Weak banks in Bangladesh with small holdings of government securities, which are used to mobilise funds either from the central bank or peers, may become more vulnerable in the days to come, Moody’s Investors Service warned yesterday.  

The government has kept borrowing from the Bangladesh Bank as commercial banks can’t come up with much-needed funds owing to the liquidity crunch. 

Four state-run commercial banks (SCBs) in Bangladesh are struggling to generate revenue from their core business of lending due to voluminous non-performing loans and the lending rate ceiling.