Credit Management of First Security Islami Bank Limited

Abstract

The topic of the report is an analysis of credit management of Frist Security Islami Bank Ltd. Credit is an important product of every bank. A bank success largely depends on effective management of credit. The disquieting feature of financial inter mediation in Bangladesh is the all-pervading default culture. It has shaped the health of the financial sector. The most important reason of nonperforming loan is an inadequate evaluation of perceived risk before extending the loan or credit management through a stage and effective process as a lending risk analysis guideline of Bangladesh that enable the bank to pro-actively manage loan portfolio in order to minimize losses and earn an acceptable level of return. The report discusses about the nature of credit, Principal of credit, credit process, management system, Remittance, credit approval process, Importance of Credit , management committee, ad credit Division and performance of First Security Islami Bank Ltd. The study not only focuses on the activities of First Security Islami Bank Ltd, but also highlights the credit management system of the bank. In the first chapter of this report contains some description about the banking sector and the perspective of the FSIB limited. The next chapter of this report is about the company. Their corporate mission and vision. How they exercise their key management profile. Third chapter contains the theoretical background of the credit management. The fourth chapter is the analysis part of this report, which contains performance analysis of Total Assets and Total deposit, Net Profit, Investment and Advance, Deposit Ratio of First Security Islami Bank limited. Final chapter five includes some findings that made based on the analysis part and some recommendation for the improvement of credit performance.