Bangladesh Bank (BB) has set strict eligibility criteria and standards for appointments to three key senior positions across all banks and financial institutions operating in the country.
The central bank on Thursday issued a directive outlining the rules for the positions of Chief Financial Officer (CFO), Chief Information Technology Officer (CTO), and Company Secretary.
According to the central bank, appointments to these crucial roles will now require evaluating candidates' professional competence, educational background, work experience, personal integrity, and financial standing. Individuals convicted of criminal offenses, regulatory violations, irregularities, corruption, or moral turpitude are strictly barred from holding these posts.
The directive has been sent to the managing directors and chief executive officers of all commercial banks and non-bank financial institutions. This latest move follows earlier central bank guidelines regulating the appointment of board directors, managing directors, CEOs, and advisors.
General Disqualification Criteria:
Under the new instructions, candidates are deemed completely ineligible if they have been convicted by a court for criminal offenses, penalized for violating regulatory laws, or dismissed/removed from service due to money laundering, corruption, fraud, or moral turpitude (moral degradation).
Furthermore, individuals involved in illegal activities during previous employment, declared bankrupt by courts, or identified as loan defaulters cannot be appointed. Appointed officials are also prohibited from maintaining any conflict-of-interest business relationships with their respective financial institutions.
Specific Criteria for CFOs
The tenure of required experience for CFOs has been linked to the institution's volume of loans and investments:
Institutions with loans/investments exceeding Tk 1,000 crore: Candidates must have a minimum of 10 years of working experience, including at least 3 years in accounting and taxation activities.
Institutions with loans/investments below Tk 1,000 crore: Candidates require at least 8 years of working experience, with 3 years dedicated to accounting and tax-related functions.
Educational Background: Candidates must hold a Master’s degree in Finance, Accounting, Bank Management (MBM), or a post-graduate degree in Finance, Accounting, or Banking from a recognized university. Professional degrees such as CA, CMA, or CFA will be given preference.
Specific Criteria for CTOs
Experience: Candidates must possess a minimum of 8 years of professional experience in the IT sector, with at least 5 years explicitly within banks or financial institutions.
Educational Background: Applicants must hold at least a bachelor’s degree in Information Technology, Computer Science, Physics, Applied Physics, Mathematics, Statistics, or Electrical and Electronic Engineering (EEE) with advanced educational qualifications. Preference will be given to professionals with specialized IT and computer science credentials.
Specific Criteria for Company Secretaries:
Experience: Candidates are required to have 8 years of total working experience in a bank or financial institution, which must include at least 4 years in a board secretariat or compliance role, or 3 years serving as a Company Secretary (or equivalent position) in a listed company.
Educational Background: Candidates must hold a Chartered Secretary degree recognized by the Institute of Chartered Secretaries of Bangladesh (ICSB) alongside a minimum bachelor’s degree in any discipline from a recognized university.
While banks must strictly follow these criteria for appointments and postings in these three positions, prior formal approval from Bangladesh Bank will not be required.