Dhaka, Sept. 16 -- Administrative teams will be deployed in five troubled Shariah-based banks for their merger into a single state-owned bank under an overhaul recipe, in a much-anticipated intervention in Bangladesh's banking sector.

The Bangladesh Bank board, in a special meeting Tuesday with Governor Dr Ahsan H. Mansur in the chair, made the crucial decision as the banks' bail-in plans failed to stand.

"There will be administrative teams to be installed to oversee the five banks. The CEOs of the respective banks will remain in their positions," said Arif Hossain Khan, the central bank's spokesperson and executive director, about the makeover.

He further said the boards of directors of the banks will technically remain in place but t...