Internship Report on the Bank of Punjab

Internship report on The Bank Of Punjab

In The Name Of Allah The Merciful The Compassionate

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INTERNSHIP REPORT ON THE BANK OF PUNJAB

PRESENTED TO:-

Abdul Malik MANAGER THE BANK OF PUNJAB Samnabad BRANCH FAISALABAD

PRESENTED BY:- Shaista Jabeen (Student of M.Com Finance)

DEPARTMENT OF BUSINESS MANAGEMENT SCIENCE UNIVERSITY OF AGRICULTURE , FAISALABAD

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ACKNOWLEDGEMENT

Praise be to Almighty Allah, the most merciful and magnificent and to his Holy Prophet Muhammad (Peace be Upon him) who is forever a torch of guidance and knowledge for humanity as a whole.

I feel deep sense of gratitude to Mr. Abdul Malik manager of The Bank Of Punjab Samnabad Branch Faisalabad for allowing to me to do my internship and also providing me necessary assistant and guidance. I am also grateful to the departmental heads of the bank especially operations related department.

I express my heartiest and sincerest sense of gratitude to respectable persons Mr.Abdullah and Mr. Sharif, (SBP) coordinators of IBP (Institute of Bankers Pakistan Karachi). Under whose proper guidance, skillful suggestions and constructive criticism this work got its present shape.

I owe depth of gratitude to my affectioonate parents, and brother who supported me morally and inspired me to the higher ideas of life. My gratitude also goes to all those friends who provided me any assistance in what so ever manner in the preparation of this study.

Shaista Jabeen

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LIST OF CONTENTS

1. Acknowledgment 3 2. Organization’s profile 5 3. Aims & Objective, Values 7 4. Introduction 8 5. Department Visited By Internee 9 6. Expectations Not Met By Current Internship programmed 10 7. Analysis 10 8. Limitations 11 9. References and resources 11

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Organization’s Profile

The bank of Punjab was constituted in pursuance of the Bank of Punjab Act 1989 and it started working on 15Nov. 1989. Its registered Head Office is situated at 7-Egerton Road, Lahore. The BOP was given the status of scheduled bank by the state Bank of Pakistan on September 19, 1994.

Authorized capital of The Bank of Punjab as on 31-12-2005 is RS.1,000,000,000/-(RS. 100,000,000 ordinary shares of RS. 10.00 each). Issued subscribed and paid up capital of the bank is RS. 157,500,000/-(RS. 15,750,000 ordinary shares of Rs.10.00 each fully paid in cash). Shares issued for consideration other than cash are Rs. 694,380,000/-(Rs. 69,437,976 ordinary shares of Rs. 10.00 each as fully paid bonus shares). So total paid up capital of the bank is Rs.851,880,000/- (rs. 157,500,000+694,380,000).

The bank of Punjab is listed at Lahore and Karachi Stock Exchanges. Fifty one percent (51%) of the share capital is held by the Government of Punjab and the rest is owned by Pakistani individuals/firms and foreigners. The bank strives to be a world class financial institution working on modern lines. It aims at offering the financial markets of the global economy a unique system which would revolutionize the ethics and value system of the economic scenario of modern society.

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NATURE OF THE ORGANIZATION

A unit of service industry of Pakistan, BOP (commercial bank) is engaged in the borrowing, lending and advancing of money, the drawing, making, accepting, discounting, buying, selling, collecting and dealing in bills of exchange, promissory notes, drafts, bills of lading, receipts, warrants, debentures, certificates etc. It is also engaged in the buying, selling of foreign exchange including foreign bank notes, the acquiring ,holding, issuing on commission , underwriting and dealing in stocks, funds, shares, debentures, the negotiating of loans and advances , the receiving of all kinds of bonds, valuables on deposit or for safe custody. The providing of safe deposit vaults the collecting, and transmitting of money and securities.

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VISION STATEMENT

To be a customer focused bank with service excellence.

MISSION STATEMENT

To exceed the expectations of our stakeholders by leveraging our relationship with the Government of Punjab and delivering a complete range of professional solutions with a focus on programme driven products & services in the Agriculture and Middle Tier Markets through a motivated team.

BANK’S VALUES

Our Customers As our First priority

Integrity In all our Dealings

Excellence In Every Thing We Do

Respect Four customers and each other

Recognition and Reward For the talented and high performing employees

Profitability For the prosperity of our Stakeholders that allows us to constantly invest, improve and succeed

Corporate Social Responsibility To enrich the Lives of the Community where we operate www.vuzs.net http://groups.google.com/group/vuzs - 7 - Internship report on The Bank Of Punjab

INTRODUCTION

THE BANK OF PUNJAB is working as a scheduled bank with its network of

266 branches at all major business centers in the country . Its registered Head

Office is situated at 7-Egerton Road, Lahore. The bank provides all types of banking services. The majority shares(i.e.51%) of the bank are held by the

Government of Punjab.

The bank has entered a new era of science and automation at the hands of its expert and professional management. The bank of plays vital role in the national economy through mobilization of hitherto untapped local resources promoting savings and providing funds for investment.

The bank offers attractive rates of profit on all types of deposits, opening of foreign currency accounts and handling of foreign exchange business such ad import and export and remittance, financing trade and industry for working capital requirement and money market operations. The lending policy of the bank is not only cautious and constructive but also based on principle of prudent lending with maximum emphasis on security.

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DEPARTMENTS VISITED BY INTERNEE

A. CASH DEPARTMENT B. REMITTENCE DEPARTMENT C. GENERAL BANKING OPERATIONS D. CLEARING DEPARTMENT E. CREDIT DEPARTMENT

DEPARTMENT NAME TIME SPENT TYPE OF LEARNING ATTENDED OFFICER OBSERVATION & (WEEKS) COMMENTS Receipt & payment process Receipts and Mr.Ahmad Shiraz of cash. CASH DEPARTMENT 01 WEEK payments of Cash Saleemi, and Receipt of Cash Officer A tidy job which require Utility Bills extra ordinary care and tolerance Provision of services for remittance of money. Entry of remittance Mr Qasir Naeem REMITTENCE 02 WEEKS instruments in the Butt A sensitive job which DEPARTMENT system & Operation Manager demands extra care to safe preparation of guard the Institution’s physical instruments financial interest apart from who availed the services from the Bank. Updating of daily routine working with respect to 1. Entry of debit, posting/journalizing the credit vouchers in Mr Qasir Naeem Dr/Cr entries in the system. GENERAL BANKING the system. Butt OPERATIONS 06 WEEKS 2. Account Opening Operation Manager A wonderful job which 3.Customer Care updates the daily 4. On Line Banking activities/transactions of their customers and other allied concerns of the unit in the relevant automation. 1.Types of clearing Perfectly Lodgement and on 2.Lodgment of the realization of the amount CLEARING clearing Mr Qaisar Naeem by the other bank credited DEPARTMENT 01 WEEK 3.Representation of Butt the customer’s A/C. Dishonored cheques Operation Manager It’s a tough job if the banker after the removal of makes a mistake in the past objection Lodgement of Cheques and Cheque dishonor then he will be liable for this. A good source of earning for the bank in conformity with Understanding of the Institutional Credit documentation of Policy. CREIDT DEPTT 01 WEEKS Credit Proposals Waheed Ahmad Requires proper expertise Glance at Financial Credit Officer and dedication to safe guard Analysis of various the bank’s money lend to the SMEs public against security of paper/other collateral

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EXPECTATIONS NOT MET BY CURRENT INTERSHIP PROGRAMME

- Inadequate duration of Internship - Full knowledge of automation - Inadequacy of proper seating arrangement for internees due to narrow banking operational hall.

ANALYSIS

While making an analysis of The Bank Of Punjab, as a financial institution, wefind that this institution came into existence in pursuance of Bank of Punjab Act, 1989 passed in the legislative Assembly of Province of Punjab. In the short span Of about 15 years, it become the fifth largest bank in the county with 266 Branches net work all over the country.

While having an opportunity to go for internship at the branch, I have observed the following reservations:- The Katchery Bazar branch is housed in small banking premises which does not suffice the requirements of visiting clientele as well as corporate clients of the Bank. By having a glance over the current business of the branch, the same should immediately be shifted to some spacious building so that best banking www.vuzs.net http://groups.google.com/group/vuzs - 10 - Internship report on The Bank Of Punjab services can be offered to the bank customers. Moreover, though the branch is automated yet required number of PCs etc has not been provided resultantly, the staff has to wait their turn to accomplish their daily job. Same case is with furniture of the branch which has almost completed its normal life and required immediate replacement.

LIMITATIONS - To go for internship in Foreign Trade due to bank’s policy. - Short term internship duration

REFERENCES AND RESOURCES

Oral:- Much oral information was provided by Mr. Abdul Malik, Branch Manager and Mr. Qasir Naeem Butt Operation Manager, and Mr. Ahmad Shiraz Saleemi, Credit Officer.

Written:-

o Annual Report o Records o Internet