INVESTMENT MODES &

PROCEDURE OF ISLAMI BANK

BANGLADESH LIMITED

MUNSHI MIRAJUL ISLAM

ID: 142-11-3937
 OBJECTIVES OF THE STUDY

BROAD OBJECTIVE : THE PRIME OBJECTIVE OF THIS REPORT IS TO ANALYZE THE INVESTMENT
MODES AND PROCEDURES OF ISLAMI BANK BANGLADESH LIMITED.
SPECIFIC OBJECTIVES:
TO DEPICT THE PROCEDURES OF IBBL FOLLOW FOR LENDING TO THE CUSTOMER.
TO KNOW THE POLICIES OF INVESTMENT MANAGEMENT OF IBBL.
TO KNOW AND ANALYZE THE SECTOR-WISE INVESTMENT, MODE-WISE INVESTMENT,
GEOGRAPHICAL DISTRIBUTION OF INVESTMENT ETC. OF IBBL.
 OBJECTIVES OF ISLAMI BANK

TO OFFER CONTEMPORARY FINANCIAL SERVICES IN CONFORMITY WITH ISLAMIC SHARIAH

OPTIMUM ALLOCATION OF SCARCE FINANCIAL RESOURCES
TO HELP TO ENSURE EQUITABLE DISTRIBUTION OF INCOME
TO CONDUCT INTEREST-FREE BANKING
TO ACCEPT DEPOSITS ON PROFIT-LOSS SHARING BASIS
TO CONTRIBUTE IN ACHIEVING THE ULTIMATE GOAL OF THE ISLAMIC ECONOMIC SYSTEM
 DIFFERENT MECHANISM OF INVESTMENT

BAI-MECHANISM
SHARE MECHANISM
IJARA-MECHANISM
 INVESTMENT PROCESS OF IBBL

INDUCTION STAGE
APPRAISAL STAGE
SANCTION STAGE
DISBURSEMENT STAGE
RECOVERY STAGE
 RATIO ANALYSIS

CURRENT RATIO
1.13
1, 1.13

1.125

1.12

1.115

1, 1.11 1, 1.11
1.11

1.105
1, 1.1
1.1

1.095

1.09

1.085
1

2013 2014 2015 2016

 CASH RATIO
2016 2015 2014 2013

0.22

0.14

0.11

0.08

1
 ROA
0.018 0.018

0.016

0.014

0.012
0.012

0.011

0.01
0.01

0.008

0.006

0.004

0.002

0
2016 2015 2014 2013
 FINDINGS

MOST OF THE TIMES ENTREPRENEURS HAVE NO CLEAR CONCEPT ABOUT SHARIAH AND
INVESTMENT MODE.
IT IS OBSERVED THAT MAJOR INVESTMENT OF MIRPUR-10 BRANCH IS ON COMMERCIAL AND
INDUSTRIAL SECTORS AND MINIMUM AMOUNT OF INVESTMENT IS ON AGRICULTURAL SECTOR.
THERE IS A LACK OF SUFFICIENT INVESTMENT SCOPE OF IBBL, MIRPUR-10 BRANCH. SO, A LARGE
AMOUNT OF MONEY IS BEING IDLE, AS A RESULT, TARGET FOR PROFIT IS NOT FULFILLED
ACCORDINGLY.
IBBL ,MIRPUR-10 TAKES TOO MUCH TIME TO DISBURSE THE FUND.
THERE IS A FEW WOMEN IN MIRPUR-10 BRANCH TO DEAL WITH WOMEN.
 RECOMMENDATIONS

IBBL, MIRPUR-10 BRANCH SHOULD CONCENTRATE ON MINIMIZING THE DISBURSEMENT TIME

OF INVESTMENT SCHEMES TO PROVIDE BETTER SERVICES.
BY ARRANGING VARIOUS SEMINARS, IT CAN BE POSSIBLE TO COMMUNICATE WITH PEOPLE
ABOUT HALAL, HARAM & SHARIAH AND INFLUENCE THEM TO GO FOR HALAL BUSINESS.
IBBL, MIRPUR-10 BRANCH SHOULD APPOINT WOMEN INTERPRETER, WHO WILL DEAL WITH
WOMEN CUSTOMER AND AWARE OF THEM ABOUT THEIR ACTIVITIES.
HAVE TO INCREASE THE LIMIT OF INVESTMENT FOR THE BRANCH
INVESTMENT ON AGRICULTURE SHOULD BE INCREASED