In Bangladesh economy with limited regulated openness in the external sector, the financial system remained free of contagion from toxic asst of the market in developed economics afflicted by the crisis. In addition, the agriculture sector of our country, as a driver of economic growth has performed relatively quite well in recent times. Our banks don’t have derivatives and they don’t have subprime mortgagees. Their investment in real estate sector has remained low. Yet there are risks and vulnerabilities in our financial sector. We need to strengthen our regulatory and supervisory systems so that these risks can be indemnified well in advance and to ensure best practices in our banks.