Mr. Fazle Kabir served as the 11th Governor of Bangladesh Bank, the central bank of Bangladesh, from March 20, 2016, to July 3, 2020. His tenure as Governor was marked by a strong commitment to advancing the country’s banking and financial sector, along with a profound impact on financial inclusion, risk management, and Islamic finance. Kabir’s career spanned over three decades, encompassing notable achievements in both civil service and the banking sector.
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Early Life and Education
Born in July 1955 in Hasail Banari village, Tongibari, Munshiganj district, Mr. Fazle Kabir’s roots are deeply entrenched in the heart of Bangladesh. He attended Faujdarhat Cadet College for his secondary and higher secondary education, an institution renowned for its excellence in education. After completing his early schooling, Mr. Kabir pursued his undergraduate and graduate studies at the University of Chittagong, where he earned a B.A. (Honours) and a Master’s degree in Economics. His solid academic foundation set the stage for his illustrious career in civil service and banking.
Early Career in Civil Service
Mr. Kabir began his professional journey in 1980 when he joined the Bangladesh Civil Service (Railway Transportation and Commercial) cadre. His career took a significant turn in 1983 when he transferred to the BCS Administration cadre. Over the next 34 years, Mr. Kabir served in various key positions across ministries and field administration. He notably served as the Deputy Commissioner and District Magistrate of Kishoreganj district, a role that helped him gain valuable leadership and administrative experience.
Kabir’s roles in the government continued to diversify. He was appointed Joint Secretary in the Ministry of Education, Director General of the National Academy for Planning and Development, and Director General of the BCS Administration Academy. His leadership skills were further honed as he held the position of Secretary at both the Ministry of Railways and the Finance Division of the Ministry of Finance. These experiences solidified his expertise in public finance management, administration, and policy-making.
Role in the Banking Sector
Mr. Kabir’s career in the banking sector began to take shape during his time as a Director on the Board of Directors of Janata Bank Limited (2008-2010) and Bangladesh Bank (2012-2014). His deep understanding of the financial sector led him to become the Chairman of the Board of Directors of Sonali Bank Limited prior to his appointment as Governor of Bangladesh Bank. These roles gave him critical insights into the functioning of both public and private banks in Bangladesh.
Appointment as Governor of Bangladesh Bank
Mr. Fazle Kabir was appointed Governor of Bangladesh Bank on March 20, 2016, a position he held until July 3, 2020. During his tenure, he made significant contributions to Bangladesh’s financial system, particularly in terms of risk management, financial inclusion, and Islamic finance.
Pioneering Risk Management and Banking Reforms
One of Mr. Kabir’s most notable achievements as Governor was the introduction of comprehensive risk management guidelines for banks. He recognized the importance of ensuring financial institutions adhered to international best practices for managing risks, particularly in areas like credit, market, and operational risk. Under his leadership, Bangladesh Bank also played a pivotal role in formulating compliance regulations, banking standards, and core banking solutions that enabled banks to operate more efficiently and securely.
Promoting Islamic Finance
Mr. Kabir was also instrumental in promoting Islamic finance in Bangladesh, a sector that had seen rapid growth during his tenure. He introduced the Islami Bond System, which was designed to provide a Shariah-compliant alternative to conventional bonds, helping the country tap into the growing Islamic finance market. His advocacy for Islamic banking systems contributed significantly to the expansion of Shariah-compliant financial products in Bangladesh.
Expanding Financial Inclusion
Financial inclusion was another priority during Mr. Kabir’s time as Governor. He launched several initiatives to ensure that underserved populations, including women and rural communities, had access to essential banking services. Notable initiatives included Agent Banking, which allowed banks to reach remote areas, the Green Transformation Fund, Export Development Fund, and various Refinance Schemes aimed at supporting small and medium-sized enterprises (SMEs). These efforts helped create a more inclusive financial ecosystem, making banking services accessible to millions of previously excluded individuals.
Economic Recovery During the COVID-19 Pandemic
The COVID-19 pandemic presented unprecedented challenges to global economies, and Bangladesh was no exception. Under Mr. Kabir’s leadership, Bangladesh Bank introduced a series of stimulus packages aimed at supporting the economy during this difficult period. These measures provided relief to businesses and individuals, helping mitigate the economic impact of the pandemic. Mr. Kabir’s proactive response to the crisis demonstrated his ability to steer the country’s financial system through turbulent times.
Empowering Women Entrepreneurs
Another cornerstone of Mr. Kabir’s tenure was his focus on empowering women entrepreneurs. He recognized the vital role that women played in driving economic growth and launched initiatives to support female entrepreneurs, helping them access credit and financial services that had previously been unavailable to them. His efforts contributed to a broader shift towards gender equality in the financial sector.
Personal Life and Legacy
Mr. Fazle Kabir was born into a family that valued education and public service. He is married to Mrs. Mahmuda Sharmin Benu, who herself had a distinguished career as a Secretary to the Government of Bangladesh. Together, they have a son, and their commitment to service and development has had a lasting impact on both the civil service and the banking sector in Bangladesh.
Mr. Kabir’s legacy as the Governor of Bangladesh Bank is characterized by his strategic vision, commitment to reforms, and emphasis on financial inclusion and Islamic finance. His leadership continues to shape the landscape of Bangladesh’s financial sector, with reforms and initiatives introduced during his tenure still benefiting the country today.
Conclusion
Fazle Kabir’s career has been a testament to his dedication to public service, economic development, and the betterment of Bangladesh’s financial sector. His contributions as the Governor of Bangladesh Bank will be remembered for their lasting impact on the country’s banking system, financial inclusion, and economic resilience. Mr. Kabir’s legacy serves as an inspiration to current and future leaders in both the public and private sectors, as well as to those striving to make a difference in the financial world.