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Contents
   
Operational Activities
Other Activities
Auditors' Report
Significant financial indicators (Last five years)


OPERATIONAL ACTIVITIES

Profit and Loss
The Bank made a net profit (after adjustment) of Tk. 335.05 million during FY 2005-06 as against Tk.219.62 million (after adjustment) in the previous year.

Deposit Mobilisation
During FY 2005-06, the Bank tried to meet its fund requirement from various sources for lending and investment. The Bank emphasized more on no cost and / or low cost deposit mobilization during the period. Total actual deposit collection was Tk. 569 million on June 30, 2006.

Loan Application Received
During the period under review, the Bank has accepted 96 new loan proposals after proper scrutiny.

Sanction of Term Loans
The Bank continued sanctioning of term loans during FY 2005-06. This year local currency loan of Tk 1311 million was sanctioned to 52 projects. Of the total sanctioned amount, Tk 1183 million was for 45 new projects and an additional loan of Tk 122 million for 5 existing projects. Tk. 6 million was sanctioned for 2 BMRE projects.

Commitment and Disbursement of Term loans
During FY 2005-06, the Bank made commitment of Tk 765 million in local currency to 36 projects. During the period, the Bank disbursed term loans of Tk 485 million in local currency to 43 projects.

Sanction and Disbursement of Working Capital
During FY 2005-06, the Bank sanctioned working capital loans of Tk 232 million to 9 projects and disbursed TK 32 million to 7 projects. The Bank sanctioned Tk. 15 million to 3 project and disbursed Tk 21 million to 5 projects in the last year.

Other Investments
During FY 2005-06 the Bank invested Tk 34.81 million to purchase shares from the primary and secondary market and the Bank earned an amount of Tk.10.53 million as capital gain, dividend and commission from share trading.

Project Implementation
The Bank intensively monitors and supervises implementation of its financed projects. During FY 2005-06, 12 projects commenced commercial production. Besides, 25 projects were under construction, 24 were documented and 11 were awaiting documentation.

Loan Recovered
Loan recovery is a crucial index to measure the success of a lending organisation. Like previous years, this year too, the Bank has strengthened its recovery drive for realising loans and dues from its borrowers and significant success was achieved.

Total recovery target of loans during FY 2005-06 was Tk 1200 million against which actual cash recovery was Tk 1158.85 million constituting 97 per cent of the target.

Legal Actions Taken for Recovery of Loans

Position of projects under litigation 2005-2006 2004-2005
Legal Notice Issued 15 Projects 33 Projects
Filing of suit 288 Projects 23 Projects
Cashes settle outside report 19 Projects 11 Projects
Sale/issuance of auction notieces 110 Projects 11 Projects

Loan Written off
During FY 2005-06, the Bank has written off Tk. 830 million of loan.

OTHER ACTIVITIES

Advisory Services

Apart from identification and development of viable projects, the Bank assists the interested entrepreneurs in selecting industrial projects having appropriate technology and potential market by providing advisory services and various information.

Training
For upgrading the professional competence and skills of its employees, the Bank is continually arranging training programs both at home and abroad. During FY 2005-2006, 430 officers and staff were provided in-house and local training. Besides, 1 officer was sent abroad for the purpose.

Computerisation
To improve the working efficiency and to provide better customer service, computerisation of Bank's activities is on. In this regard, the Bank has undertaken a far-flung action plan. The implementation of the network based computerisation is complete.