Abstract:
A bank's loans and advances division is crucial as its prosperity fuels the expansion of the organization's clientele. Even so, the terms and circumstances of the disbursement provision, security requirements, and other aspects may vary depending on the type of credit. Nonetheless, the loans and advances present a difficulty as well as an excellent opportunity to hasten the bank's commercial growth, considering the remarkable increase in Bangladesh's external sector. The loans and advances department of Global Islami Bank plc.is the subject of this article. The bank provides a range of services to make loans and advances and exports and remittances abroad easier. As a result, these persons occasionally struggle to launch their businesses successfully and find themselves unable to pay back the bank loans they were granted, resulting in non-performing loans in the end. For the purpose of recovering the bank's classified loans, a formidable "Taskforce" made up of top level executives from the head office and the heads of the relevant branches has been assembled. The bank may offer the collateral and use the proceeds to make up for the loss if a borrower fails on a credit. From 2019 to 2022 GIB faced a high rise in loans and advances, in 2023 in declines significantly. Which indicates potential financial difficulties. The trends and research press on how the high loans and advances have negative impact on GIB's efficiency.
