“Appraisal of Credit Risk Management Policy of Prime Bank Limited.”

Abstract

From the inception of the civilization the banking sector has been dominating the economic development of a country by mobilizing the saving from the general people and channeling those saving for investment and thus economic development and growth. To satisfy the demand as well as to Improve the commercial banking service In our country, Prime Bank Limited, a scheduled bank was incorporate to initiate its operation with the aim to play the vital role on the socio-economic development of the country. At present Prime Bank Ltd (PBL) is one of the leading private sector banks in our country in terms of quality services to the customers & value addition for the shareholders. Financial Soundness of any financial institution is the prime concern for its survival in the competitive & changing business environment. This is more important in case of the banking institutions. Prime Bank Limited is a fast growing bank and several times it occupies the first position in CAMEL rating.I was assigned to PBL, SBC Tower Branch. I have studied "Retail Section in Credit Department ". While preparing this report I have tried to reveal the insight of the retail credit banking services of the bank. Simultaneously efforts have been made to provide an in-depth analysis on Loan sanction procedures and performance of PBL. Finally some recommendations and suggestions were also prescribed based on observations and findings.During the appraisal of Credit Risk Management Policy in PBL, I have found that it is the most significant term of every bank. Without this Credit Policy you can't run the banking operations. This Credit Risk Management Policy of the bank is prepared in line with the Guidelines of Bangladesh Bank on Credit Risk Management and for the guidance of the Officers/Executives in handling affairs relating to credit in a disciplined way.