Report on Performance Evaluation of a Private Commercial Bank

The main objective of this report is to evaluate the overall performance Evaluation of Export Import Bank of Bangladesh Limited along with how efficiently the Bank is providing services to its customer. Other objectives are critically analyze the functions and the operations of each level of the of Export Import Bank of Bangladesh Limited and to suggest remedial measures for the smooth development of the Bank.

Objectives of the Study:

General Objectives of the study:

• The main objective of this report is to evaluate the overall performance of Export Import Bank of Bangladesh Ltd along with how efficiently the Bank is providing services to its customer

Specific objectives of the study:

• To present an overview of Export Import Bank of Bangladesh Limited
• To make a study of the facts in order to arrive at certain conclusion about overall Banking operation and the growth, expansion and profitability of a private sector Bank.
• Critically analyze the functions and the operations of each level of the of Export Import Bank of Bangladesh Limited and to suggest remedial measures for the smooth development of the Bank.

Concept of Performance Evaluation

Performance means doing a job effectively and efficiently. Performance Evaluation System means a mechanism for improving the likelihood of the organization successfully implementing its strategy. It is a process to have the goal of strategy implementation. In this process senior management selects a series of measures that best represent the organization’s strategy.

The performance evaluation of a Bank is not so easy as there is hardly any consensus on the possible measures of evaluating performance. The selection of performance measures of Export Import Bank of Bangladesh Limited has been influenced by the availability of data.

This report is conducted basing on empirical and study basis. A systematic study on Annual Reports, Various Statements, Brochures and Journal of 04 (four) Banks has been considered to measure the performance. Desk-to-Desk work experience and opinion of officers, executives and customers of different levels have also been considered for evaluation of performance.

First of all, year-to-year comparisons of EXIM Bank’s performance were made then those were compared with other 03 (three) contemporary private commercial Banks’ performance. For this reason, some performance indicators like Deposit, Loans & Advances, Operating Profit, Classified Loans etc. are considered along with other performance indicators. The main methodology of the report regarding performance evaluation is mentioned below:

1. Year- to- year comparison of EXIM Bank’s performance
2. Comparisons with other 03 (three) private commercials Banks.

This study is based on the statements and reports available form the Bank management Information System. Beside this, some secondary materials such as books, journals, reports etc. have also helped in preparing the report.

Using Performance Indicators

To evaluate the performance of Export import Bank of Bangladesh Limited, the following indicators/ factors are considered:

1. Capital of the Bank
2. Deposits of the Bank
3. Loans and Advances of the Bank
4. Operational Income of the Bank
5. Operational profit of the Bank
6. Import business of the Bank
7. Export business of the Bank
8. Earning Assets of the Bank
9. Earning per share of the Bank
10. Number of Branches of the Bank
11. Number of employees of the bank
12. Percentage of classified loans of the Bank

Method / Sources of Data Collection

This report is prepared mainly on the extensive use of secondary data available in different texts, annual reports, journal, Banking related books etc as well as primary data. The primary data is collected from the target group of employees and customers of banks by means of informal interviews. The inputs are collected from two sources:

Primary Sources:

• Discussion with Bank Executives & Officials and prime customers of
  04 (four) commercial banks in Bangladesh.
• Personal observation and assessment.
• Desk works in different sections/ departments and divisions of Banks.

Secondary Sources:

• Annual report of the Banks.
• Consultation of related books, journals and publications.
• Different statements of Banks.
• File; Balance sheets and various documents.

Data Processing:

• Collected information is processed through data processing software.
• Different analysis, working variables and working definitions is embodied in the report.

Historical background of EXIM Bank

Export Import Bank of Bangladesh Ltd is a newly formed commercial bank but it is the 1^st of its kind in Bangladesh. It has been incorporated in Dhaka, Bangladesh as a public limited company under Banking Company ACT 1991 in the 2^nd June 1999 and its Head Office is located at Printers Buildings, 5 Rajuk Avenue, Motijheel Commercial Area, Dhaka.

The Bank was established under the leadership of late Mr. Shahjahan Kabir, the founder chairman who had a dream to contribute in the socio-economic development of our country. A highly qualified group of entrepreneurs expanded their hands with the founder chairman to materialize his dream. All the sponsors are well experienced and successful in their respective business areas. Among them Mr. Nazrul Islam Mazumder became the honorable Chairman after the death of the founder Chairman.

The Bank commenced formal commercial banking operation on 3^rd August 1999 with Mr.Alamgir Kabir , FCA as the advisor and Mr.Lakiotullah as the Managing Director. Both of them have a long experience in the financial sector of our country. By their pragmatic decision and mangement directives in the operational activities, the Bank has earned a secured and distinctive positive position in the banking sector in terms performance, growth and excellent management.

The Bank has been listed on 26.09.2005 in the Dhaka Stock Exchange by issuing Initial public offer. Its total number share is 62,77,500.00. At present it is one of the best share in the stock market.

The Bank has a sound capital base; its authorized capital is for BDT 1000 million while its initial paid up capital was BDT. 225 million subscribed by the sponsors. The capital and reserve in the mean time has already been raised to BDT 1400 million by retain earnings as on 31^st December 2005 and by offering public shares in September 2005.

At its inception in 1999, Bank was named as ‘BEXIM Bank Ltd’ (acronym for “Bengal Export Import Bank Limited”) and owing to raising an objection by BEXIMCO group regarding the similarity in names, the Bank was renamed in the same to the style of ‘EXIM Bank Ltd’ (acronym for ”Export Import Bank of Bangladesh Limited”).

Corporate Mission of the Bank.

The EXIM Bank Ltd. has completed its successful existence and now it has taken a revolution of its business operation in year 2005 searching incremental improvement in productivity, operational efficiency and structure consequently, a new organizational structure has been developing according to business focus, priorities and competitive pressures. The corporate missions of the Bank are mentioned below:

1. To provide excellent quality customer service.
2. To provide high quality financial services in foreign trade.
3. To maintain corporate and business ethics.
4. To create employment opportunity by project finance.
5. To play role in the socio-economic development
6. To become trustworthy to the depositor and the borrowing customer.
7. To make a sound capital base and to provide a hand some amount of dividend to share holder.

Corporate Cultures.

EXIM Bank is one of the most disciplined and regularized Bank in the Banking sector having corporate culture. The Bank has a corporate management and it believes in sharing understanding of individual job. The people who are working in the Bank have team spirit to achieve the corporate mission and it has not been imposed, it has rather been achieved through their corporate culture. The top level management, mid level management and lower level management has a very nice understanding and excellent combination among the executives and officers which has been grown up from their corporate culture.

Financial products and services

The Bank has already introduced number of financial products such as Mudaraba Monthly Savings Scheme, Mudaraba Monthly Income Scheme, Mudaraba Super Savings Scheme, Mudaraba Multi Plus Saving Scheme, Mudaraba Smart Saver Scheme, Credit Card, and Mudaraba Education Savings Scheme have achieved a great acceptance among the people. In addition to this, schemes like Consumers Credit, On Line Banking and other lucrative schemes will be introduced soon.

Different types products

In addition to traditional banking products, EXIM Bank has a fleet of special products. The Bank has already introduced  the following financial products are being marketed by the Bank. Moreover, the schemes like Consumers Credit, Online Banking and other lucrative schemes will be introduced by the Bank within the shortest span of time.

Mudaraba Monthly Income Scheme

• Mudaraba Monthly Saving Scheme
• Mudaraba Multiplus Savings Scheme
• Mudaraba Super Savings Scheme

Mudaraba Hajj Scheme

Credit Card

Mudaraba Monthly Income Scheme:

It is a monthly income scheme that really makes good sense as well as a sure investment of steady return. Under this Scheme, customer has to deposit a fixed amount of money for
03 (three) years and in return he will receive benefits on monthly basis. Benefits start right from the first month of opening an account under the Scheme and will continue up to
03 (three) years when the depositor will get refund of his deposit. This scheme is a sure investment for a steady return.

Mudaraba Monthly Saving Scheme:

The prime objective of this Scheme is to encourage people to build up a habit of savings. In this scheme one can save a fixed amount of money every month and receive substantial lump sum of money after five, eight, ten or twelve years.

Mudaraba Multiplus Savings Scheme:

Under this scheme, depositor’s money will be almost tripled in 10 (ten) years period. Any individual, Company, Educational Institution, Government Organization, NGO, Trust, Society etc. may invest their savings under this scheme.

Mudaraba Super Savings Scheme:

It helps to build up capital. Super Saving Scheme offers a small depositor to invest his fund (minimum 10,000/-) and the fund will be almost double in 6 (Six) years period. This scheme will secure the future of the investment with ease.

Mudaraba Hajj Scheme:

In order to smooth arrangement of fund for performing Hajj, the bank has introduced this scheme for 5, 8, 10, 15 & 20 years period.

Credit Card:

The Bank has launched Master Card among its customers in joint collaboration with Prime Bank Ltd.

Financing Area

• Project Financing
• Corporate Financing
• Hire Purchase Financing
• Trade Financing
• Syndication Financing
• Export Import Financing

SWOT Analysis

SWOT analysis refers to analysis of Strengths, Weakness, Opportunities and Threats of the organization. This facilitates the organization to make its future performance improved in comparison to its competitors. An organization can also study its current position through SWOT analysis. For all of these, SWOT analysis is considered as an important tool for making changes in the strategic management of an organization.

Strengths:

1. EXIM Bank has already established its wide image and favorable reputation in the banking territory of the country. It is one of the leading private sector commercial banks in Bangladesh.
2. The bank posses the reputation and goodwill of quality services to its all kinds of customers.
3. The bank has already achieved a high growth rate of deposit, investment and profit.
4. The bank has trained, experienced and well educated manpower.
5. The bank has unique corporate culture, which acts as a great motivational factor among the employees.
6. The working environment in the bank is very friendly, interactive and informal. There is no barrier or boundary for communication between the superiors and the employees.
7. The bank has experienced and efficient Management & Board of Directors.

Weaknesses :

1. The promotional activities of the Bank are not adequate to widen its function.
2. The Branches of the bank have to depend on its Head office for decisions.
3. The bank does not provide online banking service and ATM service, which limits its competence in the fast changing banking sector.
4. The product diversification of the bank is very narrow.
5. The bank has more redundant lower level manpower compared to other banks of the same generation, which increases it operational cost.

Opportunities :

1. Our people are going to be savings oriented in the small scheme, which can be provided by EXIM bank by its different schemes.
2. EXIM bank may help small and medium enterprises by lending.
3. The bank can introduce special corporate schemes for corporate customers or service holders according to the professions, such as engineers, lawyers, and doctors etc.
4. The bank can introduce ATM service and Online banking to compete with the local and foreign banks.

Threats:

1. Some foreign and local banks may be threats for EXIM bank for their financial products.
2. Regulatory restrictions may be a cause of threats.
3. The selection of default customers may be a hindrance of its rapid growth.
4. In our country industries are becoming sick at an increasing rate and growth of industrialization is very slow in the country. Therefore, it is very likely that poor industrial growth will affect the potentiality of EXIM Bank.

Year-to-Year Performance Evaluation of EXIM Bank :

To evaluate the performance of Export Import Bank of Bangladesh Limited, the following indicators / factors are considered:

1. Capital of the Bank
2. Deposits of the Bank
3. Loans and Advances of the Bank
4. Operating Income of the Bank
5. Operating profit of the Bank
6. Import business of the Bank
7. Export business of the Bank
8. Profit Earning Assets of the Bank
9. Earning per share of the Bank
10. Number of Branches of the Bank
11. Number of employees of the bank
12. Percentage of classified loans of the Bank

Capital Structure

Capital Structure of EXIM Bank is changing from year to year. The component of the capital structure are Paid Capital, Proposed issue of dividend, Share Premium, Statutory Reserve, Proposed Cash Dividend, Retained Earnings and other reserve.

Components of Capital Structure:

Figures of different components of the capital structure for the year 2003, 2004 and 2005 are shown below:

(Figure in million Taka)

From the above table we can see that Paid-up Capital was the largest component of the Bank’s capital structure for each year though contribution of this component in the capital structure was declining gradually.

Deposit Structure

Deposit structure of EXIM Bank has changed year to year. The components of the deposit structure are Alwadeah Current Deposit, Bills Payable, Mudaraba Savings Bank Deposit, Mudaraba Term Deposit, Call Deposits, Bearer Certificate Deposit and Foreign Currency Deposits.

Table : Growth of Deposit            [BDT in Million]

Source : Annual Reports of EXIM Bank

Total amount of deposit of the Bank stood at 19,078.18 million as on December 31,2005 as against Tk.15,242.97 million as on December 31, 2004 showing an increase of Tk.3,835.21 million with growth rate of 25.16%.

Similarly total amount of deposit of the Bank stood at 15,242.97 million as on December 31,2004 as against Tk.9,945.23 million as on December 31, 2003 showing an increase of  Tk5,297.74 million with growth rate of 53.27%.

Similarly total amount of deposit of the Bank stood at 9,945.23 million as on December 31, 2003 as against Tk7,255.02 million as on December 31, 2002 showing an increase of Tk.2,690.21 million with growth rate of 37.08%.

So we can see that the total deposit of Export Import Bank of Bangladesh Ltd is increasing year-to-year.

Components of deposit structure and correspondent contributions

Table: Component of Deposit Structure             (Figure in million Taka)

Source : Annual Reports of EXIM Bank

From the above table we can see that Mudaraba Term Deposit was the largest components of the Bank’s deposit structure. In the base year 2003 Mudaraba Term Deposit was 70.44% of total deposit, which has been increased to 82.38% in the year 2005.

It is pertinent to mention here that the Bank has the tremendous improvement on its year-to-year deposit. In the base year the deposit was Tk.9945.225 million which has been increased in to 19078.175 million i.e. 92% increase of the base year.

Investment (Loans & Advances): 

 Investment of Export Import Bank of Bangladesh include Izara Bill Baia(Term Finance),  Murabaha Post Import (LIM), Murabaha Trust Receipt (LTR),Bai Murabaha(CCP), Bai Muazzal(CCH), Wazirat Bill Wakala(ECC) and Quard(SOD) etc. The details of the investment modes are shortly discussed below:

Izara Bill Baia(Term Finance)

• Izara Bill Baia(HB)
• Izara Bill Baia(LF)
• Izara Bill Baia(Staff HB) Baia

1. Murabaha Post Import (MPI)
2. Murabaha Trust Receipt (MTR)
3. Bai Murabaha (CCP)
4. Bai Muazzal (CCH)
5. Wazirat Bill Wakala (ECC)

Quard against SS/MTDR:

• Quard against Savings Scheme
• Quard against Mudaraba Term Deposit Receipt

The year-to-year Investment of EXIM Bank is mentioned below:

Table:Growth of Investment                   [BDT in Million]

Source : Annual Reports of EXIM Bank

Total amount of Investment of the Bank stood at 19,332.44 million as on December 31,2005 as against Tk.12, 289.12 million as on December 31, 2004 showing an increase of Tk.7043.32 million with growth rate of 57.31%.

Similarly total amount of Investment of the Bank stood at 12,289.12 million as on December 31,2004 as against Tk.7,954.56 million as on December 31, 2003 showing an increase of Tk.4,334.56 million with growth rate of 54.49%.

Similarly total amount of Investment of the Bank stood at 7,954.56 million as on December 31, 2003 as against Tk. 5,131.55 million as on December 31, 2002 showing an increase of Tk.2,823.01 million with growth rate of 55.01%.

So we can see that the total investment of Export Import Bank of Bangladesh Ltd is increasing year-to-year.

Export Businesses: 

EXIM Bank gives more importance on Export business from its inception. The year-to-year Export businesses of EXIM Bank are mentioned below:

Table:Growth of Export Business         [BDT in Million]

Total amount of Export business of the Bank stood at 22,418.40 million as on December 31,2005 as against Tk.15, 124.60 million as on December 31, 2004 showing an increase of Tk.7, 293.80 million with growth rate of 48.22%.

Similarly total amount of Export business of the Bank stood at 15,124.60 million as on December 31,2004 as against Tk. 10,088.30million as on December 31, 2003 showing an increase of Tk.5, 036.30 million with growth rate of 49. 92%.

Similarly total amount of Export business of the Bank stood at10, 088.30 million as on December 31,2003 as against Tk.7,442.20 million as on December 31, 2002 showing an increase of Tk.2,646.10 million with growth rate of 35.55%.

Import Business: 

EXIM Bank gives emphasis on Import business from its inception. The year-to-year Import businesses of EXIM Bank are mentioned below:

Table: Growth of Import Business  [BDT in Million]

Source: Annual Reports of EXIM Bank

Total amount of Import business of the Bank stood at 26,781.80 million as on December 31,2005 as against Tk.19,260.10 million as on December 31, 2004 showing an increase of  Tk.7, 521.70 million with growth rate of 39.05%.

Similarly total amount of Import business of the Bank stood at 19,260.10 million as on December 31,2004 as against Tk.13,152.50 million as on December 31, 2003 showing an increase of Tk.6, 107.60 million with growth rate of 46.44%.

Similarly total amount of Import business of the Bank stood at Tk.13,152.50 million as on December 31,2003 as against Tk8,519.70 million as on December 31, 2002 showing an increase of Tk.4, 632.80 million with growth rate of 54.38%.

Operating Profit: 

EXIM Bank earns incremental operational profit since its inception. The year-to-year operational profit of EXIM Bank are mentioned below:

Table Growth of Operating Profit    [BDT in Million]

Source: Annual Reports of EXIM Bank

Total amount of operational profit of the Bank stood at 835.80 million as on December 31,2005 as against Tk. 562.66 million as on December 31, 2004 showing an increase of Tk.273.14 million with growth rate of 48.54

Similarly total amount of operational profit of the Bank stood at 562.66 million as on December 31,2004 as against Tk. 386.80 million as on December 31, 2003 showing an increase of Tk.175.81 million with growth rate of 45.47%.

Similarly total amount of operational profit of the Bank stood at 386.80million as on December 31,2003 as against Tk 273.85 million as on December 31, 2002 showing an increase of Tk.112.95 million with growth rate of 41.25%.

Earning per share: 

The earning per share of Export Import Bank of Bangladesh is very attractive. The Year-to-year earning per share of this Bank are mentioned below:

Table Growth of Earning per share    [BDT in Million]

Number of Branches: 

The number of branches of Bank now stands at 24 including 5 new branches opened during the year 2005. The Year-to-year numbers of Branches of this Bank are mentioned below:

Table : Expansion of Branches

Number of Employees: 

The number of employees of Bank now stands at 668. The Year-to-year numbers of employees of this Bank are mentioned below:

Table : Number of Employees

Profit Earning Assets: 

Source: Annual Reports of EXIM Bank

Comparison of Performance of EXIM Bank and other Similar Banks

 The Performance of EXIM Bank is compared with other 03(three) private commercial banks: Southeast Bank, Mercantile Bank and Standard Bank. Ratio Analysis of Different performance indicators for the year 2005, 2004 and 2003 has been done to evaluate the performance standard of EXIM Bank Ltd.

Year – 2005:

Table # 4.12: Performance in the 2005:       [In Million Taka]

 Source: Annual Reports of EXIM, Southeast, Mercantile and Standard Bank

Ratio Analysis is done as follows:

Table: Ratio Analysis

 In 2005 EXIM Bank is in better position in the area of Operational Profit, Import Business, Export business, Return on Assets, Earning per share, Number of Branches, Number of Employees and Percentage of Classified Loans which are the main indicators for evaluating performance of a commercial private Bank.

Meanwhile Southeast Bank and Mercantile Bank is in better position in the area of Capital, Deposit, Loans & Advances, and Total Assets. On the other hand Standard Bank is in better position in the area of classified loans.

Year – 2004 :

Table : Performance in the year 2004:      [In Million Taka]

 Source: Annual Reports of EXIM, Southeast, Mercantile and Standard Bank

Ratio Analysis is done as follows:

Table: Ratio Analysis

 In 2004, EXIM Bank is in better position in the area of Import Business, Export business, Return on Assets, Earning per share, Number of Branches, Number of employees, classified loans which are the main indicators for evaluating performance of a commercial private Bank.

Meanwhile Southeast Bank and Mercantile Bank is in better position in the area of Capital, Deposit, Loans & Advances, Operational Profit and Total Assets. On the other hand Standard Bank is better position in the area of classified loans.

Year – 2003 :

Table : Performance in the year 2003 :  [In Million Taka]

Source: Annual Reports of EXIM, Southeast, Mercantile and Standard Bank

Ratio Analysis is done as follows.

Table Ratio Analysis

In 2003, EXIM Bank is in better position in the area of Import Business, Export business, Return on Assets, Earning per share, Number of Branches and classified loans, which are the main indicators for evaluating performance of a commercial private Bank.

Meanwhile Southeast Bank and Mercantile Bank is in better position in the area of Capital, Deposit, Loans & Advances, Operational Profit and Total Assets.

Findings: 

Findings have been made in the under mentioned 03 (three) ways:

1. Year to year comparisons of EXIM Bank’s performances to some indicators
2. Comparisons with other 03(three) Private commercial Banks to some indicators
3. Questionnaire survey

a) Year to year comparisons of EXIM Bank’s performances to some indicators:

Capital Structures:

In 2001 total capital of the Bank was Tk 29.67 crore which has been increased to 140.00 crore in 2005 i.e. 372% increase.

Deposits:

In 2001 total deposit of the Bank was Tk 393.45 crore which has been increased to 1907.81 crore in 2005 i.e. 385% increase.

Investment (Loans and Advances):

In 2001 total investment of the Bank was Tk 217.05 crore which has been increased to 1933.24 crore in 2005 i.e. 791% increase.

Operational Income:

In 2001 total operational income of the Bank was Tk 18.74 crore which has been increased to 121.91 crore in 2005 i.e. 550.53% increase.

Operating profit:

In 2001 total operational profit of the Bank was Tk9.96 crore which has been increased to
83.58 crore in 2005 i.e. 839.66% increase.Import business:

In 2001 total import business of the Bank was Tk 419.97 crore which has been increased to 2678.18 crore in 2005 i.e. 538% increase.

Export business:

In 2001 total export business of the Bank was Tk 279.73 crore, which has been increased to 2241.84 crore in 2005 i.e. 701% increase.

Profit Earning assets:

In 2001 earning assets of the Bank was Tk 361.37 crore which has been increased to Tk. 1974.65 in 2005 i.e. 446% increase

Earning per share:

In 2001 earning per share of the Bank was Tk 21.39 which has been increased to Tk. 60.82 in 2005 i.e. 184% increase.

Number of Branches:

In 2001 the numbers of Branches of the Bank were 08, which have been increased to 24 in 2005 i.e. 300% increase.

Number of Employees:

In 2001 the numbers of employees of the Bank were 327 persons, which have been increased to 768 persons in 2005 i.e. 235% increase.

Percentage of classified loan :

In 2001, the classified loan of the Bank was nil which have been increased to 2.40% in 2005 i.e. 2.40% increase.

Table  : Summery of Findings of Year-to-Year Comparison of EXIM Bank’s performance

Source: Annual Reports of EXIM Bank

By the above statistics and information we can see that EXIM Bank has made the tremendous improvement in all financial aspects. So the Bank is financially sound and healthy.

b) Comparisons with other 03(three) Private commercial Banks to some indicators.

Year 2005:

In 2005 EXIM Bank is in better position in the area of operational profit, Import Business, Export business, Return on Assets, Earning per share and classified loans which are the main indicators for evaluating performance of a commercial private Bank.

Meanwhile Southeast Bank and Mercantile Bank is in better position in the area of Capital, Deposit, Loans & Advances, and Total Assets and Standard Bank is in better position only in the area of classified loans.

Table : Comparison at a glance in the year 2005

(P = Position, S = Score and Score is measured as per weightage 3 for 1^st position, 2 for 2^nd position, 1 for 3^rd position & 0 for 4^th position.)

Year 2004:

In 2004, EXIM Bank is in better position in the area of Import Business, Export business, Return on Assets, Earning per share, Number of Branches & Number of Employees, which are the main indicators for evaluating performance of a commercial private Bank.

Meanwhile Southeast Bank and Mercantile Bank is in better position in the area of Capital, Deposit, Loans & Advances, Operational Profit and Total Assets. On the other hand Standard Bank is in better position only in the area of classified loans.

Table : Comparison at a glance in the year 2004

(P = Position, S = Score and Score is measured as per weightage 3 for 1^st position, 2 for 2^nd position, 1 for 3^rd position & 0 for 4^th position.)

Year 2003:

 In 2003, EXIM Bank is in better position in the area of Import Business, Export business, Return on Assets, Earning per share, Number of Employees and classified loans, which are the main indicators for evaluating performance of a commercial private Bank.

Meanwhile Southeast Bank and Mercantile Bank is in better position in the area of Capital, Deposit, Loans & Advances, Operational Profit and Total Assets.

Table: Comparison at a glance in the year 2003

(P = Position, S = Score and Score is measured as per weightage 3 for 1^st position, 2 for 2^nd position, 1 for 3^rd position & 0 for 4^th position.)

So it is observed that the performance of EXIM Bank is better than other 03 (three) Banks. Because Southeast Bank has started their operation in the year 1993 and other 02 (two) Banks started their operation June-1999 and EXIM Bank has started their operation in August-1999.  So EXIM Bank is junior to other Banks.

If we look into the performance of EXIM Bank of the last 03 (three) years and other 03 (three) Banks we can see that EXIM Bank has made tremendous success in the area of all indicators of performance evaluation like Operational Profit, Import Business, Export Business, Return on Assets, Earning per share and percentage of classified loans though it has started its Banking operation later on and day by day it has reached near position in the rest indicators like Capital, Deposit, Loans & Advances, and Total Assets etc.

Meanwhile Southeast Bank and Mercantile were better position in some indicators like Capital, Deposit, Loans & Advances and Total Assets but their positions are not up warding like EXIM Bank. They could not be able to keep their growth rapidly and they have achieved their growth with more deposit and Loans and Advances. On the other hand EXIM Bank has achieved their growth with less deposit and Loans & Advances. The Bank has also used less number of Branches and manpower.

So it is revealed from the findings that Export Import Bank of Bangladesh Limited (EXIM Bank) has made their success on incremental basis. They have the consequence of upward trend of performance. At the initial stage they were behind of Southeast Bank and Mercantile Bank at some indicators. But in 2005 they have achieved outstanding performances almost in all performance measuring indicators.

Summery of Findings of Bank to Bank Comparison :

 The following positions of the Banks are found after analysis and comparison of various performance indicators.

Table Summery of Findings of Bank to Bank Comparison