According to a Bangladesh Bank report, banks in all South Asian countries have seen their CARs rise over the past few years, except last year when CARs declined in India, Pakistan and Sri Lanka. Although Bangladesh banks maintained an increase in CAR last year, it was the lowest overall among South Asian countries.
In 2022, banks in Bangladesh maintained a CAR of 11.83 per cent, compared to 16.6 per cent for Pakistan, 16 per cent for India and 15.3 per cent for Sri Lanka.
Bangladesh’s banks have been maintaining the lowest capital base in South Asia for the past several years. Local banks maintained a CAR of 10.8 per cent in 2017, 10.5 per cent in 2018, 11.6 per cent in 2019 and 11.8 per cent in 2021, increasing to 11.83 per cent in 2022.