Report on:

Impact of Small and Medium Enterprises (SME) loan on National Bank Limited credit holders in income generation and satisfying their basic needs

SUBMITTED TO
Dr. Shaker Ahmed Professor Department of Management Stdies, Business Studies Faculty University of Dhaka

SUBMITTED BY
S.M. Saifur Rahman Mohammad Shafiqul Alam Md. Mashiur Rahman Kazi Md. Taslim Uddin Nabamita Raut ID: 3-10-19-34 ID:3-10-19-30 ID:3-05-07-40 ID:3-10-18-45 ID:3-09-16-39

Semester Spring, 2011 MBA Evening Program. Department of Management Studies Faculty of Business studies.

Date if Submission: April 16, 2011.

Letter of Transmittal
Date: April 15, 2011
To Dr. Shaker Ahmed Professor Department of Management Studies Faculty of Business Studies

Subject: Impact of SME in satisfying basic need of Credit holders

Dear Sir Here is a report international business on Impact of SME in satisfying basic need of Credit holders to fulfill the partial requirement for the course of International Business Research.

Here in this report we have tried to find the impact of SME loan in satisfying the basic needs of the credit holders. We have tried to focus on the five major basic need i.e. food , education, medical, accommodation. We have tried to show how the income of people influences these variables.

Sincerely yours,

S.M. Saifur Rahman ID: 3-10-19-34 Batch-19, Semester-Spring

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Acknowledgement

At first I desire to express my deepest sense of gratitude to almighty Allah. With profound regard I gratefully acknowledge my respected course teacher Dr. Shaker Ahmed, for his generous help and day to day suggestion during preparation of the report.
. I like to give thanks especially to my friends and many individuals, for their enthusiastic encouragements and helps during the preparation of this report by sharing ideas regarding this subject and for their assistance in typing and proofreading this manuscript.

S.M. Saifur Rahman ID-3-10-19-34 Batch-19, Semester-Spring

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Table of Content
Topic No. Page

I. Introduction Part i- v II Report Part Chapter- 01

1.1 Introduction.... 1 1.2 Background of the Study.2 1.3 Definition of SME3 1.4 Problem Statement..4 1.5 Objective: .. 4

Chapter- 02
2.1 Methodology ...5
2.2 Literature Review/.5

2.3 Limitation:...6

Chapter -3
Major Findings..7-23

Chapter 4
4.1 Conclusion....24 4.2 Recommendation...24 Bibliography.....25

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Executive Summery

To be a medium income nation during the next decade, meeting the millennium development goals (2015) and Vision 2021, the present government is trying to build a sound socio-economic infrastructure. In doing so, the government initiatives for planning, organizing and controlling the various sectors of the economy triggers the overall economic growth rate already. The government provides a separate policy towards SME credit disbursement mentioned earlier for better functioning of the sector. Most of the private and public commercial banks are playing role by disbursing credit amount to the potential entrepreneurs for better doing and sound business functions. Here in this report we have tried to find the impact of SME loan in satisfying the basic needs of the credit holders. We have tried to focus on the five major basic need i.e. food , education, medical, accommodation. We have tried to show how the income of people influences these variables. For the data analysis we have surveyed the loan holders with a questioners where we have selected 35 borrower among 120 borrowers of Dhaka city(Jatrabari to Uttara) and we have used nonprobability sampling with convenient method for convenience. In case of data analysis we have used MS office and excel tools. From the study, it is found that 85.71 per cent of credit holders belong to the group of increased income and only a negligible number (14.28) of credit holders are with no changes of income group. But ultimately we have found most of the persons are satisfied with SME loan.