Term Paper

Chapter – 1

Introductory Aspects

1.1 Introduction:

Bangladesh is an agricultural country gradually shifting towards industrialization. Traditionally, people of this subcontinent were reluctant to business and trade. But as the demand of time, they are inspired and inclined to take risk and establish business enterprises. The entrepreneurs are faced with scarcity of initial capital and if somehow they have started business they face serious shortage of working capital. In such case, they run for long term direct financing from commercial banks, specialized banks and other financial institutions, but receiving long term loans from direct financing institutions in Bangladesh is not an easy task.

The Progress of any economy mainly depends on the efficient financial system of the country. This importance of the financial sector reforms affirms an effective means for solving the problems of economic, financial and social in the developing nations of the world. The progress of the securities Industry of any country depends mainly on the flow of funds. In fact, Capital generation is the lifeblood of the capital market without which the health and soundness of the financial system cannot be geared up and for which well-developed capital market as well as money market is essential.

1.2 Objectives of the study:

The main objective of preparing this report is the “Banking and leasing complementary to each other” to fulfill the requirement of the course through gaining the practical experience.

The other objectives of this paper are as follows:

* To get a general idea about the Banking and leasing.

* To provide the idea that how bank and leasing are support is other.

* To draw a comparable picture of the theoretical approach and the practical applications.

* To know how bank and leasing company help each other in SME.

1.3 Methodology:

Several methods and techniques have been applied to conduct this study. The methods...