The Performance of Banking System: A Study on Some Selected Commercial Banks

Abstract

The banking sector is playing very vital role for the progress of economy of Bangladesh. Although banks create no new wealth, but their borrowing, lending and related activities facilitate the process of production, distribution, exchange and consumption of wealth. In this way they become very effective partners in the process of economic development. This paper examines mainly the financial performance of some selected private commercial banks of Bangladesh. This study is mainly based on secondary sources. For analyzing and comparing data various ratio analysis like – ROE, ROI, ROA, EMR and PMR. Least Square Method was used for financial trend analysis of banks. It is observed from the study that the net income of the selected private commercial banks has increased from the previous year during 2005 to 2009. It is also reflected from the analysis that the EPS of all the selected commercial banks are very high during 2005 to 2009.