The reform drive in the country’s banking sector will move ahead without pause, including the planned merger of five private banks, the governor of Bangladesh Bank said on Sunday, seeking to calm unease that has built up in recent weeks.

Governor Md Mostakur Rahman delivered the message during a courtesy call by the Association of Bankers, Bangladesh at the central bank headquarters. Nineteen chief executives attended the meeting, led by ABB chairman and City Bank managing director Mashrur Arefin.

According to officials present, the governor made it clear that political pressure would not be entertained in matters of governance or loan decisions. The central bank, he said, would take a firm position to protect discipline in the sector.

His remarks come against the backdrop of confusion surrounding the proposed merger process involving Exim Bank, Social Islami Bank, First Security Islami Bank, Union Bank and Global Islami Bank. Those concerned see Sunday’s statement as an effort to dispel doubts about whether the consolidation plan would proceed.

Central bank spokesperson Arif Hossain Khan later said the governor offered a “clear message” that reforms would continue and that policy support would be strengthened to help create employment. Commercial banks were urged to take a more proactive role in this effort.

The governor referred to the government’s pledge to generate one crore jobs within the next 18 months and stressed the need for a business- and production-friendly environment. Reopening factories that shut down following political changes was highlighted as a priority, along with expanding financing for the CMSME sector.

He also addressed the issue of non-performing loans, calling for productive use of assets tied up in defaulted projects. Reviving closed industrial units through new entrepreneurs or converting them into service-oriented ventures was cited as one possible path.

After the meeting, Mashrur Arefin told reporters that managing directors had been encouraged to directly inform the governor if they faced political interference in loan disbursement or governance matters. The central bank, he said, assured bankers it would move swiftly to address operational challenges raised by ABB.

On regulatory flexibility, the governor indicated that some controls would be eased to lower business costs. Regional rent ceilings will be introduced for new branches, allowing banks to proceed without prior central bank approval if they remain within prescribed limits. Leasing arrangements will also see greater policy freedom.

Export incentives, reimbursement under the Export Development Fund and arrears in remittance incentives were discussed as well.

In a forward-looking note, the governor floated the idea of organizing a “Bangladesh Day” jointly with commercial banks to attract foreign investors and lenders. He also spoke about the “One Village, One Product” initiative, pointing to the well-known cheese of Ashtagram in Kishoreganj as an example of how local products could reach global markets with proper financing and branding support.

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Participants said the governor listened at length before outlining his priorities. The meeting closed with an understanding that reform, discipline and growth would remain at the centre of the central bank’s agenda in the months ahead.