Business Desk :
Leaders of non-bank financial institutions (NBFIs or FIs) on Tuesday at a press conference said they would come forward to revive the country’s economy in the face of ongoing COVID-19 crisis by addressing on liquidity crunch, enhancing internal capacity and governance and supporting development of bond market.
The newly appointed committee members of Bangladesh Leasing and Finance Companies Association (BLFCA) made the remarks at the first online press conference of the association, said a press release.
Highlighting the performance, contribution and challenges of the financial institutions, BLFCA Chairman Mominul Islam, also Managing Director and CEO of IPDC Finance Limited, said, “NBFIs have been contributing to the socio-economic development of the country for past few decades. Currently 33 financial institutions with their 276 branches and 8,358 officers are serving 255,000 customers across the country. As of December 2019, our outstanding loan is over 67,000 crores, the lion share of which goes to industrial term loan, SME finance and housing finance helping more than 100,000 job creation ecery year.”
“The capital adequacy ratio of the FI sector is healthy at 16.9% while the the same for banking sector is 11.6% while return on asset in NBFI scetor is more than double vis-à-vis banking sector (1.0% vs. 0.4%). The Classified Loan Ratio in FI sector is also at par with banking sector. However due to two three FIs the image of the sector has got somewhat tarnished,” he added. He expressed his optimism that by solving the ongoing liquidity crunch in the sector with the help of Government and Bangladesh Bank, FIs will come forward to extend hand for the restoration and ressuraction of businesses of their affected clients.
Leaders of non-bank financial institutions (NBFIs or FIs) on Tuesday at a press conference said they would come forward to revive the country’s economy in the face of ongoing COVID-19 crisis by addressing on liquidity crunch, enhancing internal capacity and governance and supporting development of bond market.
The newly appointed committee members of Bangladesh Leasing and Finance Companies Association (BLFCA) made the remarks at the first online press conference of the association, said a press release.
Highlighting the performance, contribution and challenges of the financial institutions, BLFCA Chairman Mominul Islam, also Managing Director and CEO of IPDC Finance Limited, said, “NBFIs have been contributing to the socio-economic development of the country for past few decades. Currently 33 financial institutions with their 276 branches and 8,358 officers are serving 255,000 customers across the country. As of December 2019, our outstanding loan is over 67,000 crores, the lion share of which goes to industrial term loan, SME finance and housing finance helping more than 100,000 job creation ecery year.”
“The capital adequacy ratio of the FI sector is healthy at 16.9% while the the same for banking sector is 11.6% while return on asset in NBFI scetor is more than double vis-à-vis banking sector (1.0% vs. 0.4%). The Classified Loan Ratio in FI sector is also at par with banking sector. However due to two three FIs the image of the sector has got somewhat tarnished,” he added. He expressed his optimism that by solving the ongoing liquidity crunch in the sector with the help of Government and Bangladesh Bank, FIs will come forward to extend hand for the restoration and ressuraction of businesses of their affected clients.
