Write a report on the meeting held recently in your bank regarding a threadbare discussion on the total position of the bank in the last financial year

Q. Write a report on the meeting held recently in your bank regarding a threadbare discussion on the total position of the bank in the last financial year.

Bangladesh Karma Sangsthan Bank

Head Office

Motijheel, Dhaka 1000

Telephone: 02-956 3211 Fax: 02-956 3212

Email: karmashangsthan@kbank.com

QUARTERLY EVALUATION MEETING HELD IN HEAD OFFICE ON MAY 22, 2009 TO DISCUSS ON THE TOTAL POSITION OF THE BANK IN THE LAST FINANCIAL YEAR AND STRATEGIES ADOPTED TO ACHIEVE BUSINESS GOALS IN THE CURRENT FINANCIAL YEAR.

An evaluation meeting presided over by the bank’s Managing Director Mr. M A Yusuf was held in the Board Room of our Head Office on May 20, 2009 with Mr. Abdul Jalil, Chairman, Board of Directors, attending the meeting as the chief guest. All the executives of the Head Office and all the regional managers of the bank participated in the meeting that lasted for three hours from 1000 HRS in the morning till 1300 HRS in the afternoon. The meeting was followed by a lunch in Hotel Purbani.

In his welcome address Mr. Zainal Abedin, General Manager, Bangladesh Karma Sangsthan Bank (BKSB), presented the overall position of the bank highlighting the following features of the last financial year:

01. All the 45 branches located in different parts of Bangladesh made profits in the financial year ending June 30, 2008.

02. Against annual profit target of Taka 15 crore the bank could make a total net profit of only Taka 3 crore.

03. The bank had a total deposit of Taka 1,000 crore out of which Taka 800 crore was ‘time deposit’ and the rest ‘demand deposit’.

04. The bank had a total advance of Taka 2,900 crore of which only Taka 300 crore was performing assets and the rest non-performing.

05. Out of total number of 350 employees of the bank 130 employees have left their jobs and 26 employees had retired resulting in an acute shortage of manpower.

06. The bank is struggling to invest money as it has been facing tough competition from NGOs, specially from Grameen Bank which is aggressively alluring rural people to bank with them in spite of the fact that their rates of interests on loans are three times more than what BKSB offers.

The Chairman of the Board of Directors in his address as the chief guest expressed his deep concerns at the pitiable condition of the bank and urged the bank management to

take immediate measures to identify the flaws and take remedial measures to correct anomalies, if any, that are responsible.

The Managing Director in his presidential address gave assurance that the bank will surmount all the problems and will be able to achieve its annual target of making a total profit of Taka 25 crore in the current financial year ending 30 June 2009 as BKSB has already taken the following steps:

01. The bank has already ensured a healthy deposit-loan ratio at 60-40 and the provisional profit at the end of April 30, 2009 stood at Taka 20 crore.

02. Performing assets of BKSB now stands at 90 percent.

03. 20 branches have been computerized to solve the shortage of manpower.

The meeting was over by a vote of thanks delivered by the undersigned.

Keramat Ali

Secretary, Board of Directors