Chapter-I

INTRODUCTION

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1.0 Introduction:

Banking sector in Bangladesh today is a rapidly developing area. The central bank has set
new guidelines for the advisors of commercial banks, restricting them from normal banking
activities. The new guidelines would be applicable for all banks operating in Bangladesh,
expect new special ones, with immediate effect, said a Bangladesh bank circular. It said, he
shall not exercise power or able to involve in any decision making process in the banking
affairs, Meghna Bank including financial, administrative or operational activities on specific
issues or problems, the circular said. The commercial banks could submit proposals for
approval of the central bank to appoint advisor for a specific period of one year it added.
Meghna bank limited is considered as the most rising national commercial bank is this
country. This report has find out their problems and prospects and made this report with
proper solution and recommendation. If the authority follows the recommendation they can
improve their position.

Meghna bank limited is regarded as the pioneer in the private sector baking of Bangladesh.
Meghna bank started its journey with the noble vision of diversifying banking activities into
different activities of client service in2013. The bank is also committed to fulfill its
responsibilities to the society and the country.

Banking is not only a profit- oriented commercial institution but is has a public base and
social commitment. Admitting this true MGBL is going on with its diversified baking
activities.

A team of highly qualified and experienced professional headed by the managing DIRECTOR
of the bank who has vast baking experience operates bank and are the top there is an
efficient board of DIRECTORs for making policies.

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1.01 objective of the study:
The main objective of this internship program is to get a particular insight into the real life
activities of the financial
Institution such as banks and be prepared for the practical work experience in the future by
gaining practical knowledge and ideas about the banking operations. The main objectives are:
• To make an analysis of the practical implementation of the theoretical knowledge gained
through the classroom study.
• To be familiar with the various aspect of the banking firm and develop an understanding about
the actual activities of the work.
• To analyze the banking process of operation.
• To enhance the communication, interpersonal and public relation skill through direct
interaction with the customer.

1.02 Origin of the study:

Bachelor of Business Administration (BBA) Course requires a three months attachment with an
organization followed by a report assigned by the faculty supervisor. I took the opportunity to
do my internship in Meghna Bank Limited, South Surma Branch. Actually this is a feedback
which department accepts from the students who join in an organization after the completion of
theoretical part of the BBA program. My faculty supervisor Md. Suhel Ahmed Senior Lecture of
Business Administration, Metropolitan University, Sylhet. She instructed me to prepare a
report on “Foreign Remittance Activities at Meghna Bank Limited, South Surma Branch”
as part of the fulfillment of internship requirement. ‘

1.03 Rational of the Study:

The first and important reason of emphasizing in foreign remittance section is that I spend a lot
of time in these sections during my internship period. In additional large volume of transaction
occurs in these sections of South Surma Branch. Moreover foreign remittance transactions plays
in important role in the economy of Bangladesh and I hope getting proper knowledge of these
sector will assist me to develop my career better in future.

1.04 Scope of the Study:

The Meghna Bank Ltd is one of the leading banks in Bangladesh. The scope of the study is quiet
wide as this report has covered the banking activities that South Surma Branch performs such as
account opening, cash, clearing or transfer transaction, advance or loan, foreign remittance and

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so on. Moreover some emphasis is given is on foreign remittance activities of South Surma
Branch. After getting knowledge about these activities analysis is made on findings.

1.05 Methodology of the study:

Certain methods and techniques were utilized to collect data for this report. Collected data and
information were tabulated, processed and analyzed critically in order to make the report
informative. Both primary and secondary sources of data were chosen as effective means of
collecting data relevant for this report.

Source of Data:

<>. Primary Source of Data:

• Direct observation.
• Discussion with officials of The Meghna Bank Ltd.
• Face to face unstructured conversation with the clients and customers.
• Structured Questionnaire to the clients of the bank.

<>. Secondary Sources of Data:

• Internet, official website of the bank.

• Annual Reports of Meghna Bank Ltd.
• Other published journals and documents of Meghna Bank Ltd.
• Various brochures on the products and services offered by Meghna Bank Ltd.
• From last few year report and data.

1.05 Limitations of the study

The researcher tried best and there has no dearth of since o make the report. But, there were
some limitations also.
• Time was a major constraint in preparing the report. The duration was only twelve weeks. It
was too limited to cover all the banking services area.

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• Due to the bank’s policy of maintaining secrecy many data can not reveal in this report
• As the researcher was working for Meghna Bank Limited, researcher could not interview
employees from its competitors, as it would have been the case normally, and thus had to rely
solely on information available to the public.

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 CHAPTER-II
ORGANIZATION PROFILE

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2.0 Historical Background of the Meghna Bank Limited
Meghna Bank Limited is one of the leading local private commercial banks in Bangladesh. This
Bank has already 42 branches located in different places and also going to establish more
branches. This organization has created a positive image to the customer’s mind by providing
better service. This bank has introduced some modem banking scheme that has got high market
demand. As it maintain the pace with the competitive business world, its activities, culture,
philosophy and style leads an intern student to be the best at any field of working life.

Credit division is the heart of the banking system as is in Meghna Bank Limited. It is very much
related with the corporate banking. Credit management is the lifeblood of managing risk in a
consumer portfolio. Credit division is responsible for allowing all the credit facilities given to
the potential customers.

Meghna Bank started its journey with the noble vision of diversifying banking activities into
different activities of client service. The bank is also committed to fulfill its responsibilities to
the society and the country. Meghna Bank Limited has its prosperous past, glorious present,
prospective future and under processing projects and activities.

Meghna Bank Limited was born as the first hundred percent Bangladeshi owned Bank in the
private sector. From the very inception it is the firm determination of Meghna Bank Limited to
play a vital role in the national economy. We are determined to bring back the long forgotten
taste of banking services and flavors. We want to serve each one promptly and with a sense of
dedication and dignity.

The then President of the People’s Republic of Bangladesh Justice Ahsanuddin Chowdhury
inaugurated the bank formally on April 21, 2013 but the first branch at Suvastu Imam Square (
Ground Floor ) , 65 Gulshan Avenue Gulshan-01, Dhaka-1212 , started functioning on May 08
2013.The 2nd Branch was opened on May 08, 2013 at Suvastu Imam Square ( Level-06 ) , 65

Gulshan Avenue, Gulshan-01, Dhaka-1212. Today they have total 42 Branches all over
Bangladesh.

Since the very beginning, the Bank exerted much emphasis on overseas operation and handled a
sizeable quantum of homebound foreign remittance. The Bank established extensive drawing
arrangement network with Banks and Exchange Companies located in important countries of the
world. Expatriates Bangladeshi wage earners residing in those countries can now easily remit
their hard-earned money to the country with confidence, safety and speed.
In the year 2013, the Bank managed to procure foreign remittance business to the tune of
US$88.44 million dollar equivalent to Tk.4,662.10 million compared to Tk.3,986.20 million in
the previous year indicating a growth of 16.96%

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Considering the need for remittance by the expatriates Bangladeshis residing abroad the Bank
during the year established drawing arrangement with the Pacific Bank Berhad, Malaysia (now
May Bank), Security Exchange Company Limited, State of Kuwait and Daily Exchange, State
of Bahrain.

Now MGBL is on line to establish trade and communication with the Prime International
banking companies of the world. As a result MGBL will be able to build a strong root in
international.

Banking horizon. Bank has been drawing arrangement with well conversant money transfer
service agency “Western Union”. It has a full time arrangement for speedy transfer of money all
over the world.

2.01 Management of the Meghna Bank Limited

Meghna Bank Limited is proud to have a team of highly motivated, well-educated and
experienced executives who have been contributing substantially to the continued progress of
the bank. The management is well supported and assisted by well-motivated and experienced
officers to run the day-to-day affairs of the bank smoothly.

The different departments/divisions in Head Office are entrusted with the responsibility of
overall management function. The names of those departments / divisions are as under:

a. Credit Division.
b. International Division.
c. Financial Control & Accounts Division.
d. IT’S Division.
e. Internal Control & Compliance Division.
f. Share Division.
g. Human Resources Division.

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2.02 Nature of Business of the Meghna Bank Limited
As a commercial bank, Meghna Bank Limited does all traditional banking business including
the wide range of savings and credit scheme products, retail banking and ancillary services with
the support of modern technology and professional excellence. The bank has launched a number
of financial products and services since its inception.

2.03 Vision of the Meghna Bank Limited

• To be a premier banking institution in Bangladesh and contribute significantly to the Meghna
economy.

2.04 Mission of the Meghna Bank Limited

• High quality financial services with state of the art technology.
• Fast customer service.
Sustainable growth strategy.
• Follow ethical standards in business.
• Steady return on shareholders’ equity.
• Innovative banking at a competitive price.
• Attract and retain quality human resource.
• Commitment to Corporate Social Responsibility.
• To the best for the next.

2.05 OBJECTIVE OF THE STUDY

> Bring modern banking facilities to the doorsteps of general public through diversification of
services, thereby arousing saving propensity among the people.

> Foreign ordial, deep rooted and farm banker customer relationship by dispensing prompt and
improved clientele services.

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> Taking part in the development of the national economy through productive development of
the banks resources as well as patronizing different social activities
.
> Connecting clients to modern banking practices by the best application of improved
information technology, so that they get encouraged to continue and feel proud of banking with
Meghna Bank Limited.
> Ensuring highest use of the professional workforce through enhancement of their attitude and
competence.

> Responding to the need of the time by participating in the syndicated large loan financing with
like-minded bank of the country, thereby expending the area of investment.

> Elevating the image of the bank at home and abroad by sustained expansion of its activities.

2.06 STRATEGIES OF MEGHNA BANK LIMITED

> To manage and operate the bank in the most efficient manner to enhance financial
performance and to control cost of fund.

> To strive for customer satisfaction through quality control and delivery of timely services.

> To identify customer credit and other banking needs and monitor their perception towards our
performance in meeting those and update requirement.

> To review and update policies procedures and practices to enhance the ability to extend better
services to customers.

> To train and develop all employs and provide them adequate resources so that customer need
can responsibility addressed.

> To increase direct contract with customer in order to cultivate a closer relationship
.

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2.07 BUSINESS GOAL
To patronize, sponsor and encouraged games and sports, entertainment and other Socio-
economic activities alongside providing the best services to client.

2.08 THE FUTURE TRUST

> Full duplex on-line Banking.
> Introducing more innovative services.
> Opening new branches.
> Expansion of business network at home & abroad.
> Introduction of new liability.
> Copying with modernized.

2.09 CORPORATE CULTURE

Employees of MGBL share certain common values, which helps to create a MGBL culture.
> The client comes first.
> Search for professional excellence.
> Openness to new ideas and new methods to encourage creativity.
> Flexibility and prompt response.
> A sense of professional ethics.

2.10 CORPORATE SLOGAN

Together we sail.

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2.11 Products & Services
Meghna Bank Limited offers different types of Corporate and Personal Banking Services
involving all segments of the society within the purview of the rules and regulations as laid
down by the Central Bank and other Regulatory Authorities-

Deposit Products

 Savings deposit
 Current deposit
 Term deposit
 Fixed Deposit
 Foreign currency deposit
 Monthly saving scheme
 Monthly income scheme
 Double benefit scheme
 Millionaire income scheme

Credit products

 Overdraft
 Lease financing
 House building
 Small medium enterprise
 Consumer credit scheme
 Trade finance

Cards

 Debit cards
 Credit cards
 MGBLPower

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2.12 Board of DIRECTORs
Mr. H.N Ashequr Rahman M.P. Chairman
Mr. Md. Yasir Ali Vice-Chairman
Mr. Abdul Alim Khan Selim Director
Mrs. Farah Ahsan Director
Mr. Md. Kamal Uddin Director
Mr. Tanveer Ahmed Director
Mr. Shakhawat Hossain Director
Mr.Alock Kumar Das Director
Mr. Md. Ali Azim Khan Director
Alhajj Md. Lokman Hakim Director
Mr. Ashiqur Rahman Lasker Director
Mrs. Rehana Ashequr Rahman Director
Mr. Md. Mazibur Rahman Khan Director
Mohammed Nurul Amin Managing Director & CEO
Protik Karim Deputy Managing Director

Table 2.1: Board of DIRECTORS

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 CHAIRMAN

MD

DMD

SEVP

EVP

VP

SAVP

AVP

SPO

PO

SENIOR EXCUTIVE OFFICER

EXCUTIVE OFFICER

FIRST EXCUTIVE OFFICER

JUNIOR OFFICER

2.13 Hierarchy of the Bank

Figure 2.1: Hierarchy of the Bank

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2.14 Division of MGBL
01. Audit & Inspection Division.
02. ATM Card Division
03. Board Secretariat
04. Budget & Monitoring Division.

05. Credit Division-I.

06. Credit Division.-2.
07. Credit Card Division.
08. Classified Loan Recovery Division.
09. Financial Administration Division.
1O. General Banking Division.
11. Human Resources Division.
12. International Division.
13. Information System & Technology Division.
14. Law & Recovery Division.
I 5. Marketing Division.
16. Merchant Banking Division.
17. Public Relations Division.
18. Protocol Division.
19. Reconciliation Division.
20. System & Operations Division.

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2.15 MGBL South Surma Branch at a Glance:
Branch Name South Surma Branch
Established Date 13 Deceember 2015
Location Sylhet
Total Employee 14
Present Deposit 6 crore
Advance 3 crore

Table 2.2: Branch At a glance MGBL South Surma Branch

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 Chapter-Ill
BANKING & CUSTOMER
SERVICES

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3.0 Banking:
Banking is the business of providing financial services to consumers and businesses. The basic
services a bank provides are checking accounts, which can be used like money to make
payments and purchase goods and services; savings accounts and time deposits that can be used
to save money for future use; loans that consumers and businesses can use to purchase goods
and services; and basic cash management services such as check cashing and foreign currency
exchange.
A bank is a financial institution licensed by a government. Its primary activities include
borrowing and lending money. Many other ‘financial activities where allowed over time. Banks
are the important player of the financial market and they offer various financial services.

3.01 Customer:
Any person or corporate body may become a customer by opening a deposit account or by
negotiating an advance on current or loan account. This definition also implies that the legal
relationship of bank and customer begins as soon as an account is opened. The opening of a
bank account involves making of a contract between the bank and the customer. The bank tries
to make the customer satisfied by offering various services and by making a good relationship
with the customer.

3.02 Relationship banking

Relationship banking is financial services marketing in which a bank’s customer service
representative (also called account officer, customer relationship representative, personal
banking officer etc.) attempts to meet a customer’s needs with a complete package of facilities.
The package may be include most or all of services such as cash management, debit cards, credit
cards, deposits, loans, money market investments etc., that may be summarized on a single bank
statement.

3.03 Customer Satisfaction:

Customer Satisfaction, a business term, is a measurement of how products & service supplied by
a company meet or surpass customer expectation. It is seems as a key performance indicator
within business. In a competitive marketplace where business compete for customers, customer
satisfaction is become a key indicator & increasingly key element of business strategy.

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3.04 Importance of Customer Satisfaction in Banking Industry:
1. Banking operation is increasingly customer oriented.
2. The ability of banks to offer clients access to several markets for different classes of financial
instruments has become a valuable competitive edge.
3. With the phenomenal increase in the country’s population and the increased demand for
banking services; speed, service quality and customer satisfaction are going to be key
differentiators for each bank’s future success.
4. It helps the bank to take positive steps to maintain a good competition.

3.05 Measurement of Customer Satisfaction:

Now a day’s most of the organizations are increasingly interested in retaining existing customer
through providing better customer service while targeting new measuring customer satisfaction
provides an indication of how successful the organization is at providing products and/or
services to the marketplace. Measurement of customer satisfaction is a means of improving
service.

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 Chapter-IV
REMITTANCE SERVICE OF
MEGHNA BANK LTD.

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4.0 Meaning of Remittance
The word “Remittance” originates from the word “remit” which means to transmit fund. In
banking terminology, the word remittance means “transfer of fund one place to another”. When
money transferred from one country to another is called “Foreign Remittance”. That means
foreign remittance is the transfer of foreign currency from one country to another country.

Parties involve in remittances:

Four parties involved in remittance:
 Remitter: One who initiates, or requests for a remittance.
 Remit tee: A reemit tee is also the one who receive the payment.
 Issuing Bank: The bank that sends or affects the remittance, through demand drafts,
telegraphic transfers, or Mail Transfers.
 Paying Bank: The branch on which the instrument is drawn.

4.01 Types of Account for Foreign Remittance

NOSTROA/C
When a Bank maintains a Foreign Currency account with a foreign Bank abroad the account is
called NOSTRO account. NOSTRO account means “our Account with you”.

Example: If Meghna Bank Limited maintains a US Dollar account with American Express
Bank, New York, and then it is a NOSTRO account of MGBL.

VOSTRO A/C
When foreign bank maintains a convertible taka account with a Bangladeshi bank or with its
branch in Bangladesh, the taka account is called VOSTRO account. VOSTRO account means
“your account with us”.

Example: If American Express Bank and New York maintains taka account with the help of
MGBL then that taka account is a VOSTRO account for MGBL. What is the NOSTRO account
for a bank in a particular country is a VOSTRO account for the bank abroad maintaining the
account thus the account of MGBL with Standard Charted Bank, New York, regarded as its
NOSTRO account held with Standard Charted Bank, New York. While Standard Charted Bank,
New York, regards it as its VOSTRO account held for MGBL.

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LORO AIC
When two Banks maintain two NOSTRO accounts with a same foreign Bank in abroad, then
one Bank’s NOSTRO account is LORO account for another Bank. LORO account means “their
account with you”. Account maintained by third party is known as LORO account.

Example: MGBL & Agrani Bank both maintains a NOSTRO account No I & 2 respectively
with American Express Bank New York. Then NOSTRO account I & 2 are LORO account for
each other.

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4.02 PROCESS OF FOREIGN REMITTANCE
Fund transfer from one country to another country goes through a process which is known as
remitting process. Meghna Bank Limited has 42 domestic branches. The bank has “NOSTRO
Account” with a foreign bank Standard Charted Bank,New York. Bangladeshi expatriates are
sending foreign remittances to their local beneficiary, through that account.
• Now, the Bangladeshi expatriates will contact with Standard Charted Bank to remit fund to
Bangladesh.
• Then Standard Charted Bank will credit the “NOSTRO A/C” of MGBL and send the message
through SWIFT.
• Next the local bank’s Head Office international division will receive telex message and the
TFMD will record the advice and generate the advice letter to the respective branch of the bank.
• The branch will first decode the test, verity signature and check the account number and name
of the beneficiary.
• After full satisfaction, the branch transfers the amount to the account of the beneficiary and
intimates the beneficiary accordingly.
• But sometimes the complexity arises, if the foreign Bank has no “NOSTRO A/C” in which
country where the expatriates want to remit fund. Then the Foreign Bank has to take help of a
third bank who has “NOSTRO A/C” with intended Bank.

Meghna Bank Limited Stander Chartered

Bank, NY

Beneficiary Remitter

Figure 4.1: PROCESS OF FOREIGN REMITTANCE

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4.03 BANKS WITH NOSTRO ACCOUNT
In order to meet the customer needs for International Trade, the Bank has developed a wide
network with more than 580 Banks all over the world. Some Banks with NOSTRO A/C are:

 Standard Chartered Bank, New York, L

 Mashreq Bank PSC, New York, USA.
 ICICI Bank Limited, Hong Kong.
 Commers Bank, AG
 Habib Bank, AG Zurich.
 Korea Exchange Bank Limited.
 Sonali Bank UK (USD).
 UBAF, Singapore.

4.04 Remittance services of South Surma Branch:

Meghna bank, South Surma branch deals with two types of remittances.

Kind of remittances:
1. Local Remittance.
2. Foreign Remittance.

Local Remittance: Instruments of Local Remittance:

 Demand Draft (DD) issue/ collection.
 Pay Order (P0) issue/collection
 Pay Slip
 Outward Bills Collection (OBC)

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 Foreign Remittance:
Foreign remittance refers to the transfer of fund one country to another through proper banking
channel. To facilitate transfer of funds from foreign country Bank established extensive drawing
arrangement network with Banks and Exchange Companies located in the important countries of
the world namely in the United Arab Emirates, State of Kuwait, State of Qatar, State of Bahrain,
Italy, Canada and United States of America. Foreign remittance is an important sector where
Meghna Bank Limited earns a lot of foreign exchange every year. Authorized dealer in the
foreign exchange involve either outward or inward remittances of foreign exchange from one
country to another. The authorized Dealer makes sales and purchase of equivalent foreign
currencies on spot or forward basis. The sales involves exchange of foreign currency of home
Currency i.e. conversion of home currency into foreign currency and the purchase involves
exchange of home currency of foreign currency i.e. conversion of foreign currency into home
currency.

4.05 Types of foreign Remittance

There are two types remittance. Those are -
I. Inward Foreign Remittance
2. Outward Foreign Remittance

Inward Foreign Remittance: The remittance which enter into country from foreign country,

Outward Foreign Remittance: The remittance which goes out from our country to another
country

FOREIGN REMITTANCE

INWARD FOREIGN OUTWARD FOREIGN

REMITTANCE REMITTANCE

Figure 4.2: TYPES OF REMITTANCE

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4.06 INWARD FOREIGN REMITTANCE
Inward Foreign Remittance means Remittance received from foreign countries from abroad. To
the bankers or ADs inward remittance means purchase of foreign currency by authorized
dealers. In other words remittance coming into our country from other countries by the remitter
by way of permissible banking channel is called ‘Inward Foreign Remittance’ i.e. beneficiaries
point of view it is inward foreign remittance. On the other hand remitter’s point of view it is
called outward Foreign Remittance

4.07 Ways of Inward Foreign Remittance

:
 Spot Cash.
 FTT
 FDD
 TC

Spot cash:
• Only from Foreign Exchange House Spot Cash can be send to Bank.
• No need to have account receiver.
• Photocopy of NlD or student ID and PIN code are must for receiving money.
• Service charge is gained by Bank.

FTT:
• From Bank remitter can send fund to beneficiary.
• Here account is must for beneficiary. Because fund is credited to beneficiary’s account.
• Then beneficiary can withdraw money as his/her necessity.
• Here the Foreign Bank credit the NOSTRO account of MGBL.
• In case of outward remittance it is vice versa.

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FDD:
• It is instrument.
• Here instrument is given to the concern Bank from which it is taken.
• Here purpose may be many such as, payment to anybody, for Business issue, may be
travelling etc.
• It is collection basis that means Banks normally takes 3 to 4 days for payment.
• After giving payment NOSTRO account is debited.
• In case of MGBL there must have two officers signature in this instrument. In case of
outward remittance it is vice versa.

TC:
• It is an instrument.
• Here the format of intermediary Bank is used.
• Normally American Express Travelers Cheque or Standard chartered TC is used.
• That means here standard format is used.
• It is on cash basis. That means after taking the TC the fund is readily available.
• In case of outward remittance it is vice versa.

4.08 OUTWARD REMITTANCE

Remittance from our country to foreign countries is called outward foreign remittance. On the
other word, sales of foreign currency by the authorized dealer or formal channels may be
addressed as outward remittance. . The remitter has to deposit money along with the application
contains name and address of the payee name of the currency etc. All outward remittances must
cover the transactions approved by the Bangladesh Bank. The authorized dealers must utmost
caution to ensure that foreign currencies remitted or released by them are used only for the
purposes for which they are released. Outward remittance may be made by appropriate method
to the country to which remittance is authorized.

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Purposes of Outward Remittance:
1. Travel
2. Medical treatment
3. Educational purpose.
4. Attending seminar etc.

Ways of outward Foreign Remittance:

• FDD
•FTT
• TC

4.09 The Process of Fund Transfer in Foreign Remittance Service:

TRANSFER TO ANOTHER INSTANT PAYMENT TO

BANK CUSTOMER

Figure 4.3: Foreign Remittance fund transfer process of MGBL

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4.10 List of exchange companies & banks having drawing arrangement with MGBL

SI. DIGIT COMPANIES COUNTRY

1 8 Money Gram All
2 8 Samba Saudi Arab
3 9 Instant Cash UK, UAE
4 9 Al-Fardan Middle East
5 9+11 Q-Pay Singapore, Malaysia, Oman,
Italy,USA, Greece
6 10 Western Union All
7 11 Q-Pay Singapore, Malaysia, Oman,
Italy,USA, Greece
8 11 Ria USA
9 12 Prabhu All
10 12 E-Z Remit Kuwait, Bahrain, UAE, UK
11 12 Meghna Exchange Co. Italy
12 12 Placid Express USA
13 13 Transfast UAE, Qatar, Kuwait, Italy,
Bahrain, Oman, USA
14 16 Xpress Money UAE,UK, Maldives
15 16+9 Al-Fardan Middle East

4.11 Service Charge (Approx)

1. Western Union : Minimum charge TK. 250. But it varies on the amount
2. Placid Express : TK. 50
3. ICTC and Xpress Money : TK. 50
4. All Other : TK. 25

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4.12 The Process for the Receiver:
The remittance which comes from the Head Office of Meghna Bank Ltd. Is divided into two
parts. These are:
1. Special Instruction Payment.
2. Instant Cash Payment

Some of the payments are given with special instruction such as: to the account of Meghna
Bank’s customer or to the account of another bank’s customer. That is, payment is made to the
account of that particular person to whom the remittance is sent. For the customers those who
have account in MGBL the balance is transferred directly from the CFRC account. And for the
customer banks’ customer the payment is made either by issuing a payment order or by
telegraphic transfer.

And for instant cash payment the customer is required to fill up a form. The form contains the
following fields:

1) Receiver information
• Name of the receiver
• Father’s’/ Husband’s name
• Address
• Phone No

2) Sender information
• Name ( first-middle-last)
• Address
• Phone No Mobile No
3) Passport No/Driving License No/Meghna ID No/other ID type
4) Expected amount in figure & words
5) PIN code Number
6) Test answer: who sent money?
7) Finally, Receiver Signature

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After filling up the form the customer gives the form to the remittance officer. Then the
remittance officer makes sure that the remittance is received on account of the customer from
the head office. After that the officer matches the identification/pin code and receiver details.
And for security get a photocopy of valid ID. of the customer. Sometimes the I.D. type is
mentioned. In that case the customer has to submit the mentioned I.D to receive payment. Many
of the senders give the mobile number of receiver; in that case the bank checks the mobile
number of the receiver.

The photocopy of valid I.D is kept for security purpose, mainly to avoid fraud. There are two
purpose of taking photocopy of a valid l.D from customer. These are to have a track of the
customer, and to be sure that the remittance is reaching to the right person.

4.13 Purpose of foreign remittance

Family expense maintain

 Treatment
 Educational fees
 Business Development

 Marriage Expenses
 Air ticket or visa processing for wage earners

 Gift and donations

 Land purchase and development
 Commercial building
 Buying of flat or apartment
 Purchase of plot from Real Estate Company

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4.14 Features of the foreign remittance:

 Quick
 Reliable and trustworthy
 Secret
 Low cost
 Easy process

4.15 Benefit of foreign remittance

 Increase bank’s core deposit.

 Bank earns profit to provide foreign remittance service
 Increase number of account of the bank.
 Help to develop economic growth.
 Reduce the poverty level of the country.

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 CHAPTER-V
SWOT ANALYSIS

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5.0 SWOT Analysis of Meghna Bank Ltd, South Surma Branch
SWOT analysis, is a strategic planning tool to evaluate the Strengths, Weaknesses,
Opportunities and Threats involved in a project or in a business venture. It involves specifying
the objective of the project or business venture and identifying the internal and external factors
that are favorable and unfavorable to achieve the objectives. The aim of the SWOT analysis is to
identify the key internal factors (strengths, weaknesses) which are controllable and external
factors (opportunities, threats) which are uncontrollable.

5.01 Strengths
Strengths are attributes of the organization that are helpful to achieve the organizational
objectives. Strength of the Meghna Bank Limited, South Surma Branch is as follows:
1. Professional management team is available for maintenance of deposits and management
team is very effective.

2. High profit generating fixed deposits are available in MGBL

3. Sometime they provide internal audit to inspect the overall situation of bank.

4. Satisfactory risk management structure to avoid the loss.

5. Image of Meghna Bank Limited is very good.

6. Money counting machine for making cash transaction easy prompt.

7. 24 hours online Banking Facility.

8. Experienced credit management team.

5.02 Weaknesses
Weaknesses are attributes of the organization that are harmful of to achieve the organization’s
objectives. Some weaknesses of the Meghna Bank Limited, South Surma Branch are as follows:
1. It is not fully computerized

2. Numbers of branches are very few.

3. In foreign Remittance desk there have insufficient executive.

4. There is no customer complain desk in the Bank’s branches

5. Slow server system. The employee skill is not well.

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5.03 Opportunities
1. Branch Expansion

2. Training Facility

3. Banking Software

5.04: Threats
1. Level of Competition

2. Technology Advancement.

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 CHAPTER-VI
FINDINGS AND ANALYSIS

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6.0 Findings and Analysis

After analyzing the annual report and other papers, the evolution of performance analysis
and on the basis of my study I have got some findings about the Meghna Bank Limited.

These are mentioned below:

1. MGBL is the pioneer of private sector banking business in Bangladesh. As a result

it has a huge branch operation with 42 branches and 3000 manpower causing
large employment opportunity.
2. The fund management system is very effective. For keeping this system effective.
3. Necessary changes in credit policy, loan and advance policy, provision for
provision are made continuously.
4. The officers engaged in loan management is very much aware in choosing right
person to provide loan to ensure its recovery.
5. The top management is more conscious about the liquidity of bank.
6. The strength of the bank lies on the top management of the company and the
financial soundness of the sponsors, as they are all well reputed personalities in
the Bangladesh. This impressive lay of Meghna Bank Ltd helps to have a good
image.
7. The top management gives its highest attention in the operation of fund
management.
8. The customer service is very much impressive than other financial institution.
9. Remittance, both local and foreign are effective manner of customers.
10. Computerization is speeding up the performance of the organization. The top
management recently has to decide to start online banking system. This decision
will motivate the employees who are very effective in computer skills.
11. Top management guidance to its subordinates is very much friendly.
12. Special schemes like consumer credit scheme, monthly saving scheme, insurance
scheme etc. are very popular.

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 CHAPTER-VI1
RECOMMENDATIONS AND
CONCLUSION
REFERENCE

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7.0 Recommendations:

I have some points to focus which will help the bank to improve the efficiency as well as the
quality of work. The points are follows:

1. Management should set proper planning for its operations of each and every work for
the whole bank as well as all branches of MGBL.
2. Management must design the jobs on priority basis.
3. As the top management has decide to start online banking system, necessary steps
should be taken to make this decision implement as soon as possible.
4. As MGBL is a service providing organization, it should introduce new and dynamic
services to serve the people and capture the target market.
5. It is necessary to assigned required qualified manpower for every job.
6. The proper management observation and cooperation are required.
7. All braches should properly maintain documents on daily basis.
8. It must avoid the duplication of work through better communication.
9. It also tries to avoid duplication in any case through accuracy and efficiency.
10. It is required to develop some effective motivational programs.
11. Top management must ensure the proper implication of IT in all branches.
12. And most of all ensure proper communication with head office and other branches.

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7.01 Conclusion
Meghna Bank Limited has been trying to operate its business successfully since 2013. The bank
has already developed good image and goodwill among its clients by offering excellent services.
As a newly established Branch, MGBL Sylhet is serving at its locality with utmost satisfaction
of the customer. So, MGBL South Surma Branch has to compete with those banks as well as
other Commercial Banks. Today, the whole Banking sector is facing a tough competition and
challenge. In this situation our Branch is in good position than any other Bank of its locality and
day-by-day we are increasing our activities & goodwill. According to the CAMEL rating the
banks performance are 3, which is satisfactory. It is expected that in a year or so the rating will
be 1, which is strong. So we can say that overall performance is good in banking sector of
Bangladesh. From the learning and experience point of view I can say that I really enjoyed my
internship at Meghna Bank Limited. From the very first day. I am confident that this 03 (three)
months internship program at Meghna Bank limited, will definitely help me to realize my
further carrier in the job market.

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7.02 TERMINOLOGY:

MGBL= Meghna Bank Ltd

ATM = Automated taller machine

T. C = Traveler’s Cheque

S.P = Sanchaya Patra

A.O.F = Account Opening form

C. D = Current deposit

D. D = Demand draft

S.T.D = Short term deposit

S.D.S = Special deposit scheme

S.D.R = Security deposit receipt

F. D. R = Fixed deposit receipt

L/C = Letter of credit

L.T.R = Loan against trust receipt

L.I.M = Loan against imported merchandise

E. L. C = Export letter of credit

F. B. P = Foreign bills purchase

F.B.C = Foreign bills collection

F. D. D = Foreign demand draft

T.T = Telegraphic transfer

C. C = Consumer credit

P.O = Payment order

P. S = Payment slip.

A/C= Account

LR= Local Remittance

PAD= Payment against Documents

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SVP= Senior Vice President

BDT = Bangladeshi Taka

FY = Fiscal Year

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REFERENCE
Books and Articles
1. Ali Syed Ashraf & Howlader R.A, ``Banking Law and Practice “
2. MGBL, Annual Report- (2014)
3. MGBL, Annual Report-(2015)
4. Manual of Remittance Department of MGBL
5. Daily Statement of Foreign Remittance of MGBL
6. Madura,j “Financial Market and Institution”

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Phone : +88029856881
Fax : +(8802) 9857124 , 9857128
E-mail : info@meghnabank.com.bd
Facebook : www.facebook.com/meghnabank

Websites
1. www.bangladedsh-bank.org
2. www.meghnabank.com.bd

3. www.foreignremittance.com

4. www.mincom.gov.bd

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