreover, BBTA plays an instrumental role in
conducting workshops, seminars, and courses as per the requests of different departments/offices of
Bangladesh Bank and external organizations.
● The academy is particularly significant for its role in providing training to newly recruited Assistant
Directors of Bangladesh Bank, as well as employees and officers of various financial institutions,
including scheduled banks, financial institutions, non-banking financial institutions, and NGOs. It places
a strong emphasis on involving experts and resource persons in various training programs to ensure that
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high-quality training is consistently delivered. Additionally, BBTA is committed to enriching its library
resources to support its training and knowledge dissemination endeavors.
● In conclusion, the Bangladesh Bank Training Academy is a dynamic hub of learning, dedicated to
advancing education and training in the financial sector, keeping pace with technological advancements,
and enhancing the English language skills of Bangladesh Bank officials.
2.5 Bangladesh Financial Intelligence Unit (BFIU):
● The Bangladesh Financial Intelligence Unit (BFIU) stands as the central agency in Bangladesh tasked
with the critical mission of analyzing and managing reports concerning suspicious financial transactions,
cash transactions, and information related to money laundering and the financing of terrorism. BFIU
collects these reports from reporting agencies and other sources and subsequently disseminates
intelligence to relevant law enforcement bodies. Furthermore, BFIU plays a pivotal role in facilitating
the exchange of information on money laundering and terrorist financing with international counterparts.
● Established initially in June 2002 as the 'Anti Money Laundering Department' within the central bank of
Bangladesh (Bangladesh Bank), BFIU gained operational independence and was officially designated as
the Bangladesh Financial Intelligence Unit on January 25, 2012, in accordance with the Money
Laundering Prevention Act of 2012. This marked a significant milestone in its evolution, solidifying its
status as a credible international player in the fight against money laundering, terrorism financing, and
the proliferation of weapons of mass destruction. The primary objective of BFIU is to establish an
effective system aimed at preventing money laundering, combating terrorist financing, and averting the
proliferation of weapons of mass destruction.
● In summary, the Bangladesh Financial Intelligence Unit serves as the nation's foremost authority in
financial intelligence, playing an indispensable role in safeguarding the financial system from illicit
activities, both domestically and on the international stage.
Jarin Tasnim
B200203108
2.6 Bankers selection committee Secretariat and its activities
The Bankers' Selection Committee Secretariat in Bangladesh is responsible for conducting recruitment exams
and selecting candidates for various positions in the banking sector of Bangladesh. Its activities include:
● Job Circulars: The Secretariat publishes job circulars, announcing job vacancies in different banks and
financial institutions.
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● Application Processing: It receives and processes job applications from interested candidates for the
advertised positions.
● Examination Planning: The committee plans and organizes written exams and viva voce (interviews) for
eligible candidates.
● Admit Card Issuance: It issues admit cards to candidates, specifying exam details, venues, and
schedules.
● Exam Conduct: The Secretariat administers recruitment exams, ensuring a fair and transparent process.
● Result Publication: After evaluating exam papers and conducting interviews, it publishes the results and
merit lists of successful candidates.
● Candidate Selection: Based on the results and merit lists, eligible candidates are selected for job
placements in various banks and financial institutions.
● Recommendations: The committee recommends selected candidates to the respective banks for further
hiring procedures.
● Document Verification: It may also conduct document verification to confirm candidates' qualifications
and eligibility.
● Support Services: The Secretariat provides administrative and logistical support to ensure the smooth
execution of recruitment activities.
2.7 Banking regulations and policy department:
This department is basically responsible for issuance of prudential regulations and guidelines to ensure a sound
and stable banking system. The major areas covered are:
● Review and drafting of banking statutes.

● Determination of bank rate, capital adequacy requirements, asset classification and provisioning
standard.
● Prescribing Criteria for corporate governance and insider lending and monitoring thereof. Setting criteria
for internal control and risk management system of banks and monitoring thereof.
● Determination of accounting standards and disclosure requirements for banks.
● Issuance of license for opening of new bank and new business center of existing banks.
● Effecting disciplinary action against Board of Directors/CEO of banks.
● Monitoring of law suits lodged by and against banks relating to recovery of loans.
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● Attending to works relating to development of priority/special sectors of the economy.

● Issuance of directives and compliance thereof under the Banking Companies Act, 1991.
2.8 Chef Economist unit
● Ensuring key BB policy actions are underpinned by quality economic analysis working collaboratively
with different departments
● The production of quality working papers as well as policy notes on issues relevant to BB’s objectives
related to inflation, growth and financial stability
● The drafting of BB’s annual Monetary Policy Statement (MPS) in collaboration with Monetary Policy
Department (MPD)
● The drafting of the analytical report "Bangladesh Bank Quarterly (BBQ)" focusing on the dynamics of
macro-economy and financial sector of Bangladesh
● The drafting of annual "Monetary Policy Review (MPR)"
● Provide guidance and support to relevant departments in drafting of BB’s Annual Report, Financial
Stability Report, Banking CSR Report etc.
2.9 Common Services Department
2.9.1 Common services department 1
Purchase of lands for office and residential purpose.

● Works relating to appointment of cleaning contractors for Head Office and branch offices.
● Works relating to purchase and maintenance of vehicles.
● Hiring of Staff buses/cars to provide transport facilities to the staff/officers.
● Management of transport pool and telex/fax services.
● Purchase and distributions of Computer, computer accessories, Printer, Photo copier and
maintenance thereof.
● Works relating to hiring office spaces /residential houses for Bangladesh Bank, Head Office and
branches.
● Management of banks immovable properties (Land) both Head Office and branches.
● Payment of taxes for bankers landed properties.
● Payment of bills against various procurement by CSD-1 and other departments.
● Payment of bills regarding all civil, mechanical and electrical works related to the office and
residential buildings.
● Issuing of certificate for drawing vehicle maintenance cost
● Payment of bills against purchase of paintings and constructions of murals by the Department of
Communications and Publications
● Payment of bills for house rent /BBTA caterer /cleaning contractor of Head Office etc.
● Management of Non-financial Assets and Inventories.
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● Receive and dispatch of letters and documents for all departments of Bangladesh Bank Head
Office.
● Implementation of ERP-MM-Module in Head Office all Branches of Bangladesh Bank.
2.9.2 Common services department 2
● Preparing Master Plans for Office and Residential Areas.

● Construction, Renovation and Maintenance of Office Buildings, Residential Buildings and
Establishments.
● Retrofit Old and Ancient Building to Extend Its Longevity and Usefulness.
● Installation And Maintenance of Building Related Facilities Like Lift, Air Conditioning System.
● Provide Continuous Supply of Electricity and Water.
● Installation, Renovation, Operation and Maintenance of Generator, Electrical Sub-Station, Power
Distribution System.
● Installation, Renovation, Operation And Maintenance Of Security Related Features, Like
Luggage Scanning Machine, Archway Metal Detector, CCTV Camera And Monitoring Network,
Digitalized Access Control System, Under Vehicle Monitoring And Controlling System Etc.
● Installation, Renovation, Operation And Maintenance Of Monetary Transaction Related
Equipment’s Used For Note Counting, Processing And Shredding. Installation And Maintenance
Of High Security Doors Of Vaults.
● Installation And Maintenance Of Water Purification System For Supplying Safe Drinking Water.
● Installation And Maintenance Of PABX System, Power Saving With Lighting Control By
Motion Sensors, Audio-Visual System For Conference Rooms, Solar System Etc.
● Disaster Management Including Installation And Maintenance Of Fire Detection And Fighting
System.
● 1Design And Maintain Parking Facilities Inside Bank Owned Premises.
● 13. Implementation And Maintenance Of SAP ERP, MM Module Which Is An Automated
Procurement Approval And Billing System Using Central Database System.
2.10 Credit Guarantee department
Formulation, review, and revision of necessary policy, regulations, guidelines, operation manuals etc. for
different credit guarantee schemes/programs and issuance of circular/circular letters.
● Formulate and review necessary selection criteria and eligibility criteria for result oriented participation
of banks and financial institutions. Assessment & introduction of new sectors to support CMSMEs’
through Credit Guarantee Schemes.
● Formulation and review of eligibility criteria for CMSMEs’ from time to time.
Preparation and dissemination of periodic reports on various aspects of Credit Guarantee Schemes.
● Coordinate, administer and settlement of legal issues.
● Screening and verification of CGS guarantee applications and issuance of guarantees.
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Formulation and up-gradation of an efficient, clearly documented and transparent claim management process.
● Evaluation and validation of claims against guarantees.
● Develop and maintain sound internal control framework to safeguard the operational integrity.
● Prepare and maintain effective and comprehensive risk management and corporate governance
framework.
● Monitoring and supervision (on-sight and off-sight) of the guaranteed loans of PFI and loan collection
efforts.
● Arrange different capacity and awareness building and promotional programs (i.e. training, seminar,
workshop, fair etc.) for CMSMEs’ development in collaboration with different stakeholders.
● Communication and coordination with stakeholders, i.e. Ministries, Government Agencies & Offices,
Development Partners, Banks and Financial Institutions.
● Negotiation and implementation of the project(s) on Credit Guarantee Schemes financed by the GoB and
other Development Partners.
● Preparation of the Final Accounts of the Credit Guarantee Schemes.
● Administration and maintenance of Credit Guarantee Schemes operational and investment account(s).
● Maintenance and investment of the Credit Guarantee Schemes funds, i.e., seed funds, guarantee fee, and
other funds (if any).
● Compliance with audit requirements.
● Collect and analyze Credit Guarantee Schemes data from Banks and Financial Institutions.
● Automation of the Credit Guarantee Schemes operation.
Any other functions deemed necessary to operate Credit Guarantee Schemes.
MD. Shahed Ali

B2020203089
2.11 Credit Information Bureau
Credit Information Bureau (CIB) was set up in Bangladesh Bank (BB) on 18 August 1992 with the objective of
minimizing the extent of default loans. Recently, Credit Information Bureau of Bangladesh Bank undertakes
several initiatives with a view to increasing the score of 'Depth of Credit Information Index' which is a part of
'Getting Credit' of Doing Business Report prepared by World Bank for achieving higher ranking position by
Bangladesh The functions of credit information Bureau (CIB)
 Collection of credit information (including credit cards irrespective of positive or negative data)
having outstanding balance of Tk. 1(one) and above from all scheduled banks and non-bank
financial institutions.
 Prepare a database after validating and processing of that credit information.
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 Update credit information (contract data) of borrowers according to demand by Banks/NBFIs

during interim period of monthly batch contributions.
 Correct credit information (subject data) of borrowers according to the demand by Banks/NBFIs.
 Provide default information on bank loans of the candidates who participate in National/Local
Elections to the election commission whenever it seeks.\Provide credit information to the
national Parliament, different ministries, different government bodies and different departments
of BB.
 Implement stay order passed by Honorable Court on borrowers, owners/directors/guarantors.
 Development of collateral information system with a view to preparing collateral database which
is isolated from the existing CIB online system.
2.12 Cyber Security Unit
Cyber Security Unit (CSU) was formed in Bangladesh Bank in July 2019.The activities of the said unit started
from May 2020.Functions of Cyber Security Unit (CSU) are
 Design and implement BB’s information security infrastructure to monitor IT installations and systems
for detection and prevention of unauthorized access and use; steering to completion of BB's ongoing
cyber security strengthening program and conduct annual reviews thereof to identify, access and
coordinate remediation of weaknesses in BB’s IT security systems.
 Take necessary steps in areas of Security Engineering (SE), Security Threat and Vulnerability
Management (STVM), Information Security Operations Center (ISOC), Security Information and Event
Management (SIEM), Financial Sector wide Critical Incident Response Team (CIRT) and Cyber
Security Intelligence (CSI), putting in place adequate documented processes, procedures and internal
technical controls in all these areas.
 Assess knowledge/skill enhancement needs for staff in the new CSU, set up appropriate training routines
of cyber security capacity building with up-to-date understanding of emerging trends in information
security technology.
 Ensure BB’s response-preparedness to IT security incidents through development and regular exercise
of incidence response and procedures, forecast leadership skills in getting things done in inter-
departmental/inter-agency team environments.
 Foster and facilitate a cyber security risk aware culture among all staffers in BB offices and departments
and ensure effective, efficient and balanced protection of all BB information assets.
 Develop security standards for IT platform in conformance with BB’s IT architecture, risk profile and
policy requirements.
2.13 Debt Management Department
The major functions of the Department:

 1. Formulation Of Policies Regarding Issuance Of TheTreasury Bills And Treasury Bonds;
 2. Execution Of The Issuance And Management Of The Special Treasury Bonds;
 3. Formulation Of Polices Regarding Shariah Based Government Securities;
 4. Perform The Activities Of Special Purpose Vehicle (SPV) For The Issuance Of Bangladesh
Government Investment Sukuk;
 5. Operate And Supervise The Primary Dealer System;
 6. Promote A Well Functioning Securities Market Through Building Up A Long Term Yield Curve;
 7. Strengthen The Institutional And Legal Framework To Attract More Investment In Govt. Securities;
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 8. Implement Policies Relating To Sanchayapatras And Sanchayabonds And Provide Clarification Of

Different Policies;
 9. Take Measures Against The Fraud And Forgery Of Non-Marketable Government Securities;
 10. Monitoring The Overnight Money Market Transactions.
Ambia Binte Asad Lamia

B190203078
2.14 Department of Banking Inspection
2.14.1 Department of Banking Inspection 1
Department of Banking Inspection-1 supervises the activities of four State-owned Commercial Banks
(SCBs) [Sonali Bank Limited, Janata Bank Limited, Agrani Bank Limited and Rupali Bank Limited].
This department conducts following types of inspections
A) Comprehensive/Regular/Traditional Inspection
B) Core Risk Inspection, And
C) Special Inspection.
a. Comprehensive Inspection:
Comprehensive inspections are conducted by this department as per inspection program prepared
annually. Some key areas of comprehensive inspection are:
 Evaluation of assets giving emphasis on classification and provisioning;
 Assessment of regulatory capital requirement;
 Verification of window-dressing relating to profit;
 Review of liquidity position;
 Evaluation of loan operation;
 In-depth analysis of large loans and concentration of credit;
 Detection of fraud, forgery, and actions taken against thereof;
 Evaluation of quality of corporate governance and customer services; and
 Compliance with various guidelines/instructions/circulars issued by Bangladesh Bank as well as
other regulatory authorities (e.g., Ministry of Finance, National Board of Revenue, Registrar of
Joint Stock Companies and Firms, Bangladesh Securities and Exchange Commission, etc.).
b. Core Risk Inspection:

This department conducts risk-based inspections covering following key risk areas:
 Credit Risk Management (CRM)
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 Internal Control and Compliance (ICC)

 Asset-Liability Management (ALM)
 Information and Communication Technology (ICT)
 Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) System.
c. Special Inspection:
Special inspections are conducted beyond routine programs, such as on weaknesses/ risk areas identified
from information submitted by the banks through statements/reports, Integrated Supervision System
(ISS), Enterprise Data Warehouse (EDW), etc. or as per instruction of appropriate authority.
Bangladesh Bank, as the apex institution of banking sector in Bangladesh, is shouldering the
responsibility of supervising the activities of commercial banks/Non-Bank Financial Institutions
(NBFIs). The institutions under the jurisdiction of Department of Banking Inspection-2 (DBI-2) fall are
03 Scheduled Specialized Banks, namely - Bangladesh Krishi Bank (BKB), Rajshahi Krishi Unnayan
Bank (RAKUB), Probashi Kallyan Bank, 03 Non-scheduled Specialized Banks, namely - Ansar-VDP
Unnayan Bank, Karmasangsthan Bank, Palli Sanchay Bank, 01 private Non-scheduled Bank, namely-
Jubilee Bank and 01 State-owned Financial Institution, namely -Investment Corporation of Bangladesh
(ICB).
This department conducts different types of inspection which may be summarized into the following
four major categories:
 Comprehensive/Regular/Traditional inspection;
○ valuation of assets giving emphasis on classification and provisioning;
○ Assessing capital requirement;
○ Verification of window-dressing relating to profit;
○ Review of liquidity position regarding maintenance of SLR & CRR;
○ Evaluation of loan operation, project financing;
○ In-depth Analysis of large loans and concentration of credit;
○ Detection of fraud, forgery and action taken thereof;
○ Evaluation of management quality and customer services and
○ Compliance with various guidelines/instructions/circulars issued by Bangladesh Bank,
National Board of Revenue, Registrar of Joint Stock Companies and Bangladesh
Securities and Exchange Commission as well as respective banks/NBFIs...
○
 Risk based or System inspection;
○ Asset-Liability Management (ALM);
○ Credit Risk Management (CRM);
○ Internal Control and Compliance (ICC) and
○ Information & Communication Technology (ICT).
 Special inspection/Surprise inspection
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Special inspections and surprise inspections are those which are conducted beyond routine
programs, viz., scrutiny of interest subsidy and the cases relating to the sick industries.
 SME loans inspection.
This department conducts inspection on SME service center, SME/Agri Branches of all Banks.
Moreover, inspection on SME loan activities of all Banks and Non-Bank Financial Institutions
(NBFIs) is also conducted by the department.
An inspection team is required to, inter alia, evaluate the financial position, operational
soundness and management quality of the banks/NBFIs. Besides, during the branch inspection
implementation of policy and guidelines imposed by the regulators, Govt. and bank itself are
examined. During Head Office inspection of a bank, among others its CAMELS rating is also
taken into account, which is one of the determining factors of the frequency of inspection.
Bangladesh Bank regulates and supervises the banking companies and financial institutions of the
country vide Article 7A(f) of Bangladesh Bank Order, 1972 and Section 44 of the Bank Companies Act,
1991.
Department of Banking Inspection-3 supervises the activities of the following 11 Private Commercial
Banks (PCBs):
1. AB Bank Limited
2. Bengal Commercial Bank Limited
3. Bank Asia Limited
4. Dutch-Bangla Bank Limited
5. IFIC Bank PLC
6. National Credit & Commerce Bank Limited
7. NRB Commercial Bank Ltd
8. Premier Bank Limited
9. 09.Prime Bank Limited
10. South Bangla Agriculture and Commerce Bank Limited
11. Uttara Bank PLC
This department conducts following types of inspections:
 A) Comprehensive/Regular/Traditional Inspection
 B) Core Risk Inspection, And
 C) Special Inspection.
a. Comprehensive Inspection
Comprehensive inspections are conducted by this department as per inspection
program prepared annually. Some key areas of comprehensive inspection are:
 I. Evaluation Of Assets Giving Emphasis On Classification And Provisioning;
 II. Assessment Of Regulatory Capital Requirement;
 III. Verification Of Window-Dressing Relating To Profit;
 IV. Review Of Liquidity Position;
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 V. Evaluation Of Loan Operation;

 VI. In-Depth Analysis Of Large Loans And Concentration Of Credit;
 VII. Detection Of Fraud, Forgery, And Actions Taken Against Thereof;
 VIII. Evaluation Of Quality Of Corporate Governance And Customer Services; And
 IX. Compliance With Various Guidelines/Instructions/Circulars Issued By
Bangladesh Bank As Well As Other
Regulatory Authorities (E.G. Ministry Of Finance, National Board Of Revenue,
Registrar Of Joint Stock Companies And Firms, Bangladesh Securities And
Exchange Commission, Etc.).
b. Core Risk Inspection
This department conducts risk based inspections covering following key risk areas:
 I. Credit Risk Management (CRM);
 II. Internal Control And Compliance (ICC);
 III. Asset-Liability Management (ALM);
 IV. Information And Communication Technology (ICT).
c. Special Inspection
Special inspections are carried out in addition to routine inspection programs as per
requirements, ie: requirements from other
departments (ie. BRPD, DOS etc.), instructions from higher authority etc
At present DBI-4 supervises the activities of the following 11 Private Commercial Banks (PCBs):
1. United Commercial Bank Limited

2. Eastern Bank Limited
3. BRAC Bank Limited
4. The City Bank Ltd.
5. Mercantile Bank Limited
6. Modhumoti Bank Ltd.
7. Southeast Bank Limited
8. Meghna Bank Limited
9. Mutual Trust Bank Limited
10. Padma Bank Limited
11. One Bank Limited
In broad spectrum, functions of DBI-4 can be categorized into following 3 types of on-site
inspections:
A) Comprehensive/Regular Inspection, (same as 3.14.3)
B) Core Risk Inspection (same as 3.14.3) And
C) Special Inspection (same as 3.14.3)
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At present DBI-5 supervises the activities of the following 11 Private Commercial Banks (PCBs):
1. 01.Pubali Bank Limited

2. 02. Bangladesh Commerce Bank Limited
3. National Bank Limited
4. Midland Bank Limited
5. Jamuna Bank Limited
6. Shimanto Bank Limited
7. NRB Bank Limited
8. Community Bank Bangladesh Limited
9. Trust Bank Limited
10. Citizens Bank PLC
11. Dhaka Bank Limited
In broad spectrum, functions of DBI-4 can be categorized into following 3 types of on-site inspections:
A) Comprehensive/Regular Inspection, (same as 3.14.3)
B) Core Risk Inspection (same as 3.14.3) And
The Department of Banking Inspection-6 (DB1-6) is one of the core departments of Bangladesh Bank,
which is entrusted with the responsibility of supervising the performance of 05 (five) Islamic banks
named-
1. Islami Bank Bangladesh Ltd;
2. First Security Islami Bank Ltd;
3. Global Islami Bank Ltd;
4. Standard Bank Ltd and
5. ICB Islamic Bank Ltd. with special emphasis on regulatory and supervisory compliances.
This department mainly conducts regular comprehensive inspections on quarterly basis. In addition, the
Department conducts risk based and special inspections.
 Each year the department examines asset quality of the banks on the basis of 31st December and
ensures reflection of observation of this inspection in the annual financial statements of the
banks. This is ensured through exchanging views in a tri-partite meeting among concerned bank
management, external auditors and inspection team before finalization of financial statements.
 Review of Internal Capital Adequacy Assessment Process (ICAAP) of banks is also done by this
department.
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 Inspection reports are prepared by the inspection teams incorporating their observations and
recommendations are solely meant for compliance by the banks. Ensuring compliance of the
recommendations through respective Compliance Unit is one of the core functions of the
department.
Bangladesh Bank regulates and supervises the banking companies of the country vide Article 7A(f) of
Bangladesh Bank Order, 1972 and Section 44 of the Bank Companies Act, 1991.
Department of Banking Inspection-7 supervises the activities of five shariah based Islamic commercial
banks and also supervises the activities of Islamic branches and windows of the conventional private
banks under Department of Banking Inspection-3, Department of Banking Inspection-4 and Department
of Banking Inspection-5. This department examines the books of accounts and related
documents/records of these banks/branches on sample basis with a view to ascertain their financial
soundness, quality of portfolios, management efficiency and risk exposure so that their operations
cannot be detrimental to depositors' interest in general and to the economy as a whole.

A) Comprehensive/Regular/Traditional Inspection (same as 3.14.3)
B) Core Risk Inspection, And (same as 3.14.3)
Bangladesh Bank regulates and supervises the banking companies and financial institutions of the
country vide Article 7A(f) of Bangladesh Bank Order, 1972 and Section 44 of the Bank Companies Act,
1991.
Department of Banking Inspection-8 supervises the activities of the following 12 Banks:
Foreign Commercial Banks:

1. Standard Chartered Bank
2. The Hongkong and Shanghai Banking Corporation (HSBC) Limited
3. Commercial Bank of Ceylon PLC
4. Bank Alfalah Limited
5. Woori Bank
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6. Habib Bank Ltd.

7. State Bank of India
8. National Bank of Pakistan
9. Citibank, N.A.
State Owned Commercial Banks (SOCBs):

1. BASIC Bank Ltd.
2. Bangladesh Development Bank Ltd.
Non-Scheduled Bank:
1. Grameen Bank

A) Comprehensive/Regular/Traditional Inspection (same as 3.14.3)
B) Core Risk Inspection, And (same as 3.14.3)
MD. Shahed Ali (continuous)

B2020203089
2.15 Department of Communications and Publications
The Department of Communications and Publications (DCP) is one of the core departments of Bangladesh
Bank (BB).
 The Department of Communications and Publications (DCP) is one of the core departments of
Bangladesh Bank (BB). The department is responsible for printing and publication works of BB, issuing
press releases, clarifications, and rejoinders on behalf of BB, providing and preserving photographs,
maintaining paper clippings from numerous national dailies on a daily basis, maintaining a web-based
Non-Resident Bangladeshi (NRB) database, conducting surveys on a regular basis to identify gaps,
problems, and prospects for expansion of financial inclusion, preparing advertisement and publications
bills and sending those to Expenditure Management Department and Common Services Department for
payment.
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 Over the years, the department has widened its scope to the vast field of communications. There is a
complete communication center under its supervision in BB. Among its eight divisions, publications
division publishes ‘Bangladesh Bank Parikroma’, a monthly in-house journal regularly. Thus, it
accomplishes all sorts of publications, printings, and distributions assignments on regular and occasional
basis.
 The Mural installation and restoration division deals with very sophisticated and creative art works. As a
part of beautification and ornamentation, it provides murals, sculptures, diorama, and paintings to head
office and all branch offices of BB across the country.
 The distribution division executes very efficient and quick job regarding distribution of publications,
calendars, and note books for meeting up in-house official necessities. This distribution to other related
stakeholders also meets up central bank’s branding strategy partially.
 The graphic division delivers its best and spectacular efforts in making up all publication items like
books, monthly in-house journals, special publications, greeting cards, banners, festoons etc.
 Like other departments, DCP performs its administrative jobs by its general section. This general section
and the GM section are carefully and efficiently directed by the general manager of the department.
Fahima Akter Shova

B200203061
2.16 Department of currency management of Bangladesh Bank:
Department of Currency management is one of the core departments of Bangladesh Bank. In compliance with
the Bangladesh Bank Order, 1972 the Department of Currency Management is organized to procure
bank/currency notes and coins and to arrange steady and prompt supply of the same as per needs of the country.
Department of currency management works as:
● To procure bank/currency notes and coins of different denominations.

● To ensure steady and smooth supply of bank notes/currency notes and coins.
● To oversee and review policies relating to cash department from time to time.
● To issue guidelines in respect of disposal of soiled and non-issue notes.
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● To issue policy guidelines in respect of re-issue notes.

● To issue policy guidelines in order to withdraw and payment of exchange value of torn, defective and
soiled notes.
● To provide logistic support for smooth functioning of cash department.
● To ensure standard policy measures in order to combat counterfeiting notes and to create awareness
among public about forged/fake Notes.
● To ensure safe movement and transportation of government treasury in the country. To arrange and
ensure supply of new notes to public on the eve of different festivals.
● To conduct inspection of chest and sub chest.
2.17 Department of Financial Institutions and Markets of Bangladesh Bank:
Department of Financial Institutions and Markets (DFIM) regulates and supervises the Non-Bank Financial
Institutions (NBFIs) of Bangladesh. NBFIs are licensed under the Financial Institution Act, 1993 and the
Financial Institution Regulation, 1994.
The key functions of this department are addressed below:

● Issuance of license for setting up of new NBFIs and branches of existing NBFIs under the Financial
Institution Act, 1993.
● Formulation of prudential regulations to ensure the soundness of NBFIs.
● Monitoring of the activities of NBFIs to ensure corporate governance.
● Conducting of off-site supervision on NBFIs through collecting, analyzing and monitoring various
data/information in regular basis to ensure compliance with policies, regulations and practices by them.
● Assessment of financial and managerial soundness of NBFIs through CAMEL rating and identification
of the shock absorbing capacity through Stress Testing.
● Assessment and monitoring of the financial instruments issued by NBFIs, viz the issuance of Zero
Coupon Bonds, Asset backed Securitization Bonds etc.
● Implementation of BASEL Accord in NBFIs to ensure Risk Based Capital Adequacy.
At present there are 34 NBFIs in Bangladesh. The contribution of financing activities by NBFIs to the overall
economy persistently has been increasing.
2.18 Department of Foreign Exchange Inspection of Bangladesh Bank:
Department of Foreign Exchange Inspection (DFEI) was established on 26-07-2012. The main objective of the
department is to conduct inspection/supervision on Foreign Exchange and Foreign Trade related activities of
AD (Authorized Dealer) branches, Foreign branches of Bangladeshi banks, Bangladeshi exchange houses
working abroad and Off-shore Banking Units of scheduled banks. DFEI carries out inspection/supervision on
Foreign Exchange Risk Management on head offices of all scheduled banks. The department also inspects the
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activities of money changers. The department directs its efforts to identify irregularities and risks in foreign
exchange transactions and makes suggestions to scheduled banks to mitigate and resolve them.
1.Scheduled Banks
The foremost activities accomplished on all scheduled banks by the department include:
● On-site comprehensive inspection on Authorized Dealer (AD) branches (including new AD) and Off-
shore Banking Units of all scheduled banks.
● Both on-site inspection and off-site supervision on Foreign Exchange Risk Management of all scheduled
banks.
● On-site inspection on branch offices of Bangladeshi scheduled banks operating abroad,
liaison/correspondence office (irrespective of names), CEO office, Exchange House or any other
subsidiaries/subordinate institutions, foreign investment offices approved by BRPD and Foreign
Exchange Investment Department.
● Special inspections on scheduled banks on subjects/complaints/issues related to foreign exchange
transactions as per directions of the higher authority/based on requirement.
2. Money Chargers
The following activities are essentially performed on money changers by the department:
● Conducting on-site comprehensive/special inspection on Money Changers.
● Performing special inspection for assessing location and business suitability of Money Changers as per
requirement of Foreign Exchange Policy Department.
● Conducting special inspection based on the complaints, as required, regarding unauthorized
activities/dealings of Money Changers.
● Preparing inspection reports and providing the copy of the approved reports to concerned departments.
3.Others
Observing and reviewing the news published in print media related to foreign exchange transactions.
● Put forward the important and sensitive findings as reviewed to the superior authority for the kind
perusal and necessary instruction.
● Other relevant activities as per requirements.
● It carries out the following general/administrative activities also:
● Provide required logistics to the officials of the department.
● Maintain account of all accessories and staffs of the department and provide services in general.
● Fulfill audit query on the basis of demand.
● Time to time provide report/information to the concerned departments.
● Other relevant activities as per requirements.
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2.19 Department of Off-Site Supervision of Bangladesh Bank:
The main objective of this department is to monitor risk level, enhance financial soundness and ensure good
corporate governance of scheduled banks through prudential off-site supervisory techniques with the aim of
promoting depositors' confidence and ensuring discipline and stability of the banking system.
The following activists are performed by this department:
● Assessing risk levels and financial soundness of the scheduled banks through the CAMELS Rating
System. Monitoring the profitability and interest rate spread of the banking sector.
● Monitoring capital adequacy of the banks.
● Monitoring the maintenance of Statutory Reserve Requirements and Key Asset-Liability Management
ratios of the banks.
● Analyzing the financial health of the banks through the preparation of diagnostic review report and
quarterly review report. Reviewing the minutes of meetings of the board of directors and its committees
to ensure compliance of existing acts, policies, circulars, guidelines. Analyzing quarterly unaudited
financial statements and yearly audited financial statements to measure the overall financial health and
identify weak areas to ensure The Financial Stability Of The Banks.
● Assessing and monitoring the overall level of credit, deposit, investment, Advance/Investment-To-
Deposit ratio, Inter-Branch transactions, suspense account, and money supply position of the banking
sector.
● Monitoring the risk management activities of banks and determining the comprehensive risk
management rating of banks in Bangladesh.
2.20 Deposit Insurance Department of Bangladesh Bank:
Bangladesh Deposit Insurance System was first introduced in August 1984 as a scheme by means of ‘’The Bank
Deposit Insurance Ordinance 1984’’. In July 2000, the Ordinance was repealed by an Act called “Bank Amanat
Bima Ain, 2000”
Bangladesh Deposit Insurance system (DIS) is designed to protect depositors, enhance public confidence to the
bank, increase savings and foster economic growth, enhance market discipline and overall stability of the
financial system. Most importantly DIS ensures orderly payment system in case of winding up of any insured
bank.
The department is constituted of two important Divisions (units):

1. Deposit Insurance Division.
2. Liquidated Bank Monitoring Division.
Functions of the Department:
The functions of this department are addressed below;
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● Preparation of Half-Yearly Worksheet for calculation of Deposit Insurance Premium of member banks
and sending letters to each member including foreign banks (operating in Bangladesh) for making
payment of Deposit Insurance premium to DITF .
● Collection of half-yearly Deposit Insurance Premium and Deposited money to the Deposit Insurance
Trust Fund (DITF) from all scheduled banks including foreign banks branches (operating in
Bangladesh).
● Prudent investment of accumulated earnings of DITF in the Government Securities, BB Bills and repo
as approved by the Trustee Board on a continuous basis.
● Monitor and participate in the Government Securities Auction as per adequacy of DITF Balance.
● Preparation of special statement for APRC, IADI, WB, IMF and other International organizations as and
when required.
● Preparation of ‘’management report’’ on DITF position on half-yearly basis .
● Acting as the responsible entity to make payment of the coverage amount to every eligible depositor of
the liquidated bank as per the provision of “Bank Amanat Bima Ain, 2000’.
● Watchful management of total fixed and liquid assets as well as liabilities of the banks those are in the
process of liquidation.
● Onsite inspection of the fixed assets of the banks under the process of liquidation.
● Prudent monitoring of the investment of total available fund of the banks under liquidation process.
● Correspondence and Co-ordination with related authorities for collecting/ authenticating different
important legal documents of bank under liquidation process.
● Maintaining regular contact with panel legal advisor regarding on-going court cases of the banks those
are in the process of liquidation.
● Ensure the safe preservation of all legal papers and documents of liquidated banks.
Md. Tamim Hossen

B190203054
2.21 Equity and Entrepreneurship Fund Unit
The Equity and Entrepreneurship Fund Unit is a department of the Bangladesh Bank that provides financial
assistance to entrepreneurs in Bangladesh ¹. The fund is aimed at promoting the growth of small and medium-
sized enterprises (SMEs) in the country by providing them with low-cost financing options.
 To apply for the fund, entrepreneurs must submit an Expression of Interest (EOI) form to the EEF Unit
of Bangladesh Bank.
 Shortlisted companies will then prepare a Project Proposal, which will be appraised by a bank or
financial institution.
 The appraising bank or financial institution will forward the Project Appraisal Report to Bangladesh
Bank EEF Unit for immediate next action.
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 Entrepreneurs will have to amend Memorandum & Articles of Association as per requirement of the
conditions of Bangladesh Bank.
 Entrepreneurs will also have to issue shares in favor of GOB, EEF Unit Bangladesh Bank before fund is
disbursed.
 The issued shares must be bought back within eight years at the face value within three years starting
from the date of 1st disbursement. For the remaining five years, they must be bought back at the break-
up value or at the face value, whichever is higher.
2.22 Expenditure Management Department
2.22.1 Expenditure Management Department 1
Brief description of the functions of various Sections of Expenditure Management Department-1 are outlined below:
(1) General Section
 General Administration of the Department;

 Compliance of Internal, External and Commercial Audit memos;
 Posting Voucher of different sections.
 Provide statement of Employee's assets & liabilities as per requirement of HRD.
 Maintaining assets register (computer accessories).
 Maintaining ICT security related document
 Arranging Departmental monthly meeting
 Providing support for strategic planning of the department.
 Distributing Inwards letters among the sections of the department.
(2) Provident Funds Section
 Maintenance of Contributory Provident Funds Accounts;

 Payment of Gratuity and Death Benefits;
 Sanction of PF Advance;
 Arrangement for holding Administrators meeting;
 Management of Fund.
(3) Pension Section
 Maintenance of General Provident Fund Accounts;

 Payment of Commutation Money, Death Benefits etc.;
 Fixation of monthly pension and supply of pension books to the pensioners;
 Sanction of GPF Advance;
 Management of Fund.
(4) Travelling Allowance Bills Section.
 Make advances to employees for travelling purposes both home and abroad;
 Adjustment of T.A. advance and settlement of T.A. Bills;
 Management of personal accident insurance policy;
(5) Salary Section
 Payment of salary and allowances;

 Disbursement of Bonus;
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 Payment of overtime bills, stipend and recreation allowances, leave encashment etc.
 Payment of compassionate allowance to the members of the deceased employees of Head Office;
 Preparation of Income Tax Assessment Sheet on behalf of the employees & payment thereof;
 Execution of Pay and allowances fixed by HRD-2.
(6) Advance Section
 Sanction of advances under Staff Advance Scheme; i.e., House Building, Motor Car, Motor Cycle, Computer;
 Recovery of staff advances;
 Calculation of interest of staff advances;
 Conduct physical inspection of land/constructed houses/Flats /Buildings etc. purchased under House Building
Advance scheme;
 Maintenance of documents of Advance, under safe custody and monitoring the utilization of all Advances;
 Monitor court cases related to different types of advances;
 Preparation of statement of Deceased, Dismissed and Suspended staff/officers;
 Execution of Waiver of Interest of House Building Advance as directed by Human Resources Department-2.
(7) Safeguard Section
 Perform safeguard checking for payments made to external vendors.

 Sample checking of pay and allowances given to Bangladesh Bank employees on
monthly basis.
2.22.2 Expenditure Management Department 2
Brief description of the functions of various sections of EMD-2 are outlined below:
(1) GM Section
 Receiving the upcoming different letters;

 Inward all letters;
 Communicate with different departments.
(2) General Section
 General Administration of the Department;

 Compliance of Internal, External and Commercial Audit memos;
 Posting Voucher in the ledger of different sections;
 Maintaining ICT security related documents;
 Arranging Departmental monthly meeting;
 Provide support for strategic planning of the department;
 Distributing Inwards letters among the sections of the department.
(3) Miscellaneous Payment Section
 Payment of donation and subscriptions to local and foreign Institutions;

 Arrangement for supply of liveries to eligible C & D category staff;
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 Payment of coolie/ labour charges, washing charges etc.

 Payment of paper bills, legal bills, advertisement bills, postal/courier bills, late sitting bills of
officers and cleaning contractors bills;
 Payment of advance for buying presentation and refreshments for the employees of the bank who
proceeded on PRL;
 Payment of local conveyance, pocket money, hotel bills etc. for training purposes;
 Payment of all sorts of honorarium;
 Payment all sorts of entertainment / refreshment bills and shifting charges;
 Payment of salary of Ornate MLSS, Ornate guard, Ornate Telephone operator and bonus of Ornate
MLSS, Ornate guard;
 Payment of course fees of locally and abroad;
 Supply of all sorts of crockerys, office bags and briefcases;
 Payment of bills relating to training conducted by BBTA and other departments of Head Office held
in branch offices;
 Reimbursement of cost incurred by high officials for maintenance of cars;
 Reimbursement of cost for carrying dead body and burial purposes;
 Supply of Aerosol, Air Freshener, Car scent, Facial and Toilet Tissues etc. ;
 Maintenance of petty Cash;
 Submit monthly vat statement to NBR.
(4) Dead Stock and Stationery Section
 Enlist farms to supply stationery articles and office furniture for Head Office;
 Procure & pay bills, then maintain record of all dead stock and stationery items;
 Fixture, repair & maintain furniture of Head Office;
 Disposal / sale of old / broken dead stock articles by auction;
 Supply of all sorts of stationery articles to staff / officers;
 Allotment of code numbers for new registers, forms, stationery articles etc.
 Supply and fixture vertical blind and curtain;
 Allocate budget and pay bills for the publications published by DCP;
 Supply of all sorts of printed items by printing to Head Office;
 Supply of Issue dept. stores goods to all branch offices;
 Submit monthly vat statement to NBR.
(5) Telephone Section
 Arrangement for connection and installation of official / residential / PABX / Direct Telephones,
Fax, SWIFT net connectivity etc. ;
 Procurement of Land Telephone / Mobile set / Fax / Franking machines and related accessories;
 Repairing of Telephone, Fax etc. ;
 Payment of monthly Mobile / Telephone / Fax / Internet bills;
 Maintenance of PABX and Intercom system.
(6) Medical Bill Section
 Preparing and distributing cheque of monthly medical allowance for the retired staff / officers;
 Payment of Health Insurance Bills in case of foreign tour / training.
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(7) Expenditure Section
 Pest control related work of Head and branch offices;

 Sanction of Death Benefits and Compassionate Allowances for the members of the deceased
employees of branch offices ( other than Head Office);
 Payment of Medical Allowance to retired employees.
(8) Safeguard Section
 Perform safeguard checking for payments made to external vendors;

 Mandatory checking of contractors bill amount Tk. 10,000/- and above;
 Sample checking of pay and allowances given to Bangladesh Bank employees on monthly basis.
(9) Pantri Section
 Supply of different kinds of refreshment to departmental meeting and other occasion with different
stake holder.
2.23 Financial Inclusion Department
The Financial Inclusion Department of Bangladesh Bank has been pursuing financial inclusion as a policy
priority for accelerated economic growth while maintaining monetary and financial stability. The department
has been mandated to work in the following key areas including other operational aspects:
 Pursue the financial inclusion initiatives of Bangladesh Bank and coordinate interdepartmental financial
inclusion activities.
 Review the international best practices on financial inclusion policies and coordinate with international
standard setting bodies for improved application of the policies.
 Explore new areas of inclusive finance and formulate appropriate policy.
 Formulate and implement policy on No-frill accounts (BDT 10/=, 50/=, 100/=) worth in favor of
marginalized people including low-income people.
 Formulate policy, implement, monitor and supervise the “Refinance Scheme for Marginal/Landless
Farmers, Low-income Professionals, Students and Micro businessmen holding Tk. 10/50/100
Accounts”.
 Formulate policy, implement, monitor and supervise the School Banking activities.
 Formulate policy, implement, monitor and supervise the Agent Banking activities in Bangladesh.
 Formulate policy, implement, monitor and supervise the Financial Literacy and Education initiatives in
Bangladesh.
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 Formulate policy and implement BDT 30.00 billion worth Bangladesh Bank Revolving Refinance
Scheme for the COVID-19 affected low-income professionals, agro business holders and micro
merchants.
 Communicate and Coordinate with national and international organizations related to financial inclusion
including the Alliance for Financial Inclusion (AFI) to integrate well-suited financial inclusion policies.
 All activities related to the project ‘Secured Transaction and Movable Collateral Registry Reform in
Bangladesh’.
 Maintain web-based Non-Resident Bangladeshi (NRB) database; Remittance Award to NRBs and
Diaspora investment-related activities.
 Conduct a survey on a regular basis to identify the gaps, problems, and prospects so as to prescribe
appropriate policy measures for expansion of financial inclusion .
2.24 Financial Institutions Inspection Department
 The Equity and Entrepreneurship Fund Unit is a department of the Bangladesh Bank that provides
financial assistance to entrepreneurs in Bangladesh . The fund is aimed at promoting the growth of small
and medium-sized enterprises (SMEs) in the country by providing them with low-cost financing
options .
 The Financial Inclusion Department of Bangladesh Bank has been pursuing financial inclusion as a
policy priority for accelerated economic growth while maintaining monetary and financial stability . The
department has been mandated to work in several key areas, including pursuing financial inclusion
initiatives, reviewing international best practices on financial inclusion policies, exploring new areas of
inclusive finance, formulating appropriate policies, implementing and monitoring refinance schemes for
marginalized people, formulating policy on no-frill accounts, school banking activities, agent banking
activities, financial literacy and education initiatives, communicating and coordinating with national and
international organizations related to financial inclusion, conducting surveys on a regular basis to
identify gaps, problems, and prospects for expansion of financial inclusion .
 The Financial Institutions Inspection Department (FIID) of Bangladesh Bank is responsible for
conducting on-site inspections of non-bank financial institutions registered in Bangladesh . The
department conducts regular inspections of financial institutions on the basis of a calendar year to assess
their financial health, evaluate their performance in terms of quality of asset, capital adequacy, earnings,
liquidity position, management, and internal control systems . The inspections are conducted on a
supervisory model to protect the interests of depositors and other stakeholders of financial institutions.
FIID examines the asset quality of financial institutions on the basis of December 31st and ensures that
observations from this inspection are reflected in the annual financial statements of the FIs. This is
ensured through exchanging views once a year in a tri-party meeting of concerned FI management,
external auditors, and inspection team before finalization of financial statement. In addition, financial
institutions are required to follow core risk management guidelines. FIID conducts risk-based
inspections (core risk) to examine the level of compliance with core risk management guidelines and
observe the attributes of the components and evaluates the grading of each component of regulated FIs.
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Core risk inspections are carried out annually and cover risks associated with credit, internal control &
compliance, asset-liability management, and information & communication technology security.
2.25 Financial Integrity and Customer Services Department
There are three divisions under the Financial Integrity and Customer Services Department (FICSD),
namely-
1. Vigilance and Anti-Fraud Division

2. Customer Services Division
3. Technical Services Division
A. The functions of Vigilance and Anti-Fraud Division:
 To conduct on-site inspection on consumer complaints which are of a complex nature or that can not be
solved without spot verification.
 To implement decisions, taken on the basis of on-site inspection/spot verification, requiring corrective
action by the banks and other REs regarding legitimate and serious complaints.
 To inspect banks and other REs for the early warning signs of internal and external fraud and the
effectiveness of their internal controls to prevent fraud, in cooperation with the DBIs and DFIM.
 To conduct investigations proactively when there is probable cause of fraud with banks and other
financial institutions, Money Changers, MLM Companies, NGOs etc. and take necessary action on the
basis of the findings of the investigation including making criminal referrals when appropriate.
 To promote accurate reporting of internal and external fraud at banks and other REs in the news media,
in a manner that avoids spurious accusations and reassures customers that BB is aware of, and taking
action against, fraudulent activities.
 To preserve the outstanding findings of the investigation/on-site inspection in the corporate memory.
 To conduct on-site inspection on any other subject/ complaint as per instruction of the higher authority.
 To perform other relevant activities.
B. The Functions of the Customer Services Division:
1. Functions of the Customer Service Policy Unit:
 Formulating the guidelines to determine the role of the Board of Directors and the necessary structures
and activities in the area of Customer Services and Consumer Protection.
 Formulating, revising and developing the policy and procedures related to the resolution of customers'
complaints from BB's side, as well as minimum standards of performance by the banks and other REs
when a customer complaint is received by BB.
 Analysing all types of customer service related policies as submitted by banks and other REs to
determine compliance with BB standards.
 Formulating policy and guidelines on consumer rights, including interest rate and fee disclosures.
 Preparing RIT for the collection of information in order to assess the standard of the customer services
of the banks.
 Circulating the customer services related policies and directives to banks and other REs, departments
/offices of Bangladesh Bank and all the concerned parties.
2. Functions of the Grievance Redressal Unit :
 Taking necessary action on the written complaints:

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I. Filtration Of The Complaints.

II. Invitation Of The Opinion/Comments/Explanation Of The Concerned Banks
On The Complaints.
III. Analizing The Opinion/Comment/Explanation Sent By The Concerned Banks
And To Put Up The Cases With Recommendations.
IV. Implementation Of The Decision.
 Transferring the complaints to the "Vigilance and Fraud Prevention Division" if it requires a field level
investigation.
 Preparing the summary and statement of the complaints received by the Department and submitting the
same to the Governor on a monthly basis.
 Maintaining all time communication with the FICSD of the branch offices of Bangladesh Bank,
monitoring their activities, and preparing the consolidated statement on the basis of the monthly
statements of complaints received from the branch offices, analyzing andtransmitting the same to the
G.M and implementing an appropriate, timely, and relevant decision.
 Monitoring the "Complaint Cells" of scheduled banks and other REs and preparing the report after
analysis of the quarterly reports received from the scheduled banks and other REs, transmitting the same
to the higher authority and implementing the decision.
 To arrange tri-partite meeting with the General Manager of the Department (FICSD) in the chair to
urgently resolve any critical complaint. The tri partite means the accused bank/RE, the complainant and
Bangladesh Bank.
 Carrying out other related works.
3. Functions of the Dissemination and Communication Unit :
 Receiving the complaints sent over/by telephone, mobile, e-mail and fax during office time on all the
working days (except weekends or government holidays).
 Transfering the received complaints to the Grievance Redressal Unit to resolve the same.
 Responding to the incoming calls in time and giving answers to the query of the public.
 In the cases where it is not possible to give the right answer to the query of the public instantly, the Unit
will obtain the right answers from the concerned Sections/Departments and inform the querer as soon as
possible.
 Maintaining liaison with the banks and other REs, Departments/Offices of Bangladesh Bank and other
concerned authorities such as BAB, ABB etc. for resolution of the complaints and protection of the
interest of the customers.
 Performing the works of publication, public relations and communication with the media, including the
creation and maintenance of dedicated pages on the Bangladesh Bank website.
 Performing other related works.
C. Functions of the Technical Services Division:
1. Developing and disseminating policies and guidelines governing the Information and
Communication Technology (ICT) activities of banks and other REs, in the areas of audit,
business continuity/disaster recovery, development and acquisition, electronic banking,
information security, outsourcing, and retail payments.
2. Conducting in-house training and organizing external training for ICT inspectors.
3. Conducting on-site inspections to determine compliance with abovementioned policies and
guidelines, in cooperation with the DBIs.
4. Cooperating with the Vigilance and Fraud Prevention Division to investigate cases of possible
misuse of the ICT systems for fraudulent purposes.
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Sabbir Hossain
B190203043
2.26 Financial Sector Support and Strategic Planning Department (FSSSPD)
Financial Sector Support and Strategic Planning Department (FSSSPD) is related to support financial sector. It's
one of the core departments in Bangladesh Bank. This department also provides strategic planning for financial
institutions.
 Preparation and implementation of Strategic Plan of Bangladesh Bank,
 Management and implementation of Financial Sector Support Project (FSSP)
 To coordinate ongoing support activities to the users of the systems implemented under CBSP.
2.27 Financial Stability Department
This department is responsible for maintaining financial stability of overall economy. It also maintains financial
stability of financial institutions.
 Examine the stability of the Bangladesh financial system.
 Assess and quantify systemic risks and vulnerabilities, analyze their outlooks and formulate appropriate
policy for safeguarding financial stability.
 Develop policies and guidelines related to Contingency Planning and Bank Intervention/Resolution
Framework.
 Conduct research works as it deems relevant.
 Organize international events linked with financial stability.
2.28 Foreign Exchange Investment Department
Foreign Exchange Investment Department is one of the first department established after the creation of
Bangladesh Bank. In compliance with the Bangladesh Bank ordinance 1972, the department of foreign
exchange investment does its activities.
 Checking Of Reporting Related To Shares Issued By Bangladeshi Companies In Favor Of Non-Resident
 Checking Of NRTA Account
 Checking Of Reporting Of Shares Transferred To Resident By The Non-Resident
 Accord Permission For Outward Remittance Of The Sales Proceeds
 Intimation Regarding Opening Of Branch Offices Abroad By Bangladeshi Companies
 Dealing With The Cases Of Outward Remittances To Meet Necessary Capital/Revenue Expenditure To
Establish
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2.29 Foreign Exchange Operation Department
The Foreign Exchange Operation Department of Bangladesh Bank, the central bank of Bangladesh, plays a
pivotal role in regulating and overseeing foreign exchange activities within the country.
 Taking actions against objections under nonpayment of bills of local & back-to-back L/C.
 Preparation of monthly consolidated report on Overdue Bill of Entry as collected from AD bank
branches.
 Maintaining Database of Overdue Bill of Entry.
 Waiving Overdue Bill of Entry.
 Revalidation of LCAF value
 Taking actions against of nonpayment of local L/C.
 Taking actions against PSI objections.
 Collection of various statements related to Foreign Exchange Transactions from scheduled banks.
 Collection of various statements from different agents who earns foreign currency as commission
 All works related to Nonresident Blocked accounts.
2.30 Foreign Exchange Policy Department
The FEPD is responsible for formulating and implementing policies related to foreign exchange and makes
institutional arrangements for receipts and payments and settlements with the external world. This Department's
functions are:
 It sets the criteria and conditions for holding and dealing in foreign exchange by resident entities and
issues licenses to Authorized Dealers and Money Changers
 It sets supervisory and monitoring guidelines for offsite and onsite supervision of foreign exchange
transactions and formulates & implements instructions regulating inflows and outflows on external
settlements in both the current and capital accounts, including external borrowings and amortization
payments.
 It formulates policies and makes institutional arrangements in regards to exchange rates.
 It initiates legal proceedings to address violations of Foreign Exchange Regulation Act-1947 as adapted
in Bangladesh.
 It supervises and monitors Authorized Dealers (AD) and ensures compliance of ADs with the prudential
supervisory limits on their open exchange positions.
Md. Naimur Rahman Nayan

B200203074
2.31 Forex Reserve and Treasury Management Department:
The key functions of this department are addressed below:

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● Management, Maintenance And Investment Of Foreign Exchange Reserve Held By Bangladesh Bank.
● Disbursement And Recovery Of Export Development Fund (EDF) Through Banks To Promote Country’s
Export.
● Disbursement And Recovery Of Green Transformation Fund (GTF) Through Banks To Manufacturer-
Exporters For Environment-Friendly Initiatives.
● Maintenance Of Clearing Accounts Of Authorized Dealers In Foreign Exchange.
● Making Transactions In Foreign Currencies With Authorized Dealers On Cash Or Spot Basis.
● Settlement Of Transactions Among ACU Member Countries Through ACU Mechanism.
● Repayment Of Government External Debt Including Debt Servicing And Arrangement Of Miscellaneous
Outward Remittances To Meet Government Forex Requirement.
● Keeping Of The Accounts For The Funds/Loans Received From Donors And Disbursement Thereof Also
Collection Of FC Cheques On Behalf Of Government.
Governor Office:
Functions/Rules of Business in brief:
● To Provide Co-Ordination Services To The Bangladesh Jatiya Sangsad Secretariat (BJSS), The Prime
Minister's Office, Office Of The Comptroller Of Auditor General (CAG), Ministry Of Finance (MoF), Ministry
Of Agriculture And Ministry Of Commerce Regarding The Answers Of Questions By Honorable Members Of
Parliaments. To Collect And Edit The Answers Of Parliament's Questions From Various Departments, Prepare
A Consolidated Report And Send The Same To BJSS And MoF.
● To Communicate With BJSS And MoF For The Meetings Of Parliamentary Standing Committees, Office Of
The CAG Of Bangladesh For The Audit Compliance And Prepare Reports/Working Papers/ Information As Per
Their Demand And Send Them The Same.
● To Prepare DO Letters, Speeches, Messages, Greetings And Condolence Letters For The Governor.
● To Prepare Reports, Answers Of The Queries And Explanations On Banking And Economic Issues As And
When Asked By The Prime Minister's Office, Ministry Of Finance, Ministry Of Information Etc.
● To Check, Edit And Prepare Minutes Or Working Papers Of Various Meetings Presided By The Governor.
● To Arrange The Quarterly Meeting With Internal Audit Department Presided By The Honorable Governor
Regarding The High Risk Audit Objections Of The Audit Reports On Various Departments And Offices Of BB
And Follow-Up And Monitor As Per The Minutes Of The Meeting.
● To Place The Notes And Cases Submitted By Various Departments To The Governor For Approval With
Brief And To Take Necessary Actions After The Approval.
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● To Collect Information And Prepare Necessary Working Papers For Internal And External Meetings,
Seminars And Programs Chaired By The Governor.
● To Manage Daily Appointments Of The Governor And Receive Incoming Calls Including Overseas Calls
And Forward To The Governor. To Make Outgoing Calls For The Governor To Home And Abroad And To
Communicate With Concerned Departments, Offices, Banks, Institutions, And Persons As Desired By The
Authority.
● To Correspond With Various Local And International Organizations/Institutions In Home And Abroad
Through Phone, Fax, Postal, E-Mail Etc. As Instructed By The Governor.
● To Do Necessary Activities Regarding Governor's Visit Such As Preliminary Preparation Of The Visit,
Communication With The Office Or Institution To Be Visited, Collection Of Information.
● To Execute All Protocol Related Jobs For The Governor, Members Of The Board Of Directors BB And Other
Committees, Members Of Board Of SPCBL, Protocol Entitled Other High Officials Of BB And Delegates
From Home And Abroad To Meet The Governor And High Officials Of BB.
2.32 Grihayan Tahbil and Fund Management Unit:
Objectives: Apart from housing loan for the rural homeless peoples, Grihayan Tahobil is intended to construct
Dormitories/Women Hostels for the Industrial workers specially for the female workers of Garment Industries
as well. Housing activities of Grihayan Tahobil is being implemented through Non-Government Organizations
(NGOs) of the country. The Tahobil provides housing loan Tk. 1,30,000/- for each specific house as designed
and specified in schedule through the NGOs. Grihayan Tahobil charges simple rate of interest 1.5% and NGOs
are applying 5.5% on the borrowers, the recovery period of said loan is 3 to 10 years.
Main Functions:
 Select NGOs as per rules and guidelines to provide housing loan. NGOs provide housing credit to the
rural poor people.
 Provide loan to build dormitory/women hostel for the poor female workers.
 Provide loan to BGMEA and it's member companies to build hostels/dormitories for the poor garment
workers.
 Take steps to provide housing facilities to the extreme deprived class of people of the society such as tea
garden workers.
 Performance analysis and monitoring of the enlisted NGOs.
 Comprehensive/regular/surprise inspection of houses built by the NGOs.
 Investment of unutilized fund in different banks.
 Prepare working papers and minutes for the meeting of the Grihayan Tahobil Steering Committee.
 Prepare compliance reports on external & commercial audit reports.
 Maintain accounts relating to disbursement of loan, recovery and investment of fund.
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2.33 Human Resources Department
2.33.1 Human Resources Department 1
Human Resources Department-1 (HRD-1) manages centrally the manpower of the bank at work places
through resourcing, placement, performance etc. It emphasizes Human Resources (HR) activities related
to strategic and value addition involving the designing, updating and amending HR policies and
procedures for continuous improvement.
The Key Functions of this department are addressed below ;
 Planning, Promotion & Transfer Wing.

 Recruitment & Outsourcing Wing.
 Recognition and Reward Wing.
 Performance Management Wing.
 Organization & Development Wing.
 Enterprise Resource Planning (ERP) Unit.
 Branch Office Service Unit (BOSU).
 Regulation Desk.
2.33.2 Human Resources Department 2
Human resources department-2 is conferred with the responsibility of ensuring that all members of staff
perform to their best ability and also get benefits during their working time as well as after their
retirement. Human Resources Department-2 also ensures that all members of staff are held accountable
for not performing their task. Human Resources Department-2 consists of three wings:
 Benefits and Administration wing.
 Performance and discipline wing.
 Training and development wing.
1. Benefits and Administration wing.

 Accommodation Allotment of officers and staffs.
 Salary fixation.
 Post retirement leave, pension/gratuity, medical/dependent selection of officers and staffs.
 Budget allocated to Bangladesh bank school mosques, club, day care and freedom fighter
welfare unit etc. to carry out their recreation and welfare activities.
2. Performance and discipline wing
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 Has to take firm actions against employees who are not following the organizational code of
conduct, rules and regulations- sometimes even dismissal of employee.
 Performance and discipline wing ensure the discipline of the Bank.
3. Training and Development wing
 To improve the efficiency level of the employees they have to undergo trainings inside and
outside of the country.
 Permission for higher study.
2.34 Information and communication Technology Department:
The key functions of this department are addressed below;

 To establish a standard IT Policy & IT Management
 To help the bank for secure and stable setup of its IT platform
 To establish a secure environment for the processing of data
 To identify information security risks and their management
 To communicate the responsibilities for the protection of information
 Prioritize information and information systems that are to be protected
 User awareness and training regarding information security
 Procedure for periodic review of the policy and security measure
2.35 Integrated Supervision Management Department:
Objectives: To streamline the supervision efficiency of all supervision forces including the branch management
of banks and FIs.
 To enable BB to ensure dynamic supervision on root level activities of banks and FIs and explore policy
gaps to take prudent elucidation.
 To develop a micro effective macro prudential supervision structure.
Key Functions: Designing and developing the supervision tools.
 Formulating policies/circulars related to ISS.
 Providing policy support to other departments of BB.
 Preparing 'Report for the Bank's Observer'.
 Conducting studies related to risk parameters, new risk inclusion.
 Managing the works related to joint/collaborate inspections of other departments of BB.
 Conducting user/stakeholder survey to ensure the utilization of the system.
 Arranging training programs for Banks and FIs on ISS reporting.
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Mahia Chowdhury
B190203095
2.36 Department of Internal Audit of Bangladesh Bank:
The Bangladesh Bank's Department of Internal Audit (DIA) is in charge of auditing and confirming the
effectiveness, compliance, and financial accuracy of the operations of the central bank. In order to support
sound governance and stable finances, it evaluates risks, performs financial and operational audits, monitors
compliance, and publishes results. Here are some key points about the Department of Internal Audit (DIA) of
Bangladesh Bank:
 Auditing Role: DIA conducts audits to assess the effectiveness of internal controls and the accuracy of
financial records within Bangladesh Bank.
 Risk Assessment: It evaluates and helps mitigate risks associated with the central bank's operations.
 Compliance Monitoring: DIA ensures that Bangladesh Bank follows laws, regulations, and internal
policies.
 Reporting: It prepares audit reports with findings and recommendations for management and the board.
 Follow-Up: DIA monitors the implementation of recommended actions.
 Financial and Operational Audits: It conducts both financial and operational audits.
 Capacity Building: DIA may provide training to improve internal controls and audit readiness.
2.37 Department 0f Investment Promotion & Financing Facility II (IPFF II) Project Cell of Bangladesh
Bank:
The Department of Investment Promotion & Financing Facility II (IPFF II) Project Cell of Bangladesh Bank is
responsible for overseeing and facilitating investment promotion and financing initiatives in Bangladesh. Here
are some key points about this department:
 Investment Promotion: The IPFF II Project Cell promotes investments in Bangladesh, attracting
domestic and foreign investors to contribute to economic growth.
 Financing Facilitation: It facilitates financing for various investment projects, helping businesses secure
the necessary funding for their ventures.
 Project Oversight: The department monitors and manages the progress of investment projects to ensure
they meet their objectives and are in compliance with relevant regulations.
 Risk Assessment: It assesses the risks associated with investment projects and provides
recommendations to mitigate these risks.
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 Coordination: The IPFF II Project Cell collaborates with various stakeholders, including government
agencies and financial institutions, to streamline investment processes.
 Reporting: It prepares reports on investment activities and project performance for decision-makers and
stakeholders.
 Support for Economic Development: The department plays a crucial role in fostering economic
development by facilitating investments that create jobs and contribute to the country's prosperity.
2.38 Department of Law of Bangladesh Bank:
The Department of Law within Bangladesh Bank is responsible for handling legal matters and providing legal
guidance and support to the central bank in Bangladesh. Here are some key points about the Department of Law
of Bangladesh Bank:
 Legal Advisory Role: Provides legal guidance and advice to Bangladesh Bank.
 Policy Development: Assists in formulating legal policies and frameworks.
 Contract Review: Reviews and drafts contracts to protect the bank's interests.
 Regulatory Compliance: Ensures compliance with relevant laws and regulations.
 Litigation Management: Manages legal disputes and represents the bank in legal proceedings.
 Legal Research: Conducts research on changing laws and regulations.
 Training: Offers legal training to bank staff.
 Risk Mitigation: Assesses legal risks and provides strategies to mitigate them.
 Reporting: Prepares legal opinions and reports for senior management and authorities.
2.39 Department of Monetary Policy of Bangladesh Bank:
The Department of Monetary Policy at Bangladesh Bank is responsible for formulating and implementing the
country's monetary policy. Here are some key points about this department:
 Monetary Policy Formulation: It is responsible for developing and shaping monetary policies that
influence the money supply, interest rates, and overall economic stability.
 Economic Analysis: The department conducts economic research and analysis to assess the current
economic conditions and trends, which informs monetary policy decisions.
 Interest Rate Management: It manages key interest rates, such as the policy rate, to control inflation,
support economic growth, and maintain financial stability.
 Open Market Operations: Executes open market operations to regulate the money supply and achieve
monetary policy goals.
 Bank Reserves: Manages reserve requirements for banks to influence lending and liquidity in the
financial system.
 Policy Implementation: Implements monetary policies through various tools and instruments to achieve
macroeconomic objectives.
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 Reporting: Provides regular reports and updates on monetary policy to the central bank's leadership,
government authorities, and the public.
 Inflation Control: Focuses on controlling inflation and managing price stability as a key objective of
monetary policy.
 Exchange Rate Management: May play a role in managing exchange rates to support the country's
economic goals.
 Financial Market Oversight: Monitors financial markets to ensure they function efficiently and in line
with monetary policy objectives.
2.40 Department of NFIS Administrative Unit of Bangladesh Bank:
The Administrative Unit of the National Financial Inclusion Strategy (NFIS) Department at Bangladesh Bank is
responsible for overseeing and managing administrative functions related to the implementation of the NFIS.
Here are key points about this department:
 Strategy Implementation: Oversees the execution of the National Financial Inclusion Strategy to
enhance access to financial services for underserved populations.
 Administrative Support: Provides administrative support to ensure the smooth implementation of NFIS
initiatives.
 Resource Management: Manages the allocation of resources, including budget and personnel, for NFIS
projects and programs.
 Coordination: Coordinates efforts with various stakeholders, including government agencies, financial
institutions, and development partners, to achieve NFIS objectives.
 Monitoring and Reporting: Monitors the progress of NFIS initiatives and prepares reports for evaluation
and decision-making.
 Capacity Building: May offer training and capacity-building programs to enhance the skills and
knowledge of stakeholders involved in NFIS.
 Policy Alignment: Ensures that NFIS activities align with broader financial inclusion policies and
objectives.
 Communication: Facilitates communication and awareness campaigns to promote NFIS goals and
initiatives.
2.41 Department of Payment Systems of Bangladesh Bank:
The Department of Payment Systems at Bangladesh Bank is responsible for overseeing and regulating payment
systems within the country. Here are key points about this department:
 Payment System Oversight: Monitors and regulates payment systems to ensure their efficiency, safety,
and reliability.
 Payment Infrastructure: Manages and develops the payment infrastructure, including electronic fund
transfer systems and clearinghouses.
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 Policy Development: Formulates policies and regulations related to payment systems to promote
innovation and compliance.
 Digital Payments: Promotes and supports digital payment methods, including mobile payments, e-
wallets, and online banking.
 Interbank Settlement: Facilitates interbank settlement systems for the smooth functioning of financial
transactions.
 Financial Inclusion: Works to expand access to payment services for underserved populations,
promoting financial inclusion.
 Security and Fraud Prevention: Implements measures to ensure the security of payment systems and
prevent fraud.
 Cross-Border Payments: Addresses cross-border payment issues and collaborates with international
counterparts on payment-related matters.
 Consumer Protection: Ensures that payment services are fair, transparent, and protect consumers'
interests.
 Research and Development: Conducts research and development activities to enhance payment system
efficiency and effectiveness.
2.42 Department of Research of Bangladesh Bank:
The Department of Research at Bangladesh Bank is responsible for conducting economic and financial research
to inform the central bank's policies and decision-making. Here are key points about this department:
 Economic Analysis: Conducts in-depth economic analysis to understand trends, challenges, and
opportunities in the national and global economy.
 Data Collection: Gathers and maintains data on various economic and financial indicators for research
and analysis.
 Policy Formulation: Provides research-based inputs and recommendations to help formulate monetary
and fiscal policies.
 Forecasting: Develops economic forecasts and scenarios to anticipate potential economic developments.
 Financial Market Analysis: Analyzes financial markets, including interest rates, exchange rates, and
capital markets, to assess their impact on the economy.
 Publications: Publishes research reports, economic reviews, and working papers to share findings with
stakeholders and the public.
 Policy Advocacy: Engages with policymakers, government agencies, and international organizations to
advocate for evidence-based economic policies.
 Capacity Building: May offer training and capacity-building programs to enhance economic research
skills within the central bank and among stakeholders.
 International Collaboration: Collaborates with international research institutions and central banks on
economic and financial research projects.
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Somapty Islam Soma

B200203098
2.43 Secretary's Department:
The Secretary's Department deals with the meetings of board of directors of Bangladesh Bank, executive
committee of Bangladesh Bank board executive management team comprising of all executive directors.
Secretarial assignments include such duties as office coordination, scheduling meetings, preparing and
maintaining office records, reports, and correspondence pertaining to the professional's and/or management
staff's area of responsibility. A secretary's duties can vary depending on where they work, and sometimes
secretaries exceed their job requirements.
 Answering and directing phone calls: Secretary responsible for answering office phone lines and
directing each call to the appropriate individual. Oftentimes, secretaries are the individuals that handle
solicitation calls, client calls and taking messages.
 Organizing and distributing messages: Another essential task secretaries may commonly perform is
organizing and distributing memos, notes, messages and other written communications. Additionally,
secretaries may have exceptional communication and analytical skills to take on communication tasks
like these.
 Maintaining company schedules: Secretaries are also commonly in charge of maintaining the schedules
and agendas of professionals in their companies. For instance, a secretary for a large marketing firm
might organize team schedules for each of the company's departments as well as the executives' agendas
by setting appointments with clients, vendors and shareholders.
 Organizing documents and files: Keeping documents, records and files organized is another important
task that secretaries can be expected to perform. Oftentimes, a company's documents, files and other
records are stored within a computer database, and secretaries may frequently be expected to have the
technical skills necessary to use these types of filing systems.
 Greeting business clients and guests: Secretaries may also take on receptionist duties in addition to their
administrative responsibilities. An executive assistant may act as a receptionist to greet clients who
arrive for conferences or meetings and might be the individual who helps visitors get settled, brings
refreshments, takes notes during meetings with clients, and generally works to maintain the
professionalism and overall brand image of their company when greeting and directing visitors.
 Documenting financial information: Another highly essential task that secretaries may take on is the
documentation of expenses, earnings and other financial information. For instance, a secretary at a sales
corporation might be responsible for documenting the revenue and sales numbers from the sales team's
reports.
 Maintaining and ordering office supplies: Secretary responsible for keeping inventory records and
maintaining office supplies. The secretary may also be responsible for putting in orders for supplies that
are running out.
 Scheduling meetings and conferences: Along with scheduling meetings and conferences, secretaries may
also take on the responsibility of organizing and conducting meetings. For instance, an executive
secretary for a CEO of a retail corporation might organize a meeting with clothing designers, fashion
brands or other professionals in the industry. Then, the secretary may conduct the meeting by discussing
the important points of the conference.
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 Assisting executives with project tasks: Sometimes a secretary can be invaluable in assisting their
supervisors with completing small tasks as part of larger projects.
 Supervising staff and new employees: Secretaries might also be the mentors who work with staff when
implementing procedures and when training new employees. Because of their knowledge and
experience with their companies, many secretaries help lead staff and new hires in developing their
skills, following company protocol and learning about the overall company environment.
 Coordinating with other organizations: Secretaries also work to coordinate and form relationships with
other businesses and organizations. For instance, a secretary for an engineering firm might be the liaison
that connects with contractors, designers and other engineering organizations to set up conferences,
purchase resources or form business partnerships.
 Implementing administrative procedures: Secretaries might also play a role in developing and
implementing company policies and various administrative procedures. For example, a medical
secretary may develop a procedure for documenting patient treatment plans that includes following a set
of steps to document medical information in a database. The secretary might then implement this new
procedure by training nurses and staff on how to carry out the directives of the policy.
2.44 Security Management Department:
Security Management is that part of a business where a converged set of security, resilience and fraud functions
are managed and focused on the protection of the business, its brand, employees, assets and data by the use of
multiple layers of interdependent systems. The main aim of security management is to help make the business
more successful. This can involve strategies that enhance confidence with shareholders, customers and
stakeholders, through to preventing damage to the business brand, actual losses and business disruptions.
This department deals with planning, implementation of security plan through placement of security staff and
reviewing of the overall security arrangement for the organization’s properties, premises, treasures and
documents. For protection of vault appropriate number of police force are kept in reserve and placed in
appropriate security points with the approval of police authority.
Officers of the Department perform different official formality’s administrative function, Supervision and other
Official and field works as per organization’s rules and regulations.
The business would expect its security management department to:
 Identify Important Assets
 Conduct Threat and Risk Assessments
 Publish and Maintain Security Policies and Procedures
 Prevent Information and Data Theft
 Prevent Terrorist or Extremist Attack
 Prevent Fraud
 Minimize Service Disruption
 Protect Employees
2.45 SME & Special Programmes Department:

45
The activities of an SME (Small and Medium-sized Enterprises) & Special Programmes Department can vary
depending on the organization it belongs to. However, here are some common activities such a department
might be involved in:
Supporting Small and Medium-sized Enterprises (SMEs): This department often focuses on providing
assistance, resources, and guidance to SMEs. This can include access to funding, training, mentorship, and
networking opportunities.
Special Programs Development: They may create and manage special programs designed to address specific
needs within the SME sector. These programs could aim to boost innovation, internationalization, or
sustainability, for example.
Policy Development: Developing policies and regulations that are favorable to SMEs and ensure their growth
and competitiveness in the market.
Financial Assistance: Administering grants, loans, or subsidies to SMEs to help them start or expand their
businesses.
Capacity Building: Offering training and workshops to SMEs to enhance their skills and capabilities in areas
such as management, marketing, and technology adoption.
Research and Data Analysis: Conducting research on SME-related issues and collecting data to inform policy
decisions and program development.
Monitoring and Evaluation: Assessing the impact of programs and policies on SMEs to ensure they are
effective and making necessary adjustments when needed.
Promotion and Outreach: Promoting the growth and success of SMEs through marketing, advocacy, and
partnerships with other organizations.
2.46 Special Studies cell:
The activities of a "Special Studies Cell Department" can vary depending on the organization it belongs to and
its specific objectives.
 Data Collection and Analysis: Gathering data from various sources, analyzing it, and generating
insights or reports that can inform decision-making.
 Policy Development: Assisting in the formulation of policies and strategies based on the findings of
special studies and research.
 Report Generation: Preparing reports, white papers, and presentations that communicate the results of
special studies to internal or external stakeholders.
 Consultation and Expertise: Providing expert advice and consultation services to other departments or
organizations seeking insights into specific issues or challenges.
 Program Evaluation: Assessing the effectiveness of existing programs or initiatives and making
recommendations for improvement.
 Strategic Planning: Contributing to the development of strategic plans and long-term goals by
providing data-driven insights.
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 Interdepartmental Collaboration: Collaborating with other departments or units within the

organization to ensure that research and analysis align with broader organizational objectives.
 Training and Capacity Building: Offering training and workshops to staff members or stakeholders to
enhance their research and analysis skills.
 Stakeholder Engagement: Engaging with external stakeholders, such as government agencies, NGOs,
or industry partners, to gather input and share research findings.
2.47 Statistics Department:
The activities of a statistics Department typically revolve around the collection, analysis, interpretation, and
dissemination of data.
 Data Collection: Collecting a wide range of financial and economic data from banks, financial
institutions, and other relevant sources within Bangladesh.
 Monetary and Financial Statistics: Compiling data on money supply, interest rates, foreign exchange
reserves, and other monetary and financial indicators to monitor the health of the financial system.
 Economic Indicators: Collecting data on economic indicators such as inflation rates, GDP growth, and
trade balances to assess the overall economic situation.
 Balance of Payments: Compiling data on international trade, capital flows, and foreign exchange
reserves to monitor the balance of payments.
 Banking Sector Data: Gathering data on bank assets, liabilities, credit quality, and liquidity to assess
the stability of the banking sector.
 Surveys and Reports: Conducting surveys and preparing reports on various aspects of the financial and
economic landscape in Bangladesh.
 Research and Analysis: Conducting in-depth economic and financial analysis, including forecasting
and modeling, to provide insights for policymaking.
 Data Dissemination: Disseminating financial and economic data to government agencies, financial
institutions, researchers, and the public through reports, publications, and online platforms.
 Policy Support: Providing data and analysis to support the formulation of monetary policy, fiscal
policy, and financial regulations.
 Data Quality Assurance: Ensuring the accuracy, reliability, and consistency of data through quality
control measures.
 International Data Reporting: Meeting reporting requirements to international organizations such as
the International Monetary Fund (IMF) and the World Bank.
 Data Privacy and Security: Ensuring the security and confidentiality of sensitive financial and
economic data.
 Capacity Building: Offering training programs and workshops to staff and stakeholders to enhance
their statistical and analytical skills.
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3. Conclusion
Central banks play a crucial role in ensuring economic and financial stability. It's closely linked with the
performance of the economy, and of all sectors like trade, commerce, industry, exports, imports and most
importantly, ensuring the financial stability in an economy. With proper guideline and instructions of
Bangladesh Bank Ordinance 1972, Bangladesh Bank is taking responsibility as central bank to run the financial
industry smoothly towards the goal of sustainable development. The functions of central bank are continuously
regulating under the supervisions of different departments of Bangladesh Bank. For Bangladesh Bank to be
successful in regulating the financial sector, it has to have very relevant and pragmatic policies, prudential
management rules and ensure that these are fully followed by all banks and financial institutions. With the
instructions and regulation of current Governor Abdur Rouf Talukder, Bangladesh Bank will surely ensure the
proper balance of the economy.
4. References:
1. https://www.bb.org.bd/en/index.php (Bangladesh Bank official website)
2. https://www.centralbank.net/
The End

Law and Practice

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Law and Practice

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1

A Group Assignment on Bangladesh Bank's

Course Name: Law & Practice of Banking

Date of submission: 12 September 2023

SL. Name Id Marks

02. Fahima Akter Shova B200203061

04. MD. Shahed Ali B2020203089

06. Jarin Tasnim B200203108

08. MD. Tamim Hossen B190203054

10. Mahia Chowdhury B190203095

2. Departments Of Bangladesh Bank and their activities.................................................................................................5

2.23 Financial Inclusion Department...........................................................................................................................27

1. Central Bank of Bangladesh

2. Departments Of Bangladesh Bank and their activities

Dalim Chandra Das

2.1 Accounts and Budgeting Department (A&BD):

2.2 Agricultural Credit Department:

2.3 Bangladesh Bank Library (BBL):

2.4 Bangladesh Bank Training Academy (BBTA):

2.5 Bangladesh Financial Intelligence Unit (BFIU):

2.6 Bankers selection committee Secretariat and its activities

2.7 Banking regulations and policy department:

● Review and drafting of banking statutes.

● Attending to works relating to development of priority/special sectors of the economy.

2.8 Chef Economist unit

2.9 Common Services Department

2.9.1 Common services department 1

Purchase of lands for office and residential purpose.

2.9.2 Common services department 2

● Preparing Master Plans for Office and Residential Areas.

2.10 Credit Guarantee department

Any other functions deemed necessary to operate Credit Guarantee Schemes.

MD. Shahed Ali

2.11 Credit Information Bureau

 Update credit information (contract data) of borrowers according to demand by Banks/NBFIs

2.12 Cyber Security Unit

2.13 Debt Management Department

The major functions of the Department:

 8. Implement Policies Relating To Sanchayapatras And Sanchayabonds And Provide Clarification Of

Ambia Binte Asad Lamia

2.14 Department of Banking Inspection

2.14.1 Department of Banking Inspection 1

b. Core Risk Inspection:

 Internal Control and Compliance (ICC)

2.14.2 Department of Banking Inspection 2

 V. Evaluation Of Loan Operation;

2.14.4 Department of Banking Inspection 4

1. United Commercial Bank Limited

2.14.5 Department of Banking Inspection 5

1. 01.Pubali Bank Limited

2.14.6 Department of Banking Inspection 6

2.14.7 Department of Banking Inspection 7

This department conducts following types of inspections

2.14.8 Department of Banking Inspection 8

Foreign Commercial Banks:

6. Habib Bank Ltd.

State Owned Commercial Banks (SOCBs):

This department conducts following types of inspections

MD. Shahed Ali (continuous)

2.15 Department of Communications and Publications

Fahima Akter Shova

2.16 Department of currency management of Bangladesh Bank:

● To procure bank/currency notes and coins of different denominations.