Islami Bank Chairman Resigns Amid Internal Pressure

Prof M Zubaidur Rahman, chairman of Islami Bank Bangladesh PLC, has resigned from his position amid growing internal pressure and protests involving bank officials and customers, according to sources familiar with the matter.

Sources at the bank and the central bank said Zubaidur Rahman submitted his resignation letter to the Bangladesh Bank governor on Sunday.

He was appointed as an independent director of Islami Bank by Bangladesh Bank in July 2025 and was later elected chairman of the bank. He had been serving in the role since his appointment.

Bank officials said the resignation comes against the backdrop of mounting tensions within the institution over its leadership and management issues.

According to officials, the chairman had earlier gone abroad on a one-and-a-half-month leave with the condition that he would participate in board meetings virtually. During the same period, Managing Director Omar Faruk Khan was also placed on leave.

The leave applications of both officials were approved during a board meeting held on April 12.

A board meeting of Islami Bank had been scheduled to take place at the bank's head office on Sunday. However, before the meeting began, a group of customers and some bank officials gathered outside the head office and staged demonstrations demanding changes in the bank's leadership.

Protesters called for the resignation of both Managing Director Omar Faruk Khan and Chairman Zubaidur Rahman.

Sources within the bank also said Managing Director Omar Faruk Khan, who remains on leave, has submitted his resignation letter to the board.

However, no decision regarding his resignation could be taken as the scheduled board meeting was later cancelled.

The developments come at a time when the bank is facing heightened scrutiny over its governance and management structure.