EXIM Bank has decided to abandon the proposed merger with Padma Bank. 

This decision, made during a board meeting held on December 23, reverses the bank's earlier plan from March 2024 to merge with Padma Bank, according to a recent disclosure on the Dhaka Stock Exchange. 

Padma Bank, formerly known as Farmers Bank, has struggled since its inception in 2013. It faced significant financial challenges that necessitated government intervention and a rebranding in 2019. 

Despite efforts to stabilise the institution, including a substantial overhaul of its management in 2017, Padma Bank continued to report high levels of non-performing loans.