, Dec. 25 -- In a major move to stabilize the economy of the banking sector, Bangladesh Bank has approved the merger of five crisis-stricken Islamic banks into a single entity named 'Combined Islamic Bank PLC'.

The central bank confirmed on Thursday that the withdrawal process for depositors will begin next Monday or Tuesday. This decision follows a severe liquidity crisis triggered by massive loan scams and irregularities carried out by influential groups during the previous Awami League administration.

The five banks being merged are-Exim Bank, Social Islami Bank, First Security Islami Bank, Global Islami Bank and Union Bank.

According to a senior Bangladesh Bank official, the complexities regarding deposit returns have been resolved...