Growth of Non Bank Financial Institutions over Time and Contribution to Economy: Evidence from Bangladesh. Instead of Present one

1
Anupam Das Gupta
Anupam Das Gupta
2
Afsana Yesmin
Afsana Yesmin
3
Md. Omar Faruk Khan
Md. Omar Faruk Khan
1 University of Chittagong

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Growth of Non Bank Financial Institutions over Time  and Contribution to Economy: Evidence from Bangladesh. Instead of Present one Banner
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Non-banking financial companies, or NBFIs, are the financial institutions that provide financial services including banking but do not hold a banking license. These institutions are not allowed to take deposits from the public. The development of non-bank financial institution as financial intermediaries complementary to commercial banks is noticeable in Bangladesh. Started in 1981, the size of the nonbanking sector has been increased in both absolute and relative terms. However, the research on the sector remains substantially insignificant. Most importantly, growth of the non-banking industry and its contribution in the economic development have been a lacking in the available existing literature. Keeping this in mind, this paper aims at addressing the growth of the industry and its change over time by adopting growth measures based on asset, loan, income and expenditure figures with a sample period of 11 years from 2000-2010. The study reveals a positive growth of NBFIs over the years in advances, income, assets and others financial aspect and a good contribution in the GDP growth of Bangladesh.

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No external funding was declared for this work.

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The authors declare no conflict of interest.

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Anupam Das Gupta. 2013. \u201cGrowth of Non Bank Financial Institutions over Time and Contribution to Economy: Evidence from Bangladesh. Instead of Present one\u201d. Global Journal of Management and Business Research - C: Finance GJMBR-C Volume 13 (GJMBR Volume 13 Issue C6): .

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GJMBR Volume 13 Issue C6
Pg. 17- 24
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Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

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June 28, 2013

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Non-banking financial companies, or NBFIs, are the financial institutions that provide financial services including banking but do not hold a banking license. These institutions are not allowed to take deposits from the public. The development of non-bank financial institution as financial intermediaries complementary to commercial banks is noticeable in Bangladesh. Started in 1981, the size of the nonbanking sector has been increased in both absolute and relative terms. However, the research on the sector remains substantially insignificant. Most importantly, growth of the non-banking industry and its contribution in the economic development have been a lacking in the available existing literature. Keeping this in mind, this paper aims at addressing the growth of the industry and its change over time by adopting growth measures based on asset, loan, income and expenditure figures with a sample period of 11 years from 2000-2010. The study reveals a positive growth of NBFIs over the years in advances, income, assets and others financial aspect and a good contribution in the GDP growth of Bangladesh.

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Growth of Non Bank Financial Institutions over Time and Contribution to Economy: Evidence from Bangladesh. Instead of Present one

Anupam Das Gupta
Anupam Das Gupta University of Chittagong
Afsana Yesmin
Afsana Yesmin
Md. Omar Faruk Khan
Md. Omar Faruk Khan

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