iii) Prime Bank Limited
Prime Bank Limited witnessed a considerable improvement in its overall business performance during the year 1999. The Bank achieved satisfactory progress in all areas of its operation and earned an operating Profit of Tk. 360.51 million showing a growth of 63% over the previous year. The Bank, as a prudent measure, marked down the value of investment in shares and securities to market price as on 31-12-99 by complying with International Accounting Standard (IAS-30)

After making full provision, the net pre tax-Profit of the Bank for the year stood at Tk. 316.77 million compared to Tk. 17.39 million in 1998. The return on Assets (ROA) was 5.30% well above the industry average.

iv) Capital Funds
The Authorized and Paid up Capital of the Bank are Tk. 1000.00 million and Tk. 400.00 million respectively. The Bank raised its paid up capital from Tk. 200.00 million to Tk. 400.00 million during the year through Public Issue of 2,000,000 ordinary shares at par value of Tk. 100.00. With the increase of Paid-up Capital to Tk. 400.00 million, the capital base of Prime Bank Limited has become one of the strongest. The total Capital Funds of the Bank at the year end stood at Tk. 719.23 million against Tk. 293.70 million in the previous year. The Capital Adequacy Ratio is 15.14% as on 31-12-99, which is well above the stipulated 8% required for Banks in Bangladesh. The ratio of Tierl capital is 14.06%.

v) Deposits
Deposits of the Bank grew by 44% to Tk. 7660.02 million as at 31st December 1999 as against national average of 14.20%. The Bank introduced several deposit schemes to encourage and mobilize savings. Major savings schemes include the following :-
• Contributory Savings Scheme
• Monthly Benefit Deposit Scheme
• Special Deposit Scheme
• Education Savings Scheme
• 30 Day's Term FDR
• Prime Bank Money Scheme
• Prime Bank Insured Fixed Deposit Scheme

Our various purpose-oriented deposit schemes have been appreciated by the Public and have gained good popularity. As on 31-12-99, deposits under above schemes stood at Tk. 1005.57 million as against Tk. 812.37 million in the last year showing an increase of 24% over the preceding year.

vi) Loans and Advances
Loans and Advances of the Bank stood at Tk. 5027.37 million as on 31-12-99 against Tk. 3127.77 million last year. During the year under review, the Bank extended loans and advances of Tk. 1899.60 million to the private sector for domestic and international trade as well as for project finance and working capital. Due to liberal Credit to Export Sector, the Bank was able to handle larger volume of Foreign Exchange Business. The Bank also extended a number of project finance and industrial loans in syndication with other Banks.

vii) Leading in Consumer Banking
Prime Bank Limited is a leading Bank for consumers and small business with a commanding presence in Consumer Credit, Hire Purchase and Lease Finance. The Consumer Credit Scheme of the Bank, which aims to help the fixed income group in raising standard of living, has been widely appreciated. Total 10618 customers have enjoyed Credit facility to the extent of Tk. 480.41 million under the Scheme. The rate of recovery of loan under the scheme is 96%. The Bank also recently introduced Credit Card both domestic and international as principal member of Master Card International.

viii) Quality of Risk Assets
In order to maintain high quality of risk assets, utmost efforts are made by the Board of Directors and by the Management on an ongoing basis. A Credit Committee at Bank's Head Office sits every day to monitor the quality of loans. As on 31-12-99, the Bank's ratio of classified loans to total loans is only 1.63% as against 1.77% in the last year which is one of the lowest in Bangladesh. The Bank has made full provision against classified loans in addition to making provision of 1% against unclassified loans.
Prime Bank Limited follows International Accounting Standard (IAS-30) in assessing the value of its investment in shares at the year end.