In recent days the Small and Medium Enterprise (SME) Financing has become an important area for Commercial Banks in Bangladesh. Uttara Bank-one of the largest and oldest private-sector commercial bank in Bangladesh, with the better experience. 216 branches at home and 600 affiliates worldwide create efficient networking and reach capability. It is most important to mention that, though it is the largest private bank in the Bangladesh but they doing their job totally manually. Historically, Bangladesh followed a development strategy in which private investment was controlled through a host of regulations involving investment sanctioning, credit disbursement, import licensing, foreign exchange allocation, etc. While these regulatory barriers thwarted private investment in general, the impact fell unevenly on SMEs. In the year 2005 the GDP growth in our country was registered at 6.9 per cent. The largest growth came from industrial sector, which is 8.5 per cent. The large-medium and small-scale industry grew by 8.7 per cent and 7.9 percent respectively. Uttara Bank Limited has offer a broad array of innovative financial services to match the specific requirement of the client ranging from large corporate houses, Small and Medium Enterprises (SME) to private individuals. As credit application requires availability adequate information, most of the SMEs do not have adequate information. They do not maintain their financial statement appropriately of the business; even they do not feel the necessity of doing so. That’s why Banks are not getting appropriate information regarding their business and themselves as well. Bangladesh has 47 banks and 29 non-bank financial institutions. As of June, the outstanding SME loans stood at Tk 360,564 crore, which is 20.12 percent of the total loans and advances.
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