Credit Risk Management of IFIC Bank Limited

Abstract

For the economic improvement commercial banks need to make their investment in the area that raises maximum output which is most important for Economy. However, the banks should focus on credit allocation in various economic sectors in Bangladesh. If the credit assessment and monitoring is not enough, the result would go to the higher debt defect and make the situation bad to the whole financial activities. Though the bank push to give their best for improving their financial situation, the bank faces a lot of problems such as different sources that are not matched and use of capitals, too much focus on consecutive securities that are same, the credit delivery system that are highly politicized, deficiency of the procedures to maintain the debts, deficiency of governments other opportunities, perfect use of technology. They try to make themselves at a high percentage for the financial growth of financing so that they can achieve higher durability not only for favoring but also for the economy. It is difficult to maintain the higher stability into the whole financial intermediation procedure because it is too much expensive. ‘Bangladesh: Agenda for action’ It is published by World Bank in 1996 where the bank provided various types of recommendations for the growth of the economy. The solicitations are totally different for emendation of bank. The bank advised that the introduction of any management procedure of any should be following- “Professional sings the banking business will generate huge, long-term payoffs in the form of a more efficient banking system apart from functional and technology-related training required the commercial banks.” I worked at IFIC Bank Ltd. for two years. I got a lot of real and practical experiences during these two years. I work in the credit department the manager helps me a lot to do the report.