The Role of Bangladesh Bank in the Economic Development of

Bangladesh
 Abstract
The research paper addresses the role of central bank of Bangladesh towards banking and
Economic development of Bangladesh. Banking and Economic development is a composite
phenomenon which cannot be measures directly. Role of central bank is very important for each
and every country because of central bank regulates specific function like monetary policy. Role
of Bangladesh bank on banking mainly depends on monetary policy and banking regulations. The
basic feature of CBB is to prepare the monetary policy of the government of Bangladesh,
Organization and Management of the entre economic and banking system. Further CBB also
control all financial matters of the government of Bangladesh such as control the foreign reserve
of the country, currency rate, currency supply in the open market etc. On the other hands we
structured that how people or stake-holders think about the role of Bangladesh bank on banking
and economic development that was our main intentions. We prepared my research paper by using
Qualitative research methodology. The methodology is a systematical, conceptual analysis of the
methods used to field study. Select of research methodology is very significant part of research
design which involve primary data variable, population, sample, and data analysis. This is a
procedure of collect information and data there is included present and past data or information.
For this objective, we are using a questionnaire as an instrument for data collection from several
segmentations of people and organization.

As per survey report, which is dependent on stock holder, the majority of stake-holder were
satisfied with the role of Bangladesh Bank in the economy of the country, particularly in the
reference of monetary policy organization & management and controlling. Based on the finding
the study also recommended that organization and management should improve their activities for
banking and economic development.

Keyword: Central bank of Bangladesh, Monetary Policy, Controlling, Economic Development.

 CHAPTER ONE: INTRODUCTION
1. Introduction:
A Central Bank is the term often used to describe the authority responsible for policies that affect
a country's supply of money and credit. It is a sign of a country authority in the arena of money
and finance.

Central Bank of Bangladesh is very essential as the financial institutions of the country. It’s role
in the economy of the country is very important. Specially, in the industry sectors, agriculture
sectors, banking and finance sectors, social sectors, and the govt. sectors etc. We discussed the
role of Bangladesh Bank to control the inflation and growth of GDP of the country.

Bangladesh Bank was established as a body incorporate vides the Bangladesh Bank Order, 1972
with completion from 16th December 1971. All the members of the body must have experience
and proven ability in the field of banking, trade, commerce, industry or agriculture all assigned
by the government.

The head office of Bangladesh Bank is Motijheel. Moreover this Bangladesh Bank have 8 branch
office, one in Dhaka city, and one each in Chittagong city, Khulna, Rajshahi, Syhlet, Bogra,
Rangpur and Barisal. There are 31 department in the head office. The head office executes its
tasks with 31 departments. The Bangladesh Bank accomplish all the function that a central bank
in any country is expected to perform. Such function contain hold on price stability through
economic and monetary policy measures, governing the country's foreign exchange and gold
reserve, and controlling the banking sector of the country.

Bangladesh Bank is the first central bank in the world to disclose an applied hotline (16236) for
the general public to repine any banking related problems. Besides, the organization is the first
central bank in the world to manifestation a "Green Banking Policy". Not only it is an important
part in controlling the economy of our country, also it is a dream workplace for student who
select banking as their career. The role Bangladesh Bank performs as the central bank of
Bangladesh is enormously significant.

1.1 Purpose of Study:

This thesis report is an important partial requirement of four years BSS graduation program. By
this thesis students learn so many things about central bank of Bangladesh activities in economy
and banking sector. Therefore, this is obvious that the significance of study is clearly justified as
the crucial requirement of four years BSS graduation program. The central bank of Bangladesh is
playing a significant role in facilitating and fostering economic development and growth of the
banking system and other financial institutions in the country.

1.2 Objective of the Study:

The Bangladesh Bank is the central bank of the country that regulates the financial system and
economy of the country. Its role as advisor to the government is to control and monitor the
country's banking process as well as the economic activity of the country. The objective of the
study is to explore the role of central bank of Bangladesh towards banking and economic
development of Bangladesh through stakeholder perceptions.

1.3 Limitations:
Every study may have some limitations. So this study is not free from limitations. Some
limitations are given below:

Lack of time: limitation of time was one of the important factors that shortened the study.

Lack of usable information: Information is not available to study.

Lack of experience: As a newcomer I have little experience in this regard. There is a chance of
occurring error for lack of experience.

Lack of previous research: Literature review is an important part of any research, because it
helps to identify the scope of works that have been done so far in research area.

1.4 Scope of Central Bank of Bangladesh:

That study covered the role of Central Bank of Bangladesh in economy and banking sector and
development through three major functions which interact with central Bank. There are three
major functions of central Bank of Bangladesh preparation of Monetary Policy, Management &
Organization, and Controlling. Those functions lead into a significant effect on the overall
economy and banking sector.

1.4.1 Monetary Policy:

Monetary Policy It is the process by which the monetary authority of a country controls the
supply of money, often targeting an inflation rate or interest rate to ensure price stability and
general trust in the currency.

Objectives of Monetary Policy:

The objectives of monetary policy differ from country to country according to their economic
conditions. The main objectives of monetary policy are given below the following heads.
 • Promoting high employment
• Achieving steady economic growth
• Stable price level as a goal
• Promoting more stable financial markets
• to foster growth and development of the country's productive resources in the best
national interest

Although the long-term focus of monetary policy in Bangladesh is on growth with stability, the
short-term objectives are determined after a careful and realistic appraisal of the current
economic situation of the country.

1.4.2 Management and Organizations:

Bangladesh Bank is the central bank and principal regulatory body for the country's monetary
and financial process, was established in Dhaka as a part corporate vide the Bangladesh Bank
Order, 1972 (P.O. No. 127 of 1972) with effect from 16th December, 1971. The banks highest
official is the governor (currently Fazle Kabir). His seat is in Motijheel, Dhaka. The governor
chairs the board of directors. The executive staff, also headed by the governor, is responsible for
the bank's day-to-day affairs.

Bangladesh Bank also has a number of department under it, namely Debt Management, Law, and
so on, each headed by one or more general managers. The Bank has 10 physical branches:
Mymensingh, Motijheel, Sadarghat, Barisal, Khulna, Sylhet, Bogra, Rajshahi, Rangpur and
Chittagong; each is headed by a general manager or executive director. Headquarter is located in
the Bangladesh Bank Building in Motijheel, which has two general managers.

Ttotal manpower stood at 6341 (officials 4879, subordinate staff 1462) as on April 22, 2021.

In short Central Bank is also responsible for directly contributing to the promotion of the planned
economic development of the economy, and banking systems, foreign exchange management,
currency management, and monetary policy etc.

1.4.3 Board of directors:

The board of directors consists of the bank's governor and eight other members. They are
responsible for the policies undertaken by the bank.

1.4.4 Controlling:
The central bank of Bangladesh has a function to controlled currency circulation in the country,
manage credit money, and regulate the foreign exchange reserve in the country. The central bank
controls the credit money for keeping it at a certain level by using one or more of the following
methods-

• Bank rate policy

• Bank reserve ratio
• Rationing of credit
• Other miscellaneous methods

1.5 Conceptual Framework:

Independent Variable Dependent Variable

A. Monetary Policy

Role of GDP Growth

Central in
Bangladesh
Bank of
B. Management &
Bangladesh;
Organization
In
Bangladesh Inflation in
Bangladesh
Economy
and Banking
C. Controlling
 Chapter Two: Literature Review & Background of the study
2. Literature Review:
The existence previous literatures that discussed the role of central bank in economy and banking
sector is confirmed that the directional relationship between banking sector and economic growth
is significant and positive.

Central banks have long valued their independence and, when not literally independent of
government, their operating autonomy. Immediately before and during the Second World War
most central banks became the agents of their governments, in particular of ministers of finance,
de facto if not literally nationalized until later. They regained their autonomy of action only
gradually (the Federal Reserve in the celebrated “accord” of 1951, when the Fed ceased to support
the government bond market), with many central banks achieving statutory independence only in
the 1990s. Richard N Cooper (2006)

Blinder, Ehrmann, Fratzscher, De Haan and Jansen (2008) divide the goals of communication
policy studies into two separate issues: How communication can be used to manage expectations
by creating news or by reducing noise in markets. Creating news relates to the effectiveness of
communication, i.e. how central bank announcements affect expectations and financial markets by
revealing new information about monetary policy developments or the economic outlook.
(Palmu, 2018)

McKinnon (1973) believes that an increases in banking services and financial activities are
accelerating economy toward growth.

Existing literature has supported the linkage between banking sector and economic growth. The
relation between the banking sector and the economic growth is an argued topic, according to
Goldsmith (1969) that the size of banking sector is linked with the supply and quality of financial
intermediation and his analysis on 35 sample countries proved a positive correlation between the
banking sector and economic growth. Also McKinnon (1973) and Shaw (1973) seek for that
relation, and they found that the banking sector affect the economic growth clearly.

Miwa et al (2000) explored the role of central banks on developing Japanese economy. They found
Japanese firms did not grow through banking funds. They argued that the manufacturing firms in
Japan raise of their funds through decentralized and competitive capital markets rather than
banking credits supply.
Finally, we didn’t find any previous study about role of central bank towards banking and
economic development in the context of Bangladesh bank. We prepared my research paper by
using Qualitative research methodology in which we prepared a questionnaire about role of
central bank towards banking and economic development. For getting the feedback from we
have formed the structured questionnaire. Three are 20 questions in four segmentations named
monetary policy, Organizations, controlling and role of CBB in economy. It was a magnificent
experience for me doing this research and collecting information from a different segment of
people and organizations.
 Chapter Three: Research Design & Methodology

In this chapter, I discuss and explained the procedure & methods which I applied in that research.
What methodology I applied, how to collected the data for this research, how to choice of
population, how to create google survey and finally how to data analysis.

3.1 Research Methodology:

I prepared my research paper by using Qualitative research methodology. The methodology is a
systematical, conceptual analysis of the methods used to field study. Select of research
methodology is very significant part of research design which involve primary data variable,
population, sample, and data analysis. This is a procedure of collect information and data there is
included present and past data or information. For this objective, we are using a questionnaire as
an instrument for data collection from several segmentations of people and organization. We are
putting the numerical data in this research study.

As we know my research title is “Role of Central Bank towards Banking and Economic
development”. This research relies on some interview observation, statement and descriptions.
This types of research design ambitions to conduct who, what, where, and how as per conditions.

3.2 Data Collection:

Data collection is the method of collection information and data with validity. We can accumulate
data by the questionnaires, interview, and online survey. Consequently, we acceptance these
process to a collection of primary and secondary data.

1-Questionnaire: I design a questionnaire for accumulation of primary data I prepare a

questionnaire.

2-Interview: By that’s questionnaire, we take interviews of connected people dependent variable

and independent variable.

3-Survey: Survey is an instrument of research for data collection and it’s a tool of sampling data
which I applied in survey form in my research for Central Bank of Bangladesh.

3.3 Population and Sample Group:

The sample is a segment of the population we adopt a sample on random basis from the whole
population. The sample group focus on the people has connected with the banking sector or
financial institution that’s why we applied all types of sample technique in this research.
3.4 Data Analysis Instrument:
The basic objective of data collection is the experiment of data because if analyzed of data we can
obtain the result how as per our research Bangladesh Bank role in the economy of Bangladesh as
significant and important which we can illustrate in our research paper. For this conception, we
shorten, analyzed, reach the relationship between variable of data, comparison variables data and
in the end focused on outcome. For this research, we applied the following methods to analyzing
the data Means, standard Deviations, Regressions, sampling and Hypothesis Testing etc.

3.5 Reliability & Validity:

Reliability and validity of data are very compulsory for slandered research. If data is not reliable
and valid than the result of research is also not reliable and valid.

3.6 Research Design:

Unit of Primary Data

Sampling
Analysis Questionnaire
Descriptive Minimum
Quantitative Interference

Role of CBB in Bangladesh Economy & Banking System

Spearman Correlation Coefficient

Conclusion
 Chapter Four: Data Analysis
Research Data Analysis related to Central Bank of Bangladesh
My research depends on “Role of Central Bank towards Banking and Economic development” of
our country also in the role in the banking system of Bangladesh. In this research, we will discuss
the data analysis and its conclusion.

4.1 Data Analysis:

For data analysis, I have prepared a questionnaire for a survey about the role of BB in the economy
of Bangladesh. My questionnaire not related to any type of gender age of participants in a survey
it basis of knowledge of participants. That survey only basis on the result of the survey report.
Further, I have not considered geographical location because it is not related with our research.
For the survey I have prepared criteria in five options for a survey of questions details is as
follows-

1. Below Average
2. Average
3. Good
4. Very Good
5. Excellent

I have divided the data into four important categories these are very important for the role of the
Central Bank of Bangladesh.

a. Monitory Policy
b. Organizations
c. Controlling
d. The role of central Bank of Bangladesh

I have divided survey options into two categories to measures the role of central bank towards

economy and banking development these are: A. Below Average, Average = Dissatisfied

B. Good, Very Good and Excellent = Satisfied

4.2 Variable Information:

Variable Position Label Measurement Role Alignment
Level
Mandatory 1 Are you live in Bangladesh or have Nominal Input Right
strong knowledge about
Bangladesh?
Monetary 2 What is the impact of monetary Ordinal Input Right
Policy 1 policy on the economy of
Bangladesh?
Monetary 3 How the monetary policy controls Ordinal Input Right
Policy 2 inflation in Bangladesh?
Monetary 4 How the monetary policy impact Ordinal Input Right
Policy 3 on the reserve system of
Bangladesh Bank?
Monetary 5 How the monetary policies Ordinal Input Right
Policy 4 establish the confidence of foreign
investor on the economy of
Bangladesh?
Monetary 6 How monetary policy promote Ordinal Input Right
Policy 5 local inventor in the economy of
Bangladesh?
Organization 1 7 How the central Bank of Ordinal Input Right
Bangladesh Organization &
Management are working in the
economy of the country?
Organization 2 8 How the central Bank of Ordinal Input Right
Bangladesh Organization stricture is
working successfully?
Organization 3 9 How the Bangladesh Bank develop Ordinal Input Right
the Banking systems of
Bangladesh?
Organization 4 10 How the Bangladesh Bank Ordinal Input Right
exchange Management is
appropriate?
Organization 5 11 How the central Bank of Ordinal Input Right
Bangladesh risk management is
successful?
Controlling 1 12 How the Bangladesh Bank control Ordinal Input Right
appropriately foreign exchange
management?
Controlling 2 13 How far do you think the central Ordinal Input Right
Bank of Bangladesh controlling on
currency supply is successful?
Controlling 3 14 How the Bangladesh Bank control Ordinal Input Right
the banking rate of interest in the
country?
Controlling 4 15 How the Central Bank of Ordinal Input Right
Bangladesh effect of controlling
protocols and GDP appropriation?
Controlling 5 16 How the central Bank of Ordinal Input Right
Bangladesh control Banking
system?
Role of 17 How the important role of Ordinal Input Right
Bangladesh Bangladesh Bank to development of
Bank 1 Private banking system in our
country?
Role of 18 How the important role of central Ordinal Input Right
Bangladesh Bank of Bangladesh to development
Bank 2 of industrialization in Bangladesh?

Role of 19 How the important role of Ordinal Input Right

Bangladesh Bangladesh Bank in rural
Bank 3 development & agriculture
development in Bangladesh?
 Role of 20 How far do you think Bangladesh Ordinal Input Right
Bangladesh Bank role in the growth of GDP and
Bank 4 GNP of the country?
Role of 21 How the important role of central Ordinal Input Right
Bangladesh Bank of Bangladesh to our country
Bank 5 to development of social wellbeing
and SME in the country?

4.2 Variable Value:

Value Entitle
Mandatory 1 yes
2 No
Monetary Policy 1 Below Average
2 Average
3 Good
4 Very Good
5 Excellent
Organization & Management 1 Below Average
2 Average
3 Good
4 Very Good
5 Excellent
Controlling Policy 1 Below Average
2 Average
3 Good
4 Very Good
5 Excellent
Role of CBB in Bangladesh 1 Below Average
2 Average
3 Good
4 Very Good
5 Excellent

4.3 Frequency Table and Bar Chart

Total Frequency Percent Cumulative Percent
180 100 100

Are you live in Bangladesh or have strong knowledge about Bangladesh?

 YES

180, 100%

200 180 160 140 120

100
80 60 40 20

Frequency

We can freely get in the above chart that how many people response in that survey which belongs my
research on “Role of Central Bank towards Banking and Economic development” The total response was
180. An essential condition for responses as they have strong knowledge about Bangladesh economy
and Banking system.

Section A: Monetary policy

Frequency Percent Cumulative Percent
Below Average 14 7.78 7.78
Average 30 16.67 24.45
Good 63 35 59.45
Very good 52 28.89 88.34
Excellent 21 11.6 100
Total 180 100

What is the impact of monetary policy on the economy of Bangladesh?

 Monetary Policy

21
Excellent

Very Good 52

Good 63

Average
30

Below Average
14
0 10 20 30 40 50 60 70
Frequency
Excellent V. good Good Average B. Average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-

Below Average It is the fifth option chosen by survey responses

Average It is the third option chosen by survey responses
Good It is the First option chosen by survey responses
Very good It is the second option chosen by survey responses
Excellent It is the fourth option chosen by survey responses
 Cumulative Percent
Below Average 25 13.89 13.89
Average 57 31.67 45.56
Good 45 25 70.56
Very good 42 23.33 93.89
Excellent 11 6.11 100.00
Total 180 100

How the monetary policy controls inflation in Bangladesh?

Monetary policy

42

45

57

11
Excellent

Very Good

Good

Average

Below Average
25
0 10 20 30 40 50 60
Frequency

Excellent V. Good Good Average B.average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fourth option chosen by survey responses
 Frequency Percent Cumulative Percent

Average It is the First option chosen by survey responses

Good It is the Second option chosen by survey responses
Very good It is the Third option chosen by survey responses
Excellent It is the Fifth option chosen by survey responses

Frequency Cumulative Percent

Below Average 14 7.78 7.78
Average 48 26.67 34.45
Good 56 31.11 65.56
Very good 39 21.67 87.23
Excellent 23 12.77 100
Total 180 100

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fifth option chosen by survey responses
Average It is the Second option chosen by survey responses
Good It is the First option chosen by survey responses
Very good It is the Third option chosen by survey responses
Excellent It is the Fourth option chosen by survey responses

Section B: Management & Organization

Frequency Percent Cumulative Percent
Below Average 18 10 10.00
Average 30 16.67 26.67
Good 51 28.33 55.00
Very good 70 38.89 93.89
Excellent 11 6.11 100.00
Total 180 100
How the central Bank of Bangladesh Organization & Management are working in the
economy of the country?

Management & Organization

11
Excellent

70
Very Good

Good 51

Average
30

Below Average
18
0 10 20 30 40 50 60 70 80
Frequency

Excellent V.Good Good Average B.average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fourth option chosen by survey responses
Average It is the Third option chosen by survey responses
Good It is the Second option chosen by survey responses
Very good It is the First option chosen by survey responses
Excellent It is the Fifth option chosen by survey responses

Frequency Percent Cumulative Percent

Below Average 14 7.78 7.78
Average 17 9.44 17.22
Good 60 33.33 50.55
Very good 65 36.11 86.66
Excellent 24 13.34 100.00
Total 180 100

How the central Bank of Bangladesh Organization stricture is working successfully?

 Frequency Percent Cumulative Percent

From the above chart, the majority of responses of the survey select their choices in the
following sequence-

Below Average It is the Fifth option chosen by survey responses

Average It is the Fourth option chosen by survey responses
Good It is the Second option chosen by survey responses
Very good It is the First option chosen by survey responses
Excellent It is the Third option chosen by survey responses

Below Average 11 6.11 6.11

Average 26 14.44 20.55
Good 68 37.78 58.33
Very good 47 26.11 84.44
Excellent 28 15.56 100.00
Total 180 100

Section C: Controlling policy

Frequency Percent Cumulative Percent
Below Average 12 6.67 6.67
Average 22 12.22 18.89
Good 59 32.78 51.67
Very good 72 40.00 91.67
Excellent 15 8.33 100.00
Total 180 100
 How the Bangladesh Bank control appropriately foreign exchange management?

Controlling
15
Excellent

72
Very Good

Good 59

Average
22

Below Average
12
0 10 20 30 40 50 60 70 80
Frequency

Excellent V.Good Good average B.average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fifth option chosen by survey responses
Average It is the third option chosen by survey responses
Good It is the Second option chosen by survey responses
Very good It is the First option chosen by survey responses
Excellent It is the Fourth option chosen by survey responses

Below Average 6 3.33 3.33

Average 19 10.56 13.89
Good 71 39.44 53.33
Very good 73 40.56 93.89
Excellent 11 6.11 100.00
Total 180 100

How far do you think the central Bank of Bangladesh controlling on currency supply is
successful?
 Frequency Percent Cumulative Percent

Controlling
11
Excellent

73
Very Good

Good 71

Average
19

Below Average
6
0 10 20 30 40 50 60 70 80
Frequency

Excellent V.Good Good Average B.average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fifth option chosen by survey responses
Average It is the third option chosen by survey responses
Good It is the Second option chosen by survey responses
Very good It is the First option chosen by survey responses
Excellent It is the Fourth option chosen by survey responses
 Cumulative Percent
Below Average 22 12.22 12.22
Average 65 36.11 48.33
Good 40 22.22 70.55
Very good 39 21.67 92.22
Excellent 14 7.78 100.00
Total 180 100

How the Bangladesh Bank control the banking rate of interest in the country?
Controlling

39

4
0

6
5

14
Below Average
22
0 10 20 30 40 50 60 70
Frequency

Excellent V.Good Good Average B.Average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-

Below Average It is the Fourth option chosen by survey responses

Average It is the First option chosen by survey responses
Good It is the Second option chosen by survey responses
Very good It is the third option chosen by survey responses
Excellent It is the Fifth option chosen by survey responses
 Frequency Percent Cumulative Percent

Below Average 30 16.67 16.67

Average 60 33.33 50.00
Good 38 21.11 71.11
Very good 41 22.78 93.89
Excellent 11 6.11 100.00
Total 180 100

How the Central Bank of Bangladesh effect of controlling protocols and GDP appropriation?

Controlling
11
excellent

41
Very Good

Good 38

Average
60

Below Average
30
0 10 20 30 40 50 60 70
Frequency

Excellent V.Good Good Average B.Average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fourth option chosen by survey responses
Average It is the First option chosen by survey responses
Good It is the Third option chosen by survey responses
Very good It is the Second option chosen by survey responses
Excellent It is the Fifth option chosen by survey responses

Section D: Role of Central Bank of Bangladesh in Economy

Frequency Percent Cumulative Percent
 Below Average 12 6.67 6.67
Average 16 8.89 15.56
Good 80 44.44 60.00
Very good 42 23.33 83.33
Excellent 30 16.67 100.00
Total 180 100

How the important role of Bangladesh Bank to development of Private banking system in our
country?

Role of CBB in Economy

30
Excellent

42
Very Good

Good 80

Average
16

Below Average
12
0 10 20 30 40 50 60 70 80 90
Frequency

Excellent V.Good Good Average B.Average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fifth option chosen by survey responses
Average It is the Fourth option chosen by survey responses
Good It is the First option chosen by survey responses
Very good It is the Second option chosen by survey responses
Excellent It is the Third option chosen by survey responses

Frequency Percent Cumulative Percent

 Frequency Percent Cumulative Percent

Below Average 14 7.78 7.78

Average 37 20.56 28.34
Good 65 36.11 64.45
Very good 47 26.11 90.56
Excellent 17 9.44 100.00
Total 180 100

How the important role of central Bank of Bangladesh to develop of industrialization in

Bangladesh?
Role of CBB in Economy

4
7

6
5

37

17
Excellent

Very Good

Good

Average

Below Average
14
0 10 20 30 40 50 60 70
Frequency

Excellent V.Good Good Average B.Average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average It is the Fifth option chosen by survey responses
Average It is the Third option chosen by survey responses
 Good It is the First option chosen by survey responses
Very good It is the Second option chosen by survey responses
Excellent It is the Fourth option chosen by survey responses

Below Average 19 10.56 10.56

Average 32 17.78 28.34
Good 72 40.00 68.34
Very good 36 20.00 88.34
Excellent 21 11.66 100.00
Total 180 100

How the important role of Bangladesh Bank in rural develop & agriculture development in
Bangladesh?

Role of CBB in Economy

21
Excellent

36
Very Good

Good 72

Average
32

Below Average
19
0 10 20 30 40 50 60 70 80
Frequency

Excellent V.Good Good Average B.average

From the above chart, the majority of responses of the survey select their choices in the
following sequence-
Below Average 19 10.56 10.56
Average 66 36.67 47.23
Good 30 16,67 63.9
Very good 57 31.66 95.56
Excellent 8 4.44 100.00
Total 180 100

How far do you think Bangladesh Bank role in the growth of GDP and GNP of the country?

Role of CBB in Economy

8
Excellent

Very Good 57

good 30

Average
66

Below Average
19
0 10 20 30 40 50 60 70
Frequency

Excellent V.Good Good Average B.Average

From the above chart, the majority of responses of the survey select their choices in the following
sequence-
Below Average It is the Fourth option chosen by survey responses
Average It is the First option chosen by survey responses
Good It is the third option chosen by survey responses
Very good It is the Second option chosen by survey responses
Excellent It is the Fifth option chosen by survey responses

Below Average 6 3.33 3.33

Average 26 14.44 17.77
Good 56 31.11 48.88
Very good 62 34.44 83.32
Excellent 30 16.68 100.00
Total 180 100
How the important role of central Bank of Bangladesh to our country to develop of social wellbeing
and SME in the country?

Role of CBB in Economy

30
Excellent

62
Very Good

Good 56

Average
26

Below Average
6
0 10 20 30 40 50 60 70
Frequency

Excellent v.good Good Average b.average

From the above chart, the majority of responses of the survey select their choices in the following
sequence-
Below Average It is the Fifth option chosen by survey responses
Average It is the Fourth option chosen by survey responses
Good It is the Second option chosen by survey responses
Very good It is the First option chosen by survey responses
Excellent It is the Third option chosen by survey responses

Chapter Five: Conclusion

 Summary:
This paper has explored both theoretical and empirical literature on the role of Bangladesh Bank
in economy and banking sector. The paper has provided an overview of how monetary Policy,
financial institutions of Bangladesh bank and credit control transmits to economic development.
Overall, the findings of this paper show that the majority of stake-holder tend to support a positive
impact of monetary policy, financial institution and credit controlling on economic development
mainly in financially developed economies with fairly independent central banks. Central Bank of
Bangladesh suggests the guideline to the govt. how to make economic policy for the betterment of
the people of Bangladesh.

Moreover, that’s research paper, any person can getting the role of central bank of Bangladesh in
any financial sector of the country like as the banking sector, agriculture sector, trade sector and
social sector etc.

Recommendation and Suggestions:

Bangladesh Bank is the fundamental player for the banking sector of Bangladesh as well as for the
economy sector. Bangladesh Bank is the banker to the government as well as to other banks. Based
on the above study the following suggestions may need to be perform as amendment or rebuild to
develop the progress-

 The roles and supervisions activity of the central bank should be decentralized by making
new agency. Many country have accepted and adepts this.
 Govt. interruption, political interference, influence from the trade unions has to be
minimized for the smooth functioning of the bank.
 Identify significant policy changes of the monetary sector which reinforced and improved
Bangladesh Banks capacity in governing the financial sector.
 Lastly, The improvement in function of Central Bank of Bangladesh its means
improvement of the economy of Bangladesh.

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