A Study into the “Non-Formal & Voluntary Banking Services” of SIBL of Bangladesh: chapter: 10 (Ten): Voluntary Banking Services of SIBL and Major Findings and Recommendations

A Study into the “Non-Formal & Voluntary Banking Services” of SIBL

Chapter–TEN: Major Findings and Recommendations

10.0 Findings

Finding comes after calculation and evaluation of data and information which

collected for research purpose. As my topic is Non-formal and Voluntary

Banking Services of SIBL, I tried my best to find out the problems or lacking

while preparing this Internship report. The findings are shown as gradually-----

--------

The investment amount in Family Empowerment Micro-Credit Program is not

sufficient to alleviate the poverty from the society. The outstanding amount in

Family Micro Credit and Micro Enterprise Investment is very low and the

recovery rate is very much high and satisfactory. Despite that the Bank is

inclined to make investment to the corporate sector except in Family

Empowerment Micro Credit and Micro Enterprise program. Although the

investment amount is increasing in Small and Medium Enterprise (SME) but it

is not satisfactory and enough to fulfill the demand. Specially in Principal

Branch the amount of Investment in Micro Credit, Micro Enterprise and SME

is lower than the demand. On the other hand the Cash Waqf Certificate

Account is a very appreciate and good initiative of the Bank undoubtedly. The

deposited amount in Cash Waqf Certificate is satisfactory and appreciable.

The deposited amount in Cash Waqf Account in Principal Branch is higher

than that of any other branch. The expenditure in Corporate Social

Responsibility (CSR) is less amount than that of other banks. But it is good

news that the amount of expenditure in CSR is increasing day by day to keep

hand in the development and assists the needy people who really deserve

this.

It can be stated that the amount of investment in Micro Credit, Micro

Enterprise and above all SME is reducing day by day due to the

inclination to make investment in corporate sector with the ambition of

higher profit. But this is leading the Bank away from its main objectives.

And the Customer service is not strong and satisfactory of the bank as

well. Bank is lagging behind due to smart, energetic and modern well

furnished personnel. And the bank’s internal environment is not well

equipped and ordered. Bank has no adequate logistic support and

technology advancement.



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10.1 RECOMMENDATIONS:

On the basis of the above findings, I have made the following

recommendations that SIBL may take into considerations in order to exploit

the potential Family Empowerment Micro-Credit and Micro-Enterprise and

above all SME market.



 SIBL should grow well and standard banking behavior among the

personnel and in environment of the bank. This can be done by employing

specialized in banking or graduate in business studies who know banking

and customer satisfaction and service very well

 SIBL has to increase the number of SMEs Service centers to bring

the SME banking services to the needy and root level people who actually

need SME finance to bring standard in life and to create social development.

SME Service Centers should be increased to meet the customer queries &

demands.

 Employees in the branch level should be more dedicated to their

services especially in SME financing.

 The Gap between SME Manager and SME Relationship Manager

should be reduced in Branch level.

 The Gap between Head Office and Branch should also be reduced

to be more competent in SME Financing.

 Submission of CIB report needs to be submitted more quickly to

reduce the loan processing time.

 There are some hidden cost exists in SME Financing. It should be

reduced for betterment of the client’s.

 Loan documentation process takes more time. It should be reduced

to make the transaction convenient to the client’s.

 Most of the SME client’s are illiterate or poor. That’s why;

employees should show more dedicated behavior with the client’s.

 Needs to train up the employees in SME Financing.

 Arranges workshop, Seminars.

 Let some initiatives to make the people educated regarding SME

products and Services.

 Needs to provide more diversified SME products.

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 Logistic support should be ensured into the banking

 Technically Bank should be well established to accompany with the

customer demand and expectation about banking services

 Bank needs to finance more in SME sectors. It’s not only fulfill the

social development but also raise their slogan go ahead: “Working together

for a Caring Society”.

 The knowledge level of personnel should be accelerated

 New Family empowerment micro credit and micro enterprise

products should be created to go with the modern and changeable demand

 The amount of disbursement in Micro Credit and Micro Enterprise

programs should be increased

 To make awareness among the people about Micro credit and

Micro enterprise program

 Customer service oriented people should be recruited to provide the

first customer service

 To bring technological change into the organization and into the

system to make the customer and employees satisfied

 To recruit the people who are efficient and well educated in banking

arena.





Above all the recommendation to the government and concerned with the

above sector is as follows-------

The government should enhance the amount of fund for SME and Micro

Enterprise to alleviate the poverty and to implement its election manifesto and

Millennium Development Goal (MDG). Government should establish a full-

fledged Bank or Institution to enhance the credit in Micro Credit and SMEs

sector. The administration level of the government should be corruption free

to achieve the poverty alleviation goal. Above all the government should come

forward to bring progress in micro credit and SME through financing and

technological development and to create market for this sector’s production.









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