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CHAPTER: ONE

INTRODUCTION











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1.1 Origin of the Report
The internship report is a basic requirement for the BBA program. The proposed topic is
General Banking & Trade Financial Activities of Bank Asia Limited. The topic is assigned by
Mr. S.M. Arifuzzaman, Senior Lecturer, Department of Business Administration, East West
University, Dhaka.
1.2 Objectives of the study:
The objectives are generally two types. One is broad objective. And another is specific objective.

1.2.1 Broad Objectives:
The Board Objective of this studys to focus on the main activities of General Banking
Department that is Cash, Accounts, Customer service etc & Trade Financial activities of Bank
Asia Limited, MCB Banani Branch and also to know the process and the problems which they
are facing in every stage.
1.2.2 Specific objectives:
The Specific Objectives are as follows:
To explore the activities of General Banking & Foreign Trade department.
To acquire knowledge about foreign exchange department.
To acquire knowledge about general banking activities.
To analyze the total process of letter of credit according to the bank.
To identify different General Banking services available in Bank Asia Limited.
To access the efficiency of the customer service desk.
To assess the overall performance of the banks Foreign Exchange Department.
To know details of Foreign Exchange procedure in Bank Asia Limited



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1.3 Scope of the Study

This report consists of the writers observation and on the job experiences during the internship
period in MCB Banani Branch, Bank Asia. The report mainly emphasizes the sequential
activities involved in customer service, cash, credit and investment approval process & Trade
and financial actions used by Bank Asia. The report also focuses on the financial analysis,
performance efficiency of the customer service desk, problems faced by GB and foreign trade
department, comparative growth rate and overall performance analysis of Bank Asia Limited.
Finally the report incorporates an evaluation of the different aspects and monitoring techniques
and findings problems and makes some recommendations.

1.4 Limitations of the study
Because Of Short Period of time, and huge working pressure in the branch I could not find
enough time to make my report more informative and creative but still I tried my level best to
cover all the departments where I have worked in this three months, and tried to focus all the
functions/problems/activities I have came aware of; while working in Banani branch as an intern.









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CHAPTER: TWO


BANK ASIA LIMITED (COMPANY PROFILE)












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2.1 Historical Background: Bank Asia Limited:
Bank Asia has been launched by a group of successful entrepreneurs with recognized standing in
the society. The management of the Bank consists of a team led by senior bankers with decades
of experience in national and international markets. The senior management team is ably
supported by a group of professionals many of whom have exposure in the international market.
(bankasia-bd.com)
Since its humble beginning in 1999, Bank Asia has established itself as one of the fast growing
local private banks. It has at present a network of eighty branches serving many of the leading
corporate houses and is gradually moving towards retail banking. Another significant delivery
channel is its own as well as shared ATM Network. Bank Asia has a network of 3651 ATMs out
of which Bank Asia owns 81. The other 3570 ATMs are shared through ETN with other banks. It
set milestone by acquiring the business operations of the Bank of Nova Scotia in Dhaka, first in
the banking history of Bangladesh. It again repeated the performance by acquiring the
Bangladesh operations of Muslim Commercial Bank Ltd. (MCB), a Pakistani bank. In the year
2003 the Bank again came to the limelight with oversubscription of the Initial Public Offering of
the shares of the Bank, which was a record (55 times) in our capital market's history and its
shares commands respectable premium. (bankasia-bd.com)
The asset and liability growth has been remarkable. By December 2011 the total asset of the
Bank grew to Tk 11,772,941 million, increase of almost 11.91% comparing to 2010. As of
December 2011 deposits increased to Tk 9,513,110million, an increase of 10.15% over that of
2010, and Loans & Advances reached Tk 8,281,997 million, an increase of 4.17% over that of
2010. And in 2013, Total asset was tk 163778 million and Total deposit was Tk 133489 million.
At present Bank Asia has 86 branches across the nation with more than 1600 employees. Bank
Asia has been actively participating in the local money market as well as foreign currency
market without exposing the Bank to vulnerable positions. The Bank's investment in Treasury
Bills and other securities went up noticeably opening up opportunities for enhancing income in
the context of a regime of gradual interest rate decline. (bankasia-bd.com)

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Bank Asia Limited started its service with a vision to serve people with modern and innovative
banking products and services at affordable charge. The Bank is maintaining its competitiveness
by leveraging on its Online Banking Software and modern IT infrastructure. It is the pioneer
amongst the local banks in introducing innovative products like SMS banking, and under the
ATM Network the Stelar Online Banking software enables direct linking of a clients account,
without the requirement for a separate account. Being parallel to the cutting edge technology the
Bank is offering online banking with added delivery channels like ATM, Tele-banking, SMS and
Net Banking. And as part of the bank's commitment to provide all modern and value added
banking service in keeping with the very best standard in a globalize world. (bankasia-bd.com)

2.2 Milestones of Bank Asia Limited:
1. Certificate of Incorporation 28/09/1999
2. Certificate of Commencement of Business 28/09/1999
3. Banking License 06/10/1999
4. First Branch License 31/10/1999
5. Inauguration of Bank 27/11/1999
6. Only Bangladeshi bank to acquire operations of 02
foreign banks namely: Bank of Nova Scotia, Canada
and Muslim Commercial Bank of Pakistan
2001 (Bank of Nova Scotia, Canada) 2002 (Muslim
Commercial Bank of Pakistan)
7. Date of IPO subscription 23-24/09/2003
8. IPO oversubscribed by: 56 times
9. Date of First Share Trading in Bourse 08/01/2004
10. Number of Shareholders and Shares (at the end of
2009)
10,868 (shareholders) 21,448,125 shares
11. Date of First Subscription with CDBL 20/12/2005
12. Date of First Script-less Trading 30/01/2006
13. Commenced Operation of Off-Shore Banking 28/01/2008
14. Commenced Operation of Islami Banking 24/12/2008



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2.3 Mission:
To assist in bringing high quality service to our customers and to participate in the
growth and expansion of our national economy.
To set high standards of integrity and bring total satisfaction to our clients, shareholders
and employees.
To become the most sought after bank in the country, rendering technology driven
innovative services by our dedicated team of professionals.

2.4 Vision:
Bank Asias vision is to have a poverty free Bangladesh in course of a generation in the new
millennium, reflecting the national dream. Our vision is to build a society where human dignity
and human rights receive the highest consideration along with reduction of poverty.

2.5 Core Values:
Place customers interest and satisfaction as first priority and provide customize banking
products and services.
Value addition to the stakeholders through attaining excellence in banking operation.
Maintain high ethical standards and transparency in dealings.
Be a compliant institution through adhering to all regulatory requirements.
Contribute significantly for the betterment of the society.
Ensure higher degree of motivation and dignified working environment for our human
capital and respect optimal work-life balance.
Committed to protect the environment and go green




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2.6 Code of Conduct:
Employees must be open and loyal to the bank and banks interest.
Employees must keep confidential all banks and other matters that could provide other
third parties unauthorized access to confidential information.
Employees must observe the banks security requirements concealing access to electronic
resources and documents.
All information and communication with the media, the public and financial markets
shall be reliable and correct, maintain high professional and ethical standards and in
accordance established guidelines and regulations.
Customers shall be met with insight, respect and understanding. Employees must always
try to fulfill the needs of the customer in the best possible manner, within the guidelines
for corporate ethics and regulations.
Under no circumstances, employees shall or be a part of any activity that prohibits open
and fair competition of Bank Asia in breach of relevant business laws.
Employees shall never offer or accept illegal or inappropriate gifts or other remuneration
in order to achieve business or personal advantages.
Employees engagement in external duties must not affect his/her working relationship
with Bank Asia or come into conflict with Bank Asias business interest.
Should an employee become aware of an infringement of Bank Asias rules and
guidelines, he/she should blow whistle raising the issue to the line management or to
Human Resource Department.
(Annual Report 2013, Bank Asia)






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2.7 Board of Directors:
Mr. A Rouf Chowdhury, Chairman
Mr. A M Nurul Islam, Vice Chairman
Mr. Mohammed Lakiotullah, Vice Chairman
Ms. Hosneara Sinha, Director
Mr. Mohd. Safwan Choudhury, Director
Mr. Rumee A Hossain, Director
Ms. Farhana Haq Chowdhury, Director
Ms. Naheed Akhter Sinha, Director
Mr. Nafees Khundker, Director
Mr. M Irfan Syed, Director
Mr. Faisal Samad, Director
Mr. Shah Md. Nurul Alam, Director
Ms. Sohana Rouf Chowdhury, Director
Mr. Md. Mehmood Husain, President and Managing Director

2.8 Management Team:

Mr. Md. Mehmood Husain, President and Managing Director
Mr. Aminul Islam, Deputy Managing Director, Chief Operating Officer & Company Secretary
Mr. Mohammed Roshangir, Deputy Managing Director & Chief Business Officer (Corporate)
Ms. Humaira Azam, Deputy Managing Director & Chief Risk Officer
Mr. Md. Arfan Ali, Deputy Managing Director & Chief Business Officer (SMR)
Mr. Nasirul Hossain, Senior Executive Vice President & Head of Recovery
Mr. Syed Nazimuddin, Senior Executive Vice President & Head of Foreign Remittance
Mr. Md. Touhidul Alam Khan, ACMA Senior Executive Vice President & Head of Corporate
Assets and Client Origination
Mr. Mohammad Borhanuddin, Senior Executive Vice President & Head of Internal Control &
Compliance
Mr. Md. Abu Bakar Laskar, Senior Vice President & Head of Branch Operations
Mr. Imran Ahmed, FCA, CISA
Senior Vice President & Chief Financial Officer
Mr. Md. Zia Arfin, Senior Vice President & Head of International Division
Mr. Mohammad Abdul Qaium Khan, Senior Vice President & Head of Information and
Communication Technology
Mr. Mamun Mahmud, Senior Vice President & Head of Human Resources
Mr. Arequl Arefeen, Vice President & Head of Treasury
Mr. Afzalul Haq, Vice President & Head of Islamic Banking

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Bank Asia Ltd
Main
Operation
Conventional
Banking
Islamic
Banking
Off-shore
banking
Subsidiary
Companies
Bank Asia
Securities Ltd
BA Exchange
Company (UK)
Ltd
2.9 Corporate Structure:






Figure-1: Corporate Structure of Bank Asia (Annual Report 2013, Bank Asia)
2.10 Salient features of Bank Asia:
Only Bangladeshi Bank to acquire operations of two foreign banks
o Bank of Nova Scotia of Canada
o Muslim Commercial Bank of Pakistan.
Majority stake holder of ERA INFOTECH (A joint Venture IT Company).
Centralized Trade Services Operation
o Facilitates Export/ Import and Inward and Outward Remittance for non-AD Branches.
Central Clearing -Fully Automated.
Online & ATM Charges - Free.
ATM Booth- 48 & E-Cash Booth- 125.
24 Hours Call Centre for customer service.
Member- Dhaka Stock Exchange (DSE) & Commenced Capital Market Operations (Share
Trading).
Internet & Mobile Banking
SME Banking
Consumer Banking
Islamic Banking
Green Banking

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2.11 Product & Services of Bank Asia (In a Nutshell)
(Source: Annual Report 2013, Bank Asia)

2.11.1 Business Banking
Overdraft
Secured Overdraft
Secured OD (Earnest Money)
Working Capital Finance
Loan against Trust Receipt
Loan against Cash Incentives
Bill Discounting
Loan Syndication and Structured Finance
Packing Credit
Demand Loan
Demand Loan (Work Order)
Time Loan
Transport Loan
Lease Finance
Letter of Guarantee
Letter of Credit
Back to Back Letter of Credit
2.11.2 Credit card
Master Card Local (Gold & Silver)
Visa Local (Gold & Classic)
Visa Dual Currency Credit Card (Gold & Classic): Local and foreign currency in same
plastic.
Visa Card against RFCD, RQ A/c

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Visa Mini
Virtual Card
SME Credit Card
Lanka Bangla Card Cheque: To make payments where the customer cannot make
payment through cards like house rent, education fees etc.

Major Credit Card features:
Double Credit Shield: Bank Asia introduced double credit shield program for the valued credit
cardholders. Under double shield plan in the unfortunate event of death or permanent total
disability of the cardholder, cardholders nominee or cardholder shall receive Tk. 50,000 for
Silver/Classic cardholder and Tk. 1, 00,000 for Gold card in addition to the auto settlement of
entire dues on the credit card.
Free SMS service: A cardholder is able to get information about cards outstanding and different
value added services over cell phone through SMS service.
E-statement: A Bank Asia cardholder has facilities to get monthly statement over e-mail
anywhere in the world.
Reward Points: A cardholders accumulates reward points against purchase.
24 hours call center: Our enthusiastic customer care agents are ready to attend customers query
round the clock through our call center.
Soft turn: Bank Asia Cards has offered the employees of MNC, FI and renowned corporate
houses to transfer their existing other bankss credit card outstanding to Bank Asia MasterCard or
VISA credit card.
Easy buy: Under this scheme Bank Asia cards have flexibility to pay in installment basis on any
purchase with the credit card.
SMS Alert Service: Cardholders are being same SMS upon approval of each transaction



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2.11.3 Small and Medium Enterprise (SME)
Sachondo Product Features:
SL Product
Name
Nature Maximum Loan
Tenor
Interest
Rate
Loan Type
1 Subidha unsecured trading 3 years 16% Equal Monthly
Installment
2 Sristi unsecured manufacturing 3 years 16% Equal Monthly
Installment
3 Sofol unsecured service 3 years 16% Equal Monthly
Installment
4 Sondhi secured trading 5 years 15% Equal Monthly
Installment
5 Sombridhi secured manufacturing 5 years 15% Equal Monthly
Installment
6 Seba secured service 5 years 15% Equal Monthly
Installment
Overdraft Features:
7 Somadhan Trading Manufacturing
Service
1 year 13-15% Over Draft
Special Product Features:
8 Utshob Seasonal 9 months 16% Single Installment
9 Subarno Women entrepreneur 3 years 10% Equal Monthly
Installment
Table 1- SME Product Features, Bank Asia Annual Report 2013



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Interest rate may be revised by Corporate Office/ competent authority from time to time and
charges & commissions may be relaxed by Corporate Office depending on customers
performance with our Bank or other Bank.
2.11.4 Deposit Accounts:
Saving Account
Current Account
Short notice Deposit
Fixed Term Deposit
Foreign Currency Account
Deposit Pension Scheme
Monthly Benefit Scheme
Double Benefit Scheme: Doubles your deposit in 7 years.
Triple Benefit Scheme: Triples your deposit in 11 years.
Bank Asia Sanchoy Plus
2.11.5 Treasury
Money Market
Overnight Call
Repo and Reverse Repo
Swap
Sale and Purchase of treasury Bill & Bond
Term Placement
Term Borrowing
Foreign Exchange
Spot
Forward
Interbank Buy/Sell

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2.11.6 Consumer Finance
Auto Loan
Consumer Durable Loan
House Finance
Loan for Professionals
Senior Citizen Support

2.11.7 Internet Banking
Connect Asia
Bank Asia symbolizes modern banking with innovative services in Bangladesh. We provide
Online Banking, ATM Support, SMS and Net Banking Services in the country. Our newly
developed web application is fully authentic, secured and robust. This technology based services
also provide you Fund Transfer through internet, Debit/Credit Card facility, free SMS message
of special type of withdrawal from your account time to time.
On-line Banking:
All branches under online banking system will be able to do banking practices using a common
server (which is centralized) from where only the branches will be able to enter using a common
password
Internet Banking Services
Check account balance
Take print out of account statement for a particular period
Transfer fund within your own account
Make payment of mobile phone bill
Recharge your mobile phone as well as others from your account
Enquire foreign exchange rate
Enquire currency exchange rates.
Acquire information on all our products.
Every transaction report will be sent to clients e-mail account.

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Can change the password, pin code and respective mobile number (For All Mobile
Operator's).
How to Use Internet Banking
Go to: www.bankasia.net
Insert User ID
Insert PIN Code
Click "Sign in" Button

2.11.8 Islamic Banking

Deposit Products
Mudaraba Saving Account
Al-Wadiah Current Account
Mudaraba Special notice Deposit
Mudaraba Term Deposit
Mudaraba Hajj savings Scheme
Mudaraba Deposit Pension Scheme
Mudaraba Monthly Profit Paying Deposit Scheme
Smart Junior Saver
Investment Products
Bai Murabaha Muajjal
Hire Purchase Shirkatul Melk
Musharaka
Quard against accepted Bills


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2.11.9 Off-shore Banking Unit (OBU) Products
On-shore Bill Discounting through OBU
Bill Discounting
Capital Finance
Working Capital Finance
Trade Finance
2.11.10 Services
ATM
Remittance
Locker Service
Online banking
Internet Banking
Phone Banking
Mobile Banking
SWIFT
Centralized Trade
Travellers Cheque
Student File
2.11.11 Capital Market Operation
Brokerage operation
Margin Loan








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2.12 Financial Performance of Bank Asia (Last 5 Years):
Table 2: Balance Sheet Matrix Of Bank Asia; As per Annual Report 2013 (Figures in Million taka)
Table 3: Income Statement Matrix, Annual Report 2013 (Million Taka)



Balance Sheet Matrix 2013 2012 2011 2010 2009
Authorized Capital 15,000.00 15,000.00 15,000.00 4,450.00 4,450.00
Paid up Capital 6,936.32 6 305.75 5 254.79 3 002.74 2 144.81
Reserve Fund & Surplus 7,681.38 6 739.42 7 224.14 4 057.20 2 809.33
Total Shareholders Equity 14,617.70 13 ,045.17 12 478.93 7 059.94 4 954.14
Deposits 133,489.37
110
061.78 95 131.10 86 365.64
54
832.82
Loans and Advances 104,911.26 92, 328.82 82 819.97 79 504.23
50
267.92
Investments 33,933.36 25 114.90 15 950.51 12 575.70 9 663.1
Fixed Assets 5,288.35 4 520.49 4 584.55 1 837.28 1 18.38
Total Assets 163,777.74
140
361.37 117 729.41 105 198.05
68
663.2
Total Off Balance Sheet Items 67,164.26 59 215.74 47 457.25 48 974.68
27
978.82
Interest Earning Assets 150,629.28
129
078.12 108 418.60 98 949.48
65
432.19
Non-Interest Earning Assets 13,148.46 11 283.26 9 310.81 6 248.57 3 231.01
Income Statement Matrix 2013 2012 2011 2010 2009
Interest Income 14346.31 13296.06 10903.58 8381.35 6247.49
Interst Expenses 11166.02 9616.35 8202.66 5420.58 4498.02
Investment income 3053.8 1930.64 1285.55 1163.49 1012.99
Non interest income 2299.04 2210.32 2416.97 2546.73 1367.03
Non Interest expenses 3117.36 2768.87 2361.47 2422.13 1512.47
Total Income 19699.15 17437.02 14606.1 12091.58 8627.52
Total expenditure 14283.38 12385.22 10564.13 7842.72 6010.48
operating profit 5415.76 3051.8 4041.97 4248.86 2617.04
profit before tax 3520.59 2723 3432.21 3579.52 2286.19
Net profit after tax 1459.82 908 1916.21 1929.56 1327.18

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Capital Measures 2013 2012 2011 2010 2009
Risk Weighted Assets 140976.92 106719 83664.2 100545.9 45150
Core capital 11904.15 10444.33 9536.33 6569.16 4644.4
Supplementary Capital 3670.7 3485.86 2911 1587.8 893.77
Total Capital 15574.85 13930.19 12447.33 8156.96 5538.17
Capital Surplus 1477.16 3258.29 4080.9 -892.14 1023.15
Table 4: Capital Measures, Annual Report 2013 (Million Taka)


Credit Quality 2013 2012 2011 2010 2009
Classified Loans 5878.79 5251.48 2249.96 1284.25 785.07
Provision For Unclassified
Loans
1038.2 989.2 974.03 959.67 622.93
Provision For Classified
Loans
3074.43 2641.11 772.42 354.63 355.38
Table 5: Credit Quality, Annual Report 2013 (Million Taka)


Foreign Exchange
Business
2013 2012 2011 2010 2009
Import 110738.08 106746.15 99414.2 110417.9 67378.3
Export 71968.33 66478.34 74794.5 57281.67 30953.4
Remittance 34334.4 32110.1 21776.7 18441.71 15555.1
Table 6: Foreign Exchange Business, Annual Report 2013 (Million Taka)








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Operating Profit Ratios 2013 2012 2011 2010 2009
Credit Deposit Ratio 78.59% 83.89% 87.06% 92.06% 91.67%
Cost of Deposit 8.81% 9.49% 9.09% 7.15% 8.97%
Administrative Cost 2.63% 2.82% 2.88% 2.08% 2.76%
Yield on loans &
advances
14.99% 15.20% 14.11% 12.72% 13.95%
Spread 6.18% 5.71% 5.02% 5.57% 4.98%
ROA 0.96% 0.70% 1.72% 2.22% 2.18%
ROE 10.55% 7.11% 19.61% 32.12% 32.03%
Table 6: Operating Profit Ratios of Bank Asia, Annual Report 2013


Performance Ratios 2013 2012 2011 2010 2009
Profit Per Employee 3.38% 3.40% 3.18% 3.43% 2.54%
Operating Profit 3.31% 3.60% 3.43% 4.04% 3.81%
Net Interest Income 3.70% 3.61% 3.33% 3.76% 3.76%
Burden Coverage 57.78% 63.58% 83.80% 88.41% 77.85%
Expense Coverage 79.44% 99.37% 105.38% 113.12% 102.44%
Efficiency ratio 36.53% 35.40% 36.88% 36.31% 36.63%
Table 7: Performance Ratios of Bank Asia, Annual Report 2013

Table 8: Other Informations, Annual Report 2013

OTHER INFORMATIONS 2013 2012 2011 2010 2009
Number Of Branches 86 73 63 49 41
Number Of SME service centers 6 6 7 9 3
Number Of Islamic Windows 5 5 5 5 2
Number Of employees 1600 1485 1270 1237 1031
Number Of Foreign Correspondent 761 776 775 770 625

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Ref: Annual Report 2013 Bank Asia Limited
0
500
1000
1500
2000
2009 2010 2011 2012 2013
Number Of Employees
0
20
40
60
80
100
2009 2010 2011 2012 2013
Number Of Branches
0
5000
10000
15000
20000
2009 2010 2011 2012 2013
Total Capital (Million Taka)

22







Ref: Annual Report 2013 Bank Asia Limited
0
50000
100000
150000
200000
2009 2010 2011 2012 2013
Total Assets (Million Taka)
0
50000
100000
150000
2009 2010 2011 2012 2013
Total Deposit (Million Taka)
0
20000
40000
60000
80000
100000
120000
2009 2010 2011 2012 2013
Advances

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Ref: Annual Report 2013 Bank Asia Limited
0
500
1000
1500
2000
2500
2009 2010 2011 2012 2013
Net Profit After Tax
0
5000
10000
15000
20000
2009 2010 2011 2012 2013
Total Shareholder's
Equity
28%
29%
22%
9%
12%
ROA
2009 2010 2011 2012 2013
32%
32%
19%
7%
10%
ROE
2009 2010 2011 2012 2013

24


CHAPTER: THREE



Project Part: General Banking & Trade
Financial Activities of Bank Asia LTD.













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3.0 Project Part:
I have been joined as an intern of Bank Asia Limited (Banani Branch) from the month
of 9th January 2014. The working criteria and my main duty and responsibility is to know and
support my colleagues in their day to day workplace and the whole environment is much more co
operative and helpful with me which encourage me to familiar with the environment. Everyone
tried to make me understand what to do, when to do and how to handle this and how these works
being done. My working department basically which I have been placed in the general banking
department & foreign trade department. In My report I mainly focused on the general banking
activities & trade financial activities of Bank Asia, MCB banani branch.
3.1 General Banking:
General banking is the starting point of all the banking operations. It is the department which
provides day-to-day services to the customers. Every day it receives deposits from the customers
and meets their demand for cash by honoring cheques. It opens new accounts, remit funds, issues
bank drafts and pay orders etc. Since bank is confined to provide the services every day, general
is also known as retail banking.
Bank Asia Ltd. is providing modern banking facilities to the customer. It is committed to fulfill
every possible customer need with high efficiency and satisfaction. Its team of dedicated
professionals is committed to provide an unparalleled service and to bring maximum benefits for
the customers, the shareholders and the society at large. Its a great pleasure of Bank Asia to
introduce following services.
In general banking department Bank Asia Limited is divided into several parts. They are as
follows:
1. Cash
2. Account Opening
3. Accounts
4. Reception
5. Customer service

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As I was in the customer service desk, so I will mainly focus the dealings of customer service
desk of Bank Asia, banana branch.
3.2 Accepting Deposits
Bank Asia Limited accepts the deposits like other banks may be classified into:

1) Demand Deposits :
These deposits are withdrawn able without notification e.g. current deposits bank
Asia Limited accepts demand through the opening of a) Current account b) Savings account

2) Time Deposits:
Time deposits are payable at a fixed date of after period of notice. Bank Asia
Limited accepts time deposits through fixed deposits receipt (FRD), short term deposit (STD).
While accepting these deposits a contract is made between the bank and the customer.
In customer service section, I have seen first and then I have opened the following accounts:
Savings Bank (SB) Account.
Current Deposit (CD) Account.
DPS.
FDR.

3.3 Procedure for opening of accounts

1) I have seen that the customer service officer wants to know whether the customer has an
introducer or not (the introducer must be an account holder with the bank or an officer of the
bank who is authorized to sign on behalf of the bank). If yes then the officer gives him/her an
Account Opening Form along with Specimen Signature Card and requests the customers are
filling up the form appropriately and submit the form with essential documents.


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2) Then the customers submit the account opening form with the following documents:

Two copies passport size photographs of the applicant attested by the introducer name
and one copy passport size photograph of the nominee attested by the applicant name.
Signature Card duly singed by the applicant name and his/her signature.
A/c opening form appropriately filled up.
Copy of passport/ National ID card/ Certificate from Ward Commissioner or Union
Perished Chairman. One should need must to open a new account.
Any other documents required by the bank time to time

After getting the required documents, the customer service officer will proceed as follows:
Examine the form and the attach documents with the form. Personal information and
nominee information is must to fulfill.
Then the officer fill up the section named For Banks Use only in the Account Opening
Form and take appropriate approval from proper authority. Upon approval officer will
Open the account in the name of applicant by giving posting in Banks computer system
STELAR.
The applicant must deposit 5000 taka to the cash counter to open a new account.
After opening of an account Bank sends Thanks Letter to the new client stating thanks
and gratefulness to the new customer for making relation with the bank. Another purpose
of this letter is to confirm the correctness of the customers address.







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3.4 Other Services of Customer Service Desk:

a) ATM Service: If any customer wants to have an ATM card, at first he/she needs to fill
up a form. This is known as ATM request form. The ATM issue charge is Tk.345.00
where Tk.300.00 is the card charge and Tk.45.00 VAT is taken to issue the ATM card.
Using stealer the customer service officer request for the card. After the request it takes
around 5 to 7 working days to get the card in the branch. Then customer service officer
call the customer and give the card to the customer after verifying the signature using
the stealer. After providing the card to the customer, it takes 12 or maximum 24 hours to
activate.

b) Solvency Certificate: If any customer wants to have a solvency then he/she must have
good transaction volume and minimum Tk.1, 00,000.00 balance in the account. The
Solvency issue charge is Tk.230.00 where Tk.200.00 is the issuance charge and
Tk.30.00 is taken as VAT.

c) Statement Certificate: If any customer ask for a statement, customer service officer
provide the statement right way. But before that customer needs to fill up a statement
request form, mentioning from which date to which date he/she needs the statement?
After that the service officer provides that statement to the customer. All the statements
are system generated and Bank Asia Limited do not require any sign or date to verify
these statements but the will provide the sill of the bank with the branch name in each of
the statement page. The statement charge is Tk.58.00 per page, where Tk.50 is charged
as the service charge and Tk.8.00 as VAT.

d) DPS: To start a DPS account a customer must have a saving account at first. After
having that saving account the customer can start a DPS account. Actually, the DPS
account is linked with the saving account, for this a customer must need to start the
saving account first. The DPS opening date is 1
st
to 10
th
day of every month. The DPS
rate is Bank Asia Limited is from 11.20% to 11.87%. It will vary depending on the
tenure of the DPS. Bank Asia Limited has DPS of minimum 3 years and the maximum

29

length is 12 years. A customer can give the DPS amount any time during a month. But,
from 1
st
to 10
th
of every month there is no additional charge. If a customer unable to pay
the DPS amount within 10
th
of that month then he/she needs to pay TK.50.00 extra as
penalty charge.

e) FDR: A customer can open a FDR any time in the bank during the working hour. But, at
1
st
he/she needs to fill up an individual form. The customer must provide the nominee
picture, signature and other required document properly to have an FDR account. Bank
Asia Limited has different FDR rate for different tenure. Most popular FDR is for the
months and the rate of interest is 9.8%. Bank Asia Limited offer auto renewal system,
that means if any customer does not want to withdraw the interest amount it will be
renewed with the interest amount for the next time. Bank Asia Limited also provides
double benefit scheme. Any amount is double within 5 years and 6 months. But for an
individual minimum amount should be Tk.1, 00,000.00 and maximum amount can be
Tk.40, 00,000.00.

f) Pay-order: Pay-order is one of the most essential services of Bank Asia Limited. In a
working day around 20 to 30 pay-order is being issued. If any customer wants to issue a
pay order he/she needs to fill up a pay order form. After that, the pay-order is issued
using the stealer system. Then customer officer write that pay-order manually. For
Tk.1.00 to up to Tk.2, 00,000.00 the pay-order service charge is Tk.58.00 where
Tk.50.00 is taken as pay-order charge and Tk.8.00 as VAT. And from Tk.2, 00,001.00
up to any amount the pay-order charge is Tk.87.00 where Tk.75.00 is taken as charge
and Tk12.00 as VAT.

g) Fund Transfer/ Cheque transfer: Using a form or cheque a customer can transfer the
balance to another account he/she wants to. In each day around 15 to 20 transaction
occurs where customer wants to transfer the fund. The customer uses these services to
maximize the business and to minimize the time by not travelling far.


30

h) Salary: In Stealer there is a section named batch. Doing batch transaction salary is being
posted to the particular account. The customer service officer needs to be extra careful
while giving a salary. The officer basically check the name, account number and amount
then post the salary to a particular account. There are around 50 large companies provide
salaries to their staffs using Bank Asia Ltd, MCB Banani Branch.

i) Cheque Request: When a customer is short of cheque book leaves they can easily fill
up the form which is given with every cheque book issue and ask for a new cheque
book. Bank Asia Limited; provide 2 different types of books. One type of books
contains 10 leaves and another contains 25 leaves. For 10 leaves Tk.35.00 is charged
and for 25 leaves, Tk. 87.00 is being charged.

Those are among the most common services that I was able to see while working in Bank Asia
Limited, MCB Banani Branch. I must admit there customer service department is very efficient,
prompt and dedicated. There customer service officers are always keen to give proper attention
to the customer. That is why they are able to retain smooth growth in every year. There officers
are very friendly, always willing to keep close relationship with the entire customer. I was really
lucky that I could see their service and also I was a part of their customer service team. This
department helped me a lot to learn how to deal with an individual. It helped me to build up the
self confidence; I will need to work in any work place. I believe in myself now. Though it seems
it is so tough to meet the expected expectation of the customer, I am sure; I will be able meet that
level and I will be able to handle such a work load that I saw almost every day while working in
Bank Asia Limited.






31

3.5 Trade Financial Activities (Foreign Trade Department):
Foreign exchange is an important department of Bank Asia Limited, which deals with import,
export and foreign remittances. Foreign Exchange is an International Department of the Bank. It
facilitates international trade through its various modes of services. It bridges between importers
and exporters. This department mainly deals in foreign currency, thats why it is called foreign
exchange department.
Foreign trade department plays an important role for bank Asia as well as it contributes in
the growth of our national economy. Like other departments of Bank Asia Limited
also gives emphasis on smooth and quick service for this particular department.
Foreign trade consists of export and import of goods and services from a country. It is an integral
part and parcel of foreign exchange. It refers business performed by the buyer and seller
participating from different country holds distinctive cultural values, normative beliefs and
ideology. Some country has special advantage to produce certain items while other country
possesses dearth of facility.
Foreign Trade includes:

Import
Export

Trade Finance is the science that describes the management of money, banking, credit,
investments and assets for international trade transactions. Trade Finance enables credit worthy
businesses to fund purchases from suppliers (particularly wholesalers, distributors and
manufacturers.)

The institutions or transaction involved in the financing of international trade. Trade finance
looks at banks credit agencies, insurers, forfeiters, and any other person or institution that
enables importers and exporters to trade across borders. Trade finance is related to international

32

trade. While a seller (the exporter) can require the purchaser (an importer) to prepay for goods
shipped, the purchaser (importer) may wish to reduce.


3.5.1 Major functions of the foreign department:




Collection of foreign documentary and clean bills.




The main importance of my duties and responsibilities is to do the report in the Bangladesh
Bank. So that the central bank can know how much export and import is being done in our
country yearly. When I have placed this information in the system, according to its code, it is
then placed with the Bangladesh Banks system.

This is an important task because with this the Government of the country will be able to know
how much export and import is being done yearly so that they can make the budget much more
comprehensive for the people of Bangladesh and also some following facts are mentioned here:






33






3.5.2 Import Department

Imports are foreign goods and services purchased by consumers, firms, & Governments in
Bangladesh. The importers are asked by their exporters to open letter of credits so that their
payment against goods is ensured.


3.5.3 Import Producer

To import through a customer requires-

Bank account
Import registration certificate (IRC)
Taxpaying identification number
Preformed invoice indent
Membership certificate
LCA (letter of credit authorization) form duly attested
One set of imp form
Insurance cover note with money receipt other import procedure can be shown by
the following flow chart.





34

3.5.4 Tasks which are performed here

The following things are done in this department:

Total supervision of Import Department (Cash/Back to Back L/C)
Foreign Correspondence related to above
Payment of Back-to-Back L/C and endorsement of Export L/C against payment
Follow-up of Back-to-Back overdue bills
Correspondence regarding Back-to-Back L/C and Cash L/C
Maintenance of Due Date Diary
Maintenance & record of related L/C Documents
Audit Compliance
Matching of Bill of Entry with IMP
follow-up of pending Bill of Entry Quarterly Statement
Batch Checking
Checking lodgment, retirement of Import documents under Back-to-Back L/C
Issuance of Shipping Guarantee (Back to Back L/C)
IMP Form Fill-up (Cash L/C)
Inform negotiating Bank about maturity date of Back-to-Back L/C
Maintenance & Record of related L/C (s) & Documents
Credit Report
Preparation of monthly foreign exchange business position
L/C Lodgment (Cash)
Checking of Cash L/C documents
Differed Payment (Cash)
Follow-up of outstanding BLC






35

3.5.5 Export
Pre-shipment advance
Purchase of foreign bills
Export guaranties
Advising/ Confirming letter of credit
Advance against bills for collection.


3.5.6 Methods of trading
Four common methods of conducting international trade are-
Open account
Advance payment
Documentary collections
Letters of credit

3.5.7 Open account:

Under an open account payment method, title to the goods usually passes from the Seller to the
Buyer prior to payment. Open account terms give the maximum security to the buyer and
represent the greatest risk to the seller. This mechanism offers the seller no protection in case of
non-payment. Furthermore, there may be a time delay in payment. This form of payment is used
when the seller has enough trust in the buyer's ability and willingness to pay once the goods have
been shipped, provided the buyer's country makes it possible for the buyer to effect payment as
promised.
3.5.8 Advance payment:
The name suggests that, it is the system where the importer pays first, and then the exporter
dispatches the goods. Advance payment is often used when the buyer is not known to the seller.

36

3.5.9 Documentary collections:
In that trading method, the seller dispatches the goods to the buyers by sea or any other
transports. The goods are loaded onto a ship at sellers port. The ship sails to importers port. The
carrier (shipping company) gives the exporter a bill of lading. This serves as a receipt for the
goods, and is also a document of title. The buyer must have this document of title (B/L) in order
to claim the goods at their destination. After the goods are dispatched, the seller sends to its
bank:
I. A request for payment (a B/E)
II. The Bill of Lading (receipt & document of title)
III. All the other documents relating to the transaction.
Other documents typically include- invoice, insurance certificate, packing list, etc. These are all
sent to the exporters bank along with the request for payment and instructions to the bank. The
bank sends the Bill of Exchange (request for payment) and all the documents to the importers
bank. The importers bank presents the bill of exchange to the importer. Bills of Exchange can be
drawn payable upon presentation (Sight bill); or if the exporter wishes to extend credit to the
importer, the bill may be payable at a later date (Usance bill / Term bill). In this case, the
exporter wants the buyer to pay for the goods immediately. Once the buyer has paid for the
goods, the overseas bank releases the documents (including the B/L). So, the importer now has
the Bill of Lading and so has control over the goods. So, they can claim the goods. The overseas
bank will only release the document of title (in this case a bill of lading) only when the importer
has paid for the consignment (or has agreed to pay by accepting a term bill). So, in a
documentary collection, the exporter instructs the overseas bank to Obtain payments from the
importer (or for a term bill, an agreement to pay) then release the document.




37




































Importer Sale/Purchase
Contract

Exporter
7. Presents
Document
s
5. Makes
payment by
negotiating
documents
3. Advises
or confirm
the L/C
1. Apply
in
writing
to issue
L/C
8. Makes
Payment
against
Documents
2. Issue
L/C
4. Submits
Documents
Issuing Bank
Advising/
Negotiating
Bank
6. Forward
Document
s
Reimbursing Bank
Reimbursement
Claim
Reimbursement
Instruction
Importer

Sale/Purchase
Contract
Exporter
Figure: Graphical representation of trading Procedure.

38

3.5.10 Documentation Letter of Credit (Imp/Exp Documentation)
Documentary letter of credit is such kinds of commercial letter which a bank issue on behalf of
foreign seller (exporter) according to the direction of the (importers) purchasers. The documents
shown under are known as export documents from the importer's side. These are:-
(i) Bill of exchange: The bill of exchange is that particular instrument through which payment is
effected in trade deals internal and international. The payment for the goods is received by the
seller through the medium of a bill of exchange drawn on the buyer for the amount depending on
the contract. It is a negotiable instrument. There are five main parties involved in a bill of
exchange. They are:-
(a) Drawer
(b) Drawee
(c) Payee
(d) Endorser
(e) Endorsee
(ii) Bill of lading: A bill lading is a document of title to goods entitling the holder to receive the
goods as beneficiary or endorsee and it is with the help of this document on receipt from the
exporter that the importer takes possession of the goods from the carrying vessel at the port of
destination.
(iii) Airway bill / Railway receipt: When goods to be transported are small in bulk or requiring
speedy delivery or those are perishable in nature on the deal is in between the neighboring
countries then mode of transports other than shipping may be resorted to far the carriage of the
goods Airways bill / Railway receipt take place of Bill of lading depending on the nature of the
carrier.
(iv) Commercial invoice: It is the seller's bill for the merchandise. It contains a description of
goods, the price per unit at a particular location, total value of the goods, packing specifications,
terms of sale, letter of credit, bill of lading number etc. There is no standard form far a
commercial invoice. Each exporter designs his own commercial invoice form. The invoice is
made out by the seller under his signature in the name of the buyer and must be submitted in a

39

set of at least 3 copies. Its main purpose is to check whether the appropriate goods have been
shipped and also that their unit price, total value, marking on the package etc. are consistent with
those given in other documents.
(v) Insurance policy: In the international trade insurance policy is a must to cover the risk of
loss on consignments while they are on seas, roads, and airways. The insurance is the
responsibility of the buyers (consignee) under FAS, FOB and C&F contracts and of the seller
(consignor) under CIF contract. The policy must be of the type as specified in the relative
contract / credit. The policy would be for the value of CIF price plus 10 (ten) percent to cover the
expenses and that is required to be obtained in the same currency as that of the credit and dated
not later than the date of shipment with claims being payable at the destination. It must be
properly stamped. Like a bill lading it must be negotiable and be endorsed where it is payable to
order.
(vi) Certificate of origin: This is a certificate issued by a recognized authority in exporting
country certifying the country of origin of the goods. It is usually by the Chambers of commerce.
Sometimes, it is certified by local consul or Trade Representative of the importing country as per
terms of the credit.
(vii) Packing list : The exporter must prepare an accurate packing list showing item by item, the
contents of the consignment to enable the receiver of the shipment to check the contents of the
goods, number and marks of the package, quality, per package net weight, gross weight,
measurement etc.
(viii) Weightiest and Measurement: Issued by recognized authority (like chambers of
commerce and industry) in exporting country certifying correct weightiest and measurement of
the goods exported.
(ix) Bill of entry: A bill of entry is documents which contain the particulars of the imported
goods as well as the amount of customs duty payable.


40

The exporter submit the following papers/documents to the Negotiating bank:
i) Bill of exchange / Draft.
ii) Bill of lading.
iii) Airway bill / Railway receipt.
iv) Commercial invoice.
v) Insurance policy.
vi) Certificate of origin.
vii) Packing list.
viii) Weightiest & measurement list.
ix) Other etc.
The negotiating bank after received the above documents / papers then this bank scrutiny the
documents. The negotiating bank sends the original shipping documents to the L/C opening bank
and keeping the second copy with the negotiating bank.

3.5.11 Parties Involve with L/C
Importer /Buyer/Opener/Applicant
Applicant is the people who request/instructs the opening bank to open a L/C. He is also known
as importer /buyer /consignee.
Opening /Issuing Bank
Opening /issuing Bank is the bank which opens/issues a L/C is on behalf of the importer. It is
also called the importers/ buyers bank.
Exporter /Seller /Beneficiary
Exporter /seller/Beneficiary is the party in whose favor the L/C is established.


41

Advising /Notifying Bank
Advising notifying Bank is the bank through which the L/C is advised to the exporter. It is a
bank situated usually in the exporting country and it may be a branch of the opening bank or a
correspondent bank. It may also assume the role of confirming and /or negotiating bank
depending upon the conditions of the credit.

Confirming Bank
Confirming bank is a bank, which adds its confirmation to the credit, and it is done at the request
of the issuing bank .The confirming bank may or may not be the advising bank .

Negotiating Bank
Negotiating bank is the bank, which negotiates the bill and pays the amount to the beneficiary. It
has to carefully scrutinize the documentary credit before negotiation in order to see whether the
documents apparently are in order or not. The advising bank and the negotiating bank may not be
one and the same. Sometimes it can also be the confirming bank.

Paying /Reimbursing Bank
Paying /Accepting Bank is the bank on whom the bill will be drawn (as per condition of the
credit). It is nominated is the credit to make payments against stipulated documents complying
with the terms of the credit. It may or may not be the issuing bank.





42

3.5.12 How the L/C is Open

The following steps are followed while a L/C is opened:

a contract and issue a PI (Performa Invoice) before a
letter of credit has been issued.
have to use his credit lines.
redit that is channeled through its overseas correspondent
bank, known as the advising bank.

credit.
other documents from relevant parties. All these documents will be sent to his banker, which is
acting as the negotiating bank.
such case, he obtains payment immediately upon presentation of documents. If not, the
documents will be sent to the issuing bank for payment or on an approval basis as in the next
step.
Documents are sent to the issuing bank (or reimbursing bank, which is a bank nominated by
the issuing bank to honor reimbursement from negotiating bank) for reimbursement or payment.
dition that the
documents comply with the letter of credit terms and conditions.
or against the latters trust receipt facility.
f goods upon presentation of the transport (usually shipping)
documents.

43



3.5.13 Operations of Documentary Letter of Credit
The following five major steps are involved in operation of a documentary letter of credit:
1. Issuing.
2. Advising
3. Amendment (if necessary)
4. Presentation and
5. Settlement.














44


CHAPTER: FOUR



SWOT ANALYSIS OF BANK ASIA LTD.













45


SWOT Analysis Summary:



Table-9: SWOT summary for Bank Asia



STRENGTH
-Trustworthy image among public
-Brand image.
-Strong network of Branches.
-Reputed as a good employer
-Devotion to IT and technology.
-Creating and sustaining effective
leadership.
-Learning organization.








WEAKNESS
-Less market share.
-Criticism with customer service in
branches.
-Lack of segment oriented offering.
-Poor advertising and promotions:
-Lack of Co-ordination between Central and
-Branch Office employees.
-Criticism of poor ATM Service.











OPPORTUNI TY
-E-commerce.
-Introduce special credit cards for
privileged clients.
-Establish remote financial kiosk.













THREAT
-Economic downturn.
-Decline in value of Taka.
-Increased competition.
-Upcomig Political Unrest.
-Increased government regulation may
increase cost or reduce profit.






SWOT

46




CHAPTER: FIVE


Lessons Learned From the Internship
Program










47

Chapter Five: (LESSONS LEARNED FROM THE INTERNSHIP PROGRAM)
5.1. Implications to Organization/Company Based Affiliation
The software and make it user friendly so that the software could run easily and the user
can work swiftly within short period of time. Therefore, the management needs to notice
this particular problem faced by the employees, otherwise everyone will have to suffer.
I just learn how to communicate to each other. Because there is lots of pressure in the
work side.
It has been a three months period of time I spend with this bank and learned many
working criteria of banking sector like how to deal with the customers, how to open the
account of an individual or of a firm. My main focus was the Trade Finance Department
where I have worked and prepared my report based on this area.
The customers are the main part of any kind of banking sector. To assess their mind is
very tough for the banking people. Because the customers try to find the best service and
they will go that bank which are provided lots extra facilities. So I learned that how to
assess the customers mind.
Microsoft Office 2003 and Microsoft Office 2007 are the most useful of all. MS Word and MS
Excel are two most important soft-wares for the overall database and documentation process. And
In my 3 month internee period I just learn lots of excel and word related work. And this skill can
help me in my future work.

5.2. Implications to Universitys Internship Program

An implication to universitys internship program is to build a good relation with the
organization. Because each student represents his/her university. If they create good sign in
organization it also increases universitys reputation. So students are the main part if they work
well in any organization its good for them also for the university. If they create goodwill in
organization, sometimes organizations recruit them. And it is very helpful for students and it also
increases universitys goodwill. So internship program is important for university and students
both. And this internship program can help to make a better future for the students.

48

5.3 Problem faced while working:

Lots of problems have arisen while working in Bank Asia. Most common problem is in the
system software named Staler, where lots of information is required to update. I personally feel
that these are some of the following problems I have faced while performing my tasks:


Sometimes the software is hanged and it becomes so slow that it is difficult to work on it
which is why we need to wait for some time to make it user friendly.
While reporting in the Bangladesh Bank, some goods country code and HS code is not
found Therefore it takes time to complete the work.
Sometimes the workplace makes me monotonous because it is difficult to concentrate on
the same work again and again.
Everyone is busy in their work so they cant give me lot more time to learn lot more
thinks about the bank.
Export Register is not available in the system so it is difficult for them to work
As there is huge pressure in the customer service desk, as people are coming to receive
different kind of services it is sometimes hard to maintain proper concentration and huge
causes mistakes.








49



CHAPTER: SIX


Recommendation












50


6.0 Recommendation:
I have observed some important operational activities of the bank. On the basis of my inspection
I would like to recommend the following suggestion-
Though the performance of general customer service is good, and their employees are
well trained but shortage of employees and lack of space, employees cannot provide
better service to the customer. So the authority ensuring this facility to provide good
customer service, which will bring efficiency of the banks operation
Make a good relationship or respect to the other employee
Should increase the number of ATM booth. And also ATM processing system should be
improve.
The loan approve process should be easier that the clients can feel convenient to take loan
from the bank.
IT division must be developed.
Should increase the space inside the branch especially in the cash counter & customer
service.
Bank should introduce more promotional programs for the customers.
Conduct quarterly or half-yearly economic analysis of existing industries of the country
to point out profitable sectors to invest this analysis will help to create a separate
investment portfolio for the bank.
Introduce a special yearly bonus for achieving the target set by the bank. Target will be
set by senior authority based on the overall condition of the market. This bonus will
motivate employees to give more of their effort, which will possibly become fruitful for
the bank.





51




CHAPTER: SEVEN


Conclusion














52



7.0 Conclusion:

Bank Asia Limited is one of the most successful bank of our country. In this report an honest attempt is
made to describe the General banking & Trade financial activities of Bank Asia Limited. I did my
internship program in Bank Asia Limited, Banani Branch. Here, I have got an overall knowledge
about the bank operation, but my main focus was in General Banking & Foreign Exchange
Department. Internship program is very important for every BBA student because it helps to
make real life experience in the business world. And Also it enhances the self confidence of the
student which will help him/her to survive in the competitive corporate world in the future. I am
greatly indebted to all the three departments: General Banking department, Trade Finance
Department and Credit department of MCB Banani Branch for their continuous support and
inspiration during the period of Internship.








53


References
www.bankasia-bd.com (Official website of Bank Asia Limited)
Bank Asia Limited, Annual Report 2013
Corporate Outlook- September 30, 2013 (www.bankasia-bd.com)
http://www.bankasia-bd.com
http://www.bankasia-bd.com/home/vision
http://www.bankasia-bd.com/home/sme_banking
http://www.bankasia-bd.com/home/retail_banking
http://www.bankasia-bd.com/home/soc
http://www.bankasia-bd.com/home/branch