Cash management is very important for a financial institution. Without proper management of cash no institution can do well. Financial institution deals with money. They collect cash from the depositor and deploy it to the investors. The demand of liquidity is more than any other organization.

Banks collect deposits from the public for the purpose of lending and to earn profits from such operation. In this connection, Banks mainly collect deposits in as much possible lower rate and invest as much possible higher rate. In broad sense the difference between these two rates is Bank’s profit. To earn maximum profit Banks have to lend all of their deposits.


Cash Management

• Motives for Holding Cash
• Speeding Up Cash Receipts
• S-l-o-w-i-n-g  D-o-w-n Cash Payouts
• Electronic Commerce
• Outsourcing
• Cash Balances to Maintain
• Investment in Marketable Securities

Motives for Holding Cash
Transactions Motive -- to meet payments arising in the ordinary course of business
Speculative Motive -- to take advantage of temporary opportunities
Precautionary Motive -- to maintain a cushion or buffer to meet unexpected cash needs

OVERVIEW OF EXIM BANK LTD

Economy is the backbone of a nation and financial institutions constitute the backbone of the national economy. And among all the financial institutions, Bank is the most potential one to make substantial contribution.
EXIM Bank Ltd. is a 3rd generation scheduled Bank registered by the Bangladesh Bank. Hence the Bank abides by the rules and regulations prescribed by the Bangladesh Bank. The function of the Bank covers a wide range of Banking and functional activities to individuals, farms, corporate bodies other multinational agencies featuring - Safety, liquidity and profitability of savings.

Export Import Bank of Bangladesh Limited, commencing its business since the 3rd August 1999, has boldly made its way through overcoming all its obstacles with extreme efficiency and achieved a place from where it stirs the part of economic role it is allocated with. This report, which is prepared on the basis of a long-term practical Banking experience, reveals the facts relating to the organization.

The Authorized Capital of EXIM Bank is BDT 1,000.00 Million and total core capital is BDT 748.27 million. It may be mentioned that the paid up capital of BDT 313.87 million, Statutory reserve funds of total BDT 228.20 million, Retained Earning BDT 123.62 million, The total deposit of the Bank including Bills Payable of BDT 9,945.23 million of last year is rose to BDT 15,242.97 million. The total Loans and Advances of the EXIM Bank stood at BDT 12,289.12 million.