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1.1 An overview of Eastern Bank Limited

Eastern Bank Ltd. came into reality in the new democratic environment of Bangladesh with a vision to
create a brand in financial arena of the country. Being established in 1992 EBL has proved itself as one of
the most valuable financial institutions in the meantime. The Bank was established by leading business
personalities and eminent industrialists of the country with stakes in various segments of the national
economy. Now its a leading commercial bank in private sector. Especially its leading in corporate
banking and achieving steady growth in consumer and SME funding.
Eastern Bank Limited is run by a team of efficient professionals. They create and generate an
environment of trust and discipline that encourages and motivates everyone in the Bank to work together
for achieving the objectives of the bank. The culture of maintaining congenial work and environment of
the bank has further enabled the staff to benchmark themselves better against management
expectations.
Now EBL offers a wide range of depository, loan and card products to cater virtually for every customer
segment. From Student Banking to Priority Banking to Platinum card EBL has almost all banking products
in its repertoire. The product basket is rich in content featuring different types of Savings & Current
Accounts, Personal Loans, Debit Cards, Credit Cards, Pre-paid Cards, Internet Banking, Corporate
Banking, SME Banking, Investment Banking, Treasury & Syndication services. The customers are served
through a network of 71 Branches, 158 ATMs and 42 Billspay countrywide. EBL has its presence in 11
major cities/towns in the country including Dhaka, Chittagong, Sylhet, Khulna, Rajshahi & Coxs
Bazar. Some significant facts about EBL are
EBL is the first bank in Bangladesh to go online.
EBL is the first ever local bank to finance Aircraft purchase deal of Biman Bangladesh Airlines.
EBL generates highest profitability per employee in Bangladesh Banking sector.
EBL launched first ever Bank- sponsored Mutual Fund in Bangladesh.

1.2 Historical Background of EBL

Eastern Bank Limited started its business as a public limited company on August 8, 1992 with the primary
objectives to carry on all kinds of banking business in and outside of Bangladesh and also, with a view to
safeguard the interest of the depositors of erstwhile BCCI (Bank of Credit and Commerce International)
under the reconstruction Scheme, 1992, framed by Bangladesh Bank. Under the Scheme, EBL has taken
over the entire business assets, cash and liabilities of erstwhile BCCI in Bangladesh, with effect from 16
th

August 1992. EBL stood after the reduction or adjustment in accordance with the provisions of the BCCI.
EBL started its business as scheduled bank from August 16, 1992 with four branches, which includes
Principal Branch, Dhaka; Motijheel Branch, Dhaka; Agrabad Branch, Chittagong and Khulna Branch.
EBL has started its business with a motto to grow as a leader in the banking arena of Bangladesh through
better counseling and effect service to clients and thus to revitalize the economy of the country. EBL
resumed its operational activities initially with an authorized capital of Tk. 1000 million into 10 million
shares of Tk. 100 each and paid up capital of Tk. 310 million. During 1994, the paid up capital has
increased to Tk. 600 million but the authorized capital remains unchanged at Tk. 1000 million. The first
Board of Directors of EBL constituted by the Govt. of Bangladesh, consisted of 7 directors from various
business and professions. In 2001, the board of directors brought in new professional management from
various foreign banks who have been trying to modernize the bank ever since.
1.3 Vision
To become the most valuable brand in the financial services in Bangladesh creating long-lasting value for
our stakeholders and above all for the community we operate in by transforming the way we do business
and by delivering sustainable growth.
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1.4 Mission
We will deliver service excellence to all our customers, both internal and external.
We will ensure to maximize shareholders' value.
We will constantly challenge our systems, procedures and training to maintain a cohesive
and professional team in order to achieve service excellence.
We will create an enabling environment and embrace a team based culture where people
will excel.


1.5 Objectives
Maximization of profit along with the benefits of employees is the main objective of the bank. In addition,
other objectives are -
To be the market leader through high quality banking products and services
Achieve excellence in customer service through providing the most modern and advanced state-
art technological in the different spheres of banking
Cater to a broader and differentiated segment of retail and wholesale customers
To grow its credit extension service to the commercials as well industrial sector
To increase its diversification of loan portfolio and geographical coverage


1.6 Values
Service Excellence
Openness
Trust
Commitment
Integrity
Responsible Corporate Citizen


1.7 Strategic Priorities
Integrate sustainability principles into business strategy.
Promote a culture of vitality and learning for sustainable performance by the employees.
Shift to values-based marketing, focusing more on human aspirations, values, and spirit.
Strengthen internal controls through clearly laid down policies, procedures and processes.
Pursue a moderate asset growth keeping the asset quality intact.
Optimize funding mix to reduce cost of fund.
Accelerate deposit growth by offering innovative products.
Create customer-friendly culture through state-of-the-art IT solutions supported by highly-skilled
operations team.












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1.8 EBL Organogram

1.9 Organizational divisions of EBL
Business divisions
Business Divisions are divisions which earn revenue for EBL. The business divisions of this bank are as
follows -
Corporate Banking: Corporate Banking Division is responsible for bringing corporate clients by meeting
their various needs. The whole corporate division is divided into two broad areas, Area 1 that comprises
Dhaka and Outstation Branches and Area 2 comprising Chittagong branches. The management hierarchy
of the Corporate Banking is given below:
The broad functions of this division are as follows:

Targeting corporate clients and building business relationship with them
Designing customized service for the clients and evaluating their financial strength.
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Consumer Banking: The consumer banking division deals with the financial needs of all the individual
customers of the bank. The main functions of this division are:
Settlement of accounts.
Identifying individual needs of the customer and thus helping design products that will meet their
need.
Providing locker services.
Providing consumer loans.
SME Banking: Small and Medium Enterprises (SME) in Bangladesh contributed 25% of gross domestic
product (GDP) and 80% of the industrial jobs of the country in 2011. EBL SME division offers loan
products like EBL Puji, EBL Asha, EBL Udyog, EBL Mukti (for women entrepreneurs) etc. SME also offers
exclusive current account solution named EBL Banijjo.
The main objectives of the SME division of EBL are
Provide SMEs with easy access to financing.
Deliver products that ensure superior returns to our customers.
Orient customers with industry trends, regulatory issues etc, for their success.
Support divisions
The support divisions do not earn revenue directly, but they play vital role for the functioning of banking
activities. The support divisions in EBL are -
Credit Risk Management: The primary objective of this division is to evaluate the credit worthiness and
debt payment capability of present loan customers and loan applicants. This department keeps track of
credit portfolio by obtaining regular information from branch. CRM division also monitors the various loan
accounts of the branches and prepares various statements for Bangladesh Bank.
Credit Administration Division: CAD is the division that disburses the loans finally for corporate and
SME sector. It also takes lien of the securities. The aspects that are critically tracked and monitored are -
Credit expiry
Past dues
Excess over limit
Loan documentation
Trade Services: Trade service is a major operational department of EBL. It deals with issues regarding
to export, import and guarantees. It performs the job of financing and facilitating foreign trade.
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Human Resources Division: The employees are Eastern Banks most valuable resource. Employees
are recruited with sound academic background and wherever needed proper training is given to the
employees after recruitment to equip them for their responsibilities. The Mission of Human Resource
division (HR) is to make EBL the Employer of Choice.
The main functions of the division are
Building employer image
Staffing
Training& development
Performance appraisal of employees
Information Technology Division: In 2001, when the new management took over, they gave huge
emphasis on computerizing the banks operations. At present the IT department serves the following
functions:
Development of software for banks operation according to need, their maintenance and purchase
of new software.
Maintenance of computer hardwares and upgrading the PCs whenever required.
Training the staff so that they can perform on the automated environment.
Administration division: This department looks after the administrative matters and supply of all
tangible goods to the branches. Some of the main functions of the division are as follows:
Make arrangement for branch opening such as making lease agreement, internal decorations etc
Print all security papers and bank stationery
Purchase stationery items and distribute it to the branches
Advertise in the different media about tender notice, general meetings and public interest.
Audit & compliance division: The main function of this division is to provide legal assistance to the
branches and to ensure strict adherence of rules and policies by all concerned officials of the bank
through routine and surprise inspection and audit.
Finance & accounts division: The main functions of EBLs finance & accounts division are
Maintain daily liquidly position, treasury bills, call money etc.
Preparation of statement of accounts and profit and loss account for the bank and annual report
of the bank.
Weekly deposit and fund analysis.
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Special Asset Management division: Special Asset Management Division (SAMD) deals with all the
classified accounts in the bank loan portfolio, mainly accounts which have fallen into substandard,
doubtful and loss category.

1.10 Financial Condition of EBL

Financial Highlights
Particulars
(Figures in BDT million)
2013 2012 Change (%)
Performance during the year
Net Interest Income
Non Interest Income
Operating Income
Operating Profit
Profit After Tax

3,314
4,478
7,793
5,107
2,521

2,973
3,487
6,461
4,410
2,425

11.47%
28.42%
20.62%
15.82%
3.96%
Yearend financial position
Loan
Investments
Deposits
Shareholders equity
Total Asset

81,774
16,910
75,536
14,407
117,581

58,607
9,827
56,425
12,084
82,098

39.53%
72.08%
33.87%
19.23%
43.22%
Information per ordinary share (Tk)
Earnings per share
Dividend (%)
Price earnings ratio (times)
Net asset value per share
Market price per share

5.57
35%
11.82
31.82
65.80

5.36
55%
24.16
41.37
129.40

3.92%
-36.36%
-51.08%
-23.08%
-49.15%
Ratios (%)
Capital adequacy ratio
Nonperforming loans
Cost to income ratio

10.77%
1.91%
34.46%

10.81%
1.99%
32.10%

-0.37%
-4.30%
7.35%

2. Corporate Governance Practices in EBL
2.1 Conceptual Framework
Corporate governance (CG) is the system of principles, policies, procedures and clearly dened
responsibilities and accountabilities framed to overcome the conicts of interest inherent in the corporate
form. Corporate in todays business world is subject to a variety of conicts of interest due to its inherent
complexities in forms and structures. So, two major objectives of corporate governance can be:


To eliminate or mitigate conicts of interest particularly those between management and
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shareholders.

To ensure that the assets of the company are used efficiently and productively and in the best
interests of its shareholders and other stakeholders.

2.2 EBLs Stakeholders
EBL understands the essence of looking at their business from the stakeholders viewpoint and nding
areas where agendas overlap so that they can remain mindful about the impacts on their diverse
stakeholders group while setting the priorities. The bank defined stakeholders as groups or individuals
who are affected by or can affect the achievements of banks objectives. EBL constantly engage with
diverse range of stakeholders in different forms, from ongoing dialogue to direct feedback requests. They
value all reasonable feedback and try to balance the overlapping interests of their various stakeholders as
their support is necessary for the long term success. Major groups of stakeholders for EBL are as follows:

2.3 Guiding Philosophy of Corporate Governance Practices
As a Bangladesh-incorporated bank, EBL is guided in its corporate governance practices mainly by two
regulatory bodies: Bangladesh Bank (Central Bank of Bangladesh) and Bangladesh Securities and
Exchange Commission (BSEC).

2.4 Structure of the Board
According to Clauses 94 of the Articles of Association of Eastern Bank Limited, the Board of Directors is
currently constituted with 11 directors among whom 10 (ten) are Non-executive directors including the
Chairman and 1 (one) is the Managing Director (Ex-Ofcio). All the Directors of EBL except the Managing
Director & CEO are Non-Executive Directors including the Chairman. The existing BoD of the Bank
includes two Independent Directors as prescribed in the BSEC Corporate Governance Guidelines (No.
1.2), and Section 15 of Bank Company Act 1991 (Amended up to 2013).

2.5 Ownership Composition
As on 31 December 2013 the Directors of Eastern Bank Limited held 31.57% of total shares whereas
Financial Institutions and General Public is holding 11.49% and 56.94% respectively:

31-12-2013 31-12-2012
Sl. Composition No. of shares
held
% of total
shares
No. of shares
held
% of total
shares
1 Directors 192,923,886

31.57%

192,923,886

31.57%

2 General Public

348,023,246

56.94%

342,083,464

55.97%

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3 Financial Institutions

70,232,653

11.49%

76,172,435

12.46%

Total

611,179,785

100.00%

611,179,785

100.00%




2.6 Separation of Chairman and Chief Executive Officers Roles

In compliance with Bangladesh Bank BRPD Circular No. 11 and Circular Letter No. 18 dated 27 October
2013 and Clause 1.4 of BSEC CG Guidelines dated 07 August 2012, we report that the Chairman of the
Board Mr. M. Ghaziul Haque has been elected from among the Directors and there are clear and dened
roles and responsibilities of the Chairman and the Chief Executive Ofcer Mr. Ali Reza Iftekhar.

2.7 Responsibilities of the Chairman of the Board

Ensure that the Board sets and implements the Banks direction and strategy effectively.

Act as the Banks lead representative, explaining aims and policies to the Shareholders.

Ensure no participation in or interfere into the administrative or operational and routine affairs of
the Bank.


2.8 Roles and Responsibilities of the Board of Directors

Work planning and strategic management

Lending and Risk Management

Internal Control Management

Human Resources Management and Development

Financial Management

Formation of Supporting Committees

Appointment of Independent Directors

Appointment of Alternate Directors

Appointment of Managing Director & CEO

2.9 Roles and Responsibilities of the MD & CEO

Manage the operation of the Bank safeguarding interests of customers and other stakeholders in
compliance with the highest standards of ethics and integrity;

Implement the policies and strategic direction established by the Board;

Establish and maintain a strong system of internal controls;

Ensure that the Banks compliance with applicable legal and regulatory requirements
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2.10 Annual Appraisal of the Boards Performance
At AGM shareholders critically appraise the performance of the Board freely through evaluation of
nancial position and performance of the bank, its adequacy and effectiveness of internal control system
and overall governance mechanisms. The shareholders also raise their queries to the BoD in AGM and
the Chairman of BoD duly makes responses on the said queries.




AGM Date Particulars No. of Shares* Volume in Taka Cumulative paid
up capital in Taka
30 March 2010 17% Bonus Share

42,439,140

424,391,400

2,920,811,400

30 March 2011 17% Bonus Share

160,644,627

1,606,446,270

4,527,257,670

29 March 2012 17% Bonus Share

158,454,018

1,584,540,180

6,111,797,850

31 March 2013 20% Cash
Dividend

- - 6,111,797,850

31 March 2014 20% Cash
Dividend

- - 6,111,797,850

*Face value per share of BDT 10 has been considered in all the cases to conform to comparability.


2.11 Annual Evaluation of the MD & CEO by the Board
The Board of Directors of EBL clearly dened and approved the roles, responsibilities and duties of Chief
Executive Ofcer (CEO). Based on these assigned responsibilities, BoD makes annual evaluation of MD
& CEO. Furthermore, the performance evaluation of the MD & CEO is done by the Board through various
reports like nancial position and performance report of the Bank, knowing update of various assignments
given by the Board to the CEO and the Management from time to time and doing variance analysis of
Budget with Actual result and steps taken by CEO to achieve the Budgeted target. Among the nancial
parameters, NPL ratio, Growth of Loan & Deposit, Cost to Income Ratio, Loans write off and its recovery,
Capital Adequacy Ratio, Credit to Deposit Ratio etc. are the common ones.

2.12 Board Committees and their Responsibilities
To ensure good governance i.e. corporate governance in bank management, Bangladesh Bank issued a
circular (BRPD Circular No. 11 dated 27 October 2013) wherein it restricted banks to form more than
three committees or sub- committees of the Board.
To ensure proper accountability and transparency through due diligence, EBL has three Board
committees namely Executive Committee, Audit Committee and Risk Management Committee mainly to
oversee and direct the operations, performance and strategic direction of the Bank.

The Executive Committee (EC)

Appointment and Composition
In Compliance with Section 15B (2) of The Bank Company Act (amended up to 2013) and BRPD Circular
No. 11 dated 27 October 2013, the Board of Directors of EBL has re- constituted the Executive
Committee (EC) of the Board in 2013 with four members (maximum limit is seven members). None of
them are the members of Audit Committee of the Board. The Company Secretary acts as the secretary of
the committee. The EC is comprised of 3 (Three) NonExecutive Directors and Managing Director of the
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Bank

Meeting and Responsibilities of EC
The EC of a larger sized BoD usually acts as a proxy for full BoD, can attend a meeting with short notice
and take decisions to ensure smooth ow of banking businesses. However, any decision taken by the
committee has to be subsequently ratied by the full Board. Since the current size of the Board of EBL
(11 members including MD & CEO) is slim enough to hold two meetings in a month on a regular basis,
there were not so many urgent issues for EC to deal with during 2013. Hence, only one EC meeting was
held during the year 2013.


Audit Committee (AC)

The Audit Committee of the Bank carries out its functions based on the Terms of Reference (ToR)
approved by the Board and is accountable to the Board of Directors of the Bank. The quorum of the AC
meeting shall not constitute without at least 01 (one) Independent Director. The Company Secretary acts
as the secretary of the committee.

Appointment and Composition

In compliance with Bangladesh Bank BRPD Circular No.11 dated 27 October 2013, Audit Committee
(AC) of EBL Board has been re-constituted by the BoD in November 2013 to review and oversee
companys nancial reporting, non-nancial corporate disclosures, internal control systems and
compliance to governing laws, rules and regulations etc. independently.

Chairman of the AC

The Chairman of the AC is an Independent Non- executive Director who performs his duties with full
freedom.
Members are Non-Executive Directors

All members of the AC are Non-executive Directors. No Executive of the Bank is eligible to become a
member of the AC. Also, no member of EC has been nominated as the member of the AC.

Qualication of Members of AC

All members of the AC are nancially literate and one member has post-graduation degree in Accounting.
Moreover, all members of the AC have reasonable knowledge on banking business, its operations, and
risks involved in it.

Objectives and Activities of the AC

The AC regularly reviews the internal control systems of the Bank and also reviews along with the
management, the quarterly, half yearly and annual nancial statements of the Bank before submission to
the Board for approval. The objectives and activities of the AC have been
described in Report of the Audit Committee section of this annual report.

Meeting of the Audit Committee

The Audit Committee of EBL held 12 (twelve) meetings in the year 2013 and had detailed discussions
and review session with the Head of Internal Control & Compliance, Head of Internal Audit, External
Auditors etc. regarding their ndings, observations and suggestions with corrective measures on the
related areas and on other issues of Bank affairs that need improvement. The AC instructed the
management to follow those suggestions and monitored accordingly from time to time. The Minutes of the
Audit Committee Meetings containing various suggestions & recommendations to the Management and
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the Board are placed to the Board for ratication on a regular basis. The major areas focused by the AC
during the year 2013 have been presented in Report of the Audit Committee section of this annual
report.

The Risk Management Committee (RMC)

Appointment and Composition

In Compliance with BRPD Circular No. 11 dated 27 October 2013, the Board of Directors of EBL has
constituted, for the rst time, a three members Risk Management Committee (RMC) of the Board on 07
November 2013 (maximum limit is ve members). The RMC has been formed to reduce probable risks
which could be arisen during implementation of Board approved policies, procedures and strategies. The
RMC is entrusted to examine and review whether management is properly working on identication,
management and mitigation of credit risk, foreign exchange risk, internal control and compliance risk,
money laundering risk, information and communication technology risk, operation risk, interest rate risk
and liquidity risk and keeping adequate provision and capital against the said risks.

Responsibilities of RMC

It is the responsibility of RMC to identify and assess risk of the bank and guide management to formulate
strategies for minimizing/ controlling of risk. The committee shall review the risk management policy of the
bank and modify the same as per requirement.

For controlling of risk, it is the responsibility of RMC to ensure suitable administrative structure at the
bank. To ensure the compliance of risk management guidelines relating to credit risk, foreign exchange
risk, internal control and compliance risk, money laundering risk and information and communication
technology risk, the RMC shall form separate committees at the management level and also monitor their
activities.

RMC shall review the risk management policy and guidelines of the bank at least once in a year, make
necessary modications as per requirement and submit the same to the Board for approval. Besides, the
committee shall review the approval limits of loan and others and take necessary initiatives to modify the
same as per requirement.

The committee shall review and examine the system regarding preservation of information and reporting
of the management and made approval of the same.

The committee shall monitor the overall implementation of risk management policy of the bank and also
examine whether remedial measures have been taken for minimization of credit risk, market risk and
operation risk of the bank.


Meeting of the RMC

The committee is entitled to conduct at least four meetings in a year and call meeting at any time as per
requirement. The committee can call the chief executive, chief risk ofcer or any executive to attend the
committee meeting.

2.13 Appointment of External Auditors

The Board of Directors of EBL in the 21st AGM held on 31 March 2013 appointed Hoda Vasi Chowdhury
& Co., Chartered Accountants (an Independent Correspondent Firm to Deloitte Touche Tohmatsu) as the
statutory auditors for the year 2013.

2.14 Ethics and Compliance
Code of Conduct and Ethical Guidelines
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Compliance of Code of Conduct and Ethical Guidelines
Effective Anti-Money Laundering and Anti-terrorism Program
Whistle blowing and Anti-Fraud Program



2.15 Communication to Shareholders and Other Stakeholders
Policy on Communication with Shareholders and Other Stakeholders

The Share Department (which is under the Board Secretariat) of the Bank plays an instrumental role to
make effective communication with its shareholders and other stakeholders. Shareholders and other
stakeholders of the Bank may contact to this Department within ofce hour for any sort of information and
queries. Common services include but not limited to allow or rejection of transfer or transmission of
shares, issue of duplicate certicates, allotment of shares issued from time to time, opening and operation
of bank accounts for payment of dividend, redemption of paper shares and the listing of securities on
stock exchanges etc. Furthermore, EBL provides updated information in its website from time to time for
the shareholders and other stakeholders of the Bank.


Policy on Ensuring Participation of Shareholders at AGM

To ensure effective and efcient participation of shareholders in AGM, EBL publishes notice of AGM in
daily newspapers with necessary details within reasonable time-frame. The arrangement of AGM
normally takes place in a well-known place and at convenient time. Annual Reports are circulated as per
the provision of Companies Act 1994, so that shareholders would get sufcient time to go through the
report and freely provide their valuable comments and suggestions in the AGM.

Redressal of Shareholders Complaints

Any complaint, received at AGM or throughout the year, related to transfer and transmission of shares,
non- receipt of Annual Reports, and dividends timely and other share related matters is resolved lawfully
in time.
The Company Secretary of EBL plays the role as a Chief Compliance Ofcer in handling any such issue
related to their shareholders, investors etc.

2.17 Environmental and Social Obligations
EBL believes that every small GREEN step taken today would go a long way in building a greener
future. As an environment responsive Bank the bank initiated Go Green campaign. EBL is the rst Bank
to claim renance from the Central Bank for carbon credits.



2.18 Management committees and their responsibilities



In an effective CG structure, corporate/bank management has a collective mandate under the leadership
of MD & CEO to carry out daily operations to the best interest of the shareholders. Besides conventional
segregation of functional departments, EBL has some designated committees entrusted with specic
MANAGEMENT
COMMITTEES
MANCOM EMT BRMC ALCO BORC PC
BASEL III
COMMITTEE
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objectives:

Set or review vision, mission and strategies of the Bank as a whole and for business units for
effective discharging of management responsibilities.

Strategic and tactical decisions relating to business, credit, operations, administration, HR,
internal and nancial control and compliance etc.

Analysis of business and nancial performance of the Bank.

Review and discuss policies and procedures of the Bank and make changes if necessary before
taking to the Board (if needed).

Finalize periodic (usually once in a year) employee performance appraisal and promotions.


Discuss and approve Budget before forwarding to Board.

Consider and propose innovative projects, products and services as well as management
methodology and business strategies to the Board of Directors (if needed).

Acting Managing Director can preside over the MANCOM meeting in absence of MD.

2.19 Internal Controls: the watchdog of transparency and accountability

Effective internal control system results in better risk management practices in terms of identication,
measurement, monitoring and mitigation of risks. Internal Control and Compliance (ICC) Division of EBL
continually recognizes and assesses all of the material risks that could adversely affect the achievement
of the Banks goals. The Head of ICC has dual reporting lines to CEO and Audit Committee of the Board
and thus acts as a bridge between management and Board. ICC acts as a watchdog to ensure safe,
sound and compliant operations of the Bank. It keeps informed the management and Board (where
necessary) with any relevant update which is not routinely covered by nancial reporting and other non-
nancial disclosures.

Based on the size of the Bank and its requirement ICC of EBL comprises of four units i.e. Operation Risk
Unit, Compliance Unit, Internal Control (it comprises audit unit) Unit and Legal Unit.

2.20 CSR activities of EBL
EBL actively embraces its role as a corporate citizen. It regards Corporate Social Responsibility (CSR)
not a charity, but an investment in society and in its own future. EBLs goal as a responsible corporate
citizen is to build social capital. The Bank leverages its core competencies in different areas of activity:
through social investments it aims to create opportunities; with its involvement in art and music it fosters
creativity; via its educational grant program it enables talent; through its commitment to sustainability it
ensures long term viability, and the Banks employees regularly participate in activities that provide social
support.
EBL believes that every small Green step taken today would go a long way in building a greener future
and that each one of us can work towards a better global environment. Thats why the bank has
introduced a whole new concept called Green Banking which mainly focuses on less energy usage for to
ensure Sustainable Banking.
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Education
If you want to change the world, invest in Education

EBL promotes talented young people and give them a fair chance because we are convinced that
education is the most important resource for ensuring the future of societies. EBLs goal is to give children
and young people from underprivileged families the opportunity to successfully complete high school or
vocational training through targeted programs. At the same time, EBL would like to help them build their
own social networks. The banks commitment to cultural education helps young people discover their own
creative potential, develop skills and build confidence and in the area of academic development, EBL
contributes to the lively dialog between research and practice. Recognizing education as a focus area of
the banks CSR activities, EBL continued to award scholarships to 300 deserving students from 72
departments of University of Dhaka under EBL-DUAA Inspiration financial grant program. This year,
there were 37 differently able students among this group. EBL salutes their spirit and is privileged to
honor these young achievers.

Snapshots of the 4th EBL-DUAA Scholarship Program 2010-11

Having continued interest in the development of education, EBL donated BDT 1.5 million and more than
30 computers to various schools and educational institutions. EBL is planning to initiate a financial grant
program for the disadvantaged women. The scholarship will be given in joint collaboration with Prothom
Alo. Under this scheme, EBL will bear the cost of 4 meritorious girls in their education till post-graduation.
A total of Taka 8 lacs will be given to these 4 girls to pursue their higher education. EBL believes in
human capital development and competencies and are committed to improving educational opportunities
for the future generation.

Health
EBL contributed to Bangladesh Thalassemia Foundation to promote the control of thalassemia through
awareness-raising campaigns and to ensure the availability of appropriate treatment to patients with
thalassemia in Bangladesh. EBL has donated BDT 5 lacs to Sylhet Diabetic Association for procuring
ophthalmic microscope. EBL believes that good health is a key to rapid socio-economic development of
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the country; the bank has donated large volumes of equipment and facilities to various hospitals across
the country to underline its commitment to quality health care delivery in Bangladesh. Like other
countries, Bangladesh is also affected by the burden of autism, a long time neurological disorder that
limits childs power to communicate and react, but the total number of autistic individuals is not known.
Conservative statistics, however, say Bangladesh has an estimated 150,000 autistic children, who needs
special care, fund allocation and management to turn them into human resources. Proyash, an institution
runs by Bangladesh Army, is dedicated to the wellbeing of persons and children with special needs
through education and training. The institute is also working to generate awareness about disability in
Bangladesh; develop quality teachers, therapists and caregivers; and empower persons with disability to
ensure equal opportunities and promote disability friendly right based society. EBL has been working with
Proyash for a long time and has donated 10 computers. EBL has also donated BDT 2 Lacs to Proyash for
arranging event for autistic and disable children.

Environment
We dont own this world; we merely keep it safe for the next generation

Eastern Bank Ltd (EBL) are responsible corporate citizens. The bank believes that every small
'Green' step taken today would go a long way in building a greener future and that each one of us can
work towards a better global environment As an environment-responsive bank EBL initiated Go Green
campaign in the bank. After reducing the use of electricity and paper at the office, EBL is now gearing up
for carbon trading to show its commitment to environment-friendly funding.

EBL is the first bank to claim refinance from the central bank for carbon credits. EBL has reduced
electricity consumption by 33 percent and paper use by 40 percent in 2011. Four branches and six
automated teller machines of the bank are run on solar power.

EBL is the first among the commercial banks, who has signed a participation agreement with Bangladesh
Bank, to finance BDT 290 million worth projects under the Refinancing Scheme of Bangladesh Bank to
support solar energy, bio-gas and ETP projects. Under this scheme, EBL is financing a project of
Rahimafrooz Renewable Energy Ltd (RREL), a concern of Rahimafrooz Group, to set up a 12MW PV
solar panel assembly plant. This is first of its kind loan facility in Bangladesh. Through this renewable
energy financing, EBL will be able to positively contribute to transform the lives of 1 million people of the
most remote and off-grid areas by lighting up their homes. As a responsible corporate citizen, EBL likes to
be energy efficient and climate-responsive and practice what they preach.

Community Support
We support people who live in challenging social and economic conditions
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EBL supports people who live in challenging social and economic conditions to become independent of
foreign assistance and to shape their own lives and future as individually and independently as possible.
With projects to fight poverty, the bank focuses on strengthening local social structures in a sustainable
way. EBLs acknowledged expertise as a financial institution enables them to create opportunities for
many people. With ad-hoc donations, the bank provides quick, un-bureaucratic support for relief efforts in
disaster areas. And, lastly, the bank encourages employees to support their initiatives as corporate
volunteers and is proud that so many accept this commitment.

At the end of 2011, a massive cold wave hit the country leaving millions of poor people suffering without
sufficient winter clothing. EBL contributed blankets which were distributed at the affected areas of North
Bengal-especially at Nilfamari, Lalmonirhat and Dinajpur.

EBL distributed blankets among the poor and aged people during the cold spell

To fulfill a continued commitment for ten years, EBL contributed BDT 4.8 lacs to Prime Ministers Relief &
Welfare Fund every year to one family of a martyred army officer killed in BDR carnage.

EBL provided financial assistance to the victims of BDR Carnage

To promote emerging entrepreneurs EBL donated BDT 5 lacs to SAARC Chamber of Commerce and
Industry to hold a convention of young men & women entrepreneurs.

Art and Culture
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We are rooted in our art and culture

EBL believes art and culture are the essence of a nation and its identity. The bank is passionate about
our patronage of music, sports and art and culture. For years, EBL has promoted promising young artists
and, at the same time, has given a broad audience access to experience art and music. EBL in
collaboration with Bengal Foundation organized Praner Khela, a musical soiree with eminent Bangla
artists at Bengal Gallery on a regular basis. This is a unique event in nature and has been much
appreciated by the listeners. EBL has been sponsoring the event for over last one and half year and to
continue in the coming days. EBL is not just a patron of music. For long it has been the patron of arts in
this country, promoting fine arts, literature and culture. EBL has been sponsoring art camps and
exhibitions on a regular basis. EBL has a rich treasure of art works by leading artists of Bangladesh in its
permanent collection. After all, what good is business if the bank does not promote music, sports and art
and culture in the society they operate in?

Other CSR campaigns
EBL also conducts some other categories of CSR campaigns such as
Social welfare
Donation to Prerona, an organization for publishing childrens book for blind children.
Donation to Uddipon Biddalaya, an institute working with underprivileged children.
Eastern Bank Ltd. (EBL) donated a Microbus to Dhaka Metropolitan Police (DMP) on
Monday, 15th November, 2010 at DMP Head Quarter in a simple ceremony.
Donated to Dhaka Metropolitan Police for arranging Traffic Awareness Month 2008; Forest
Ministry for arranging Tree Week.
Disaster relief
Donation and distribution of 50,000 liter clean drinking water and medicines at the Aila
affected areas of Satkhira & Khulna. An EBL team visited the remote areas by motorized
boats and directly distributed the water and medicines to the affected population of the areas.
Donation of Tk. 25 lac for the flood affected people in 2007.
Donation of Tk. 50 lac for the cyclone Sidr affected people in 2007
2.21 Limitations

Insufficient time for doing the project properly
Limited access to the internal data of the bank
Most of the findings are from external data
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2.22 Conclusion
Since the banking service especially the private Banks are doing good business, so it is clear that the
modern people are more concerned about the securing their valuable assets and get high quality and
timely services. For this reason lot of new commercial banks has been established in last few years and
these banks have made this banking sector very competitive, so now banks have to organize their
operation and do thir operations according to the need of the market. Banking sectors no more depends
on the traditional method of banking. In this competitive world this sector has trenched its wings wide
enough to cover any kind of financial services anywhere in this world. The major task for banks, to survive
in this competitive environment is by managing its assets and liabilities in an efficient way. From the study
above, it can be said that Eastern Bank Limited has managed to be one of the leading local banks in the
banking sector of Bangladesh. It has managed to provide full range of commercial banking services to its
corporate and retail customers, which includes deposit accounts, retail loans, debit cards, trade finance,
project and working capital finance, foreign remittance, loan syndication and corporate advisory, which
have been highly valued by its customers. The study was conducted on the proceeding of the activities
carried out by Eastern Bank Limiteds (EBL) corporate governance as the study concentrates towards the
management efficiency and the stakeholder and investors services. In spite of having many challenges,
adverse economic conditions and market pattern during the years, the bank tried to maintain its growth
trend through the indicators like strong management efficiency, proper corporate governance and their
timely services to their clients. On the basis convincing reasons, Eastern Bank Limited (EBL)
management believes that in the coming years the bank will try it s level best to sustain good corporate
governance and maintain rest of the years. With the current performance of the bank and they will
certainly make Eastern Bank Limited (EBL) one of the best private bank inBangladesh.