General Banking Activities of Al-Arafah Islami Bank Ltd.

(AIBL)
A Study on Panthapath Branch

Submitted to:Md. Arif Hassan

Senior Lecturer
Department of Business Administration
Faculty of Business & Economics
Daffodil International University

Submitted By:Md. Pavel Sikder

ID: 121-11-2506
Major: Accounting, Batch: 31st
Program: B.B.A
Department of Business Administration
Daffodil International University
Date of Submission:

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Daffodil International University (DIU)

Daffodil International University

General Banking Activities Of

Al-Arafah Islami Bank Ltd.
A Study On Panthapath Branch.

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Daffodil International University (DIU)

Letter of Transmittal
Date:

Md. Arif Hassan

Senior Lecturer
Faculty of Business & Economics
Daffodil International University
Subject: Submission of Internship Report on General Banking Activities of Al-Arafah
Islami Bank ltd.

Dear Sir,
With due respect, I would like to inform you that it is a great pleasure for me to submit the
report on An Analysis of General Banking Activity of Al-Arafah Islami Bank Limited :
A Study on Panthapath Branch as a mandatory requirement for BBA (Internship)
program. While conducting the working report, I have gathered extensive knowledge on
banking activities of Al- Arafah Islami Bank Limited. Despite various constraints, I
finished this working report at my best effort given where I was. It would be a great honor
for me if you would add your opinions and suggestions for the future.
Thank you once again for supervising me during this difficult transitional time of my career.
Sincerely Yours,

Md. Pavel Sikder

ID No: 121-11-2506
Major: Accounting, 31st Batch
Program: BBA

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Department of Business Administration

Daffodil International University (DIU).
Declaration

I do hereby solemnly declare that the work presented in this internship report named
General Banking Activities of Al-Arafah Islami Bank Ltd. A Study on Panthapath
Branch has been carried out by me and has not been previously submitted to any university/
college/ organization for an academic qualification/certificate/ degree.

The work I have presented does not breach any existing copyright and no portion of this
report is copied from any work done earlier for a degree or otherwise.

I further undertake to indemnify the development against any loss or damage arising from
breach of the foregoing obligations.

Md. Pavel Sikder

ID. 121-11-2506
Major: Accounting, 31st Batch
Program: BBA
Department of Business Administration
Daffodil International University (DIU).

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Daffodil International University (DIU)

Certificate of Supervisor

I am pleased to certify that the Internship Report on The General Banking Activities of AlArafah Islami Bank Ltd. A Study on Panthapath Branch prepared by Md. Pavel Sikder
bearing ID NO: 121-11-2506 of the Department of Business Administration (Major in
Accounting) is approved for Presentation and Defense. Md. Pavel Sikder worked with AlArafah Islami Bank Ltd as an intern under my supervision. I am also pleased to certify
that the data and the findings presented in the report seen to be authentic.
Md. Pavel Sikder bears a good moral character and a very pleasing personality. It has indeed
been a great pleasure working with him. I wish his all success in life.

Supervisor,

Md. Arif Hassan

Senior lecturer
Department of Business Administration
Faculty of Business & Economics
Daffodil International University (DIU)

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Daffodil International University (DIU)

ACKNOWLEDGEMENT

First and foremost, all credit goes to my Almighty. Then I would like to express my gratitude
to all the people those were involved both directly and indirectly in the preparation of this
report. I apologize to the people whose names that I have not mentioned, and their
contribution is highly appreciated by me. At first, I would like to thank and convey my
gratitude to honorable Supervisor, Md. Arif Hassan, Senior Lecturer, Department of Business
Administration (DIU) for guiding me and for giving me the opportunity to initiate this report.
More specifically, I would like to thank him for imparting his time and wisdom.
I want to thank all the officials of Al-Arafah Islami Bank Limited that were involved. I would
especially like to thank Mr. Arif Billah Mithu (AVP), Mr. Md. Moin Akter (SPO), Mr. Md.
Belal Ahmed (EO), Mira Akter (Officer), Md. Alimuzzamzn Talukder of Panthapath branch
for giving an opportunity of 3 month internship program and when any problem rose, they
solved that and all time guided and supervised me friendly. I would like to thank them for
giving me the required information to commence this report.

Md. Pavel Sikder

ID. 121-11-2506
Major: Accounting, 31st Batch
Program: BBA
Department of Business Administration
Daffodil International University (DIU).

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Daffodil International University (DIU)

EXECUTIVE SUMMARY

Banking system of Bangladesh has gone through three phases of development,

Nationalization, Privatization, and lastly financial sector reform. Al-Arafah Islami Bank Ltd
has started its journey as a private commercial bank from 27th September 1995. In the period
of measuring the level of customer satisfaction study on AIBL Bank Ltd.
This report is prepared on the basis of three month internship program as it is required for the
BBA program. Though this internship program I have worked in Al-Arafah Islami Bank Ltd
and prepared my report on General Banking Activities of Al-Arafah Islami Bank ltd.
The report has organized in Five chapters. First chapter including introductory part of the
report, the main objective of the report is to anlyze the financial performance of management
and the bank as a whole. In preparing this report I use both primary and secondary data.
Second chapter consist of background of Al-Arafah Islami Banks company profile, mission,
vision, Value & Commitments, Objective of Al-Arafah Islami Bank Ltd.(AIBL), Special
Characteristics, Branch Location All Over Bangladesh and

Organizational structure on

AIBL.
Third chapter includes discussion about general banking activities and its different types of
account procedures and different rate of interest of deposit and Functions of accounts
sections.
Fourth chapter contains analysis part where some financial parameters are used to analyze the
financial performance of AIBL bank ltd. These parameters are given some analysis about the
SWOT analysis of the whole banks and some major findings.
Fifth chapter deals with recommendation and conclusion which draw by analysis of whole
report. The bank provide them with the safety, liquidity and profitability by means of
different saving media offering varying degrees of mix liquidity, return and safety of saving.
So the AIBL bank should manage its investment by proper utilization to generate their profit.

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Daffodil International University (DIU)

Serial
No.

Title
Letter of Transmittal
Declaration
Certificate of supervisor
Acknowledgement
Executive Summary
Chapter- 1: Introduction

Page
No.
Iii
Iv
V
Vi
Vii
1-4

1.0
1.1
1.2
1.3
1.4
1.5

Introduction
Origin of the report
Objectives of the report
Methodology of the report
Scope of the report
Limitations of the report
Chapter: 2 : Overview of the Al-Arafah Islami Bank Ltd.

2
3
3
3
4
4
5-11

2.0
2.1
2.2
2.3
2.4
2.5
2.6
2.7

Background of the Organization

Company Profile
Mission, Vision
Value & Commitments
Objective of Al-Arafah Islami Bank Ltd.(AIBL)
Special Characteristics
Branch Location All Over Bangladesh AIBL
Organizational structure on AIBL:
Chapter: 3 : General Banking Activities

3.0
3.1
3.2
3.3
3.4
3.5
3.6
3.7
3.8
3.9
3.10
3.11

General Banking
General Procedure of Account Opening
Various types of deposit account
General Procedure of Account Closing
Clearing Section
Bankers Cheque (BC)
Inter Branch Credit Advice (IBCA)
Inter Branch Debit Advice (IBDA)
Payment Order (P.O.)
Demand Draft (D.D.) & Telegraphic Transfer (T.T.)
Cash Section
Other Relevant Activities

6
7
8
8
9
9
10
11
12-21
13
13
13
17
18
19
19
19
19
20
20
21

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Chapter: 04 Analysis & Findings

4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.8
4.9

Deposit
Bills payable
Investment
Export & Import
Profits after tax
Dividend
Economic value edition by bank
SWOT Analysis
Major findings in the study
Chapter: 05 Recommendations & Conclusion

5.1
5.2

Recommendation
Conclusion

22-36
23
29
29
30
31
32
32
33
36
37-39
38
39

References
40
Appendix
41

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