Foreign Exchange Operations of Uttara Bank Limited

Chapter-1
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Introduction

1.1. Introduction of report:

Now-a-day’s banking sector is modernizing and expanding its hand in different financial events every day. At the same time the Banking process is becoming faster, easier and is becoming either. In order to surviving the competitive filed of the banking sector all organization are looking for better service opportunities to provide their fellow clients. So it has becoming essential for every person to have some idea on the bank and banking procedure.
Internship program so called work attachment program an essential for ever BBA student because it helps him or her to acquaint with the real life situation. As bank is one of the most impotent financial intermediaries. So I have selected Uttara Bank Limited, Which is one of the most leading banks of the new bank arena.
Bank is a kind of financial intermediary. It collects fund from the surplus unit of the commodity and disburse it to the deficit unit in the form of loan. Thus it keeps the money moving by mobilizing the savings and funding the business. But bank does it as a business. It is not a charitable organization. They are doing business with the money offering as product. Among their different activities, the most profitable business is lending. The borrowers are their customers. As lending involves a substantial risk, it requires effective management of credit operation. It is not all about. Like other business, customer is the most significant part of banking business as it provides the profit, the ultimate motivation. So it is essential to know what the customers are thinking about your products, services and operation.

1.2. Rational of the Study:

Bank is the heart of the economics and banking is the blood circulation of the country’s economic growth. Banks perform a significant role to serve the needs of the society in the different sectors such as : capital formulation lager scale of protection, industrialization growth of tread and economies etc. Bank is contribution a lot of aspect. Uttara Banked Limit -one of the largest and oldest private-sector commercial bank in Bangladesh. It provide mass banking service to the customer through its branch network all over the country . So I have tried to represent their performance and problems and prospects on the ground of general banking.

1.3. Scope of the study:

The report will illustrate a basic reflection about the Uttara Bank Limited present condition of the bank on privet banking sector, various schemes of Uttara Bank Limited , interest rate and activates & various department of General Baking of Uttara Bank Limited etc. However I have got the opportunity to work in the Customer Service department which helped me to clear understand about the activities of the bank.

1.4. Objective of the report:

The main objective of the report is to fulfill the requirement of BBA program. For this I have been attached with an organization named Uttara Bank Limited and I could attain practical job related experience with my academic knowledge.

The objective of the study may be viewed as: ✓ General objective ✓ Specific objective

1.4.1. General objective:

➢ The General Objective of the study is to prepare and submit a report on the topic of general banking activates of the Uttara bank Limited, New Market Branch.

1.4.2. Special Objectives:

There are some special objectives such as:

➢ To know the General Banking which include customer service, clearing section and cash department of Uttara Bank Limited, New Market branch ➢ To understand private the banking environment of the Bangladesh ➢ To gain knowledge about different functions of banks. ➢ To have some practical experience of job life.

1.5. Methodology of the study:

This report is prepared on the based on two types of data: Primary and secondary. The report disclosed all the things that I learned and done during the internship period the writer made conversation with the executive and senior executive many times. The write some time got the opportunity to conversation with the customer. This helps the writer identifying their problem.
The methodology of this report includes direct observation, oral communication with the employees of all departments of Uttara Bank Ltd. New market branch, studying files, circulars etc and as well as practical experience. This report is basically qualitative in nature. The information of this report has been collected from two sources:

1.5.1. A. Primary sources: ➢ Personal observation of different tasks. ➢ Face to face conversation with officers of the bank. ➢ Face to face dealing with the customer.

1.5.2. B. Secondary sources: ➢ Annual report of the Uttara Bank Ltd. 2008 & 2009. ➢ Websites of Uttara Bank Limited ➢ News paper. (Financial Express). ➢ Materials and documents of UBL, New Market Branch

1.6. Limitation of the Report:

➢ Limitation of time: Major limitation of my report is time constrain and availability of the reference book. ➢ Lack of secondary data: The annual report was the main secondary Information source that was not enough to complete the report and secrecy. ➢ Limitation of the scope: While collecting data they did not disclosed much information due to the confidentially of the organization. ➢ The main constraint of the study is inadequate access information, which is hampered the scope of the analysis required for the study. ➢ As an internship I had three months time which is not enough to know as much information as the report required. ➢ Web site of UBL is not updated because their IT section is so much weak. ➢ Annual report or any other published materials of UBL is not modified. For this reason sometimes I failed to collect recent information. ➢ Different officials expressed the same topics in different way. Sometimes I become confused. ➢ To collect information I faced difficulty because of the excessive nature of confidentially by the officials. ➢ Load shedding also hampered for preparing the report specially during typing

Chapter-2
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Profile of Uttara Bank Ltd.

2.1. Background of Uttara Bank Limited:

Uttara Bank Ltd. is one of the largest private banks in Bangladesh. It is incorporated in the people’s republic of Bangladesh with limited liability. It was operated as a Government bank since 1965-1970 then it name was “Eastern Banking Corporation”. After the liberation in 1972 it was the first focus the new name “Uttara Bank was privatization then it is a Government Bank. In 1985 November-1 the Uttara Bank was privatization then it has a new name is “Uttara Bank (Pvt). Ltd”. Bank in 1976 Uttara Bank Ltd started its journey as an investment company. Over the year, before being converted into a full fledged commercial bank, it is now one of the largest and oldest private-sector commercial bank in Bangladesh. Adaptation of modern technology both in terms of equipment and banking practice ensures efficient service to clients. 211 branches at home and 600 affiliates worldwide create efficient networking and reach capability. Uttara is a bank that serves both clients and country. It operates through 211 fully computerized branches ensuring best possible and fastest services to its valued clients. The bank has more than 600 foreign correspondents world wide. Total number of employees nearly 3,562. The Board of Directors consists of 13 members. The bank is headed by the Managing Director who is the Chief Executive Officer. The Head Office is located at Bank’s own 18-storied building at Motijheel, the commercial center of the capital, Dhaka. It started its banking business by way of opening of import letters of credit in favor of foreign suppliers on be half of various import clients. After starting operation as a commercial bank from November-1, 1985 onwards, side by side with the traditional products it also started providing all types of foreign exchange related services to its different categories of clients.

|UBL Networks |
|Corporate Offices ( Corporate Branch & Local Office ) | 2 |
|Regional Office | 12 |
|Worldwide Affiliates | 600 |
|Total Branches ( Including Corporate Branch & Local Office ) | 211 |
|Authorized Dealer Branches | 38 |
|Treasury & Dealing Room | 1 |
|Training Institute | 1 |
|Man Power |3562 |

As such the establishment of a strong International Division was felt since the very inception of the bank. The division all along has been managed by executives and officers well conversant with foreign exchange related operations so that branches dealing in foreign exchange related transaction could get all support from Head Office, Besides giving international trade related support to the branches the divisions is responsible for proper maintenance of the nostrum accounts for investment of excess foreign reserves, for ensuring proper compliance of the foreign exchange regulations by the branches handling foreign exchange business.

At first Uttara Bank Limited was established in 1964 named Eastern Bank Corporation. After liberation war it named Uttara Bank. In 1984 published market share and Uttara Bank Limited
Uttara Banked Limit -one of the largest and oldest private-sector commercial bank in Bangladesh with years of experience. Adaptation of modem technology both in term of equipment and banking practices ensures efficient service to clints.211 branch at home and 600 affiliates worldwide create efficient network and reach capability. Uttara Bank that service both client and country. The bank is listed in the Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited as a publicly quoted company for trading of it’s of its share.

2.2. Uttara Bank Limited at a Glance:

|Company Profile |
|Name of organization |
|Uttara Bank Limited |
|Year of Establishment |
|1964 Eastern Banking Corporation then After 1971 |
|Uttara Bank Limited |
|Authorized Capital |
|Tk.3200.00 Million |
|Paid in capital |
|Tk.1597.00 |
|Face value Per Share |
|Tk.100 |
|Number of Director:13 |
|Number of Branch :211 |
|Managing Director |
|Shamsuddin Ahmed |
|Contract Address |
|Uttara Bank Limited |
|90,Motijheel Commercial Area |
|Dhaka-1000,Bangladesh |
|GPO Box 217 & 818 |
|Phone:8802-9551162 |
|Fex:8802-7168376 |
|SWIFT:UTBLBDDH |
|E-Mail: uttara@citecho.net, |
|Web: www.uttarabank-bd.com |
|Cable |
|Bankers |

Board of Directors (Table: 1)

|1. |Mr. Azharul Islam |Chairman |
|2 |Mr. Iftekharul Islam |Vice Chairman |
|3 |Mr. Abul Barq Alvi |Director |
|4 |Col. Engr. M. S. Kamal (Retd) |Director |
|5 |Mr. Syed A. N. M. Wahed |Director |
|6 |Mr. Sk. Amanullah |Director |
|7 |Major General Prof. M. A. Mohaiemen (Retd) |Director |
|8 |Dr. Md. Rezaul Karim Mazumder |Director |
|9 |Engr.Tofazzal Hossain |Director |
|10 |Mr. Mohammed Farooq |Director |
|11 |Mr. Muhammad Quamrul Ahsan |Director |
|12 |Mr. Asif Rahman |Director |
|13 |Mr. Mirza Aminur Rahman |Director |
|14 |Mr. Shamsuddin Ahmed |Managing Director |

Hierarchy of management of Uttar Bank: (Table: 2)
CHAIRMAN
BOARD OF DIRECTORS
MANAGING DIRECTORS
ADDITIONAL MANAGING DIRECTORS
DEPUTY MANAGING DIRECTORS
ASSISTANT MANAGING DIRECTORS
GENERAL MANAGER
DEPUTY GENERAL MANAGER
ASSISTANT GENERAL MANAGER
SENIOR PRINCEPLE OFFICER
PRINCIPLE OFFICER
OFFICER GRADE-1
OFFICER GRADE-2
ASSISTANT OFFICER
OFFICE ASSISTANT

2.3. Share Capital:

The Authorized Capital of the Bank remained at Tk. 1,600.0 million to TK.3200Million during the year 2009. The paid up capital of the Bank has been increased to Tk1597.4 million from Tk 798.7 million due to declaration of 100% bonus share for 2009. The total number of Shareholders was 15,973184. The Government of the People’s Republic of Bangladesh, eighteen Banks and fifty two financial institution held total 676397 shares worth Tk 15,29678700.00 and remaining 42499 private Shareholders held total 15296787 shares worth Tk 1529678700.00. The total equity of shareholders of the Bank at the end of the year 2009 stood at Tk 6206.9 million and in 2008 stood at Tk. 3688.8 million.

2.4. Bank’s Own Premises:

A magnificent 18 Storied Bank’s own building located at the hub of Motijheel Commercial Area within the Metropolitan City of Dhaka signifies the concrete symbol of tradition and stability of the Bank. Different Departments of Head Office and Corporate Branch have been functioning in the same building covering 10 floors. The remaining 8(Eight) floors have been rented out to the different Insurance Companies and Commercial Enterprises. Local Office, Eastern plaza Branch, Hotel Isakha Branch, Dar-us-Salam Road Branch, Lease Financing Unit in Eastern Tower Building, Nabagram Branch in Manikgonj, Zonal Office and KDA Branch in Khulna and Shaheb Bazar Branch in Rajshahi are also working in other Bank’s own Building

Branch Location all over Bangladesh Zonal Offices of UBL:
|Zonal Office of UBL |
|# Dhaka Central Zone. |
|# Dhaka South Zone. |
|# Dhaka North Zone. |
|# Narayangonj Zone. |
|# Chittagong Zone. |
|# Rajshahi Zone. |
|# Khulna Zone. |
|# Sylhet Zone |
|# Barisal Zone. |
|# Mymensingh Zone. |
|# Bogra Zone |
|# Comilla Zone. |

Graphically UBL Countrywide Branches:

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Figure: Graphical UBL Countrywide Branches
2.5. Ownership Structure:
The Uttara bank is totally private organization but it has some share in share market up to 20% and 80% share is taken by owners by this bank.

2.6. Mission of Uttara Bank Limited:

➢ To established banking through the introduction of welfare oriented banking system and also ensure equity and justice in the filed of all economic activities, achieved balanced growth and equitable development through diversified investment operations particularly in the priority sectors and development areas of the country. To encourage socio economic uplift financial service to the lower income community particularly in the rural areas.

2.7. Vision of Uttara Bank Limited:

Its vision always strive to achieve superior financial performance is considered a leading bank by reputation and performance.

➢ To established and maintain modern banking techniques, to ensure the soundness and development of financial system.

➢ Try to encourage saving in the from of direct investment.

➢ Be one of the best banks in the Bangladesh.

➢ To contribute in the socio-economies development of Bangladesh.

➢ To established relationship banking and improve service quality through development of strategic marketing plan.

➢ To ensure optimum utilization of all available resource.

2.8. General Strategies of Uttara Bank Limited:

➢ To strive for customer best satisfaction & earn their confidence

➢ To manage & operate the bank in the most effective manner.

➢ To identify customer needs & monitor their perception towards meeting those requirements.

➢ To review & update procedures & practices to enhance the ability to extend better service to the customers.

➢ To train & develop all employees & provide them adequate resource so that the customers needs are reasonably addressed.

➢ To promoted organization efficiency communicating company plans, polics & procedures openly to the employees in a timely fashion.

➢ To cultivate a congenial working environment.

➢ To diversified portfolio both the retail & wholesale markets.

2.9. Functions of Uttara bank Limited:

Function of Uttara bank Limited is based on profit earning (as a commercial bank) social welfare and development of country. They usually have following function:

➢ To maintain all type of deposit account.

➢ To make investment.

➢ To conduct foreign exchange business.

➢ To extend other banking service.

➢ To conduct social welfare activates through banking

➢ To finance in industrial sector like BSB, BSRS, & SME.

➢ To finance in house building.

➢ To make the lifestyle easy through banking services.

2.10. Motto of Uttara Bank Limited:

“Abohoman Banglar Oitijje Lalito”

2.11. General Natures of business:
The bank is carrying out commercial, corporate, investment and retail banking related service to its customers through its 211 branch following the provisions of the bank company act 1991 as follows: ➢ Corporate Finance ➢ Corresponding banking ➢ Documentary credits ➢ Foreign exchange ➢ Guarantees ➢ Syndicated finance ➢ Other related business

2.12. Corporate social Responsibility of UBL:

Uttara Bank limited embraces a culture of continues involvement to fulfill our corporate social responsibility. We have a deep commitment, loyalty and a high sense of responsibility to our nation and its people. Uttara bank limited conforms to all the stringent regulations issued by the Government and the Bangladesh Bank. As part of our corporate social responsibility bank contributes greatly to the nourishment of the country’s all types of calamities, arts, culture, and sport. As part of its strong commitment to upholding corporate social responsibility, bank donated TK.10 Million to Chief Advisor’s Relief Fund to help the massively distressed People who were affected by flood & devastating cyclone “Sidre” in 2007

Chapter-3
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Branch Overview

3.1. Introduction Of UBL, New Market Branch:

Uttara Bank Limited, New Market Branch is established in 02-03-1968.Uttara Bank Limited, New Market Branch is situated at the 7,Mirpur Road, Neher Bhovan 1st floor, New Market, Dhaka. It has been providing banking service for the customer of New Market area.
3.2. Objective: ➢ To provide Banking service to the people within the commanding area. ➢ To keep position in the competitive market ➢ To contribute in profitability of UBL.
3.3. Department of the Branch: ➢ Account opening department. ➢ General Banking department. ➢ Cash department. ➢ Investment department. ➢ Foreign trade department. ➢ Clearing department.
Number of Employees of the UBL, New market Branch:
|SL. |Designation |Number of Employees |
|01 |Manager(SPO) |01 |
|02 | Deputy Manager (Senior Principal Officer ) |01 |
|03 |Principal officer |02 |
|04 |Senior officer |02 |
|05 |Officer(Grade-2) |03 |
|06 |Assistant Officer |01 |
|07 |Staff |03 |
|Total |13 |

3.4. Product of UBL, New Market Branch:
3.4.1. Deposit Modes: ➢ Fixed Deposit ➢ Double Benefit deposit Scheme ➢ Double Pension Scheme ➢ Monthly Deposit Scheme ➢ Bearer Certificate of Deposit ➢ Short Term Deposit ➢ Saving Bank Deposit ➢ Current Account ➢ Foreign Currency Deposit
3.4.2. Remittance Local: ➢ Pay Order ➢ Demand Draft ➢ Telegraphic Transfer ➢ Mail Transfer
3.4.3. Foreign Exchange Service: ➢ Xpress Money ➢ Money Gram ➢ Instant Cash ➢ SWIFT Service ➢ International Money Order
3.5. Investment Modes:
3.5.1. Demand Loan(House Building/Apartment) ➢ House Building General ➢ House Building Commercial
3.5.2. Agricultural Loan(Production) ➢ Lone to primary Procurers ➢ Lone for Tea Crop Production
3.5.3. Term Loan ➢ Small Industries ➢ Medium Industries ➢ Large Industries
3.5.4. Export Financing ➢ Ready Made garments/others ➢ Jute production and others
3.5.5. Commercial Loan ➢ Financing toward the Agro based Businessman ➢ Loan to Agricultural Inputs Traders ➢ Fertilizer Dealers/Distributors ➢ Jute trading

3.5.6. Other Loans and Lease service: ➢ Over Draft ➢ Micro Credit ➢ Export Credit ➢ Import Credit ➢ Bills Purchases ➢ Loan on Security ➢ Loan on Secured Mortgage ➢ Payment Against Document ➢ Loan Against Imported Merchandise ➢ Export Development loan ➢ Foreign Exchange Modes: ➢ Export Development Loan ➢ Lone against FDR ➢ Lone against DPS
3.6. Foreign Exchange Modes: ➢ FCAD Account (Foreign Currency Account Deposit) ➢ NFCD Account (Non Foreign Currency Account Deposit) ➢ RFCD Account (Residential Foreign Currency Account Deposit)
3.7. Organ gram of UBL New Market Branch: [pic]

Chapter-4
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General Banking Activities of UBL,
New Market Branch

4.1. Introduction:

Banking industry acts as life-blood of modern trade and commerce acting as a bridge to provide a major source of financial intermediation. However some of the definitions of bank from different authors are as follows. Depository financial institution: a financial institution that accepts deposits and channels the money into lending activities; "he cashed a check at the bank"; "that bank holds the mortgage on my home"

General Banking department is the heart of all banking activates, specially to mobilize the deposit. All other department is with this department. It plays a vital role in deposit mobilization of the branch. Uttara bank Limited provides different types of Account, special types of saving scheme and flexibilities of remittance under general banking.

General Banking is the starting point of all the banking operation. General banking department aide is taking deposit and simultaneously provide some ancillaries service. It provide those customer who come frequently and those customer who come one time in banking for enjoying ancillary service. In some general banking activities, every day t receives deposit from costumer and meet their demand for cash by honoring cheques, It opens new account, demit fund, issue bank drafts and pay order etc. Since bank in confined to provide the service everyday general banking is also known as retail banking.

Uttara Bank limited has 211 (Two hundred Eleven) branches, Most of the branches have four departments namely:-

➢ General banking ➢ Credit Department ➢ Foreign Trade ➢ Accounts Department
General Banking consists of the mane sections in the branch. These are:

➢ Customer Service ➢ Accounting Opening/Closing ➢ Payment order Issue ➢ Demand Draft Issue/Collection ➢ Cash department. ➢ Clearing department ➢ Deposit Department ➢ Account Transfer ➢ T.T Issue/Collection ➢ IBC/OBC Collection etc.
4.2. General Features of General Banking:

➢ Issuance of token, maintenance of subsidiary day Book, writing of day book, balancing of ledger.

➢ Opening of A/C Like Saving A/C, Current A/C, Short term Deposit A/C Writing of A/C opening registers and issuance of pass book and cheque book etc.

➢ Maintenance Of current A/C ledger, deposit ledger and FDR ledger and operation.

➢ Writing of transfer scroll statement of current A/C and Deposit.

➢ Bill: Outward & inward Bill (BC& IBC)and clearing.

➢ Remittance: Issuance and payment of DD,TT, PO etc.

➢ Writing of clean cash book and position of general ledger

➢ Maintenance of charge, suspense and sundry deposit A/C , maintenance of dead stock and stationery registers.

➢ Schedule Telegram and preparation of general ledger A/C statement.

Front Operation:

Job: Account opening, Cheque issue, Account closing and Clearing Cheque receipt.

4.3. Account Opening:

Various types of accounts are in use in Uttara Bank Ltd. Among them those are as follows:

1. Savings account (SB A/C) 2. Current account (CD A/C) 3. Shot term deposit (STD A/C) 4. Fixed deposit account (FDR A/C)

4.3.1.Savings account (SB A/C):

To open a savings or STD account is allowed for all people. Actually anyone can run this account for his personal or business purposes. To open this account depositor have to deposit primarily at least Tk.1000 at the time of opening but the money will be depositors
Any Bangladeshi National residing home or abroad may open savings account with UBL. The account may be opened in single/joint name. The account holder may nominate his nominee in this account. The nominee can get the balance amount without submitting succession certificate after the death of account holder

4.3.2. Required Documents for saving account:

➢ Account opening form as per format below. The account opening form and signature card to be filled in and duly signed.

➢ Two copies passport size photographs of the account holder.

➢ Photograph of nominee (if any) duly attested by the account holder.

➢ Photocopy of the 1st 7 pages of the passport for non-resident Bangladeshi national.

➢ Signature in the account opening form/card must be same with the signature of the passport.

4.3.3. Features of saving account:

➢ Minimum amount : Taka 1,000.00

➢ Rate of Interest : 4.50%

➢ Free Cheque-Book facility

➢ Opportunity to apply for - safe deposit locker facility

➢ Collect foreign remittance in both T.C. & Taka draft.

➢ Transfer of fund from one branch to another by

✓ Demand Draft ✓ Mail Transfer ✓ Telegraphic Transfer

➢ Transfer of fund on Standing Instruction Arrangement

➢ Collection of cheques through Clearing House.

➢ Issuance of Payment Order / Call Deposit.

4.4. Current Account
Basically current account can be opened for the purpose of business. Individual also can use current account. There are several types of current A/C in Uttara Bank Ltd. those are as follows: ➢ Current Deposit Account for Individual/Joint Account. ➢ Current Deposit Account for Private firm (Proprietorship /Partnership concern). ➢ Current Deposit Account for Limited Company. ➢ Current Deposit Account for Private firm (Proprietorship concern)

4.4.1. Documents required for Current account: ➢ A/C opening form. ➢ Introducer of CD A/C holder in this bank. ➢ Signature form/card. ➢ If it is used for the purpose for business, it must require trade license. ➢ Photocopy of character certificate or photocopy of passport. ➢ Two-copy passport size photo & Declaration certificate.

4.4.2. CD for partnership A/C Documents required:

➢ 1. Partnership deed. . ➢ 2. Partnership letter. ➢ 3. Jointly operated signature/ Authorization letter. ➢ Any time if arise any question of change in partner; the firm must have to inform to the bank. ➢ Photocopy of character certificate or photocopy of passport. ➢ Two-copy passport size photo & Declaration certificate.

CD A/C holder must have to follow some rules & regulations innovated by the bank. Those are as follows:-

1) CD Accounts are opened with sums of not less than Tk.2000/- in the name of parties known to the bank or properly introduced.

2) It is understood that the balance at credit will not at any time be allowed below Tk.1000/-. A minimum charge of Tk.100/- per half year is made on all small operative accounts and/or on those Accounts in which the number of transaction is out of proportion to the balance deposit.

3) Only the form of Cheque books supplied by the bank should be used. Cheques materially altered will not be paid unless such alternation bears the signature of the drawer in foil.

4) Application of Cheque books should be made by letter or on the form inserted near the end of each book. Customers are requested to keep Cheque book under lock & key. The bank will not be responsible in any way for any unauthorized payment resulting from discharged of these instructions and the burden of proof will be upon the clients to show that they have not been negligent in the safe keeping of the Cheque books. Constituents are practically requested to count the number of Cheque forms in each Cheque book they received and to immediately inform the bank if any Cheque form or the requisition slip contained therein is missing.

5) In drawing Cheque the amount both in wards and figure should be written Distinctly and the Cheques should be drawn in such a way to prevent the insertion of any other words or figures which may facilitate fraudulent alternations.

6) Cheque sent in for collections should not be drawn against until they have been realized. The bank reserves the right to refuse payment of Cheques drawn against unclear Cheques etc. Although credited in the passbook.

7) Constituents are requested to observe the same style of signature as the specimen left at the bank and to give the notice of all change of address.

8) All deposits to current A/C made by local constituents should be Accompanied by pay-in-slips and the depositors should satisfy themselves that the deposits are verified by the received and date stamp of the bank and the initials, of the bank's official. (Constituents are practically requested to cross all Cheques intended for collection before paying them in to their accounts).

9) No receipt will be recognized unless it before it bears the initial or Signature of an officer of the bank
10) Chequebook, passbook and pay-in-slip books are issued to constituents free of charge, but lost passbook will replaced only on payment of Tk.50/-.

11) The bank collects local Cheques etc. on clearing free of charges and all Other collection item at charges to be ascertained on application.

12) Notice of stop payment will be carefully registered, but the bank cannot undertake any responsibility in case of same being overlooked.

13) Cheques drawn payable to firms or limited companies may not be accepted for credit of personal accounts even though drawn payable to bearer.

14) Statements of accounts will be supplied to the constituents every month with free of cost. Statements can be supplied more frequently if required. Pass books in lieu of statements can be issued if desired.

15) Signature on Cheques other than those in English or Bangla should be made in the presence of and had initialed for by one of the officers of the bank.
16) A charge of Tk. 100/- will be made on all accounts closed within six months of their opening.

17) The bank reserves to itself the right to close without previous notice any Account which opinion is not satisfactorily operated upon or for any other reason whatsoever which it shall not be incumbent on the bank to disclose to the constituent. The bank shall endeavor to collect Cheques and other items as promptly and as carefully as possible but it can accept no responsibility in case of delay or any loss.

18) The bank reserves to itself the right to alter or add to cancel any of the Foregoing rule at any time.

19) The bank does not normally recognize Trusts.

20) The post office and other Agents for delivery shall be considered the bank For any delay, no deliveries etc can accept the customer for all deliveries of letters, remittance etc. and no responsibility.

These are the rules that client's have to maintained regarding opening any current account.The other Current deposit A/C proprietorship concern, partnership concern, limited companies and societies, clubs etc. required almost same papers and rules & regulations are same regarding opening any account.

4.5. FDR Accounts:

The word FDR means Fixed Deposit Rate. This account is for the person who has enough money in hand, and willing to invest it. By this investment the depositor can gain some benefits also

➢ Any Bangladeshi national residing home or abroad may open FDR with UBL. ➢ FDR may be opened single/joint name for a period of 3, 6, 12, 24 and 36 months. ➢ UBL offers attractive/competitive rate of interest in FDR.

| Fixed Deposit (FDR) Rate of Interest |
|3 months & above but less than 6 months | 7.75% |
|6 months & above but less than 1 year | 8.00% |
|1 year & above but less than 2 years | 8.25% |
|2 years & above but not more than 3 years | 8.50% |

4.5.1. Documents required for FDR account: ➢ A/C opening form. ➢ Introducer of CD A/C holder in this bank. ➢ Signature form/card. ➢ If it is used for the purpose for business, it must require trade license. ➢ Photocopy of character certificate or photocopy of passport. ➢ Two-copy passport size photo & Declaration certificate.

In consideration of depositor's accepting deposits in the FIXED DEPOSIT ACCOUNT as designated above it is agreed as follows:

1) That a Fixed Deposit A/C is carried on by Bank and ail funds which the clients have or may have with Bank in the said account shall be subject to banks rules and regulations governing the conduct of such accounts as may be in force from time to time.

2) The Fixed Deposit(s) on its maturity may be renewed by the Bank for the full value or part thereof at client’s written request for the like period or any other period and the rate of interest for the renewed period shall be the prevailing rate for Fixed Deposit.

3) If no instruction is given by client to the Bank within 1 (one) month from the date of maturity of the Fixed Deposit(s), the Fixed Deposit shall be treated as automatically renewed for a further period of 3 (three) months and the interest payable for the automatically renewed period shall be the prevailing rate for Fixed Deposit(s).

4) Clients have to give their address below and undertake to notify you of any change.

4.6. Remittance:

Remittance means transferring of fund through different instrument other then cheque. The following two type of remittance are perform by Uttara Bank Ltd.
“Remittance is transfer of funds from one place to another or from one person to another.”
A Remittance is an important service provided by banks to customers as well as non-customers. Since it is not a free service it is a source of income for the bank.

4.7. Types of Remittance:

➢ Local Remittance ➢ Foreign Remittance

4.7.1. Local Remittance

Under remittance department there are a few mechanisms:

➢ Telegraphic Transfer (TT ➢ Mailing Transfer (MT) ➢ Demand Draft (DD) ➢ Payment Order (PO)

4.7.1.1. Telegraphic Transfer:

Telegraphic transfer is the quicker money transfer system in inter-Branch money transfer. In this system the message is conveyed over phone. There are some restrictions/limitations regarding sending and receiving TT. Professionals of those who have authority to send or receive TT can only do this job. All comers are not able to transfer or receive TT. As per Bangladesh Bank rules and regulations those who have proper identity & account with bank is permitted to remit money through TT. It is to be mentioned here that the money which is being transferred must have the co-relation with the type of business of the remitter.

4.7.1.2. Mailing Transfer (MT):

Mailing transfer is as like as Telegraphic transfer. Where there is no arrangement of TT with one branch to another then only MT is applicable, because every branch has arrangement of MT.

4.7.1.3. Payment Order:

Payment order is a kind of instrument which is used instead of cash. Or on the other hand it is called alternative of cash. But it must be limited within a restricted area. It is a negotiable instrument. It is supposed to be purchased by cash. Bank is bound to pay the money to which it is ordered to pay on demand.

4.7.1.4. Demand Draft:

It is also a kind of fund transferable instrument. It is a negotiable instrument. It is one kind of order to pay the money to a certain person or firm. It is also treated as cash. It must be purchased from a bank

4.7.2. Foreign Remittance:

4.7.2.1. Money Gram:

Money Gram is representing in over 115 countries and is available at more then 25000 location worldwide. In the USA alone Money Gram is available at more then 15000 locations. Money Gram International, Inc. is a US-based, Global Money transfer company, headquartered in Dallas, Texas. It has Global Operations Centers in Saint Louis Park, Minnesota and Brooklyn Center, Minnesota, Global Call Center Operations in Denver, Colorado and regional and local offices around the world.Money Gram's business is divided into two categories: Global Fund Transfer and Financial Paper Products. The company offers its services to consumers and businesses through a network of agents and financial institution customers.

4.7.2.2. Xpress Money:

Xpress Money is the fastest and safest way to send money to anywhere in the globe. Uttara Bank is agent of Money Xpress.

4.7.2.3. Instant Cash:

Instant Cash provides a state of the art electronic Money Transfer System. Developed for the masses across the globe, Instant Cash charges the competitive fees for remittances and is backed by the latest technology for reliability. The product is monitored and serviced by our dedicated customer service professionals to deliver a fast and reliable service.

4.8. Overdrafts:

The Customer hereby authorizes Uttara Bank Limited to charge interest on the amount of any overdraft or its account during the continuance of such overdraft at the prevailing rate charges on lending by the Bank during the period of the overdraft unless otherwise agreed in writing. Uttara Bank Limited-is under no obligation to permit any overdraft or to continue to permit any overdraft and may any time require payment of an outstanding overdraft allowed temporarily during the course of business.

4.9. Cheque book Issue:

On the submission of the requisition slip attached with the cheque book given during the account opening, the assigned person will give a new cheque book without any .charge.

4.10. Clearing department:

This department has three main jobs. They are: 1. Outward cheque clearing 2. Inward cheque clearing 3. Attending house

4.10.1. Inward Cheque Clearing

Whenever any branch of Uttara Bank Ltd. receives a cheque of other Bank to collect money, then the branch sends the cheque to its Head Office. The Head Office arranges the cheques separately by the name of different bank and then it send to the respective bank for clearance by the clearinghouse. Those cheques of different Bank to collect money for the ordered person are called Inward Cheque for clearing. Then these cheques go for entry in to the Inward Registry Book and Database of Clearing Department.

Bangladesh Bank conducts this job of clearinghouse name house. This is done twice a day- First house and Return house. First house is to deliver cheques and collect cheques from other banks. Return house is to return the honored cheques. The practice among the bank is to give only the name of those cheques, which were not honored.

Note: Bangladesh Bank keeps separate A/C for the entire bank and settles the balance considering the flow of cheque in both ways that is Inward & Outward.

As soon as the principal branch gets the clearance it sends an Inter Branch Transaction Advice (EBTA) to the branch, who has sent the cheque for collection. Receiving the IBTA is considered as clearance for the payment to the party.

4.10.2. Outward Cheque Clearing:

This is the opposite flow of the Inward cheque clearance. When UBL's cheque sends to other person of other Bank, that Bank will do the same thing to claim money from Uttara Bank Ltd.. With the same procedure like inward clearing of that Bank. At the time of Outward Cheque for clearing, the things must have to be checked: The Clearing Seal, The Endorsement Seal, and The Branch Seal.

4.10.3. Cost of clearing

The collection cost normally varies with the distance and UBL does not take any charge for collection within Dhaka City or within the district. But when anyone issue check of UBL without having enough sufficient money in the account, the clearing dept. will cut Tk.25 fine for this.

4.11. L.B.C

The word LBC means Local Bills for Collection. It is applied on transaction between inter branch. Issuing cheque/DD from one branch to another branch of the same Bank. Suppose Moulovibazar branch have issued a cheque to Azimpur branch. After received the cheque the Azimpur branch will give a seal of Crossing, LBC seal and Endorsement seal on that check and will issue forwarding on Moulovibazar Branch.

4.12. IBTA:

Inter Bank Transaction Account

4.13. I.B.C

IBC means Inward Bills for Collection. It is the reverse of LBC. In this case Moulovibazar branch will receive cheque and give a seal of Crossing, LBC and Endorsement seal on the cheque and send it to Azimpur branch with an Advise.

The transaction will be as follows:

Check A/C Debt. IBTA Gulshan Cr.

4.14. O.B.C
The word OBC means Outward Bills for Collection. There are two types of
OBC:
1) Outside Zone
2) With Different Branch

4.14.1. Outside Zone:

It is used only for issuing DD or TT. Under this system any other bank of different area can issue DD/TT to this branch. The TT is use for inter branch transaction.

D.D: Demand Draft,
T.T: Telegraphic Transfer

4.14.2. With Different Branch:
Under this system clients can issue DD/TT to different branches of this Bank.

Chapter-5
[pic]
Internship Position, Duties & Learning and experience

5.1. My Internship position
I joined to the Uttara Bank Ltd. New Market Branch on December 31.2010. I worked as an intern for three month internship period. The branch manager supervised me to work under others officers & supervise to him.
Branch. This internship started on December 31.2010 and ended on March 31.2011.
First day, I reported to the manager of the branch Md.Abdur Rashid (SPO) who gave me brief introduction about the management and working of the branch, he also check my knowledge about banking by taking a little test and interview. He has also taken a Computer Test from. Then he introduced me to the other employees.
Management of the Branch:
Staff of the branch consists of 13 members:

|SL. |Designation |Number of Employees |
|01 |Manager(SPO) |01 |
|02 | Deputy Manager (Senior Principal Officer ) |01 |
|03 |Principal officer |02 |
|04 |Senior officer |02 |
|05 |Officer(Grade-2) |03 |
|06 |Assistant Officer |01 |
|07 |Staff |03 |
|Total |13 |

5.2. Learning from A/c Opening Department

This Branch is having about 2000 accounts but there was only one officer, Sayed Nurul Isalm to handle this tough work. He has to deal different people. My experience in this department was really very good. I learnt how to handle different customers, how to fill Account Opening Form, what are the required documents that should be with you in order to open an account, what types of account Bank Uttara Bank Ltd. is offering to the customers, what are the facilities that an account Holder can enjoy and what are the profit rates Uttara Bank Ltd. is giving to its customers. I have learnt the procedure that an Account Opening Officer has to follow in order to open and maintain an Account.
5.3. Learning in Remittance and Clearing Department
There were two officers in this department one was Mrs.Mahabuba Sultana and the other was Mrs.Shameem Ara Begum Dora. Mrs.Shameem Ara Begum Dora was handling inward clearing and Outward Clearing. While issuance of other negotiable instruments like Pay Order, Demand Draft, Pay Slip etc, were handled by Mrs. Mahabuba Sultana. I worked Two week in this department.

In this department It was my responsibility for doing following jobs:-

❖ Issuance of Demand draft and their Computer feeding. ❖ Responsibility of DD Advice and its Payment. ❖ Issuance of Telegraphic Transfers and their feeding in Computer. ❖ Payment of IBC (Inward Bills For Collection) ❖ Lodgment of LBC (Local Bills for Collection), OBC (Outward Bills for Collection) and their Realization. ❖ Issuance of CDR (Call Deposit Receipt) and its Computer feeding.

5.4. Learning from Accounts & Finance Department

There were two officers in this department; Md.Tofazzol Hossain and Md.Rejanoor Rahman They have divided their work between them Md.Tofazzol Hossain Reporting and Md.Rejanoor Rahman handles daily activity checking.
I used to help Md.Rejanoor Rahman in Daily Activity checking, sorting and counting of vouchers and how to calculate the deprecations of all fixed assets. I learnt Md.Tofazzol Hossain the items of the Balance Sheet of Bank and saw the format of different reports. He helped me to understand his work. He told me about the reports that he has to prepare & the purpose of those reports. It was one of those Departments in which Customer interaction is not involve rather paper interaction is important.

5.5. Learning from Trade Finance:

This was a new department in Uttara Bank Limited,New Market Branch so there was only one officer whose name was Sairunnesh Kochi who had experienced in trade finance. I learnt the different methods of Trade Finance, requirement of importer and exporter before doing import and export and procedure of opening L/C, I read L/C that helped me understand that what things would be included in it. In this department few Customers were seen because this was a new department and it will take time to generate profits for the bank.

5.6. Learning in Corporate & SME’s Finance

This department is giving a huge amount of return to the branch. There were One officers Md. Nurul Islam. I learnt that which assets could be leased through this department. What are the documents that are required from different type of client like sole proprietorship, Partnership, company and trust. How the risk can be evaluated. Preparations of offer latter, Credit line proposal, approval process, Borrower’s Basic Fact Sheet for SME’s, Financial Statement of applicant.

5.7. Provide Information of all type of customer Query

I am also providing information to all customer queries. Each day many people come to the branch with various type of problem. I tried to best to give them the proper information I am try to solved their problem. Some of the information like account opening requirement and mandate instruction, DPS & FDR related information, pay order, TT & document issue and all type of queries.

Chapter-6
[pic]
Analysis& Findings

6.1. Return on Assets:

|Year |2007 |2008 |2009 |2010 |
|Ratio |1.39 |1.95 |1.54 |1.91 |

Figure: Return on Assets of Uttara Bank Limited

[pic] Source: Annual Report of the Bank 2007-2010

It shows the percentage of profit earned against the total asset used. In 2007 return on asset was 1.39% and 2008 was 1.95%, but in 2009 it was decreased 1.54%. And in 2010 it is increased comparing 2007-2009.

6.2. Advance / Deposit Ratio:

|Year |2007 |2008 |2009 |2010 |
|Ratio |63.25 |73.09 |66.43 |74.10 |

Figure: Advance / Deposit Ratio of Uttara Bank Ltd

[pic]
Source: Annual Report of the Bank 2007-2010

It shows the percentage of profit earned against the total investment. Return on deposit in 2007 was 63.25% it was increased 73.09% in 2008. But it was little bit decrease in 2007 with 66.43. In 2010 it was consecutively increased with 74.10%.

6.3. Return on Investment:

|Year |2007 |2008 |2009 |2010 |
|Ratio |5.18 |7.02 |8.18 |11.87 |

Figure: Return on Investment of Uttara Bank Ltd

[pic]Source: Annual Report of the Bank 2007-2010

From the graph we can see that the Return on Investment continuously increase from 2007 to 2010. In 2007 it was 5.18% and in 2008 it was 7.02%. But in 2009 it was 8.18%. However, ROI recovered in 2010 was 11.87%.

6.4. Earning Per Share (Taka):

|Year |2007 |2008 |2009 |2010 |
|Taka |95.18 |142.55 |69.19 |64.77 |

Figure: Earning Per Share of Uttara Bank Ltd

[pic] Source: Annual Report of the Bank 2007-2010

From the graph we can see that the Earning per Share in 2007 it was TK. 95.18 and in 2008 it was TK. 142. But in 2009 it was dropped to TK.69.19. However, Earning per Share recovered in 2010 was 64.77%.

6.5. Net Assets value per share:

|Year |2007 |2008 |2009 |2010 |
|Taka |180.59 |230.94 |388.58 |335.94 |

Figure: Net Assets value per share of Uttara Bank Ltd

[pic] Source: Annual Report of the Bank 2007-2010

From the graph we observed that net assets value per share was 180.59 in 2007 and in 2008 net assets value per share increased to 230.94. It was 388.54 in 2009. But net assets value per share decreased to 335.94 in 2010.

6.6. Investment of UBL:

The bank investment during the year 2009 were mostly in government Securities which stood at Tk 22,344.1 million as against Tk 11091.8 million a growth of 101.44 present over the lest year.The Bank invested total Tk 22502.5 million in 2009 as compared to Tk 11188.3 million of the previous year.
Head wise position of bank’s invested fund at the end of the year 2010 is given below:

|Head of Investment |Taka Million |
|Treasury Bills And Bond |22182.9 |
|Approved Debenture |151.0 |
|Shear and debenture |7.3 |
|Prized bond |10.2 |
|Share Of Capital: | |
|Eastern Bank Ltd. |104.0 |
|Karmasangsthan Bank |10.0 |
|ICB |31.8 |
|CDBL |1.0 |
|Other Companies |4.3 |
|Total: |22502.5 |

Source: Annual Report of the Bank 2009-2010

[pic]

Source: Annual Report of the Bank 2009-2010

6.7 Loans and Advances:

In 2010 Uttara Bank Ltd. registered a stead growth in the credit portfolio posting a growth of 6.22 percent. Total loans and advances of the Bank stood at Tk 39451.4 million during the year 2009 as compared to Tk 37141.3 million of the previous year. Average loan per Branch stood at Tk 187 million.
Sector wise Loans and Advanced in table:

|Commercial Lending |48% |
|Lease financing |1% |
|Industrial Lending |15% |
|Housing |1% |
|Agricultural |1% |
|Special Program |11% |
|Bills Purchased & Discounted |8% |
|Others |15% |

Sector wise Loans and Advanced:

[pic]
Source: Annual Report of the Bank 2009-2010

6.8 Assets of UBL:

The increased in the assets was mainly driven by significant growth of costumer deposit. The growth of deposit was used for funding in loans & advances and holding of securities for SLR. As of 31st December 2009 total asset of the Bank stood at TK 71,946.0 million with an increase of 23.10 present as against 2008.The increase of assets is determined by investment loans and advance money at call and short notice. The amount of the Assets
For the last four years Total Assets is given by the following table:

|Year |Amount of Assets (Million) |
|2006 |Tk 45217.0 |
|2007 |Tk 52,860.3 |
|2008 |Tk 55326.47 |
|2009 |Tk 71,946.0 |
|2010 |Tk 81458.02 |

[pic]

Source: Annual Report of the Bank 2006-2010

6.9 Liabilities of UBL:

Total liabilities of the Bank stood at TK 8,560,482,934 as of 31 December 2009 registering a growth of 20.06 percent over the lest year and TK 9,377,588,319 as of 31 December 2010. This mainly due to increase in customer deposit.

For the last four years Total liabilities is given by the following table:

|Year |Total liabilities (Million) |
|2006 |Tk 73217.0 |
|2007 |Tk 79,860.3 |
|2008 |Tk 8806.89 |
|2009 |Tk 8560.48 |
|2010 |Tk 9377.59 |

[pic]Source: Annual Report of the Bank 2006-2010

6.10 Reserve Fund:

The reserve fund was Tk. 5224.70 million during the year 2010 and Tk 4609.6 million during the year 2009 by registering 59.49 percent increase over lest year Tk 2890.2 million, 2008. The Reserve Fund was Tk 2,054,2 million, the year 2007 by registering 8.93 percent increase over 2006, Tk. 1,885.8 million.

[pic] Source: Annual Report of the Bank 2009-2010

6.11 Human Resources:

Total man power of the bank on 31st December,2010 is 3,291, Out of which 2,123 are officers and 1168 are the supporting staffs. Efforts have been mad to rationalize the use of the manpower by improving their efficiency and productivity.
The total manpower of the Bank in different grades as on 31-12-2009 was under:

|Executive (Asstt. General Manager & Above) |132 |4.01% |
|Officers |1,991 |60.50% |
|Asstt. Officers |420 |12.76% |
|others |748 |22.73% |
|Total: |3291 |100% |

[pic]

Source: Annual Report of the Bank 2009-2010

6.12 What is a SWOT?

SWOT analysis is a process to identify where we are strong and where we are vulnerable, where we should defend and where we should attack. It tells us our strengths, our weaknesses, the opportunities which prevail in the market and the threats which we may face from our competitors and other from other potential factors.
This analysis can be performed on a product, on a service, a company or even on an individual.
6.13 SWOT Analysis:
The Bank’s strength and competitive capabilities can be shown by the SWOT analysis .The SWOT analysis is grounded in the basic principle that strategy –making efforts must aim at producing good fit between a company resources capability and its internal situation.

6.13(1) Strengths:

As a bank has good position in the banking sector. ➢ Training institution of this bank is very helpful for their employees. ➢ Experiences top management. ➢ As present it operates 211 branches in the country ➢ It has a good reputation since its establishment. ➢ High growth rate accompanied by an impressive increase in the authorized capital paid up capital and reserve fund. ➢ Co-ordination and Co-operation among staff. ➢ Old Bank and largest commercial Bank so greater reliance to customer. ➢ Larger market share ➢ 10) Larger domestic client base ➢ 11) Experienced management team and human resource ➢ 12) Largest branch network ➢ 13) Company reputation and good will ➢ 14) Affordable service charges
6.13(2) Weakness: ➢ Lack of technological resources as well as traditional banking ➢ Lack of quality and attractive products for customers. ➢ Lack of clear mission. ➢ Lack of motivation of the employees. ➢ Banking service is lengthy. ➢ Its it section is so much weak. ➢ Reduced Earning per share ➢ Limited service packages ➢ Lack of promotional activities ➢ Operations are manually driven.

6.13(3) Opportunities: ➢ Now-a-days small and medium Enterprises in our country are increasing. So the SME business holders need money or loan from bank. UBL can focus on this SME sector. ➢ To develop the agricultural the bank can provide service to the people. Who earn their livelihood by cultivating land? ➢ Huge Potential in villages for micro-credit. ➢ Credit card business. ➢ Growth and Branches in the rural area in the country. ➢ Potential market for internet and phone banking. ➢ Expand its product line to enhance its sustainable competitive advantage. ➢ Retail Banking. ➢ Scope of market segmentation though diversified products ➢ Automation, SMS banking and phone banking. ➢ Providing business solutions to corporate consumers and expanding number of corporate customers there by- ➢ Recognizing trend in international business
6.13(4) Threats: ➢ Other Commercial Banks are offering higher salary that may create problem for UBL. ➢ Intense competition in the market lot of private commercial banks, foreign banks and multinational banks pose significant threats of UBL. ➢ Lack of appeal to younger, student potential customers. ➢ Potential instability in the country. ➢ Many banks providing online banking and modern Banking service. ➢ Now-a-days each bank use new technologies but UBL has not adopted it yet.

Chapter-7
[pic]

Conclusion & Recommendations

Conclusion
If I have to express my experience of internship in Uttara Bank Limited New Market Branch Lahore I would briefly say:
Uttara Bank Limited is a good Organization in the way that anybody can join it for his/ her long-term career. Overall working environment is comfortable. Management of branch cares a lot of its employees and considers them as the Asset of bank. Behavior of senior executive of bank is very polite and they are caring about the individual’s career and their growth.
However management is very demanding about the targets but good reward at the achievement of assigned targets is awarded.
Employees at Uttara Bank Limited are quite efficient. As New Market Branch is a new one, its employees have to bring their bank among the list of good banks. Therefore, they work more than their working hours and it is all according to their will. It also shows their loyalty, commitment to organization.
Employees are given the benefits like bonus, gratuity funds, loans, increments, and medical.
All the customers are entertained individually. Same kind of behavior and attention is given to all the customers. Getting ideas for improvement from customer side is a new idea and that is working very well in Uttara Bank Limited. All the customers are asked to fill a suggestion form and the standards of the bank are improved through them.
Prioritizing its product portfolio in line with its corporate and consumer needs and wants the bank is committed to develop products that give more value to its customers in both the sectors.
In bank, the work is done on computers. All the entries are made in computer. Balance are fed into the computer. This increases efficiency of the bank.
During my internship training I gathered information regarding how a successful bank operational aspect decorticated with the practical.
I found my internship training at Uttara Bank Limited New Market Branch Lahore to be a very rewarding experience. The training was beneficial because it helpful me to aware a real life working environment.
So far my learning is concerned; all the employees at branch were quite cooperative. They helped me to understand the activities of a bank to possible extent. Their good attitude gave me more confidence to learn more and to ask if I have any query in my mind. Besides their ever going activities they never get irritant by my questioning. I had made an honest efferent to present the working & operation of Uttara Bank Limited New Market Branch Lahore in simplest way.
I feel pleasure that I have really gained a lot during 12 weeks & enjoyed working with experienced cooperative & intelligent staff.

Recommendations ➢ It was an interested experience to do internship in Uttara Bank Limited. The staff was highly cooperated and due to their help I learned big deal about modern banking. ➢ I would like to suggest that such an internship program highly integrative for the students of commerce education so that the students should be enquired with the knowledge of practice world .I do summarize that it would be a great help to me in selection of job or future field of work. ➢ Here I am putting some suggestions, which will enable the bank to compete with other banks more effectively & efficiently. ➢ It is observed that the employees were overburdened so they have to stay at branch till late at night. In this way their efficiency is affected and hiring more employees can reduce their work. ➢ The employees should be signed jobs for specific period and than they should shifted to other department so that they gain knowledge of other jobs. ➢ Uttara Bank Limited should properly advertise and Communicate to public about the services provided by it, so that more customers will be attracted. ➢ The bank’s management should give more incentives and pay scale of officers should be revised & improved. ➢ System and operations should be more defined and organized. ➢ Uttara Bank Limited New Market Branch IT draw backs should be improved. ➢ Administration drawbacks should be improved by the strict control of general issues. ➢ Audit should be held internally. Rather there should be an Audit Department in the branch to make audit on daily basis. This can become so helpful as different banks are having this department of their own. ➢ Uttara Bank Limited, New Market Branch Lockers, ATM, all these facilities should be provided to attract more customers. ➢ Expenditures must be control, which are very high. ➢ Number of employ of UBL, new market branch ,should be increased. ➢ Cash department of Uttara Bank Limited, New Market Branch should be more secure. ➢ Charge and fees may be reduced for more customer satisfaction.

Reference

Reference

Annual Report 2008-2009 of Uttara Bank Ltd.
Gitman J. Lawrence. (2003), “Principles of Managerial Finance”, 10th edition, person
Madhura Jeff (2006) “Bank Management Financial Marker & Institution” 7th Edition, Thomson south Western.
Uttara Bank Ltd.(2011) History of UBL Retrieved as February 15,2011 from htt://uttarabank-bd.com www.uttarabank-bd.com www.google.com

[pic]
Appendix

|UTTARA BANK LIMITED |
|PROFIT AND LOSS ACCOUNT |
|FOR THE YEAR ENDED 31 DECEMBER 2010 |
| | | | |2010 | |2009 |
| | |Notes | |Taka | |Taka |
|OPERATING INCOME : | | | | | | |
|Interest Income | |18.1 | | 4,841,862,389 | | 4,492,433,245 |
|Interest paid on deposits, borrowings etc. | |19 | | 2,959,915,391 | | 2,790,427,461 |
|Net Interest Income | | | | 1,881,946,998 | | 1,702,005,784 |
|Income from Investment. | |20 | | 2,206,593,581 | | 1,840,039,983 |
|Commission,Exchange and Brokerage | |21 | | 939,090,516 | | 913,451,257 |
|Other Operating Income | |22 | | 780,671,115 | | 408,516,881 |
|Total operating income | | | | 5,808,302,210 | | 4,864,013,905 |
|OPERATING EXPENSES | | | | | | |
|Salary and allowances. | |23 | | 1,593,059,377 | | 1,535,121,729 |
|Rent, taxes,insurance,electricity etc. | |24 | | 194,414,151 | | 167,877,979 |
|Legal expenses | |25 | | 10,115,024 | | 8,984,031 |
|Postage,stamp,telecommunication etc. | |26 | | 37,249,289 | | 35,661,344 |
|Stationery,printing,advertisements etc. | |27 | | 69,706,067 | | 60,784,191 |
|Managing Director's salary & allowances and fees |28 | | 10,614,666 | | 9,561,111 |
|Directors' fees | |29 | | 2,392,000 | | 2,300,000 |
|Auditors' fees | | | | 300,000 | | 250,000 |
|Repair, maintenance and depreciation | | | | | | |
|of Bank's property | |30 | | 150,533,394 | | 124,597,235 |
|Other expenses | |31 | | 673,037,516 | | 404,999,716 |
|Total operating expenses | | | | 2,741,421,484 | | 2,350,137,336 |
| | | | | | | |
|Profit before provision | | | | 3,066,880,726 | | 2,513,876,569 |
| | | | | | | |
|Provision | | | | 265,000,000 | | 325,000,000 |
| Provision for loans & advances | |32 | | 240,000,000 | | 320,000,000 |
|Provision for Other | |33 | | 20,000,000 | | - |
|Transfer to benevolent fund | | | | 5,000,000 | | 5,000,000 |
|Profit before tax | | | | 2,801,880,726 | | 2,188,876,569 |
|Provision for Taxation | | | | 1,250,000,000 | | 1,083,650,000 |
|Current tax | | | | 1,239,639,400 | | 1,075,000,000 |
|Deferred tax | | | | 10,360,600 | | 8,650,000 |
|Profit after taxation | | | | 1,551,880,726 | | 1,105,226,569 |
|Retained earning brought forward | |16.1 | | 8,282,263 | | 1,714,894 |
|Profit available for appropriation | | | | 1,560,162,989 | | 1,106,941,463 |
|Appropriation | | | | | | |
|Statutory reserve | | | | 570,000,000 | | 250,000,000 |
|General reserve | | | | | | 50,000,000 |
| | | | |- | | |
| | | | | 570,000,000 | | 300,000,000 |
|Retained surplus | |16 | | 990,162,989 | | 806,941,463 |
|Earning per share (EPS) after split | |39 | | 6.48| | 4.61 |

|UTTARA BANK LIMITED |
|BALANCE SHEET |
|AS AT 31 DECEMBER 2010 |
| | | | | | | |
| | | | |2010 | |2009 |
|PROPERTY AND ASSETS | |Notes | | Taka | | Taka |
|Cash | |03 | | 6,637,786,903 | | 5,348,163,400 |
|Cash in Hand (including foreign currencies) | | | | 1,294,274,237 | | 1,341,438,945 |
|Balance with Bangladesh Bank and its | | | | | | |
|agent Bank(s) (including foreign currencies) | | | | 5,343,512,666 | | 4,006,724,455 |
|Balance with other Banks and | | | | | | |
|financial institutions | |04 | | 399,461,149 | | 285,958,697 |
|In Bangladesh | | | | 2,922,415 | | 2,856,213 |
|Outside Bangladesh | | | | 396,538,734 | | 283,102,484 |
| | | | | | | |
|Money at call and short notice | |05 | | 29,600,000 | | 329,700,000 |
| | | | | | | |
|Investments: | |06 | | 18,591,127,858 | | 22,502,481,805 |
|Government | | | | 18,429,298,854 | | 22,344,069,501 |
|Others | | | | 161,829,004 | | 158,412,304 |
| | | | | | ..| |
| | | | | | | |
|Loans and Advances: | |07 | | 48,672,687,127 | | 39,451,355,571 |
|Loans, cash credits, over drafts etc. | | | | 44,372,359,512 | | 36,289,189,482 |
|Bills purchased and discounted | | | | 4,300,327,615 | | 3,162,166,089 |
|Fixed assets including land, building | | | | | | |
|furniture and fixtures | |08 | | 2,798,141,777 | | 1,088,418,582 |
|Other Assets | |09 | | 4,228,815,180 | | 2,840,664,075 |
|Non Banking Assets | |09.b | | 94,202,809 | | 99,256,359 |
|TOTAL ASSETS | | | | 81,451,822,803 | | 71,945,998,489 |
| | | | | | | |
|LIABILITIES AND CAPITAL | | | | | | |
|Liabilities: | | | | | | |
|Borrowings from other Banks, | | | | | | |
|Financial Institutions and Agents | |10 | | 206,875,583 | | 1,176,417,193 |
| | | | | | | |
|Deposits and other accounts: | |11 | | 65,868,030,947 | | 59,387,263,182 |
|Current and other accounts etc. | | | | 23,125,023,246 | | 20,386,884,603 |
|Bills payable | | | | 1,692,242,882 | | 1,752,780,457 |
|Saving bank deposits | | | | 23,794,594,646 | | 21,389,308,459 |
|Fixed deposits | | | | 15,130,072,230 | | 14,037,133,261 |
|Other deposits | | | | 2,126,097,943 | | 1,821,156,402 |
|Other liabilities | |12 | | 6,766,076,457 | | 5,175,368,351 |
|TOTAL LIABILITIES | | | | 72,840,982,987 | | 65,739,048,726 |
| | | | | | | |
|CAPITAL/SHARE HOLDERS' EQUITY | | | | | | |
|Paid up capital | |13.2 | | 2,395,977,600 | | 1,597,318,400 |
|Statutory reserve | |14 | | 2,370,837,039 | | 1,800,837,039 |
|Other reserves | |15 | | 2,853,862,188 | | 2,001,852,861 |
|Surplus in profit and loss account | |16 | | 990,162,989 | | 806,941,463 |
|Total equity attributable to equity holders of the company | | 8,610,839,816 | | 6,206,949,763 |
|TOTAL LIABILITIES AND SHARE HOLDERS' EQUITY | | | 81,451,822,803 | | 71,945,998,489 |
| | | | | | | |
|OFF BALANCE SHEET ITEMS | | | | | | |
| | | | | | | |
|CONTINGENT LIABILITIES | | 17.0 | | 9,377,588,319 | | 8,560,482,934 |
|Acceptances & endorsements | | | | | | |
| | | | |- | |- |
|Letter of guarantees | | 17.1 | | 1,759,129,983 | | 1,633,463,102 |
|Irrevocable letter of credit | | 17.2 | | 5,279,474,336 | | 5,247,063,832 |
|Bills for collection | | 17.3 | | - | | - |
|Other contingent liabilities | | 17.4 | | 2,338,984,000 | | 1,679,956,000 |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
|OTHER COMMITMENTS | | | | | | |
| | | | |- | |- |
|Documentary credits and short term | | | | | | |
|trade related transactions | | | | | | |
| | | | |- | |- |
|Forward assets purchased and forward | | | | | | |
|deposits placed | | | | | | |
| | | | |- | |- |
|Undrawn note issuance and revolving | | | | | | |
|underwriting facilities | | | | | | |
| | | | |- | |- |
|Undrawn formal standby facilities, | | | | | | |
|credit lines and other commitments | | | | | | |
| | | | |- | |- |
|Liabilities against forward purchase & sale | | | | | | |
|Litigation filed by the Bank | | | | | | |
| | | | |- | |- |
| | | | | | | |
| | | | | | | |
|TOTAL OTHER COMMITMENTS | | | | | | |
| | | | |- | |- |
| | | | | | | |
|TOTAL OFF- BALANCE SHEET ITEMS | | | | | | |
|INCLUDING CONTINGENT LIABILITIES | | | | 9,377,588,319 | | 8,560,482,934 |

|UTTARA BANK LIMITED |
| |
| Highlights on the overall activities of the Bank for the year ended 2010 and 2009 |
| |
| |
| |
| |
| |
| |
| |
| |
| |
|Sl. |
|Particulars |
| |
|2010 |
| |
|2009 |
|Change in |
| |
|No. |
| |
| |
|Taka |
| |
|Taka |
|% |
| |
|1 |
|Paid-up-Capital |
| |
| 2,395,977,600 |
| |
| 1,597,318,400 |
|50 |
| |
|2 |
|Total Capital (Teir -I+II) |
| |
| 7,920,588,892 |
| |
| 5,829,047,757 |
|36 |
| |
|3 |
|Capital surplus/(Deficit) |
| |
| 1,633,188,892 |
| |
| 2,140,806,757 |
|-24 |
| |
|4 |
|Total Assets |
| |
| 81,451,822,803 |
| |
| 71,945,998,489 |
|13 |
| |
|5 |
|Total Deposits |
| |
| 65,868,030,947 |
| |
| 59,387,263,182 |
|11 |
| |
|6 |
|Total Loans & Advances |
| |
| 48,672,687,127 |
| |
| 39,451,355,571 |
|23 |
| |
|7 |
|Total Contingent Liabilities |
| |
| 9,377,588,319 |
| |
| 8,560,482,934 |
|10 |
| |
|8 |
|Advance/ Deposit Ratio |
| |
|0.74:1 |
| |
|0.66:1 |
|12 |
| |
|9 |
|Percentage of Classified Loans against total Loans & Advances |
|5.50% |
| |
|7.20% |
|-24 |
| |
|10 |
|Profit after tax & provision |
| |
| 1,551,880,726 |
| |
| 1,105,226,569 |
|40 |
| |
|11 |
|Amount of classified loan during current year |
| 925,300,000 |
| |
| 1,038,900,000 |
|-11 |
| |
|12 |
|Provision kept against classified loans |
| 391,983,437 |
| |
| 475,526,169 |
|-18 |
| |
|13 |
|Provision surplus /(deficit) |
| |
| 28,072,927 |
| |
| 20,443,169 |
|37 |
| |
|14 |
|Cost of Fund (%) |
| |
|4.74% |
| |
|4.94% |
|-4 |
| |
|15 |
|Interest earning Assets |
| |
| 65,036,584,230 |
| |
| 59,741,714,627 |
|9 |
| |
|16 |
|Non-interest earning Assets |
| |
| 16,415,238,573 |
| |
| 12,204,283,862 |
|35 |
| |
|17 |
|Return on Investment (ROI) % |
| |
|11.87% |
| |
|8.18% |
|45 |
| |
|18 |
|Return on Assets (ROA)% |
| |
|1.91% |
| |
|1.54% |
|24 |
| |
|19 |
|Income from Investment |
| |
| 2,206,593,581 |
| |
| 1,840,039,983 |
|20 |
| |
|20.a |
|Earning per Share (before split) |
| |
| 64.77 |
| |
| 69.19 |
|-6 |
| |
|20.b |
|Earning per Share (after split) |
| |
|6.48 |
| |
|4.61 |
|41 |
| |
|21 |
|Net income per Share (after split) |
|6.48 |
| |
|4.61 |
|41 |
| |
|22 |
|Market value per share (before split) |
|1660.75 |
| |
|1450.25 |
|15 |
| |
|23 |
|Price Earning Ratio (Times) |
| |
|25.64 |
| |
|20.96 |
|22 |
| |
|24 |
|Net Assets value per share (after split) |
|35.94 |
| |
|38.86 |
|-8 |
| |
| |
| |

[pic] [pic]
-----------------------

SWOT
Analysis

Threats

Opportunity

Weakness

Strength

Md.Nurul Islam

MS.Mabuba Sultana

Mrs.Sairunnnesn Kachi

Md.Sirazul Haque

Mrs. Shameem Ara Begum

Md.Rejanoor Rahman

Md.Tofazzal Hossain

Md.Abdul Hakim(S O)

Lone & Advance
Depertment

General Banking Department

Cash Department

Deputy Manager

Mrs. Shameem Ara Begum

Foreing Exching Depertment

Manager
Abdul kader