Rupali Bank Limited
Rupali Bank Limited established under the Bangladesh Banks Nationalisation Order 1972 by taking over the assets and liabilities of the Muslim Commercial Bank, Australasia Bank and Standard Bank that were functioning in East Pakistan. The bank started operations in March 1972 with an authorised capital of Tk 50 million and paid up capital of Tk 10 million. The paid up capital was raised to Tk 20 million in 1973. In view of the increased volume of banking activities and business, its authorised and paid up capital were further increased to Tk 7 billion and Tk 1.25 billion respectively.
Table Basic facts and economic indicators (in million Taka).
|Paid up capital||1250||1250||1250||1250||1250||1250|
|(a) Call Deposits||17298||10868||12014||14882||14456||22277|
|(b) Term Deposits||46376||56003||55818||57927||56938||50708|
|Loans and Advance||45345||44921||45710||47080||49030||52344|
|Foreign Currency Trading||42564||41413||39849||45151||49517||55033|
|Total Branches (in numbers)||493||492||492||492||492||492|
|Loan Outstanding by Sector|
|Agriculture and Fisheries||149||156||152||148||151||173|
|Trade and Commerce||14793||18969||18723||19106||20429||20740|
Source Government of Bangladesh, Ministry of Finance, Banking and Financial Institution Division, Bank o Arthik Prothisthan Samuher Karjaboli [Annual Report on Banks and Financial Institutions], 2004-05 to 2009-10.
The bank was denationalised on 14 December of 1986 with the provision that the government of Bangladesh would hold at least 51% of its share capital and the rest would be subscribed by the general public. In 1997, the government's share in its paid up capital was 94.55%. Because of the very large share of the government in the bank's capital, it is still considered as a nationaliased commercial bank. On 30 June 2000, the number of shareholders of the bank was 2,723. On that date, its reserve funds stood at Tk 181 million.
In addition to traditional deposit taking in various accounts and providing loans to almost all sectors of the economy, the bank offers different types of services including agency services to the government in food procurement and collection of government revenue through the network of its branches all over Bangladesh. Rupali Bank has large participation in foreign exchange business including overseas remittance services. The total volume of foreign exchange business handled by the bank in servicing imports and exports of goods and remittance during 1999-2000 amounted to Tk 22.743 billion compared to only Tk 480 million in 1972-73. At present, the bank has correspondent relationships with 175 foreign banks/bank offices throughout the world.
The management of the bank is vested in a 13-member board of directors appointed by the government. The board has a chairman assisted by 6 directors. The managing director is the chief executive of the bank. The bank has a divisional office at each of the six administrative divisions of the country and in addition, it has regional offices. The various important divisions/departments of the bank at its head office are for personnel, establishment and welfare, general banking, central accounts, development, planning and research, general credit, specialised credit, international transactions, audit and inspection, law and recovery and rural credit and reconciliation. The bank operates a large-scale foreign trade and also provides different services including transshipment of foreign remittances. Presently the bank is functioning correspondent banking with 162 banks and financial institutions all over the world. Also it had an overseas branch in Karachi.
The bank receives deposit from various service's accounts and distributes loan in every sector of economy. Moreover, Rupali bank arranges for agency service to the government in food collecting programme and accepts revenue through all the 492 branches across the country. At present, the total number employee of the bank is 4293. [Muhammad Abdul Mazid]