Banks urged to bring poor people under banking system
Friday, 8 August 2008
Commerce and Education Adviser Hossain Zillur Rahman Thursday called upon the commercial banks to focus on the poor people to bring them under the banking services to help the country join the club of developing countries soon, reports UNB.
"It depends on how you (banks) can identify and address the new clients having potentials and offering good profits for banks," he said at a function at a city hotel.
The adviser made the call echoing Bangladesh Bank (BB) Governor Salehuddin Ahmed, who earlier termed bringing poor people under banking services as a financial inclusion.
Both were addressing the inaugural meeting of a three-day Bank and Non-Bank Financial Institutions (NBFI) Fair, which Hotel Sheraton organised to bring for the first time in the country all the products and services of the banks and NBFIs under one roof.
Some 32 banks and financial institutions are participating at the fair, which will remain open to clients from 10.00 am to 8.00 pm everyday.
Bangladesh Association of Banks (BAB) Chairman Nazrul Islam Mazumder, Association of Bankers Bangladesh (ABB) chairman Mahmood Sattar and Bangladesh Leasing and Finance Companies' Association (BLFCA) chairman Anis A Khan also spoke on the occasion. Hotel Sheraton General Manager Trevor MacDonald welcomed the guests.
Hossain Zillur, an eminent economist, said Bangladesh has achieved the capacity to auto-pilot an economic growth of 5.0 per cent in any circumstances, while it could add another 5.0 per cent through a little extra effort to join the club of developing countries very soon.
"It could be achieved through focussing on the poor at the bottom of the pyramid."
He said Bangladesh is poised on many transitions, including political transition, and embarked most importantly on the economic transition. "Events like this (bank fair) will contribute to the economic development after the transition period is over."
Speaking at the function, the Bangladesh Bank Governor said the commercial banks have done a good job despite global turmoil, but they would have to do better to make Bangladesh a middle income country within the next decade.
To achieve the goal, he called upon the banks to go for financial inclusion - bringing under the banking system the section of people who still remained outside.
"Financial inclusion is very important for economic development," he said.
BSS adds: The Education and Commerce Adviser asked banks and financial institutions to support the private sector efforts to break new investment horizons along with funding existing business projects.
He said the country needs more visionary entrepreneurs to promote new area of investments such as the recent debut of shipbuilding industry for export.
Hossain Zillur said banks and non-bank financial institutions should come forward to discharge more corporate social responsibility and as part of it they can make more investment in the country's education sector.
But in doing so they should not make it part of their prime investment package on profit motive, the adviser said adding, they should also make available loans and other financial support to low-income people.
These people can better utilise the money, unlike many big entrepreneurs to create more profits and generate other multiplier effects in the economy accelerating the growth, he said emphasising the need for identifying new ground in business and investment.
"It depends on how you (banks) can identify and address the new clients having potentials and offering good profits for banks," he said at a function at a city hotel.
The adviser made the call echoing Bangladesh Bank (BB) Governor Salehuddin Ahmed, who earlier termed bringing poor people under banking services as a financial inclusion.
Both were addressing the inaugural meeting of a three-day Bank and Non-Bank Financial Institutions (NBFI) Fair, which Hotel Sheraton organised to bring for the first time in the country all the products and services of the banks and NBFIs under one roof.
Some 32 banks and financial institutions are participating at the fair, which will remain open to clients from 10.00 am to 8.00 pm everyday.
Bangladesh Association of Banks (BAB) Chairman Nazrul Islam Mazumder, Association of Bankers Bangladesh (ABB) chairman Mahmood Sattar and Bangladesh Leasing and Finance Companies' Association (BLFCA) chairman Anis A Khan also spoke on the occasion. Hotel Sheraton General Manager Trevor MacDonald welcomed the guests.
Hossain Zillur, an eminent economist, said Bangladesh has achieved the capacity to auto-pilot an economic growth of 5.0 per cent in any circumstances, while it could add another 5.0 per cent through a little extra effort to join the club of developing countries very soon.
"It could be achieved through focussing on the poor at the bottom of the pyramid."
He said Bangladesh is poised on many transitions, including political transition, and embarked most importantly on the economic transition. "Events like this (bank fair) will contribute to the economic development after the transition period is over."
Speaking at the function, the Bangladesh Bank Governor said the commercial banks have done a good job despite global turmoil, but they would have to do better to make Bangladesh a middle income country within the next decade.
To achieve the goal, he called upon the banks to go for financial inclusion - bringing under the banking system the section of people who still remained outside.
"Financial inclusion is very important for economic development," he said.
BSS adds: The Education and Commerce Adviser asked banks and financial institutions to support the private sector efforts to break new investment horizons along with funding existing business projects.
He said the country needs more visionary entrepreneurs to promote new area of investments such as the recent debut of shipbuilding industry for export.
Hossain Zillur said banks and non-bank financial institutions should come forward to discharge more corporate social responsibility and as part of it they can make more investment in the country's education sector.
But in doing so they should not make it part of their prime investment package on profit motive, the adviser said adding, they should also make available loans and other financial support to low-income people.
These people can better utilise the money, unlike many big entrepreneurs to create more profits and generate other multiplier effects in the economy accelerating the growth, he said emphasising the need for identifying new ground in business and investment.