Regulatory Alerts2023-07-26
Added
BRPD Circular No. 14: Implementation of Article 15 (10) of Bank-Company (Amendment) Act, 2023
The circular implements the amendment to Article 15(10) of the Bank-Company Act, 1991, which reduces the maximum number of directors from the same family serving on a bank's board from four to three. If a bank exceeds this limit, directors must resign through mutual agreement; if no agreement is reached, the departing director is determined by lottery at a board meeting. Scheduled banks are directed to reduce their family director count to three and notify the Banking Regulation and Policy Division, Division-2, at the earliest opportunity.
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