AN INTERNSHIP REPORT

ON NATIONAL BANK OF PAKISTAN

(Chatter Domel Branch Muzaffarabad AJK)

Submitted By

Wajahat waseem

BBA

Session: 2017-2021

DEPARTMENT OF MANAGEMENT SCIENCES

MIRPUR UNIVERSITY OF SCIENCES AND TECHNOLOGY MIRPUR

Department of Management Sciences

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Students Declaration

I declare that this material, which I now submit for assessment, is entirely my own work and has

not been taken from the work of others, save and to the extent that such work has been cited

and acknowledged within the text of my work. I understand that plagiarism, collusion, and

copying are grave and serious offences in the university and accept the penalties that would be

imposed on me.

I have read and understood the Assignment Regulations set out in the module documentation. I

have identified and included the source of all facts, ideas, opinions, and viewpoints of others in

the assignment references. Direct quotations from books, journal articles, internet sources,
module text, or any other source whatsoever are acknowledged and the source cited are

identified in the assignment references.

This report or any part of it has not been previously submitted by me or any other person for

assessment on this or any other course of study except for the contents that have been

mentioned in referzncing.

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registration

Scanned Copy of your Internship Letter

 Place scanned copy of your internship letter here

Dedication

All Praise to ALLAH, the Most Merciful

I am grateful to ALLAH Almighty, for enabling me to complete the work presented in this report.

It is through his unending mercy that this task moved to success. This is my first effort to my

carrier.
I owe my greatest gratitude to my parents and my teachers especially Mr. ABDUL GHAFOOR

CHUGHTAE and my friends for continuous support, assistance, guidance, love and patience

without which I could not able to complete my report in such a short span of time.

I am deeply indebted to my chosen bank. i.e. NBP. I am thankful to the staff member of

National Bank of Pakistan. Specially officers who give me the detailed information of work in

NBP. I am also grateful to my honorable teachers for teaching me so that I observe things

practically which I read in books. I always wish prosperity for them and for institution.
 Chapter: 01

Introduction to the report

1.1Executive summary

This report highlights the operations and functions of National Bank of Pakistan. An NBP act

financial agent to its customers in returns it gets reward for its services in the shape of profit.

Being a Government owned institution it plays an important role in development of

society. National Bank of Pakistan is one of the leading banks in Pakistan. According tointernatio

nal standards of banking system it is one of the best banks in South Asian regions well as the

bank of the year 2008. This report describes how different functions of NBP work and what are

their services.

The key purpose of the internship is to collect relevant information to accumulate internship

report on National Bank of The main purpose of the internship is to gather relevantinformation.
Another purpose of this Internship program is to enable the students to use the management

techniques attained during their courses, and find out the conceivable resolution of

management problems faced by the organization. The report is based on my six-week

internship program in National Bank of Pakistan. The procedure reported for collection of data

is primary as well as secondary data. The biggest source of information is my personal

experience, observation while working with staff and having discussion with them. The annual

report 2008 also helped me in this regard.

Pakistan.Another purpose of this Internship program is to enable the students to use themanag

ement techniques acquired during their courses, and find out the possible solution of

management problems faced by the organization. The report is based on my six-week

internship program in National Bank of Pakistan. The methodology reported for collection of

data is primary as well as secondary data. The major source of data is my personal experience,

observation while working with staff and having dialogue with them. The annual report 2008

also helped me in this regard.

• I want to develop my skills in the application of theory to practical work situations.

• To develop my approach conducive to operative interpersonal relationships

• To acquire good work habits and sense of responsibility.

• To enhance my learning experience by application of fundamental concepts previously

learned.

• To observe, analyze and interpret the relevant data competently and in a useful

manner.
 • To develop my interpersonal communication. I want to enhance my knowledge of the

discipline of banking administration

1.2 Scope of the study:

As an internee in National bank of Pakistan, the main focus of my study research was on

general banking operations. These operations include remittances, deposits, advances and

foreign exchange. Similarly, aspects of overall report are also covered in this report.

1.3 Instruments of data Collection

1.3.1 Data Sources

In this report writing, a mixed blend of primary and secondary data has been used. In

addition to this primary data was also used wherever the unavailability and shortage for

secondary data was felt.

The Instruments used in data collection are following:

1.3.1.1 Primary and Secondary

• Websites

• Publications were used as a tool of collecting the secondary data.

• Formal and informal discussions, group discussions

• Observations

1.4 Merits and Methodology of the Study

 For the purpose of writing this report the method of collecting information have been used are

discussions with bank employees, Personal observation in addition data also collected from.

• NBP annual reports.

• NBP website.

• Purpose of study

Internship training program during bachelor of business administration Program is necessary.

The Internship will enable internees to integrate and use knowledge and skills from the

classroom. This study will facilitate and regarding the working of banking sector of Pakistan. For

achieving my purposes, objectives and for the preparation of the internship report I required

some kind of data. I used both methods of data collection that are primary sources and

secondary sources for that purpose.

Chapter: 02

Introduction to the organization

2.1 History of national bank

National Bank of Pakistan is part of Pakistan’s struggle for economic independence. National

Bank of Pakistan was established on November 9, 1949 under the National Bank of Pakistan

Ordinance, 1949 in order to scope with the crises conditions which were developed after trade

deadlock with India and devaluation of Indian rupee in 1949.Initially the bank was established

with the objective to extend credit to the agriculture sector. The normal procedure of

establishing a banking company under the Companies Law was set aside and the bank was

established through the circulation of an Ordinance, due to the crises situation that had

developed with regard to financing of jute trade. The bank’s Karachi and Lahore offices were

subsequently opened in December 1949. The National bank of Pakistan came forward to

establish its offices in the Cotton growing areas and extended credit facilities liberally in order

to restore stability to the market. In 1951, the country was once again faced a crisis in the

cotton trade when prices were crashed. The National bank of Pakistan has its headquarters in

Karachi. The bank operates 1249 branches in Pakistan and 22 overseas branches. The National

bank of Pakistan has assets worth Rupees 737976.44 million on September 30, 2008.

National bank of Pakistan has implemented special credit schemes like small finance for

agriculture, business and industries, administrator to Qarz-e-Hasna loans to students, self-

employment scheme for unemployed persons, public transport scheme. The bank has

expanded its range of products and services to include Shariah Compliant Islamic Banking

products. For the promotion of literature, NBP recently initiated the Annual Awards for

excellence in literature.

More recently it has started Electronic Home Remittances project. The project introduces

technology based system to handle inward remittances efficiently, by ensuring that the bank’s
branches keep a track of the remittance received from abroad till its final receipt. The precise

summary of National bank of Pakistan regarding its countrywide is as follows:

• 1950 NBP established a branch in Jeddah, Saudi Arabia.

• The bank in 1950 had one subsidiary “The bank of Bahawalpur” on December 04, 1947

by the former Bahawalpur State.

• 1955 by this time NBP had branches in London and Calcutta.

• 1957 NBP established a branch in Baghdad, Iraq.

• 1965 the Indian government seized the Calcutta branch on the outbreak of hostilities

between India and Pakistan.

• 1974 the government of Pakistan nationalized NBP. As part of the concomitant

• Consolidation of the banking sector, NBP acquired bank of Bahawalpur.

1994 NBP amalgamated Mehran bank

2.2 Management

An Executive Board composed of six Senior Executives of the Bank and the President who is also

the Chief Executive supervises the affairs and business of the Bank.

2.3 Board of Directors

The supreme governing body of the National Bank of Pakistan is the Board of Directors.

Government’s representatives, Pakistan Banking Council nominee, nominee of corporate Sector

and three members from the National Bank of Pakistan are the summary of the board. The

members of the board are

Mr. Qamar Hussain Chairman& President

Mr. Tariq Karman Directors

Mrs. Haniya Shahid Naseem Director

Mr. Aftab Anwar Baloch Director

Mr. Shahid Aziz Siddiqi Director

Mr. Zahid Hussain Director

Syed Muhammad Ali Zaman EVP, Secretary Board of Directors

2.4 Senior Management of National Bank of Pakistan

• Qamar Hussain

President

• Dr. Asif A. Brohi

SEVP, Chief Operating Officer & Group Chief, Commercial & Retail Banking Group; Chairman of

the Board, NBP Exchange Company & NBP Capital

• Shahid Anwar Khan

SEVP & Group Chief, Credit Management Group

• Ziaullah Khan

SEVP & Group Chief Assets Recovery Group and Divisional Head, Islamic Banking Division
• Dr. Mirza Abrar Baig

SEVP & Group Chief, Training & Organization Development Group

• Nausherwan Adil

SEVP & Group Chief, Operations Group

• Tariq Jamali

SEVP & Group Chief, Compliance Group

• Nadeem A. Ilyas

SEVP & Group Chief, Corporate & Investment Banking Group & PSO to President

• Muhammad Nusrat Vohra

SEVP & Group Chief, Treasury Management Group

• Khalid Bin Shaheen

SEVP & Group Chief, Global Home Remittance Management Group

• Imam BakhshBaloch

SEVP & Group Chief, Audit & Inspection Group

• Asif Hassan

SEVP & Group Chief, Small and Medium Assets Recovery Group

• M. Rafiq Bengali

SEVP & Group Chief, Overseas Banking Group and RCE Americas Region
• Zubair Ahmed

SEVP & Group Chief, Logistics & Engineering Group

• Tahira Raza

SEVP & Group Cheif, Risk Management Group

• Sheharyar Qaisrani

EVP & Divisional Head Agriculture Business Division, C&RB Group.

• Muhammad Hassan Khaskheli

EVP & Divisional Head, Personnel & Industrial Relations Division, HRM&A Group

• Qamar Hussain

EVP & Divisional Head, Human Resources Division, HRM&A Group

• Aamir Sattar

EVP & Financial Controller, Financial Control Division

• Raza Mohsin Qizilbash

EVP & Head, Legal Division

• Mahmood Siddique

EVP & CIO, IT Division

• S.M. Ali Zamin

• Khalid Bin Shaheen

SEVP & Group Chief, Global Home Remittance Management Group

• Imam BakhshBaloch

SEVP & Group Chief, Audit & Inspection Group

• Asif Hassan

SEVP & Group Chief, Small and Medium Assets Recovery Group

• M. Rafiq Bengali

SEVP & Group Chief, Overseas Banking Group and RCE Americas Region

• Zubair Ahmed

SEVP & Group Chief, Logistics & Engineering Group

• Tahira Raza

SEVP & Group Cheif, Risk Management Group

• Sheharyar Qaisrani

EVP & Divisional Head Agriculture Business Division, C&RB Group

• Muhammad Hassan Khaskheli

EVP & Divisional Head, Personnel & Industrial Relations Division, HRM&A Group

• Qamar Hussain

EVP & Divisional Head, Human Resources Division, HRM&A Group

• Aamir Sattar

EVP & Financial Controller, Financial Control Division

• Raza Mohsin Qizilbash

EVP & Head, Legal Division

• Mahmood Siddique

EVP & CIO, IT Division

2.5 Services performed by national bank of Pakistan

The services and departmentalization of NBP. Services are outputs of the firm/organization,

which are in intangible form & which are the backbones of any

organization to earn profit. NBP offers the following services to the people.

• Demand drafts

• short / long term investments

• agriculture finance

• corporate finance

• cash management service

• advance salary load

• student loan scheme

• Pension payments
 • Utility bill collections

• Business loans

2.6 CORE VALUES

RESPECT

We respect our customers’ needs, beliefs and values, working towards their benefits

SERVICES

Our main focus will be on providing superior service quality through diversification and

development

INTEGRITY

We will not compromise on integrity-zero tolerance for corruption and believe in doing the

right thing

PEOPLE

We will continue to value our people and will reward performance

EXCELLENCE

We will continue to strive for excellence in all that we do

2.7 Website

www.nbp.pk.com

Organizational chart
2.8 NBP chatter Domel Branch Muzaffarabad AJK

The present view of the branch is given below;

Branch name Chatter Domel Branch Muzaffarabad

Branch Code 1464

Manager Abdul Wajid Abasi

Operational manager Imtiaz Kazmi

Tehsil & District Muzaffarabad Azad Kashmir

Status Online

It is considered as most active and productive branch so for the efficiency and business

relations are concerned. By realizing this fact, the management has included this branch on its

important system. The bank is currently operating with an excellent deposit base and the more

efficient staff category which are the back bone in improving the branch’s performance and

upgrading of its exchange department to increase the bank’s contacts with major customers

like shops situated within the area while the branch is headed by an AVP guiding to different

functions operating within the branch and sub operation manager taking the responsibility of

staff efficiency working in all the departments.

The branch is completely equipped with modern furniture, technology and has pleasant

internal atmosphere which really attract the customers to get easy feel during their dealing

with the bank especially in rush hours.

2.9 Departments at NBP Chatter Domel Branch Muzaffarabad

The departments functioning in NBP where I did my training are:

• Accounts department

• Cash department

• Remittance department

• Advances department

• Clearing department

• Ratio Analysis

Ratio Analysis enables the business owner/manager to spot trends in a business and to compare

its performance and condition with the average performance of similar businesses in the same

industry. To do this compare your ratios with the average of businesses similar to yours and

compare your own ratios for several successive years, watching especially for any unfavorable

trends that may be starting. Ratio analysis may provide the all-important early warning

indications that allow you to solve your business problems before your business is destroyed by

them.

Ratio means “one number expressed in term of another a ratio is statistical yardstick by mean of

which relationship between two or various figures can be compared or measured. Here we are

going to explain the ratio analysis of NBP (1464) which is little bit different from other

organizations.

Profitability Ratios
Profitability means “Measure of the ability of business to generate returns for the business or for

the owner” or “Overall effectiveness of the management is known as profitability”

Here we will calculate Solvency ratios of NBP to evaluate its financial position. To calculate this

ratios, we needed these items Operating profit, net profit, operating fixed assets, total assets,

total investments with in business, operating fixed assets.

2.10 PERFORMANCE of NBP

2.10.1 Performance of NBP civil secretariat Branch Muzaffarabad

The NBP Muzaffarabad Branch is located at the famous place of Muzaffarabad City. It is the

location, which is the center for all people of Muzaffarabad surrounding areas. The branch is

analyzed form the point of view of marketing, finance, human resource, and operations.

• Marketing Opportunity

• Location of the Branch

The NBP Bank is located at a perfect location of Muzaffarabad, which is the entrance to

Muzaffarabad and everyone entering to Muzaffarabad can see the bank easily. Anyone can

easily find the Bank and it is not in a street or as such. The location and the bank as well is a

famous place in Muzaffarabad. The bank has enough area for car parking.

• Promotion

The NBP Bank has a wide and attractive signboard and banners in the main chock and

other areas, which are easily visible from a far distance. While entering to Muzaffarabad, The
NBP’s huge signboard of approximately 8x8 ft is available at the start. Even if someone catches

a glimpse of it, he/ she will necessarily develop a good image of the branch administration.

• Customer’s Follow-Up

The intense competition in modern times among banks to develop new customers has

made it necessary to follow up potential as well as the old customers. Personal contacts play a

vital role in customer’s development especially in the banking industry. In comparison to other

banks in Muzaffarabad NBP Bank Muzaffarabad Branch seems to feel complacent with the

present number and quality of accounts. The managers and employees of other banks

frequently pay visits to customers at their shops, offices or homes. This activity is rarely done at

NBP. The perfect location and marketing efforts of the bank are playing positive roles in the

branch success.

2.10.3 Human Resource

• Lack of Good Informal Relations

The branch employees interact strictly according to the formal structure of their jobs

and duties. There are no informal groups enjoying good relations. If one of the staff members is

overload with work, other members of the staff don’t share the work burden with him. The

tendency to say “this is not my job” or “I have a lot of work to do” strongly exist at each level.

• Reluctance of officers to become Managers

It has been observed that grads ii and grade I officers shirk to assume the responsibility of

becoming branch managers. The reason behind it is the poor reward system. There is no
proportionate increase in financial or other rewards when an officer is given increased

responsibilities.

2.10.4 Operations

• Building of the Branch

In proportion to the number of accounts, the size of the branch’s building is normal.

Especially the problem gets worsened at Monday after the holiday of Sunday or at the start of

the months when large number of customers come to the branch to withdraw their salaries.

The seating accommodation available at the branch is insufficient. Only five to six persons can

have a seat while waiting for withdrawal of money or processing of TT or DD. There is no

sufficient space for customers to stand in queue for withdrawal or deposit of money. All these

cause sever embarrassment to the customers.

• No Equal time for all customers

When the banking hours are off and the transactions are closed, no customers can do

transactions with the bank but the customers which have some relations with the bank staff or

having sound deposits can do transaction even after a long time of closing the bank

transactions.

Type of Deposit Position as on Position as on

31-12-2014 31-12-2018

No of all account 75 8526

(current A/C) 4526 5000

 2000

(saving A/C) 900 2500

(Business Partner Account) 100 126

(Deposit Receipts A/C) 400

• ANALYSIS

SWOT analysis is kind of tool that is used to analyze an organizations’ performance in relation

to its environment external or internal opportunities and threats. Strengths, Weaknesses,

Opportunities and Threats analysis is an important tool used by most of the companies in order

finds out the position of the company. The strengths of the company show the areas where it is

strong, weaknesses are the areas where the company is weak and is exposed to risk.

Opportunities are the areas where the company can go and avail the untouched or high return

giving portions. Threats are the risks from the competitors as well as from other sources.

Strategy analysis and selection of the best alternative is of critical importance and prime

responsibility for an organizations management. The management has to go through extensive

internal and external analysis to determine their organizations performance in relation to their

mission and objectives.

NBP is a strong in all aspects if we observe the financial statements and the general ratings. But

still there are particular areas where the bank is either weak or is exposed to certain risk. The

SWOT analysis of NBP is as follows: –

2.11.1 Strengths:

• Official customer + their deposit.

• ii. Relative more deposit –vs– Private Bank.

• iii. 75% Nationalized Bank.

• iv. Longest player of local money¬.

• v. New products of NBP.

• vi. Different types of awards.

2.11.2 Weaknesses:

i. Bureaucratic culture.

ii. Lack of Modern IT system.

iii. Less trained workers.

iv. Poor performance system.

v. Less employee’s participation in decision making

vi. Poor physically environment

• Huge customer’s complaints

• viii. ATM issues as it is often out of order

• ix. Less online branches

• x. Lack of marketing strategy/promotion.

2.11.2 Opportunity:

• Support of technology, use of modern technology

• ii. Due to Huge deposit and reputation chance to attract more investors.

• iii. Textile sector. because due to good reputation NBP has the opportunity to gain

textile clients.

• iv. International investment or joint venture with any leading bank

• New branches in international level

• vi. More Online branches

• vii. Producing high value products and schemes

2.11.4 Threats:

• Superiority of private bank.

• Government roles and regulation

• iii. Country economic condition

• iv. Political pressure

• v. Entry of new private banks

• vi. High external & domestic debt. vii

2.12 Competitive analysis of NBP

The company’s competitive analysis begins by focusing the overall industry in which a firm

competes before market segment or sector level issues are considered. For the competitive

analysis of NBP I have chosen the famous porter’s five forces analysis.

2.12.1 Porter’s FIVE FORCES MODEL

• Competitive Rivalry

It is very commanding force amongst the company and its competitors. A strategy followed by a

company is successful to an extent it gives to its competitive advantage to its opponents. The

strategy could be providing best service, or reducing the price against its competitor’s price as

far as NBP is concerned it is charging very low fee on DDs, transfer by telegraphy, and by post

transfer it is also giving many added facilities to the clients and to the country as it states it is a

nation’s Bank

• Threat from new entrants

When new businesses can simply come in the particular market the number of competitor

increases and so is the competition. As far as banking is concerned this industry is previously

very much located in Pakistan. There are many banks that provide high quality service at a very

low fee. So there isn’t any risk to National Bank of Pakistan from possible new entrance. NBP as

well a community sector bank and there is no chance of being taken over by any new bank.

• Threat from substitutes

The substitute threat is the 3rd factor that can affect the competitions. It means there could be

some other services that can be an alternative of the product/ service of the company. In
banking sector for example they offer saving schemes, but the general post offices in Pakistan

are also providing this service so there is an alternative of the service. The banks should beat

their offer of saving in order to take control of the market.

Another example could be the Automated Teller Machines which are a substitute of presenting

cheques at the cash counters in banks. ATM saves the time but NBP is lacking in this ground. It

should look up in this field to compete its rival.

• Bargaining Power of Suppliers

The strength of competition is affected by the bargaining influence of the suppliers particularly

when you have a great number of contractors. If you are a bank your suppliers are your

customers who supply you money. So as a bank you should offer them quality services, peace

of mind, gain their trust at an affordable fee. B/C offer superior services to the customers. B/C

charges less on transfer of funds. As a result there is a competition between B/Cs and banks.

• Bargaining Power of Consumers

When clients are strong or in big numbers, or the buy in huge quantity, their purchase influence

signifies a key force affecting strength of opposition. Keeping that fact in mind we see that

banks have a large number of customers in Pakistan and banks are offering different products

to their customers. NBP as well have a big number of clients. So it should offer superior services

and good products to its clients to draw their attention to NBP.

2.13 PEST ANALYSIS

PEST analysis is a study of the huge outside environment of the company. It is helpful for

realising the Political, Economical, Social & Technological surroundings that accompany works

in. This analysis can be used for measuring market development or slump, to check where you

business lays in the market.

2.13.1 Political

• Impact of economic science striking and NCB’s

• Denationalization strategy of the authorities and SBP’s deregulating

• Work patterns, Unions and affiliations

• Governmental obstructions and torment

• Commotions of high tax on banking business

2.13.2 Economical

• Restraints in mobilization of civic investments due to inflation

• Staff pays and other costs

• Operating expense is higher due to manual dealing

• Rising of debts

2.13.3 Social & Cultural

• Unsatisfactory HR

• Ethnical strain to investments

 • Going down educational and employment morals

• Poor liability

• Debtor lobby

• Satisfactory empowerment

2.13.4 Technological

• Poor communication base

• Inadequate I.T services

• Insufficient I.T training

• Lack of information technology tools

Analysis

Current account, saving and all these account increase by as compare to previous year. For this
analysis we can say that 2010 a/c position is better to 2009.

Advances

Advance Deposit Position as on Position as on

31-12-2014 31-12-2018

80.000 Million 100.00 Million

Analysis

The position of advance is the better of 2009 all type of advance like small business loan,
agricultural financing, car financing is the better to previous year.

Deposit

Deposit Position as on Position as on

31-12-2014 31-12-2014

1000.00 Million 15000.00 Million

Analysis

The position of deposit is the better of 2009. In this year we firm can coolest 746.00 Million
deposit.

No of Staff Position

Staff Position as on Position as on

31-12-2014 31-12-2018

20 22

Analysis
 • The position of staff is increase by the process of the work…. in 2018 our staff position is

very low now 2020 is better to compare of 2018.

2.14 Departments in National Bank civil secretariat Branch

Following departments are working in NBP civil secretariat branch

• Foreign Exchange

• Import and Export

• Credit and Advances

• Remittances and Deposits

• Accounts

• Computer

• Government

• Consumer retailing

• Foreign exchange is an important department in bank system. In the foreign

exchange department all the operations of the bank are done in the same way as

in all other departments of the bank this department also involve in deposits,

remittances and advances but the difference with other department that the

foreign exchange department deals in foreign currency rather then in local

currency. For opening of account in foreign exchange, the minimum balance

required is $100.This department is just like Cash Department in local currency.

In this department, the dealing is made in foreign currency.

In National Bank of Pakistan, four currency accounts are available:

• US Dollar

• Pound Sterling

• Japanese Yen

• Euro

Chapter: 03

JOB DESCRIPTION & ITS ANALYSIS

3.1 Brief Introduction of branch

I did my Internship at NBP Chatter Domel Branch is well managed, well-furnished and has an

attractive building.

3.2 Starting and Ending Date of Internship

3.3 Number of employees

The number of employees in the NBP Chatter Domel Branch is 12 including bank manager.

These are

• Manager of the branch

• Operational manager
 • Computer operator

• Credit officer

• Security guard

• Peon

3.4 Detail of job description and position

My job description as an internee at the NBP Chatter Domel Branch Muzaffarabad

• Voucher making

• Ledger posting

• Account opening

3.5 My Job

During my internship in NBP Chatter Domel Branch Muzaffarabad, I did following activities as an

internee.

3.5.1 Vouchers Handling

First of all as an internee in the bank slips, examination forms, challan forms are filled. This was

initial experience for me as an internee at the bank which gives me a lot of confidence and

courage for further proceeds.

3.5.2 Account Opening

• Terms and conditions:

• Necessitates two things

• 1) National id

• 2) Introducer

3.5.2.1 Customer

• Customer is someone who moves toward with the purpose of opening the

account.

• Introducer is an individual having the account in same branch and gives

guarantee about the customer. If the introducer is not proper than state bank

charges RS 5000/- per head from that employee of the bank who has opened

the account of the customer on the request of the introducer.

First, the customer is required to fill an application form. Then he attaches the

photocopy of his identity card and fills the signatory cards. Then he is allotted an account

number by entering in the account opening register. Now he fills the pay-in slip and deposits

money on the counter.

Following things are needed for opening of account:

• Account opening form

• Signature card

• Letter of kinship
 • Letter of thanks

• Issuances of cheque book

3.5.2.2 Account Opening Form

Account opening form consist of

• Category of account

• Currency

• Title of account

• Account number

• Customer information

• Initial deposit

• Authorized person in case of customer death

3.5.2.3 Signature Card

The signature card included the name and specimen signature of the customer

3.5.2.4 Issuance of Cheque Book

Cheque book is issued to the customer after transfer the letter of thanks when the customer

comes with the latter of thanks and requests for the issuance of the cheque book. A cheque

book (generally having 25 leaves) is issued to the customer.

3.6 Closing of Accounts

The customer can close the account. The customer is required to submit an application

for closing the account. The account is closed out, his balance is paid to him after deducting the

closing charges, i.e. $ 20, and the application is filed in account closing file.

There Are Many Reasons For Closing Of Account

• Account holder Owen request

• Death of account holder

• Closing of account due to the bad manners of account holder

3.7 Ledger posting

During my internship period I concentrated on the work of posting the transaction in the

ledger. I make ledger of installment and markup of loans which are Gold loan ledger, poultry

loan, agriculture loan etc.

3.8 Advisory service

During my internship in the NBP I provide advisory service to the customer for the different

loans. Like Gold loan Commercial loan, Agriculture loan.

3.9 Analysis of activities performed

During internship I learned so many things, especially the exposure to professional world was

great. First of all, I came to know that how banks work and where our banking industry is

moving. NBP gave me an opportunity to learn many things as follows;

I learnt how to maintain accounts by depositing money and cheques.

I learnt how to deal with customer.

I learnt how remittance section works with its entire feature.

I learnt about general banking including all products and services of NBP.

I support the employees of the branch by sharing the work and reduced the work burden on

them.
3.10 Branch Organogram

Chapter: 04

FINDINGS & RECOMMENDATIONS

4.1 Findings

During my internship at NBP Chatter Domel Branch, I conclude the following things

• Improper guidance system

I conclude that here is no proper guidance system for general public who want to be a

customer of the bank. The customers are also not properly guided about the new banking

systems. I saw some customers who don’t know that how to fill a cheque.

• Less use of computer

I also conclude that in NBP Chatter Domel Branch a lot of manual work is done by the

employees. It may cause the loss of time and energy.

• Less staff

In NBP Chatter Domel Branch the number of employees are less if compare to the work. A lot of

work is assigned to a single employee cause an extra burden.

• Human Resource Department

In NBP Chatter Domel branch, there is no proper HR department. The absence of this

department causes problem for manager operations. He has to deal this department

himself. Building of NBP Chatter Domel Branch.

I conclude that here the building of NBP is not enough. There is no proper place for customers

to sit and wait for their number.

• Improper Electricity System

The electricity system of NBP Chatter Domel Branch Muzaffarabad is not well. As the branch is

online so the work is only be done in the presence of electricity. A lot of time is consumed when

the electricity has gone during the work.

4.2 RECOMMENDATIONS

I recommend the following points;

• Proper Planning

Bank should make a plan to gear up its recovery efforts on war footing and reorganize the

recovery function of global bases. In addition, bank should tighten up control on expenditure.

• Proper Use Of Computers

To save the time of customers and other client’s bank should adopt computerized system for

book keeping and other filling systems. It will increase the efficiency of the bank.
• Proper Guidance

Bank should adopt such an induction plan that when a customer opens his account with the

bank, he should be supplied with a booklet which enables him to know the procedure of filling

the checque and pay-in-slip etc. it will save a lot of time of the bank staff afterward during of

the conduct of the account of that customer.

• Division Of Work

The billing system of bank must be improved to facilitate the customers and workers. The work

should be divided among the staff e.g. collection of bills, countering of cash and entry of these.

• Reward System

The performance reward linkage should be made strong as it is said, “A happy employee

delivers more than he receives from the organization.” The NBP should try to make its

employees happier.
 References

• www.nbp.com.pk

• www.google.com

• www.ibp.org.pk

• www.sbp.org.pk

• www.bancaditalia.org.

• www.bankcodecompliance.org

• www.banktech.com

• www.pakistaneconomist.com

• www.wikipedia.org.com.

• www.businessfinance.com.
 • www.finananalysis.com.

• www.principlesofaccounting.com.

Bibliography

1. National Bank of Pakistan Retrieved from http://www.nbp.com.pk/AboutUs/BOD.aspx (Date 6

June 2012)

2. National Bank of Pakistan (2011, 2012) Annual Report.

3. AsrarH.Siddiqui. (1998). Practice & Law of Banking in Pakistan. Karachi; Decent Print enterprises.

4. Rose Peters. (1991). Commercial Bank Management. Boston: Donnelley & son Company.

5. Khalid Cheema. (1991). “Business Law”. Lahore: West Park Publishing Co.
6. Block, Stanley B and Hirt Geoffrey A (1994). “Foundations Of Financial Management” 7th edition

USA: Michael W Junior, p121-148

7. Van Horne, Jame C. (2001) “Financial Management & Policy”.11th Edition Upper Saddle Nj:

Prentice Hall.

8. M. NasirSaeed. (2003) “Money Banking & Finance”.Abid Printing Press Faisalabad

9. Operational Manual of NBP Bank