The findings of researches on the banking sector are sometimes dissimilar with real-life experience, said Bangladesh Institute of Bank Management (BIBM) executive committee chairman SM Moniruzzaman on Tuesday.
"We get good findings from researches on banking that we want to apply, but there is a huge gap between academic or research-based findings and actual situation."
Mr Moniruzzaman, also the central bank deputy governor, said this as the chief guest at the BIBM Research Almanac 2019 in BIBM auditorium at Mirpur.
"The gap can be noticed through various techniques, but my long experience with the central bank tells that not everything can be shared or disclosed."
Researchers should consider the gap because once the authorities concerned make a decision based on the studies done with poor or partial data, implications would be incorrect, Mr Moniruzzaman said.
He suggested the BIBM researchers take into account the real market situation for better outcome of their studies.
There are many banks in the country and not every bank would perform the same, the central banker said.
"But if one (bank) with most mismatching (problems) continues, it'd spread to others eventually."
At the programme, summary findings of a total of 19 research papers were presented during three parallel technical sessions.
In a study titled 'Venture Capital Financing in Bangladesh: An Exploration', the BIBM showed that despite policy support for expansion of IT industry, getting finance is still quite hard.
Policy support should be given too to the venture capital financing (VCF) industry for the growth of IT sector, SMEs, financial inclusion and sustainable development goals (SDGs), the study recommended.
Another study titled 'Trade Facilitation in RMG by Banks: Risk and Mitigation Techniques' said trade digitisation and use of blockchain technology in the RMG sector might augur positive changes.
Credit risk and defaulted loan scenario in trade services here is not different from non-performing loan situation as a whole and ready-made garment is no different, it added.
In several instances, banks had to create forced loans to adjust back-to-back liabilities in recent years.
Moreover, considering the unique nature of trade transactions and growing complexity, a separate bench in the court may be needed to ensure effective use of regulatory machinery, it recommended.
Dr Muzaffer Ahmad Chair Professor of BIBM Barkat-e-Khuda, BIBM research director Prof Dr Prashanta Kumar Banerjee, Bangladesh Krishi Bank managing director Md Ali Hossain Prodhania, among others, were present.
