Out-of-court settlement and resolution in Bangladesh

active

The project develops and promotes efficient out-of-court settlement mechanisms to help resolve debt-related cases, such as financial, commercial, and tax disputes, in Bangladesh. The objective is to free up private capital and government revenue, thereby returning value to the economy and improving the overall credit environment. Expected outcomes include: 1) reducing the time and cost for resolving commercial disputes by 50 percent, through ADR (alternative dispute resolution), as measured against resolving disputes through the courts; 2) improving nonperforming loan recovery rates by at least 10 percent; 3) freeing up funds that are tied up in commercial disputes, as measured by the amount of funds released through resolved disputes ($150 million); and 4) disposing of pending tax cases through arbitration, to release locked government revenue by at least 30 percent, amounting to $350 million.