Premier Bank wants to remain citizens’ “bank of first choice”.

– says the president on the occasion of the silver jubilee

Star business report

Sunday 27 Oct 2024 12:00 Last update: Sunday 27 Oct 2024 12:00

Mohammad Abu Jafar

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Mohammad Abu Jafar

Over its 25 years of operations, Premier Bank has created a brand that combines trust, innovation and exceptional customer service, said Mohammad Abu Jafar, managing director and CEO of the private commercial lender.

“As we begin this next chapter, our aim is to maintain our position as people’s ‘bank of first choice’,” Jafar told The Daily Star on the occasion of the bank’s silver jubilee yesterday.

Sharing insights on the bank’s history, he highlighted some of the milestones achieved over the years, including the introduction of real-time online banking, the launch of Islamic banking services, the development of the Premier Agent Banking network and the innovative smart banking application ‘pmoney’.

He said the bank currently plans to double its business and market share in the coming years. “We expect to increase our loan portfolio to Tk 60,000 crore to Tk 80,000 crore in the next five years, with a focus on agriculture and SMEs.”

Jafar said their main strengths lie in their strong brand equity, experienced management and skilled workforce.

“With a comprehensive network of branches, subsidiaries, agency banking outlets and a competitive product portfolio, Premier Bank is well positioned to lead the market,” he added.

To get to this point, the CEO has identified resilience, technological innovation and a customer-centric approach as core elements of his strategic plan.

Differentiating the bank’s loan portfolio from other competitors in the market, he said a distinctive feature of the loan portfolio is its diversification across sectors such as ready-made garments, small and medium enterprises (SMEs), agriculture and housing.

In line with the country’s financial inclusion goals, Premier Bank has actively expanded its reach into rural and underserved areas through agency and branch banking, thereby bringing more people into the formal financial system, Jafar added.

He said the commercial lender allocates over 25 percent of its loan portfolio to support households, micro, small and medium-sized enterprises, which are key to the country’s economic development.

The bank has a clear plan to increase this share to 50 percent in the next three to five years, with a focus on women entrepreneurs and underserved markets, he said.

The CEO said Premier Bank’s growth strategy includes expanding its presence in underserved regions and focusing on digital capabilities to meet evolving customer needs.

He added that in the area of ​​digital banking, the bank has launched the “pmoney” mobile application, which allows customers to access banking services 24 hours a day.

Jafar said the bank continues to invest in its digital infrastructure to enhance convenience and security.

Recent innovations such as the Premier Bank Fast Account and the Green PIN service underscore the company’s focus on making banking simpler and more accessible, he added.

Besides, the introduction of exclusive credit cards such as Visa Signature and MasterCard World shows their commitment to catering to the needs of elite customers, he said.

“We plan to introduce more innovative services such as AI-powered customer service, enhanced digital payments and greater access through mobile and online banking.”

Currently, the bank has 136 branches, 67 subsidiaries and 195 agency banking outlets in Bangladesh.

Serving a 2-million customer base, the Bank has established over 350 service points throughout the country to provide comprehensive access to banking services.

Talking about the challenges currently facing the banking sector, he pointed to rising inflation and currency volatility, which may result in an increase in non-performing loans.

“Robust risk management practices, diversified portfolios and technology investments will be key to meeting these challenges,” he said, advocating for rigorous pre-lending assessments and improved monitoring systems to identify potential risks early.

He said that as the banking industry evolves, trust remains a major issue. Maintaining transparency, strengthening risk management and improving customer service are essential to regaining public trust.

“Premier Bank’s commitment to integrity and customer focus is designed to foster long-term relationships based on trust.”

Jafar said they are also committed to corporate social responsibility, focusing on initiatives in education, health care and disaster relief.

He also highlighted the bank’s recent donation of Tk 1 crore to help flood victims in the northeastern region of Bangladesh.

Premier Bank started its journey in 1999 under the leadership of Dr. HBM Iqbal with the aim of making a significant contribution to the sustainable development of Bangladesh.