First Security Bank Ltd
First Security Bank Ltd incorporated as a commercial bank on 29 August 1999 and
received permission to conduct banking business from the BANGLADESH BANK on 22
September 1999. It started banking operations on 25 October 1999 with an authorised
capital of Tk 1 billion divided into 10 million ordinary shares of Tk 100 each. The paid
up capital was Tk 400 million, of which the sponsor directors and the sponsor
shareholders paid Tk 200 million. The rest are on offer to the general public.
The three innovative schemes introduced by the bank are the Monthly Savings Scheme,
Monthly Benefit Savings Scheme and Advance Savings Scheme. Deposits of the bank
totaled Tk 1,484.9 million on 31 December 2000. Interest rates offered by the bank on
various deposits varied between 8.25% and.50%. The bank had no borrowings from other
banks and financial institutions during the 16 months of its operations up to December
2000. In 2000, the bank paid Tk 91.4 million as interests on deposits.
The gross amount of loans and advances of the bank at the end December 2000 stood at
Tk 868.3 million. The earned interest income in 2000 accounted for Tk 130.3 million.
Most of its loans and advances were provided as house building loan, secured overdraft,
staff loan and inland bills purchased. Investments of the bank other than loans and
advances in two years of its operation up to December 2000 were in government
TREASURY BILLs and PRIZE BONDs. Total assets of the bank were valued at Tk 1,788.3
million at the end of 2000. The bank earned a net profit of Tk 7.8 million in 2000
The volume of foreign exchange business of the bank was Tk 1,015 million in 2000,
which were in export servicing, import financing and remittances. The bank has
correspondent relationships with 50 foreign banks and other financial institutions.
The management of the bank is vested in a 19-member board of directors with the
managing director as the chief executive. The bank has 4 branches and 147 employees
including the executive officers.
Collection from The Banglapedia.
Abdur Rab (forhad)
Department of Public Administration.