5.32 Role of Commercial Bank in Granting Long Term Loan for Industrial Undertakings The expansion of commercial banking activities is increasing day by day in all the countries of the world today. The role of commercial banks in the economic development of the country, especially in the establishment and development of business and industrial establishments, is undeniable. Commercial banks are notable among the institutional sources of finance. Commercial banks deposit people's surplus savings through various accounts and from there lend to businesses at fixed interest rates. Commercial banks usually offer short-term loans instead of long-term loans. However, those countries that are still underdeveloped and do not have adequate specialized financial institutions to provide long-term lending are hindered in economic development by the failure of commercial banks to lend. Therefore, commercial banks can play an important role in providing long-term lending in this situation. Long-term loans are available from commercial banks to meet the needs of setting up new industries, long-term expansion of business, modernization of industries, etc. Considering the context of Bangladesh, it is seen that the capital market is very weak here, the number of specialized financial institutions is limited, there are no branches of specialized banks in remote areas. In addition, the amount of long-term credit required for the establishment and development of industrial establishments is not being adequately provided from any source. From this point of view, commercial banks of Bangladesh have to provide long term loans and through this it has to play an important role in industrial development. Finally, commercial banks provide long-term loans for the industrial development of underdeveloped and developing countries. The industry helps in the development of the organization.