Trust Bank Limited
Trust Bank Limited is a commercial bank in private sector of Bangladesh. It was incorporated in June 1999 and next month of the same year got licensed from the bangladesh bank. It started business operations in November 1999 with an authorised capital of Tk 1,000 million and paid up capital of Tk 200 million. The bank entered into the capital market selling Initial Public Offering (IPO) in July of 2007 and accumulated 467 million taka as paid up capital. Army Welfare Trust designated as group-A shareholder holds 50% of paid up capital and the public designated as group-B shareholders holds the remaining 50%.
Basic Facts and Economic Indicators (In Million Taka)
| Indicators | 2018 | 2019 | 2020 |
| Authorized Capital | 10000 | 10000 | 10000 |
| Paid up Capital | 5569.7 | 6126.6 | 6433 |
| Reserved Fund | 7255.7 | 9210.8 | 11778 |
| Deposits | 212711.7 | 242024.7 | 288403.9 |
| a) Call Deposits | 34107.4 | 35657.6 | 36699.3 |
| b) Term Deposits | 178604.3 | 206367.1 | 251704.6 |
| Loans and Advances | 197135.6 | 210766.7 | 221063.9 |
| Investment | 32305 | 41041.9 | 90944.8 |
| Total Asset | 259636.7 | 295173..4 | 354778.4 |
| Total Income | 21405.1 | 24762.6 | 25699.8 |
| Total Expenditure | 15080 | 17589.1 | 18120 |
| Foreign Currency Trading | 206287.6 | 152680 | 117174 |
| a) Export | 36552.5 | 37730 | 34680.8 |
| b) Import | 119622.5 | 66080 | 72201.4 |
| c) Remittance | 50112.6 | 48870 | 10291.6 |
| Total manpower | 1907 | 1940 | 1951 |
| a) Officers | 1907 | 1940 | 1951 |
| b) Staff | 0 | 0 | 0 |
| Correspondent Banks | 21 | 21 | 21 |
| Total Branches (in numbers) | 110 | 112 | 113 |
| a) Domestic | 110 | 112 | 113 |
| b) Overseas | 0 | 0 | 0 |
| Agriculture Credit | |||
| Loan Disbursed | 2055.9 | 4105.5 | 3609.2 |
| Realised | 496.9 | 3305.3 | 1515.6 |
| Industrial Credit | |||
| Loan Disbursed | 73766.1 | 85619.2 | 59580.9 |
| Realsied | 57587.5 | 65025.8 | 60917.6 |
| Loan Outstanding by Sector | |||
| Agriculture and Fisheries and Forestry | 1991.3 | 3362.7 | 3810.3 |
| Industry | 42828.9 | 45782.2 | 50348.1 |
| Trade and Commerce | 21082.9 | 19561.1 | 21123.8 |
| Poverty Reduction | 0 | 0 | |
| CSR | 77.2 | 180.1 | 14.7 |
Source Government of Bangladesh, Ministry of Finance, Banking and Financial Institution Division, Barshik Protibedon [Annual Report on Banks and Financial Institutions], 2019-20 and 2020-21.
The managing director is the chief executive of the bank. Although the bank was established under the endowment/funding by the Army Welfare Trust and in the board of directors except the Managing Director and 2 Independent Directors all other 6 Directors are recruited from the army personnel, nevertheless it is an autonomous banking institutions. Its head office is in Dhaka. By the end of December in 2020 it had 151 branches, and a total of 1951 regular employees.
The bank conducts all types of commercial banking activity. It has achieved remarkable success in collecting deposit. The bank has introduced 3 deposit schemes namely Trust Target, Trust Double Deposit Scheme, and Trust Deposit Insurance Scheme. Trust Bank operates Customer Focused Scheme under Retail Banking. Deposit projects are Fixed Deposit Receipt (FDR), Trust Smart Savers Scheme (TSS), Trust Twice Profit Scheme (TDLS), Trust Money Making Scheme (TMMS), Trust Educare Scheme (TES), Deposit Scheme based on Monthly Profit (MBDS), Lacpoti (Millionaire) Savings Scheme (LSS) and Interest Fast Deposit Scheme (IFFDS).
In 2006, Trust Bank launched Online Banking Services. The bank introduced merchant banking and islami banking activities since April and July of 2008 respectively. All earning profit of the bank invests in social interest of Army Welfare Trust. The bank has own programme to reduced poverty and socio-economic development of the country. Trust Bank disburse loan in easy terms to the soldiers of Air, Naval and Army force with the view of their lifestyle development and welfare.
In the beginning (1999), the bank did not operate foreign exchange business but later it starts foreign exchange and foreign business in limited scale. The bank established correspondent relationships with 21foreign banks.
In 2020, bank deposits accounted for 1.9 per cent of total banking sector deposits and loans and advances accounted for 1.9 per cent of total banking sector loans and advances. The average interest rate differential between June 2020 based deposits and loans and advances was 4.7 percent. [Muhammad Abdul Mazid]
