ONE Bank
ONE Bank PLC, formerly known as ONE Bank Limited, is a private sector commercial bank in Bangladesh, incorporated in May 1999 under the Companies Act 1994 and headquartered in Dhaka.[1][2] The bank engages in core activities of mobilizing public deposits through various savings schemes and extending credit to priority sectors such as textiles, ready-made garments, and small and medium enterprises, while offering modern services including online banking, Visa debit and credit cards, ATMs, and mobile banking.[1][3] As of early 2025, ONE Bank operates over 110 branches, more than 100 ATM booths, and additional banking and collection booths nationwide, supported by centralized loan administration, trade processing, and a disaster recovery center to enhance operational efficiency.[4][5] Its vision positions it as a role model in Bangladesh's banking sector, emphasizing customer needs, shareholder value, and social responsibilities through best practices and teamwork.[1][6]History
Founding and Incorporation
ONE Bank PLC was incorporated in May 1999 as a private sector commercial bank with the Registrar of Joint Stock Companies and Firms under the Companies Act of 1994.[1] The incorporation established it as a third-generation bank in Bangladesh's private banking sector, aimed at serving diverse customer segments through deposits, lending, and related services.[1] Specific records indicate the formal founding date as May 12, 1999.[7] The bank's promoters included Bangladeshi entrepreneurs focused on expanding financial access, with Sayeed H. Chowdhury emerging as one of the most prominent founders and serving as an early chairman of the board.[8] Initial sponsorship drew from local business interests seeking to capitalize on Bangladesh's growing economy, though detailed shareholdings among sponsors at inception remain tied to regulatory filings not publicly detailed beyond incorporation records.[9] ONE Bank commenced operations on July 14, 1999, marking the start of its full banking activities under Bangladesh Bank oversight.[10] [11] This launch aligned with the bank's foundational goal of providing conventional and innovative banking solutions, including early emphasis on SME financing and technology integration.[1]Early Expansion and Growth (1999–2010)
Following its incorporation on May 12, 1999, and commencement of operations on July 14, 1999, ONE Bank Limited rapidly expanded its branch network across Bangladesh to serve retail, SME, and agricultural sectors. By December 31, 2010, the bank operated 50 branches, including 15 in rural areas, reflecting a strategic push into underserved regions to mobilize deposits and extend credit. In 2010 alone, it opened 11 new branches in locations such as Basabo and Moghbazar, alongside establishing an off-shore banking unit to facilitate international trade finance. This expansion supported a focus on medium and large industries, trade, and agriculture, aligning with the bank's vision to address gaps left by state-owned banks.[12] Financially, the bank demonstrated robust growth during this period, with total assets rising from Tk. 45,163.16 million in 2009 to Tk. 58,704.87 million in 2010, driven by increased deposit mobilization and lending. Deposits grew from Tk. 39,364.89 million to Tk. 50,873.70 million over the same year, while loans and advances expanded from Tk. 32,532.70 million to Tk. 42,190.39 million, indicating effective asset utilization amid Bangladesh's emerging market dynamics. Key capital enhancements included raising authorized capital to Tk. 4,150 million in 2008 and completing an initial public offering (IPO) from June 29 to August 12, 2003, followed by listing on the Dhaka and Chittagong Stock Exchanges, which bolstered paid-up capital to Tk. 2,057.21 million by 2010.[12] Product innovation complemented physical expansion, with the launch of the ONE Bank MasterCard on July 14, 2005, marking entry into card-based services, and installation of the first ATMs on July 14, 2006, to enhance customer accessibility. By June 16, 2010, the bank introduced six specialized agricultural loan products to support rural financing, alongside consumer offerings like house financing and professional loans. These developments positioned ONE Bank as a competitive private sector player, emphasizing SME lending and deposit schemes such as the ONE 2 3 Scheme, which promised compounded growth for long-term savers.[12]Maturation and Challenges (2011–Present)
From 2011 onward, ONE Bank Limited focused on operational maturation through network expansion and capital enhancement initiatives. The bank's branch count grew steadily, reaching 112 branches (including two Islamic banking branches), 48 sub-branches, 19 collection booths, and 181 ATM booths by March 31, 2025.[13] This included recent inaugurations such as the 113th branch in Chandpur on April 24, 2025, and the 114th branch in Chinispur on May 8, 2025, reflecting ongoing efforts to deepen market penetration in underserved areas.[14] [15] To support this growth and improve financial resilience, ONE Bank issued a Tk 400 crore subordinated bond in coordination with UCB Investment, bolstering its Tier II capital base for future lending and expansion.[16] Despite these developments, ONE Bank grappled with persistent challenges related to asset quality and regulatory pressures amid Bangladesh's broader banking sector strains. High non-performing loans (NPLs) contributed to provisioning shortfalls, with a 2025 analysis revealing that full compliance with Bangladesh Bank directives would have resulted in a net loss of Tk 995.43 crore, masked by deferred provisions.[17] Earlier, in August 2023, the bank disclosed risks of breaching minimum regulatory capital thresholds under Basel-III frameworks, potentially impairing its ability to meet solvency criteria and sustain operations.[18] In response to these issues, ONE Bank convened a "Strategy Meet–2025" on January 16, 2025, to align leadership on risk mitigation, capital augmentation, and performance targets aimed at navigating NPL pressures and regulatory scrutiny.[19] These efforts occur against a national context of escalating NPLs across banks, totaling a Tk 1.55 lakh crore provisioning deficit uncovered in recent audits, underscoring systemic vulnerabilities in loan recovery and oversight.[20]Corporate Governance
Board of Directors
The Board of Directors of ONE Bank PLC oversees the bank's strategic direction, governance, and compliance, comprising a mix of sponsor directors and independent members as required by Bangladesh Bank regulations for private commercial banks.[8] The board currently includes six members: one chairman, three directors, and two independent directors, with the chairman re-elected to the position following the bank's annual general meetings.[8] Independent directors chair key oversight committees, including audit and risk management, to ensure impartiality in financial reporting and operational risks.[8] A.S.M. Shahidullah Khan serves as Chairman, having been re-elected to lead the board; he is the son of late Justice Abdul Jabbar Khan, a University of Dhaka graduate and freedom fighter, and holds positions as Managing Director of Media New Age Ltd. (publisher of Daily New Age) and Director of Holiday Publication Limited, with involvement in socio-cultural activities.[8] Zahur Ullah is a Director and chairs the Executive Committee; a University of Dhaka finance graduate, he leads LL Group as Chairman and GTEX Ltd. as Managing Director, focusing on readymade garments exports, and serves as a Director of Holiday Publications Ltd.[8] Anannya Das Gupta acts as Director, holding an MBA in Marketing and a post-graduation in Management Studies from the University of Leicester (UK); she has led sales and marketing at firms like Uniroyal Trade and Imtrex, maintains a 20-year personal investment portfolio, and pursues interests in art, culture, and travel.[8] Shawket Jaman is Director, representing M/s. M R Holdings & Securities Limited, with over 26 years of experience in Bangladesh's shipping sector.[8] Independent oversight is provided by Admiral AMM Mohammad Aurangzeb Chowdhury (Retd.), elected on June 24, 2021, during the 22nd Annual General Meeting; a former Chief of Naval Staff and Director General of the Coast Guard, he holds degrees including MDS, MBA, MPhil, and PhD, and chairs the Audit and Risk Management Committees.[8] Md. Azizul Haque serves as Independent Director and chairs the Audit Committee; with over 30 years at Bangladesh Bank, culminating as Executive Director, he earned degrees in Marketing from Dhaka University.[8] The board's composition reflects the bank's emphasis on diverse expertise in media, manufacturing, shipping, military leadership, and central banking regulation, supporting its operations in retail, corporate, and Islamic banking segments.[8]Executive Management and Leadership
The executive management of ONE Bank PLC is overseen by a Management Committee comprising the Managing Director, Additional Managing Directors, Deputy Managing Directors, and senior vice presidents responsible for core operations, risk, finance, and compliance.[21] This structure supports the bank's strategic direction in retail, corporate, and Islamic banking segments amid Bangladesh's competitive financial sector.[21] Shabbir Ahmed serves as Managing Director (current charge), having joined as Additional Managing Director effective October 3, 2024.[21] [22] With over three decades in banking, including prior roles at Al-Arafah Islami Bank Limited as Deputy Managing Director and earlier positions at ONE Bank and other institutions starting from 1989, Ahmed leads day-to-day operations and strategic initiatives.[21] [23] Supporting Ahmed is Additional Managing Director Abu Zafore Md. Saleh, who contributes to high-level decision-making on credit, treasury, and expansion efforts.[21] Md. Anwarul Islam holds the position of Deputy Managing Director, promoted effective January 1, 2025, after serving as Senior Executive Vice President; he oversees branches and operational efficiency.[21] [24] Additional Deputy Managing Directors include Kh. Rashed Akhtar Zaman, Md. Manirul Islam, and Md. Monzurul Alam Chowdhury, the latter also serving as Chief Risk Officer (CRO) and Chief Anti-Money Laundering Compliance Officer (CAMLCO).[21]| Position | Name | Key Responsibilities |
|---|---|---|
| Managing Director (Current Charge) | Shabbir Ahmed | Overall executive leadership and strategy |
| Additional Managing Director | Abu Zafore Md. Saleh | Credit and treasury oversight |
| Deputy Managing Director | Md. Anwarul Islam | Branch operations and efficiency |
| Additional Deputy Managing Director & CRO/CAMLCO | Md. Monzurul Alam Chowdhury | Risk management and compliance |
| Senior Vice President & CFO | Pankoj Suter | Financial reporting and control |
Operations
Branch Network and Infrastructure
ONE Bank PLC operates a network of 114 full-service branches across Bangladesh, primarily concentrated in urban and semi-urban areas to serve retail, corporate, and SME clients.[25] These branches are distributed across major divisions, including Dhaka (headquarters and principal branch at HRC Bhaban, 46 Kawran Bazar), Chattogram, Sylhet, Khulna, Rajshahi, and Rangpur, with additional presence in rural areas through dedicated rural branches numbering 43 as of late 2022.[25] [6] The bank's expansion strategy emphasizes strategic locations for accessibility, with three new branches added in 2022, bringing the total from 107 the prior year.[6] Complementing the branches, ONE Bank maintains 48 sub-branches and 19 collection booths, enhancing coverage in underserved locales such as Mohammadpur and Mongla Port.[26] [6] Agent banking forms a critical extension of the physical network, with 276 outlets facilitating deposits totaling BDT 119.18 crore and loans of BDT 7.45 crore as of December 2022, promoting financial inclusion in remote areas.[26] [6] Additionally, 14 dedicated Al Noor windows within conventional branches support Islamic banking operations, opened on November 1, 2022.[26] [6] The ATM infrastructure includes 185 automated teller machines, comprising 131 onsite at branches and 41 offsite, interconnected via shared networks like Q-Cash, Common, and NPSB for access to over 1,200 additional ATMs nationwide.[26] [27] This setup supports 24/7 cash access and card-based transactions, with EMV-compliant cards and two-factor authentication enhancing security.[6] Physical infrastructure investments total BDT 6.85 billion in fixed assets as of December 2022, covering premises, furniture, equipment, vehicles, and land, alongside BDT 2.36 billion in right-of-use assets under IFRS-16.[6] Supporting the branch and ATM network, the bank's IT infrastructure features a core banking solution (CBS) integrated with Bangladesh Bank's systems including NPSB, BACH-II, RTGS, BEFTN, and SWIFT, enabling real-time transactions.[6] In August 2022, ONE Bank achieved ISO/IEC 27001:2013 certification for its Information Security Management System, bolstering network reliability and disaster recovery capabilities across all outlets.[6] Off-shore banking units in Dhaka and Chattogram further extend infrastructure for international operations.[6]Digital and Technological Initiatives
ONE Bank Limited has pursued digital banking to expand access, particularly in rural areas, through partnerships and proprietary platforms. In June 2012, the bank partnered with Sybase 365 to introduce branchless mobile banking services targeting underserved rural communities in Bangladesh, enabling customers to manage accounts via SMS, USSD, Interactive Voice Response (IVR), and mobile web for transactions such as money transfers, bill payments, and balance inquiries.[10] This initiative aimed to provide full account control without physical branch visits, leveraging multi-channel access to bridge financial inclusion gaps.[28] The bank expanded its mobile offerings with the launch of OK Wallet on October 31, 2018, a digital payment service supporting cash deposits and withdrawals, QR code-based in-store shopping, utility bill payments, money transfers, and mobile recharges.[29] Smartphone users access it via dedicated apps on Google Play and Apple App Store, while feature phone users utilize USSD codes, facilitating seamless interoperability with other banks and agents.[30] Complementing this, the ONE Bank App enables remote financial transactions including fund transfers, balance checks, and payments, available on both Android and iOS platforms since at least 2019.[31][32] Additionally, the e-Account app, introduced by February 2023, allows customers to open accounts digitally from anywhere, streamlining onboarding without branch visits.[33] Internet banking under the OBLIB platform provides online access to personal and corporate accounts for viewing balances, transaction histories, and fund transfers, operational since the early 2010s with plans for advanced Flexcube Direct Banking integration announced around 2010.[34] Security features include two-factor authentication, and the system supports SWIFT gpi for faster, trackable international payments.[35] In trade finance, ONE Bank signed an agreement in 2018 with Fintech Innovations International DMCC (UAE) to adopt the web-based TRADEASSETS platform, enabling efficient buying and selling of trade finance assets across geographies.[36] These efforts align with Bangladesh Bank's push for digital financial services, though adoption faces challenges like infrastructure limitations and cybersecurity risks prevalent in the sector.[37] The bank's initiatives have contributed to broader digital transaction promotion, including educational campaigns on secure online banking.[38]Products and Services
Retail Banking Offerings
ONE Bank provides a range of retail banking products designed for individual customers in Bangladesh, including deposit schemes, personal loans, and payment cards. These offerings emphasize savings accumulation, credit access for personal needs, and convenient transaction tools, with features such as insurance coverage and targeted eligibility criteria for specific demographics.[39] Deposit products include specialized savings and fixed deposit schemes to encourage disciplined saving. The OBPLC Kotipoti Deposit Scheme (OKDS) targets accumulation of BDT 1 crore before tax at maturity, functioning as an exclusive long-term option.[40] Other notable schemes comprise Pyramid Savings, which combines regular and recurring deposits for accelerated saving; Edusave for education funding; Pensave for retirement security; Bibaho Shonchoy for marriage expenses; and Monthly Money Maker, a fixed deposit paying interest monthly to a linked account.[40] Demographic-specific accounts feature Elegant Savings for senior citizens with daily interest crediting and monthly payouts; Probashi Shonchoy for non-resident Bangladeshis; OBPLC Youth Banking for young savers; and Women’s Savings for female customers.[40] Current account variants include OBPLC Retailers Account for small business owners and OBPLC Easy Account, requiring a minimum BDT 500 initial deposit with no maintenance fees and waived debit card charges.[40] Additional insured schemes like OBPLC Insured Deposit Scheme offer free life insurance for recurring deposits linked to retail CASA accounts.[40] Retail loan products focus on unsecured and secured financing for personal and household purposes, typically structured as equated monthly installments (EMI). Personal loans, including OBPLC Protect, provide unsecured funding for any legitimate need with included life insurance and minimal documentation.[41] Housing-related options encompass Home Loan for property purchase and OBPLC SwopnoNeer for constructing basic structures like tin-sheds or semi-pucca homes.[41] Vehicle financing via Car Loan covers new or reconditioned cars for personal use, while Student Loan supports higher education domestically or abroad, and Professional Loan aids self-employed professionals such as doctors and engineers.[41] Cash Line offers overdraft facilities secured against cash deposits.[41] Payment cards form a key component, with debit, credit, and prepaid variants enabling domestic and international transactions. Debit cards include options like Women’s VISA Debit Card with a BDT 1 lakh daily limit and low annual fees, while credit cards such as Anannya Women’s Platinum provide unsecured spending limits.[26][42] These cards support features like EMV compliance and contactless payments, integrated with the bank's digital platforms for broader retail access.[26]Corporate and Investment Banking
ONE Bank's Corporate and Investment Banking division caters primarily to medium and large enterprises in Bangladesh, offering tailored financial solutions for working capital, trade, and project needs. This segment includes deposit products such as corporate deposit accounts and salary/payroll accounts, which facilitate efficient cash management for businesses.[43] Corporate financing encompasses trade finance, project financing, and infrastructure loans, alongside working capital and long-term funding options to support operational expansion and capital-intensive ventures.[39] [2] In investment banking, ONE Bank leverages subsidiaries to provide securities-related services and asset management. ONE Securities Ltd., a fully owned brokerage firm, enables clients to trade equities on the Dhaka Stock Exchange, offering portfolio management and capital market access through its branches in Dhaka.[44] ONE Investments Ltd. focuses on investment advisory and management, overseen by a board including industry executives, to handle client portfolios and alternative investments.[45] The bank has participated in capital market activities, such as issuing subordinated bonds to bolster its funding base, with recent issuances supporting regulatory capital requirements under Basel-III frameworks. While specific underwriting or M&A deals by the division are not prominently documented, the bank's involvement in refinancing schemes, like a Tk 10 billion agreement with Bangladesh Bank for cinema hall modernization in prior years, underscores its role in structured financing.[46] The division has received recognition for specialized financing, including the Climate Financing Leadership Award for fiscal year 2022, highlighting contributions to sustainable project lending amid Bangladesh's growing emphasis on green infrastructure. As of Q2 2025, disclosures indicate ongoing efforts to maintain robust risk-based capital adequacy, with investment activities integrated into the bank's broader portfolio management. These services align with ONE Bank's strategy to diversify beyond retail, though the segment's scale remains modest compared to larger peers, reflecting the competitive landscape of Bangladesh's banking sector where state-owned entities dominate infrastructure deals.Islamic Banking Division
ONE Bank Limited's Islamic Banking Division, operating under the Al Noor brand, delivers Sharia-compliant financial products and services designed for customers adhering to Islamic principles, which prohibit riba (interest), gharar (uncertainty), and maysir (speculation) while promoting risk-sharing and ethical investments.[47] The division functions as a window within the bank's conventional operations, utilizing distinct infrastructure to maintain separation of funds and transactions.[47] Sharia compliance is enforced by a dedicated Shari'ah Supervisory Committee composed of Islamic scholars and financial experts, who review products, contracts, and operations to align with fiqh al-muamalat (Islamic commercial jurisprudence).[47] The division employs specialized Islami Banking software for transaction processing and calculates profits via Income Sharing Ratios (ISR), distributing returns between the bank (as mudarib) and depositors (rabb-ul-mal) based on predefined investment pools.[47] Deposit products emphasize mudaraba (profit-sharing) and wadiah (safekeeping) contracts. Key offerings include Al-Wadeeah Current Deposit Account (non-profit bearing safekeeping), Mudarabah Savings Deposit Account, Mudarabah Short Notice Deposit, Mudarabah Term Deposit, Mudaraba Deposit Pension Scheme, Mudaraba School Banking Account, Mudarabah Monthly Income Deposit Scheme, AL NOOR Mudaraba Ratib Payroll Account, Mudarabah Hajj Deposit, Mudaraba Monthly Savings Scheme, Mudaraba Waqf Cash Account, and Mudaraba Millionaire Scheme.[47] Financing products follow modes such as murabaha (cost-plus sale), musharaka (partnership), and qard (interest-free loan). Notable facilities comprise AL NOOR Home Investment Scheme (EMI-based housing finance), AL NOOR Car Investment Scheme (vehicle acquisition), AL NOOR Household Investment Scheme (consumer goods), AL NOOR Investment Scheme for Professionals (business or career support), AL NOOR Cash Withdrawal (qard hasan for liquidity), and Murabaha Against Mudaraba Term & Scheme Deposit (asset-backed lending against deposits).[47] The network consists of two full-fledged branches—at Gulshan in Dhaka and Agrabad in Chattogram—plus 14 Al Noor Windows embedded in select conventional branches nationwide, enabling localized access while preserving operational segregation.[47] Ancillary services encompass Sharia-adapted cheque books, debit cards, online banking, inter-branch fund transfers, safe deposit lockers, and round-the-clock call center assistance.[47]Financial Performance
Key Financial Metrics and Trends
ONE Bank Limited has demonstrated steady expansion in its balance sheet, with total assets reaching approximately 348 billion Bangladeshi taka (BDT) as of the second quarter of 2025, reflecting a 1.03% increase from the first quarter of the year.[48] This growth follows total assets of around 320 billion BDT at the end of June 2024, underscoring a trend of moderate asset accumulation amid Bangladesh's banking sector challenges, including liquidity pressures and regulatory oversight.[49] Customer deposits, a core funding source, increased to 214.9 billion BDT in 2024 from 210.4 billion BDT in 2023 and 192.5 billion BDT in 2022, indicating sustained depositor confidence despite competitive interest rate environments.[50] Loans and advances have paralleled this, supporting revenue from interest-bearing activities, though specific classified loan provisions highlight ongoing credit risk management. Net interest income trends showed strength in 2024, driven by elevated rates on government securities and relaxed lending caps, but declined in the first half of 2025 relative to the prior year due to rising non-performing assets and funding costs.[51][52] Profitability metrics improved in 2024, with net profit after tax rising 14% year-over-year to 1.32 billion BDT from 1.17 billion BDT in 2023, bolstered by a 37% jump in interest income to 30.3 billion BDT.[53][54] This marked a reversal from flatter earnings in prior years, though return on assets remained subdued at around 0.08% in sampled periods, reflecting high operating costs and provisions in Bangladesh's private banking segment.[55] Earnings per share (EPS) correspondingly advanced, contributing to a trailing P/E ratio of 7.39 as of mid-2025.[56]| Metric (in billion BDT) | 2022 | 2023 | 2024 |
|---|---|---|---|
| Total Deposits | 192.5 | 210.4 | 214.9 |
| Interest Income | 18.9 | 22.0 | 30.3 |
| Net Profit | N/A | 1.17 | 1.32 |
Profitability and Asset Growth
ONE Bank PLC recorded a consolidated net profit after tax of 1.28 billion BDT (Tk 127.97 crore) for the fiscal year 2024, marking an 11.3% year-over-year increase from 2023.[17] This growth followed a net profit of approximately 1.15 billion BDT in 2023.[59] However, the reported profitability has been scrutinized, with analyses indicating that the bank deferred provisions for non-performing loans totaling around 9.95 billion BDT, which masked underlying losses and inflated net earnings.[17] Return on assets (ROA) for the period stood at 0.31%, reflecting subdued efficiency in generating profits from assets compared to industry peers.[60] Total assets expanded to 338.6 billion BDT by December 31, 2024, a 5.17% increase from 321.5 billion BDT at the end of 2023.[50] This modest growth rate aligned with broader trends in Bangladesh's banking sector amid economic pressures, including elevated non-performing loans and regulatory constraints on lending.[50] By June 30, 2025, assets reached 348.0 billion BDT, indicating continued expansion of about 2.8% in the first half of the year.[52] In the first nine months of 2025, consolidated net profit surged 52% year-over-year, driven by higher interest income and operational adjustments, though full-year figures remain subject to ongoing provisioning requirements.[61] Asset growth has been steady but constrained, with the bank's balance sheet expansion prioritizing liquidity over aggressive lending amid risks of asset quality deterioration.[50]| Fiscal Year | Net Profit (BDT billion) | Profit Growth (%) | Total Assets (BDT billion) | Asset Growth (%) |
|---|---|---|---|---|
| 2023 | 1.15 | - | 321.5 | - |
| 2024 | 1.28 | 11.3 | 338.6 | 5.17 |