“When the NCBs' autonomy is ensured, the importance of their accountability should also be underlined. In case of misuse of such autonomy by any of the NCBs, the proposed liberty would be curtailed," he told the inaugural function of the annual conference of Janata Bank at a city hotel.

Emphasising the need for evaluating projects before giving nod to those to avert loan defaulting, Azizul said because of approval of overpriced collateral banks face loan defaulting.

Besides the finance ministry, the law ministry and the Bangladesh Bank are closely reviewing the High Court stay orders against listing of loan defaulters to prevent them from participating in the next general election, he also told the conference.

Echoing the finance adviser's view on allowing autonomy to the NCBs, Bangladesh Bank governor Dr Salehuddin Ahmed said it would be easy for the central bank to monitor the NCB activities if the banks enjoy more freedom after corporatisation.

He also urged the commercial banks to provide more small and medium loans in addition to major loans.

"It is easy to approve large amount of loans to a familiar group of people, but the loan recovery had become difficult from that particular group," he added.

Acting Finance Secretary Dr. Mohammad Tareq stressed the NCBs' capacity building like the private commercial banks.

He also advised the NCBs to improve their capital deficit situation within the next few years.

Md. Mizanur Rahman, acting managing director, Janata Bank, briefed about the bank's performance of the year 2006. He said the bank earned operating profit of Tk 421.27 crore last year, which is the highest of all banks of the country.

He informed that the bank posted 103 percent growth in deposit and 106 percent growth in disbursing loan compared to the previous year.

AFM Solaiman Chowdhury, chairman, board of directors of the bank, and Nazmus Saleheen, deputy managing director, also spoke on the occasion.