Internship Proposal

On
Loans and Advances Operation of Sonali Bank Limited:
A Study on Mohammadpur Bazar Branch.

Date of Submission: 15th July, 2014

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Students Signature

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Supervisors Signature

Loans and Advances Operation of Sonali Bank Limited:

A Study on Mohammadpur Bazar Branch.

Supervised By
Nazim Uddin
Lecturer in Accounting
Department of Business Administration
Northern University Bangladesh

Submitted To
Department of Business Administration
Northern University Bangladesh

Submitted By
Arif Hosen
ID: BBA 110103987
Major in Accounting
Arif3987@gmail.com
Department of Business Administration
Northern University Bangladesh

July 15, 2014

Coordinator
Internship & Placement Committee
Faculty of Business Administration
Northern University Bangladesh
Subject: Submission of the Internship Proposal
Dear Sir,
With due respect, I delighted to have the opportunity to submit the Report Proposal on Loans
and Advances Operation of Sonali Bank Limited: A Study on Mohammadpur Bazar
Branch. This is prepared as per the mandatory requirement of internship in the BBA program of
Northern University Bangladesh.
This assignment helped me in understanding the Loans and Advances operation of Sonali Bank
Ltd.The topic is interesting, that encourage me to put my effort to training and development on
Loans and Advances operation of Sonali Bank Ltd, Mohammadpur Bazar Branch. I expect that
this experience during my internship will help me in my future career path.
I have devoted my best efforts to make the report up to performance level; it will be a great
honor for me if you require me to explain any sort or query.

Sincerely Yours

(Arif Hosen )

ID: BBA 110103987

Loans and Advances Operation of Sonali Bank Limited: A Study on

Mohammadpur Bazar Branch.
1. Topic Identification
(a)Problem Statement
By far the largest assets item of a bank is loans which generally half to almost three quarters of
the total value of all bank assets. In various times Government exempt loan. For this the loanee
becomes very reluctant to repay in this sense that in future he will set loan exempt. Resulting
loan classification and poor recovery. In various times Government exempt loan. For this the
loanee becomes very reluctant to repay in this sense that in future he will set loan exempt.
Resulting loan classification and poor recovery. It should be described to the borrower about the
rule of loans interest. By this the borrower will know that if we do not repay then it will
increased geometrically.

(b)Introduction
The granting of advances is one of the most important functions of a bank and a Banks strength
depends considerably on the quality of its advances and the proportion they bear to the total
deposit.Bank is service as well as profit oriented organization. So, making of loans and advances
have always been prominent and profitable function of a bank.Sanctioning Credit to customers
and others out of the funds at its disposal is one of the Principle services of a modern Bank.
Advances made in Sonali Bank Limited in different natures, such as, Cash Credits (CC),
Overdrafts, Small loans, Demand Loans, Bills purchased & discounted, House building Loans
and Staff Loans etc. Sonali Bank Limited deals with the money from the depositors repayable on
demand. So, it cant afford to lend their funds for long periods.

2. Objectives
(a)Background:
This report will be prepared to complete the partial fulfillment of the BBA Degree.

(b) Main Objective:

The main objective of the report is to assess the Loans and Advances Operation of Sonali Bank
Limited of Mohammadpur Bazar Branch.

(c)The Supporting Objectives are as follows:

To gather information related to the strengths and weaknesses of the Bank and as well as
the branch.

To suggest a better ways of enhancing the performance of the Bank.

To accomplish the partial requisite of BBA program and to achieve good judgment with

theoretical base.
Understand the real management situation and try to suggest for improving existing

problems.
To acquire knowledge about the everyday banking operation of Sonali Bank Limited.
To make myself more confident and active in future to finger my job.

3. Significance of the study:

This study is intended for providing me invaluable knowledge about banking operating system in
Bangladesh.To Know about Central bank requirements for the commercial banks on
Loans and Advances. To identify the problems related to Loans and Advances Operation of
Sonali Bank Limited Mohammadpur Bazar Branch.To find out the internal system & actual
General banking, Loan and Advances process of SBL

4. Research Methodology:
(a) Topic Research:
This study is based on Loans and Advances Operation of Sonali Bank Limited and it is
descriptive and analytical research. To perform this study, data sources will be identified and
collected. This report is mainly based on primary and secondary data, which I will collect from
various sources. The secondary sources will mainly use to collect the data and information about
the Sonali Bank Limited.

Primary data:

Direct interview of Client.

Study of relevant file.

Observe daily activities regularly.

Oral and informal interview of officers and employees in Sonali Bank and personal
observation.

Practical work experience.

Secondary Data:

Relevant file study as provided by the concerned officer.

Different Circulars issued by the Head Office and Bangladesh Bank.

Different Procedure Manual published by Sonali Bank Limited.

Annual Reports of Sonali Bank Limited.

Publications obtained from different libraries and from internet.

Official records of Sonali Bank Limited.

Manuals of investment of Sonali Bank Limited.

Different textbooks & materials.

Website of Sonali Bank Limited.

(b)Data analysis:
Analysis of data is a process of inspecting, cleaning transforming, and modeling
data with the goal of highlighting useful information, suggesting conclusions,
and supporting decision making.

Techniques:
Data-collection techniques allow us to systematically collect information about
our objects of study (people, objects, phenomena) and about the settings in
which they occur. In the collection of data we have to be systematic. If data are
collected haphazardly, it will be difficult to answer our research questions in a
conclusive way. However, Ive used some Accounting techniques to analyze the
data. Those are:
Trends Analysis.
Ratio Analysis.

Tools:
The tool those Ive used to implicate the techniques for analyzing data, are
simple
MS Word & MS Excel.

5: Scope & Limitations of the study:.

Although I have obtained wholehearted co-operation from employees of Sonali Bank Staff
College and Mohammadpur Bazar Branch, they were extremely busy. This report has been
prepared through extensive discussion with bank employees and with the clients. While
preparing this report, I had a great opportunity to have an in depth knowledge of all the loans &
advance by the Sonali Bank limited. It also helped me to acquire a fast hand perspective of a
leading bank in Bangladesh. So they were not able to give much time. Besides, total duration of
internship is not sufficient to give me more than a superficial idea of the functioning of the
various departments I was rotated through. On the way of my study, I have faced the following
problems which may be termed as the limitation/short coming of the study. These are as follows:

.
Since the Bank personnel were very busy with their activities, they failed to co-operate

me to complete this report.

The major limitation of the study was shorter time period. For an analytical purpose,
adequate time is required.

Such a study was carried out by me for the first time. So, in-experience is one of the main
factors that constituted the limitation of the study.

6. Budget of the study:

(a)Financial Budget:
Particulars
Semester fee
Internship Credit fee (3 credit)
Report binding fee
Transportation cost for work in the bank
Contact with internship supervisor
Miscellaneous
Total cost for internship (App.)

Amount (TK.)
4,000.00
6,500.00
2,000.00
2,000.00
800.0
2,000.00
= Tk. 17,300 (Approximately)

(b) Time Budget:

In preparing this report the time will be taken about 80 days and report submission and
presentation 10 days.

7.Time Frame: Gantt chart

The following Gantt chart will explain the time frame of the internship period.

Activities

Duration
May

Time (Month)
June
July

August

Proposal.
10 days
Data collection.
20 Days
Report writing and
analyzing data.
Submitting of final

70 days

Report.

10 days

Conclusion:
This is actually a draft copy of my report proposal that needs to be permitted to work on this
topic. So the content of this proposal can be amended or can be modified with the approval of
my supervisor.