Chapter-1

Introduction

1.0 Origin of the Report:

Independent University, Bangladesh (IUB), one of the reputed private
universities in Bangladesh, has designed the curriculum of the BBA course
in such a way that after completing 116 credit hours, one student needs to go
for further 12 credit hours for internship program in a commercial
organization. From this internship program students get the opportunity to
learn about the real business world. As an Intern student I have been
assigned to work in the United Commercial Bank Ltd.
This Internship report has been prepared for fulfillment of the partial
requirement of B.B.A program of Independent University, Bangladesh.
1.2 Background of the Report:
Any academic course of study has a great value when it has practical
application in the real life. Only theoretical knowledge will be of little
importance unless it is applicable in the practical life. So, we need to do
proper application of our theoretical knowledge in our practical life, and
only then we can derive the benefit of the theoretical knowledge. This is,
infect, the reason for the requirement of an internship report in BBA
program. Hence, the present internee worked for three months at the
Principal Branch of United Commercial Bank Limited to complete the
internship.
1.3 Topic of this report:
To write a report it is necessary to select a topic. A well-defined topic
reflects what is going to be discussed throughout the report. The topic that
has been assigned by university supervisor is Analyzing the services of the
Foreign Exchange Division of United Commercial Bank Limited (UCBL) .
1.4 Report Objectives:
To get to know of the services of the foreign exchange division of UCBL.

To make an appraisal of UCBLs foreign exchange services in comparison

with the foreign exchange divisions of a few other private banks located in
Dhaka city.
1.5 Scope of the Report:
This study addresses itself to the services offered by the United Commercial
Bank Limited in their Foreign Exchange department. The scope of this
report is limited to the corporate clients of import and export departments of
United Commercial Bank Limited. The clients to be included in this report
are all local & foreign banks who are engaged in foreign exchange business
with UCBL. The aim is officers of this bank also come under the scope of
this study. To show the position of this bank, a few other banks located in
Dhaka city have also been taken into consideration for the purpose of this
study.
1.6 Methodology:
1.6.1 The Secondary sources of Data:
Annual Reports of the UCBL.
Periodicals published by the Bangladesh Bank.
Different books, articles etc. regarding Foreign Exchange operations.
Relevant file study as provided by the bank under study.
1.6.2 MEASUREMENT TECHNIQUES
For collecting the information two types of measurement techniques will be
useObservation: Observation was made to get to know of the services of the
Foreign exchange division of the bank under study.
Comparison: Comparative analysis of Foreign exchange operations was
made between UCBL and some other banks.
1.7 Limitations of Report:
The study is subject to some limitations. They are:
Respondents could not give adequate time to supply information because of
busy and heavy work schedule.
Data could not be collected in the exact form the present report required
Limited time could be another constraint.

1.8 Definition of important terms used:

Documentary Credit: In simple terms a documentary credit is a conditional
bank undertaking a payment.
Bill of Lading: A bill of leading is a document that is usually stipulated in a
credit when the goods are dispatched by sea. It is evidence of a contract of
carriage, is a receipt for the goods, and is a document of title to the goods.
C. Commercial Invoice:
A Commercial Document is the accounting document by which the sellers
change the goods to the buyer.
D. Inspection Certificate:
This is usually issued by an independent inspection company located in the
exporting country certifying or describing the quality, specification or other
aspects of the goods, as called for in the contract and the L/C.
E. Inward remittance:
The remittances, which are received from abroad, are called inward
remittance.
F. Outward remittance:
Those are made from our country to abroad is called out ward remittance.