The newly launched Sammilito Islami Bank PLC—formed through the merger of five distressed Shariah-based banks—officially began operations on Tuesday, supported by a Tk20,000 crore government capital injection aimed at stabilising the Islamic banking sector and restoring depositor confidence.
Former secretary Mohammad Ayub Miah took charge as chairman after meeting Bangladesh Bank Governor Ahsan H Mansur this afternoon, a day after the central bank issued the licence and final approval for the new state-owned Islamic bank.
Ayub described the launch as “good news for the nation”, saying a technical team is already working to lay a strong institutional foundation.
“Our main goal is to regain the trust of depositors. Sammilito Islami Bank will become a symbol of trust for the nation,” he told reporters.
He added that discussions with the governor focused on the bank’s vision, mission, legal framework and operational roadmap. Full operationalisation of the bank—and the legal merger of the five institutions—will proceed in phases.
Five Banks Merged Under One Entity
The new bank brings together First Security Islami Bank, Global Islami Bank, Social Islami Bank, Exim Bank, and Union Bank. Bangladesh Bank will formally inaugurate the institution at a press conference on Thursday. Operations have already begun at the head office in Sena Kalyan Bhaban, Motijheel.
Tk20,000cr Govt Capital Injection Completed
Finance Division officials confirmed that Tk20,000 crore allocated in the 2025–26 national budget has already been transferred as paid-up capital. The funds came from the Tk24,196 crore equity investment allocation for the fiscal year.
A Finance Division official said the government expects to recover its investment once the bank becomes profitable. The plan is to gradually offload the government’s shares to the private sector within three years, after the bank stabilises.
Largest State-Owned Shariah-Based Bank by Capital
Sammilito Islami Bank PLC has been registered with the Registrar of Joint Stock Companies and Firms. With Tk35,000 crore in paid-up capital—Tk20,000 crore from the government and Tk15,000 crore to be raised from depositors’ shares—it is now the largest state-owned Shariah-based bank in Bangladesh.
The bank’s authorised capital is set at Tk40,000 crore.
Bangladesh Bank yesterday listed it as a scheduled bank and assured that depositors should feel fully secure. Under the Deposit Protection Ordinance 2025, deposits up to Tk200,000 are fully guaranteed, with refunds to begin shortly after the merger process is completed. A repayment plan for deposits above Tk200,000 will be announced soon.
Restoring Confidence in Islamic Banking
The central bank said the merged institution will operate under strict supervision to ensure professionalism and efficiency. It expressed confidence that Sammilito Islami Bank will soon evolve into a modern, competitive Shariah-based institution.
Bangladesh Bank also reiterated its commitment—along with the government—to restoring trust in the banking system. The merger is expected to strengthen the sector, improve sustainability and inclusiveness, and provide much-needed stability to Bangladesh’s Islamic banking landscape.