A fresh controversy has emerged in Bangladesh over the use, transparency and prioritisation of corporate social responsibility (CSR) funds, following a proposal to finance the construction of a police-run school through donations from commercial banks. The Bangladesh Association of Banks (BAB) has formally requested 20 commercial banks to contribute Tk 5 million each from their respective CSR budgets, aiming to raise funds for a new educational institution at the Demra Police Lines in Dhaka.
The proposal, initiated through an official request from the headquarters of the Dhaka Metropolitan Police (DMP), outlines plans for an eight-storey school building intended primarily for the children of police personnel. The total estimated cost of the project, including construction, furniture and educational equipment, is approximately Tk 100 million. According to the DMP, there is no allocation for this project in the government’s development budget, nor does the police force have sufficient internal resources to implement it independently. As a result, support from the private sector has been described as essential to ensure timely completion.
On 1 February, BAB circulated letters to the selected banks seeking contributions from their CSR funds. Senior executives at nearly half of the approached banks have confirmed receipt of the request. While the names of all banks have not been disclosed publicly, BAB officials indicate that institutions considered to be in relatively strong financial positions were prioritised.
The proposed school is part of a broader infrastructure expansion at the Demra Police Lines. The area already hosts a 20-storey residential complex built on 36.66 acres of land, housing around 300 police families. Although the school is primarily designed for police families, authorities have stated that children from surrounding communities will also be eligible for admission, framing the initiative as one with wider social benefit.
Despite these assurances, unease is evident within the banking sector. Several managing directors, speaking on condition of anonymity, have expressed concern that requests channelled through an industry body can amount to indirect pressure. They argue that such practices undermine the voluntary nature of CSR, which is meant to reflect independent corporate judgement rather than compliance with implied expectations.
These concerns were echoed publicly by Mashrur Arefin, Managing Director and Chief Executive Officer of City Bank and Chairman of the Association of Bankers, Bangladesh. He cautioned that in the past, so-called “directed CSR” donations had exposed bank officials to questioning by the Anti-Corruption Commission. In his view, CSR spending must remain transparent, voluntary and clearly aligned with regulatory guidelines.
Bangladesh Bank’s CSR policy framework explicitly prioritises spending on education, healthcare and income-generating activities for disadvantaged and marginalised communities. Economists note that while education projects are legitimate CSR targets, more focused interventions—particularly in healthcare—often yield broader and more immediate social impact.