SME Loans and Financial Analysis on IDLC Finance Ltd.

Abstract

SME is small and medium enterprises which has great impact on the overall economy of our country. The contribution of the SME is enormous. It plays a vital role for the growth and development of the Bangladesh. A Large amount of capital is investing in capital market by the contribution of SMEs. So this sector is helping the other sectors. As the importance of this sector is increasing, in every year our country is organizing SME fair. In this year the fair has started on 4th April 2018. As there are enormous opportunities to invest in SMEs, people are trying to start their own business. To help these people many banking and non-banking institutions are vastly contributing in SME sector. IDLC Finance ltd. is the one of the largest non-banking financial institutions. And they are holding the leading position. They are providing the different loans to the SMEs. For the expansion of SME sector IDLC is trying their best to contribute. IDLC has a good reputation regarding the SME loans. They are well recognized by the customers. The reason behind that they can provide loan within short period of time. As I got the opportunity to work in IDLC Credit Risk Management department, I tried to find out the different criteria‟s loan, loan process, document regarding the loan, disbursement procedure. In my report I figure out the SME loans and the financial performance of the IDLC finance. I also did financial analysis between IDLC Finance and Lankabangla finance as they are from the same sector. Though it was difficult to find vast information within the short time but I tried my best to make this report informative. I hope this report will help to do further research.