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National Bank of Pakistan

Civil Line Branch

Introduction
History
NBP is the largest commercial bank in the Pakistan and was established under the National Bank of Pakistan Ordinance on November 8, 1949 in Pakistan. It was established in crisis conditions following the deadlock with India. The original intention was to setup it sometime in 1950. The plans for its establishment had to be advanced in view of the critical situation, which developed especially in the jute trade as a result of Indias refusal to accept the exchange rate of Pakistans rupee. It played a notable role in financing the jute trade in collaboration with the Jute Board so that crisis was eventually overcome. The timely opening of the bank branches enabled the jute growers in East Pakistan to obtain a fair price of their products and helped the country in maintaining its foreign exchange earnings from raw jute. Later on, it established its office in West Pakistan to help and finance the cotton crop. The national bank of Pakistan took over the agency work of the State Bank of Pakistan in 1952 for transacting Government business and managing currency chests at places where the State Bank of Pakistan does not has an office of its own. The National Bank of Pakistan in view of its relationships with the Government and as agent of the State Bank of Pakistan holds unique position among commercial banks in Pakistan. For example, for years it had a monopoly in Government and SemiGovernment deposits. This is both a privilege and a responsibility. On the one hand, the bank is given special support and assistance and on the other, it is also expected to serve as an instrument for the promotion of national objectives and policies. It also undertakes Government Treasury operations. National Bank of Pakistan maintains its position as Pakistans premier Bank determined to set higher standards of achievements. It is the major business partner for the Government of Pakistan with the special emphasis on fostering Pakistans economic growth through aggressive and balanced lending policies, technologically oriented products and services offered through its large network of 1406 branches locally, 24 branches internationally and representative offices.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Main Branch (CIVIL LINE) Faisalabad


Incorporation Date
The Civil Line Branch was incorporated in 1949. It is the main branch of Faisalabad District. National Bank Of Pakistan has 43 branches in Faisalabad. All braches are located in different areas of the cities to serve the nation. Because it is said that the NBP is the nations Bank

Geographical Location
The main branch of national Bank of Pakistan in Faisalabad is situated on the Jail Road(Civil Line). It is the Central Area of the city, so the geographical location of the NBP has made its operations so easy for the public. This is the only branch that has been owned by the bank. Also the office of the chamber of commerce is situated on the 2nd floor of the main branch of NBP. So that has also strengthen the relationship among the industrialist of the city and played a great role in there success. Also they have contributed n the progress of the NBP because Faisalabad is considered as the city of Textile. The textile is playing a great role in the economy of Pakistan.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Vision Statement
To be the pre-eminent financial institution in Pakistan and achieve market recognition both in the quality and delivery of service as well as the range of product offering

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Mission Statement
To be recognized in the market place by Institutionalizing a merit & performance culture, Creating a powerful & distinctive brand identity, Achieving top-tier financial performance, and Adopting & living out our core values.

Core Values
We aim to be an organization that is founded on Growth through creation of sustainable relationships with our customers. Prudence to guide our business conduct. A national presence with a history of contribution to our communities.

We shall work to

Meet expectations through Market-based solutions and products. Reward entrepreneurial efforts. Create value for all stakeholders.

We aim to be people who Care about relationships. Lead through the strength of our commitment and willingness to excel. Practice integrity, honesty and hard work. We believe that these are measures of true success.

We have confidence that tomorrow we will be Leaders in our industry. An organization maintaining the trust of stakeholders. An innovative, creative and dynamic institution responding to the changing needs of the internal and external environment

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Operations AND Functions


The main operations and Functions that are performed by the NBP Are as follows: Accepting the Deposits of money from the customer Borrowing money and arranging finance from other banks Advancing and lending moneyto its clients and customers Financing of projects including technical assistance, projact apprisal through long term short term loans Buying selling dealing and discounting of bills of exchange, promisery notesdrafts bill of lading, and other instrumens of securities. Foreign exchanger business Financing of seasonal crops Receiving of bonds scrips valuable for safe custody Generating, Undertaking promoting etc of issueof shares. Bonds Undertaking and executing trusts Making investment in Other Companies Joing Venture with fireign dealers, agent and companies fpr its representation abroad Utility Services Providing Hajj Services to intending persons Agent of SBP for collecting Payment of pension on behalf of provincial and central government Treasury business Gold Finances Through mail transfer, demand drafts, telegraphic transfers, payment orders Locker services Establishing Letter of Credit for importers Negotiating the Letter of Credits (Exports) Collection based Export Document Selling Foreign Remittances through SWIFT (Society for Worldwide Interbank Financial Telecommunications) Foreign Currency Accounts handling (US $, Pound Sterling, Japanese Yen & Dutch Mark) SBP Export Refinance Scheme
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Remittances both inward and outward

Departments
Operation
The department that is most commonly used for general banking is called the operation department. In the civil line branch it is being run effectively under the supervision of CHIEF OPERATION MANAGER The following are the some categories according to the type of work done by the operation officers.

Remittances
The main functions of the remittances are as follows Demand Draft If you are looking for a safe, speedy and reliable way to transfer money, you can now purchase NBPs Demand Drafts at very reasonable rates. Any person whether an account holder of the bank or not, can purchase a Demand Draft from a bank branch. It is a bill either on demand or otherwise by one bank on another in favour of third party or by one branch of the same bank or by the head office on the branch or otherwise. The issuance of the DD The amount both in words and figures is written and the applicant has to sign on two places which will be helpful in case DD is to be cancelled. The client has to deposit the cheque (Account holder) or cash at the counter and will receive the receipt that will be paid to the officer who will issue the DD in favour of the holder and the entry will be recorded in the DD issued register. Mail Transfer Move your money safely and quickly using NBP Mail Transfer service. And we also offer the most competitive rates in the market. The money will be transferred to the other branch either locally or not through mail.
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

If the customer is the account holder then his account will be debited, if not then he will have to make the cash payment at the Cash counter and the receipt will be presented to the MT issuer officer. The following forms will be used for this purpose 1. Branch mil transfer form 2. Receiving Branch registered Copy 3. Issuing Branch Registered Copy 4. Debt Voucher 5. Beneficiarys Advice 6. Advice to customer Pay Order NBP provides another reason to transfer your money using our facilities. Our pay orders are a secure and easy way to move your money from one place to another. And, as usual, our charges for this service are extremely competitive. It is mostly used locally and its procedure is same as the DD issued procedure. Telegraphic Transfer It is the most efficient way t transfer the money from one place to another on one phone call only. It is an application form provided to the customer in which he has to specify the name of the payee, the place of the transfer and the amount. After filling of the voucher the client will make the payment and get the stamp of Cash paid by the Cash Officer And then Authorized person will make tests on the receipt. The tests are the secret codes that are not understandable to any unauthorized person. After making the call the tested messages will be delivered to the other branch officer who will complete the transaction.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Cash Department
The deptartment that Deals with the payment and receipt of the Cash or we can simply say that it is the deptt. that is involved in the cash management . Being the main branch there are two types of cash involved. Local Cash The cash that is involved in the same branch for payment of the dues or for any requirement of the branch Chest Cash The payment and receipt of the cash from all other branches of the same city. Local Cash The following books are maintained in the cash department of branch Receiving Cashier Books Paying Token Books Scroll Book Cash balance Book

When cash is received on the counter, it is entered in the scroll book in the cashier book. At the close of the day these books are balanced with each other. When the cheque of negotiable instrument is presented at the counter for payment, Token is used to the customer. After consulation the token and the instrument is presented to the cashier for payment. The cashier makes entry in the paying cashier book and payment is made to the Payee. The Consolidated of the receipt and payment of cash in entered in the cash balance book and drawn closing balance Closing Balance = Cash + Receipt _Payments
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Govt. Receipt And Payment


This department also comes under the operations of the branch. It deals with the payment and collection of dues on behalf of the local, provincial and federal govt. The payment side involves the payment of all type of pensions and other funds that are announced by the govt. or any tax returns by the CBR. The collection of dues includes the collection of Sales Taxes, Income Taxes, Property taxes and any other fee that is to be submitted in the account of the Central Treasury. The collection of the Challan forms, fees and the payment made to the Punjab Public Service Commission is also included in this counter.

Collection Of Utility Bills


The counter for the collection of utilitity bills also play a great role in the general banking setup. The NBP collects all type of bills on behalf of the concerned organizations for a pre agreed fee.

Clearing
The department that is responsible for the clearing of the cheques that are drawn on the other banks or the cheques that have been drawn on the NBP.In the past it was a more complicated process, because SBP was the custodian so it had to make the arrangements for the clearance of cheques that have been drawn on the others. So a person representing his or her bank had to go to SBP for the Clearance of these cheques which was a time consuming method and it was taking at least 4 to 5 days for the clearance. Now the SBP has made the thing so easy for all the banks by making a contract to a privatized insitutionNIFT. Now all the clearing is being done through the NIFT against a Fee that is Rs.2.5 for every cheque that has get cleared.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Types of Cheques Collected by the Clearing


a)Transfer Cheques The cheques that are collected and paid by the same branch of the bank b)Transfer Delivery Cheques The cheques that are collected and paid by two different branches of a bank situated in the same city. c)Clearing Cheques When the endorsee (the person who deposit the cheque for collection) and the the person on whom the cheque has been drawn are the account holders of two different banks then these type of cheques can be get cleared through the NIFT.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

HUMAN RESOURCE DEPARTMENT


Being the main branch of the Faisalabad the Hr department has to play a big role in the success ph the branch. The HR is considering great importance now a days and should get also because the personnel are the main asset of the NBP. Being the main branch the staff is also a key factor. The primary objective of the Hr department is to get the jobs done effectively, economically and with as little friction as possible. The department is focusing mainly on the policies that are focused on the personnel. Most talented people are hired through proper recruitment process. Discrimination of any kind is counter productive to performance. The objectives/functions that has to be performed by the personnel are clearly mentioned in the JOB DESCRIPTION. The code of conduct provides s framework of NBPs values and ethical standards. The following principles must be applied for the governing the code of conduct of the bank employees while on the job. All decisions and actions must be confirmed with all applicable laws, regulations and corporate policies. Business must only be succored for NBP on the basis of the belief in competitive market system and the appropriatness of earning a profit by providing our customer with efficient services. Individual must be honest and trust worthy in all actions and relationships for, and in behalf of the NBP. Each decision or act must be proper, in terms of both our own sense of integrity and the scrutiny of others. Ethical conduct should be recognized and valued by all employees and agents of the bank. Formal appraisal is a year round activity and a formal appraisal report is prepared at least once a year. The appraisal comments are based on achievements against key job objectives. In NBP the good performance of the employees is always acknowledged by giving them monetary rewards. Excellence awards, merit increments, gifts, visiting tickets to abrade and promotions. Transfers are usually made on the promotions from one country to another or from one branch to another or maybe from one department to another.
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

COMPLIANCE DEPARTMENT
The department that deals with the Audit/Checking and inspection is known as the Compliance deptt. The department is being run under the supervision of the COMPLIANE OFFICER. It is involved in the checking of all types of work that is being conducted in the branch. The inspection is carried out on daily, weekly and monthly basis depending upon the nature of the work. Generally it includes the following type of functions; Checking of all type of registers that are maintained by the officers of remittances, and that are o Demand Draft issued Register o Telegraphic Transfer issued Register o Main Transfer issued Register o Pay Order issued Register o Register of all type of Advices received against DD, MT, and TT o Demand Draft received Register o Telegraphic Transfer received Register o Main Transfer received Register o Pay Order received Register Inspection of the Dak/Mail register issued and received Inspection of all books that are maintained at the clearing Inspection of the Cash Book Inspection of the Scroll Book Inspection of the Cheque Book Issued Register Inspection of the all the payments made to pensioners Inspection of the all type of Receipts Inspection of the Cash issued to the branches Inspection of the utility bills collected Inspection of the receipts and the payments of the Govt. Counter Inspection of the all type of Deposits Inspection of the of the all type of loans Inspection of the Corporate Cell

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

CREDIT ADMINISTRATION DEPARTMENT


The most important department of the NBP main branch. The credit department of a bank is the most profit generating department of any bank. The department is being run effective under the supervision of CAD Officer. The department is involved in all the process of Booking the loan, documentation, Risk Analysis, Sanctioning /Approval Documentation, Sanction Advice, Securitization, Disbursement, Monitoring, Collection, Recovery. The financing process starts with

Loan Booking
Introduction Funds requirement Nature of Utilization Nature of Business Financial position Character Security

Documentation (Pre-Sanction)
Information about business Persoanl data Security Valuation Security Documents Encumbrance BLA Report (Bench Legal Advisor) Loan History (CIB Report) Loan Application Form

Analysis
Financial Analysis Sector Analysis Product Analysis Political Factors Industry Analysis

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

SBP Prudential Regulations

Securitization
The complete process is made for the security that is being used for the approval of loan. The securities may be of the following types: Personal Guarantee Personal Guarantee + Hypothecation Pledge Mortgage Charge/Lien on the Current Asset

Approval Document
Then an approval document is received from the appropriate/competent authority.

Sanction Advice
Then the terms and conditions are advised with the approval document.

Disbursement of Loan
Then the loan is disbursed to the party after the completion of all the above stated requirements.

Monitoring
The monitoring involves all the steps that will be taken for the maintenance of the advances of the customers. The officers will determine that either the person is paying the installments or not. In case of short tern loans the time period will short and the customer should be in a position to payback the loan.

Collection
This sub head is involved in the collection of all the payments and advance if the time period is finished.

Recovery

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

In case of default by the customer, the recovery process will be on. During recovery all legal actions will be taken against the customers regarding payment of the loans.

Foreign Exchange
Foreign Exchange means expression of value of local currency when exchanged in terms of currencies of other nations. The Foreign Exchange Department of NBP is the most competent department and is contributing a lot in the overall performance of the Branch. The main operations of the Foreign Exchange department are Imports Exports Remittances Foreign Exchage Account handling

IMPORTS
The import deals primarily with Advance payment. An Lc is a familiar instrument in located in different countries for usually a guarantee by the bank by the exporter to the importer. the letter of Credit, Contract and the setting trade between buyer and seller the purchase and sale of goods. It is for the payment of the goods delivered

Important documents for the Import are Bill of Exchange Commercial Invoice Transportation Documents e.g Air way bill or bill of lading Insurance documents for the goods Packing List Pre-shipment inspection certificate Form I In contract the most popular is CAD (Cash against Documents). That is the payment will be made at the collection of the documents that were involved in the negotiation process.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

The third way is the advance payment that will be made to the exporter either full or partial depending upon the nature of the transaction.

Exports
Export is mainly involed with the collection of the documents or the discounting of the LC. In the negotiation process Export Bill negotiation A/c will be debited. Documents Required for the negotiation: Form-E Bill of Exchange Commercial Invoice Transportation Documents e.g Air way bill or bill of lading Packing List Letter of Credit

Documents to be Forwarded
Bill of Exchange Commercial Invoice Transpotation Documents e.g Air way bill or bill of lading Packing List Other specific Documents

Documents Remained in hand


Form-E Copy of Commercial Invoice Copy of Packing List Letter of Credit At the month end the reporting will be made to the SBP for Form-E

REMITTANCES
The process of receiving the payment from the other countries and paying to the people in Pak Rupees is called the remittances. The payment is received through SWIFT and the popular ways used for the remittances are:
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Telegraphic Transfer Mail Transfer Demand Draft The accounts are also handled for the

Foreign Exchage Account handling


customer in foreign currencies.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

PRODUCTS
NBP Premium Aamdani (Monthly Income Scheme) Eligibility Criteria: Minimum deposit of Rs. 50,000 and a maximum deposit of Rs. 5,000,000 for 5 years Free Demand Draft, Pay Order and NBP Online Aasan Banking* Free Cheque Book / NBP Cash Card (ATM + Debit) Profit paid every month as follows Period** Profit Rates***

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

1 year 7.50% 2 year 8.50% 3 year 9.50% 4 year 10.50% 5 year 11.00% Earn up to 11% p.a. Profit rates are *Certain conditions Premature encashment will result in lower Expected rates are for the given year

rates

expected apply of return

NBP Premium Saver(PLS Saving Account)


Eligibility Criteria:

Minimum saving balance of Rs. 20,001 and a maximum balance of Rs. 300,000 Free NBP Cash Card (ATM + Debit) Two debit withdrawals allowed in a month and no limit on number of deposit transactions Profit calculated monthly and paid on half yearly basis Earn up to 7.25% p.a. Profit rates Certain conditions Premature encashment will result in Expected rates are for the given year

are lower rates

expected apply of return

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

NBP Karobar (Another step towards your prosperity)


NBP Rozgar Scheme: If you are aged between 18 and 40 years, you could be eligible for easy financing for self employment in the categories below Karobar Details: Government of Pakistan (GOP) support: 1) Life and disability insurance paid by GOP with no medical examination required. 2) 6% mark-up paid by customer, rest paid by GOP. * Subject to availability of subsidy/confirmation Note: The mark-up rate will be revised on annual basis. Financing Terms & Conditions: from GOP.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Minimum Down Payment: 10% of asset price (5 % for PCO and Tele center) Mark-up Rate Variable: 1 year KIBOR + 2% (For the first year mark-up will be 12%) The customer will pay markup @ 6%p.a as long as GOP provides the balance markup to NBP on a monthly basis) 1 to 5 Years (for PCO 2 years) Initial 3 months Rs. 200,000/-

NBP Karobar Utility Store (Under a Franchise with Utility Store Corporation)
Financing will be provided to set-up a Utility Store under franchise of Utility Store Corporation through Set up of a Utility Store in an owned/ rented shop A Mobile Utility Store: 4 stroke Petrol/ CNG/ LPG Vehicle (Rickshaw) with attached loader body/ (Thehla type or Store) Eligibility Criteria Must be Pakistani national bearing a Computerized NIC Age between 18 to 45 years Must be residing in the same city / district for the last 2 years Must have a franchise from Utility Stores Corporation of Pakistan Must have a valid rickshaw driving license (for mobile utility store) Availability of 2 references & 1 guarantor (USC shop setup No default or rescheduling history of the applicant

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

References and guarantor must be residing in the same city / district where the applicant is residing Security In case of Utility Store shop set ups: Hypothecation charge over the present and future assets in store (except stock) One guarantor, having minimum net income of Rs. 10,000/-p.m. (subject to NBP verification) or must be property owners Personal guarantee of the applicant 4 cross Cheques In case of Mobile Utility Stores: A lien would be marked under hire purchase/hypo agreement on the vehicle Personal guarantee of the applicant 4 cross Cheques

NBP Karobar Mobile General Store


Financing will be provided to purchase 4 stroke Petrol/CNG/LPG Vehicle (Rickshaw) with attached loader body (Thehla type) to set up Mobile General Store without USC Franchise. Eligibility Criteria: Must be Pakistani national bearing a Computerized NIC Age between 18 to 45 years Must be residing in the same city / district for the last 2 years Must have a franchise from Utility Stores Corporation of Pakistan Must have a valid rickshaw driving license (for mobile utility store) Availability of 2 references & 1 guarantor (USC shop setup No default or rescheduling history of the applicant References and guarantor must be residing in the same city / district where the applicant is residing
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Security In case of Utility Store shop set ups: Hypothecation charge over the present and future assets in store (except stock) One guarantor, having minimum net income of Rs. 10,000/-p.m. (subject to NBP verification) or must be property owners Personal guarantee of the applicant 4 cross Cheques In case of Mobile Utility Stores: A lien would be marked under hire purchase/hypo agreement on the vehicle Personal guarantee of the applicant 4 cross Cheques

NBP Karobar Mobile General Store


Eligibility Criteria: Must be a Pakistani national bearing Computerized NIC Age between 18 to 45 years Must be residing in the same city/ district for the last 2 years Availability of 2 references No default or rescheduling history of the applicant References must be residing in the same city / district where the applicant is residing Security: A lien would be marked under hire purchase/hypo agreement on the vehicle Personal guarantee of the applicant Cross Cheques
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

NBP Karobar Transport


Financing will be provided to purchase a 4 stroke Petrol/CNG/LPG Vehicle (Rickshaw) Eligibility Criteria Must be a Pakistani national bearing Computerized NIC Age between 18 to 45 years Must be residing in the same city / district for the last 2 years Availability of 2 references having landline telephone numbers No default or rescheduling history of the applicant References must be residing in the same city / district where the applicant is residing Security:

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

A lien would be marked under hire purchase/hypo agreement on the vehicle Personal guarantee of the applicant 4 cross Cheques Women and Poverty: Women of today is not the women of yesterday she is more knowledgeable more confident, and more dynamic. To salute the women of Pakistan, NBP introduces loan products for the women of Pakistan to bring them out from the hardships of poverty, through the following selfemployed schemes of NBP Karobar

NBP Karobar PCO


Finance will be provided to purchase Wireless/ Mobile/Desktop telephone set(s) with prepaid connection and credit balance(s) to establish a PCO setup Eligibility Criteria: Must be Pakistani national bearing a Computerized NIC Age between 18 to 45 years Must be residing in the same city/ district for the last 2 years Availability of 2 references & 1 guarantor numbers No default or rescheduling history of the applicant References must be residing in the same city / district where the applicant is residing

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Security Hypothecation charge over the present and future assets of the business One guarantor, having minimum net income of Rs. 10,000/- p.m. each (Subject to NBP verification) or must be a property owner for single telephone set minimum income requirement for guarantor is Rs. 5,000/per month and for multiple sets Rs. 10, 000/- per month Personal guarantee of the applicant 4 cross Cheques

NBP Karobar Tele-centre


Finance will be provided to purchase Wireless/ Mobile/Desktop telephone set(s) with connection, computer(s) and printer cum fax machine cum photocopier cum scanner etc to establish a Tele-centre on a rested shop or owned premises Eligibility Criteria Must be Pakistani national bearing a Computerized NIC Age between 18 to 45 years Must be residing in the same city/ district for the last 2 years Availability of 2 references & 1 guarantor numbers

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

No default or rescheduling history of the applicant References and guarantor must be residing in the same city / district where the applicant is residing Security Hypothecation charge over present and future assets of the business One guarantor, having minimum net income of Rs. 10,000/- p.m. (Subject to NBP verification) or must be a property owner Personal guarantee of the applicant 4 cross Cheques
Repayment

No payment during grace period Monthly installment comprises of principal, mark-up and insurance payments The customer, at any point of time, may exercise the right to fully adjust the account before maturity or to partially pay the loan through balloon payment without any penalty. Documents to be submitted with the Loan Application Application form (available for Rs.5/- from all NBP branches) List of items available in the scheme Three attested Computerized NIC copies of the applicant and guarantors each Two photographs of applicant and guarantors each (if applicable) Franchise acceptance letter from Utility Stores Corporation (where applicable) Estimated cost of advance rent, security deposit and assets, to be purchased along with quotation (where applicable) Attested salary slip of guarantor (where applicable) NTN or latest Tax Return if available of guarantor (if a business person) Proof of property ownership of the guarantors (where applicable)
Processing, Verification & Registration Charges (if applicable)

Department of Business Management Sciences

National Bank of Pakistan Verification Charges Processing Charges

Civil Line Branch Rs. 500 (non refundable) Rs. 300 for NBP Karobar PCO (non refundable) % of the loan amount (for loan amount upto Rs.30,000/-) (non refundable) Rs. 1,000/- (for loan amount above Rs.30,000/- - non refundable)

Note: All charges submitted with application are non refundable at any stage. Document Charges Vehicle Registration Insurances

At actual At actual (To be borne by the borrower) Property/ Assets insurance to be borne by the borrower Life & Disability insurance to be borne by GOP.

Government of Pakistan (GOP) support: 1. Life & Disability insurance paid by GOP requires no medical examination. 2. 6% mark-up to be paid by the customer and rest by GOP *Subject to availability of subsidy / confirmation from GOP Note: The mark-up rate will be revised on annuallyNote: Applicants for all products must provide their landline/ WLL telephone numbers or provide the landline/WLL telephone numbers of their relatives, friends, neighbours etc,. However, telephone numbers must be of the same city/ district where the applicant is residing.

NBP Saibaan
Under the scheme of NBP Saibaan following types of products to the customers. His scheme is launched especially for the people those who want to have loan for the construction, renovation or purchase of land. Product Items: Home Finance Home Construction Balance Transfer Facility (BTF) Home Renovation Purchase of Land + Construction

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Home Purchase (House or Apartment) Financing Amount Up to 35 Million Financing Period 3 to 20 Years Debt to Equity 85:15 (Maximum) Home Construction Financing Amount Up to Financing Period Debt to Equity Home Renovation Financing Amount Up to Financing Period Debt to Equity 15 Million 3 to 15 Years 70:30 (Maximum) 35 Million 3 to 20 Years 85:15 (Maximum)

Purchase of Land and for Construction thereon Financing Amount Up to 15 Million Financing Period 3 to 15 Years Debt to Equity 70:30 (Maximum) Re-Financing (Balance Transfer Facility (BTF)) If you have a Home Finance Facility outstanding with another bank you can have it transferred to NBP through a hassle-free process. All home financing facilities below Rs. 15 M Debt to Equity Ratio will be 85:15 & for Rs. 15 M and above Debt to Equity Ratio will be 80:20. *50% of the loan will be disbursed at the time of land purchase and rest of the 50% for its construction will be disbursed in 4 tranches. Eligibility

Must be Pakistani Resident (National) Aged between 21 and 65 years at the time of application/disbursement of Salaried Person, Self-employed professionals and businessmen. Property located in NBP approved localities.
Department of Business Management Sciences

loan.

National Bank of Pakistan

Civil Line Branch

Service duration: Two years for salaried class Three years for selfemployed/business class.

Charges
Mark Up Rates ** Variable Rate Option: SBP Discount Rate with (+2%) with12 months repricing Processing Fee Government Employees: Rs. 500/- irrespective of financing amount. For Others : Financing below Rs. 1 Million Financing between Rs. 1 to 4 Million Financing above Rs. 4 Million Rs. 1000 Rs. 3000 Rs. 6000

Other Charges ** Income Estimation, Legal and valuation fee will be charged as per actual Prepayment Option Available Pre-payment (Complete/Partial option available).

Required Documents
AND Two attested passport size photographs Two attested copies of your National Identity Card Cheque for the processing charges Property Documents: Any title document available (other documents may be required)

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

1) FOR SALARIED PERSONS, WHOSE SALARIES ARE DISBURSED THROUGH NBP BRANCH Employer Undertaking for remittance of salary at relevant NBP branch for credit to customers account (to be provided at a later stage, format available at relevant branch) Employee ID Copy attested by NBP Branch (where applicable Attested copies of last three (3) months salary slips Attested copies of last three (3) months bank statements 2) FOR SALARIED PERSONS OF MNCs AND NBP APPROVED COMPANIES Employer Undertaking duly attested by relevant NBP Branch, where applicable (to be provided at a later stage, format available at relevant branch) Attested copies of last three (3) months Salary Slips Letter of Verification of Employment on Company Letterhead mentioning the date of joining Attested copies of last three (3) months bank statements 3) FOR OTHER SALARIED PERSONS Letter of Verification of Employment on Company Letterhead mentioning the date of joining Attested copies of last three (3) months Salary Slips Attested copies of last twelve (12) months bank statements Attested copies of last three (3) months paid bills for electricity and telephone OR copies of last (12) twelve months credit card bills (which ever is available) 4) FOR BUSINESS PERSONS Bank Certificate stating applicant maintaining Business Account and the date of account opening Attested copy of latest Form 29 in case of Private or Public Limited Company Attested copy of Partnership Deed (where applicable) 5) FOR SELF-EMLPLOYED PERSONS
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Attested copy of current professional association membership/practicing certificate. Adequate proof of professional engagement like bank certificates Attested copy of Partnership Deed (where applicable) Any other document may be required on case to case basis by the bank

NBP Advance Salary


Take upto 20 advance salaries(currently for NBP account holders of govt. or related organization employees). In January-2003, National Bank of Pakistan has launched a unique product, NBP-Advance Salary. Currently this product is for fixed-income permanent employees of Federal & Provincial Government, SemiGovernment, Autonomous, Semi-autonomous, local bodies and other Government organizations. The product is purely cash flow based and offers its holder to avail 20 (twenty) net salaries in one go to be repaid in up to 60 (sixty) months. With no collateral, insurance or requirements, Advance Salary provides rapid disbursement in a short turnaround time.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Terms and Conditions:


Eligibility Permanent Employees of Govt., Semi-Govt., Autonomous, Semi Autonomous, Local & other bodies who are maintaining their Salary A/Cs at NBP. Direct deduction from Salary A/C Rs. 490,000/Employer will provide undertaking that borrowers Salary and end of service benefits will route through his/her Salary A/C maintained at NBP during the tenure of the loan and his/her end of service benefits are at

Repayment Maximum Amount Security

Loan

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch least equal to the amount of Advance Salary required. Hypothecation of Consumer durables owned by the borrower. Three (3) Undated Cheques

Max. Repayment Period Advance in terms of # of net take home salaries Markup Rate Processing Fee Verification Charges Life Insurance Documentation Charges Contact Remaining Service Age Debt Burden Minimum net home salary

5 years (60 months) Up to 20 net take home salaries 15 % (Based on diminishing balance method) 1% of Loan Amount Rs 500/No Insurance of any kind. at actual *

take

Your Salary disbursing NBP Branch. At the time of approval and disbursement the applicants remaining service age should be 6 months after maturity of the loan 50% no minimum take home requirement

NBP Cash Card


To identify a merchant outlet that welcomes your card, just look for the NBP or Orix Logo. To make a payment give your NBP Cash Card to the merchant. The merchant will swipe your card on the POS (Point Of Sale) machine and the purchase amount will be entered. Enter your digital ATM Pin for verification (this is the same as your cash withdrawal pin). After Approval a transaction slip will be provided. Collect your card and slip and confirm you transaction amount. Your purchase transaction is now complete and the transaction amount has been debited to your NBP account. Please retain your transaction for further reference.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

NBP Cash Card Safety Tips


Welcome to our relationship enriched with a wide range of remarkable ebanking service. For your safety and convenience we would recommend some precautions while using NBP CASH CARD at ATMs and merchant outlets. Immediately after receiving the NBP Cash Card, change your PIN Code at the nearest NBP ATM. Never share your Personal Identification Number (PIN) or given it out over telephone. Never write your PIN Code on your card. Never keep your card and PIN at the same place. As you approach an ATM, beware of your surroundings, if you notice anything unusual, visit the ATM later. Immediately report a lost of stolen card to your NBP branch. Stand close to the ATM machine while entering your PIN and do not allow anyone to watch. Ensure that the merchant has entered the correct amount of transaction before you enter your PIN code. Maintain your POS receipt as a record and ensure that he card returned to you by the cashier/attendant is yours. Protect your card from direct sunlight and magnetic fields. Do not bend your card. Carefully dispose off your old card when your are issued a new one.

NBP Investor Advantage


NBP launches Margin Financing for Retail Investors with brand name of NBP Investor Advantage: A margin financing facility developed for retail investors in line with Governments efforts to promote Pakistani capital markets and will replace the Badla (COT) system with a stable financing system in line with international financial markets. Besides offering a comfortable environment to the retail stock investors, a financing facility will also be available. Willing investors can avail NBP financing at very easy terms requiring minimum documentation and least turn around time. The NBP financing also does not require any security from the customer except for
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

the customers equity. Importantly, the customers equity will also be freely available for investment. Customer has to fulfill all NBP and SBP regulatory requirements. To obtain NBP Investor Advantage facility Eligible if:

A Pakistani Nationals with valid computerized national ID Card Over 21 years of age Have an account with NBP designated branch Willing to invest equity in the form of cash or NBP approved shares No default with any financial institution

For utilizing the NBP Investor Advantage, please follow the following simple steps: 1. Obtain Facility Application form from the NBP Margin Financing Desk at NBP Main Branch, Karachi, I.I. Chundrigar Road, Karachi (other branches are being added through out Pakistan) 2. Fill in the application form and submit it to the branch at the Margin Financing Desk 3. On application approval, customer deposits equity as Cash in the customers margin financing account at the bank. Alternately NBP approved Shares can also be deposited in the NBP CDC account 4. Customer would then be eligible for trading through trading center of the NBP Subsidiary namely Taurus Securities Limited adjacent to the NBP Main Branch at I.I. Chundrigar Road, Karachi 5. Customers own equity and financing amount will both the available for trading List of Shares Eligible for NBP Investor Advantage S.No. No Name of Shares/ Scrips 1 D.G Khan Cement Company Limited 2 Engro Chemical Pakistan 3 Fauji Fertilizer Co. 4 Hub Power Company Limited 5 PICIC Growth Fund 6 Kat Addu Power Company
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

7 8 9 10 11 12 13 14

Nishat Mills Limited Oil & Gas Development Co. Ltd Pakistan OILFIELD LTD. Pakistan Petroleum Limited Pakistan State Oil PTCL Sui Northern Gas Pipe Lines Limited Sui Southern Gas Company Limited

NBP Cash n Gold Card


With NBP's Cash n Gold, you can meet your need for ready cash against your idle gold jewelry. Rate of mark-up 12% p.a. Facility of Rs. 7,000 against each 10 gms of net contents of gold No maximum limits of cash Repayment after one year Roll over facility Only gold ornaments acceptable Weight and quality of gold to be determined by NBP's appointed scruffs No penalty for early repayment NBP Kisan Taqat- General Information If you are a progressive milk supplier of Nestle Milk Pack By financial aid of National Bank of Pakistan, you can increase the production of milk efficiently.
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Benefits of National Bank of Pakistans Loan: Branches, closest to you Easy and shortened documented procedure Relaxation from paying installments Guidance and help of experienced people Government bank with more than 50 years of age

NBP Kisan Dost


National bank of Pakistan has started for Farmers an Agriculture loan system names Kisan Dost whose basic objective is this that a farmer can acquire a loan with full trust and without any bribery and reference according to his requirements. He should have access to approved loan when he needs it and whenever he wants it he may withdraw money in future from his account as per his requirement, approved on revolving basis during three years without any paper documents. So, now every farmer can very easily increase his production with easy access to loan. Features: Lowest mark up on loans, i.e. 12% per annum Fast and easy procedure for loan approvals Availability of loans on time and when needed, on the door of farmer On every step, guidance of farmers through agriculture experts For the acquirement of loans, a wide range of agriculture loans (schemes) Facility of agriculture loan at agricultural pass book, jewelry and paper securities Providence of loan up to 0.1 million on personal guarantee to nonowner farmers

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Facility of revolving basis of loans for three years for which new documents requirement is not required

SWOT Analysis
A SWOT analysis is an effective tool, which can be used to examine the issue that will directly affect the success of alternative delivery mechanism. The emerging banking environment is becoming more competitive with the advancement of new technology. The banks are striving to provide their customers with prominent and efficient services at lower cost in order to get the competitive advantage upon other banks. During the internship program a SWOT analysis was also conducted which is as follow: Strengths 1. Deposit security that is guaranteed by Government of Pakistan 2. Largest contribution toward Government & semi-Government requirements 3. Agent to the SBP for handling Treasury/ Currency Chest Functions 4. Collaboration with Federal/ Provincial Government organizations for receipts of taxes & other revenues 5. Largest network of domestic & overseas branches 6. More secured jobs of employees as compared to other commercial banks (Job Security)

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

7. Sale & Purchase of prize bonds, NIT units, National Defense Saving Certificates (NDSCs) and other government securities. 8. Heavy project financing, Agriculture, Industrial as well as small loans 9. Key role in countrys economic development 10. Easy and shortened documented procedure 11. Guidance and help of experienced people

Weaknesses
Under utilization of the new technology equipment & procedures of banking More formal organizational setup Bureaucratic style prevails in the National Bank of Pakistan Lack of highly skilled, trained and professional personnel Fixed deposit rates not compatible with the competitors Foreign currency accounts governing rules more restricted & not customer oriented Bank staff not highly cooperative among themselves as well as with the customers Overall employees poor attitude towards work

Opportunities
The ability to obtain a larger customer base Global expansion. This is an enormous market, which will be a great opportunity in the future The ability to take advantage of the growing popularity of internet banking Providing Information Technology loans to the students and educational institutions in order to foster the Computer and Management studies Providing the personalized services to the customers Offering high deposit rates and cutting down the high lending rates Financing the educational institutions and general public welfare projects in order to create a good image in general public

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Threats Continual changing technology Uncertainty of the banking industry Competition from lower price operations Possible failure of product due to non-acceptance of customer General competitiveness of the banking industry

Deposit Policies of NBP


As well as deposit is concerned the deposits are the life blood of the bank because the borrowed capital is much greater than their own capital. The difference between the borrowed money interest and the lending rate of interest will be the profit margin of the bank because the lending rate is higher than the borrowing rate. Following are the major deposits of the bank:

Current Account
Current accounts are opened for meeting the current needs of the customer. On such account there is no markup paid to the accountholders. These are also called non-interest bearing accounts. Minimum balance requirement is Rs. 5,000 if balance of the account will be less than 5,000 than Rs. 50 to be deducted each month. Pension, Government employees, students, widow are exempted from this restriction. No Zakat will be deducted from the current Account holder. 2% tax will be deducted if the customer withdraw more than 25000 in a day
.

Requirements for the Current account

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

CNIC of the customer CNIC of the next of Kin CNIC of the Introducer Two photographs for the illiterate person. Specimen of the signatures of the educated person The introducer must be an existing current account holder.

PLS Saving Account


The customers in this account deposit a lot of amount. On such amount there is markup paid to account holders. Minimum balance requirement is Rs. 5,000 if balance of the account will be less than 5,000 than Rs. 50 to be deducted each month. Pension, Government employees, students, widow are exempted from this restriction. Zakat will be deducted from the Account holder. 2% tax will be deducted if the customer withdraw more than 25000 in a day. Requirements for the Saving account CNIC of the customer CNIC of the next of Kin CNIC of the Introducer Two photographs for the illiterate person. Specimen of the signatures of the educated person The introducer must be an existing account holder.

Mark Up Rate is 1.2% per annum for 100 Rupees. PLS Term Deposit These type of deposits are offered for a term or a specific time period. The minimum deposit should be for the 7 days at least. If the customer will want to withdraw from the term deposit then the saving rate will be applied on the amount. Requirements

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

CNIC of the customer CNIC of the next of Kin CNIC of the Introducer Two photographs for the illiterate person. Specimen of the signatures of the educated person The introducer must be an existing account holder.

Following Rates will be applicable depending upon the time period involved. For 7 days 1.2% per annum For 30 days 1.5% per annum For 3 Months 1.27% per annum For 6 Months 1.8% per annum For 1 Years 2% per annum For 2 Years 2.3% per annum For 3 Years 2.7% per annum For 4 Years 3% per annum For 5 Years and above 3.25% per annum

PLS Saver
The newly introduced scheme by the NBP is PLS Saver which is effective from the 1.1.2007. The customers in this account deposit a lot of amount. On such amount there is markup paid to account holders. Minimum balance requirement is Rs. 20,000 and the maximum limit is 300,000. if balance of the account will be less than 5,000 than Rs. 50 to be deducted each month. Pension, Government employees, students, widow are exempted from this restriction. Zakat will be deducted from the Account holder.2% tax will be deducted if the customer withdraw more than 25000 in a day. Requirements for the Saver account CNIC of the customer CNIC of the next of Kin CNIC of the Introducer Two photographs for the illiterate person.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Specimen of the signatures of the educated person The introducer must be an existing account holder.

The mark up rate is 7.25% annually.

NBP Premium Aamdani


Under this deposit policy now the customer can earn monthly basis returns on his amount. Minimum deposit of Rs. 50,000 and a maximum deposit of Rs. 5,000,000 for 5 years. Free Demand Draft, Pay Order and NBP Online Aasan Banking. Free Cheque Book / NBP Cash Card (ATM + Debit). Profit paid every month as follows
Period 1 year 2 year 3 year 4 year 5 year Profit Rates 7.50% 8.50% 9.50% 10.50% 11.00%

Profit rates are expected Certain conditions apply Premature encashment will result in lower rates of return Expected rates are for the given year

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Lending Policies of NBP


Basically lending policies are governed by SBP lending policies, however, NBP has some discountary powers in respect of lending policies. The advances made by the NBP has increased so much and are involved in creating a great amount of return for the bank. Deposits and the Advances are the two important functions of any bank. NBP takes deposits from the customers and lend them to the others for earning a profit. The difference between the deposit rate and the lending rate will be the benefit of the bank. Civil line branch of NBP is playing the most important role in this category because it has a separate department to deal with the peoples those who want to have money. Civil line branch is dealing with the Corporate sector as well. Working Capital and Short Term Loans: NBP specializes in providing Project Finance Export Refinance to exporters Pre-shipment and Post-shipment financing to exporters Running finance Cash Finance Small Finance Discounting & Bills

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Purchased Export Bills Purchased / Pre-shipment / Post Shipment Agricultural Production Loans Medium term loans and Capital Expenditure Financing: NBP provides financing for its clients capital expenditure and other longterm investment needs. By sharing the risk associated with such longterm investments, NBP expedites clients attempt to upgrade and expand their operation thereby making possible the fulfillment of our clients vision. This type of long term financing proves the banks belief in its client's capabilities, and its commitment to the country. Loan Structuring and Syndication: National Banks leadership in loan syndicating stems from ability to forge strong relationships not only with borrowers but also with bank investors. Because we understand our syndicate partners asset criteria, we help borrowers meet substantial financing needs by enabling them to reach the banks most interested in lending to their particular industry, geographic location and structure through syndicated debt offerings. Our syndication capabilities are complemented by our own capital strength and by industry teams, who bring specialized knowledge to the structure of a transaction. Cash Management Services: With National Banks Cash Management Services (in process of being set up), the customers sales collection will be channeled through vast network of NBP branched spread across the country. This will enable the customer to manage their companys total financial position right from your desktop computer. They will also be able to take advantage of our outstanding range of payment, ejection, liquidity and investment services. In fact, with NBP, youll be provided everything, which takes to manage your cash flow more accurately. Generally Leading Policies Include: Clean Credit Report Compliance with maximum exposure by the bank Compliance with maximum exposure that can be allowed to a single party Funded = 4 times of equity of the firm
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Non-Funded = 10 times of equity of the firm Lending Policies made by the NBP have categorized the loans in the following types according to the requirements of the customers. TYPES OF ADVANCES 1. Security Vice Clean Advances In these types of advances only the personal guarantee of the borrower is involved. The best example is the Credit Card. Secured Loans The loans the sectioned of those are associated with the security. The securities may be of the following types: Personal Guarantee Personal Guarantee + Hypothecation Pledge Mortgage Charge/Lien on the Current Asset 2. Period Vice
The loans that are designed according to the time periods needs.

Short Term Loans (For 1 year only) Long Term Loans (For 5 years)

3. Utilization Vice The advances that are typically designed according to the utilization requirements of the loans. Working Capital Requirement Project Finance 4. Customer Vice According to the customer Consumer finance SME lending Corporate Financing

5. Sector Vice
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

The advances that are according to the sectors, such as Agriculture Textile Chemical sector

All the types of advances comes under the following Credit Heads 1. 2. 3. 4. 5. 6. Small Finance Cash Finance Running Finance Demand finance Agriculture Finance Corporate Loans

Small Finance As the name indicates, this head involves small amount that will be financed by the bank. The loan is for the business people only. The loan will be issued against any tangible security of the businessman. These small loans are sanctioned for short period of times i.e for 1 year only. After one year the customer will have to pay back the amount or will renew his loan. The loan amount will be 60% of the amount of the property that is being pledged. The mark-up Rate Is fixed 12% annually. Under Small Finance following types are included. Gold Finance Commercial finance Industrial Finance

Gold Finance If the customer has the gold then he can use it for the generation of the money. 60% of the gold amount will be financed by the NBP after evaluation from the jewelers those are under that contract of NBP. It is a short tern loan and must be paid or renewed after 1 year. Following documents will be required CNIC Complete information of Business CIB Report Application Form
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Security Evaluation from authorized Jewelers BLA Report IB 6A (Gold Agreement) IB12 (Promissory Note) IB 26 (Pledge of security) Any other document as per the requirement of the NBP. Commercial & Industrial Finance For the small businessmen those are doing business at commercial level mainly for sole proprietorship. The upper limit that will be sanctioned under this finance is Rs. 250,000. For small industrialists this facility is also available. In this case the upper limit will be 500,000. Mark-up will be 12% and the loan is for 1 year. Following documents will be required CNIC Complete information of Business CIB Report Application Form Security Evaluation from authorized Jewelers BLA Report IB 6R (Finance Agreement duly signed by the Bank and customer) IB12 (Promissory Note) IB 26 (Pledge of security) IB 25 (Hypothecation of stock) HOX7 (Mark-up Rate Agreement) Any other document as per the requirement of the NBP. Running Finance This financing facility is also for short period of times, i.e for 1 year only. After 1 year it must be renewed or cleared. It is mostly issued against some type of liquid assets, such as Defense Saving Certificates (DSC) or term deposits. These loans are typically taken for the working capital requirements. While sanctioning the loan the bank will create lien on the DSC or term deposit from the Issuing bank. There is no limit for the loan. 75% of the DSC or Term Deposit will be given to the customer.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Mark-up Rate will be fixed 12% per annum. Following documents will be required CNIC Complete information of Business CIB Report Application Form Security Evaluation from authorized Jewelers BLA Report IB 6R (Finance Agreement duly signed by the Bank and customer) IB12 (Promissory Note) IB 26 (Pledge of security) IB 28 & 31 (For liquid assets) HOX7 (Mark-up Rate Agreement) Any other document as per the requirement of the NBP. Demand Finance Demand finance is provided to the customer on demand by him. In NBP it is mostly issued to the Staff. The others can also take this facility. There is no upper limit for the loan amount. The loan is issued against some type of property that will be pledged by the bank. In this type of loan the borowwer will take the whole amount at once. The loan can be sanctioned for 1 year or for 5 years. Markup for the Staff is 4%. Markup for the others is Kiber +2.3% Following documents will be required for Staff CNIC Application Form IB 6C (Finance Agreement with staff) IB12 (Promissory Note) IB 25 (Hypothecation) HOX7 (Mark-up Rate Agreement) Any other document as per the requirement of the NBP. Following documents will be required for others CNIC
Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Complete information of Business CIB Report Application Form Security Evaluation from authorized Jewelers BLA Report IB 6R (Finance Agreement duly signed by the Bank and customer) IB12 (Promissory Note) IB 25(Hypothecation) HOX7 (Mark-up Rate Agreement) Any other document as per the requirement of the NBP. Cash Finance The limit of this type of cash is above 500,000. It is both for long run and short run. This type of loan is mostly sectioned to big industrials and businessmen. The main advantage of this type of advance is that the customer can have loan up to his requirement within the limit that has been sectioned to him. The mark up will be charged on the amount that has been used by the customer not on the whole, which is the case in Demand Finance. Mark Up Rate is KIBER+2.3% Per annum. Documents Requirement CIB Report Application Form Security Evaluation from authorized Jewelers BLA Report IB 6R (Finance Agreement duly signed by the Bank and customer) IB12 (Promissory Note) IB 26 (Pledge of security) HOX7 (Mark-up Rate Agreement) IB 25 (Hypothecation of Stock) Any other document as per the requirement of the NBP.

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

Agriculture Finance NBP provides Agricultural Finance to solidify faith, commitment and pride of farmers who produce some of the best agricultural products in the World. Agricultural Finance Services: I Feed the World program, a new product, is introduced by NBP with the aim to help farmers maximize the per acre production with minimum of required input. Select farms will be made role models for other farms and farmers to follow, thus helping farmers across Pakistan to increase production. Agricultural Credit: The agricultural financing strategy of NBP is aimed at three main objectives:Providing reliable infrastructure for agricultural customers Help farmers utilize funds efficiently to further develop and achieve better production Provide farmers an integrated package of credit with supplies of essential inputs, technical knowledge, and supervision of farming.

Agricultural Credit (Medium Term):


Production and development Watercourse improvement Wells Farm power Development loans for tea plantation Fencing Solar energy Equipment for sprinklers

Farm Credit:

Department of Business Management Sciences

National Bank of Pakistan

Civil Line Branch

NBP also provides the following subsidized with ranges of 3 months to 1 year on a renewal basis. Operating loans Land improvement loans Equipment loans for purchase of tractors, farm implements or any other equipment Livestock loans for the purchase, care, and feeding of livestock

Production Loans: Production loans are meant for basic inputs of the farm and are short term in nature. Seeds, fertilizers, sprayers, etc are all covered under this scheme. The mark up Rate is Fixed 12% annually.

Department of Business Management Sciences