Socially Responsible Investments of Islami Bank Bangladesh Limited (IBBL)

Abstract

This study briefly focuses on the status and growth of the socially responsible investments of IBBL. To conduct this study, researchers have collected both primary and secondary data. Primary data have been collected through questionnaire with interview of 50 clients in Hathazari who are under the umbrella of Rural Development Scheme (RDS) of Hathazari branch of IBBL. It is observed that, almost all investment schemes of IBBL is biased to the socially responsible investments and the schemes are designed considering safety and well being of the society. The special feature of the investment policy of the bank is ‘investment on the basis of profit-loss sharing in accordance with the tenets and principles of Islamic Shari’ah’. Earning profit is not the only motive and objective of the bank’s investment mechanism, significant stress is also given on attaining social welfare and in creating employment opportunities. The bank is financing various economic groups in different sectors in both urban and rural areas for improving their economic condition as well as social status.