'Meghna aims to be among top 15 banks'

Meghna Bank aims to become one of Bangladesh's top 15 lenders by expanding its SME footprint and investing heavily in digital infrastructure, says Managing Director Syed Mizanur Rahman.

In a recent interview with Print Media, Rahman emphasized that the bank is shifting away from corporate-heavy lending to minimize risk. While the broader banking sector grapples with a staggering 36% default loan rate, Meghna Bank has maintained its non-performing loans (NPL) in the single digits—currently below 6%.

“Diversification is essential for sustainability,” Rahman stated. “While 80% of our portfolio is currently corporate, we are gradually increasing our exposure to retail, SME, and digital banking to meet market demand and reduce concentration risk.”

The bank is also integrating its web, corporate, retail, and mobile financial services (Meghna Pay) into a single seamless platform. This digital push aims to provide remote areas with access to transactions and credit without requiring a physical branch visit.

Addressing the economic climate, Rahman noted that private sector investment remains sluggish due to political uncertainty. "Banks are struggling to find creditworthy borrowers. However, we expect a stable environment post-election to restore entrepreneur confidence and reopen international credit lines," he added.

Regarding the industry-wide NPL crisis, Rahman argued that while targeted rescheduling can help businesses hit by currency fluctuations, it does little for those who have intentionally diverted funds.