overview of financialsystem of bangladesh-121230093408-phpapp01

8/19/2019 overview of financialsystem of bangladesh-121230093408-phpapp01

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Overview on Financial

SystemOf

BangladeshPrepared By:Kazi Mashfiq Uddin Ahmed

Id: 100306003

Department of Business AdministrationGreen Universit !f Ban"#adesh


2/18

Overview of Financial system of Bangladesh

The financial system of Bangladesh is comprised of three broad fragmented

sectors:

1) Formal Sector,

) Semi!Formal Sector,

" ) #nformal Sector$ The sectors have been categorized in accordance with their degree of regulation.

The formal sector includes all regulated institutions like Banks, Non-Bank Financial Institutions (FIs,

Insurance !om"anies, !a"ital #arket Intermediaries like Brokerage $ouses, #erchant Banks etc.% #icro

Finance Institutions (#FIs.

The semi formal sector includes those institutions which are regulated otherwise but do not fall under the

&urisdiction of !entral Bank, Insurance 'uthorit, )ecurities and *+change !ommission or an other enacted

financial regulator. This sector is mainl re"resented b )"ecialized Financial Institutions like $ouse

Building Finance !or"oration ($BF!, alli arma )ahaak Foundation ()F, )amaba Bank, rameen

Bank etc., Non overnmental /rganizations (N/s and discrete government "rograms.

The informal sector includes "rivate intermediaries which are com"letel unregulated.


3/18

Financial System Of

Bangladesh

Formal Sector Semi Formal Sector #nformal Sector

Financial %ar&et 'eg(lators #nstit(tions

Mone Mar$et

%Ban$s& 'B(Is&)rimar Dea#ers*

+apita# Mar$et

nvestment ,an$s& -to.$ /.han"es&

+redit atin" +ompanies et.2*

(orei"n /.han"e Mar$et

%Authorized Dea#ers*

Ban"#adesh Ban$

%+entra# Ban$*

Ban$s

4 s.hedu#ed 5

nons.hedu#ed ,an$s

'B(Is

31 'B(Is

Insuran.e Deve#opment 5

e"u#ator Authorit

Insuran.e +ompanies

17 8ife and 'on8ife

Insuran.e +ompanies

-e.urities 5 /.han"e +ommission%e"u#ator of .apita# mar$et

Intermediaries *

-to.$ /.han"es& -to.$ Dea#ersBro$ers& Mer.hants Ban$s& AM+ s&

+redit atin" A"en.ies et.2

Mi.ro.redit e"u#ator

Authorit

%M(I Authorit*

Mi.ro (inan.e Institutions

9 M(Is

Speciali*ed Financial

#nstit(tions

;ouse Bui#din" (inan.ia#

+orporation%;B(+*

)a##i Karma -ahaa$

(oundation%)K-(*

-ama,a Ban$

Grameen Ban$


4/18

(inan.ia# mar$et in Ban"#adesh< %oney %ar&et: =he primar mone mar$et is .omprised of ,an$s& (Is and primar dea#ers as

intermediaries and savin"s 5 #endin" instruments& treasur ,i##s as instruments2 =here are .urrent# 19primar dea#ers %1> ,an$s and 3 (Is* in Ban"#adesh2 =he on# a.tive se.ondar mar$et is overni"ht .a##mone mar$et ?hi.h is parti.ipated , the s.hedu#ed ,an$s and (Is2 =he mone mar$et in Ban"#adesh isre"u#ated , Ban"#adesh Ban$ %BB*& the +entra# Ban$ of Ban"#adesh2

< +apital mar&et: =he primar se"ment of .apita# mar$et is operated throu"h private and pu,#i. offerin" ofequit and ,ond instruments2 =he se.ondar se"ment of .apita# mar$et is institutiona#ized , t?o %0>*sto.$ e.han"esDha$a -to.$ /.han"e and +hitta"on" -to.$ /.han"e2 =he instruments in thesee.han"es are equit se.urities %shares*& de,entures& .orporate ,onds and treasur ,onds2 =he .apita#mar$et in Ban"#adesh is "overned , -e.urities and +ommission %-/+*2

< Foreign -change %ar&et: =o?ards #i,era#ization of forei"n e.han"e transa.tions& a num,er ofmeasures ?ere adopted sin.e 10s2 Ban"#adeshi .urren.& the ta$a& ?as de.#ared .onverti,#e on.urrent a..ount transa.tions %as on > Mar.h 1*& in terms of Arti.#e @III of IM( Arti.#e of A"reement%1*2 As =a$a is not .onverti,#e in .apita# a..ount& resident o?ned .apita# is not free# transfera,#ea,road2 epatriation of profits or disinvestment pro.eeds on nonresident (DI and portfo#io investmentinf#o?s are permitted free#2 Dire.t investments of nonresidents in the industria# se.tor and portfo#ioinvestments of nonresidents throu"h sto.$ e.han"es are repatria,#e a,road& as a#so are .apita# "ainsand profitsdividends thereon2 Investment a,road of residento?ned .apita# is su,e.t to prior Ban"#adeshBan$ approva#& ?hi.h is a##o?ed on# sparin"#2 Ban"#adesh adopted (#oatin" /.han"e ate re"imesin.e 31 Ma >0032 Under the re"ime& BB does not interfere in the determination of e.han"e rate& ,utoperates the monetar po#i. prudent# for minimizin" etreme s?in"s in e.han"e rate to avoid adversereper.ussion on the domesti. e.onom2 =he e.han"e rate is ,ein" determined in the mar$et on the,asis of mar$et demand and supp# for.es of the respe.tive .urren.ies2 In the fore mar$et ,an$s arefree to ,u and sa#e forei"n .urren. in the spot and a#so in the for?ard mar$ets2 ;o?ever& to avoid anunusua# vo#ati#it in the e.han"e rate& Ban"#adesh Ban$& the re"u#ator of forei"n e.han"e mar$etremains vi"i#ant over the deve#opments in the forei"n e.han"e mar$et and intervenes , ,uin" andse##in" forei"n .urren.ies ?henever it deems ne.essar to maintain sta,i#it in the forei"n e.han"e

mar$et2


5/18

'eg(lators of the Financial System +entral Ban&:Bangladesh Bank acts as the !entral Bank of Bangladesh which was established on 0ecember 12, 1345

through the enactment of Bangladesh Bank /rder 1345- resident6s /rder No. 154 of 1345 ('mended in

5778.

The general su"erintendence and direction of the affairs and business of BB have been entrusted to a 3

members9 Board of 0irectors which is headed b the overnor who is the !hief *+ecutive /fficer of this

institution as well. BB has :7 de"artments and 3 branch offices.

In )trategic lan (5717-571:, the vision of BB has been stated as, ;To develo" continuall as a forward

looking central bank with com"etent and committed "rofessionals of high ethical standards, conducting

monetar management and financial sector su"ervision to maintain "rice stabilit and financial sstem

robustness, su""orting ra"id broad based inclusive economic growth, em"loment generation and "overteradication in Bangladesh


6/18

+ore )o#i.ies of +entra# Ban$

%onetary policy

< =he main o,e.tives of monetar po#i. of Ban"#adesh Ban$ are:

< )ri.e sta,i#it ,oth interna# 5 eterna#

< -ustaina,#e "ro?th 5 deve#opment

< ;i"h emp#oment

< /.onomi. and effi.ient use of resour.es

< -ta,i#it of finan.ia# 5 pament sstem Bangladesh Bank declares the monetar "olic b issuing #onetar olic )tatement (#) twice

(>anuar and >ul in a ear. The tools and instruments for im"lementation of monetar "olic in

Bangladesh are Bank ?ate, /"en #arket /"erations (/#/, ?e"urchase agreements (?e"o @

?everse ?e"o, )tatutor ?eserve ?eAuirements ()? @ !??.


7/18

'eserve %anagement Strategy:

Ban"#adesh Ban$ maintains the forei"n e.han"e reserve of the .ountr in different .urren.ies to minimize theris$ emer"in" from ?idespread f#u.tuation in e.han"e rate of maor .urren.ies and ver irre"u#ar movement in

interest rates in the "#o,a# mone mar$et2 BB has esta,#ished 'ostro a..ount arran"ements ?ith different +entra#

Ban$s2 (unds a..umu#ated in these a..ounts are invested in =reasur ,i##s& repos and other "overnment papers

in the respe.tive .urren.ies2 It a#so ma$es investment in the form of short term deposits ?ith different hi"h rated

and reputed .ommer.ia# ,an$s and pur.hase of hi"h rated soverei"nsupranationa#.orporate ,onds2 A separatedepartment of BB performs the operationa# fun.tions re"ardin" investment ?hi.h is "uided , investment po#i.

set , the BBCs Investment +ommittee headed , a Deput Governor2 =he under#in" prin.ip#e of the investment

po#i. is to ensure the optimum return on investment ?ith minimum mar$et ris$2

#nterest 'ate Policy:

Under the (inan.ia# se.tor reform pro"ram& a f#ei,#e interest po#i. ?as formu#ated2 A..ordin" to that& ,an$s arefree to .har"efi their deposit %Ban$ (inan.ia# Institutes* and 8endin" %Ban$ (inan.ia# Institutes* rates other

than /port +redit2 At present& e.ept )reshipment eport .redit and a"ri.u#tura# #endin"& there is no interest

rate .ap on #endin" for ,an$s2 et& ,an$s .an differentiate interest rate up to 3E .onsiderin" .omparative ris$

e#ements invo#ved amon" ,orro?ers in same #endin" .ate"or2 Fith pro"ressive dere"u#ation of interest rates&

,an$s have ,een advised to announ.e the midrate of the #imit %if an* for different se.tors and the ,an$s ma

.han"e interest 129E more or #ess than the announ.ed midrate on the ,asis of the .omparative .redit ris$2

Ban$s up#oad their deposit and #endin" interest rate in their respe.tive ?e,site2

+apital .de/(acy for Ban&s and F#s:

Fith a vie? to stren"thenin" the .apita# ,ase of ,an$s 5 (Is& Base#II A..ord has ,een introdu.ed in ,oth of

these se.tors2 (or ,an$s& fu## imp#ementation of Base#II ?as started in anuar 01& >010 %Guide#ines on is$

Based +apita# Adequa. for ,an$s*2 'o?& s.hedu#ed ,an$s in Ban"#adesh are required to maintain =$2 ,i##ion or

10E of =ota# is$ Fei"hted Assets as .apita#& ?hi.hever is hi"her2 (or (Is& fu## imp#ementation of Base#II has

,een started in anuar 01& >01> %)rudentia# Guide#ines on +apita# Adequa. and Mar$et Dis.ip#ine %+AMD* for

(inan.ia# Institutions*2 'o?& (Is in Ban"#adesh are required to maintain =$2 1 ,i##ion or 10E of =ota# is$Fei"hted Assets as .apita#& ?hi.hever is hi"her2

http://www.bb.org.bd/fnansys/interestdeposit.phphttp://www.bb.org.bd/fnansys/interestlending.phphttp://www.bb.org.bd/fnansys/interestlending.phphttp://www.bb.org.bd/fnansys/interestdeposit.php


8/18

0eposit #ns(rance:

=he deposit insuran.e s.heme %DI-* ?as introdu.ed in Ban"#adesh in Au"ust 17 to a.t as a safet net for the

depositors2 A## the s.hedu#ed ,an$s Ban"#adesh are the mem,er of this s.heme Ban$ Deposit Insuran.e A.t

>0002 =he purpose of DI- is to he#p to in.rease mar$et dis.ip#ine& redu.e mora# hazard in the finan.ia# se.tor and

provide safet nets at the minimum .ost to the pu,#i. in the event of ,an$ fai#ure2 A Deposit Insuran.e =rust (und

%DI=(* has a#so ,een .reated for providin" #imited prote.tion %not e.eedin" =a$a 0201 mi##ion* to a sma##

depositor in .ase of ?indin" up of an ,an$2 =he Board of Dire.tors of BB is the =rustee Board for the DI=(2 BBhas adopted a sstem of ris$ ,ased deposit insuran.e premium rates app#i.a,#e for a## s.hedu#ed ,an$s effe.tive

from anuar une >0042 A..ordin" to ne? instru.tion re"ardin" premium rates& pro,#em ,an$s are required to

pa 020 per.ent and private ,an$s other than the pro,#em ,an$s and state o?ned .ommer.ia# ,an$s are

required to pa 0204 per.ent ?here the per.ent .overa"e of the deposits is ta$a one hundred thousand per

depositor per ,an$2 Fith this end in vie?& BB has a#read advised the ,an$s for ,rin"in" DI- into the noti.e of the

pu,#i. throu"h disp#ain" the same in their disp#a ,oard2

#ns(rance .(thority:

Insuran.e Deve#opment and e"u#ator Authorit %IDA* ?as instituted on anuar >6& >011 as the

re"u#ator of insuran.e industr ,ein" empo?ered , Insuran.e Deve#opment and e"u#ator A.t&

>010 , rep#a.in" its prede.essor& +hief +ontro##er of Insuran.e2 =his institution is operated under

Ministr of (inan.e and a mem,er ee.utive ,od headed , +hairman is responsi,#e for its"enera# supervision and dire.tion of ,usiness2

IDA has ,een esta,#ished to ma$e the insuran.e industr as the premier finan.ia# servi.e provider

in the .ountr , stru.turin" on an effi.ient .orporate environment& , se.urin" em,roni.

aspiration of so.iet and , penetratin" deep into a## se"ments for hi"h e.onomi. "ro?th2 =he

mission of IDA is to prote.t the interest of the po#i. ho#ders and other sta$eho#ders under

insuran.e po#i.& supervise and re"u#ate the insuran.e industr effe.tive#& ensure order# and

sstemati. "ro?th of the insuran.e industr and for matters .onne.ted there?ith or in.identa#thereto2


9/18

'eg(lator of +apital %ar&et #ntermediaries -e.urities and /.han"e +ommission %-/+* performs the fun.tions to re"u#ate the .apita#mar$et intermediaries and issuan.e of .apita# and finan.ia# instruments , pu,#i. #imited.ompanies2 It ?as esta,#ished on une 7& 13 under the -e.urities and /.han"e +ommission

A.t& 132 A 9 mem,er .ommission headed , a +hairman has the overa## responsi,i#it toadminister se.urities #e"is#ation and the +ommission is atta.hed to the Ministr of (inan.e2=he mission of -/+ is to prote.t the interests of se.urities investors& to deve#op and maintainfair& transparent and effi.ient se.urities mar$ets and to ensure proper issuan.e of se.urities and.omp#ian.e ?ith se.urities #a?s2 =he main fun.tions of -/+ are:

< 'eg(lating the b(siness of the Stoc& -changes or any other sec(rities mar&et$< 'egistering and reg(lating the b(siness of stoc&!bro&ers, s(b!bro&ers, share transfer

agents, merchant ban&ers and managers of iss(es, tr(stee of tr(st deeds, registrar ofan iss(e, (nderwriters, portfolio managers, investment advisers and other intermediariesin the sec(rities mar&et$

< 'egistering, monitoring and reg(lating of collective investment scheme incl(ding allforms of m(t(al f(nds$

< %onitoring and reg(lating all a(thori*ed self reg(latory organi*ations in the sec(ritiesmar&et$

<Prohibiting fra(d(lent and (nfair trade practices in any sec(rities mar&et$< Promoting investors ed(cation and providing training for intermediaries of the sec(ritiesmar&et$

< Prohibiting insider trading in sec(rities$< 'eg(lating the s(bstantial ac/(isition of shares and ta&e!over of companies$< 2nderta&ing investigation and inspection, in/(iries and a(dit of any iss(er or dealer of

sec(rities, the Stoc& -changes and intermediaries and any self reg(latory organi*ationin the sec(rities mar&et$

< +ond(cting research and p(blishing information$

' l t f %i Fi # tit ti


10/18

'eg(lator of %icro Finance #nstit(tions =o ,rin" 'on"overnment Mi.rofinan.e Institutions %'G!M(Is* under a re"u#ator frame?or$& the

Government of Ban"#adesh ena.ted HMi.ro.redit e"u#ator Authorit A.t& >006H %A.t no2 3> of >006* ?hi.h

.ame into effe.t from Au"ust >4& >0062 Under this A.t& the Government esta,#ished Mi.ro.redit e"u#ator

Authorit %MA* ?ith a vie? to ensurin" transparen. and a..ounta,i#it of mi.ro.redit a.tivities of the 'G!

M(Is in the .ountr2 =he Authorit is empo?ered and responsi,#e to imp#ement the said a.t and to ,rin" the

mi.ro.redit se.tor of the .ountr under a fu##f#ed"ed re"u#ator frame?or$2

MAs mission is to ensure transparen. and a..ounta,i#it of mi.rofinan.e operations of 'G!M(Is as ?e##

as foster sustaina,#e "ro?th of this se.tor2 In order to a.hieve its mission& MA has set itse#f the tas$ to

attain the fo##o?in" "oa#s:

< To form(late as well as implement the policies to ens(re good governance and transparent financial

systems of %F#s$

< To cond(ct in!depth research on critical microfinance iss(es and provide policy inp(ts to the

government consistent with the national strategy for poverty eradication$

< To provide training of 34O!%F#s and lin&ing them with the broader financial mar&et to facilitate

s(stainable reso(rces and efficient management$

< To assist the government to b(ild (p an incl(sive financial mar&et for economic development of the

co(ntry$

< To identify the priorities in the microfinance sector for policy g(idance and dissemination of

information to attain the %'.s social responsibility$

.ccording to the .ct, the %'. will be responsible for the three primary f(nctions that will need to be carried o(t, namely:

5icensing of %F#s with e-plicit legal powers

S(pervision of %F#s to ens(re that they contin(e to comply with the licensing re/(irements6 and

nforcement of sanctions in the event of any %F# failing to meet the licensing and ongoing

s(pervisory re/(irements$


11/18

Ban$s:< After the independen.e& ,an$in" industr in Ban"#adesh started its ourne ?ith 6 'ationa#ized .ommer.ia#ized ,an$s& > -tate

o?ned -pe.ia#ized ,an$s and 3 (orei"n Ban$s2 In the 170Cs ,an$in" industr a.hieved si"nifi.ant epansion ?ith the entran.eof private ,an$s2 'o?& ,an$s in Ban"#adesh are primari# of t?o tpes:

< -.hedu#ed Ban$s: =he ,an$s ?hi.h "et #i.ense to operate under Ban$ +ompan A.t& 11 %Amended in >003* are termed as-.hedu#ed Ban$s2

< 'on-.hedu#ed Ban$s: =he ,an$s ?hi.h are esta,#ished for spe.ia# and definite o,e.tive and operate under the a.ts that areena.ted for meetin" up those o,e.tives& are termed as 'on-.hedu#ed Ban$s2 =hese ,an$s .annot perform a## fun.tions ofs.hedu#ed ,an$s2

< =here are 78 sched(led ban&s in Ban"#adesh ?ho operate under fu## .ontro# and supervision of Ban"#adesh Ban$ ?hi.h isempo?ered to do so throu"h Ban"#adesh Ban$ !rder& 14> and Ban$ +ompan A.t& 112 -.hedu#ed Ban$s are .#assified intofo##o?in" tpes:

< -tate !?ned +ommer.ia# Ban$s %-!+Bs*: =here are 7 SO+Bs ?hi.h are fu## or maor# o?ned , the Government ofBan"#adesh2

< -pe.ia#ized Ban$s %-DBs*: 7 speciali*ed ban&s are no? operatin" ?hi.h ?ere esta,#ished for spe.ifi. o,e.tives #i$ea"ri.u#tura# or industria# deve#opment2 =hese ,an$s are a#so fu## or maor# o?ned , the Government of Ban"#adesh2

< )rivate +ommer.ia# Ban$s %)+Bs*: =here are "9 private commercial ban&s ?hi.h are maor# o?ned , the private entities2)+Bs .an ,e .ate"orized into t?o "roups:

< +onventiona# )+Bs: " conventional P+Bs are no? operatin" in the industr2 =he perform the ,an$in" fun.tions in.onventiona# fashion i2e interest ,ased operations2

< Is#ami -hariah ,ased )+Bs: =here are 8 #slami Shariah based P+Bs in Ban"#adesh and the ee.ute ,an$in" a.tivitiesa..ordin" to Is#ami -hariah ,ased prin.ip#es i2e2 )rofit8oss -harin" %)8-* mode2 2

< (orei"n +ommer.ia# Ban$s %(+Bs*: F+Bs are operatin" in Ban"#adesh as the ,ran.hes of the ,an$s ?hi.h are in.orporatedin a,road2

< =here are no? 7 non!sched(led ban&s in Ban"#adesh ?hi.h are:< Ansar @D) Unnaan Ban$&< Karmashan"osthan Ban$&< )ro,ashi Ko##an Ban$&< u,i#ee Ban$


12/18

F#s < 'on Ban$ (inan.ia# Institutions %(Is* are those tpes of finan.ia# institutions ?hi.h are

re"u#ated under (inan.ia# Institution A.t& 13 and .ontro##ed , Ban"#adesh Ban$2'o?& "1 F#s are operatin" in Ban"#adesh ?hi#e the maiden one ?as esta,#ished in1712 !ut of the tota#& > is fu## "overnment o?ned& 1 is the su,sidiar of a -!+B& 13?ere initiated , private domesti. initiative and 19 ?ere initiated , oint ventureinitiative2 Maor sour.es of funds of (Is are =erm Deposit %at #east si months tenure*&+redit (a.i#it from Ban$s and other (Is& +a## Mone as ?e## as Bond and-e.uritization2=he maor differen.e ,et?een ,an$s and (Is are as fo##o?s:

< (Is .annot issue .heques& paorders or demanddrafts2

< (Is .annot re.eive demand deposits&

< (Is .annot ,e invo#ved in forei"n e.han"e finan.in"&

< (Is .an .ondu.t their ,usiness operations ?ithdiversified finan.in" modes #i$e sndi.ated finan.in"&,rid"e finan.in"& #ease finan.in"& se.uritizationinstruments& private p#a.ement of equit et.2


13/18

+apital %ar&et After the independen.e& esta,#ishment of Dha$a -to.$ /.han"e %former# /ast )a$istan -to.$ /.han"e* initiated the path?a of .apita# mar$etintermediaries in Ban"#adesh2 In 146& formation of Investment +orporation of Ban"#adesh opened the door of professiona# portfo#io mana"ement ininstitutiona# form2 In #ast t?o de.ades& .apita# mar$et ?itnessed num,er of institutiona# and re"u#ator advan.ements ?hi.h has resu#ted diversified .apita#mar$et intermediaries2 At present& .apita# mar$et intermediaries are of fo##o?in" tpes:

1$ Stoc& -changes: .part from 0ha&a Stoc& -change, there is another stoc& e-change in Bangladesh that is +hittagongStoc& -change established in 1;$

$ +entral 0epository: The only depository system for the transaction and settlement of financial sec(rities, +entral0epository Bangladesh 5td $ #nvestment +orporation of Bangladesh $1$ #+B +apital %anagement 5td$,

>$$ #+B .sset %anagement +ompany 5td$,

>$"$ #+B Sec(rities Trading +ompany 5td$


14/18

#ns(ranceInsurance sector in Bangladesh emerged after independence with 2 nationalized insurance

companies- 1 Life & 1 General; and 1 foreign insurance company. In mid !s" pri#ate

sector insurance companies started to enter in the industry and it got e$panded. %ow days"

2 companies are operating under Insurance 'ct 2!1!. (ut of them-

< 17 are 8ife Insuran.e +ompanies in.#udin" 1 forei"n

.ompan and 1 is stateo?ned .ompan&< Genera# Insuran.e +ompanies in.#udin" 1 stateo?ned

.ompan2

Insuran.e .ompanies in Ban"#adesh provide fo##o?in" servi.es:

< 8ife insuran.e&

< Genera# Insuran.e&

< einsuran.e&

< Mi.roinsuran.e&

< =a$afu# or Is#ami insuran.e2


15/18

Mi.ro (inan.e Institutions %M(Is* =he mem,er,ased Mi.rofinan.e Institutions %M(Is* .onstitute a rapid# "ro?in" se"ment of the ura#(inan.ia# Mar$et %(M* in Ban"#adesh2 Mi.ro.redit pro"rams %M+)* in Ban"#adesh are imp#emented ,various forma# finan.ia# institutions %nationa#ized .ommer.ia# ,an$s and spe.ia#ized ,an$s*& spe.ia#ized"overnment or"anizations and 'onGovernment !r"anizations %'G!s*2 =he "ro?th in the M(I se.tor& interms of the num,er of M(I as ?e## as tota# mem,ership& ?as phenomena# durin" the 10s and .ontinuesti## toda2

Despite the fa.t that more than a thousand of institutions are operatin" mi.ro.redit pro"rams& ,ut on# 10#ar"e Mi.ro.redit Institutions %M(Is* and Grameen Ban$ represent 74E of tota# savin"s of the se.tor and71E of tota# outstandin" #oan of the se.tor2

+redit servi.es of this se.tor .an ,e .ate"orized into si ,road "roups:i* "enera# mi.ro.redit for sma##s.a#e se#f emp#oment ,ased a.tivities&ii* mi.roenterprise #oans&

iii* #oans for u#tra poor&

iv* a"ri.u#tura# #oans&

v* seasona# #oans& andvi* #oans for disaster mana"ement2

+urrent#& 9 institutions %as of !.to,er 10 >011* have ,een #i.ensed ,MA to operate Mi.ro +redit )ro"rams2 But& Grameen Ban$ is out of the

urisdi.tion of MA as it is operated under a distin.t #e"is#ation GrameenBan$ !rdinan.e& 1732

http://www.bb.org.bd/fnansys/mfi.phphttp://www.bb.org.bd/fnansys/mfi.phphttp://www.bb.org.bd/fnansys/mfi.phphttp://www.bb.org.bd/fnansys/mfi.php


16/18

Ke (inan.ia# Indi.ator

Deposits Advan.es =ota# +apita#J 3o$ of Branches

119799290 Mi##ion 3>1>77240 Mi##ion 6164200 Mi##ion 444>

Banks As on une >011

FIs As on De.em,er >010

0eposits 5oans andleases

.ssets Share +apital 'eserve

3o$ of Branches

7"87$>9 %illion "1>7$>8%illion

;1;8$"7%illion

77?>$ %illion 11;

#ns(rance .s on 0ecember 99

.sset Share +apital 'eserve

5ife #ns(rance 11>99$1; %illion 17;$;7 %illion 19?9>$>> %illion

3on!5ife #ns(rance 7?$9 %illion ??;"$>" %illion 11""$"9 %illion

+ it # M $ t


17/18

+apita# Mar$et

%ar&et +apitali*ation of 0ha&a Stoc& -change .s on September 911

A## 8isted -e.urities >&47>&01Mi##ion

A## 8isted +ompanies -hares >&>0>&>4 Mi##ion

A## 8isted Mutua# (unds 39&433 Mi##ion

A## De,entures 946 Mi##ion

A## 8isted Govt2 =Bonds 934&371 Mi##ion

A## 8isted +orporate Bonds 6&34 Mi##ion

M(Is As on une >00

Total

O(tstanding

3(mber of

+lients

3(mber of

Borrowers

3o$ of Branches

1,1,>>1$>;%illion

7$88 %illion 1$;9%illion 1>,9


18/18

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