Documente Academic
Documente Profesional
Documente Cultură
This report is about my internship that I have undergone at Askari Bank Limited
Multan Branch from 2nd June 2008 to 18th July 08. During my internship I am able
to learn practical aspect of business, and get good working experience.
On the very first day of my internship I reported to Operation Manager Mr. Noor ul
Islam. He gave me small introduction of the Bank and introduced me to the staff of
the Bank. Every internee is rotated among the Banks departments and so was I.
This rotation is done in order to have general concept regarding Banks functions,
operations and policies. In this rotation the stay in department is usually a week. I
have learned more about the Basic Banking, Credits and Foreign Trade department
and have given below the caption of activities I was involved in during the period of
six weeks.
During my internship I found that Askari Bank is a best Bank in Multan because
most of the Exports and Imports in Multan are done through this Bank. Multan is one
of the cotton growing cities of Pakistan. Most of the businesses in Multan are
directly or indirectly linked to cotton that is also the case with Askari Banks clients.
Because Multan is an Agricultural City, and its major export is Cotton and Mango.
So its export is done on seasonal basis. In the season of cotton and Mango export
Askari Bank get its target easily but difficult for it to get its target in the off season.
Low profit rates used to be one of the major reasons for not meeting the deposit
targets. The profit rates on Askari deposit schemes were quite low when compared
with other Banks especially with the National Saving Centers, but now Askari Bank
is giving a comparatively high profit rates to its customers. In todays every
customer is a rational customer, he knows the value of money and wants a best
return on his money.
INTRODUCTION TO BANK:
Askari Bank Limited (AKBL) works as a Unit of Army Welfare Trust was established
for the Welfare of Army Officials. The office of Army Welfare Trust is situated at AWT
Plaza, Rawalpindi. AWT offers the AWT Saving Scheme to the army officials only.
AWT has its units as under:
Askari Associates.
Askari Leasing.
Askari General.
Private Business.
Textile Mills.
Cement Industry.
Askari Commercial Bank.
Askari Bank Limited continues to scale new heights in all areas of its operations. The
safety and security of depositors funds, high productivity and optimum use of
technology are the hallmarks of its corporate strength.
In 1994, AKBL earned international recognition as Asia Money Award and the title of
Best Commercial Bank of Pakistan for the year 1994, while Euro money declared
the Bank as best domestic Bank of Pakistan for the year 1995.
It is located on Abdali Road Opposite to PIA Office. The location is connected to all
the main trade centers in Multan. It is a prosperous branch streaming towards great
achievements.
At the time of its establishment the factored who were considered are as follows
Multan is zone covering a large population.
Multan City is linked to many big cities.
Agro based area constituting growers and gainers
Army Offices & Fort Colony
Educational Institution
DEPARTMENTS:
Borrowing funds from different sources has become an essential feature of todays
business enterprises. But in the case of a bank borrowing funds from outside parties
is al l the more vital because the entire banking system is based on it. The borrowed
capital of a bank is much greater their own capital. Banks borrowing is mostly in
the form of deposits. These deposits are lent out to different parties. Such deposit
creation is done through opening an account in the Bank.
In AKBL Multan Mr. Sheeraz Hassan is operating the account opening department
along with performing some auxiliary functions of Check Book Issuing
TYPES OF ACCOUNTS
CURRENT ACCOUNT
In current account there is no interest on it. It is for only transaction purposes. They
are paid on demand. When a banker accepts a demand deposit, he incurs the
obligation of the paying all cheques drawn against him to the extended of the
balance in the account. As there is no profit paid on this account it is also called
chequing account because cheques can be drawn on it. Current account is mostly
opened for business.
SAVING ACCOUNT
The purpose of this account is to induce the habit of saving individuals in the
neighborhood. The minimum deposit for opening the account is Rs.1050/- (as
obvious in the Annexure).
Though individuals open such accounts for saving purpose, persons belonging to
Armed forces and different military institutions are free to use this account on
current basis.
ASDA account is an interest bearing current account interest is paid. The payment
of return is monthly, where as the rate of return with aspect to the amount of
minimum deposit clear from deposit schedules in following table). It is also chequing
account because cheques can be drawn on it. It is necessary for this account that
the client must maintain a minimum balance of Rs. 50,000 at the end of the month.
Thats why it is similar to current account. It is mostly opened by Business but
individuals too open this account.
Tax of 0.3% would be deducted on ASDA if withdrawals are more than Rs.25,000.
TERM DEPOSITS
A term deposit is a deposit that is made for a certain periods of time at the end of
the specific period. the customer is allowed to with draw the principle amount .
AKBLs Term deposits are of types clear in the deposit scheme in the table). One of
them is Askari Advantage one month. The rate of return on this account is set by
head office. The term deposit account vary one month to 1 year for all following
accounts (as clear from Deposit Scheme in the table).
Fro the chequing accounts (C/A, ASDA, SAVING), there are different types of account
holders are required for all these types of account holders. The operation /procedure
requirement that is needed for Individual Account differ greatly from Joint
account proprietorship Partner ship , Limited Company
INDIVIDUALS ACCOUNT
When a single man or women opens an account in his/her own name and has the
right to operate it is called individual Account.
DOCUMENTATION REQUIREMENT
OPERATION
The person place a Check Mark in the type of account and type of operation
required
He/She fills in part-I of the form , a fix his /her either two or four similar signature
(or thumb expression in the signature space and get it introduced and signed by a
person who already has an account with the bank and write his account no in the
specific rows in a specific space.
The person fills in next of Kin position where he/she father, mother, husband/wife
or any other relatives name, his /her address, phone no and affix his/her signature
to certify this requirement. This requirement is needed because in his/her absence
bank can have correspondence with the specific person.
The person put her /his signature ( or thumb expression) on the signature
Specimen Card (SS CARD) similar in the area on the form. One the back of S.S card
mailing address, telephone no, Person to contact and introducer space is filled in. All
these requirement are necessary for future
The person deposits the initial amount for opening account on to the cash counter.
The person put his signature on form -A (check book requisition) on two places in
authorized signature and fills in the Title of Account space by writing his name.
If the person put his signature in Urdu or any language other than English, he
signed a Vernacular form where under take that affixed signature are original and
his own signature and two postal size photos are needed.
The next day is the opening of account.
JOINT ACCOUNT
When two or more persons, neither partners, nor trustees, open an in their name is
called joint Account. Husband and wife or two persons of same sex can open joint
account.
DOCUMENTATION
For joint account copy of National Identity Card of all the persons is obtained other
things remaining same as in individuals account.
OPERATION
The person checks the type of amount and type of operation required in the
respective box on the form.
The persons fill in the Part-I and part-II in the form.
Signatures of both persons are obtained on the form in the area specified for
signature and S.S. Card.
In the title of account space names of all the persons are mentioned.
Accounts holder specified in the form that they will operate the form singly or
jointly.
PROPRIETORSHIP ACCOUNT
When an owner of a firm operating singly, opens an account in his firm name, this
account is called a proprietorship Account the proper himself liable for all his acts.
DOCUMENTATION REQUIRED
For this kind of account, an application for opening the account on the firm letter
-pad (having the firm name) is required along with the NIC Card of proprietor.
OPERATION
All operation remains the same except that the firm name is written in the Title of
the Account area and signature of the proprietor are affixed in the S.S. Card and
the area specified for signatures on the form.
The account is opened in the firm name and all partner designate one two persons
to act on behalf of the partner ship firmer all acts on behalf of firm. The partners in
the partnership firm are liable for the acts of the firm jointly and severely. Every
partner has in a firm has an implied authority bind his co. partners by drawing and
enclosed cheques.
DOCUMENTATIONS
OPERATION
All other requirement remain same except that the form is dully signed by all
partners cards are signed by all those partners who will act on behalf of the firm and
along filling part-I , Part-Iv is also filled.
This account is for limited companies. In order to facilitate their transaction with
outside parties, bank provides many facilities.
DOCUMENTATION REQUIRED
Memorandum of Association.
Articles of the Association
Resolution of the Board of Director.
Certificate of Incorporation.
Certificate of commencement of business
N-I-C
OPERATION
The persons authorized in the Resolution of the Board of Directors put their
signatures on S.S Cards. Next of kin requirement is not need in case of a Limited
Company. After completing each and every formality, introducer signature is verified
by S.S card and is stamped Verified customer signatures are admitted by
stamping Admitting near signature and again signatures on S.S card are admitted
in the same way. The same process of verification and admission of the signatures is
repeated on Form-A and next of Kin area.
After completing each and every formality, Accountant is open in the computer by
writing name, address, A/C Number etc.
At the start of the letter 2nd day, AKBL issues letter of thanks to Account opener
and account opener and Account Introducer for the trust the have on AKBL.
Check books are issued only for checking account such as current Account, saving
Account and ASDA Account. They are not issued for other fixed and term deposits
because of their Long term Accounts nature.
ISSUING PROCEDURE
Signatures on cheque book requisition are verified by matching with signatures on
SS.
Cheque book leaves number, account number, account holders name are
mentioned in the cheque- book is made by mentioning the and the total of sum of
excise duty and provincial tax.
The name of A/c holder and date of cheque book issuance is written on cheque
book requisition the account-opening officer puts his initials on requisition leave.
A/c number is stamped over the leaves of cheque book and finally authorized
person affix his signature over the debit voucher and he voucher is attached from
the cheque book and is handed over to the customer .
ACCOUNT CLOSING
Account is closed on the written request of the customer AKBL free of cost. But to
surrender the cheque book yet if some leaves are yet to be write to the bank as a
necessary requirements for closing the account.
PROCEDURE
The customer for individuals account write an application to the manager of the
bank an a simple paper about the closing of his account with the bank (In case of
proprietor ship partnership and limited company account the application should be
written an firm or company letter head)
The individual or in case of other type- proprietor firm and company surrender the
cheque book to the bank.
The cheque book is then torn from one side and is attached with the application.
In case of Ltd. Company account resolution of the board of directors is also obtained
to attach it with the application.
The account opening form of the account holder is taken from the account-opening
file, and the application, cheque book, and resolution of board of directors in case of
limited company account are attached with the form.
Lastly, it is written in Red Ink on the form that account closed and Date of
account closing.
EVERYDAY POSTING
50(for 10 leaves)
Rs 5/leave.
This department deals in issuing ATM-Card, term deposits and Askari Bachat
Certificate. Mr. Sheeraz Hassan deals this department.
ATM CARD
ISSUING PROCEDURE
The person, first open the account within the blank.
Then he fills the ATM application form in which name of account holder, Fathers
name account number and N.I.Card number are mentioned.
A copy of N.I. card is also attached with the application form.
After completing this process, the application package is sent to head office
ACBL head office takes a period of 3-4 weeks for preparing and processing of ATM
cards. First, list of card holder is issued and then after 15 days cards are send to
ACBLs issuing branch. The card and list are not sent simultaneously in order to
avoid any mishandling.
ACBL takes Rs. 350/- for 1st time issuance as charges for a card
Biannually takes Rs 75.
ACCOUNTING DEPARTMENT
Accounts department is a department which deals and checks all the activity of all
the department .It also deals in expression of finance of the bank. Salary payment is
also one function of the bank.
Accounts department deals and checks the entire working of the Branch; all the
vouchers that have been posted at the computer are scrutinized in accounts
department. The End of Day i.e. computer print is also received from the
computer. The next day the activity is separated some statements from the End of
Day. Then next day activity separated some statements from the End of Day.
The vouchers are sorted out head wise. The vouchers are matched with the entries
in the statements.
Any abnormality if occurs, is immediately dealt with. All the vouchers and
instruction are checked individually are checked individually against the computer
printouts. After checking they are signed by Mr. .Naeem Shehzad and the internal
auditor Mr. Shafiq.
OTHER ACTIVITIES
Preparation of daily bank positions statement
Payment of salaries
REMITTANCE DEPARTMENT:
Demand Draft:
It is an instrument payable on demand for which value has been received, issued by
the branch of the Bank drawn i.e. payable at some other place (branch) of the same
Bank. If two Banks are involved then the DD is sent to other Bank but in other case
it is handed over to the applicant.
Issuance Procedure:
A demand draft application is given to the customer, he fills in relevant information
and signs it.
The officer checks the information form.
The Bank charges such as commission, excise duty is charged as per effective
schedule of charges. If he fills the tax exemption form, tax is not charged.
In case of cash deposit, the cashier counts the amount and signs the DD application
and enters it in the register.
Then the officer of remittance department signs it and operation manager counter
signs it.
The entry is made in the DD issuing register, DD is given to the customer.
Vouchers are prepared and posted.
DD advises are printed and mailed to the respective branch.
Payment Procedure:
The Bank receives DD.
The DD credit advice is received through mail. The numbers are checked and
signatures are verified.
An entry is made on the DD payable register and the vouchers are made.
DD credit is attached with the vouchers and given for posting to the computer.
When DD is received the test numbers are checked and the payment is made.
Vouchers are given for posting and the entry that was made in the register is closed
i.e. DD payable is Nil.
Pay Order:
It is an instrument issued for payment in same city. Pay order issued from on e
branch can only be payable from the same branch. It is normally referred to as
Bankers cheque. It is also called confirmed cheque, because Bank issues this on it
own guarantee.
Issuance Procedure:
The standard form is given to the customer. He fills in the details and signs it.
The concerned officer checks the form.
Bank charges (or commission) as per the schedule of charges and the withholding
tax of 0.3% are applied.
The cash amount of the pay order is received.
A cash memo is signed, stamped and handed over to the applicant as a receipt.
Then the pay order receipt is filled accordingly.
Counter foil is also filled.
An entry is made in the pay order issue register.
Then the authorized officer signs it after checking the pay order.
The order is then handed over to the applicant after obtaining his signature on the
PO Form.
A voucher is also made and posted at the computer.
Payment Procedure:
On presentation of the pay order receipt, two authorized officers of the branch sign
the receipt.
PO entry is made in the PO issue register.
Then the amount is credited to the account of the customer or pain in cash.
PO is posted at the computer.
The bills, which are received by the Bank and sent to other cities (branches) for the
local clearing in that city, are called Outward Bills for Collection.
Procedure:
The bills, which are received by the Bank from other branches out of the city for
local clearing are called Inward Bills for Collection.
Procedure:
The OBC of other branches will be the IBC of this branch. So an OBC forwarding
schedule is received by mail.
The cheques are entered in the IBC register. The IBC numbers are allotted to them.
The cheques are lodged for clearing.
After realization, an IBCA is prepared and mailed to the branch from where the
cheque was received.
At the end of the day, two vouchers are prepared and posted.
There are not hard and fast rules for becoming the Foreign Currency Account holder.
Bank wants only introduction of the Client and very little about the background. I.D
card is also not necessary, if someone has; well and good, otherwise no restriction
will be there for him.
There will be no restriction and questioning to him about the currency, which he
wants to deposit that from where he got that money.
No Zakat will be deducted on these accounts; no Income Tax deduction, no Wealth
Tax deduction will be there.
These incentives reinforce and motivated the people to invest in foreign currency
accounts rather to keep the foreign currency idle.
Foreign currency accounts can easily be transferred from one person to another,
one place to another, with in the ACBL Branches or in other Bank.
The account holder can transfer the funds freely, in any currency to any part of the
world.
Foreign currency Accounts can be used for payment of purchases at Duty Free
shops.
FACILITIES
EXPORT
Post-shipment financing
Remittance against agent commission
Forward covered booking
Handling the documents for negotiation according to the UCP 500 (uniform custom
and practices)
Handling the documents for collection according to URR (uniform rules for
collection)
Submission of monthly returns to SBP regarding the export on form A-2/O-2
IMPORT
Opening the letter of credit
Scrutinize the documents receive from flowing bank under letter of credit. Account
to UCP 500 and extending the credit facility to the importer informs FIM (finance
against imported merchandise) FATR (finance against trust receipt).
Arrange forward cover booking regarding import payments
Also arrange forward cover booking for letter of credit open other then ACBL
Submission of monthly returns to SBP regarding the import on form I
SWOT ANALYSIS
Strengths:
AKBL has got a well-developed on-line system in most of its branches. Remittance
Department is working very efficiently in transferring the funds of people due to this
system.
The Bank has also started ATM facility in most of its branches. 24-hour Banking is
new trend in Pakistan and AKBL has also taken apart in this trend.
One distinctive feature of the Bank is that it is the only Bank working for the welfare
of army officers, which was established by Army Welfare Trust.
The productivity of the Bank is very good. Bank is providing a high quality service to
its customers.
AKBL have strength that most of the imports which are done in Multan are handle
by AKBL Multan.
Weaknesses:
AKBL has lesser number of branches as compared to many other branches. Due to
this problem, army officers can not avail the benefits of their own Bank.
The human resource department is not performing the function of selection and
recruitment very effectively. Selection process is not on merit due to which
competent persons cannot be selected.
Bank should boost the product development and increase the range of facilities
offered for customers.
Bank is weak in its credit management. Bank should lend to very sound parties and
increase its payment rate.
Opportunities:
Govt. is taking very bold steps to promote IT in Pakistan. AKBL has an opportunity to
improve in technology.
Threats:
AKBL has many competitors, which are continuously increasing its products and
marketing aggressively. It may cause its customers to shift to competitors.
Some other Banks have competent taskforce, which is also a threat for AKBL.
Because human resource is the most valuable resource.
Due to the increased bad situation of Pakistan in which army is considered to be
involved increase the frequency of withdrawals, which would decrease deposits.
Financial Analysis:
Financial Highlights
The current years profit (2007) after taxation of the bank stood at Rs. 2,681,012 as
compared to Rs. 2,249,974 for last year. The deposits decreased by 16.49% to Rs.
11,197,424 as against Rs. 13,044,593 as on 31 Dec 2006. The loans and advances
figure stood at R.s 5,521,030 reflect on the improving market image of Askari Bank
as a formidable financial institution.
Ratio Analysis
1.04
0.93
0.09
0.93
0.22
0.21
0.26
ROA
0.02
0.22
0.12
0.02
Earning assets are the assets which are very important for any company for the
bank earning assets are the assets on which bank can earn its profit which may
includes loans, advances, operating fixed assets and other assets on the loans and
advances bank can make profit by giving or investing in some where so Askari Bank
has increased its earning assets in the year 2007 as compared to the previous year
that show the good trend in the profitability of the Askari bank and the customer
believe on the Bank.
Ratio tells that on what percentage earning assets contribute the total assets. Well
bank also has increased its earning assets ratio shows the more profitability of the
bank as it can be shown by the profit and loss account of the 2007 that shows the
net mark up income more for the year as compared to the previous year so bank is
going gradually to the more profitability by giving more advances and loans.
Earning assetsASSETS
2007
Cash 13356055
Balances with other banks
Lending
3497054
14444143
Investments 39431005
Advances
100780162
5128428
176636847
TOTAL182171885
Formula:
= 176636847 / 182171885
= 0.969616
Rs. 176636847
This ratio indicates the how much of earning assets take part in making of the profit
before taxation. This ratio is decreased during the year. Why is it so it has different
reasons these are as follows
Profit before taxation was more in the previous year as compared to the year 2007
because bank has low expenses and less provision for the bad debts and also bank
has small investments and limited loans and advances but in 2007 situation has
changed and bank increased its loans and advances.
Earning assets were also low in the previous year as compared to the 2007 so
overall ratio has been decreased but shows the good trend for the making of long
term planning
Formula:
= 2,681,012 / 176636847
= .015
losses should probably be. Consequently, this would reduce net income and
earnings per share.
Well in the year 2007 banks this ratio has been increased to a great extent due to
different reasons theses are as follows.
Profit before taxation is low for the 2007 due to more expenses because bank is in
expanding mode thats why its expenses are increasing day by day.
Provisions and bad debts also increased in the year 2007 because bank also has
invested more in this year and ad more also granted more loans.
Formula:
Provision against non-performing loan and advances / profit (loss) before tax
= 3,920,240 / 2,299,785
= 1.70
Loan to deposit
Well there is a concept that banks loans are its assets while its deposits are
liabilities. But if a bank has low deposits then obviously it will give low loans
because bank gives its loans by the deposits and earn on the loans then pay mark
up on the deposits to the customers.
Well bank has increased its loans to deposits ratio in the year 2007 showing its
more deposits as well more loans and that is good for the bank to remain in the
market and to penetrate in the market.
But profit has not increased with the same ratio because
Formula:
Loans / deposit
= 14444143 / 11,197,424
= 1.289
Current ratio
This ratio indicates the liquidity of the bank. Well this ratio has been decreased but
nt much decreased during the year to a small extent due to
So overall we can say bank is the liquid enough to pay its liabilities
Formula :
= 171508419 / 166214583
= 1.03
Debt Ratio:
Debt ratio remained the same in previous year it was .93 and in 2007 its again 0.93.
Bank has not decreased its debt ratio in 2007.
Net profit margin of a bank has been increased from 0.12 to 0.21.
Comparing analytical data for a current period with similar computations for prior
years affords some basis for judging whether the condition of the business is
improving or worsening. This comparison of data over time is called as horizontal or
trend analysis, to express the idea of reviewing data for a number of consecutive
HORIZONTAL ANALYSIS
2007
2006
%age
14879230
-1523175
-10.2369
ASSETS
Cash
13356055
3497054
7333002
-3835948
Lendings
14444143
8392950
6051193
72.09852
Investments
39431005
28625915
10805090
37.74583
Advances
100780162
99179372
1600790
1.614035
o.fixd assets
5128428
3810331
1318097
34.59272
other assets
TOTAL
5535038
182171885
3812788
1722250
166033588 16138297
45.17036
9.719899
LIABILITIES
bills payable
2627051
1839077
787974
42.84617
Borrowings
17553525
14964087
2589438
17.30435
deposits&other acc
143036707
131839283 11197424
8.493238
sub-ord loans
2997300
2998500
-1200 -0.04002
471519
736298
-264779
TOTAL
3219796
169905898
Net assets
12265987
2603113
616683
154980358 14925540
-35.9608
23.69021
9.630601
11053230
1212757
2006
%age
interest earned
12596921
2546320
20.21383
6977313
1708311
24.48379
5619608
838009
15143241
6457617
10.97197
1128137
value of investment
1501
376
1128513
2793228
2792103
247.4968
1125 299.2021
247.514
2535876
4491095
-1955219
1072868
1013660
592085.841012
fee,comm,brockerage income
dividends income
137079
109326
2775325.38554
584344
7141712.22174
2248777
1999.375
unleasing gain
1728
other income
336809
112474
7101372
6630349
150514.677739
4565496
471023
2139254
2426242
7.104045
4789536
3277353
1512183
46.14038
12051
4801587
3283494
1518093
2299785
3346855
-1047070
-31.2852
983875
-885340
-89.985
current yrs
98535
prior yrs
-233950
Deferred
-245812
-381227
113006
1096881
-358818
-317.521
-1478108
-134.756
2249974
431038
19.15747
1799979
1617597
182382
11.27487
4480991
3867571
613420
15.8606
VERTICAL ANALYSIS
2007
2006
ASSETS
cash
13356055
7.331567657
14879230
63.18030698
8.961578
7333002
4.416577
lendings
14444143
Investments 39431005
advances
7.928854115
21.64494538
28625915
100780162 55.32146851
8392950
5.054971
17.24104
99179372
59.73452
2.815158881
3810331
2.294916
3.038360173
3812788
2.296396
TOTAL
182171885
166033588
LIABILITIES
1.442072689
1839077
1.107654
Borrowings 17553525
9.635693784
14964087
9.012687
131839283 79.40519
Sub-ord loans
2997300
1.645314259
2998500
1.80596
471519
0.258831927
736298
0.443463
other liab
3219796
1.767449461
2603113
1.567823
TOTAL
169905898
154980358
Net assets
12265987
11053230
Operating assets has been decreased so that is in favor of the bank. On the
liabilities side bank also has increased its bills payable that shows that bank has
certain increased in the liabilities as well banks deposits also increased showing the
great penetration in the market place as well customers believe on the bank to
make deposits thats why banks mark up expense has been increased. Equity also
increased in the previous year but banks profit has been decreased because bank
has invested so much and in the development process so increased in the
expenses. Overall banks financial position in the marketplace has been increased in
terms of deposits and advances. All these reasons are favorable to the bank in year
2006 because at one side banks assets have been increased in the form of
advances and at other side markup income increased due to deposits because bank
can more invest it
Balance Sheets one portion that is Assets shows certain changes during the year.
e.g
Cash & balances with treasury banks have been increased that shows the bank has
fulfilled and improved SBP requirements because of maintenance of foreign
currency as well as Pakistani currency with other banks due to this balances with
the other banks whether outside the Pakistan or inside the Pakistan have been
increased.
While investment have been decreased due to making balances with the other
banks and so advances increased by giving more to the customers so earning power
also increased. In 2007 bank not lend money to the financial institutions. Banks
operating fixed assets have been decreased to a small extent due to this profit also
is increased because bank is the service organization and for service organizations
no need of more operating fixed assets. Banks deposits and other accounts have
not been increased to the same extent as bank is giving advances. Well that shows
a positive trend because bank expenses would be automatically decreased that are
due to cash management.
Banks net assets have been decreased because of less operating fixed assets and
also due to increase in liabilities. Balance Sheet shows the assets are more
contributed by the Advances and liabilities are more contributed y the Deposits that
are favorable for the Bank. Overall result is less profit for 2007 as compared to
2006. But this has certain different reasons these are as follows
More advances
Increase in deposits
All these reasons are favorable to the bank in year 2007 because at one side banks
assets have been increased in the form of advances and at other side markup
income increased due to deposits because bank can more invest it.
Recommendations:
Already the bank is having a good infrastructure not much recommendations are
needed as a manager but few can work :Customers should be given some sort of facilities which can convince people for
investment and go for Askari bank for Exports n Imports.
Fist floor of bank is much congested, there is needed to work on that.
There is not a proper environment of customer dealing on that floor thats why
customer feels difficulty in that.
Accounts department was much congested, so area of that department should be
extended.
After biannually closing of bank there should be a get together of all the employees
of bank which can give them a healthy atmosphere to work.
Few of the employees used to interfere in others work so they should be strictly
advised to perform their own duty well.