11022720-074 (Internship NBP)

INTERNSHIP REPORT ON
NATIONAL BANK OF PAKISTAN
Internship Report Submitted to the Faculty of Management

&Administrative Sciences in Partial Fulfillment of Requirements for
the Degree of Master of Business Administration
Submitted By
Name of Student: Sohail Yousaf
Role Number
: 11022720-074
Program& Session: MBA (3.5 years), 2011-2015
UNIVVERSITY OF GUJRAT
Date of Submission
Name of Program Coordinator ___________________________
Signature of Program Coordinator ___________________________
Acknowledgement
IN THE NAME OF ALLAH, THE MOST MERCIFUL, THE BENEFICENT
National Bank of Pakistan

First of all I would like to bend over my head in front of ALMIGHTY ALLAH. It was ALMIGHTY
ALLAH who direct me in every stage of my life, and who bestow me with capability to
accomplish the best and helped me to conquer every attempt and difficulty I faced during my
journey of getting professional Training at National Bank of Pakistan Rahwali Branch.
My report will remain incomplete if I do not mention the people who helped me in completing
this work but honestly speaking there is an unending list of persons who helped me in
completion of my professional education and I think it would be a great injustice on my part if I
not thank full to them for provided me required information moral support and cooperation.
I extremely thank full to all those people who helped me to complete my report as it is
compulsory part of the Master in Business Administration because perhaps I would not be
able to write such a report without their help and cooperation.
Especially I am very thankful to the Mr. Naveed Ali Khan, who organized my internship
program and he organized it in such a way that sufficient time was given to each department
according to its importance. Besides I appreciate the staff of Rahwali Branch of NBP, which
provided me with all the information I needed.
Finally, I am very thankful to my family and my sweet friends for their prayers, love and
encouragement and their faith in my abilities. This completion of my internship is the result of
their co-operation and moral support. Without their co-operation and support a project like this
is difficult at best
Dedication
Sohail Yousaf (11022720-074) FMAS
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This humble effort is dedicated

To my beloved parents,
Respectable teachers,
And my loving friends,
Whose love and effort
Can never be forgotten.

1. Title Page
2. Acknowledgement
3. Dedication.
4. Executive Summary
1-7
1
2
3
7
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5.1 Introduction and Overview of the Organization (Part-I)
8 - 33
5.1 Introduction
5.1.1 Scope
8
5.1.2 Aim
5.1.3 Objective of Studying the organization
5.2 Over view of the Organization
5.2.1 Brief History
5.2.2 Nature of the Organization
5.2.3 Vision
5.2.4 Mission
5.2.5 Core Values
5.2.6 Goals
5.2.7 Business Volume
5.2.8 Award & Achievement
16
5.2.9Product and Service Lines
Premium Aamdani Scheme
Premium Saver Scheme
NBP Saibaan
NBP Advance Salary
NBP Cash N Card
NBP Investor Advantage
NBP Cash n Gold
24
NBP Kisan Taqat
NBP Kisan Dost
25
NBP Pak Remit
NBP Protection Shield
5.2.10 Services lines of NBP
28
5.2.11 Pest Analysis
5.2.12Contribution of the Organization towards Economic Development
5.3 Organizational Structure

5.3.1 Organizational Hierarchy Chart
5.3.2 Number of Employees
5.3.3 Main Offices
5.3.4 Introduction of all Departments
5.3.5 Comment on the Organizational Structure
5.4 Internees Work (Part-II)

5.4.1 Brief Introduction of the Branch
5.4.1.2 Branch Profile
5.4.1.3 Branch Hierarchy
8
9
9
9
11
13
13
14
14
15
17
18
19
20
20
21
23
24
26
27
32
33
3442
34
35
36
39
42
43 - 45
43
44
45
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5.4.2 Detail of Supervisors
5.4.3 Weekly Timetable
45
46 -52
First Week
46
Second Week
48
Third Week
49
Fourth Week
50
Fifth Week
51
Sixth Week
52
5.4.4 Working Department Description and Operations Performed
53 - 65
Bill Department
53
Deposit Department
54
Cash Department
58
Government and pensions
59
Credit and advances
61
E-Remittance and Finance against Pledge of Gold
64
5.4.5 Description of the tasks assigned to us

5.4.6 Summary of Learning
65
65 - 68
Skills and Qualifications gained
66
Responsibilities Under taken
67
Influence of Internship on our future career
68
Internship activities and our Classroom activities
69
6.0Conclusion
69 - 75
Conclusion of the Report
69
SWOT Analysis
71
Strengths
71
Weaknesses
72
Opportunities
74
Threats
75
7.0 Recommendations and References

75 - 77
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Recommendations
75
References
77
Executive Summary:
National bank of Pakistan (NBP) was developed in 1949. It served as the central
regulatory bank of Pakistan till the time State Bank of Pakistan was established in 1949.
National bank of Pakistan is the complete government bank and it undertook government
treasury operations. The two major competitors of national bank of Pakistan are United Bank
limited (UBL) and Habib Bank limited (HBL) of Pakistan. The first branch was open in
Chandigarh road Karachi. And after, they make it the head office of the bank. The bank's
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history is divided into many phases. During 25 years of united Pakistan the bank advanced
forward in all areas of its activities. 1970s were a difficult decade for all Banks of Pakistan. In
1971 East Pakistan was separated and Australasia Bank lost its 50 branches and a lot of
capital as well. Nevertheless the growth remained steady. The National Bank Ltd. is playing a
vital role in the national economy through mobilization of until now the unused local
resources, promoting savings and providing funds for investments. Attractive rates of profit on
all types of deposits, opening of Foreign Currency Accounts and handling of Foreign
Exchange business such as Imports, Exports and Remittances, Financing, Trade and Industry
for working capital requirements and money market operations are some facilities being
provided by the Bank. There are various products offered by the NBP to their customer. There
has been a continuous improvement in the performances of the banks, which is clearly shown
by business volume and at the end PESTL and SWOT analysis and recommendations is
beneficial for the NBP as well as for the students.
This report covers the experience, which I have gained during my stay at the National
Bank of Pakistan Rahwali Branch, Gujranwala, working as an internee.
5.1. INTRODUCTION TO REPORT:The primary purpose of this study is to fulfillment of the requirements for the
degree of MBA (Specialization in Finance).For this connection each student of this particular
course is required to undertake training in a relevant organization selected by them, for a
period of 6-8weeks.
The secondary purpose of this internship is to understand how the theoretical knowledge can
be applied to the practical situations and examine an organizations financial issues and
identify its opportunities & problems and also suggest corrective measures. This internship is
also very necessary to gain confidence and become aware of the mechanism of an
organization.
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This report is about the National bank of Pakistan, Rahwali branch Gujranwala, where I learn
different things during the period of internship about banking sector that will discuss in soon
after in the other portion of this report.
1.1scope
During the internship in national bank of Pakistan civil lines branch my main focus in on
learning the all operation that is performed in banking. Scope of internship for me is that it will
be very useful for me in future during the job in any kind of bank.
1.2 AIM
My main aim of internship in national bank in Pakistan is learned the procedure and
operation of the banking sector working in Pakistan and get complete knowledge and
information that can be help in preparation of my internship report.
1.3 OBJECTIVES
As an internee I have achieved following objectives during my internship and
organization study:
To apply the theory in practical situations.

Good work habits and sense of responsibility is produced.
To develop my attitude supportive to valuable interpersonal affairs.
To recognize how the key business method are carried out in business.
To know how of the information that is used in an organization for decision making at
diverse stages.
To get professional know-how in an actual testing situation.
To develop my learning experience by application of theory in practice.
To increase my knowledge about the banking sector
2.0OVERVIEW OF THE ORGANIZATIONAL:

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3.1 Brief History:

After the devalued of its currency, In (September) 1949by the U.K, India followed suit
but Pakistan did not follow any suit. India said we had contravened the agreement of keeping
both currencies at par. We said we dont do this. India had done it randomly without
communicating us. On October 3, 1949 the both India and Pakistan banks were to announce
the new par value of both currencies but India denied a day earlier. India also stops our trade
- balance surplus that is still an unsettled clash.
National Bank of Pakistan was established on November 9, 1949 under the National
Bank of Pakistan Ordinance 1949, in order to deal with the crisis circumstances which were
developed after the devaluation of Indian Rupee in 1949. Initially the Bank was established
with the objective to expand credit for the agriculture sector. The Bank starts its operations
from November 20; 1949.Karachi and Lahore offices of the bank were afterward opened in
December 1949. The temperament of tasks of the national Bank is different and distinctive
from other banks/financial institutions. Initially the NBP acts as the negotiator of the State
Bank of Pakistan for managing Government Receipts at provincial and federal levels and
Payments on its behalf.
In today's competitive business environment, NBP needed to redefine its role and shed the
public sector bank image, for a modern commercial bank. It has offloaded 23.2 percent share
in the stock market, and while it has not been completely privatized like the other three public
sector banks, partial privatization has taken place. It is now listed on the Karachi/ Islamabad/
Lahore Stock Exchanges.
The bank 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. NBP will
confer annual awards to the best books in Urdu and in all prominent regional languages
published during the defined period. Patronage from NBP would help creative work in the field
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of literature. The Bank is also the largest sponsor of sports in Pakistan. And performing
different functions as follow
Accepting of deposits of money on current, fixed, saving, term deposit and profit and
loss sharing accounts.
Borrowing money and arranging finance from other banks and advancing and lending
money to its clients.
Buying, selling, dealing, including entering into forward contracts of foreign exchange.
Financing of seasonal crops like cotton, wheat, rice, sugar cane, tobacco, etc.
Carrying on agency business of any description other than managing agent, on behalf
of clients including Government and local authorities.
Generating, undertaking, promoting, etc. of issue of shares and, bonds, etc.
Transacting guarantee and indemnity business.
Undertaking and executing trusts.
Joint venturing with foreign dealers, agents and companies for its representation
abroad.
Participating in "World Bank" and "Asian Development Bank's" lines of credit.
Handling of treasury transactions for the Government of Pakistan as agent to the State
Bank of Pakistan.
Purchased lot of commercial land for business.
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2.2 NATURE OF THE ORGANIZATION

Different business has different nature, the nature of the organization where I did
internship is banking sector (NBP). Banking sector is one of the major types of business on
which our economy is based. It is possible that without banking sector our economy will
default.
National Bank of Pakistan (NBP) is 100% own by government and the largest commercial
bank operating in Pakistan. National bank balance sheet size surpasses that of any of the
other banks working locally. It has redefined its role and has shift from a public sector
organization into a modern commercial bank. Bank provides service to all; either it is
individuals, corporate entities and government. National bank also act as trustee of public
funds and as the agent to the State Bank of Pakistan where SBP is not present, it has
diversified its business portfolio and now a days, play a very important role in the debt equity
market, corporate investment banking, retail and consumer banking, agricultural financing,
treasury services and is presenting rising interest in promoting and increasing the country's
small businesses.
National Bank of Pakistan is today a competent and customer focused organization.
National bank provides a wide variety of customer product to boost business and provide to
the different segments of society.
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To be recognized as a leader and a

brand Synonymous with trust, highest
standards of service quality, international
best practices and social responsibility
NBP will aspire to the values that

make NBP truly
the Nations Bank, by:
Institutionalizing a merit and
performance culture
Creating a distinctive brand identity by
providing the highest standards of
services
Adopting the best international
management practices
Maximizing stakeholders value
Discharging our responsibility as a
good corporate citizen of Pakistan and
in countries where we operate.
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Highest standards of Integrity

Institutionalizing team work and
performance culture
Excellence in service
Advancement of skills for tomorrows
challenges
Awareness of social and community
responsibility
Value creation for all stakeholders
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To enhance profitability and maximization
of NBP share through increasing leverage
of existing customer base and diversified
Range of products.
To provide all sort of banking service.
To Maximize the profit.
To serve Pakistan better in order to give
Socio-economic uplift.
2.3 BUSINESS V0LUME
Rupees in Millions
Year
2008
2009
2010
2011
2012
Total Assets
817,758
944,582
1,035,02
1,114,57
8
1,166,78
Deposits
624,939
727,465
832,152
927,421
889,654
Advances
412,987
475,243
477,507
525,046
583,685
Reserves
19,941
22,682
24,450
25,343
27,587
Investments
170,822
217,643
301,324
319,531
305,586
All amounts in billion
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These are the Award and achievement of National Bank of Pakistan.

3rd Global Human Resource Excellence Award - 2012" administered by Global
Media Links in collaboration with Better Pakistan.
"Listed in top 1000 banks of the world for the year 2012" by the world
renowned The Banker magazine owned by the Financial Times Group, London.
2nd Global Human Resource Excellence Award - 2011" administered by Global
Media Links in collaboration with Better Pakistan.
Pakistan: Transaction of the Year Award - 2011, awarded by Islamic Finance
News, for two wind farm projects of 50MW each in which the bank acted as
international inter-creditor agent (for the Islamic Development Bank, the Asian
Development Bank and syndicates of local banks).
Transaction of the Year Award - 2011, awarded by CFA Association of
Pakistan for the private placement and offer-for-sale of Engro Foods Limited.
Bank of the Year" awarded for the year 2011 by the world renowned "The
Banker" magazine owned by the Financial Times Group, London.
"Top Corporate Finance House (Fixed Income) Award of the Year
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2011", awarded by the "CFA Association of Pakistan".
National Bank of Pakistan Awarded Best Emerging Markets Bank 2011Awarded
By Global Finance Magazine.
Bank of the Year awarded for the year 2010 by the world renowned The
Banker magazine owned by the Financial Times Group, London.
"Runner up of Corporate Finance House (Fixed Income) Award of the Year
2010", awarded by the "CFA Association Pakistan".
NBP is awarded President of Pakistan Trophy, a top slot award by Federation of
Pakistan Chambers of Commerce and Industry in 2010.
NBP is awarded Prime Minister of Pakistan Trophy, a top slot award by Lahore
Chambers of Commerce and Industry in 2010
Among the global leading banks, NBP is the only Pakistani bank appearing in top
500 banks of the world in The Banker magazine owned by the Financial Times
Group, London
Bank of the Year awarded for the year 2008 by the world renowned The
Banker magazine owned by the Financial Times Group, London
Stable AAA/A-1+ (Triple A/A-One Plus) rating (Standalone Basis) by JCRVIS (July 2007).
Best Return on Capital for 2006 amongst all Banks in Asia. - Banker
Magazine in July 2007.
2.4 PRODUCT AND SERVICE LINES:

Following are the products offered by NBP Pakistan to their customers.
1.
2.
3.
4.
5.
6.
Premium Aamdani
Premium Saver
NBP Saibaan
NBP Advance Salary
NBP Cash Card
Investor Advantages
7. NBP Cash n Gold

8. NBP Kisan Taqat
9. NBP Kisan Dost
10. Pak Remit
11. Protection Shield.
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Premium Aamdani
Earn up to 12.25% p.a. +

Minimum deposit of Rs. 20,000/- with maximum balance of Rs. 10 million for 5 years
Free Demand Draft, Pay Order and Cheque Book*
Convenience of NBP online Aasan Banking (for
online banking customers)
Free NBP Cash Card (ATM+Debit)
Running finance facility up to 90%
Profit paid every month as follows
+ Profit rates are expected
Year**
Profit Rates (%) ***
1st
11.25
2nd
11.50
3rd
11.75
4th
12.00
5th
12.25
* Conditions Apply
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*** Expected rates are for the given year
Premium Saver
PLS Saving Account

Earn up to 8.50% p.a. +.
Minimum saving balance of Rs.
20,001/- & a maximum balance of Rs.
1 million*.
Free NBP Cash Card (ATM + Debit).
Convenience of NBP Online Aasan
Banking (for online banking
customers).
Two debit withdrawals allowed in a
month & no limit on number of deposit
transactions.
Profit calculated on monthly and paid
on half yearly basis.
NBP Saibaan(Home Finance)

NBP Saibaan provides the facility of their employee in the purchasing of new land for its
own home as well as in the construction of this house. The amount of NBP Saibaan can
use for following purpose.
Home Purchase
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Home Construction
Home Renovation
Purchase of Land + Construction
Balance Transfer Facility (BTF)
Advanced Salary
NBP Advance Salary, the leading personal loan product of the country, is maintaining its
inimitability ever since it was launched. This was only possible due to its swift growth and
remarkable loan disbursement of over 138 billion.
Employees can avail up to 20 net take home salaries with easy repayment installments. Its
hassle free acquisition with no prior formalities and easy availability in a short turn round
time is attributed as the most distinguishing features of the product. The product is offered
countrywide.
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Its salient features are;
Easy installments of 1 to 60 months at your choice.

No minimum income, collateral & insurance charges required.
Quick processing and fastest disbursement.
For permanent employees of Government, Semi Government and Autonomous
bodies receiving salaries through NBP.

Take upto 20 advance salaries (currently for NBP account holders of govt. or
related organization employees).
NBP Cash & Card

All thing in one card
ATM + Debit Card

Use it as an ATM in any of the ATMs in
Pakistan
Use it as Debit Card in any of the outlets with
ORIX POS machine across nationwide.
Cash withdrawal up to Rs. 20,000/- per day
Account Balance Enquiry
Mini Statement (Only at NBP ATM)
PIN Change facility (Only at NBP ATM)
Shop to your hearts Desire:NBP Cash Card is a 24/7 access ATM/Debit card
to your bank account, which is accepted to 4000
POS merchants nationwide where ORIX logo is
Displayed. Withdraw cash from NBP, 1-Link &
M-Net ATMs across nationwide. The NBP can
enable you to enjoy the convenience of cashless
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purchasing power without the fear of overdrawing
Your account.
Advantages of Cash Card

You won't need to carry a lot of cash with you every time you go out.
Secure and Safe transaction.
Account Information on tips (like: Mini Statement, Balance Inquiry, Utility Bill
Payment etc.)
Enable To Withdraw Cash From 1-Link ATMs / MNET ATMs.
Enable to Make Purchases from Around 4000 POS (Merchants) Countrywide
including 2500+ POS in Karachi.
No Card Issuance Fee for first 12 Months.
NBP Investor Advantage
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Financing Facility for Stock Investors

Comfortable environment for trading
No security requirement, except for the
customers equity
Customers equity freely available for
investment
Equity acceptable in cash or approve
shares.
Product Information
Financing Amount:
Rs.50,000/ - To Rs.10,000,000/-
Equity Requirement:
In the Form of Cash or Shares or Both (Currently Minimum

Rs. 215,000/- @ 30%)
Shares:
As per NBP Approved List Available. Shares In Physical Form

Not Acceptable.
Trading:
Allowed Only Through Trading Centers Created by NBP and

Operated by Taurus Securities Limited (A
NBP Cash & Gold

This product of NBP provides the facility to their valuable customer to get cash in the time
of need by pledge their gold into the bank.
Ready Cash Against Gold
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Facility of Rs. 40,000/- against each 10 gms of net
Weight of Gold Ornaments.
No maximum limit of cash.
Repayment after one year.
Roll over facility.
No penalty for each repayment.
No Penalty for early repayment.
NBP Kisan Taqat

As we know Pakistan is agriculture land and a largest part of it National income is
generated from agriculture. NBP understand the importance
of this sector and provide loans on very easy terms and
condition to the former of our country. NBP not provide
the loan to the former but also it experts train the former
how they can increase their productivity with minimum
sources.
NBP Kisan Dost

Agriculture Farming Program
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Competitive mark-up rate.
Quick & easy processing.
Provision of technical guidance to farmers at
their doorstep.
Wide range of financing schemes for farmers.
Finance facility up to Rs. 100,000/- for landless
farmers on personal guarantee.
Financing available against Pass Book, Residential / Commercial property, Gold
ornaments and paper security.
Loan facility on revolving basis for three years (renewable on yearly basis
Without obtention of fresh documentation and approval).
Pak remit
PakRemit is an internet based Home Remittance Service.
Pak Remit is an Internet based Home Remittance Service.
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This service is available to U.S. residents for sending money
to their family and friends in Pakistan. One must have a valid US Dollar account with a U.S.
bank or a US Dollar credit or debit card in order to remit funds through this channel.
Remitters in USA can log on to our user friendly website,
www.pakremit.com and easily remit funds to Pakistan from the comfort of their homes, in a
matter of minutes.
The service is fully secure with advance encryption application and is available for use 24
hours a day, 7 days a week. Fees and exchange rate have been set at competitive levels
and the remitters have the ability to track delivery of funds as well.
Process:
Remitters log on to www.pakremit.com and after completing the registration process,
are able to remit funds. The whole process takes a few minutes.
Funds in Pak Rupees can be sent to beneficiaries, having an account with any bank
in Pakistan, including NBP. While funds are credited directly to beneficiaries
maintaining accounts with NBP, a pay order or demand draft is couriered to other
banks for their customers. Pay order or demand draft can also be couriered directly
to the beneficiarys office or home, if requested by the remitter.
Funds in US Dollars can be sent only to a Beneficiary maintaining a US Dollar
account with one of NBPs Foreign Exchange Branches.
USPs (Unique Selling Propositions):
Convenient and Fast
Reliable and Secure
Available 24 x 7
NBP Protection shield

NBP know the value of their employee and the customers.
NBP worry about their life so due to this, NBP provides the
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protection shield to their customers personal accidental
insurance.
Personal Accident Insurance

No documentation
No medical required
Premium Auto Debit facility & choice of deactivation
Coverage includes death due to:
Natural Calamities e.g. Earthquake, Flood, Cyclone etc.
Accident
Riots*
Civil Commotion*
Strikes*
Acts of Terrorism*
(Life is Precious)
* Provided the insured is not actively involved in these activities
Services of NBP
Following are the Services offered by NBP Pakistan to their customers.
1. Demand Drafts8. Short Term Investments
2. Letters of Credit
3. swift System
9. National Income Daily Account

10.Equity Investments
4. Mail Transfers
11.Commercial Finance
5. Pay Order
12.Trade Finance Other Business Loans
6.Travelers Check
13.Corporate Finance
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7. Foreign Remittances
14.International Banking
Demand Drafts
If you are looking for a safe, speedy and reliable way to transfer money, you can now
purchase NBPs Demand Drafts at very reasonable rates. Any person whether an account
holder of the bank or not, can purchase a Demand Draft from a bank branch.
Letters of Credit
NBP is committed to offering its business customers the widest range of options in the area
of money transfer. If you are a commercial enterprise then our Letter of Credit service is
just what you are looking for. With competitive rates, security, and ease of transaction, NBP
Letters of Credit are the best way to do your business transactions
Swift System
The SWIFT system (Society for Worldwide Interbank Financial Telecommunication) has
been introduced for speedy services in the area of home remittances. The system has
built-in features of computerized test keys, which eliminates the manual application of tests
that often cause delay in the payment of home remittances. The SWIFT Center is
operational at National Bank of Pakistan with a universal access number NBP-APKKA. All
NBP overseas branches and overseas correspondents (over 450) are drawing remittances
through SWIFT.
Mail Transfers
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Move your money safely and quickly using NBP Mail Transfer service. And we also offer
the most competitive rates in the market.
Pay Order
NBP provides another reason to transfer your money using our facilities. Our pay orders
are a secure and easy way to move your money from one place to another. And, as usual,
our charges for this service are extremely competitive.
Travelers Check
Negotiability:
Pak Rupees Travelers Cheques are a negotiable instrument
Validity:
There is no restriction on the period of validity
Availability:
At 700 branches of NBP all over the country
Encashment:
At all 400 branches of NBP
Limitation:
No limit on purchase
Safety:
NBP Travelers Cheques are the safest way to carry our

money
Foreign Remittances
To facilitate its customers in the area of Home Remittances, National Bank of Pakistan has
taken a number of measures to:
Increase home remittances through the banking system
Meet the SBP directives/instructions for timely and prompt delivery of remittances to
the beneficiaries
New Features:
The existing system of home remittances has been revised/significantly improved and welltrained field functionaries are posted to provide efficient and reliable home remittance
services to nonresident Pakistanis at 15 overseas branches of the Bank besides Pakistan
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International Bank (UK) Ltd., and Bank Al-Jazira, Saudi Arabia.
Zero Tariffs: NBP is providing home remittance services without any charges.
Strict monitoring of the system is done to ensure the highest possible security.
Special courier services are hired for expeditious delivery of home remittances to the
beneficiaries.
Short Term Investments

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
Equity Investments
NBP has accelerated its activities in the stock market to improve its economic base and
restore investor confidence. The bank is now regarded as the most active and dominant
player in the development of the stock market.
NBP is involved in the following:
Investment into the capital market
Introduction of capital market accounts (under process)
NBPs involvement in capital markets is expected to increase its earnings, which would
result in better returns offered to account holders.
National Income Daily Account(NIDA)

The scheme was launched in December 1995 to attract corporate customers. It is a
current account scheme and is part of the profit and loss system of accounts in operation
throughout the country. In this type of account NBP Facilitate their customers by paying
profit
on
daily
baseson
their
deposited
amount.
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2.5 PEST ANALYSIS:

Political:
Privatization policy and deregulation.
Impact of subsidized credit affecting and NCBs.
Employment practices, Unions, Associations.
Political Interference and harassment.
Incidents of high taxation on banking industry.
Economical:
Constraints in mobilization of public savings because of inflation.
Staff cost is high due to lack of latest technology used.
Operating cost is due to inefficient training of staff.
Bad debts which convert profit into loss.
Social & Cultural:
Inadequate human resources.
Cultural strain to savings.
Defaulters lobby.
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Declining education and work ethics.
Inadequate accountability.
Adequate empowerment.
Technological:
Inadequate communication infrastructure.
Inadequate computer facilities.
Inadequate IT training
2.6
CONTRIBUTION
DEVELOPMENT:
OF
THE
ORGANIZATION
TOWARDS
ECONOMIC
Banks play vital role in promoting the economic activities and economic development of a
country. Industry, agriculture, trade, commerce and many other economic activities are
highly dependent on banks. Banks help in mobilization of money. They also help in
promoting the growth of internal resources for development by attracting deposits into
productive loan and investment. Banks not only collects the savings of the people but also
give loans for the development of industry, trade and commerce.
NBP has been playing a major role in financing and developmental activities in Pakistan. It
helps in the growth of economy in all spheres of our national life. It has contributed
significantly to economic growth of the country and has served to trade and industry in a
wide sphere of operations.
The NBP was the first bank to introduce scheme of credit to small borrowers like farmers
etc, for the promotion of agriculture. The bank advances liberal credit for rural and
agricultural development. Small short-term loans are given to the farmers free of interest.
These advances can be in the shape of fertilizers, seeds and agricultural implements.
The NBP is able to attract large amount of deposits through its large number of branches
Page 31
3.0ORGANIZATIONAL STRUCTURE:
3.1 ORGANIZATIONAL HIERARCHY CHART:
The Organization hierarchy chart tells us how the command is being transferred from the
higher authority to the lower management and what the position that is present in the
organization is. There are two types of hierarchy in the organization that are
Vertical
Horizontal
Corporate hierarchy is vertical in NBP. Here is the Organizational Hierarchy Chart of National
Bank of Pakistan.
3.2 NUMBER OF EMPLOYEES:

Page 32

In 2010, there are 16429 numbers of employees in NBP all over Pakistan. An Executive
Board composed of nine Senior Executives of the Bank and the President who is also the
Chief Executive supervises the affairs and business of the Bank.
Qamar Hussain
Chairman and President
Mr. Tariq Kirmani

Director
Mr. Shahid Aziz Siddiqi
3.3 Main
Offices:
Director
Mrs. Haniya Shahid

Naseem
Syed Muhammad Ali

Zamin
Mr. Aftab Anwar

Baloch
Mr. Zahid Hussain

Director
Page 33

The Main and Head Office of the national Bank of Pakistan is situated in Karachi on
Chandigarh road. It has 29 regional offices all over Pakistan. National Bank also Provide its
service to all over the word. The details of Branches are as follow.
NBP has 1286 Domestic online Branches in all Pakistan.

NBP has 8 Islamic Branches
NBP has 203 Online Branches which provides the ATM service.
Overseas Branch 23 Branches Regional / Representative Office(s)
Swift Branch Finder 13 Branches
6 Customer Facilitation Center
Regional Domestic Offices
Page 34
Overseas Branches
Page 35

Internationally NBP is working in the four main regions, which are as under
America and Europe Region

1)
2)
3)
4)
Far East Region
USA
Canada
Germany
France
Middle East, Africa &
1)
2)
3)
4)
Hong Kong
Japan
South Korea
China
Central Asian Republics
South Asia Region

1)
2)
3)
4)
Bahrain
Egypt
Bangladesh
EPZ
1)
2)
3)
4)
5)
6)
Afghanistan
Turkmenistan
Kyrgyz Republic
Kazakhstan
Uzbekistan
Azerbaijan
Subsidiary Joint Venture Representative Offices

1) NBP Kazakhstan (Almaty)
2) United National Bank (UK)
Page 36

3)
4)
5)
6)
Canada (Toronto)
USA (Chicago)
China (Beijing)
Uzbekistan (Tashkent)
3.4 INTRODUCTION OF ALL DEPARTMENTS:

In National Bank of Pakistan there are following Departments that are work in the National
Bank of Pakistan.
1.
2.
3.
4.
5.
Deposit
Advances(Credit)
Government Payments
Government receipts
Remittances
6. Utilities Bills Department

7. Bills
8. Cash Department
9. FBR Collection Department
10. Online Banking
11. Now the Brief Introduction of all above Departments is as follows.

1.
Deposit Department
12. Its the main Department of any bank Customer can keep their cash in this department
and can get when they need for the cash. There are several accounts that NBP provide to its
Customers are as under.
Current Account
PLS Term
BBA
PLS Saving
Premium Saver
Premium Aamdani
Call Deposit
NIDA
Page 37
2.
Advances (Credit Department)
NBP give loans to the borrowers for different purposes. These loans are given
for various sectors for different periods...NBP mostly generate a large part of their
profit from this department NBP gives different types of loan that are as follows.
Small Finance
Cash Finance,
Agriculture Finance,
Cash & Gold Loan,
Personal Loans,
Demand Finance,
Running Finance,
Corporate Finance,
Export Import Financing,
House Building Finance (Saibaan)
NBP Karoo bar Scheme
3.
Governments Payments Department
As the National Bank of Pakistan is the bank of Government and work as the
agent of State Bank of Pakistan so it is provide facilities to Government to
facilitate their employees by this bank. Government payments include the
following.
4.
Pension, Salaries,
Grants, Zakat,
Benevolent Fund,
Treasury Refund
Taxes Refund proceeds through the bank.
Governments Receipts
This department is just like the previous department but the different is there
bank make payment according to the instruction and here bank make receipts
according to the instruction these receipts are as under.
Revenues,
Taxes,
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Agriculture Tax,
Government Fees,
5.
Utility Bills Collection
Bills Department
The great facility that the National Bank provides to the customers is the
remittance of cash from one city to another city and form one country to the other
country with nominal charges. The ways of remittances are as follow.
6.
Bank draft
Telegraphic Transfer,
Mail Transfer,
Coupons,
Govt. Draft and Western Union Money Transfer etc.
Utilities Department
This is the department that collects the utilities bills for the private and
government departments bank provide this service for the percentage of each
which is very nominal.
7.
Cash Department
National bank deals Government treasury on behalf of State Bank of

Pakistan. There are Chest, Sub-chest and Non-chest branches in the bank. SBP
supplies currency notes to the bank and monitors its cash flow which is transfer
to the needy branch and receives from that branch which has excess then their
need.
8.
FBR Collection Department
NBP is playing great role for collection of FBR (CBR) taxes/revenue. A

separate counter is established at branch level to facilitate the taxpayers.
9.
Online Banking
Today is the world of computer everybody want to complete his work as soon
as possible now all the banks are going to provide the online banking service to
its customer in order to achieve good repute in the eyes of their customer.
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National bank of Pakistan is also providing online banking facilities to its
customers. But the branch where I worked is not online till now so there are
traditional banking practices up till now.
5.3.5 Comment on the Organizational Structure

NBP is an oldest bank of Pakistan. It is establish after the making of
Pakistan to support the economy of Pakistan under supervision of state bank of
Pakistan. It spent a time of 60 year with Pakistan economy. It made adjustments
and brought changes in their operation according to the change of time. It
became modernized with the passage of time.
Organizational structure of NBP is centralized in nature. All the rules and
regulation are made by competent authority. All the decisions are also made by
board of directors and lower level employees adopt it. It provides a competitive
environment to employees and worker by using their determination fulfill their
responsibilities in excellent manners. Due to centralized structure no dispute is
arise within the organization. So I think organizational structure is very well and it
is very efficient for the Bank.
(Part-II)
5.4 Internees job

5.4.1 Brief Introduction of Internees office/branch:
I select the G.T Road Rahwali Branch of NBP for completing my internship.
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NBP Rahwali branch doing their working in old-fashioned flair and mostly
activities is done by hand, but due absence of wide means the branch is now
exasperating to create best of its working through compute.
This branch is recently become computerized in last year dated on 11 Nov,
2011. I will start my internship in this branch on 05 Sep, 2012 and my internship
will complete on 17 Oct, 2012.During the period of six weeks internship in the
branch I done effort in dissimilar sections per week. The administer of the bank
helps me and provides me all necessary obligatory material. I read main tasks,
intentions and upcoming forecasting of the NBP. I worked in different sections
during employed as an internee which shows to me very favorable and me able
to get basic concepts of banking operations in a practically manner.
I enlist the Main departments of NBP Rahwali in which I have done worked
during my whole internship period:
Bill section
Deposit Section
Cash department
EBS/ Account open/CRO
Credit/Advances/Establishment
BRANCH PROFILE
Page
Name of Branch
National Bank of Pakistan Rahwali branch
Region
Gujranwala
Branch Code
(0507)
Address
National Bank of Pakistan, G.T Road Rahwali,

Dist.: Gujranwala.
Phone Number
055-3885657
Name of Manager
Mr. Shahid Hussain Khulaar
Name of operation
manager
Mr. Irfan Rashid Warrich
Number of Working Staff
Branch category
2nd
Following are the staff of NBP Rahwali branch

Sr.
NO
1
2
3
4
5
6
7
Name
Mr. Shahid Hussain Khulaar
Mr. Rashid Irfan Warrich
Mr. Naveed Ali khan
Mr. Masood Afzal Cheema
Mr. Muhammad Nisar Cheema
Mr. Qasim Ali Shahibzada
Mr. Thair Abullah
Designation
Branch Manager (OG-I)
Operation Manager(OG-II)
(OG-II)
(OG-II)
(OG-II)
(OG-II)
(OG-III)
Page
8
9
Mr. Muhammad Arif

Mr. Perviaz Akhter
Godown. keeper / Chowkidar

Messenger (Record keeper)
BRANCH HIERARCHY
MANAGER
MANAGER OPERATION
OFFICER GRADE - I
OFFICER GRADE - II
OFFICER GRADE - III
MESSENGER
PEON
SWEEPER
5.4.2 Details of Supervisors:
I have done my training period under the direction of these people which is the
incharge of different department existing in the NBP Rahwali branch. Mr. Naveed
Ali Khan Supervise me in my internship whole period.
Page

1.
2.
3.
4.
5.
Supervisor....Mr. Naveed Ali khan(OG-II)

Supervisor...Mr. Masood Afzal Cheema(OG-II)
Supervisor...Mr. Qasim Ali Shahibzada(OG-II)
Supervisor.. Mr. Thair Abullah (OG-III)
Supervisor.Mr. Muhammad Nisar Cheema(OG-II
Page
5.4.3 Weekly Time Tables during Internship:

When I start my internship program Mr.Naveed Ali Khan who is the incharge of Internees at branch arrange my
weekly timetable in such a way that in a sufficient time I will learn the basic thing of the entire department in the
branch. My weekly time table in the branch is as fallows.
1st week of internship

Introduction to Banking Staff and Bill Department
Date
Wednesday
Day
05-09-2012
Details of Activities Performed

After arrive in to the boundary of NBP I was very jumbled about the working
procedure in the bank. Firstly I met the branch manager he ask some question
about me and regarding my studies. I take him answer of all the answer of the
question. After questioning and answer he familiarizes me with his staff
members then he refers me under the direction of Mr. Thair Abdullah in the Bill
Department. Mr. Thair Abdullah told me about some important rules and
regulations of the bank some of which are not to leak the confidential
information of bank to any outsider and not to operate the I.T system of the
bank without any permission & purpose.
Introduction to some different type of most regularly used banking vouchers e g:
debit/credit, F-15,F16 , deposited slip IBT-01
What make Demand Draft and Call Deposit (CDR).
Thursday
06-09-2012
Starter the most regularly used banking stamps e g: Signature verification

stamp, Cheque posted stamp, Branch stamp, and payment stamp. Procedure
of creating Payment Order.
Also familiarizes with some important banking Books of record e g: different
types of ledger, Account opening register, Cash n Gold ledger, pension holder
ledger or etc. which is used in bank on daily basis.
Friday
07-09-2012
Start working practically on signature verification seat, after verifies the

signature then forward to Mr. Masood Afzal Cheema for further operation.
Making different type of voucher practically under the supervision of Mr. Thair
Abdullah such as Debit/Credit, IBT-01 and many other voucherss which is used
in daily routine banking.
It is certified that Mr. Sohail Yousaf had done their worked in this Department with fully Devotion and Dedication
and got training of almost everything in this Department.
Supervisor Name: MR. Thair Abdullah
Signature: ______________________
2nd Week of internship

Deposit Section
Date
Day
Details of Actions Performed

Introduction toward Account Initial Form and different Category of
Monday
10-09-2012
Accounts accessible in NBP Rahwali, Necessary requirement of account

initial form.
Tuesday
11-09-2012
Wednesday
12-09-2012
Thursday
13-09-2012
Friday
14-09-2012
How new account is opened and what is procedure of NADRA

verification.
Which kind of Documents is required while opening accounts in case of
Individual and Minor
What are the cause of Dormancy, Suspension and Closing of and account
What is the procedure of Cheque book issuance and sending Cheque
Books request to NIFT? Entry and Reissuance of new Cheque Book
Supervisor Name: Mr. Masood Afzal Cheema
Signature: ________________________
3rd Week of internship

Cash Section
Date
Day
Monday
17-09-2012
Tuesday
18-09-2012
Wednesday
19-09-2012
Thursday
20-09-2012
Friday
21-09-2012
Details of Actions Accomplished

What is the procedure of Fill up Cheque for the Customers,
Filling of cash Vouchers and receipts.
How Cheque and transfer voucher is fill up for the use of customer.
Learn the procedure of Demand Draft and how create Demand Draft
for the use of Customers.
What is Mail Transfer and Telegram Transfer, what are their function
and their procedure. Create these tools for the use of Customers.
Study the process of Payment order and create it for customers.
Procedure for making CDR and make it for customers.
Supervisor Name; Mr. Nisar Cheema
4rth Week of internship
Signature: _______________________
Government & Pension Department

Date
Day
Monday
24-09-2012
What is the Functions of Collection Section?
Tuesday
25-09-2012
What is the Functions of Payment Section?

What is the procedure of filling Pension and various Government
Wednesday
26-09-2012
vouchers and forms and recording their entry in the relevant Books of
account. Provincial, central and Pakistan Railway pension.
Learnt about the Pension circulation process obligatory stamps on
Thursday
27-09-2012
pension voucher and recording of the pension in relevant ledger. How to

calculate the increase in the amount of pension.
Dissimilar categories of Government expenses e g: P1, P2, C1 and P-
Friday
28-09-2012
Tax. Entry of the daily transactions in the TRV Register and make Debit /
Credit Vouchers and sent Record to Main Branch.
Supervisor Name: Mr. Qasim Ali Shahibzada
5ht Week of internship

Credit and Advances Department
Signature: __________________________
Date
Day
Monday
01-10-2012
Whatever is Clearing? Participation of NIFT in Clearing process.
Tuesday
02-10-2012
wednesday
03-10-2012
Learn about the LSC and SC in clearing.
Thursday
04-10-2012
Who is eligible for advances? Types of Advances.
Friday
05-10-2012
Kinds of Clearing and resending of Cheques with are not cleared by NIFT due to
some motive. Homegrown and Express Clearing.
What are the necessary requirement for getting advances and the terms and
condition of repayment of advances?
Supervisor Name: Mr. Naveed Ali khan
Signature: __________________________
6th Week of internship

E-Remittance & Cash n Gold Section
Date
Day
Details of Actions Accomplished

What is Remittance? Types of Remittances available in NBP (Rahwali) Branch
Monday
08-10-2012
for their customer such as western union and X press money.
Tuesday
09-10-2012
Perform it practically and making Vouchers of E- Remittances.
Wednesday
10-10-2012
Learn about the Gold Finance Procedure, Markup rate of its.

How fresh Gold Accounts is opened and perform Cash n Gold Finance
Thursday
11-10-2012
procedure for the clients.

Absorb knowledge of Renewal process and execute it for customers. Closing
Friday
12-10-2012
of Gold Accounts and types some letters for the Management and perform all
the routine activities.
Supervisor Name: Mr. Naveed Ali Khan
Signature: __________________________
5.4.4 Detailed Description Department;Bill Department (1st Week):

I start my internship from 05-09-12 in the Bill department under the supervision
of Mr. Thair Abdullah (OG-III) in G.T Road Rahwali branch. In this department he
deals with all types of branch voucher regarding the bills. I felt during the period
of internship in this department is very important. The main function of this
department is that it deals in the transformation of money from bank to bank with
in the premises of our country.in NBP a customer can transfer their money by
four types.
DD, (Demand Draft)
Short credit.
MT/TT
IBT-01
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Procedure of making voucher;When we fill-up any kind of voucher, we should fallow the following step.
First enter the date the specific area mentioned in the voucher.
Enter the account number of customers.
Enter the amount in the figure and also mentioned in the narration.
Write a description for which purpose we will debit/credit the
account.
Deposit Department (2nd week):

After completion of my first weeks, Mr. Thair Abdullah
refers me under the supervision of Mr. Masood Cheema on dated 13-09-12. He
is CRO (Customer Relation officer) and deals in opening new account,
operates the EBS (Electronic Business system). He teaches me firstly about
Opening of new Account, secondly about EBS.
Opening New Account:

Recently NBP converted their account opening procedure from manual system to
online computerize system. Before computerized system a customer who is
willing for opening new account first get the form fill it and then submit to the
branch where he/she willing to open their account. This system takes a few days
time for opening a new account because it approval coming from RO (Regional
office) through online networking. The new procedure or Account opening is more
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efficient and quickly than the manual and the record of new account is directly
kept by the RO (Regional Office).
NBP offer many types of account but this branch is under category-II so common
types of account are deal here.
This branch offers such type of account here.
1. PLS Account.
2. Current Account.
PLS Account:
PLS account is offered to public with the risk of sharing profit
and loss. This type of account mostly used by the general public. There are very
rare chances that bank suffer loss. Bank takes profit on such account with time to
time.
Current Account:
Current account is type of account in which the depositor can withdrawal their
sum at any time by offering the Cheque with in banking hours as per shown
on the term and condition of such type of account. The bank never pays and
interest on such type of account and never deducts and type of service
charges. Another facility that provides to these account holder is bank never
deduct the zakat from such kind of account. Such type of account used by the
businessman.
Requirements for opening an account:

Resulting is the necessary necessity for opening new account.
A make a copy of NICI ID card of customer and his mother.

Original ID card of customer for verification at the time of opening.
NADRA verification.
If customer is illiterate and use thumb impressions then his duty give his 3
recently passport size picture.
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Customer must present in the bank while of opening of account
Utility bill of by name on person.
A copy of next kin (legal higher) in case of Account holder Death.
Terms and condition for opening account:

He essential be the citizen of that city where he want to open account.
A person who is blind also opens their account with his partner in term of
joint account and partner must be never blind.
Mad people are allowed to open their account in the bank.
A person who sometimes normal and sometime abnormal then he must
operate his account only when he is in normal condition.
Account opening procedure:

Customer fills the application account opening form during opening his
account in the bank.
Account opening form is properly filled there is no cutting made on it.
Banker takes customer signature on specimen card and keeps it in record
for future use.
After taking customer signature deposit money through credit vouchers.
Banker opens an account and allots an account number to customer.
Customer requests for Cheque book which is issued within fifteen days .
Account closing:
Here are many causes for closing account. It is bad symptom for the corporate of
bank. Some of the collective causes are following.
Account can be closed on the customer request.

Account will be closed if the account holder death occurs.
If the customer become Bankruptcy.
Closing of account due to bad conduct of account holder.
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Account can be closed due to the order of Government.
Account can be closed Due to the Insanity of the customer.
Account will be closed if there is no transaction made by customer in the
duration of three years.
Before closing an account, the bank sends a letter of informing to account holder
that his account will be closed. Bank sends the informing letter three times. After
it if account holder never response, bank closed the account after full fillment of
legal requirement.
Issuance of Cheque book:

Cheque book is a instrument through which an account holder drawn Cheque
upon the bank and withdrawal his amount from the bank. After authentication by
the authorized officer on the Cheque book register, the Cheque book is hand
over to the account holder First time Cheque book is issued to customer when he
request for prescribed form. Empty Cheque book has requisition slip. Customer
can get a new Cheque book by giving that requisition slip of previously used
Cheque book to the banker. The issuance of new Cheque book will takes a time
of few days.
Passing and Cheque cancellation:

It is the process of checking and
verifying the sign of the customer on the Cheque, Duties of the passing person.
After it Cheque will be sent to the person who posted it.
A Cheque is cancelled due to insufficient Balance in Account.
Cheque is presented within 180 days after it, it will be expire or useless.
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If the Cheque contain any error such as, mistake in date or amount,
narration does not Telly with figure amount than Cheque never pass and
return to the depositor.
A common reason of cancellation of Cheque is drawer signature error.
EBS (Electronic Business System)

It is the online system of NBP in all over the Pakistan. It is online software
through which the branches make online payment to the other branches of NBP
in all over the Pakistan without takes longer time due to the online connection
with RO (regional office). Its privacy is very high and internees are not allowed to
any work on this.
Every branch has its own User Id or login password through which it is connected
to the It Region. Mr. Masood Cheema briefs me about it. All kind of information of
the account holder is kept in this system. If any customer wants to know about
the balance in his/her account we can check with the help of EBS. If we want to
transfer amount from one Account to another Account or from one branch to
another branch we did it though EBS in few minutes. If we need statement of
account of any account holder we print it from EBS. In short EBS is online
system which consists of all the banking. Without EBS in NBP banking is unable
to working fast and efficient.
Cash Department (3rd Week):
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After completion of my 2
nd
weeks, Mr.
Masood Afzal Cheema refers me under the supervision of Mr. Nisar Cheema on
dated 20-09-12. He is Head of Cash and deals in all transaction of the bank in
which cash included. He teaches me how Cheque is filling up, what are the types
of Cheque. What necessary requirement for encashment of the Cheque. All
payment are made by them to the customer and pension holder whose are come
to the bank for the purpose of withdrawal there amount. He also teaches me
about how to maintain the balances on daily, balances should be match and how
summary is made and then forward to the operation manager. Cash department
is very sensitive department in the branch internees are not allow for doing any
more activities in this type of department.
Government and Pension Department (4th week):

After completion of my 3rd week, Mr. Nisar
Cheema refers me under the supervision of Mr. Qasim Ali Shahibzada on dated
27-09-12. He is Deposit incharge and deals in all kind of deposit in the bank. He
is also the head of government section in the branch .He teaches me how
deposit is received by the bank and how to maintain deposit account on daily
basis.
In this department I learnt from Mr. Qasim Ali Shahibzada. He teaches me, there
is two different ways than an account holder deposit the amount in his/her
account. He also tell me about the IBT-1 service which is used for urgently
transfer the amount in another account of NBP in all over the Pakistan within few
minutes.
The first is amount deposited in cash.

The second is amount deposited by Cheque.
The third is amount receiving by IBT-1(Inter Branch Transaction).
Page
Amount Deposited By Account Holder:

In this way there is simple procedure. The account holder only fill the voucher (F108) completely and then deposited the amount with voucher in cash into the
bank. After depositing the cash the deposit incharge can stamp the voucher and
takes slip return to the account for as evidence as cash is received by the bank
and transfer to his/her account. The amount is transferred in account holder
account within minutes after depositing the cash into the bank.
Amount Deposited By Cheque:

In this way through which an account holder can deposit amount in
his/her account by depositing Cheque of another person account which is drawn
on an account holder. An account holder first fills the Voucher (F-109) completely
and attached the Cheque and deposited into the bank. If Cheque which is
deposited is of the same bank means National Bank Pakistan than the amount
will be transfer within minutes, but if the Cheque is another bank and falls in LSC
(local short credit) than it will take time one days for transferring of amount into
the account. At last if the Cheque is fall in the SC (short credit) than it will takes
one to three days normally.
The NIFT is private institutions which collects the cheques from different banks
of different bank interpret the cheques and then debit or credit the account of
banks in the State bank. NIFT charge their commission per Cheque from the
bank to provide their services.
Amount Receiving through IBT-01:

This is new service which is recently
offer by NBP to their account holder for fastest transfer of amount from one
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account to another account of NBP bank within few minutes. A person can get
IBT-01 from and fill it how much amount of money? Where it has been
transferred?
After filling person submit it to the deposit incharge with sum of money. Deposit
incharge receive the amount and signature on IBT-01 and then original return to
customer and carbon copy kept into the bank record. After receiving the amount
by deposit officer the amount is transferred within minutes into the desire account
.This service is only available into the online branches of NBP.
Government & Pension Section:

After learning about the deposit section. He
teaches me about the Government & pension section. How government pension
voucher are fill up, how these increases are calculated and different types of
Government pensions such as P1, C1 Railway or etc. what are the government
tax that are collected here such as P-Tax. Record the transaction on daily basis
in the TRV registered and make RBVs to the respondent branch.
Working of Government & Pension Department:

Verifies the pensioner payment voucher and kept the record in the
registered.
Making the summary of collected pensions voucher which are paid.
Telly the balances with cash department regarding such payment.
After finalizing the scrolls are sending to the regional branch by post.
Credit and Advances (5th Week & 6th):
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After completion of my 4thd weeks, Mr.
Qasim Ali Shahibzada refers me under the supervision of Mr. Naveed Ali Khan on
dated 05-10-12. He is the in charge of advance, credit, Establishment Eremittance and finance. He also performs the duty of compliance officer in the
branch.
Clearing Department:
The first department I start working under the supervision of Mr. Naveed ali khan
is the clearing department.as shown from the name clearing, in this department
we separate the cheques of different bank and make summary of these cheques.
There are two types of cheques which are received by bank through their
customer. Local city cheques (LSC) and intercity (SC). Local city cheques are the
cheques of this bank which are located in the same city and clear with in one
day. Intercity or short credit is the cheques of that bank which are located in the
other cities and these cheques are cleared within three days. Before at the end of
the day a summary is prepaid regarding these cheques and then submitted to
NIFT for clearing. NIFT collector comes on daily basis and report about the
previous cheques and gets the new summary of the received cheques along with
cheques for clearing purpose.
Advance Salary:
Advance salary is facility which is provided by the NBP to the
people to get a lumsum amount of money in the time of need and return it in
easily installment with in the five years of time period. Some questions occur in
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my mind during working in this department about advance salary. I ask these
questions to Mr. Naveed Ali khan, he answered me. My question is under fallows
Which people are eligible for availing the facility of advances salaries?
Ans: In reply of this question he told me a person who is the employee of
Government or Semi-Government and Independent bodies that getting salaries
concluded NBP can avail the facility of Advance salary and his salary account
must be in our branch.
What is the procedure of get it?
Ans: The procedure is that he must apply for advance salary and fill the form for
availing the facility of advances salary and his salary account must be present in
the NBP branch from where he want get the salaries in advances.
In how many time periods you will return it?
Ans: when any person can get advance salary loan it must be return it in the
maximum period of five years according to bank policy in equal installment. If he
wants to return loan before five years than he and Bank decide the amount of
installment by mutual co-operation and set the period of loan returning according
to the desire of the person who getting loan.
Requirement for advance salary

Following are the requirement for availing the facility of Advance salary.
N.I.C.I photocopy of a person.

Employee card photocopy.
ECIB (Electronic consumer information barrower).
Nadra verisys verification.
5 open cheques up to next date of ending time period.
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Establishment:
After learning about the Advances salaries Mr. Naveed Ali
khan directed me into the Establishment department. In this department he deals
all kind of matter of the Branch Employees. The loan finance to branch staff,
medical bills of staff member, pay salaries to the staff of branch and deal all kind
of other matter of the staff member of the branch with Region according to their
circumstances. This department we can say HR department in category-II branch
of NBP. This branch also falls in Category-II.
E-Remittance:
This facility is also providing in G.T Road Rahwali branch
and this is also deal by Mr. Naveed Ali khan. In this department people can get
the money which is sending from the other country by their relatives to them.
Here we can make the payment of different companies such as Western Union,
Ria Money Transfer, and Xpress Money. Anyone who is the receiver of payment
just only takes the photocopy of his/her NICI and tells the secret Pin and get
easily amount from the NBP online branches all over in the Pakistan.
Compliance:
G.T Road Rahwali branch is falls in the category-II branch.
So due to this reason there is no Separate compliance Officer. Mr. Naveed Ali
Khan also performs the activities of a compliance officer. He daily check the all
working of the branch and point out the mistake if they occurs in the branch
working by the staff on daily basis.
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Cash n Gold
The last thing which I have been learnt from Mr.Naveed Ali khan in 6th week is
Cash n Gold. It is a facility to general public to get the short term loan from any
branch NBP against the Gold security. A person who get loan must repay the
loan within one year. If person fail the bank allow him 3 month extra grace period
to repay and get his/her Gold .if he/she even fail the bank has right to auction the
Gold which he/she pledge. In this 15.50% markup charge on the amount which is
lend against the Gold. The bank can pay Rs.40, 000/- against every 10 gm. of
net weight of Gold.
Requirement for Cash n Gold:
Following are the requirement for open cash n Gold account in the NBP.
First weight the net weight of Gold from the Bank certified jeweler and get
certificate from jeweler.
A copy of NICI person who get the loan.
NADRA verisys verification.
ECIB report.
5.4.5 Explanation of the tasks assigned to you:

Such as a internee here are many different task assign to me by my supervisors
in the bank but one day the operational manager told me to count all the files
pension holders in the bank and prepare a separate list of all categories of
pension holders according to category (central, provisional, Pakistan railway) in
computer for the use of Branch record in Alphabetical manner, because it helps
us to finding the required file from the bank record of a particular person.
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When i start works in the office I saw the cheques book system of the bank was
very bad, all the cheques books were mixed with each other at a single place
without any sequence or any order due to the lack of management skill of the
employees, so I make a Microsoft Excel software and enters all the cheques
books in that software according to their arrangement so it was very easy for
every one identify or check the cheques books of every account holder on a
single click and save a time.
Summary of Learnings:
4.6.1 What skills and qualifications you think that you have gained from the
internship?
I obtain so much knowledge from my internship. I discover how we will work in
our practical field with over peers. I also discover that how we work in the field
where everybody has its own responsibilities and they must done by it because it
is the part of their job. I also learn how we corporate with each other are in a
practical life. I obtain the succeeding assistances and experiences during my
training period in national bank of Pakistan which is very helping me in my future
practical life.
Communication with customer:
You never become more successful business in your practical life if you have
lack of communication skill. When in any department a customer come than my
supervisor directed me to meet them and try to solve their issues with bank or
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find what the reason behind they come to the bank. Due to these activities my
communication skill is improved as previous.
Problem solving skills:
I gained this skill when I was working under the supervision of MR. Naveed Ali
khan. He is also compliance officer and calls me when the figures of balance s
are not as in the Branch expense, DDs. He ask me to tally the balances of both
statement and find the missing figure which is cause of balance out and create
disturbance. During this period it is very interested period of my internship
because these thing are not part of daily routine working and it enhances my
analytical abilities of interpreting and finding the problem and their solution.
Calculation skills:During my whole period of internship when I was working in the Government and
cash department. I gained calculation skill from this department because at the
end of day I made the scroll of P1, C1, and P-Tax and then match balances with
register. Due to these activities in these department my calculation skill are
improved and I know about the new ways of calculation.
Satisfaction of customer:This is very significant skill that I have obtained from my training period. When
any account holder comes into the bank my supervisor calls and asks me to hear
the problem of that customer and then satisfied them according to the situation of
the problem of that customer. Sometime aged or illiterate customer take tuff time
to understand their problem and satisfied them. It is not easy job but I will do it by
the guidance of my supervisor.
4.6.2 Types of liabilities and responsibilities I have undertaken during my
training period.
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I myself must done different types of obligations throughout my training period
certain of which are promptness, to content the account holder, to achieve the
work in time, meet the customer and solve his or her all the problems and
provide the necessary information to him. These responsibilities tell about how I
am capable for these and how I done it.
I also have been done some other obligations, these are under fallows;
Issuing new receipts of cash deposit to the customer.

Lettering cheques for the account holder.
Issuance of new Cheque books to the customers and kept it in record.
Arranging the files of pension holder person in the alphabetically order
because it takes less time to finding the required file from the record.
Pension payments recorded in the registered and make scrolls.
Opening new account of cash n Gold.
Renewal of existing account of cash n Gold and also calculate mark-up on
these according to the number of days.
Separate the LSC (local short credit) and SC (short credit) during the
working period in clearing department and make the summary.
Create the scroll of different utility bill that are collected by bank.
Due to well knowledge of Microsoft Word and having fast typing speed,
my supervisor take a task me Letter typing for official correspondence
which increase my verbal skill and letter typing skill.
Completing the files of new advances salary holder and tell him about the
required thing which is necessary for it and then forward to Mr. Naveed Ali
khan.
4.6.3 I consider the training period will encouragement my future career

plans.
My training period is very significant for my upcoming career planning. For the
reason that it assists me conceive me the main differences between the
professional and non-professional life. Before my training period in the bank at
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that time I was actual upset about the operational procedure of bank in on daily
basis. Merely due to my training I am capable to aim my future career where I
want to go in near future. I determine to select the banking sector because its
very obscure job and I like this kind of job which I comply with during my training
period. It is totally indoor job.
4.6.4 How do you think the internship activities that you carried out are
correlated with your classroom knowledge?
My training period is totally different from that knowledge that I have learn in the
class room and knowledge gain from my teachers.
National bank of Pakistan is the station where i make practically doing work,
which we studied in our class rooms study. The teacher convey us knowledge
and tells its appreciated in the professional life. As we going to prove this
experience through scientifically we first read theories and then do practical for
the sake of sympathetic the significance and validity of these theories. As I work
in bank so the term that is study in class rooms are not fully understand at that
time but after internship I understand what actually these terms means. For
example I study in Management Roles in Management Book I cannot understand
these roles but when I went to bank for my training there I see manger as leader,
as motivator while the period of my internship. His working with other staff
members and disturbance handler for the customers, as well as for the staff
member of the branch.
So in my opinion theories have a real weight when these are professionally
examined in our life.
6.0CONCLUSION
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My training experience in NBP Rahwali Branch is so excellence. I obtain a lot of
professional skill it was very amazing and thought-provoking knowledge for me
.In my personally opinion this is identical crucial work especially at the closing of
the day. The closing of all the day working is very complex and purposefully
working is required because balances should be match. It is provided that distinct
services to its account holder. The powers of NBP are that it is performing as
Agent of State Bank of Pakistan.
Today the difficulty is challenging by NBP are presently the no implementation of
and regulations into the organization that may lead to feeble organizational
culture, old organizational culture, no regular performance appraisal and not
more use of latest IT technology in bank as other are using by their competitors.
The presence of workers and employees unions exist in National Bank of
Pakistan that practice to play organizational politics rather than of creative
productive work that leads to wastage of time.
Employees at NBP are entirely efficient. They operate more than their working
hours and it is all harmony to their will. They also clarify their loyalty, allegiance
with the organization. Employees are given the benefits like bonus, gratuity
funds, loans, increments, and medical. All the customers are contemplating
individually. Same type of attitude and attention is taken to all the customers.
Bank has chosen new applied science to keep work up to date. I found my
internship training a very remunerate adventure.
According to my view, the miserable customer relationship management,
miserable customer transaction, miserable discipline are some factors which can
damage the branch at macro level merely if branch frustrate its drawback by
utilizing its strength and opportunity obtainable in market, then it is a support to
the drowning boat.
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As far as my internship and know-how is concern, I obtain a lot of knowledge
during my training period because I obtain professional cognition before entering
in the professional life.
4.6 SWOT ANALYSIS OF NBP

I have done SWOT analysis of NBP during my internship for the better
understanding of the organization. As we know there are four element of
swot analysis which are I describe below.
Strength:
ATM founder:
As we know the NBP is first bank in the Pakistan.it is the founder of ATM
(Automatic tailor machine) in the boundary of Pakistan.
Western union facility:
NBP is the only bank which provides the service of Western Union. Due to this
feature of NBP a customer can receive their foregin remittance in the Pakistan by
providing their ID card photocopy and secret pin code.
Governments bank:
Another main strength of NBP is that it is Government owned bank and public
have more trust on it rather than the other bank in the industry.
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Agent of SBP;
Another Strength of NBP is that it is the agent of SBP (state bank of Pakistan) in
the whole country.
Customer satisfaction:
Due to the Government bank. The customer satisfaction level of NBP is higher
than the other bank, because it has surety that their money will be never
unsecure. People are less worry about NBP than other bank and more trust on
NBP.
Online banking:
Another Strength of NBP that it has online network of 1286 branches in whole
country. That makes speedy services given to its customers. Due to this strength
of NBP, it can checks the balances and daily transactions just done at one key
press.
Employees loyalty:
Strength of NBP is the trustworthiness of their employees. Employees switch
offing rate is very minimum in National Bank of Pakistan. Very little amount of
workforces are exit the jobs in National Bank of Pakistan.
Weakness:
Lack of communication between employees:
Throughout the training period in NBP I saw the issue of lack of communication
between the employees and management. They are failure to understanding the
problem of each other and not distribute the work of each other.
No fear Punishment on employees:
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As NBP is nationalized bank, due to this feature there is no any kind of
punishment fear on the employees. They are many unskilled labor are present in
the staff and top management is unable to take any action regarding them due to
the pressure of employees union.
Public dealing is ineffective:
Due to large number of customer the public dealing is ineffective. Staff never
takes care of the customer during the time of pensions payment and salary
payment.
Staff shortage:
NBP that employees are very limited that never meet the requirement. More staff
is required to come across the needs of the branch work on daily basis. They
help from internees to complete their jobs. That is reason of delay in their
completion of operation.
Lack of respect of seniors:
There is lack of respect of senior in NBP that admiration of seniors is not up to
the behaviors. Juniors bash to keep away from the seniors direction and dont
want to bring any kind of help from them.
Illiterate about computer:
Another significant weakness of NBP is that I have to note while period of my
training is lack of know-how computer which is very essential for today banking
sector.
Out dated Technology:
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One more important weakness of NBP is that they use out dated technology for
due to manual their operation which not according to the other banks in the
sector.
No training workshop:
There is no any kind of training workshop for all employee in the NBP regarding it
technology which is cause of inefficient working, because most of the employees
are unaware use of computer and done their work by manual way.
Opportunities:
Growing banking system:
As we know in this era the banking industry is growing very quickly. NBP has also
opportunity to expand their business in the sector by providing better services to
their customers.
NBP have government back:
It is opportunity for NBP to advance their services and create upward market
portions in the market for the reason that it is most trustee bank due to
governments bank.
Increase in economic activities:
The economic activities are increase nowadays, so banks are subsidizes more in
economic activities. Banks are performing vital role in trade and commerce. So
the business of commercial banks is increase.
Proper utilization of deposit.
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The deposit received by NBP is increasing day by day. It has opportunity for
proper utilization of these deposits and further invest in such a manner they earn
more profit.
Becoming largest online Bank:
NBP have wide network of branches in whole Pakistan but Only 234 fully
branches are online, so it is very hard to convert all branches to online system.
But if NBP do this they can increase their profit by providing their facilities to their
existing customer as well as new customers.
Threats:
Increase in competitor:
A new bank enters into this sector as a competitor is a danger for National
Bank of Pakistan. Number of private banks (commercial and private) increasing
day by day which deals in same type of professional and deliver the same
services to customers..
Up-to-date type of banking:
We live in the modern era, where technology helps us to do more efficiently
working in less time. NBP is Government own bank and hey never takes
attention to modern technology. Most of the branches done there working still
traditional style. Which is threat for NBP, because other competitor uses modern
technology for done their operation.
Skill staff:
Another threat for NBP is the skilled staffs of other bank that perform their
operation effective as well efficient. This leads them to high turnover and
customer divert from NBP to these bank due to better quality of service.
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7.0RECOMMENDATIONS:
At the end I made the SWOT analysis of the national Bank of Pakistan (NBP)
which show NBP is an extreme progressive institute with eminent profit on
capital, the bank has been capable to tactically bring about and build on its core
benefit, by knowing customers necessities, empathetic employees need, up to
date technology, to making social responsibility and looking towards interested
party values. Nevertheless here is additional essential for accomplishment. To
incredulous drawback and to sustain its location as an Asian Tiger in banking
field, subsequent recommendations are taken.
The power of staff must be improved and specialized eligible persons
must be engaged.
NBP need proper exercise be provided to the staff members that will
ultimately increase in the productivity more efficiently.
It is recommended that promotion will be given to the staff in due time and
on the basis of enactment to deliver job satisfaction.
There should be a proper counter for customers information in every
branch of NBP.
Sitting arrangement, air conditioning and new furniture should be
simplified.
The Bank should familiarize the computers software to survive the heavy
load of work and well control.
Additional counters should be established in order to facilitate during the
urgency days the problems faced by the bank staff as well as the account
holder.
All Branches of the NBP Bank must be online for quick service.
Departments should be established disjointedly in every branch of NBP.
The Bank should raise profit rate on deposits and saving schemes
especially for pensioners and old age citizens.
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Endeavor has remained prepared with thoughtful anxiety to give NBP a position
that it has to uphold by taking performs of:
Accurate sizing of the workforces.

Shut down these branches which bear loss.
By inaugurate a excellence based selection standard.
Promotions made experienced with qualifications.
References:
Web Pages:
http://www.sbp.org.pk/publications/prudential/ordinance_62.pdf
http://www.nbp.com.pkhttp://www.nbp.com.pk/AboutUs/BOD.aspx
http://www.nbp.com.pk/Pakremit/index.aspx
http://www.nbp.com.pk/Karobar/index.aspx
http://www.nbp.com.pk/KisanDost/index.aspx
http://www.nbp.com.pk/Saibaan/index.aspx
http://www.nbp.com.pk/ProtectionShield/index.aspx
http://www.nbp.com.pk/Islamic/index.aspx
http://www.nbp.com.pk/AboutUs/Vision.aspx
http://www.nbp.com.pk/AboutUs/Mission.aspx
http://www.nbp.com.pk/AboutUs/CoreValues.aspx
http://www.nbp.com.pk/AboutUs/Goals.aspx
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INTERNSHIP REPORT ON

NATIONAL BANK OF PAKISTAN

Internship Report Submitted to the Faculty of Management

Signature of Program Coordinator ___________________________

National Bank of Pakistan

National Bank of Pakistan

This humble effort is dedicated

National Bank of Pakistan

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

5.3 Organizational Structure

5.4 Internees Work (Part-II)

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

5.4.3 Weekly Timetable

5.4.4 Working Department Description and Operations Performed

Government and pensions

Credit and advances

E-Remittance and Finance against Pledge of Gold

5.4.5 Description of the tasks assigned to us

Skills and Qualifications gained

Responsibilities Under taken

Influence of Internship on our future career

Internship activities and our Classroom activities

Conclusion of the Report

7.0 Recommendations and References

National Bank of Pakistan

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

To apply the theory in practical situations.

2.0OVERVIEW OF THE ORGANIZATIONAL:

National Bank of Pakistan

3.1 Brief History:

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

2.2 NATURE OF THE ORGANIZATION

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

To be recognized as a leader and a

NBP will aspire to the values that

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

Highest standards of Integrity

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

2.3 BUSINESS V0LUME

All amounts in billion

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

These are the Award and achievement of National Bank of Pakistan.

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

2.4 PRODUCT AND SERVICE LINES:

7. NBP Cash n Gold

Sohail Yousaf (11022720-074) FMAS

National Bank of Pakistan

Earn up to 12.25% p.a. +

+ Profit rates are expected

Profit Rates (%) ***