A WORKING REPORT ON SME BANKING AND CREDIT RISK GRADING SYSTEM OF AB BANK LIMITED

Abstract

Bank is an important financial intermediary in the economy. It plays crucial role of transferring the resources from surplus area to the supply constraint area. Bank performs its job through introducing various financial products to the market. Among them SME credit is the most crucial product. Loan is the product that generates major profit for the bank. I prepared the internship report on “A Study on SME Banking & Credit Risk Grading system of AB Bank Limited, Pagla Branch” .I furnished the full contents of the report in Six chapters. I concentrated on arranging and putting the data in such a way that the report progressively anchors to a desired destination of understanding. In the very first part I point out the information about the report. That is its title, origin, objective, methodology, justification and limitations of the study. It will facilitate the understanding what the report is for and how it is designed. In second part, I discussed about the historical background of the AB Bank Limited. In addition, I also discuss about the Pagla branch where I worked as a intern. After that, in 3rd Part, I mentioned about SME credit and types of SME product of AB Bank Limited. In 4th part, I mentioned the procedures for providing SME Loan. In part Five, I have shown the credit risk grading procedure along with a specimen CRG sheet of AB Bank Limited. In the next part I draw some findings and recommendations about their performance. After whole analysis I have come to a single conclusion that their credit division performance is satisfactory in particular SME credit. Recently, they are trying to establish themselves as a strong competitor by launching online facility to serve the customer rigorously.