Professional Documents
Culture Documents
Meezan Bank
Meezan Bank
(Analysis)
By
Muhammad Danish(FA07-BB-0051)
For
Financial Institution
Submitted To
M r. F a i s a l Az i z
ACKNOWLEDGEMENT
F i r s t o f a l l , w e a r e t h a n k f u l t o AL L A H , W h o h a s g i v e n u s t h e
a b i l i t y t o s h o w o u r s k i l l s . We a r e t h a n k f u l t o t h e m a n a g e m e n t a n d
the staff of MEEZAN BANK Ltd, who provided us valuable
information during our internship and given us chance to take a step
t o w a r d s t h e p r a c t i c a l l i f e . M o r e o v e r, w e a r e t h a n k f u l t o S i r S h u j j a t
Saleem (Course Instructor) who provided us an opportunity to
e x c e l o u r s k i l l s . S p e c i a l T h a n k s t o M r. J u n a i d Ah m e d ( B r a n c h
M a n a g e r ) M r. I m r a n M i r z a R i z k i ( O p e r a t i o n M a n a g e r ) f o r t h e i r
unconditional support and help in making us learn in a good
environment, who also provided us valuable information regarding
our first fieldwork of management.
T H A N K YO U AL L
Executive Summary :
In
the
first
we
have
discussed
about
the
INTRODUCTION:
M e e z a n B a n k i s p u b l i c l y l i s t e d c o m p a n y, f i r s t i n c o r p o r a t e d
on January 27, 1997. It started operations as an Islamic investment
b a n k i n Au g u s t o f t h e s a m e ye a r , w h i c h h a s b e e n l i c e n s e d b y t h e
State Bank of Pakistan to operate as an Islamic Commercial bank
on 31st January 2002. State Bank of Pakistan granted the Nations
first full-fleged commercial banking license of Islamic Banking to
Meezan bank Ltd. It was a new era in banking Sector history in
Pakistan that Meezan Bank Ltd adheres strictly to the principles of
Islamic Shariah with absolutely no compromise, and is recognized as
P a k i s t a n s t r u l y p r e m i e r I s l a m i c B a n k . M e e z a n B a n k i s o p e r a t i n g
approximately more than 166 branches in 40 different cities.
In addition, the State Bank of Pakistan itself governs
the activities of Meezan Bank and its Shareholders. Meezan bank
L t d h a s a s t r o n g B a l a n c e s h e e t w i t h e x c e l l e n t o p e r a t i n g p r o f i t a b i l i t y,
including a capital adequacy ratio that has placed the Bank at the
t o p o f i n d u s t r y, a l o n g - t e r m e n t i t y r a t i n g o f A+ , a n d a s h o r t - t e r m
e n t i t y r a t i n g o f A1 + .
P l a n n i n g a n d m a n a g i n g t h e w o r k e ffi c i e n c y i s t h e
ke y
factor
of
the
Meezan
Banks
Managers.
The
Shariah Board
Meezan
Bank
Supervisory
has
Board,
very
high-caliber
comprises
of
Shariah
i n t e rn a t i o n a l l y
re n o w n e d I s l a m i c S c h o l a r s . T h e S h a r i a h S u p e r v i s o r y
Board
re g u l a r l y
re v i e w s
the
banks
activities
and
a p p ro v e s a l l n e w p ro d u c t s . T h e b a n k a l s o h a s a re s i d e n t
Shariah
a d v i s o r.
monitors
D r.
d a y- t o - d a y
Muhammad
transactions
Imran
of
Usmani,
the
bank.
who
The
(Retd.)
Muhammad
( Pa k i s t a n ) - C h a i r m a n .
Ta q i
Usmani
D r.
Abdul
Sattar
Abu
Ghuddah
(Saudi
Arabia).
Sheikh Essam M. Ishaq (Bahrain).
D r.
Muhammad
Imran
Ashraf
Usmani
( Pa k i s t a n ) .
Our
Share
Holders
are
world-renowned
financial
institution i-e:
K U W A I T Aw q a f P u b l i c F o u n d a t i o n .
As
we
all
know
that
Meezan
Bank
is
operating
a p p rox i m a t e l y m o re t h a n 1 6 6 b r a n c h e s i n 4 0 d i ff e re n t
cities. So, inspite of that a new branch of Meezan Bank
Ltd
is
opened
c o m m e rc i a l
a re a )
at
on
G a rd e n
12th
of
We s t
(a
November
beautiful
2008,
and
having
a d d re s s : P l o t # 1 3 0 / 1 , A m i n C e n t e r , G a rd e n We s t , K a r a c h i .
G a rd e n We s t a re a h a s a l a rg e s t o i l d i s t r i b u t o r s m a r ke t i n
K a r a c h i , a n d a u t o p a r t s d i s t r i b u t o r s . I t s re s i d e n t i a l a re a
i s b e a u t i f u l a n d w e l l o rg a n i z e d . T h e re s i d e n t s a re w e l l
e d u c a t e d a n d b e l o n g t o d i ff e re n t c a t e g o r i e s , s o m e o f
them belong to noble families, some belongs to poor
family, but the Meezan Bank Ltd is trying its level best to
f u l fi l l t h e i r b a n k i n g n e e d s a c c o r d i n g t o I s l a m i c b a n k i n g .
O b j ec t i v e s
To b e a p r e m i e r I s l a m i c B a n k .
To
f u l fi l l
the
banking
requirements
of
the
guide
customers
about
d i ff e r e n t
products,
B a n k p o l i c i e s & r e q u i r e m e n t s r e g a r d i n g d i ff e r e n t
types of accounts.
Assist
fi r s t
time
customer
in
opening
bank
accounts.
To
promote
the
highest
level
of
customer
access
the
needs
and
problems
of
10
STAFF
( M E E Z A N B A N K LT D G A R D E N W E S T B R A N C H K A R A C H I )
Name
De si gnati on
1. Junaid Ahmed
Branch Manager
Operation
Manager
3. Bakhtiyar Ullah
Cash
Deposit
Incharge
4. Bilal Mehmood
Operation
O ffi c e r 1
5. Muhammad Ehsan-Ul-Haleem
Personal
Banking
O ffi c e r
6. Irfan Mehar Hussain
C a s h O ffi c e r / Te l l e r
7. Aneel Kumar
Te a m L e a d e r
11
Assistant
Operation
O ffi c e r
9. Humera Siddiqui
Service
Quality
Controller
10.Mohsin Ahmed
Business
D e v e l o p m e n t O ffi c e r
11.Mahmood Ali
Business
Development
Business
Development
O ffi c e r
12.Muhammad Shahid
O ffi c e r
Te l e p h o n e O p e r a t o r
Organizational Structure
12
A s w e a l r e a d y i n t r o d u c e d M e e z a n b a n k L t d ( G a r d e n Wes t
B r a n c h K a r a c h i ) . S o , t h i s B r a n c h i s c o m p r i s e s o f a B r a n c h M a n a g e r,
w h o r e p o r t s t o t h e Ar e a M a n a g e r a b o u t t h e w o r k & p e r f o r m a n c e o f
the branch employees. A separate area has been set aside for
o p e r a t i o n s w h i c h a r e m o n i t o r b y a n O p e r a t i o n M a n a g e r, w h o r e p o r t s
to
Branch
Manager
about
daily
cash
transactions,
clearance,
relationship
& services
provided
to them,
and about
Branch
Manager
Operation
Manager
Chief Cash
Officer
Cash
Deposit
Officer
Accounts
opening
Officer
Personal
Banking
Officer
Liability
Sales
BDOs
Cash
Officer
Sorter
o
r
t
Clearing
Officer
e
r
Remittance
Officer
13
Key Features:
The
Structure
is
based
on
the
principle
of
14
enters
into
relationship
based
on
The
Bank
is
the
Manager
(Mudarib)
of
the
The
Customer
is
an
Investor
(Rab-ul-Mal),
funds
fi n a n c i n g
include,
to
but
from
the
pool
customers
are
not
are
under
restricted
Ijarah.
15
utilized
Islamic
to,
to
provide
modes
Murabaha
that
and
P r o fi t D i s t r i b u t i o n S t r u c t u r e :
Source
Depositors
Investment Pool
Investment/Financing
Murabah
Ijarah
Diminishing Musharakah
Funds
Bank
Profits
Profits
and
Depositors
(Rab-ul-Mal)
in
p r e d e t e r m i n e d r a t i o ( % ) o f t h e a c t u a l p r o fi t e a r n e d .
Meezan
Accounts
Bank
on
Ltd
o ff e r s
Mudarabah
d i ff e r e n t
Basis.
types
These
are
under:
1. Current Accounts.
C u rre n t s Ac c o u n t s a re t h e b u s i n e s s a c c o u n t s o ff e re d
t o a l l t y p e s o f b u s i n e s s o w n e r s . T h e b a n k d o e s n t e a rn
a n y t y p e o f p ro fi t f ro m t h e s e a c c o u n t s b u t t h e s e a re
16
of
as
Fre e
online
services
f ro m
all
branches.
No
re s t r i c t i o n s o n n u m b e r o f t r a n s a c t i o n s o f w i t h d r a w a l s .
2 . Saving Accounts.
S a v i n g a c c o u n t s a re o p e n e d d u e t o t h e s a v i n g o f
m o n e y. T h e b a n k a l s o p ro v i d e s p ro fi t t o t h e c u s t o m e r s .
That
p ro fi t
is
calculated
&
paid
on
monthly
basis.
If
accounts
customers
who
a re
have
o ff e re d
valuable
specially
business
to
and
those
e a rn
cheques
Banking
and
book,
f re e
f re e
AT M
I n t e rn e t
c a rd ,
Banking.
f re e
The
Te l e p h o n e
minimum
account
re q u i re d
minimum
investment
of
operate
it
e a s i l y.
In
17
these
accounts
bank
also
p ro v i d e s p ro fi t s t o t h e c u s t o m e r s . T h e s e a c c o u n t s a l s o
p ro v i d e f a c i l i t y o f w i t h d r a w o f c a s h a n y t i m e .
5 . U S D O L L A R S AV I N G A C C O U N T S .
T h e s e a c c o u n t s a re o p e n e d f o r t h o s e c u s t o m e r s w h o
a re re s i d e n t s o f Pa k i s t a n b u t e a rn i n g o u t s i d e o f t h e
c o u n t r y a n y w h e re s o h e d e p o s i t s h i s a m o u n t i n d o l l a r
o r o t h e r c u r re n c y a n d o u r b a n k p ro v i d e s h i m m o re
p ro fi t a s c o m p a re d t o t h e l o c a l i n v e s t o r s & o n m o n t h l y
basis.
The
minimum
investment
for
this
account
is
$500.
NOTE:
Rates
are per
annum
and are
declared
on
monthly basis.
The rates declared every month before your
maturity
or
p r o fi t
period
shall
be
Individual Accounts
Joint Accounts
Minor Account
Sole Proprietorship Accounts
Illiterate Customer Account
Partnership Accounts
18
1. Individual Accounts.
Accounts of Individuals, who are resident or non-resident, are
t o b e o p e n e d u n d e r t h i s c a t e g o r y.
2 . J o i n t Ac c o u n t s .
J o i n t Ac c o u n t i s a n a c c o u n t i n t h e n a m e s o f t w o o r m o r e
p e r s o n s ( o t h e r t h a n P a r t n e r s o r Tr u s t e e s ) . I n t h i s r e g a r d i t t o b e
ensured that:
The Survivorship Mandate is signed by all the parties to the
account and instructions for the operation of account are clearly
stated and filled in the Mandate.
I n c a s e o f d e a t h , c h e q u e s s i g n e d b y D E C E A S E D Ac c o u n t H o l d e r
presented for payment will not be entertained and therefore must be
returned.
19
W h e n t h e b a l a n c e o f J o i n t Ac c o u n t i s r e p a y a b l e t o e i t h e r p a r t y o r
s u r v i v o r, t h e S p e c i m e n S i g n a t u r e C a r d s h o u l d b e m a r k e d t o e f f e c t
the arrangement.
3. Minor Account
A
person
who
has
not
attained
the
age
of
18
y e a r s i s m i n o r. H o w e v e r , i n c a s e C o u r t h a s a p p o i n t e d
a Guardian for the property of a Minor, and then the
period of his / her maturity extends to the age of 21.
request
for
opening
of
Sole
Proprietorship
Account
Bank
is
hereby
authorized
20
to
debit
the
account
with
commission
and
or
other
Banking
charges
and
expenses
6. Partnership Accounts.
Partnership is an association of two or more persons who have
agreed to share profits of a business carried on by all or by any one
of them acting for all. The terms and conditions must be spelled out
in the Partnership Deed formally agreed upon among Partners by
incorporating the same in the Deed.
It should be ensured that:
21
22
in
Pakistan,
who
visit
abroad
for
the
purpose
of
1 0 . Tru s t Ac c o u n t s .
A Tr u s t Ac c o u n t m a yb e o p e n e d e x c e p t i o n a l l y w i t h t h e p r i o r
approval of Head of Operations. Trust account may only be open for
p a r t i e s w h o s e i n t e g r i t y a n d s t a n d i n g i s b e yo n d a n y d o u b t . B e f o r e
sending
the
to
HO
(Head
Office)
BM
(Branch
Manager)
and
the
prior
permission
from
the
HO.
M o r e o v e r,
whenever
a p p l i c a t i o n f o r t h e o p e n i n g o f E x e c u t o r s a n d Ad m i n i s t r a t o r s a c c o u n t
is received, the matter should be referred to the Regional Manager
who will forward the full details of the matter to HO for guidance
23
a n d p e r m i s s i o n t o o p e n s u c h a c c o u n t . N o E x e c u t o r a n d Ad m i n i s t r a t o r
will be allowed to transfer the fund from the account to their
personal accounts.
1 2 . L o c a l B o d i e s Ac c o u n t s .
City
Governments,
Municipalities,
District
Boards,
24
o p e n e d f o r t h e p u r p o s e o f s a l a r y d i s b u r s e m e n t ( l i k e s a l a r y, b o n u s ,
increments, allowance or any form of reimbursement from Meezan
Bank Limited against services rendered by employee).
Copy of CNIC.
25
2.
3.
2 . P r o p r i e t o r s h i p Ac c o u n t :
1. Copy of CNIC.
2. Proof of proprietorship (NTN Certificate).
3 . Ac c o u n t O p e n i n g R e q u e s t & P r o p r i e t o r s h i p l e t t e r o n F i r m s
Letter Head.
4 . An y U t i l i t y B i l l ( f o r Ad d r e s s Ver i f i c a t i o n ) .
3 . M i n o r Ac c o u n t :
1. Copy of CNIC of Guardian.
2. Copy of Birth Certificate.
3. CNIC copy of Guardian.
4 . P a r t n e r s h i p Ac c o u n t s :
1. Registered Partnership Deed (Certified Copy).
2 . L e t t e r o f Au t h o r i t y & M a n d a t e .
3. Copies of CNICs of all partners.
4 . Ac c o u n t o p e n i n g R e q u e s t L e t t e r o n f i r m s L e t t e r H e a d .
5. Limited Company:
1. Copy of Certificate of Incorporation.
2. List of Directors.
3 . M e m o r a n d u m & Ar t i c l e s o f As s o c i a t i o n .
4. Board Resolution.
26
I n v e s t m e n t C e r t i fi c a t e i s s u e d b y
Meezan Bank Ltd.
27
To
facilitate
the
customer
through
opening
a c c o u n t s o f d i ff e r e n t t y p e s , M e e z a n B a n k a l s o i s s u e s
some
investment
could
b e n e fi t
c e r t i fi c a t e s
c u s t o m e r.
The
through
customer
which
could
they
easily
i n v e s t i n d i ff e r e n t t y p e s o f c e r t i fi c a t e s o f d i ff e r e n t
i n v e s t m e n t s a n d c o u l d g e t p r o fi t a t a t t r a c t i v e r a t e s .
T h e s e c e r t i fi c a t e s a r e a s u n d e r :
1 . C e r t i fi c a t e o f I s l a m i c I n v e s t m e n t - C O I I .
These
c e r t i fi c a t e
requires
the
minimum
i n v e s t m e n t o f 5 0 , 0 0 0 / = . T h e s e c e r t i fi c a t e s a r e o f
three types one of them is for 3 months-5 years
a n d t h e p r o fi t d i s t r i b u t i o n o f t h i s t y p e c e r t i fi c a t e i s
at the maturity of payment. 2
nd
i s f o r 1 y e a r- 5 y e a r s
a n d p r o fi t d i s t r i b u t i o n o f t h i s i s q u a r t e r l y a n d t h e
3
rd
and
last
which
is
for
years
and
p r o fi t
2 . M o n t h l y M u d a r a b a h C e r t i fi c a t e - M M C .
The
fl e x i b l e
Monthly
Mudarabah
investment
product,
28
C e r t i fi c a t e
which
has
is
the
been
purely
halal.
investment of
These
c e r t i fi c a t e s
require
the
t h e p r o fi t d i s t r i b u t i o n i s o n m o n t h l y b a s i s . A s t h e
investment
increases
the
distribution
rate
also
the
long
increases.
3 . M e e z a n A a m d a n C e r t i fi c a t e - M A C .
Meezan
Aamdan
C e r t i fi c a t e
(MAC)
is
t e r m i n v e s t m e n t w i t h h i g h m o n t h l y p r o fi t e s p e c i a l l y
designed
for
who
in
are
income.
those
need
MAC
is
individuals
of
regular
therefore,
and
corporations
stream
a
of
monthly
monthly
income
( M a h a n a A a m d a n i ) c e r t i fi c a t e w i t h a v a r i e t y o f f r e e
packaged
this
b e n e fi t s .
c e r t i fi c a t e
is
The
1,
minimum
00,000/=
investment
rupees.
These
for
are
i s s u e d f o r t w o d i ff e r e n t t e n u r e s i . e . f o r 5 1 / 2 a n d 7
y e a r s . T h e 7 y e a r c e r t i fi c a t e h a s m o r e a t t r a c t i v e
p r o fi t d i s t r i b u t i o n a s c o m p a r e d t o 5 1 / 2 .
29
4 . M e e z a n P r o v i d e n c e C e r t i fi c a t e .
These
c e r t i fi c a t e s
institutions,
registered
are
or
issued
only
unregistered
for
Employee
P ro v i d e n t / G r a t u i t y / Pe n s i o n Fu n d ,
Which
wants
organization
minimum
invest
to
in
earn
totally
investment
c e r t i fi c a t e
is
such
reputed
Riba-free
required
Million.
This
for
and
Islamic
p r o fi t ?
this
type
c e r t i fi c a t e
The
of
bears
d i ff e r e n t t e n u r e s ; i t s t a r t s f r o m 2 y e a r s t o 7 y e a r s .
As
the
tenure
grows
the
rate
of
p r o fi t
also
increases.
5 . D o l l a r M u d a r a b a h C e r t i fi c a t e .
T h i s M o n t h l y M u d a r a b a h C e r t i fi c a t e i s s a m e
a s t h e a b o v e M o n t h l y M u d a r a b a h C e r t i fi c a t e , b u t
the
d i ff e r e n c e
is
this
30
c e r t i fi c a t e
requires
Pa c k a g e s
Launched
by
M ee z a n
Bank Ltd.
Meezan
purely
bank
Ltd
Riba-free
customers,
Banking,
and
to
launches
only
strive
f u l fi l l
for
the
towards
the
d i ff e r e n t
packages
betterment
the
customers
pure
banking
of
Islamic
needs
With
Comfort
&
Convenience)
31
for
their
T h e M e e z a n L a b b a i k U m r a h p r o d u c t i s c l a s s i fi e d i n t o
three categories:
I.
Labbaik
Tr a v e l
Aasaan
Pa y
today
and
Pe r f o rm
U m r a h n o w.
I I . L a b b a i k Tr a v e l A a s a a n ( I n s t a l l m e n t O p t i o n ) - P e r f o r m
Umrah
III.
Labbaik
Saving
Aasaan
-Save
today
and
plan
for
Umrah or Hajj.
I . L a b b a i k Tra v e l As a a n :
Pay today & perform Umrah or Hajj now after processing and
documentation.
As per Saudi Pak Bank and EGIB experience; approximately 50% of
o u r t a r g e t c u s t o m e r s w i l l l i k e l y o p t f o r Tr a v e l Aa s a a n a s m o s t o f t h e
pilgrims are not satisfied with the services of travel agents and
prefer Bank as Banking is a trust business.
Bank will act as a commission agent of the travel agent and will
a n n o u n c e t h e p a c k a g e a s i t s p a r t n e r.
32
Bank will charge a lump sum fee and agent will provide the agreed
services; here Bank will make sure the services are provided as per
commitment by using continuous monitoring & follow ups.
No. Of People
Airfare + Package
Tot a l
Adult
2
1
1
55,700+40,000
41,775+30,000
5,570+4,000
1,91,400
71,775
9,570
2,72,745
Package Price
I I . L a b b a i k Tra v e l Aa s a a n ( I n s t a l l m e n t P l a n ) :
Perform
Umrah
now
and
pay
within
12
easy
monthly
33
Ver i f i c a t i o n s a n d D o c u m e n t a t i o n s a n d d e b i t c u s t o m e r a c c o u n t
with the actual direct expenses.
These Charges will be applicable in case of approval or
rejection both.
Description
No.
People
Adult
Child
(75%
of Adult)
Infant
Of
Airfare+
Package
Down Payment
12Equal
Package
Price
(10%
Monthly
of
package price)
Installments
2
1
55,700+40,000
41,775+30,000
1,91,400
71,775
19,140
7,178
14,355
5,383
5,570+4,000
9,570
957
718
(10%of
Adult)
T h e s a l i e n t p o i n t s o f L a b b a i k Tra v e l Aa s a a n ( I n s t a l l m e n t P l a n )
are:
Riba free 12 months financing.
Package price for Upfront & Installment Plan would be the
same.
Success is based on the processing time.
A c c o u n t O p e n i n g M a n d a t o r y.
D e f a u l t i s l i k e l y v e r y l o w, p i l g r i m a g e b e i n g a n I s l a m i c d u t y.
I I I . L a b b a i k S a v i n g Aa s a a n :
Save today and plan for Umrah or Hajj.
34
the
Customer
can
f u l fi l l
the
desire
to
saving
account
will
be
non-checking
a c c o u n t i . e . n o AT M o r c h e c k b o o k w i l l b e i s s u e d .
35
It will not be mandatory to utilize the amount for Meezan Bank Hajj
or Umrah Scheme. The Customer may select packages by other tour
operators.
Change of Plan
Customer will have the option to switch from Labbaik Saving
A a s a a n t o L a b b a i k Tr a v e l Aa s a a n o r i n c a s e o f U m r a h t o L a b b a i k
P a y m e n t Aa s a a n a n y t i m e w i t h o u t h a v i n g a n y p e n a l t y s u b j e c t t o t h e
fulfillment of eligibility criteria.
In this scenario the customer will enjoy the benefits of the profits as
p e r t h e L a b b a i k S a v i n g Aa s a a n .
Package Features.
T h e s e U m r a h P a c k a g e s a r e o n l y f o r 1 5 d a ys .
Recommended for families and groups.
Stay in KSA is 14 nights i.e. 4-Ngts. In Makkah, 7-Nghts. In
Madinah & 3-Nights. In Makkah.
A c c o m m o d a t i o n i n A- C a t e g o r y H o t e l s i n M a k k a h & M a d i n a h .
R o u n d t r i p t r a n s f e r i n Ai r - C o n d i t i o n e d B u s e s ( J e d - M a k - M e d Meeqat-Mak-Jed).
C o m p l e t e U m r a h Vis a P r o c e s s i n g .
Meet & assist services through trained staff in KSA.
Ziarat in Makkah & Madinah with Urdu speaking guide.
Wee k l y g r o u p f l i g h t s w i t h c o n f i r m e d r e t u r n e d a i r t i c k e t .
D o u b l e U m r a h F a c i l i t y.
Taw a f Al - w i d a a .
Arrangement of Zam Zam 10 liter can (subject to availability).
36
NOTE:
Qurbani (NAHR) is not a part of the Package.
Airfare is not included in the package price, which will be
charged at actual; after announcement of rates from selected
Airlines.
Complete advance payment shall be made at the time of
booking.
Last date for booking is July 31st 2009.
MBL is just facilitating the sales whereas travel arrangements
a r e t h e r e s p o n s i b i l i t i e s o f t h e s e l e c t e d Tr a v e l a g e n t .
Requirements:
Copy of Machine Readable Passport with at least 1 year
v a l i d i t y.
12 Photographs 4x6 cm (light blue background).
Copy of CNIC.
Copy of deposit slip.
O ff e r s B y M e e z a n
Musharakah:
37
M u s h a r a ka h i s t h e t y p e o f Pa r t n e r s h i p i n w h i c h
both
the
partners
invest
equally,
and
share
their
p r o fi t & l o s s e s e q u a l l y.
D i ff e r e n c e B / w M u s h a r a k a h & M u d a r a b a h .
Musharakah:
In Musharakah both parties invest.
Both parties work.
In
Musharakah
the
p r o fi t
and
losses
shared
e q u a l l y.
Mudarabah:
In Mudarabah one party invest (Rab-ul- Mal) and
other party work (Mudarib).
P r o fi t i s s h a r e d a s p e r a g r e e d r a t i o .
38
In
case
of
Mudarabah
all
losses
are
borne
by
Rab-ul- Mal.
Murabah.
2.
Car Ijarah.
3.
Easy Home.
1. Murabah.
M u r a b a h i s t h e t y p e o f s h o r t t e r m fi n a n c i n g i n
which Bank is the owner of product and purchase
t h a t f o r t h e c u s t o m e r. L i k e o t h e r b a n k s M e e z a n
b a n k i s n o t p r o v i d i n g t h e l o a n t o t h e c u s t o m e r,
but
if
they
need
any
type
of
product
like
39
T h e n b a n k w i l l g i v e h i m o n c o s t p l u s p r o fi t . I f
during buying any type of sudden accident occurs,
the whole loss will be borne by the bank because
the is owner of that material.
2. Car Ijarah.
Car Ijarah Pakista ns First Islamic Car Financing:
As a step towards our mission of providing a onestop
shop
for
innovative
value
added
Shariah
compliant products to
O u r c u s t o m e r s M e e z a n B a n k i s p l e a s e d t o o ff e r C a r
Ijarah-
principles
car
of
fi n a n c i n g ,
Ijarah
and
is
interest.
40
that
is
free
of
based
the
on
element
the
of
Car Ijarah
C a r I j a r a h i s P a k i s t a n s fi r s t I n t e r e s t Fr e e c a r
fi n a n c i n g b a s e d o n I s l a m i c fi n a n c i n g m o d e o f I j a r a h
or Islamic leasing. This product is ideal for interest
averse individuals,
l o o k i n g f o r a c a r fi n a n c i n g t h a t
purchases
customer
completion
ownership
for
of
of
the
period
the
the
of
lease
car
and
3,
rents
4
or
period
he
against
deposit.
41
his
it
5
out
to
years.
customer
initial
the
Upon
gets
security
the
liabilities
lease
owner
while
all
lie
with
does
not
should
contract
usagethe
related
u s e r.
distinguish
rights
and
conventional
between
the
42
Bank while all usage related risks lie with the user,
thus making the Lesser the true owner of the asset
and
making
the
income
generated
through
the
Continuation
of
lease
rentals
in
case
of
total
the
destroyed,
leased
the
vehicle
conventional
is
stolen
leasing
or
completely
company
would
I n s u r a n c e / Ta k a f u l
claim.
Under
the
Islamic
43
Does
Meezan
Bank
use
Ta k a f u l
or
conventional
arrangement
Company,
with
Pa k i s t a n s
fi r s t
Pa k
Ku w a i t
Ta k a f u l
Ta k a f u l
p r o v i d e r.
These
vehicles
through
Ta k a f u l
Ijarah
of
Ta k a f u l .
expand
vehicles
Karachi
As
the
into
in
are
being
operations
other
other
now
cities
cities
of
of
will
Pa k
covered
Ku w a i t
Pa k i s t a n ,
also
be
Car
insured
t h r o u g h Ta k a f u l . M B L s p r e s e n t i n s u r a n c e a r r a n g e m e n t
will
be
available
for
cities
where
Ta k a f u l
is
not
use
conventional
Insurance
44
only
as
long
as
Ta k a f u l i s n o t a v a i l a b l e , a n d w e a r e n o w c l e a r l y o n
the road to having all our Car Ijarah vehicles insured
t h r o u g h Ta k a f u l .
In
most
contemporary
fi n a n c i a l
leases,
an
extra
Haram.
The
leasing
institution
in
their
income
45
Ke y Fe a t u r e s o f C a r I j a r a h
No application fee
Ease of acquiring any new l9ocally assembled car
N o u p f r o n t i n s u r a n c e / Ta k a f u l P a y m e n t
N o a d v a n c e Re n t a l
Av a i l a b l e i n t e n u r e s o f 3 , 4 a n d 5 y e a r s
Minimum-security deposit as low as 15%
C a r I j a r a h a l s o f e a t u r e s u s e d Ve h i c l e s
In
addition
provide
the
to
our
unique
leasing
of
opportunity
new
cars,
of
leasing
we
also
second
46
when
selected
by
you
for
Car
Ijarah.
The
of
our
Ijarah
47
agreement,
the
vehicle
more
than
years
and
if
its
years
old,
the
is
for
To y o t a ,
Honda,
reconditioned
locally
new
cars.
manufactured
model
Second
of
cars
Santro
hand
of
Suzuki,
and
imported
vehicles
selected
by
an
independent
valuation
company
a c c o r d i n g l y.
48
Banks
Shariah
Supervisory
Board
and
is
Rental Calculations
To c a l c u l a t e t h e m o n t h l y r e n t a l s s i m p l y m u l t i p l y
the cost of the car with the rental factors given in
the table below
3 years
4 years
5 years
10%
0.033988
0.028131
0.025341
15%
0.032303
0.026765
0.024125
20%
0.030619
0.025398
0.022909
25%
0.028934
0.024032
0.021693
30%
0.027249
0.022666
0.020478
35%
0.025565
0.021299
0.019262
40%
0.023880
0.019933
0.018046
45%
0.022195
0.018567
0.016830
50%
0.020511
0.017200
0.015614
Deposit
49
Fo r
example:
if
you
are
interested
in
car
3 years
4 years
5 years
15%
0.032519
0.026990
0.024364
20%
0.030823
0.025611
0.023135
25%
0.029126
0.024232
0.021906
0.027429
0.022853
0.020676
35%
0.024572
0.021474
0.019447
40%
0.024036
0.020095
0.018218
45%
0.022339
0.018716
0.016989
50%
0.020642
0.017338
0.015760
Deposit
30%
50
Fo r
example:
If
you
are
interested
in
car
51
Re c e n t
Utility
Bill
( E l e c t r i c / G a s / Wa t e r )
received
copy
of
Re c e n t
Pa y
slip
(for
Salaried Individuals)
C o p y o f Re n t A g re e m e n t ( i f a p p l i c a b l e )
Simple!
All
application
mentioned
you
need
form,
in
the
to
do
is
fi l l
out
attach
the
required
form
and
get
your
customer
documents
fi n a n c i n g
a p p r o v e d i n a 1 - 2 w o r k i n g d a y s . To e x p e r i e n c e t h e
52
3. Easy Home.
Meezan Banks Easy Home
Yo u r o w n h o m e , t h e R i b a - Fr e e w a y.
F i r s t c o m p l e t e I s l a m i c H o m e F i n a n c e Fa c i l i t y i n
Pakista n!
We l c o m e t o Pa k i s t a n s l o n g a w a i t e d t o t a l l y S h a r i a h compliant
H o u s i n g Fi n a n c e f a c i l i t y ; a p p r o v e d b y M e e z a n B a n k s
renowned
Shariah
comprehensive,
supervisory
a ff o r d a b l e ,
Board
and
Easy
totally
Home
is
hassle-free.
Fo r a t M e e za n B a nk , w e a re c o m m i t t e d t o m e e t i n g o u r
53
customers
needs,
in
truly
Shariah-
complaint
W h y i s H a l a l h o m e fi n a n c e s o i m p o r t a n t t o y o u ?
Owning
your
own
home
is
one
of
lifes
most
all-important
loved
safety
ones.
unpredictable
and
and
comfort
However,
costly
in
for
you
todays
environment,
and
often
saving
the
r e q u i r e d m o n e y c a n t a k e a l i f e t i m e i n i t s e l f. R i s i n g
property
prices,
taxes,
i n fl a t i o n ,
currency
owning
installment
your
that
own
ta ke s
home
you
54
and
step
paying
by
step
an
easy
towards
based
fi n a n c i n g
and
be
totally
R i b a - Fr e e ,
Islamic
Financing
on
Diminishing
you
participate
Musharakah
basis
With
Easy
home
with
Meezan
will
provide
certain
amount
of
fi n a n c i n g
u s u a l l y u p t o 8 5 % . Yo u a g r e e t o a m o n t h l y p a y m e n t
to the Bank of which a component is for the use of
55
E a s y H o m e o ff e r s y o u a c o m p r e h e n s i v e s o l u t i o n :
Easy Buyer Buying a home is Easy & Halal
Easy Builder- Building a home is Easy &Halal
Easy
Renovate-
Renovating
home
is
Easy
&
Halal
Easy
Replacement-
Replacing
your
existing
these
b e n e fi t s o f
wonderful
options
Easy Home.
56
come
the
special
F l e x i b l e Fi n a n c i n g Ta i l o r e d t o S u p p o r t Yo u
H i g h fi n a n c i n g a m o u n t s .
Flexib ility to ma ke pa rtia l pre pa ym e nts .
Minimal processing charges.
Ve r y a ff o r d a b l e a n d c o m p e t i t i v e m o n t h l y p a y m e n t
plan with a regularly reducing rental amount.
Quick Proces s ing Time
Absolutely hassle-free. Quick turn- around-times,
with no burdensome complexities or excess paper
work. Its simple, Halal, and easy!
Come
and
ta ke
the
step
towards
Riba
free
fi n a n c i n g f o r y o u r h o m e , m a d e e a s y w i t h M e e z a n
Banks Easy Home!
Easy Home
Buying a Home is Easy & Halal!
57
Flexible
fi n a n c i n g
from
PKR
300,000/-
to
PKR
40
million.
E a s y s e l e c t i o n o f fi n a n c i n g t e n u r e f r o m 3 y e a r s u p t o
a maximum of 20 years.
Easy Builder
Building a Home is Easy & Halal!
Fo r
yourself,
that
or
to
special
help
home
continue
you
want
construction
to
you
build
may
58
F l e x i b l e fi n a n c i n g f r o m P K R 3 0 0 , 0 0 0 / - t o P K R 4 0
million.
E a s y s e l e c t i o n o f fi n a n c i n g t e n u r e f r o m a m i n i m u m o f
2years
(excluding
construction
period
of
max
12
Easy Renovate
Renovating your Home is Easy & Halal!
M e e z a n B a n k s E a s y Re n o v a t e !
M e e z a n B a n k m a y fi n a n c e u p t o a m a x i m u m o f
80%
of
the
appraised
value
of
your
existing
59
home
E a s y s e l e c t i o n o f fi n a n c i n g t e n u r e f r o m 2 y e a r s u p t o
a maximum of 15 years.
Maximum 6months required for renovation work.
Easy Replacement
Replacing your existing mortgage is Easy &
Halal
Re p l a c i n g a n ex i s t i n g M o r t g a g e f a c i l i t y f ro m a n o t h e r
institution.
Applies
to
the
residential
apartment
or
B u n g a l o w.
Meezan
Bank
can
Fi n a n c e
up
to
maximum
85%
for
fi n a n c i n g
from
PKR
300,000/-
to
Million.
60
PKR
40
Income Information.
Salaried Person:
C o p y o f r e c e n t p a y s l i p / e m p l o y e r l e t t e r.
Employer
C e r t i fi c a t e
for
Salaried
employees
i n c l u d i n g t e n o r , d e s i g n a t i o n & s a l a r y.
Last 6 months Bank statement.
Business person:
Copy of management accounts (if applicable).
Bank Statement of Business.
3
Ye a r s
Proof
of
Business(
e.g.
Ta x
Re t u rn / B a n k
C e r t i fi c a t e ) .
Professional
Association
C e r t i fi c a t e / P r a c t i c e L i c e n s e .
P r o f e s s i o n a l D e g r e e s / C e r t i fi c a t e s .
Property Documents:
Copy of all related Property documents.
61
Membership
5,000/-
Legal Charges
5,000/-
62
63
64
Conclusion:
F i n a l l y,
blessing,
thanks
we
to
Allah,
become
due
able
to
to
His
bounteous
contribute
this
already
exist.
Heart
is
warm
with
love
and
65
I
the
wish
MEEZAN
BANK
success
in
initiating
TERM REPORT
(FA07-BB-0033)
(FA07-BB-0087)
M.MUSSAIB ASIM
(FA07-BB-0035)
AHSAN MAQBOOL
(FA07-BB-0040)
66
Ta b l e o f C o n t e n t s
Acknowledgement1
Executive Summary2
Introduction..3
Shariah Board4
67
Share
Holders
in
Meezan
Bank5
O u r H e a d O ffi c e 6
Introduction
to
Meezan
Bank...7
( G a r d e n We s t B r a n c h K a r a c h i )
Objectives8
S t a ff
(Garden
We s t
Branch
Karachi)
9
Organizational
Structure..
.10
( G a r d e n We s t B r a n c h K a r a c h i )
A c c o u n t s o ff e r e d b y M e e z a n b a n k o n
Mudarabah
Basis
11
Documentation
Of
Accounts
Opening.21
Investment
C e r t i fi c a t e
Issued
bank..23
68
By
Meezan
Pa c ka g e s
Launched
by
Meezan
Bank..25
Consumer
Banking
Products
O ff e r e d
by
Meezan
bank..36
D i ff e r e n c e
B/w
Musharakah
&
Mudarabah36
Murabah
37
Car
Ijarah.37
What
M ake s
Car
Ijarah
Unique?
..38
Documentation Required for Car Ijarah.45
Easy Home46
Easy Buying.48
Easy builder....49
69
Easy Renovate.49
Easy Replacement..50
Documentation Required for Easy home..50
Balance Sheet of Meezan Bank..52
Profit & Loss Account Meezan bank.53
What I Learned During My Internship in Meezan Bank
(Garden
We s t
Branch
Karachi)
54
Conclusion.
56
70
71