Vous êtes sur la page 1sur 51

Foreign Exchange and Foreign Trade

in
Al-Arafah Islami Bank Limited

Submitted by
WWW.ASSIGNMENTPOINT.COM

www.AssignmentPoint.com

1.

Introduction

This internship was to my job exposure and provided me with learning


experience and knowledge in several areas. I was not only learned about the
activities and operations of correspondent Bank, but also gathered some
knowledge about the basic business of the banking in first one month for the
purpose to build up my career.

It is possible to gather theoretical knowledge passing through books but it is


insufficient to acquire practical experience. We collect data to know about
unknown factors, we can have accurate knowledge about the factors by
analyzing data.

www.AssignmentPoint.com

As a student of finance department in Asian University of Bangladesh, I have


earned theoretical knowledge, which is not exactly same with the practical
business environment. The company internship program applied by the faculty
of Business study helps us to have practical experience and its reporting also.

Through this internship program, I come to know about the organization


structure, problems, prospects and operational procedures of AL-ARAFAH
ISLAMI Bank Ltd. So, it is impossible to deny the importance of internship of
program.

www.AssignmentPoint.com

2.

Origin of the report

The report entitled General Banking, Investment and foreign Exchange


Operation of Al-Arafah Islami Bank Limited what has been prepared for the
completion of the M.B.A of the Dept. of Business, Asian University of
Bangladesh.

3. Objectives of the report

The objective of practical orientation is to familiarize with the practical Market


and to familiarize with the practical market and to compare it with the Business
theories that we have learnt.

The main objectives of the practical orientation are as follow:

To familiarize with practical job environment.


To have and exposure on the financial institution such as banking
environment of Bangladesh.
To gain experience on different functions of the different department of
the Bank.

www.AssignmentPoint.com

To observe Banker- customer relationship.


To relate the theories of Banking with the practical Banking.
To examine the profitability and productivity of the Bank.
4. Methodology
Using both of the two sources primary and secondary has collected data.

The primary sources of data:

Face to face conversation with the Bank officers and staffs.


Direct conversation with the clients.
File study of different sections.
Deskwork: during my practical orientation I worked in head officer and
Joydebpur Chowrata Branch Gazipur.
In head officer I worked in foreign and credit division. In Joydebpur
Chowrasta Branch I worked in the Section.

The secondary sources of data:


Annual Report of AL-ARAFAH ISLAMI Bank Ltd.
Deferent paper of AL-ARAFAH ISLAMI Bank.
Unpublished data received from the head office and branch.
Different text books.

www.AssignmentPoint.com

I tried my best to discuss my subject in analytical way. I also have represented


some graphs and tables, which show performance of AL-ARAFAH ISLAMI
Bank Ltd. Based on financial data. To collect necessary information I used
questionnaire method. I have given some recommendations to solve the
problems of AL-ARAFAH ISLAMI Bank Ltd. As per my own thought.

5. Scope

The reports cover the Banking service to the customers especially the customer
service of AL-ARAFAH ISLAMI Bank Ltd. This report has been prepared
though extensive discussion with Bank employees and also with the customers.

The study was kept Ltd. To the head office and Joydebpur Chowrasta Branch of
AL-ARAFAH ISLAMI Bank. This Bank Deal with all type of general Banking
operations foreign exchange and credit operations according to the rules and
regulations provided by the Bangladesh Bank as well as according to Islami
Sharih.

www.AssignmentPoint.com

6. Limitations

The main constraint of the study was shortage of time.

The constraint of the study was insufficiency of information, which is


highly required for the study. AL-ARAFAH ISLAMI Bank is a new
unable to provide some formatted documents and publications for the
study.

Since the Bank personnel were very busy, they failed to given me enough
time to complete the repot.

The clients were very busy, so they were unable to give me much time for
interview.

I carried out such a study for the first time. So, inexperience is one of the
main factors that constituted the limitation of the study.

It is also a limitation that only 100 clients opinion takes as a sample of


whole Bank, which may not represent the overall of real condition of the
Bank.

www.AssignmentPoint.com

7. A Brief idea about The Al-Arafah Islami Bank Ltd

(Including organizational structure)


A. Historical background of the AL-ARAFAH ISLAMI Bank.
B. Slogan of the AL-ARAFAH ISLAMI Bank.
C. Key function of the AL-ARAFAH ISLAMI Bank.

A. Historical background of Al-Arafah Islami Bank:

AL-ARAFAH ISLAMI Bank- Ltd. Was named at first as ARAFAH ISLAMI


Bank. This new Islami commercial Bank started some new innovative vision
for customer service in modern era. It was incorporated with Bangladesh Bank
on dated 18.06.1995. The Bank received the certificate of incorporate no. pp6571/95 under the commitment of the business on the same day by the section
1580(2) under the companies act. Apart from the head office in Dilkusha C/A, it
stared its first local branch in Motijheel C/A simultaneously in order to provide
all kinds of banking support to the clients. On September 27, 1995 the second
branches both in Dhaka city and other cities.

www.AssignmentPoint.com

B. Slogan of The Al-Arafah Islami Bank:


Local Bank Global Network The World AL-ARAFAH ISLAMI Bank
implies the meaning of its operation. Through it is a new type of Bank in
Bangladesh; it is familiar with so many countries in the world such as Export
Import Bank of United states, Export Import Bank of Japan. Despite it is a local
Banking. To achieve the desire goal, it has intention to pursuit of excellence at
stages with acclimate of continuous improvement. Because it believes, the line
of excellence is never ending.

C. Key Function of the Al-Arafah Islami Bank:

Like other commercial Banks AL-ARAFAH ISLAMI Bank

performs all

traditional Banking business including introduction of a wide range of caving


and credit products, rattail Banking and professional management. But the ALARAFAH ISLAMI Bank Ltd, emphasize its functions in export and import
trade handling and financing of export oriented industrious and reduces in the
balance in the balance of payment of the country. Its also have to maintain
Islami Sharih.

www.AssignmentPoint.com

11.1 Board of Directors

Chairman
Mr. Badiur Rahman

Director

Director

Mr. Al-Hajj Kazi Md. Mofizur Raham

Al-Hajj Dr. D. M. Amanul Haque

Director

Director

Mr. Al-Hajj Mir Ahmed Sowdagar

Al-Hajj Abdul Malek Mollah

Director

Director

Al-Hajj A.Z.M.Shamsul Alam

Al-Hajj Mohammad Haroon

Director

Director

Al-Hajj Mr. Harun ar- Rashid Khan

Mr. Md. Abdullah Al Zahir Shapan

www.AssignmentPoint.com

Director

Director

Al-Hajj Mr. Nazmul Ahsan Khaked

Al-Hajj Badsha Meah

Director
Dr. Bahauddin Mohammad Yousuf

Managing Director
M.A Samad Sheikh

Company Secretary

www.AssignmentPoint.com

11.2

List of Executive & Officers of Joydebpur Chowrasta Branch.

SL Name of the Officials

Designations

Md. Nasim Ahmed kamal

P.O & Manager

Md. Mohiuddin Sharifi

S.O

Md. Mafozul Haque

Officer

Md. Abdul Latif

Officer

Md. Mozahid Hossain

Officer

Md. Neamatul Islam

Officer

Md. Kalilur Rahman

Officer

Md. Abdur Razzak

Junior Officer

Md. Mossarof Hossain

Junior Officer

10

Md. Abdul Hakim

Junior Officer

11

Md. Atiqur Rahman ( Monshi )

Junior Officer

12

Md. Lalon Sheik

Junior Officer

13

Md. Jabed Morshed

Asst. Officer

14

Md. Humayon Kabir Talukder

Asst. Officer

15

Abu Ahmed

M.C.G-2

16

Md. Tanzid

Driver

17

Md. Habibulla

G.G

18

Md. Habibur Rahman

Tea boy

www.AssignmentPoint.com

9. Customers Service and Automation:

To err is human and forgiveness divine is a proverb, the Bank believes, the
customers will not accept, Because for a service they pay for, they want it 100%
defect free. So, improvement of the customer service should always be their
motto. Altered expectoration of the customers has shifted the focus from
resource base productivity to value base productivity.

To operate in the globalize environment, the Banks future plan is to equity all
the units if the Bank with modern technology, they already started Telex, Fax,
E- mail, On-line and Computer network. For the service of its customers round
the clock, it is thinking now installing ATM at suitable place in Dhaka and
others important cities in the country.

10. Other Operations:

The Bank does all traditional commercial Banking business including


Islamic Banking service in Selective branches.

Deposits, which are the lifeblood of the bank, are amount other.

In capital market operations, it is engaged in share and securities


business, Mutual fund management and brokerage house activities.

www.AssignmentPoint.com

Bank is poised to extend LC correspondent relation and nostril accounts


with leading Banks all over the world.

11. Identity of Al-Arafah Islami Bank Ltd. In A Short:

Registered name

Al-Arafah Islami Bank Ltd.

Registered Head Office

Peoples Tower
6-10 floor
36 Dilkusha C/A , Motijheel
Dhaka -1000
Phone- 723255-7, 9568007, 9569353
Telex: 642527 AL-ARAFAH ISLAMIHO BJ
Fax: 880-2-9569353
Email: Al-Arafah @bangla.net
SWIFT

Date of incorporation

June 18,1995

Inauguration of first branch

September 27, 1995

www.AssignmentPoint.com

Authorized capital

250.00 crore

Paid up capital

85.42 crore

Reserve

59.97

12. General Banking


A. Introduction
B. Accounts opening section
C. Cash section
D. Deposit section
E. Remittance section
F. Accounts section

A. Introduction:

The general Banking Department doses the most important and basic of
the Banks. All other departments are liked with this departments are liked with
this department. It also plays a vital role in deposit mobilization of the branch.
AL-ARAFAH ISLAMI Bank Provides different types of accounts locker
facilities and special types of saving Scheme under General Banking. For proper

www.AssignmentPoint.com

function and excellent customer services this department is divided into various
sections namely as follow:
Accounts opening sections
Cash sections.
Deposit sections.
Bill and clearing sections.
FDR sections.
Accounting sections.

B. Accounts Opening Section

This section deals with opening of different types of accounts. It is also deals
with issuing of books and different deposit books to the different accounts
openers. A customer can open different types of accounts through this
department such as:

Al-Wadia Current account.


Mudaraba Saving Account.
Mudaraba Short Notice Accuont.
Mudaraba Monthly Installment term Deposit.
Mudaraba Monthly saving Scheme .

www.AssignmentPoint.com

Mudaraba Double benefit Scheme.


Mudaraba Kotopati deposit Scheme.
Mudaraba Millionaire deposit Scheme.
Mudaraba pension Scheme.
Mudaraba lakha pathy deposit Scheme.
Foreign currency Deposit Scheme.
Al-Arafah Saving Bond.
Cash wakaf deposit Scheme.
Al- Arafah monthly Hajj deposit.
Requirements of opening an account:
There are some requirements that have to be completed for opening an Account.

www.AssignmentPoint.com

Current Account:

Current Account is an account where the account holders can make numerous
transactions with in a working day. There is no restriction on the number and the
amount of with drawls from the current within availability of funds.

As the Banker is under the obligation to repay this deposit on demand on


interest is paid in this account. Generally, current Account is opened for
Business and trades for easy transaction. But a person can open CD Account for
special purpose. Requirement for the different types of Accounts holders are
discussed.

i. Proprietorship firm:
There is a different account opening from for the proprietorship firm by the ALARAFAH ISLAMI Bank Ltd. For this account, a customer must need to submit
the papers with the from:
Photograph.
Signature and Rubber- stamp seal of the client.
And introducer of AL-ARAFAH ISLAMI Bank Ltd. Introducer must be
account holder.
Chairmen certificate of the proprietor.

www.AssignmentPoint.com

Trade license.
Voter ID Card

Current deposit account is opened with neither a sum of nor less than 1000. The
introducer must attest photographs.

ii. Partnership firm:

There is a different account opening from for the proprietorship firm.


Interaction for running an account is giving in this.

The following documents are required to open this type of accounts.

Photograph.
Signature and Rubber-stamp seal of the service receiver.
Chairman certificate of the partners.
And introducer of AL-ARAFAH ISLAMI Ltd. Introducer must be CD
Account holder.
Trade license.
Partnership deed registered by Notary public.
Partnership letter along with address and signature.
Voter Id Card.

www.AssignmentPoint.com

Current deposit Account is opened with neither a sum of nor less than Tk. 2000.
The photographs must attested by the introducer.

www.AssignmentPoint.com

iii. Limited company:

A separate account from is used for limited company. There are two kinds of
limited company public company and private limited company. The Bank
always takes precautions for opening this type of accounts. Several documents
are submitted by the clients, which should be checked carefully by the Bank to
be legally in a safe position. Requirements to open an account are as follows:

iii. a. Private limited company:

Photograph.
Signature and Rubber- stamp of the client.
Chairman certificate of the owner.
An introducer of AL-ARAFAH ISLAMI Bank of Bangladesh Ltd.
Introducer must be CD account holder.
Trade license

Certified copy of memorandum and articles of association.


Incorporation Certificate.
Membership Certificate.
Memorandum.

www.AssignmentPoint.com

iii. b. Public limited company:

Photograph.
Signature and Rubber- stump seal of the client.
Chairman certificate of the directors.
An introducer of AL-ARAFAH ISLAMI Bank Ltd. Introducer must be
CD account holder.
Trade license.
Certificate of Incorporation.
Certificate copy of memorandum and articles of association.
List of directors as per return of joint stock Company with signature.
Certificate of commencement of business.

iv. Club society:

The following document duly completed shall be obtained from the customer
at the time of current deposit account of
Association/Club/Charity/Trust/Society etc.

Photograph.

Signature and Rubber-stamp seal of the client.

www.AssignmentPoint.com

An introducer of AL-ARAFAH ISLAMI Bank Ltd. Introducer must be


CD account holder.

Chairman certificate of the client.

Certified true copy of constitution/By-laws/Trust deed/Memorandum and


articles of association.

Certified of registration of the association/Club/Charity/Trust/Society


(For inspection and returned only certified.)

List of members of the Governing body/Executive committee of the


Association /Club/Charity/Trust/Society with their address.

Exact of resolution of the Association/Club/Charity/Trust/Society for


opening the account and authorization for its operation duly certified by
the chairman sectary of the Association/Club/Charity / Trust/ Society. Etc.

www.AssignmentPoint.com

V. Saving Account (individual/joint):


Saving account (SB) is meant for the people of the lower and middle classes
who wish to save part of their income to meet future needs and intended to earn
an income from their saving. For opening of this type of accounts the following
requirements are necessary:

Photographs attested by the introducer.

Chairman certificate of the account holder.

An introducer of AL-ARAFAH ISLAMI Bank Ltd. Introducer must be CD


account holder.
For joint of saving deposit and short-term deposit (STD) are as follows.

SL. NO

Name of Account

Interest rate

Saving Deposit

6%

Short term Deposit(SND)

4%

www.AssignmentPoint.com

vi. Monthly Saving Scheme (MSS):

It is project of AL-ARAFAH ISLAMI Bank, which is a Scheme like DPS.


The slogan of this Scheme is securing your future with case. A small saving to
day will provide you comfort tomorrow.

vii. Saving period and monthly installment rate:

The saving period is for5, 8, 10, or 12 years. Monthly installment rate is Tk.
500, Tk. 2000, or Tk. 5000.

viii. Monthly installment deposit:

The saving amount is to be deposit with in the 10th of every month. In


case of holidays the deposit amount is to be made on the following date.

The deposits may also be made in advance.

The depositor instruction can be giving to transfer the monthly deposit in


the Schemes account.

www.AssignmentPoint.com

In case the deposit falls to make the monthly installment in time there
will be no charge added with the following months installment.

ix. Withdrawal

Generally, withdrawal is not advised before a five- year term, but if it is


withdrawn before the above term, then interest will be paid saving rate.
However, no interest will be paid if the deposit is withdrawn within one
year of opening the account.
Incase the depositor to withdraw between the 5,8,10, or 12 year period
then full interest will be paid for a completed term and saving rate will
applicable for the fractional period.

x. Loan advantage:
After 3 years of saving in this Scheme the depositor (in an adult) is eligible
for a loan up to 80% of his deposited amount. In that case, interest rates on the
loan will be applicable as per prevailing rate at that time.
Reasons for disqualification from this Scheme:
If the depositor fails to pay three installments in a raw, then he will be
disqualified from this Scheme and interest will be applicable as
mentioned in withdrawal clause.

www.AssignmentPoint.com

If the depositor fails to five installments in a raw after completion of 5


years term then the Bank reserve the right to close the account and
interest will be paid as mentioned in withdrawal clause.

In case of death of the depositor the Scheme will case to function. The
amount will be handed over to the nominee of the deceased depositor. In
case of absence of the nominee the bank will hand over the accumulated
amount to the successor of the deceased.

Rule:

A from has to be filled at the time of opening the account. NO introduction is


needed but attested photographs are advised.

The depositor can select any of the installment accounts. Which can not be
subsequently changed?

Incase of minors the guardians may open and supervise the account in his
favors.

www.AssignmentPoint.com

A single person can open more then one account for saving under several
installment rates.

The accumulated deposit with interest will be returned within one month of
completion of a term.

The depositor should notify the bank immediately of any change of address.

The government tax will be deducted from the interest accumulated in this
Scheme.

If necessary, at the request of the depositor, the Scheme can be transferred to


different branches of the same bank.

The bank reserves the right to change the rules and regulations of the
Schemes as and when deemed necessary.

xi. Monthly Installment Statement Charge:

www.AssignmentPoint.com

Years Monthly

Monthly

Monthly

Monthly

Installment

Installment

Installment

Installment

(Tk)

(Tk)

(Tk)

(Tk)

500

1000

2000

5000

39041

78082

156164

390411

74202

148404

296809

742024

10

105095

210190

420380

1050952

12

144461

288923

577847

1444618

www.AssignmentPoint.com

xii. Monthly Income Scheme (Steady Money)

Bangladesh is a developing country. But in our country opportunity of


investment is very low. People of our country always try to save their excess
money and there looking for where they can deposit the money. According to
their demand AL-ARAFAH ISLAMI Bank started this money income Scheme.
A monthly income Scheme their really makes good sense. An investment for
steady return.

xiii. Highest of the Scheme:


Minimum deposit Tk. 2,39500.
Higher Monthly Income for higher deposits.
The Scheme is for three year period.
Monthly income will be created to the depositors account on the fifth of
each month.
After three years the Account holder would received Tk 10000000.00

xiv. Objectives of the Scheme

An account is to be opined by filling up a form.

www.AssignmentPoint.com

The Bank provides to the customer a deposit receipt after opening the
account. This receipt is non- transferable.

If the deposit is withdrawn before a five years term, then saving


interest rate will be applicable and paid to the depositor. However, no
interest will be paid if the deposit is withdrawn within one year of
opening the account and monthly income paid the customer will be
adjusted from the principal amount.
xv. Muduraba Millionaire Deposit SchemeYear

Monthly Deposit

Matured Amt.

3
4

Amount
23950
16950

1000000
1000000

12750

1000000

9950

1000000

8000

1000000

10

4600

1000000

12

3345

1000000

15

2170

1000000

20

1150

1000000

www.AssignmentPoint.com

www.AssignmentPoint.com

xvi. Muduraba Lakhapati Deposit SchemeYear

Monthly Deposit

Matured Amt.

3
5

Amount
2375
1275

100000
100000

670

100000

10

460

100000

12

335

100000

xvii. Muduraba Kotipoti Deposit SchemeYear

Monthly Deposit

Matured Amt.

3
4

Amount
239500
169500

10000000
10000000

127500

10000000

99500

10000000

80000

10000000

10

46000

10000000

12

33450

10000000

15

21485

10000000

18

14330

10000000

20

11100

10000000

13. Cash Section

www.AssignmentPoint.com

Cash section of any Bank plays a vital role in general banking


procedure. Because it deals with the most liquid assets. There are several
counter works simultaneously in cash section of AL-ARAFAH ISLAMI Bank
Joydebpur Chowrasta branch. There are also some electronic counting machines
by which a huge amount of case money can be counted within a few minutes.

13.a. Cash receiving procedure:

The work of case receiving counter is examining deposit slips. Depositor user
the prescribed deposit slip supplied by the Bank for deposit cash, draft, cheque,
pay order etc.
In all types of deposits teller must cheek the following things:

The slip has been properly filled up.


The title of the account and its umber.
The amount in figure and in words is same.
Instrument signed by the depositor.

After checking all these things the teller will accept the cash, cheque, draft, pay
order etc. Against deposit slip, the teller will please the cash in the drawer
account to denominations. The teller will place signature affix cash receipt,

www.AssignmentPoint.com

rubber stamp seal and record in the cash received register book against the
account number, at the end of this procedure, the cash officer passes the
deposits slip to the computer section for posting purpose and returns the
customers copy.

Accounting treatment:

Date

Particulars
Cash A/C

Dr.

Debit

Credit(Tk.)

Xxx

Xxx

To Customers A/C

13.b. Cash payment procedures


Precaution:
In order to safeguard the position the paying Banker has to observe the
following precaution before honoring the cheque:
A cheque must looked whether it is an opened or closed cheque .
The paying officer should see whether the cheque is drowning on his
branch.

He must see if the cheque is postdated .A letter must not pay post- dated
cheque.

www.AssignmentPoint.com

The officer must carefully see the apparent tenor of the cheque. If it is
mutilated of materially altered then the officer must not honor it.

The offer must compare the signature of the cheque with the signature of
the specimen signature card.

The officer must verify the regularity of the endorsement.

The officer may allow overdue against a cheque if prior arrangement is


done with the bank.

Padding a cheque:

After verifying the above mentioned things the offer to make payment by
putting pay cash seal the cash officer make it clear to pay. The cash officer
gives the cash amount to the holder and record in the cash paid register.
Account treatment:

Date

Particulars

Debit(Tk)

Credit(TK)

www.AssignmentPoint.com

Customer A/C Dr.

Xxx

To Cash A/C
Xxx

14. Deposit Section:

The function of the deposit is very important. It is fully computerized. The


officer of the deposit section maintains account numbers for different account
number of all the customers of the Bank. They are used different code numbers
for different account. By this section a depositor/drawer can know what is the
present position of his/her account. The officer makes posting three types of
transactions such as cash, clearing and transfer. This section performs the
following tasks.
Post all kinds of transactions.
Provide on demand report.
Cheque maintenance.
Preparation of day transaction position.
Preparation of closing monthly transaction.

15. Remittance Section:

www.AssignmentPoint.com

Banks have a wide network of branches over the country and offer
various kinds of remittance of the public. The main instrument used by the ALARAFAH ISLAMI Bank of remittance of funds is:
Payment order (PO)
Demand Draft(DD)
Telegraphic Transfer(TT)
On-Line Transfer.

15.a. Demand Draft (DD):

It is an instrument containing an unconditional order of one Bank to another to


pay a certain amount of money to the named or order the amount therein on
demand. DD is very munching popular instrument for remitting money from
one corner of a country to another. Commission for DD is 0.1% of the principle
amount.
15.b Accounting treatment:

(DD by Cheque/cash)

Date

Particulars
Cheque/Cash A/c
To Demand Draft

Debit(Tk.)
Dr.

Credit(Tk.)

Xxx
Xxxx

www.AssignmentPoint.com

To DD commission A/c

Xxxx

www.AssignmentPoint.com

15.c. Different between pay order and demand draft:

There are some different between pay order and demand draft, which are:
In case of demand draft both the payee need to have account. But there is
no certain rule for pay order.
PO is used in the same clearing area. DD is used for all kinds. DD can not
be done in the same clearing area.
DD is drawn on a certain Bank officer. But there is no certain rule for PO.

15.d. Telegraphic Transfer (TT)

Telegraphic transfer is the quickest method of transferring funds from


one place of another. Sometimes the remitter wants that the money to be
available to the payee immediately. In that case bankers are requested to remit
the fund telegraphically. Here the remitter bears the additional charge of
telex/telephone. Charge for TT is 0.15% of the principal amount and the
addition charge telex/telephone is Tk. 30.00 In case of TT both the parts must
have accounted.
16. Account Section:
This is a very much crucial department for each branch of a
commercial Bank. Recodes of all the trisection of every department are here as

www.AssignmentPoint.com

will as with order respective branches. Accounting department verifies all


financial amounts and contents of transaction. If any discrepancy arises
regarding any transaction this department report to the concerned department.

16.a. Tasks of accounts department:

Accounts department plays vital role in commercial banking. In privet


banking sector accounts department of AL-ARAFAH ISLAMI Bank
Bangladesh Ltd. Performs its tasks properly.
The activities of account section are as follows:
o Record all transaction in the cash book.
o Record all transaction in the general subsidiary ledger.
o Prepare daily fund function, weekly position, period statement of affairs
etc.
o Prepare necessary statement for reporting purpose.
o Make salary statement and pay salary.
o Branch to branch fund remittance and support for accounting treatment.
o Budgeting for branch.
Make charges for different types of duties.

17. My Findings

www.AssignmentPoint.com

Data analysis and interpretation based on questionnaire and interviews on


the customers/clients.
1. What is your opinion about the banking environment of AL-ARAFAH
ISLAMI bank Ltd?

www.AssignmentPoint.com

Table 1 (About environment of AL-ARAFAH ISLAMI Bank)

SL No:

Comments

No of person

Percentage

Very Good

35

35

Good

60

60

Fair

Poor

Total

100

100

Interpretation:

From the data analysis we can see, most of the clients agreed that banking
environment of AL-ARAFAH ISLAMI Bank is good. Some people committed
it is very good and a few said that its fair.

www.AssignmentPoint.com

2. Employees are always ready to help the customers. Do you agree?

SL No.

Comments

No. Of person

Yes

95

95

No

Some times

Total

100

100

Interpretation: Analysis shows that most of the customer agreed that


employees are always ready to help. They are very cooperative.

3. Do you think customer is getting more facilities here in comparison with


other bank?

SL No.

Comments

No. Of person

Yes

60

60

No

Not all cases

40

40

Total

100

100

www.AssignmentPoint.com

Interpretation: from the analysis it is found that customers are getting more
facilities comparing to other bank. At the same time a large number of clients
expressed that in some specific cases such as interest rate etc. They are getting
more facilities, but not all sectors of banking service.

18. What is your suggestion to improve the service quality of Al-Arafah


Islami bank ltd?
In order to improve the service quality customer expressed different
opinion in their point of view. I can summarize their opinion, which is the gist
of their suggestions. They have of take some more steps to improve the service
quality. Each department of the Banks should computerized the cash transaction
process would be easier and very prompt that it would take a very short time.
More branches should be opened in Dhaka City and other cities of his country.
They will have customer credit Scheme and other Scheme that

will help the customer. It is badly needed to provide modern Banking services
such as Credit Card, ATM card, Visa card etc. AL-ARAFAH ISLAMI Bank is
providing better service comparing to other privet Banks. But there are almost
52 Bank in our country. In the near future some new banks are going to be
opened. So, in order to complete in the market AL-ARAFAH ISLAMI Bank
should be have to improve their service. They should increase their manpower
and will have to improve their service quality and provide more facilities.

www.AssignmentPoint.com

www.AssignmentPoint.com

19. Finding in different sections of the Bank:


I found that all the sections of the Bank are facing lack of manpower as a
general problem.

General Banking Department:


In general banking department they follow the traditional banking system.
The entire general Banking procedure is not fully
Computerized. As a result some processing for example collection money
from the deposit take a long time to perform.
The cash counter I think is congested and the procedure is also
traditional.
There is no computer in Accounts Opening section and Remittance
section. Thats why the service is not prompt as the customers demand.
Lack of variety of services is also a drawback of the general Banking area
of the AL-ARAFAH ISLAMI Bank of Bangladesh Ltd. The Bank
provides only some traditional limited service to its client. As result Bank
is falling behind in competition.

www.AssignmentPoint.com

20. Recommendations
Banking is service oriented marketing. Its business profit depends on its
service quality. Thats why the authority always should aware about
their service quality.
To provide service to the customer it is necessary to have a trained team
of an organization of an institution. For this reason the Bank should
recruit more fresh, bright and energetic person.
Bank should offer Bank is launching Customer Credit Scheme ALARAFAH ISLAMI Bank is failing to launch this kin of Scheme. The
management can undertake such sort of Schemes and earn more profit.
As soon as possible the Bank should stat more benches in Dhaka City as
well as the other cities of the country.
Now a days world is going very fast. Now most of the Bank opens
online customer service system. So, in order to compete in the world
market they should adopt online Banking system.
The Bank should attempt to enter into the share market by issuing share
to capitalize more money and invest thereafter by expanding the number
of branches around the city.
The recruitment process of the Bank is very length an expensive. The
bank should select the employee by reducing the lengthy process.

www.AssignmentPoint.com

In general banking department it is necessary to implement modern


Banking process instead of tradition system. The department should be
more computerized.
Data base net working is the most modern technology to transfer data
from branch to branch or branch to head office and vice versa. So, they
must use this technology in information technology (IT) department of
the Bank.
The loan sanction process should be easier that the clients can feel
convenient to take loan from the Bank.
To make exchange process more prompt the authority should use
modern communication system such as E-mail, Fax, win Fax Internet
etc.

www.AssignmentPoint.com

21. Conclusion
Export Import Bank of Bangladesh Limited is a third generation private
commercial bank in the country with commendable operating performance
Directed by the mission to provide prompt and efficient service to clients, ALARAFAH ISLAMI Bank ha successful celebrated its sixty years of operation. It
provides a wide rage of commercial banking services AL-ARAFAH ISLAMI
Bank has a achieved success among its peer group within a short span of time
with its professional and dedicated team of management having long
experience, commendable knowledge and expertise in conversion with modern
banking. With all its resources, the management of the Bank firmly believes that
the bank would be able to encounter problem that h may arise both at micro and
macro economic levels. The Management of the bank is maintaining an efficient
portfolio in order to have a healthy growth and retain customer satisfaction. ALARAFAH ISLAMI Bank is engaged in modern banking. It is expected that ALARAFAH ISLAMI Bank by its efficient Asset and liability management will be
able to maintain its trend of growth and thus overcome the threat. Neither ALARAFAH ISLAMI bank nor any other commercial bank can effectively combat
risk. However, AL-ARAFAH ISLAMI Bank having small and targeting niche
markets is likely to be less affected by restrictive monetary and / or fiscal policy.
The Management of the Bank is planning to meet the required capital adequacy
withering the stipulated time frame, and a loan and advance policy that expected
the loan loss provisioning in future will be within tolerable limit having little
material impact on future profitability as well as net worth. Although ALARAFAH ISLAMI bank is yet to be fully automated and it proceeding
aggressively to enhance its technology level. As AL-ARAFAH ISLAMI bank is
performing good in traditional general banking and there is a good demand for
Islamic Banking and the opining if then (The management) that the

www.AssignmentPoint.com

performance of the Bank is getting much better than past. I wish and hope that
in future AL-ARAFAH ISLAMI Bank will be Number one commercial Bank in
Bangladesh.

www.AssignmentPoint.com