BRAC Bank joins the Tk 1 trillion deposit club

BRAC Bank has become the latest bank in the country to surpass Tk 1 trillion in deposits, joining a group of six state-owned and private-sector banks to reach the milestone.

This month, the private commercial bank’s deposits surpassed the Tk 1 trillion mark for the first time. It is the sixth bank in the country to achieve the feat.

State-owned Sonali Bank first crossed the BDT 1 trillion milestone in 2016. In June 2020, Islami Bank became the first private bank to enter this club. Both state-owned Agrani Bank and Janata Bank joined the list in 2021. Last July, private sector Pubali Bank’s deposits exceeded the Tk 1 trillion mark. With the addition of BRAC Bank, these six institutions now hold 40 per cent of the country's total Tk 20 trillion in deposits.

Despite the prevailing lack of depositor confidence in the broader banking sector, high levels of non-performing loans and weak regulatory oversight, BRAC Bank has reached this milestone due to its high standard of service, efficient management and strong corporate governance.

Additionally, BRAC Bank maintains one of the lowest non-performing loan (NPL) ratios among state-owned and private banks and consistently ranks at the top in terms of profitability.

Banking sector experts observe that depositors are currently experiencing a crisis of confidence regarding several weak and troubled banks. As a result, they are moving their deposits from weaker banks to stronger ones. This has helped BRAC Bank and several other sound banks grow their deposits rapidly.

A significant portion of BRAC Bank’s Tk 1 trillion deposit base consists of retail deposits. At the end of last June, the bank's retail deposits stood at Tk 503.24 billion. This has since risen to over Tk 530 billion.

Consequently, the bank added more than Tk 30 billion in retail customer deposits in just two months. The bank currently serves approximately 1.6 million individual retail customers.

According to BRAC Bank, more than half of its total deposits come from retail customers. In June 2022, four years ago, the bank’s retail deposits were Tk 175.14 billion. In four years, that figure has grown by over Tk 370 billion. Corporate, SME and institutional deposits have also seen growth, strengthening the bank's funding base.

The bank has expanded its network of branches, sub-branches, agent banking and digital services rapidly in recent years. In 2024, the bank had 263 branches and sub-branches. That number has now risen to 312. Similarly, the bank’s agent banking network has expanded and the introduction of its "Astha" app has become a primary medium for customer transactions.

In 2024, BRAC Bank's deposits stood at Tk 668.57 billion, which climbed to Tk 1.00915 trillion by the end of last month. In 2024, the bank's total loan portfolio was Tk 623.37 billion. This has now increased to Tk 762.08 billion. As a result, deposits have grown at a faster rate than loans.

With demand for credit remaining relatively low, the bank is investing a large portion of its deposits in government treasuries, generating significant profits. In 2024, the bank’s non-performing loans amounted to Tk 16.40 billion. By the end of last August, this figure dropped to Tk 15.77 billion, reducing the NPL ratio from 2.63 per cent to 2.07 per cent.

In 2025, BRAC Bank recorded a profit of Tk 22.51 billion, the highest among local private banks. In the first six months of the current year, the bank posted a profit of Tk 14.23 billion, compared to Tk 9.06 billion during the same period last year. A portion of BRAC Bank’s profit is driven by bKash, the mobile financial service (MFS) provider, in which BRAC Bank holds a 50 per cent stake.

BRAC Bank Managing Director Tareq Refat Ullah Khan told Prothom Alo, "Our bank has consistently seen significant growth in deposits over the last few years due to customer confidence, a strong culture of corporate governance, customer-centric and innovative product design, growing digital capabilities, and an expansive nationwide network. Years of consistent success have made BRAC Bank a unique name for customer trust."

Tareq Refat Ullah Khan further added, "BRAC, one of the world's largest non-governmental organizations, is a 46.16 per cent shareholder of this bank. So a large portion of the bank's profits goes to BRAC, which they utilise for various public welfare initiatives and the socio-economic development of the country's people."