Dhaka, Bangladesh — In the wake of Sheikh Hasina’s abrupt departure from power and subsequent exile in August, Bangladesh finds itself embroiled in a scandal of unprecedented proportions. Accusations of widespread corruption under her administration have come to light, including a staggering claim that $17 billion was siphoned from the country’s banking sector during her tenure. Revelations paint a damning picture of institutional decay, with allegations implicating both high-profile business figures and key state agencies.
Allegations
central bank’s newly appointed governor, Ahsan Mansur, has accused associates linked to Sheikh Hasina, including prominent businessman Mohammed Saiful Alam and members of the Directorate General of Forces Intelligence (DGFI), of orchestrating a large-scale banking heist. Mansur characterized the operation as “state-sponsored,” alleging that intelligence officials coerced bank executives into compliance.
“This was not just corruption; it was a systematic dismantling of our financial institutions,” Mansur said. “It couldn’t have happened without the highest levels of state support.”
Mohammed Saiful Alam has denied any wrongdoing, calling accusations “baseless.” However, allegations have ignited widespread outrage, further tarnishing the reputation of Sheikh Hasina, who ruled Bangladesh for nearly two decades.
A Nation in Crisis
the financial scandal comes as Bangladesh teeters on the brink of economic collapse. Adani Group, a key electricity supplier providing 10% of Bangladesh’s power, has warned that the country is overdue on $800 million in payments, describing the situation as “unsustainable.” Meanwhile, the country faces mounting pressure from international creditors, raising fears of widespread power outages and further economic instability.
Revelations have highlighted systemic vulnerabilities in Bangladesh’s governance and financial systems, with critics accusing Sheikh Hasina’s administration of fostering a culture of impunity.
IMF’s Role Under Scrutiny
Adding to the controversy is the role of the International Monetary Fund (IMF), which approved a $3.3 billion loan for Bangladesh just a year ago. The loan, granted under the pretext of economic reforms, is now being criticized for enabling Hasina’s regime to remain in power while allegedly presiding over financial mismanagement and authoritarianism.
“IMF failed to detect what may be the largest bank heist in the country’s history,” Mansur said. “By granting a loan, it prolonged an administration that was already under scrutiny for democratic backsliding and human rights abuses.”
IMF has defended its decision, stating that its programs aim to stabilize economies and protect vulnerable populations. However, experts argue that an institution’s lack of enforcement mechanisms allows corrupt governments to exploit its support without implementing meaningful reforms.
A Troubled Legacy
Sheikh Hasina’s fall from power has also reignited debates about her political legacy. Once hailed for economic growth and infrastructure development, her administration is now being remembered for allegations of authoritarianism, electoral manipulation, and systemic corruption. From 2000 to 2021, Bangladesh’s ranking on the Human Freedom Index fell from 91st to 130th out of 165 countries.
In weeks since her exile, Bangladesh has formally requested Interpol issue a red notice for Hasina’s arrest. Her whereabouts remain unknown, but accusations against her administration have intensified calls for accountability and reform.
Road Ahead
Bangladesh’s path forward remains uncertain. The government has signaled its intention to seek additional IMF loans to stave off an economic crisis, but critics warn that such measures could exacerbate the country’s debt burden without addressing underlying governance issues.
“IMF’s approach has often been a Band-Aid on a bullet wound,” said a political analyst in Dhaka. “Without real reforms, Bangladesh risks repeating the same cycle of corruption and economic mismanagement.”
As the nation grapples with its worst crisis in decades, the focus now turns to rebuilding trust in its institutions and holding those responsible for its financial collapse accountable. For Bangladesh, the stakes could not be higher.
