Md Monirul Islam
Syndicated financing is a type of lending in which a group of banks — called a syndicate — jointly finances a single large loan to one borrower. No single bank provides the entire loan amount. Each bank contributes a portion,…
Md Monirul Islam
CMSME stands for Cottage, Micro, Small, and Medium Enterprises. Bangladesh Bank has defined CMSME credit in its CMSME Credit Policy and Programme to promote inclusive economic development across all segments of society. Bangladesh Bank Definition of CMSME Cottage Enterprise Investment…
Md Monirul Islam
The credit/loan application process follows a structured sequence from the first discussion between the bank and the customer to final disbursement and monitoring. The key steps are: Initial Discussion (Origination) The Relationship Manager (RM) and the customer discuss credit facilities…
Md Monirul Islam
Banks offer various credit products to meet customers’ diverse financing needs. These products are designed to support working capital requirements, fixed asset investment, import-export trade, consumer financing, and Islamic banking activities. Each product has its own purpose, tenure, and repayment…
Md Monirul Islam
A good borrower is one a bank can safely lend to. The bank must be confident that the loan will be repaid fully and on time. The following qualities define a good borrower: Creditworthiness A good borrower has a strong…
Md Monirul Islam
Banks can manage credit through a centralized model where the head office controls all lending decisions, or a decentralized model where branches have their own decision-making authority. Differences between Centralized and Decentralized Credit Models Have a look at the differences…