Performance analysis of credit management policies and procedures of Mercantile Bank Limited

Abstract

In Bangladesh, Mercantile Bank Limited was established on 20 May 1999 and commenced commercial banking operation on 2 June 1999. It is a public limited company with limited liability under the bank companies act, 1991. (Corporate Profile, 2017) The bank provides products and services in retail banking; corporate finance, Islamic Finance, asset management, equity brokerage and security. Main job of commercial banks is collecting funds from surplus unit and lending it to a deficit unit. Both primary and secondary data are used to compose this report. The core job task assigned to me comprised of working the Clearing Department and Credit Management Department. I got the opportunity to work with the team dealing clearing section and Credit Management of Mercantile Bank as well. I also faced some troubles and difficulties while assembling this report. The foundation of the report is based on the investigation of Credit Managements and procedure of Mercantile Bank Limited. The most important focused I have given in this report is on Credit Management Department. The economic state of Bangladesh is not stable and in good position currently thus Mercantile bank is giving its best efforts in order to make it quite stable. Non- performing loans a growing trend in both public and private sector banks of Bangladesh. Consequently, the bank should try to make positive attempts to be more outwards looking in relation with their goals and improve its product and services, stay aware of the market conditions and the changing atmospheres at the same time.