Financial Market

Structure of Financial dust: The Main Constituents of Our Countries Financial scheme Are: 01. Financial Institutions/Intermediaries. 02. Financial Instruments. 03. Financial Markets. STRUCTURE OF financial SYSTEM IN BANGLADESH 01. Financial Institutions/Intermediaries: An organization which borrows funds from lenders and lends them to borrowers on terms which are better for both parties than if they dealt directly with severally other. Financial institutions as intermediaries: As a general rule, pecuniary institutions are all engaged to some degree in what is called intermediation. Rather obviously intermediation means acting as a go-between for two parties. The parties here are unremarkably called lenders and borrowers or sometimes-surplus sectors or units, and deficit sectors or units. As a general rule, what financial intermediaries do is: to create assets for savers and liabilities for borrowers which are more(prenominal) dinky to from all(prenominal) one tha n would be the case if the parties had to deal with each other directly. There are two general consequences of pecuniary intermediation. The first is that there will exist more fiscal assets and liabilities than would be the case if the community were to rely upon direct add.

The punt gear general consequence of the intervention of financial institutions is that lending and get have become easier. It is now no nightlong unavoidable for savers to search out borrowers with matching needs. In this experience financial intermediaries have lowered the transaction costs of lending and borrowing. 01-(i). Banks: Banking is fundamentally based on the debtor-creditor r! elationship between the depositors and the brim on the one hand and between the borrowers and the bank on the other. engagement is considered to be the price of credit, reflecting the opportunity cost of money. The commercialised banking dust dominates Bangladeshs financial sector. Bangladesh Bank is the Central Bank of Bangladesh and the capitulum regulatory authority in the...If you want to get a encompassing essay, order it on our website: OrderCustomPaper.com

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