Professional Documents
Culture Documents
INTRODUCTION TO REPORT
This study has been conducted as a result of an internship assignment. Internship
is considered an integral part of BBA (HONS) (Finance) courses in NUML Peshawar
Campus. The students are given the opportunity to spend at least 8 weeks in an
organization to get exposure in the real organizational lifestyle.
The basic aim of this internship program is the practical application of the background
knowledge, to observe the working condition of different departments, and also
application of their managerial skills in real organizational life. The collected
informations placed into a report, based on any of the aspects as financial, marketing,
human resource etc.
To fulfill this academic requirement and being a student of BBA (HONS) (Finance), I did
my internship in National Bank of Akora Khattak Branch. National bank of Pakistan is
one of the leading and first government banks In Pakistan, NBP was established in Nov,
1949.
There are certain characteristics, which set NBP apart from other nationalized
commercial banks. These characteristics are the reasons of the development of NBP. The
most important characteristic of NBP is that, it works, as an agent to the State Bank,
Where State Bank does not have a branch of its own. The NBP also acts as a trustee to
the National Investment Trust (NIT), which is one of the premier financial institutions of
the country. It is given the responsibility of mobilizing small savings. The establishment
of NBP thus signaled the achievement of another milestone in the development of the
banking industry in Pakistan.
4. RESEARCH METHODOLOGY
The study conducted deals with both managerial and financial aspects of the
Bank. The following two sources have been used for the collection of information.
4.1 PRIMARY SOURCES
1
Personal observations
Customer trends.
Briefing by manager
Reference books.
Annual reports.
4.3 LIMITATIONS:
1
Due to the bank's busy schedule, complete information was not provided.
5.
The sequence of the report if followed with four parts. Each part defines its
contents, systematically:
Contains the introduction to the study conducted. Giving the purpose and
methodology for the study undertaken
Carries the review of the entire NATIONAL BANK OF PAKISTAN, its history
and basic objective, for which it is working.
Describes the organizational structure of the NBP and its departments and their
functions in detail.
Gives out the analysis taking its all aspects and defining their policies stating the
critical recommendations based on the SWOT analysis, and finally deals with
conclusion.
CHAPTER-2
INTRODUCTION TO NBP
NBP is providing all types of banking services of mercantile and commercial banking
permitted in the country, which includes:
1
Providing services under a Trust Deed as Trustee to the National Investment Trust
(NIT) including safe custody of securities on behalf of NIT.
Accepting of deposits of money against current, saving, term deposit and profit
and loss sharing accounts.
Carrying on agency business of any description other than being agent on behalf
of clients including Government and local authorities.
contribution toward building up of a developing nation. The NBP also helps to promote
the establishment of new companies by underwriting their shares. The bank also
contributes towards the earning of foreign exchange though its foreign exchange business
in Pakistan and abroad.
MISSION
To be recognized in the market place by institutionalizing a merit and performance
culture, creating a powerful and distinctive brand identity. Achieving top tier
financial performance, and adopting and living out our core values.
VISION
To be the pre-eminent financial institution in Pakistan and achieve market
recognition both in the quality and delivery of services as well as the range of product
offering.
OBJECTIVES
The aim is to channelize the private savings and public funds for investment Purpose.
To enhance the economic operational developments and other financial sectors of
Pakistan.
To extend loans on easy grounds and to help boost the unorganized sectors of
economy as to reduce the rate of recession in such sectors.
To provide sufficient customer services and quality service and provide surety of
Full Corporation to their satisfaction.
NBP aims to build a strong customer relationship, by providing superior service
and to have such relations based on mutual benefit.
As being a commercial bank it aims to have high profits and sounds growth rate.
NBP AIMS
1
Gathering its employees and working together as a team to bring the future bright
altogether.
Going into Retail Banking, the bank circles to innovate and bring new and
compatible products to its customers.
For high quality performance the bank aims at rewards and appreciation.
The bank recognizes the value and creditability of its customers and bases their
decisions on merit.
MANAGERIAL OBJECTIVES:
To provide the shareholders the greatest possible equity ratio.
Controlling the staff at highest managerial criteria and selecting them of a
standard caliber.
To gain the confidence of the customers and satisfy the staff to reduce the
opportunity cost.
To take the staff as a team, in taking decisions related to management, working
environment, and providing facilities to get things done at ease,
To facilitate the departments to operate under full supervision and control.
REFERENCES
1. Siddiqui, Asrar. H. (1998). Practice and Law of Banking in Pakistan. Karachi: Decent
Print Enterprises.15-17.
2. Nasir, M. Saeed. (2000). Money and Banking. Pakistan Kitab Markaz.105-106.
3. NBP, BBI. (1997-1998) National Institute of Banking and Finance. RHQ Peshawar.1.
4.
www.janggroup.com
5. www.nbp.com.pk
6. National Bank of Pakistan (2006- 2008) Annual Report, Karachi.
CHAPTER-3
ORGANIZATIONAL STRUCTURE
Organizational structure is the framework that defines the boundaries of the formal
organization and with which the organization operates. A suitable organizational structure
for the nature of the organization leads to better performance.
The organizational structure of the bank constitutes a board of directors and an executive
committee as the governing bodies. The National Bank of Pakistan (NBP) has 1189
branches all over the country, 16 overseas branches & 4 subsidiaries. The head office is
operationally in charge of central affairs including the delegation of power and authority
to the regional headquarters all over the country. These regional headquarters direct the
function of the 12 corporate branches. The NBP has 29 regions (circles) in four provinces
as given below:
Table of NBP Provincial Headquarters & No. of Regions
Provincial Headquarters
Sindh
Baluchistan
Punjab
NWFP
Azad Kashmir
Total
No Of Regions
6
2
14
5
2
29
Source: www.nbp.pk
3.1
HEAD OFFICE
The NBP has its own organizational structure and its Head Office is situated at Karachi.
All branches, regional offices and corporate branches work according to the rules and
regulations issued by the Head Office from time to time. The Head Office of National
Bank of Pakistan, which is primarily responsible for making policies and execution of
policy decision include,
a)
Board of Directors
b)
Executive Committee
c)
The Head Office has nine divisions, which are further divided into different wings. It is
operationally in charge of central affairs including the delegation of powers and authority
to the 29 Regional Headquarters all over the country. These Regional Headquarters direct
the functions of the twelve corporate branches.
3.2
BOARD OF DIRECTORS
The Board of Directors nominates the executive committee, which nominates
divisional heads. It consists of president, six directors working under president and
one Secretary. President is the governing body and other six directors and one
Secretary Work with him in a systematic way.
The Board of Directors of National Bank of Pakistan NBP has one President and six
members as given below:
Representative of government
Outsiders
Total
1
1
7
3.3
EXECUTIVE COMMITTEE
Executive Committee consists of one President and nine members and among these nine
members, one member perform functions of both member and Secretary. Board of
Directors nominates executive committee and executive committee nominates the
divisional heads. NBP has an executive committee with President as its chairman; five
SEVPs are its members and presidents advisor as an observer. This body monitors the
day-to-day affairs of the entire bank and has sanctioning authority for financial and
business proposals.
3.4
DIVISIONAL CHIEFS
In order to improve the management and operation of a bank, it has been split up into a
number of divisions. Each division of a bank is placed under the supervision and control
of Divisional Chief or Senior Executive Vice President (SEVP) or Executive Vice
President (EVP). The Head Office management controls all the divisions. The nine
divisions of NBP are as follows:
1
3.5
PROVINCIAL CHIEFS
In order to improve the performance of the banking system, each bank has
Provincial Chief who has the power for sanctioning finance and other credit
facilities. The head quarters of the chiefs are situated in Lahore, Karachi, Peshawar
and Quetta. The National Bank has 29 regions (circles) in four provinces and Azad
Kashmir.
3.6
REGIONS OF NBP
On May 13, 2000 a circular was issued in which zones were abolished and the whole
country and Azad Kashmir was divided into 29 regions. The changeover process started
from 1st August 2000 and was completed by 31st August 2000. The new setup was made
fully functional by 15th September.
Regional Management Committee
A regional management committee controls all regions. Regional management consists of
1
Compliance Chief
3.1
Region
Karachi South
Federal Capital
Rawalpindi
Faisalabad
Peshawar
Multan
Sialkot
Abbotabad
Mardan
Quetta
Bhawalpur
Dera Ismail Khan
Muzaffarabad A.K.
Larkana
Gilgit
S.No.
2
4
6
8
10
12
14
16
18
20
22
24
26
28
****
CORPORATE BRANCHES
Region
Karachi Central
Karachi West
Lahore East
Gujranwala
Mirpur A.K.
Gujrat
Hyderabad
Sargodha
Jhelum
Sahiwaal
Dera Ghazi Khan
Jhang
Sakkhar
Gawadar
****
Corporate branches play an important role in the setup of National Bank of Pakistan, to
serve the businessmen and the corporate sector of Pakistan. There are twelve corporate
branches, present in the following cities.
TABLE 3.4
City
Karachi
Lahore
Islamabad
Rawalpindi
Quetta
Peshawar
Mirpur (AJK)
Faisalabad
Total
OVERSEAS BRANCHES
1.2
Country
USA
Germany
Egypt
Korea
Bangladesh
Hong Kong
S.No.
2
4
6
8
10
11
Country
France
United Kingdom
Peoples Republic Of China
Africa & Middle East Region
Central Asia States
Afghanistan
3.3
This branch shifted to its new building in the year 2000. It is located in the commercial
heart of Peshawar. Its main customer is Government of Pakistan. It is also called Main
branch Peshawar. Its a large branch and has been serving both civil and military
personnel. All the cheques drawn on or by the bank are pooled here and then taken to
SBP for clearance. Its one of the most profitable branches of NBP in Peshawar.
3.3.1 Set up
1
Keeping in view the size of the branch the Operation manager will take direct
responsibilities for some of the operation functions depending on the nature of
activities in the branch and will act as Compliance officer also.
The Operations area would comprise of Cash Counter Services and Customer
Services.
The branch manager with the relationship officer(s), (if required) will concentrate and
Operations manager will report directly to the regional chief operations with dotted
line reporting to the branch manager.
Review of reports.
DIVISIONS OF NBP
National Bank at its Head office operates the following divisions.
1. Human Resource Division.
2. Finance Division.
3. Audit Division,
4. International Division.
5. Credit Division.
6. Electronic Technology Division.
7. Treasury Division.
8. System & Operation Division.
9. Investment Product Unit.
10. Asset Product Unit.
1.
responsible for human resource management, including recruitment, staff training and
evaluation.
2.
Audit Division:
The division performs the overall screening of the functions formed during the
year. Different conflicts are sorted out and are solved according to law.
3.
International Division:
Dealing with matter regarding international track, like the imports and exports.
4.
Treasury Division:
Responsible for managing bank's liquidity and foreign exchange transactions, the
treasury is one of the markets. Through repo transactions, purchase of Government paper
and foreign exchange trading, the Division adds sustainability to Bank's sustained
earnings.
5.
Credit Division:
Deal in the recovery of loans from public. Regular checks and balances in the
advancement of loans.
6.
banking. Technology development and its enhancement is the basic function of the
division. Computer networking is to be arranged dealing with the financial transactions
and other matters.
7.
for various operating requirements of the bank. The division is active in providing
equipment procurement support and development of new branches. The protection of
fixed assets of the bank is also managed by this division, as a direct junction.
9
Finance Division:
Finance Division is Responsible for book-keeping and maintaining proper record
of all financial activities, this division at the head office, prepares all financial returns and
the MIS through its Management Reporting wing. This division directly reports to the
President and Chief Executive of the bank, it has been instrumental in preparing business
plans and strategies.
10.
schemes. With the launch of Personal finance and Askar (auto loans), this unit is
emerging as a significant contributor to the Bank's loan growth.
7.1
7.1.1
CASH DEPARTMENT
Cash department mainly deal with receipt and payment of cash. Thus in this
department there are basically two main functions:
(i)
CASH RECEIPT:
Cash that comes into the bank is recorded on a credit cash voucher. The contra for
this voucher is cash. This cash is recorded on the credit side of the cashier Long Book.
The cash voucher is filled by the client himself. The officer dealing with the client then
signs it and then stamps it; the cash is then credited to the account of the client by the
ledger keeper officer.
In case the cash is received to make an adjustment that is Demand Draft, Pay
Order and so forth, the officer will receive cash and make a credit voucher of the said
amount. The officer will also make the required instrument whose counter folio is given
to the customer.
(ii) CASH PAYMENT:
When a person comes with a cheques or claim on the bank through any
instrument, the Bank will honor his claims. Withdrawals from the A/c or other payments
are recorded in the cash payment register by the cashier, before making genuineness of
the payment. After the closing of the normal banking transaction the cash is balanced and
stored in the strong room.
Yesterday's Cash + Today's receiptstoday's payment = cash in hand.
(a) CHEQUE:
Under the definition of cheques as "a written order of a depositor upon the bank to
pay to or the orders of a designated party or to a bearer, a specified sum of money on
demands."
Types of Cheques:
The cash department has to deal in various kinds of cheques referred in after
knowing their functions these cheques are then handled as:
(i) OPEN CHEQUES:
Cheques which are paid across the counter in cash. These are of two types;
(ii)
Bearer Cheques:
Here the order is that the payment can be made to the person carrying the
cheques. It is that the stated sum of money is paid to the bearer and is thus called bearer
cheques.
(iii)
Order Cheques:
The cheques take into account those orders, in the name of which the order has
been placed. Thus such cheques are restricted to that particular person in favor of whom,
the cheques has been drawn in. This cheques is paid after the full satisfaction about the
identity of the payee. This is done either by the confirmation through signatures and
thumbprints or through the ID card.
(iv)
Crossed Cheques:
The other form of cheques is the crossed cheques. It is done through drawing two
parallel lines across the face of the cheques, with or without words Co or A/c payee only,
it is called a crossed cheques. The payment on this cheques is make through account and
not through counter of the drawer bank. In fact it is deposited in the account of the person
in whose order or favor of whom it is drawn in.
b)
1.
2.
3.
c)
Cheque's Validity:
2.
3.
Orders of the Cheque are straight & clear and in proper form.
4.
5.
6.
7.
8.
9.
Invalidity of Cheque:
2.
3.
4.
Defect in title.
5.
Insufficient funds.
6.
Signature differs.
7.
8.
9.
10.
Exceed arrangements.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
Opening of an account
Closing of an account
Lockers.
7.3
opening an account at a bank a person becomes a "customer" of the bank. The important
documents required in order to open an account in NBP are:
i. Account Opening form
ii. Signature Specimen Card.
iii. Introducer
iv. Deposit Slip.
But before filling all these forms it is necessary for a prudent banker to check the
following things:
7.4
INTRODUCTION OF CUSTOMER
To know that the person is a desirable customer for the bank is very important.
Negligence may cause serious problems not only for the banker but the bank too.
Investigation is necessary for the following reasons:
I.
To avoid frauds:
If a bank is negligent he may enable dishonest persons to use the Cheque books
for frauds. If this person gets away with being a bankrupt the banker is held responsible
for it.
II.
misreading the balance and honors a Cheque for an amount larger than the balance or
simply by the crediting of another customers account by mistake. So, in such situation
only a trust worthy and respectable customer can realize and point out the mistake
himself to the banker.
III.
Negligence:
A banker has to make sure he is not negligent in any case otherwise he may be
Inquires:
It is necessary for a banker to respond to inquiries from other banks about his
7.5
SPECIMEN SIGNATURES
The specimen signatures of a customer are taken on a card called "specimen
Card". The banker will keep this card in the files and only honor the customer' cheques
having the same signatures. The customer has to write his full name and account number.
In case the banker is doubtful about the signatures he can return the cheque with
the remark "signature difference".
"Vernacular form" is a form filled by customers who have the following
characteristics;
1
Shaky signature.
present the Cheque themselves for collection. A bank must obtain 2 or 3 passport size
photographs of the customer. One is attached to the account opening form and the other
copies are attached to the specimen signature cards. Incase a thumb impression is needed
for illiterate customers then the banker must make sure that the left hand thumb
impression is for males and the right hand thumb impression is for females. These
impressions are not only for the specimen cards but for the account opening form too, but
a banker must attest them.
7.6
MARRIED/PARDANASH1N WOMEN:
A married woman is allowed to open an account. But the only thing that has to be
taken care of is that in case the married women requests for a loan, she must provide only
her own property as security not her husband to inquire about his wives balance in the
account or vice versa. Incase of pardanashin women, she is allowed to open an account as
long as she can sign with her thumb impression. Incase difference occurs in verification
she has to give her photographs. If she is reluctant to give her photographs, then the
bankers usually suggests opening a joint account for them.
7.7
MINOR ACCOUNT:
A minor is a person below the age of "18" years. Such customers are allowed to
open an account to inculcate the habit of saving. It is necessary that the account is opened
in the name of the minor and a guardian. A minor attains majority at the age of 21 but can
only operate the account until and unless the guardian specifies. In case the minor wants
to enter a partnership, he will be allowed but will not be liable for any debts. If he
withdraws from the partnership contract within 6 months after attained majority then he
is liable as a full partner for all the debts. After considering all these points, the banker
may proceed by helping the desirable customer in filling the form.
7.8
profession, telephone No., NIC No. Nationality, Address, currency of account, initial
deposit etc. The person who introduced the customer must also sign the account opening
form. The bank in return sends a "a letter of thanks" to the introducer. One copy of the
letter is attached to the account opening form while the other is sent to the introducer. An
introducer is usually a banker or one old reliable customer of the bank. There is a list of
types of accounts, which the customer ticks according to his requirements. The list is as
follow:
7.9
7.9.1
Current Account
Saving deposits or profit and loss sharing (PLS) are those accounts on which bank offers
a relatively lower rates of interest. PLS saving account can be opened with an initial
deposit of not less than Rs. 500.
PLS Saving Account may be opened in the name of an individual or jointly in the
name of two or more persons. Charitable institutions, companies, Associations,
Societies, Educational institutions, firms etc, may also open these accounts.
Minors and illiterates are also eligible for opening saving accounts. However
illiterate customer must present themselves in person for withdrawals. The bank
determines the rate of profit or loss on PLS saving account.
7.9.3
These are the deposits than can be withdrawn after a certain specified period of time. The
period of time varies from three months to five years. On these deposits return/interest
varies with the duration for which the amount is kept with the bank. The rate of
interest/return on term deposit is higher than that of a saving deposit. Its interest/return is
unaffected for the duration of the deposit irrespective of market fluctuations.
Term deposit is best suited for short-term investment. Individuals as well as joint account
an be opened by sole proprietorships, partnerships, joint stock companies, limited
companies, clubs/associations/trusts, administration, executors etc. Profit is paid at the
maturity of deposit. On these deposits premature withdrawal is permitted but against a
reduced rate of interest as agreed at the time of deposit.
7.9.4
Finance Facility
Bank also extends finance facility to clients against saving and fixed term deposits on
comparatively low markup rate. The deposit is kept under lien, however the customer
may withdraw the profit amount credited to his account
7.11
Deposits
7.12
Withdrawals
Withdrawals from the account can be made only by means of cheques supplied by the
bank. Cheques should be signed according to the specimen signature. The drawer under
his full signature must authenticate any alteration in the instrument.
The account number and Cheque number appearing on Cheque agree with the
information appearing in the computerized record of the bank for that account holder.
Those instruments which do not fulfill the above criteria are resumed and the right ones
are debited to their particular account.
8.1.
Transfer Cheque:
It is a settlement of a transaction between the two accounts of the same branch i.
CR.
Depositor's Account.
Clearing:
As collection of payments on behalf of their customers direct from the counters of
the drawee bank is quite cumbersome, risky and costly such proceeds are, therefore
collected through the Mechanism of "Clearing House." The Procedure presenting a
cheque as other instrument for payment by the payee's bank to the drawer's bank through
the Clearing House is called ""Clearing."
All local scheduled banks including those created by charter of the Govt. are
members of the local Clearing House, which functions under the supervision of the SBP
as NBP where branch of SBP does not exist.
8.4.
PROVIDING LOCKERS
Another function of the deposit department is allotting lockers to the customers.
CHARGES PA
1000
1500
2500
REFUNDABLE
500
500
500
The person who is eligible for having a locker is an account holder having a
minimum balance of Rs. 10,000/- in his account. When the account holder doesn't want
to use the locker, he can simply return the key and the money is then refunded. Actually
there are two keys.
i).
Master Key
ii).
Customer Key
The locker first opens by the master key then by the customer's key only. Its own
account holder can operate the locker or some body authorized by the account holder. For
this a form and a card have to be filled.
8.5.
Outward Bills for Collection (OBC) Inward Bills- for Collection (IBC).
Demand Draft.
Telegraphic Transfer.
Pay Orders.
Pay Slips.
Crossed Cheques.
8.5.1. OBC
Outward Bills for Collection is a facility provided by nbp to customer under
which certain cheques drawn on other banks are received by the national Bank on behalf
of customer and are sent to the other branch of the bank along with an OBC schedule
where they are presented in clearing and after realization of cheque the bank will credit
that particular customer account while debiting the bank on which the particular cheque
was drawn.
These are drawn on government departments etc. This deposit is a bank guarantee on
behalf of the depositor. No cheque book is issued in this case only bank receipt is given.
8.5.7
CROSSED CHEQUES
Cheques whose payment is not to be made on counter. For Crossed Cheques, two
Parallel lines are drawn on the face of the Cheque. And the payment is to be made
through account. The following persons as under take the Crossing of the cheque.
i. The drawer of a cheque can cross the cheque.
ii. In case of an open cheque, any holder of it can cross the cheque generally or
special one or add "Non Negotiable".
iii. Only the drawer withdraws crossing.
8.6.
ADVANCES DEPARTMENT
Bank is a profit seeking institution. It attracts surplus balances from the customers at a
low rate of profit and makes advances/finances to individual and business firms at higher
rate of mark-up.
Advances and financing in banking business refers to provision (supply) of money on
credit and it is the most important function of a bank. The bank tries to channelize the
funds into profitable ventures to make profit. Advancing loans is the most risky process
as well and bank exercises utmost care while advancing loans to its customer.
Another function of this department is to make correspondence with Head Office,
Regional Office and other Officials.
8.6.1. RUNNING FINANCE
Running finance is usually provided on working capital. The running finance facility
given by NBP to its customers is only for short period. Interest/markup is charged yearly.
At the end of the year, the customer is required to renew the limit. These are secured
loans and are provided against personal security and against hypothecation or collateral
mortgage. These securities reduces the risk of loss, therefore it is a safe investment.
PERSONAL LOANS
Customers whose salary account is maintained by bank are eligible for this type of loan.
It is up to three basic salaries of employees of government organization. The objective of
this type of loan is to improve the life style of customers.
At NBP Advance is given after hundred percent backup guarantees. The types of
securities, which are accepted by the bank, are:
1. Government Bonds and Saving Certificate.
2. Cash deposits at the same bank.
3. Pledge of stock.
8.8.
Before advance salary account was introduced by NBP, one important mode of financing
was the project financing in which there was a great deal of risk involved for the non-
performing of loans. (The risk of un-collection was not diversified). While at the same
time the salaried class was ignored too. As a result the advance salary introduced by NBP
in mid 2000 with a wide range purpose and all branches were granted with adequate
discretionary powers.
Advance salary is a modified form of running finance. It initially offered three months
advance salary to salaried class customers of any govt., non-govt. or a registered firm
with 11% markup rate per month. Advance salary account is receiving a handsome
response from existing and potential customers because of its simple procedure and
feasible nature.
Keeping in view the demand of advance salary the number of months has now been
increased to 10 months.
A potential customer of advance salary account has to bring and attach in following
documents with specified application form.
1
Copy of NIC.
8.9.
GOLD FINANCE
National Bank of Pakistan also provides loans against gold to meet the domestic needs of
general public.
Gold Finance is provided against two personal guarantees. The loans sanction limit is up
to Rs. 5000. The bank keeps 25% margin as safety with itself. The loan is to be paid in
lump sum within one year time period.
8.10.
14. Office note for approval with detailed terms and conditions.
15. Sanction advice (acceptance of terms and conditions by the borrower).
Against mortgage of Property Including Fixed Assets of Industry for Industry only
REFERENCES
2. Interview with O.G-2 Advances Department NBP Nodeh Branch Toru Mardan
3. Nasir, M. Saeed. (1998). Banking Currency and Finance. Pakistan Kitab
4. Markaz 34.
5. Interview with OG-3 NBP Nodeh Branch Toru Mardan.
6. Nasir, M. Saeed. (2000). Money and Banking. Pakistan Kitab Markaz.137-138.
7. Kid, Well, David, Peterson, Richard and Blackwell. (1993). Financial Institutions,
Market and Money. USA: The Dyden Press Harcourt Brace Jovanovich College
Publisher.345.
CHAPTER 4
FOREIGN EXCHANGE DEPARTMENT
In modern banking system, Foreign Exchange department plays very important role from
every aspect. It is parallel banking to the general banking with additional functions of
imports and exports business. Foreign exchange is controlled by State Bank of Pakistan.
Rules and regulations are framed by SBP. NBP also carries the international banking
through its Foreign Exchange Department. All the transactions are carried at the rate
authorized by SBP. For this purpose US dollar has been fixed by SBP and the rate of
other currencies are calculated in accordance with the formula approved by SBP and as
published daily by Foreign Exchange Rate Committee in Karachi. NBP Head Office
ensures that the branches receive the rates published by Foreign exchange rate Committee
on the same day.
The Foreign Exchange Department provides the following services;
1
5.1.
NBP as an authorized commercial bank offers the facility of Foreign Currency Account in
four currencies, which are US Dollars, Japanese Yen, German Mark, and UK Pound
Sterling. Top management of NBP has authorized a few selected branches for dealing in
foreign currency accounts.
The foreign currency account facility by NBP is available both for Pakistani Citizens and
foreigners. The procedure for opening foreign currency account is similar to opening of
local currency accounts, except that in case of foreigners, the bank requires photo copy of
Current Account
Saving Account
5.2.
The currency of one country is legal tender only in the same country and not in other
countries. So what should the businessmen do while doing international business. To
overcome such difficulty of businessmen the business is done through Foreign Exchange.
The importer will need the currency of the exporting country. The international business
is carried out by transferring credit from debtors country to the creditors country.
Foreign remittances can be done in the following ways:
1
Telegraphic Transfer(T.T)
5.3.
Now-a-days Export and Import business is very risky. The importer wants surety of the
good to be delivered to his prescribed destination; while exporters want surety of the
money to be sent to his prescribed bank. So, with a view to overcome such difficulties a
system of L/C is designed. Various banking companies are involved in the business
through L/C. NBP has also a very extensive system of business through L/C.
The opening of L/C is a very complicated activity requiring vigilance and bankers
shrewdness. Normally, in the preparation of L/C the following banks are involved.
It is the bank, which opens L/C and then sends to the country from where imports are to
be made. The issuing bank may send this L/C to one of its branch if present there, if not,
then to some other bank located in the exporters country
5.3.2
Advising Bank
This bank informs the exporter that an L/C has been received and also acts as an agent of
the exporter.
5.3.3 Negotiating Bank
Negotiating bank carries out the negotiation with the importer on behalf of the exporter. It
may or may or may not be the advising bank. The various credentials related to L/C are
settled as per agreed terms of L/C.
5.4.
TYPES OF L/C
This kind of L/C can be cancelled by the bank or by the request of the importer. In this
kind of L/C the chances of cancellation are at every moment. So it is not dealt widely and
the importance of this L/C is very little.
5.4.4.
This kind of L/C is issued for foreign payments. They could not be cancelled until the
given conditions are not broken. So with this kind of L/C the exporter has the guarantee
of payment.
5.4.5.
Those drafts or L/C, the amount of which is when paid once then it comes to an end, are
called fixed letter of credit.
5.4.6.
This kind of L/C can be used for more than one time, e.g. if one L/C is of rupees 20 lack
and the exporter provides the goods in installments, it has exported the goods worth
rupees 10 lack. The remaining goods worth rupees 10 lacks have to be exported. And if
he (exporter) pays rupees 10 lacks to the issuer (bank) so the L/C of rupees 20 lack can be
renewed.
5.4.7.
When we enclose important documents with the L/C then it becomes a documentary L/C,
i.e. insurance, invoice, post or draft, clearing certificates, etc
5.5.
For buying any commodity from foreign country the buyer will reach the seller (exporter)
for the purchase of particular commodity of goods. After the preliminary settling of
agreement between the two parties, the importer will then apply to his bank for the
issuance of an L/C. The bank then asks the Importer to fill the L/C application form. This
form contains all the details discussed and agreed upon by the two parties.
Besides containing information like description of merchandize, port of shipment and
unloading, it also mention the documents necessary for the honoring of draft drawn upon
Insurance Certificate
5.1
FOREIGN REMITTANCES
To facilitate its customers in the area of Home Remittances, National Bank of Pakistan
has taken a number of measures to:
a. Increase home remittances through the banking system.
b. Meet the SBP directives/ instructions for timely and prompt delivery of
remittances to the beneficiary.
Zero Tariffs
NBP now offers excellent rates of profit on all its short term investment accounts.
Whether you are looking to invest for 3 months or 1 year, NBPs rates of profit are
extremely attractive, along with the security and service only NBP can provide.
5.2.1. AGRICULTURE FINANCE
Agriculture Finance
NBP provides Agriculture Finance to solidify faith, commitment and pride of farmers
who provide some of the best agriculture products in the world.
Wells.
Farm power.
Fencing.
Solar energy.
Farm Credit
NBP also provides the following subsidized with the range of 3 months to 1 year on a
renewal basis.
NBP KISAN DOST
Loans available for the farmers for production, development purposes, for purchases
of tractors, for installation of tube wells, for purchase of agricultural Implements,
micro loans, for godown construction, for construction of fish pond, for live stock
farming, for milk processing, for cold storage, bio- gas plants etc.
Loans available against agricultural passbooks, gold ornaments and paper security.
NBP SAIBAN
1
Finance available for home purchase, home construction and home improvement.
Limited to areas where there are no documentation, fee, resale and foreclosure related
issues, so to protect the banks interest.
5.3.
INTERNATIONAL BANKING
National Bank of Pakistan is all the fore front of international banking in Pakistan which
is proven by the fact that NBP has its branches in all of the major financial capitals of the
world.
REFERENCES
1.
Interviews with Mr. Jehangir khan, Mr. Baseer, and Mr. Tariq, Incharge
and assistants, Foreign Exchange department NBP.
2.
3.
Ibid, 35.
5.
www.nbp.net.com/pk
6.
www.nbp.ceo.com/pk
CHAPTER -5
CRITICAL ANALYSIS OF NBP
The critical analysis is about the National Bank of Pakistan Akora Khattak Branch
beside some of the good aspect of the branch, there are some reactive sides which are to
be given consideration in their first priority. There is some points which were noticed
during the internship period.
6.1 Professional Training
Most of the employees of the NBP Akora Khattak Branch are not properly trained. They
do not have the required background to properly conduct the operation of the bank. Many
of the employees have background which is completely irrelative to the banking
profession. They do not know about the modern technology just like a computer and
dont know how to use it properly. Although staff training colleges are working in all
major cities but they are not performing well. For this purpose these staff colleges should
be reorganized and their syllabus should be made in such a way to help the employees
understand the ever changing.
6.2 The Transfer Criteria
The transfer criteria and policies really want amendment. Some of the staff members are
there in the branch for more then 5 years where as on the other hand some of them are
always in rotation. Therefore, those who are permanently working they have no fear and
they dont work properly and those who are always in transition they are not interested in
working hard because they had to leave the seat and had to transfer to another place with
net work. So there are not such fixed rules for an employee transfer. Ultimately the bank
has to suffer losses. The transfer means when a person is shifted from one place to
another, transfer are not properly carried out. Some of the employees are continuously
serving at the same post. They are simply rotated at the same branch. Therefore, it is
recommended that evenly rotation of every employee should take place after three years
in different branches of the bank.
Unavailability of the computerized system has made difficult to operate accounts for the
customers. Cashing of the cheques takes too much time of the bank and the customers. It
is a new technique for quick operation and to increase the numbers of account holders.
6.4 Wrong Decision of the Government
In past the every department funds would be sent to their own department but now
salaries of the Education and Health department is paid to the teachers, doctors and lady
health workers through banks. For receiving their salaries all of the employees of that
department come to the bank, which is out of the control for the bank management. Even
the ladies and the elders have to wait for hours. And now the utility bills are also received
over there, which is also an essential load for the bank.
6.5 Dress Code
Most of the employees come to the bank in a very casual dress. This shows their least
care about their bank reputation and image, which gives a bad impression to the
customers.
FINANCIAL ANALYSIS
1.1
LIQUIDITY RATIOS
Liquidity ratios are used to judge a firms ability to meet short term obligations. It shows
the cash solvency of a firm and its ability to remain solvent in the event of adversities.
1.1.1
CURRENT RATIO
This ratio shows a firm ability to cover its short- term liabilities through short term assets.
The three year comparison of NBP is given below:
YEARS
CURRENT RATIO
Current Assets / Current
CURRENT RATIO
2006
2007
2008
Liabilities
365588 / 332090
382889 / 348165
279983543 / 417558742
1.10
1.10
0.67
CURRENT RATIO
2009
2008.5
2008
2007.5
CURRENT RATIO
2007
2006.5
YEARS
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION
The current ratio for the financial year 2006 is just in line with the financial year 2007. It
remained the same for both the years. It tells that for every Rupee 1 current liability it has
1.10 rupees, which covers through current assets. However in 2008, it decreased to .67, as
its mostly receivables are not collected.
1.1.2
A more conservative measure of liquidity is the acid quick ratio. This ratio is same as
current ratio except it excludes inventories and prepayments presumably the least liquid
portion of current assets. The ratio concentrates primarily on the more liquid current
assets, cash, marketable securities, receivables and advances.
YEARS
ACIDQUICK RATIO
2006
2007
2008
Current Liabilities
365588 18091/ 332090
382889 12746 / 348165
279983543 10254 / 417558742
1.05
1.06
0.67
ACIDQUICK RATIO
YEARS
2006.5
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The Acid Quick Ratio for the financial year 2006 has slightly improved from 1.05 to 1.06
in the year 20002. The ratio in 2008 is lesser because of the excessive prepayments. The
reason for the improvement of the ratio in the next year is the less prepayment.
YEARS
2006
2007
2008
CASH RATIO
0.25
0.18
0.14
CASH RATIO
2008.5
2008
2007.5
2007
CASH RATIO
2006.5
YEARS
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The three year comparison shows the smaller cash ratio in 2006, it is clear that probably
NBP carried less cash in 2007 as compared to 2008.
1.1.4
Operating cash flow to current liability ratio compares cash flow to current liabilities of a
firm and indicates the funds flow per unit of current liability.
OPERATING CASH FLOW TO CURRENT LIABILITIES RATIO
YEARS
Operating cash flow /
CURRENT RATIO
2006
2007
2008
Current Liabilities
6799 / 332090
42661 / 348165
14633962 / 417558742
0.2
0.12
0.035
2006.5
YEARS
2006
2005.5
2005
2004.5
2007
2006
2008
INTERPRETATION:
NBP has improved its operating cash flow to current liability ratio. The increase is
attributed to the operating cash flows, which has increased more then 6 times.
1.2
ACTIVITY RATIOS
Activity Ratios are also known as efficiency or turnover ratio it measures how effectively
the firm is using its assets.
1.2.1 RECEIAVABLES TURNOVER / ADVANCES TURNOVER
Receivables turnover or Advances turnover provides insight into the quality of the firm
receivables or advances and how successful the firm is in its collection.
YEARS
2006
2007
2008
0.22
0.19
0.12
Receivable Turnover
2006.5
YEARS
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The bank has better Advances turnover ratio in the year 2008 compared to the year 2006
and better in 2007 as well.
1.2.2 DEPOSITS TURNOVER RATIO
This ratio compares the Markup expense that the bank pays on deposits to the deposits of
the bank.
YEARS
2006
2007
2008
0.053
0.040
0.017
Deposit Turnover
2006.5
YEARS
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The DTO for the year 2000 has declined. It is 0.04 and 0.05 for the year 2007 and 2006
respectively. It shows that for each rupees deposit by the customer it pays 0.06 as interest
expense. In 2008 it is 0.017, which shows the lower interest.
1.2.3
Generally the total assets turnover measures the activity of the assets and the ability of
the firm to generate sales through the use of the asset.
YEARS
2006
2007
2008
1.78
1.13
0.705
TST
YEARS
2006.5
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The Assets efficiency of the NBP has reduced for the year 2008 to 1.13% compared to
2006 which was 1.78%. In other words we can say that each dollar investment in total
assets produces 6 cents as markup. The decline in ratio is mainly because of decrease in
Total Markup / Interest Earned amount in 2008. .
1.2.4
Sometimes it is needed to find the efficiency of fixed assets to generate interest revenue
or sales. Fixed assets turnover is a tool to find how efficiency one the firms fixed assets
to produce Markup / Interest revenue.
YEARS
2006
2007
2008
0.09
0.15
0.07
2006.5
YEARS
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The three year comparison of fixed asset turnover for NBP shows that the ratio has
increased for the year 2007. The decrease in total amount of Markup / Interest Earned and
increase in fixed assets has brought this ratio down. However it decreases in 2008;
increase in fixed assets and markup cause this.
1.3
PROFITABILITY RATIOS
This is the conservative method of sales profitability. This ratio gives a measure of Net
Income in dollars generated by each dollar of sales.
YEARS
2006
2007
2008
2006.5
YEARS
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
The bank has considerably improved the Net Profit Margin. In 2007 it was earning 10
paisa per rupee markup while previous year 2006 comparisons show 4 cents per dollar
markup or return. And a 7% increase in 2008.
1.3.2 GROSS PROFIT MARGIN
This ratio shows the profit of the firm relative to the sales. It is a measure of efficiency of
the firms operations as well as an indication of how product or services of the firm are
provided.
YEARS
GPM
Expense / Markup or
2006
2007
2008
Interest Earned
18877247 / 31290584
14698507 / 27126839
6735579 / 19452317
0.60
0.54
0.34
GPM
YEARS
2006
2007
2008
INTERPRETATION:
NBP bas a better Gross Profit Margin for the year 2006 compared to the year 2007. It
shows that NBP has become more effective in producing the services reasonably above
cost and charging for them. While in 2008 it again decreases thats shows its good sign.
1.3.4
RETURN ON INVESTMENT
The return on the Investment measures the firms ability to utilize its assets to create
profits by comparing profits with the assets that generate the profits from du pont
approach.
YEARS
2006
2007
2008
RETURN ON INVESTMENT
Net Profit Margin * Total
ROI
Asset Turnover
0.64 * 1.78
0.14* 1.13
0.213* 0.705
1.139
0.158
0.150
RETURN ON INVESTMENTS
2005.5
2005
2004.5
2004
2003.5
2003
2002.5
2002
2001.5
ROI
YEARS
2003
2005
2004
INTERPRETATION:
NBP shows a low ROI in the year 2008 compares to the year 2006 &2007. Its ROI has
decreased from, in the year 2007, 0.158 to .15 in 2008. The assets turnover though
reduced; still the improvement in NBP will bring this ratio up.
1.3.5
RETURN ON EQUITY
This ratio compares Net Profit after Taxes to the equity that the share holders have
invested in the firm. A high return on equity reflects the firm acceptance of strong
investment opportunities and effective expense management.
YEARS
2006
2007
2008
ROE
1361.3
225.7
272.2
ROE
2000
YEARS
1500
1000
500
0
2006
2007
2008
INTERPRETATION:
It is clear from the above ratio comparison that the ROE ratio for the year 2008 has
increased to 272.2 from 225 in the year 2007. There is a decrease in equity multiplier and
asset turnover but still the improvement in Net Profit Margin in the year 2008 has
favorable effect on ROE ratio.
1.3.6
The firm compares the advances to deposits and sees the comparisons of different years
YEARS
2006
2007
2008
Equals
2007.5
YEARS
2007
2006.5
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
It shows that in 2008 there is an increase both in the deposits as well as in the advances,
which shows a good sign for the bank. Although it is decrease as compare to 2006.
1.3.7
The firm compares the investments to deposits and sees the comparisons of different
years.
YEARS
2006
2007
2008
Equals
YEARS
2006.5
2006
2005.5
2005
2004.5
2006
2007
2008
INTERPRETATION:
It shows that bank has done a good investment that increases its total in 2008, as compare
to 2007 & 2006. Its a good sign for the bank; more cash is generated in this way.
1.3.8
EQUITY MULTIPLIER
Equity multiplier compares the assets of the firm to the share holder equity.
YEARS
2006
2007
2008
EQUITY MUTIPLIER
Total Assets / Equity
17510437 / 11958673
23936263 / 14279303
27584014 / 18133897
Equity Multiplier
0.96
0.16
1.52
EQUITY MUTIPLIER
2007
2006
2005
Equity Multiplier
2004
YEARS
2003
2002
2001
2003
2004
2005
INTERPRETATION:
The equity multiplier has also been reduced from in the year 2000. The main factor here
again is that the amount of equity has considerably increased. But increase in the year
2000, with increase both in the assets and equity.
FIVE YEAR PERFORMANCE AT A GLANCE
Years
1998
1999
2000
2006
2007
2008
(Rs. In millions)
Total Assets Deposits
Advances
325,057
350,406
371,636
415,089
432,803
471,860
273,391
294,754
316,493
349,617
362,866
395,568
109,524
122,559
140,318
170,319
140,547
160,990
Investments
Shareholder
102,969
91,486
72,609
71,759
143,525
166,196
Equity
9,978
10,358
11,378
11,959
14,279
18,134
Total Assets
RS. in m illions
500000
400000
300000
Total Assets
200000
Years
100000
0
1 2 3 4 5 6
Years
DEPOSITS
Rs. in m illions
450000
400000
350000
300000
250000
Deposits
200000
150000
Years
100000
50000
0
1 2 3 4 5 6
YEARS
Rs in millions
ADVANCES
200000
150000
Advances
100000
Years
50000
0
1
YEARS
Rs. in m illions
Investments
200000
150000
Investments
100000
Years
50000
0
1
Years
Rs. in millions
Shareholder Equity
Years
Years
(Rs. In millions )
Years
Number ob
Number of
Profit
Branches
Employees
2003
2,135
530
1,434
15,785
2004
520
31
1,431
15,541
2005
1,032
461
1,428
15,351
2006
3,016
1,149
1,245
15,163
2007
6,045
2,253
1,204
12,195
2008
9,009
4,198
1199
13272
FINANCIAL HIGHLIGHTS
Rs. In Millions
Authorized Capital
5,000
Paid up Capital
4,130
27,584
Deposits
395,568
Advances Net
160,990
Investment Net
166,196
Total Assets
471,860
Pre-Tax Profit
9,009
After-Tax Profit
4,198
No. of Branches
1199
No. Of Employees
13272
Source:
1.1 STRENGTHS
1
Professional confidence.
1.2 WEAKNESSES
1
NBP has a good staff combination on the basis of experience, but their training
capabilities are not up to the requirements of the fast changing banking
environment.
The customers relations of the NBP staff are much weaker as compared to other
private banks.
Most of the staff is from families with strong political background so it is very
difficult to remove them or punish their negative behavior.
The technical training of the staff is negligible e.g. in case of absence of the
computer operator there is no alternate trained person who can record the daily
transactions.
The discretionary powers of manager are very low to offer more incentives and
value added services to its customers. There is a lack of commitment and
professionalism on part of the employees. The staff is always in a hurry to leave
the bank as soon as possible. They were also observed to be starting their
operations comparatively late. The organizational culture is not cooperative and
friendly. Nepotism was observed on part of the manager as well as the top
management towards some staff members.
The level of technology management in the branch is very low. The technology
available is not maintained well mainly because of the lack of technically trained
staff. In spite of the presence of technology many jobs are done manually such as
the letters, fax messages and other calculations, which could be easily, done in
MS Word and MS Excel.
10 The job distribution is not up to the mark. The immediate result of this is
inefficiency and delay in work. The filing system is not up-to-date.
11 Much time is wasted while searching for even a week old document.
12 The staff spends more time in collections than required. The bank collections are
usually late because of the non-availability of staff.
13 No efforts are made to recover the outstanding debts. There is no facility for
complaints and suggestions.
14 Customers coming to the Bank for TTs, TCs etc. are not received with open
hearts and thus deprive the bank of revenues.
15 There is a lack of functional and proper research and development, which could
scan the micro and macro environmental data for future planning and strategy.
16 Financial audits are conducted but operational audits have not received proper
attention as much as it should get.
17 There is no procedure, which could encourage the middle and lower level
management to initiate creativity.
18 The lack of professional bodies is a major weakness.
19 Instructions are not conveyed systematically but rather than casual manner.
1.3
OPPORTUNITIES
1
Privatization of NBP.
There is a good opportunity to utilize the skill of educated young talent for the
enhancement of business.
Advance is the main area, which has a tremendous potential in the share of profit.
This area can be profitable for the organization.
Wide range of products and product line can enhance the business.
Leasing business.
Hiring the new BBA (HONS)s, new talent which can control the administrative
expenses.
1.4 THREATS
1
The biggest threat to the operational success is the better competitors services.
Many private sector banks are offering higher rates of return to customers than
NBP.
The banks in the neighborhood of NBP have become online e.g. Union Bank,
Habib Bank, Muslim Commercial Bank and Standard Chartered Bank, while it
lacks this.
One of the biggest threats to the NBP is the increasing rate of dissatisfied
customers. Most of these customers were observed to be dissatisfied with the
delays in their services.
Political pressure.
REFERENCES
1. Van Horne, James C. (1995). Financial Management and Policy.
2. Pandey, M.I. Financial Management. Ahmedabad: Vikas Publishing
House.
3. Van, Horne, James. C. (1998) Fundamentals of Financial Management.
USA: Prentice Hall Inc.126.
CHAPTER -7
FINDINGS AND RECOMMENDATIONS
There is always a better way of doing things so some of recommendations suggested for
the bank in accordance to the critical analysis.
7.1
Academically staff is quite qualified but most of the staff lacks professional qualification
i.e. they should do diploma in banking. It will help them a lot in banking and also in their
promotions. The cost of diploma in banking is low. It has three stages and the cost per
stage is - Rs.2, 000.
7.2
Proper training should be given to the staff of the branch. Staff college people should
come and train the staff because some times it is difficult for staff to visit Staff Collage
Peshawar to get the required training. The cost estimates for the Staff College employees
to come to the branch and give them training will be like Rs.1, 000 per Staff College
Employee for one day. So if two people come for two days after six months then the cost
will be Rs.8, 000 per year, which is negligible.
7.4
Some times high rank officers come and want themselves to be given priority. In these
cases bank should strictly follow the rule of first come first serve. This will maintain the
trust of other customers that they are not neglected just because they have no rank.
7.5
The branch must maintain the secrecy of its customers account especially when the bank
is asked on telephone to tell about the financial standing and balance in the account.
7.6
Bank should utilize its deposits by extending gold loans and all other kind of loans to
attract the potential customers to utilize their full capacity. This will increase their
business circle, and will increase profits by decreasing per unit costs.
7.7
The staff of the NBP Akora Khattak Branch, especially the lower staff is found very
much demotivated. They are dissatisfied with the performance appraisal system of the
bank. They also complain about the nepotism of the upper management. The Branch
manager should establish a systematic and efficient appraisal system to over come the
demotivation and dissatisfaction of the employees.
7.8
CUSTOMER ORIENTATION
Every leading organization considers its customers as the kings. So the bank manager
needs to keep in close contact with the existing and the potential customers. He should
inform them about new products of the bank. The customers should be asked about the
banks services from time to time. And the deficiencies pointed out by the customers
should be removed. The customer and staff relationship should be made mild, soft,
courteous, cooperative, and caring, which is not like this in NBP now a days, as
compared to other private banks.
7.9
DECISION OF GOVERNMENT
The government is sending the salaries of some of the departments of the NBP, which
creates a lot of rush and voice in the bank, at the end of each month the NBP should have
to appeal to the government to retake this order and send their salaries to each department
independently. The NBP is getting nothing out of it except disaster in the bank.
7.9 DRESS CODE
Dress takes a great role in presenting somebodys personality. Especially for bankers,
dress code should come in a very formal dress and thus they can show their customers
about their seriousness towards work.
BIBLIOGRAPHY
Harold, Koontz and Heiz Weihrich (1984). Management. McGraw hill, 8th
edition.
http://www.nbp.com.pk
Kid, Well, David, Peterson, Richard and Black Well. (1993). Financial Institution,
Markets and Money. USA the Dyden Press Harcourt Brace Jovanovich College
Publisher.
Nasir, M. Saeed. (1998). Banking Currency and Finance. Pakistan Kitab Markaz.
16 Rue, Leslie. W and Lloyd L. Byers. (1992). Management. Boston: Donnelley and
Sons Company.
17 Siddiqi, Asrar. H. (1998). Practice and Law of Banking in Pakistan.
Decent Print Enterprises.
18 www.nbp.com.pk
19 www.sbp.org.com
20 www.janggroup.com
Karachi: