Bonus allowed if operating profit exists: Bangladesh Bank new directive

PNN News Desk. Dhaka

The Bangladesh Bank has relaxed rules regarding incentive bonuses for commercial bank employees. From now on, banks can provide bonuses to employees even if there is no net profit, as long as there is operating profit.

A circular regarding this was issued on Tuesday (April 28) and sent to managing directors and chief executives of all scheduled banks.

The new guideline states that even if there is a capital shortfall, bonuses may be given under certain conditions. However, only banks whose capital has not decreased compared to the previous year and which do not require deferment facilities will be eligible.

According to the circular, the board of directors can approve bonuses up to one month’s basic salary.

Bangladesh Bank said the decision aims to increase motivation among banking sector employees and maintain competitiveness.

Previously, in December 2025, it was instructed that banks could not provide bonuses without net profit, and banks with capital or provisioning deficits were restricted.

Bank officials said that due to strict rules, many institutions could not provide bonuses, affecting employee retention.

The new decision is expected to boost morale and help retain skilled manpower in the banking sector.