Most of the listed non-bank financial institutions have managed to increase their net profit in the first half of the year 2014 compared with that in the same period of the previous year mainly due to relaxed loan rescheduling policy of the central bank.
\nIn December last year, Bangladesh Bank had relaxed loan rescheduling policy for the NBFIs till June 30 this year following demands from different trade bodies.
\nOut of the 23 listed non-banking NBFIs, 20 institutions have so far disclosed their half-yearly
\nfinancial report as per the listing rules.
\nOf the 20 NBFIs which have disclosed their financial statements for the period of January-June, 14 institutions managed to increase their profit and five institutions made less profit in the period.
\nThe NBFIs which made increased profit during the period are IDLC Finance, Phoenix Finance and Investments, Bay Leasing & Investment, Prime Finance & Investment, United Leasing, National Housing Finance, Islamic Finance & Investment, Fareast Finance & Investment, GSP Finance Company (Bangladesh), Uttara Finance, Bangladesh Industrial Finance, Union Capital,
\nFAS Finance & Investment, Bangladesh Finance and Investment and International Leasing & Financial Services.
\nThe companies which made less profit are: LankaBangla Finance, First Lease Finance and Investment, Industrial Promotion and Development Company of Bangladesh, People\u2019s Leasing and Financial Services, Premier Leasing & Finance.
\nInternational Leasing & Financial Services Limited is the lone company which incurred losses during the period.
\nLoss of the ILFSL, however, declined to Tk 6.64 crore during the January-June period of the year compared with Tk 13.20 crore losses in the same period of the previous year.
\nDelta Brac Housing Finance, ICB and MIDAS Financing are yet to disclose their half-yearly financial statements.
\nNet profit of most of the NBFIs increased during the first half of the year following the relaxed loan rescheduling policy offered by the central bank following the countrywide political unrest before the national polls, experts in the financial sector said.
\nIf the facility of loan rescheduling was not offered, then the salutation might be different as private sector credit growth was dissatisfactory during the period, they said.
\nRelaxed policy on loan rescheduling might have played an important role behind the increased profit of the NBFIs in the first half of the year, Akter H Sannamat, managing director of the Union Capital, said while talking to New Age recently.
\nHe also said the relaxed facility on loan rescheduling was now unavailable and that might
\nimpact on the NBFIs\u2019 profit in the coming days.
\nAccording to the BB data, the year-on-year credit growth rate in the private sector was 11.39 per cent in May against 11.86 per cent in April this year.
\nCredit flow to the private sector was Tk 4,94,720.50 crore in May 2014 against Tk 4,44,153.40 crore in the same month of 2013.
\nThe private sector credit growth hit a 14-and-a-half-year low at 10.60 per cent in December 2013 compared with that of 16.61 per cent in the same month of 2012 due to the political unrest over the general elections.
\nThe political uncertainty is still persisting among the businesspeople as the majority of the country\u2019s political parties rejected the \u2018one-sided national elections\u2019 held on January 5 and are demanding fresh polls.<\/p>\n

-With New Age<\/strong> inpput<\/p>\n","protected":false},"excerpt":{"rendered":"

Most of the listed non-bank financial institutions have managed to increase their net profit in the first half of the year 2014 compared with that in the same period of the previous year mainly due to relaxed loan rescheduling policy of the central bank. In December last year, Bangladesh Bank had relaxed loan<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_editorskit_title_hidden":false,"_editorskit_reading_time":0,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","footnotes":""},"categories":[4],"tags":[],"yoast_head":"\n