2. Definition of SME Banking
SME banking is the small and medium sized enterprises, and represents a
major function of the general business finance market.
6. SME Banking System:
To meet petty expense .
Cheque of patty cash will be issued from SME head office in the beginning of the
month.
Clients must open their account with the same bank account on the same day after
receiving those from the borrowers, who should give a received as prescribed.
Cheque’s should be deposited to the SME unit office bank account on the same day
after receiving those from the borrowers, who should give a receipt as prescribed.
Installment credit should be transferred to the SME head office account .
CRO should have an individual account in the same bank branch for their personal use
and to receive their salaries and other benefits.
7. Reasons of SME banking:
• Support Small & Medium Enterprise
• Economic Development
• Employment Generation
• Profit Making
9. Current Status Of Bangladesh In SME
Banking
The target of Bangladesh Bank in
SME financing is about $10 Billion.
Invest
$10Billion
Bangladesh Bank
SME
11. During the Fourth Five year
plan, a total of 0.35 million jobs
were created against the target
of 0.4 million
SME sector employs 25% of the
total labor force. As a result, this
sector is the present available
sector for creation jobs.
Small industries being labor
oriented are capable of
generating more employment.
SME sector help alleviate
poverty, increase income level
of rural people and promote
agro-industrial linkage in
Bangladesh.
SME sector requires lower energy
supply, lower infrastructure facilities
and this sector imposes less
environmental risk.They contribute
towards better utilization of local
resources and skills that might
otherwise remain unutilized.
They are necessary to
maintain and retain
traditional skills and
handicrafts.
Contribution Of SME Banking InThe Economy Of
Bangladesh: