Although banks reopened yesterday, a day after prime minister Sheikh Hasina handed in her resignation, overall activities including financial transactions were affected due to security concerns among lenders and clients.

Many banks operated on a limited scale across the country, closing outlets and booths in areas where the risk is greater amid the absence of law enforcement agencies, according to bankers.

Due to similar concerns, banks could not deliver cash to branches or ATM booths, reducing financial transactions significantly.

The security concerns deepened in Dhaka and the rest of the country yesterday as police observed a work abstention, citing that they feared for their own safety amid reports of deadly attacks on policemen on Monday night.

Many banks operated on a limited scale across the country, closing outlets and ATM booths in areas where the risk is greater amid the absence of law enforcement agencies, bankers said

Bangladesh has been in turmoil since July, with over 300 dead in clashes between protesting students, police and ruling party men.

Reports of violence and arson also flared on Monday night as an interim government was in the process of being formed.

Apart from the limited presence of army personnel, streets and important establishments in the capital were without security.

In the absence of traffic police, students were seen controlling the flow of traffic on the streets around the country.

Naser Ezaz Bijoy, chief executive officer of Standard Chartered Bangladesh, said they resumed operations on a limited scale yesterday.

"As police services are not available, we stopped operating in places where we feel there is less security or the situation is uncomfortable," he said.

Based on their security assessment, Bijoy said they provided banking services through only four of their 18 branches across the country, three in Dhaka and the other in Chattogram.

Besides, banking operations were halted in Khulna, Sylhet and Bogura.

"We have taken this decision to ensure the safety of our clients and colleagues amid security concerns due to the absence of law enforcement agencies," he said.

The doors of several banks were closed in Motijheel but some branches operated through pocket gates.

Selim RF Hussain, chairman of the Association of Bankers Bangladesh, said banks opted for risk assessment of branches in line with the suggestion of Bangladesh Bank and opened branches accordingly.

He added that there was panic yesterday. "But this will reduce as things normalise. So, more branches will be opened," added Hussain, also managing director of BRAC Bank.

A senior official of Eastern Bank Ltd said the private lender could not open all its branches yesterday due to security concerns.

"We have kept branches shut in areas with a risk of violence and robbery. Customers' presence was also very thin," he said.

Golam Maula, a resident of Indira Road in Dhaka, said he could not withdraw money as ATM booths were closed due to violence over the last few days.

He has already run out of cash, he lamented.

"Most of the booths in the surrounding area are closed, so I could not even withdraw money yesterday," he said.

Syed Mahbubur Rahman, managing director and CEO of Mutual Trust Bank Ltd (MTB), said they also operated on a limited scale because of the prevailing situation.

"Those who felt unsafe did not come," he said.

He also mentioned that miscreants vandalised and stole an ATM from their branch in Madaripur.

However, the presence of customers was significantly low in the capital as clients did not take any services unless there was an emergency.

An official of a state-owned bank in Motijheel said fewer customers have been seeking services for the past several weeks due to the unrest centring the students' movement.

"But it was significantly lower yesterday, owing to security concerns in absence of security personnel," he said.

On the other hand, there were also fewer employees and most of them only worked a half-day.

Bijoy of Standard Chartered said many clients refrained from taking banking services yesterday as the decision to reopen banks came very late on Monday night.

Lamenting the death of an employee during the recent unrest, he said: "It is a big loss for us. So, we must ensure the safety of our clients and colleagues."

"If law enforcement agencies can ensure security and we feel that there is a safe environment through our assessment, then we will operate all the branches," Bijoy added.