Non-banks’ top brass can remain directors of subsidiaries until Dec

The chairmen of non-bank financial institutions along with the heads of executive, audit and risk management committees who hold directorships of associated subsidiaries or foundations will be able to continue to serve in the latter positions until December this year.

Last month, the central bank had instructed persons who are now in such directorship roles of banks and NBFIs to resign or get exempted by June 30 this year.

But the BB has backtracked from its stance amid pressure from the influential directors of banks.

The central bank had issued a notice on June 1, permitting the directors of banks to hold the post till June next year.

But the directors of NBFI will enjoy the extension until December this year.  

A BB official said the central bank just took the similar step what it had taken for banks.   

Banks informed the central bank that it would be difficult to run the subsidiaries and foundations due to a lack of skilled manpower.