Performance Analysis of the Banking Industry of Bangladesh

Abstract

This report is based on financial performance analysis of banking industry of Bangladesh limited has been prepared to fulfill the partial requirement of BBA program. While preparing this report, I had a great opportunity to have an in depth knowledge of all the financial position through different analyzing tools and methods.The theoretical part of the report may consider about the Banking sector of our contry. The Banking industry of Bangladesh is basically isolated into two divisions, for example, Specialized Banks (SBs) and Commercial Banks (CBs). The Specialized Banks are those bank that arrangement with particular divisions or industry of an economy. For example, Bangladesh Krishi Bank (BKB) just manages the agrarian part of the economy; Bangladesh Shilpa Bank (BSB) just manages the mechanical segment of the economy, etc.On the other hand, Commercial Banks are Scheduled Banks that are working in the nation under the guidelines and controls of the Central Bank. Commercial banks thusly can be gathered as Nationalized Commercial Banks (NCBs); Foreign Commercial Banks (FCBs) and Private Commercial Banks (PCBs) with three distinct portions, for example, first Generation Private Commercial Banks, 2nd Generation Private Commercial Banks, and third Generation Private Commercial Banks.The Bangladesh Bank (BB) Order created in 1972, authorized Bangladesh Bank (BB) as the central bank of the country. Bangladesh Bank Order 1972 and the Banking / Companies Act 1991 mainly guide the commercial banks in Bangladesh. Commercial Banks in Bangladesh are not allowed to do business other than just banking. Ordinary exercises include borrowing, raising or taking up of money, lending or advancing of money with or without security. They are additionally approved to issue letters of credit, trade in precious commodities and buying and selling of foreign goods excluding foreign bank notes. They are also additionally approved to trade in bills of exchange, promissory notes, coupons, drafts, debentures, certificates and other instruments approved by Bangladesh Bank (BB). Banking organizations are required to give safe vaults and approved to gather money and securities. I state some major findings and recommendations base on the findings & analysis of the report. Next part is the conclusion of the report. At the end I included all the source of data and the list of journal, website by which this report completed successfully