This document discusses the performance of City Bank Ltd. It provides information on the bank's management team, historical background, functions, digital banking services, products and services including credit cards, debit cards, and Islamic banking facilities. It also summarizes key profitability, financial leverage, operating efficiency, and liquidity ratios for City Bank for 2019 and 2018. In conclusion, it notes that while City Bank has a higher debt ratio, this does not necessarily indicate underperformance and could reflect new projects requiring more capital.

1. COMMERCIAL BANK
MANAGEMENT
BANK PERFORMANCE

2. TEAM MEMBERS
NAME ID
1. Dababrata Mondal 40014
2. Md Hasnain Shaikh Shithil 40015
3. Deepta Barua 38066
4. Mostofa Saif Iqbal 40029
5. Md. Hedayet Ullah 40025

3. Historical Background of
City Bank Ltd.
 City Bank was incorporated on March 27, 1983 as a
private commercial bank of Bangladesh.
 The bank was founded by 12 local businessmen.
 The City Bank now serves to its various customers by
using many branches all over the country.
 Besides traditional banking services city bank also
provides internet banking facilities.

4. Functions of City Bank Ltd.
 Maintains all types of deposit accounts such as
savings account and transactional account.
 Collection of cheque and bill.
 Maintenance of safe deposit lockers.
 City Bank Ltd. Provide various types of loan
facilities such as home loan, auto loan, personal
loan and even student loan.

5. Digital Banking Services
 All branches of the city Bank are fully computerized
having online Banking facilities for the clients. City
Bank expresses this as “making sense of money”.
 Some digital banking services offer by City Bank are:
 Online Services
 Automated Accounts
 ATM Services

6. Citytouch
 It enables the users to have most of the convenient banking
facilities by using the internet enabled devices such as
smartphones, tablets, and computers.
 Some facilities provided by Citytouch:
 Buying air tickets from home
 Citytouch allows its users to pay mobile bill, internet bill
 It helps users to enjoy e shopping (Online shopping)
across Bangladesh

7. Products & Services
 Credit Cards:
 American Express: From 2010 City Bank Ltd. has
franchised the AMEX (American Express) into the
Bangladesh through 3 categories and also available
in dual currency mode.
 American Express Credit Card
 American Express Gold Credit Card
 American Express Platinum Credit Card.

8. Products & Services
 VISA: An international and it issues in both Local Currency
(Taka) & Foreign Currency (US Dollar) in 2 categories and
also available in dual currency mode,
 VISA Platinum Card
 VISA Local Classic
 VISA Classic Dual
 VISA Gold Local
 VISA Gold Dual

9. Products & Services
 Debit Cards :
 City VISA Electron Debit Card: This card allows customers to
withdraw cash from Visa enabled ATMs across the country. It
facilitates to shop and dine at thousands of merchant Visa
outlets all over the country.
 Master Card Platinum International Debit Card: It features
international dual currency which includes both Taka & USD. It
enables users to access 1.9 million MasterCard ATMs worldwide
and 32 million outlets worldwide that accept Master Card.

10. City Bank into Islamic
Banking
 City Bank has also introduced Islamic Banking facilities.
It is called City Manarah Banking.
 It attracts the customers who prefer a Sariah based
banking system over conventional banking methods.
 It offers a wide variety of deposit and investment
products such as Manarah Savings, Manarah Current,
Manarah Term Deposit and Manarah Monthly Deposit
Schemes.

11. City Bank into Islamic
Banking
 Here all its activities are conducted on interest-free
banking system according to Islamic Shariah.
 Investment is made through different modes
permitted under Islamic Shariah.
 Investment income of the Bank is shared with the
Mudaraba depositors according to a ratio to ensure a
reasonable fair rate of return on their depositors.

12. Digital Loan in Bangladesh:
The City bank along with bkash is introducing first ever
digital loan platform in Bangladesh. Which will offer
minimum 10,000 credit facility to the customer. MoU is
signed between the two financial giant of Bangladesh.

13. Profitability Ratio:
Return on Asset: It is known as a
profitability or productivity ratio, because it
provides information about the management's
performance in using the assets of the business
to generate income.
Year 2019 2018
ROA 0.007 0.007

14. Profitability Ratio :
Return on Equity: Return on equity
measures a corporation's profitability by
revealing how much profit a company generates
with the money shareholders have invested.
YEAR 2019 2018
ROE 0.1074 0.0893

15. Profitabilitatiy Ratio:
Net Interest Margin: Net interest
margin is typically used for a bank or investment
firm that invests depositor‘s money, allowing for
an interest margin between what is paid to the
bank’s client and what is made from the
borrower of the funds.
YEAR 2019 2018
NIM 0.069 0.064

16. Profitability Ratio:
Net Profit Margin: Net profit margin is
used to measure how much of each taka earned
by the company is translated into profits.
YEAR 2019 2018
NPM 0.14 0.13

17. Financial Leverage:
Equity Multiplier: The equity multiplier is
calculated by dividing a company's total asset
value by total net equity.
YEAR 2019 2018
EM 14.55 13.12

18. Financial Leverage:
Debt Ratio: The debt ratio is defined as the
ratio of total debt to total assets.
YEAR 2019 2018
DEBT RATIO 0.93 0.92

19. Financial Leverage:
Loan Ratio: The loans to assets ratio
measure the total loans outstanding as a
percentage of total assets.
YEAR 2019 2018
Loan Ratio 0.67 0.65

20. Operating Efficiency:
Interest expense Ratio: It represents interest payable
on any borrowings like loans.
Interest Expense Ratio (%) = Interest expense / Total Asset
YEAR 2019 2018
Interest ratio 0.044 0.042

21. Operating Efficiency:
Provision for Loan Loss Ratio: The provision for loan
loss reserves account refers to when bank’s managers expect to lose when
some portion of the loans that are not repaid.
Provisions for Loan Losses Ratio= Provisions for Loan Losses/Total
Loan
YEAR 2019 2018
PLL/Loan 0.008 0.01

22. Operating Efficiency:
Other Expense Ratio:
Other Expense Ratio= Other Expense/Total Asset
YEAR 2019 2018
Other Expense Ratio 0.0063 0.0059

23. Liquidity Ratio:
Liquidity ratios are a key part of the analysis since they help determine a
company's ability to pay off its debts. If a company fails to pay its debts, it
could face bankruptcy.
Cash Ratio: Cash Ratio= Cash/Total Asset
YEAR 2019 2018
Cash Ratio 0.07 0.05

24. Conclusion:
A bank is a financial institution that accepts deposits from the public and
creates credit. Lending activities can be performed either directly or
indirectly through capital markets. City Bank is no different.
A firm or a bank would always want their Profitability ratios to be higher
and operating (expense) ratios to be lower. City bank too has a
comparatively higher debt ratio. This necessarily doesn’t mean bank
doing bad, this could also mean that the bank has taken new task or
projects that require more capital.