Creation of jobs, healthy lending investments mark first year

NRB Bank has completed one year of its operation recently.

"Our main contribution during the first year is the creation of jobs and the healthy lending investments we have made according to our target," Chairman of the new generation private commercial bank Iqbal Ahmed OBE told The FE in an interview recently.

He said NRB Bank Ltd has invested a significant amount of money to develop tech-savvy banking products and HR.

"Most importantly in the first year is investment in technology infrastructure and HR. This investment was highlighted by acquiring the best software that is used by international banks. This will be used for our core banking, internet banking and mobile banking," Mr Iqbal said.

"As mentioned we made a significant investment in HR. Our Directors had no influence and candidates were appointed purely on merit basis. We employed the 'very best candidates' to create a smooth running workforce. I feel it is vitally important to build a solid foundation within the first year for any financial institute," the chairman asserted.

He said in the first year NRB Bank made huge progress. The Head Office was extended on Gulshan Avenue in addition to 6 flagship branches which were opened at the 'best locations' in Bangladesh.

"Initially we concentrated on creating the branding for NRB Bank. Our branding is unique in sync with international standards. Our customers have expressed their

approval on the décor, atmosphere and the locations of the branches."

Replying to a question on the future outlook of the banking industry and also the NRB Bank, he said the main focus is to invest in genuine and successful entrepreneurs. The economic strength of a country is dependent on successful businesses and entrepreneurs. We are focusing on those types of entrepreneurs, small-medium businesses and various projects which create jobs and contribute to the emerging market. Being a Non Resident Bangladeshi bank, attracting remittances is our first priority along with working for the NRB Diasporas. Investment in Bangladesh will also appear in our main focus.

"NRB Bank has a slogan 'not just another bank'. We want to become leaders and we have identified that by creating the best image which can be achieved and others will follow."

Regarding the role of the Bank to increase the remittance in-flow from the NRBs in Bangladesh and also broadening the image of Bangladesh before the global investors or equity-holders through linking the big NRB investors, the UK-based entrepreneur said a team of experts are working towards the launch of new products. These will be available to the domestic market and expatriates. Easy access and better performing remittances will be on offer. Fast and efficient banking is expected and through our mobile banking option this solution will be found.   

Replying to a question on the nagging problem of 'excess liquidity', he said it is not a good sign for developing countries.

"The government is creating an atmosphere to help the investment of money in the industrial sector that increases productivity and creates jobs. In Bangladesh at this moment, there are huge amounts of government fund floating and also private deposits. The reason for this is because the Bangladesh banking sector is charging the highest lending interest. My suggestion to the government policy makers is that this situation must be taken seriously and bring down the interest rate," the NRB Bank chairman said.

 Assistance must also be provided to entrepreneurs to encourage them to introduce new projects. Many projects can be launched in Bangladesh, for example agro-products, engineering, education, healthcare, tourism, many small medium large heavy industries and infrastructure projects like EPZ, economic zone and within competitive energy costs projects.