Dhaka, March 20 -- Initiatives are underway to enhance Bangladesh Bank's authority in resolving troubled banks and stabilising the financial sector, officials said.

Several weak banks are deteriorating further due to liquidity being tied up with industries linked to the S Alam Group, which has almost defaulted.

Bangladesh Bank, the country's central bank, recently disclosed that approximately Tk 3.45 lakh crore in loans have defaulted within the banking sector.

This figure is expected to rise further once the assets of these weak banks are assessed.

A significant portion of the defaulted loans belongs to troubled banks.

The central bank has already appointed auditors to evaluate the asset quality of these institutions to determine th...