...“Credit Management and performance evaluation of National Bank Limited” Chapter – 01 Introduction OF THE REPORT 1.1 Introduction National bank limited (NBL) is a full service scheduled commercial bank. It has both local and International Institutional Shareholder. The bank is primarily driven with a view of creating opportunities and pursuing market niches not traditionally meet by conventional banks. National Bank has been motivated to provide “best-in-the-class” services to its diverse assortment of customers spread across the country under an on-line banking dais. Today, National Bank is one of the fastest growing banks in the country. In order to support the planned growth of its distribution, network and its various business segments, National Bank is currently looking for impressive goal oriented, enthusiastic, individuals for various business operations. The bank wants to build a profitable and socially responsible financial institution. It carefully listen to the market and business potentials, It is also assisting stakeholders to build a progressive, healthy, democratic and poverty free Bangladesh. It helps make communities and economy of the country stronger and to help people achieve their financial goals. The bank maintains a high level of standards in everything for our customers, our shareholders, our acquaintances and our communities upon, which the future affluence of our company rests. Risk is inherent in all aspects of a commercial operation...
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...NAME: Amira Mustapha Yabo COURSE: MGT200 TOPIC: Transformational Leadership Transformational Leadership * Introduction Transformational leadership as stated by Wikipedia, defines Transformational leadership as “leadership which enhances the motivations, morals, and also performance of followers through a variety of mechanism”. In other words, transformational leadership could be termed as a type of leadership that could inspire change positively to everyone who follows. A transformational leader is one who possesses the skill set to motivate and inspire people who follow his/her footsteps. Transformational leaders are usually full of energy, ideas and are very passionate. (Wikipedia) The entire concept of transformational leadership was introduced by presidential biographer James MacGregor Burns. He related his theory to that of the difficulty in differentiation between management and leadership then said the only difference were in behavior and characteristics. Burns developed two different theories – Transformational leadership and Transactional leadership. It said that transformational approach made way for change in the organization and life of the employees. He believed that leaders and followers could help each other advance to higher levels if the work together. Unlike the transactional approach where only the leader benefits. Burns also believed that because of the vision and personality that leaders have, they can easily change the expectations and perceptions...
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...Credit crunch and SME financing ----Take China as an example * * Shu Ruochen Noah 4063148 * Yuan Ziting Circle 40631 * Chou Xue Snow 40631 * * ABSTRACT ------------------------------------------------- SME are always important forces of social and economic development,and they play important roles in optimizing the economic structure, promoting innovation,easing social pressures and maintaining social stability.However, the world crisis was triggered by financial crisis in 2008 in USA, which has great impact on China’s economy, especially on SME.Since the credit crunch, SME are unable to obtain full production and operation funds needed timely,and Bank loans to enterprises are more cautious, so financing of SME will become more apparently difficult.Therefore, in order to solve the financing problems of SME, exploring development mode and long-term mechanisms which is adapt to economic structural has been an urgent strategic issues. * 1. Definition of credit crunch * A credit crunch is a sudden reduction in the general availability of loans (or credit ) or a sudden tightening of the conditions required to obtain a loan from the banks . * A credit crunch generally involves a reduction in the availability of credit independent of a rise in official interest rates . * 2. Background of Credit crunch. ------------------------------------------------- 2008 the financial crisis took place in USA...
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...1.0 BACKGROUND OF THE STUDY 1.1 Introduction National Credit and Commerce Bank Limited is always ready to maintain the highest quality services by upgrading Banking technology prudence in manage and applying high standard of business ethics through its established commitment and heritage. Objectives of a private institution like NCCBL are to maximize profit through optimum utilization of resources by providing best customer’s service. Bank provides various sorts of facilities to its customer. A credit facility is one of them. NCCBL mainly grants credit to the following heads. a)General advance:-Loan General, Staff loan Car, House building (Residential,)Festival loan, Small business scheme, House Repairing & Renovation, SOD General, Cash Credit (Pledge),Cash Credit (HYPO) b) Foreign advance:-Packing credit, Security over Draft (SOD), Loan against FDR, Loan against Trust Receipt (L.T.R), Foreign Dollar Bill Purchase (FDBP), Payment against Document (PAD), FDBP (clean). Through such kind of credit facility, customer of the bank fulfills their needs. These loans product has been generating huge profit for the Bank. But the recovery rate is not up to the mark as NCCBL try to recover. If the management of this bank becomes successful to increase the recovery rate of this scheme, it can be the highest profitable sector for it. This research reveals how NCCBL can decrease the defaulting rate. Foreign remittance is an important influential economic factor of Bangladeshi...
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...Internship report on Credit Appraisal of NCC Bank Ltd. PREPARED FOR Ms Halima Begum SeniorLecturer Department of Business Administration Leading University, Sylhet PREPARED BY: Fathema Jannath ID: 1201010750 Department of Business Administration Leading University, Sylhet Date: July 11, 2013 Credit Appraisal Of NCC Bank Ltd. LETTER OF TRANSMITTAL Date: 11th July, 2013 To The Supervisor Department of Business Administration Leading University Sylhet Subject: Submission of Internship Report Dear Madam, I am grateful to you for the submission of the report on “Credit Appraisal of NCC Bank”, Elephant Road Foreign Exchange Branch in the completion of the requirement for internship. This is an excellent opportunity for me to acquaint more closely with the organization. The association and coordination of all respective officers & staffs with me are full of exciting, re-discovering and entertainment. During the period of doing this report I have discovered and gained new & practical feelings, observations and learning. I have my utmost effort to reflect experience, skill and knowledge, which I acquired at the time of working at NCC Bank. All of my efforts will be successful if the thesis paper can serve its purpose. I have tried my best to explain everything related with the Credit Appraisal in this paper. Yours faithfully Fathema Jannath ID: 1201010750 Department of Business Administration Leading University Sylhet ...
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...INTERNSHIP REPORT ON LOAN ADVANCEMENT PROCEDURE OF IFIC BANK LIMITED LOAN ADVANCEMENT PROCEDURE OF IFIC BANK LTD. Submitted to MAHMUDUL HAQ ADVISOR BRAC BUSINESS SCHOOL BRAC UNIVERSITY Submitted by MST. NAZMUN FARZANA ID: 09104103 BRAC BUSINESS SCHOOL BRAC UNIVERSITY date oF SubmiSSioN 17TH DECEMBER, 2012 LETTET OF TRANSMITTAL 17TH DECEMBER, 2012 Mahmudul Haq Course Instructor, BBS BRAC University Dear Sir, Here I present my Internship report titled “Loan And Advance Operation of IFIC Bank Limited‟ with due gratitude and appreciation. As per partial fulfillment of the requirements for the BBA Degree, I have completed the internship from IFIC Bank Limited, Federation Branch, Motijheel, Dhaka. The internship program has given me the opportunity to learn about different aspects of this well reputed organization. Before facing the corporate world, I have gathered general idea about the organization culture and activities. However, I have gathered all the facts that I could within this short period and have tried my level best to exert all the things as much presentable as possible. Yours faithfully, ………………. Mst. Nazmun Farzana ID: 09104103 Acknowledgement At the beginning, I would like to express my sincere gratitude to Almighty, the most merciful and beneficial for empowering me to prepare the report within the scheduled time. I also want to thank especially to my internship supervisor Mahmudul Haq Sir for his inspiring guidelines, valuable suggestion, constructive...
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...With due respect, I am submitting here with my Research paper on the abovementioned title for the 20 th Australasian Finance & Banking Conference in Sydney on the 12 th , 13 th & 14 th December, 2007. It was a great pleasure to me to work with the topic since I am also serving in Bank. I have tried my best to make the report comprehensive and acceptable. Please, do call me for any clarification regarding the report, if required. Thanking you. Sincerely yours. Md. Helal Uddin Electronic copy available at: http://ssrn.com/abstract=1010549 INTRODUCTION The Trade Finance is science that describes the management of money, banking, credit, investments and assets for international trade transactions. Companies involved with trade finance include importers and exporters, financiers, insurers and other service providers. Credit Risk Management needs to be a robust process that enables Banks to proactively manage loan portfolios in order to minimize losses and earn an acceptable level of return for shareholders. A comprehensive IT System is essential which should have the ability to capture all key customer data, risk management and...
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...INTRODUCTION Many economic development advocates have stated that for a country like Ghana to come to reach the development heights of the developed nation, they must empower their citizens to break the bond of poverty, which is engulfing them. As the world is gradually becoming a global village most countries in the world are making unending quest to attain a higher level of development that is a type of development where most of its people are employed and are earning enough to subsist and perpetuate its generation. SME’s have an important role on many aspects, such as employment, taxes and innovation that most of times is regarded as something on the responsibility of large firms. In “The Theory of Economic Development” Schumpeter (1934) emphasizes the role of entrepreneur, as a prime cause of economic development, which is development achieved through innovation. Taking this into consideration if the entrepreneur has an important role for development, then this role is achieved through the “institution” that he/she represents. SME activities that would help to propel development and promote the wellbeing of the citizenry most governments are now playing various facilitation roles in collaboration with NGOs and other stakeholders to enable the private sector provide diverse goods and services, including job creation for the people. Many developing countries have shifted their strategic economic focus to embrace the development of an entrepreneural middle-class with the...
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...On April 28, 1996, Michael Stewart, senior loan officer at the Hudson National Bank of New York, was reviewing the credit file of SureCut Shears, Inc. in preparation for a luncheonmeeting with the company’s president and treasurer. David Fischer, treasurer of SureCut Shears,had recently informed Mr. Stewart that the company would be unable to liquidate its outstandingseasonal loan as initially anticipated. While agreeing to extend the outstanding $1.14 millionloan, Mr. Stewart had suggested that he would like to stop by and discuss the company’s recentprogress when he was next in the vicinity of Savannah, Georgia, where SureCut Shears’s homeplant and offices were located.SureCut Shears manufactured a complete line of household scissors and industrial shears.Its qua1ity lines were distributed through wholesalers to specialty, hardware, and departmentstores located throughout the country. Cheaper products were sold directly to large varietychains. Although competition was severe, particularly from overseas companies, SureCut Shearshad made profits in every year since 1958. Sales and profits had grown fairly steadily, if notdramatically, throughout the period.Hudson National Bank had been soliciting the SureCut Shears account for several yearsprior to early 1995. After several unsuccessful calls, Mr. Stewart finally convinced the officers of SureCut Shears that association with a large New York bank offered several advantages not to befound with local banks. He was particularly pleased...
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...Rabeya feels secured about her future Ms. Rabeya Boshri a beneficiary of the "Jonaki Samiti" of Coast Trust, Cox's Bazar is a successful borrower of microcredit loan operations. She lives with her husband, Mr. Abdus Salam, a daughter and two sons. At present all her children go to school and she is able to bear both the educational and family expenses. Along with that she is now able to make some personal savings additional to general savings of "Jonaki samiti". But things were not the same even few years earlier. Her husband was a day labourer and it was very hard to bear family expenses with his single income. Their life was becoming tougher day by day and Rabeya wanted to do a bit by herself to help her husband from this growing desolation. One day she came to know that a samiti named "Jonaki" operated by Coast Trust, provides loan wih nominal conditions for a number of Income Generating Activities (IGAs). Sooner she spoke to the Chairperson of the "Jonaki Samiti" and became a memeber of that samity. After accomplishing all the regulations together with general savings she got her first loan installment of Taka 7000. She invested the money in vegetable cultivation. Subsequently she was able to sell some amount of vegetable per week after meeting her own family demand which helped her husband with additional income. In the intervening time she was able to save Taka 3000 along with the ragular savings of samiti and gradually she repaid the loan. After the repayment of...
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...International Business and commerce, Alagappa University, karaikudi. ABSTRACT Micro small and medium enterprises help in promoting economic growth and employment opportunity. Before 2006 this sector was called as a Small Scale Industry. Thereafter it was converted as an MSME sector. The MSME growth is incomparable by the help of bank credit. Micro small and medium enterprises and their role in economic growth and employment generation in the Indian context .the article how policy environment for promoting MSMEs changed from ‘protectionism ‘during the pre-1990s to ‘export orientation’ during the post-1990s. The key constraint faced by the MSMEs including access to credit and technology, redtapism and the like. The MSEs to promote the rural economy for in general and rural women empowerment in particularly the rural women are taken ,economic improvement ,social development, and individual decision making through the . MSEs.the MSEs are promoting the rural entrepreneurship. Key words: MSME, SME , SSI, Credit Rating Introduction Indian economy based on rural economy .Father of nation mahatma Gandhi told India “lives in village”. T he r eal national development through the rural economy .the development of rural economy through the r ur al bas ed micr o, small a nd medium enterprises, The most of the entrepreneurs are micro rural the micro enterprises mostly participate rural women through the self help Groups and unregistered groups and NGOs In India, plans and policies as well...
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...fund requirements for short term sources of finance. In June 1995, Mr. Fisher, treasurer of SureCut Shears arranged a line of credit of $3.5 million with the Hudson National Bank to cover the seasonal sales peak. After going with the analysis, much of these funds were used to fund the capital modernication program. Facing the declining sales, SureCut is facing difficulty in paying its short term loan obligations to Hudson National Bank. After thorough analysis, the need for short term fund requirements should not be used in capital expenses since the cash needed to repay the short term fund requirements comes from the sales of inventory which was the intention of the additional cash to stock up more inventory. Proper utilization of funds is a must for SureCut to be able to manage its payables to its business partners. Case Context SureCut Shears, Inc. manufactures a complete line of household scissors and industrial shears. Their products are distributed through wholesalers to specialty, hardware and department stores around the country. In June 1995, Mr. Fisher, treasurer of SureCut Shears arranged a line of credit of $3.5 million with the Hudson National Bank to cover requirements for the fall anticipating that the loan would be fully paid off by December of the same year. In September 2005, Mr. Fisher called Mr. Stewart of Hudson National Bank to inform him that the company would need an additional $350,000 to cover peak seasonal needs. In January 1996, there was...
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...President for New Accounts Security National Bank 201 W Maine Enid, OK 73701 Dear Mr. McCary: I am Cody Reed, the owner of a new designer clothing store, Prime Time Clothing Company Inc. I have been doing my personal banking at SNB for several years, and so you were the first people I thought about when considering establishing a business line of credit. Prime Time Clothing Company Inc. specializes is custom designer clothing. We work closely with are vendor to ensure we offer the highest quality product available. The clothing we offer is one of a kind and unique only to us. Our customers are employed men and women between the ages of 18 to 50 years old and with a household medium income of $36,000 and above. Customer loyalty is the most important aspect of Prime Time Clothing Company Inc. We are currently the only custom designer clothing store in the Enid area. While we have funded our initial equipment and operations, it is possible that we will need a line of credit to draw against to purchase new inventory. We currently keep a minimum of 1000 tops and pants in stock each quarter of the year. With the demand varying each quarter we are in need of a line of credit to maintain a sufficient amount of inventory. We are looking to secure a $25,000 line of credit. We can offer our store as collateral, and we would be willing to discuss other forms of collateral or conditions that would make this workable. You will see that my credit rating and bank history are very...
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...SUMMARY OF MASTER CIRCULAR ON EXPOSURE NORMS INTRODUCTION As a prudential measure aimed at better risk management and avoidance of concentration of credit risks, the Reserve Bank of India has advised the banks to fix limits on their exposure to specific industry or sectors and has prescribed regulatory limits on banks’ exposure to individual and group borrowers in India. In addition, banks are also required to observe certain statutory and regulatory exposure limits in respect of advances against / investments in shares, convertible debentures /bonds, units of equity-oriented mutual funds and all exposures to Venture Capital Funds (VCFs). Banks should comply with the following guidelines relating to exposure norms. Purpose This is a summary on Master Circular providing framework of the rules/regulations/instructions issued by the Reserve Bank of India to Scheduled Commercial Banks relating to credit exposure limits for individual / group borrowers and credit exposure to specific industry or sectors, and the capital market exposure of banks. Definition of 'Credit Exposure' The total amount of credit extended to a borrower by a lender. The magnitude of credit exposure indicates the extent to which the lender is exposed to the risk of loss in the event of the borrower's default. Credit Exposures to Individual / Group Borrowers • Exposure to a single borrower not to exceed 15% of bank’s capital funds • Exposure to a group of borrowers not to exceed 40% of capital...
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...CONSUMER CREDIT IN AUSTRALIA DURING THE 20TH CENTURY Pierre van der Eng School of Management, Marketing and International Business College of Business and Economics Copland building 24 The Australian National University Canberra ACT 0200 Australia Fax +61 2 6125 8796 E-mail: pierre.vandereng@anu.edu.au Working Paper No: 489 ISBN: 0 86831 489 7 January 2008 JEL codes: D14, E21, E51, G23, N27 Keywords: Consumer Credit, Finance, Household Expenditure, History, Australia Consumer credit in Australia during the 20th century Pierre van der Eng1 School of Management, Marketing and International Business, Australian National University, Canberra, Australia Abstract This article surveys the growth of consumer credit in Australia during the 20th century, particularly after World War II. Until the 1970s, the regulation of Australia’s financial market caused formal consumer credit to be provided mainly by finance companies under hire-purchase contracts, largely for the purchase of cars and household durables. Deregulation of the financial market since the 1960s allowed banks to gain a dominant share in the market for personal loans. Quantification of long-term trends is difficult, but broad estimates suggest sustained growth in per capita indebtedness during 19452007. JEL classifications: D14, E21, E51, G23, N27 Key words: consumer credit, finance, household expenditure, history, Australia Introduction Living standards improved considerably in Australia during the 20th century...
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