Credit Management of First Security Islami Bank Limited

Abstract

First Security Islami Bank Limited (FSIBL) was established in Bangladesh on August 29, 1999 under the Companies Act 1994 to conduct banking operations. On September 22, 1999, it received approval from Bangladesh Bank to start its business. The bank operates through 178 branches across the country. The bank's commercial banking services include accepting deposits, making loans, discounting bills, conducting money transfers and foreign exchange transactions, safekeeping, collections, and issuing guarantees and letters of credit. This report aims to analyze FSIBL's overall credit management, financial performance, and make recommendations to address issues. The main objective of this report is to provide an overview regarding credit management of First Security Islami bank Ltd. for the period of 2018 to 2022. The report is organized into 5 chapters. The first chapter covers the introduction, background, scope, objectives, methods, and limits of the study of this report. The second chapter provides an overview of First Security Islami Bank Limited in detail. The third chapter provides in-depth study on overall credit management of First Security Islami Bank Limited. The chapter four cover various forms of credit analysis, sector and geographical analysis & their components and About FSIBL’s Non performing loans. The fifth chapter describes loans & advances of FSIBL & ratio analysis for First Security Islami Bank Limited. The last part includes findings, recommendations, and conclusions. This report discusses First Security Islami Bank Limited's financial performance in a step-by-step manner. This report highlights FSIBL's performance as a Sharia-based bank in terms of return on equity compared to competitors. It also suggests ways to improve return on assets, thereby increasing profits ratio, but also their managerial effectiveness.