PROFITABILITY ANALYSIS OF JYOTI BIKASH BANK LIMITED. (DETERMINED BY THE FIXED DEPOSIT, SAVING DEPOSIT AND CURRENT DEPOSIT)

Abstract

The concept of fixed deposit, saving deposit and current deposit is in growing phase. But still there are many areas which have not been covered by fixed deposit, saving deposit and current deposit scheme. The lack of awareness among people and inability of banking sectors to attract people with new deposit scheme and it is also very challenging to know the customers investment pattern interms of fixed deposit, saving deposit and current deposit. The objective of the study was to empirically examine the impact of fixed deposit, saving deposit and current deposit factors and their influence on bank profitability of Jyoti Bikas Bank (JBBL). The aim of this study is to quantify the impact of fixed deposit, saving deposit and current deposit on bank profitability of Jyoti Bikas Bank Limited. Out of 17 development bank, Secondary data of Jyoti Bikas bank from 2008/2009 to 2021/2022 were considered to analyze the factors that affect profitability by fixed deposit (FD), Saving Deposit(SD) and Current Deposit (CD). The data were analyzed using descriptive statistics and regression model. The result shows that Jyoti Bikas Bank earning are satisfactory profit with the average variation of return. Jyoti Bikas Bank limited should focus on interest generating investments. Return on equity (ROE) of jyoti bikas bank are and slightly reducing that bank should enhance the motive of share holders and investors. The correlation between Fixed deposit(FD) on Return on Equity(ROE) is negative and statistically significant where Fixed Deposit (FD) on Return on Assets (ROA) is in negative statistically insignificant whereas there is positive and significant relationship between Saving Deposit (SD), Current Deposit(CD) with ROA. The saving Deposit (SD) with ROE is positive and statistically significant where Current Deposit (CD) with ROE is positive and statistically insignificant. The study suggested a need for enhancing the fixed deposit scheme and diversified the investment in different portfolio to maintain the prevailing profitability of Jyoti Bikas Bank.