First Security Islami Bank Limited (FSIBL) donated Tk 500,000 to OGSB Hospital and Institute of Reproductive and Child Health for construction of a 150-bed hospital.

AAM Zakaria, managing director, First Security Islami Bank Limited handed over the cheque to Prof. Shahla Khatun, chairman, OGSB Hospital in a simple ceremony recently, said a press release.

Among others, Prof. Latifa Shamsuddin, president, OGSB Hospital, Prof. Dr Nasima Begum, secretary general, OGSB, Azam Khan, head of marketing and development, First Security Islami Bank Limited were present on the occasion.

As a part of corporate social responsibility programmes, FSIBL always extends its assistance for the distressed community during natural calamities.

News: Daily Sun/ Bangladesh/ Mar-19-2011

The annual conference of the branch managers of Sonali Bank Limited (SBL) was held in Rangpur yesterday.

Rangpur Divisional General Managers’ Office organised the conference at the ASOD training centre with AFM Ali Asgar, DGM (Incharge) of the bank in the chair, said a press release.

Md. Humayun Kabir, managing director and chief executive officer of the bank attended the conference as the chief guest while general manager of Rajshahi Divisional Hassan Iqbal attended as the special guest.

DGM of Rangpur Shahidul Islam, AGM of Kurigram ATM Ekramul Haque, AGM of Gaibandha M Abdus Samad, AGM of Nilphamari M Gous- Ul Azam Chowdhury and AGM of Rangpur Corporate Branch M Zaoadul Karim were present.

Branch manager of the bank from all the five districts of greater Rangpur and senior officials of the bank took part in the conference that evaluated the business progresses and achievements of all regions till February last.

The senior bankers called upon the SBL officials to quicker digitization of all branches and achieving the fixed business targets, realizing classified loans and increasing investments in the potential sectors including SME.

News: Daily Sun/ Bangladesh/ Mar-19-2011

Social Islami Bank Limited (SIBL) launched new deposit schemes for its clients in Chittagong. SIBL announced the launching of five new deposit schemes at a press briefing and view exchange meeting at a local hotel in the port city on Friday evening. At the meeting, SIBL managing director Mohammad Ali elaborated on the schemes titled, `Sonali Din’, `Shapner Shiri’, ‘Sammriddhir Sopan’, `Shacchanda Pratidin’ and `Shukher Thikana’. SIBL introduced the schemes with the slogan `Shadinatar chetonai amader nibedan, amader sheba’ to encourage low income people in savings, Mohammad Ali said.

News: Daily Sun/ Bangladesh/ Mar-20-2011

The country’s banking sector to a large extent got back from funds crisis as the central bank though repurchase agreement (repo) is infusing sufficient currency in the money market everyday.

The money infusion will be five times higher than money it withdrawn through increasing the cash reserve ratio (CRR) of the banks, a senior officials of Bangladesh Bank told BSS.

He said stabilisation of money market helps the banking sector giving some positive indications in terms of reduction of the loan- deposit-ratio and call money interest rate at the end of the third quarter of the current fiscal.

Despite some banks are still reeling on that difficulty, he said the banks can cope with the situation by using the foreign currency reserve, as its reserve also increased moderately in recent times.

Responding to the media reports on the fund crisis, the BB official said ‘It’s not true that the enhancement of the CRR caused the capital crisis. “The central bank withdrew around Taka 20 billion from the money market through CRR. But, at present everyday we are infusing money five times higher than the withdrawn money,” he said.

The additional reserve of the schedule banks also remained normal, he said adding that the amount of the additional reserve stood at Taka 17 billion in February.

He said the high demand of Repo to banks is now decreasing and it proves that liquidity crisis is now declining.

Referring anonymity, the official said the liquidity crisis was basically resulted from inefficiency in fund management, having no reserve for crisis period, and lack of performance in management of liability over assets.

The official also discarded the report that Bangladesh is now suffering from imbalance in foreign currency transaction. He said in the first eight months (July-February) of the current fiscal country’s total import was to the tune of around US$ 22 billion.

At the same time country’s total export was of US$ 14 bullion and the remittance flow in the country was US$ 7.5 billion. So, total shortage of foreign exchange transaction was about US$ five billion. Moreover, he said the central bank gives one billion dollar overdraft support to the commercial banks.

In the above circumstances, the official said, Bangladesh Bank can easily manage the shortage of foreign currency transaction from its own reserve.

Talking to BSS on the issue, former BB governor Dr Faras Uddin said, illegal business of the commercial banks in the capital market was mainly responsible for the liquidity crisis.

“I perceive that the crisis is now over”, he said adding foreign exchange reserve is now in a very good condition and export and remittance are on rise as well.

So, the central bank can easily deal with any shortage of foreign exchange at this stage, he observed.

Another former central bank governor Dr Salehuddin Ahmed also observed that the overall liquidity crisis both of local and foreign currency is not in dire situation.

News: Daily Sun/ Bangladesh/ Mar-19-2011

The government has distributed agricultural loan of Tk 50 billion among the farmers through the commercial banks for farming and processing various agricultural crops including spices, pulses, corns and oil seeds in the current fiscal year.

Bangladesh Bank has taken initiatives to distribute the loans at an interest rate of 2 percent as per the government’s decision, sources at the central bank said.

Of the total amount of the loans, Sonali Bank distributed Tk 9 crore 42 lakh, Janata Bank Tk 10 crore, Agrani Bank Tk 11 crore 64 lakh, Bangladesh Krishi Bank Tk 14 crore 64 lakh and Rajshahi Krishi Unnayan Bank Tk 3 crore 51 lakh and Rupali Bank Tk 21 lakh respectively.

The commercial banks are also providing loans for cultivating import-reliant agricultural crops at the same interest rate in 2010-2011.

News: Daily Sun/ Bangladesh/ Mar-19-2011