MEEZAN BANK ANALYSIS

(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 of the Meezan Bank, Basic Functions of Meezan

Bank and objectives of Meezan Bank Ltd. Then I introduced
M e e z a n B a n k ( G a r d e n Wes t B r a n c h ) . I h a v e a l s o m e n t i o n e d t h e
products, packages, which the Meezan Bank Ltd. offers to its
customers and then I have given a brief overview of different
accounts opened and Investment Certificates issued by Meezan
Bank Ltd. And in the last I have shown the Balance Sheet and
Income Statement of Meezan Bank Ltd.

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

Visi on of Meezan bank is Establish Islamic Banking

A s b a n k i n g o f F i r s t C h o i c e . A n d o u r M i s s i o n i s To
Be A Premier Islamic Bank.

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

Shariah Board comprises of the following members:

Justice

(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 ) .

Share Holders in Meezan Bank

Our

Share

Holders

are

world-renowned

financial

institution i-e:

Pakistan Kuwait Investment Company (Pvt) Ltd.

Shamil Bank of Bahrain E.C.

Islamic Development Bank.

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 .

Saudi-Pak Industrial & Agriculture Investm ent

Company (Pvt) Ltd.

Our Head Office:

Our Head Office is located at,
3rd Floor PNSC Building,
Moulvi Tameezuddin Khan Road Karachi,
Sindh, Pakistan.
Tel: (92-21) 5610582/5610679.

Fax: (92-21) 5610375.

www.meezanbank.com
24/7 Call Center 111-331-331.

Introduction to Meezan Bank Ltd

( G a rd e n We s t B r a n c h K a r a c h i )

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

customer according to the Islam.

To

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

services and responsiveness to customer base of

the branch.
Intelligently

access

the

needs

and

problems

of

the existing customer and guide them in the best

solution of their queries and concern as per bank
policies.
To o p e r a t e t h e a c c o u n t s o f s u c h c u s t o m e r s w h o
earns HAL AL & Riba-free income.
To r e p r e s e n t s t h e b a n k i n p r o f e s s i o n a l m a n n e r.
To f a c i l i t a t e t h e C u s t o m e r t o a v a i l o u r s e r v i c e s
h a p p i l y a n d e a s i l y.
Assure customer of a truly Halal absolutely Ribafree investment.

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

2. Imran Mirza Rizki

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

8. Arsalan Arif Siddiqui

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

13. Erum Ansari

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,

remittances & accounts opening. There are also PBO (Personal

Banking Officer) and BDOs (Business Development Officers), who
are directly related to Branch Manager and reports him about
customer

relationship

& services

provided

to them,

and about

deposits targets of concerned bank.

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

Accounts Offered by Meezan Bank Ltd on

Mudarabah basis.
Mudarabah:
This is a kind of partnership where one partner gives
money to another for investing in a commercial enterprise.
The investment comes from the first partner who is called
Rab-ul-Mal (Investor).
The management and work is an exclusive responsibility
o f t h e o t h e r, w h o i s c a l l e d M u d a r i b ( Wor k i n g P a r t n e r ) .
Profit is shared as per agreed ratio.
In case of Mudarbah all losses are borne by Rab-ul-Mal.

Key Features:
The

Structure

is

based

on

the

principle

of

Mudarabah and is strictly in conformity with the

rules of Islamic Shariah.

14

 It has been approved by the Shariah Supervisory

Board of Meezan Bank.
On agreeing to become an account holder, the
customer

enters

into

relationship

based

on

Mudarabah with Meezan Bank.

Under this relationship:

The

Bank

is

the

Manager

(Mudarib)

of

the

funds deposited by the customers.

-

The

Customer

is

an

Investor

(Rab-ul-Mal),

and The bank allocates the funds received

from the customers to a deposit pool.
These

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

The Gross Income will be shared between the bank (as

Mudarib)

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

opened only due to the facilitation of the customers.

C u rre n t a c c o u n t s c a n b e o p e n e d j o i n t l y , s i n g l y , c o m p a n y
etc.

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

during the month average deposits falls below 1000/-,

t h e n n o p ro fi t n o Lo s s .
3. KMA (Karobari Munafa Accounts.)
KMA

accounts

customers

who

a re

have

o ff e re d
valuable

specially
business

to

and

those
e a rn

million each month. So, the bank facilitates them with

f re e

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

investment for this account is 1 million. And the bank

p ro v i d e s t h e m p ro fi t a t d i ff e re n t r a t e s .

4. MBA (Meezan Bachat Accounts).

This

account

re q u i re d

minimum

investment

of

25000. This account is opened for all customers, who

can

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

applicable on your investment.

T h e s e a l l c u r re n t a n d s a v i n g a c c o u n t s c a n b e o p e n e d i n
any category of the following types of accounts.

Individual Accounts
Joint Accounts
Minor Account
Sole Proprietorship Accounts
Illiterate Customer Account
Partnership Accounts

18

 Limited Liability Companies Accounts

Associations, Committee, Societies or Club Accounts etc.
Non-Resident Rupees Account
Trust Accounts (with prior permission from the HO)
Executors, Administrators Accounts (with prior permission
from the HO)
Local Bodies Accounts.
Special Convertible Rupees Account (SCRA)
Staff Accounts.

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.

4. Sole Proprietorship Accounts.

A formally stamped written request on the official Letter
Head of the Business / Firm of the Sole Proprietor in order to
open a Sole Proprietor Account must be submitted along with
AOF (Accounts Opening Form).
This

request

for

opening

of

Sole

Proprietorship

Account

should comprise the following clause:

"I am a Sole Proprietor of the Firm and as such, I am entirely
responsible for all transactions carried out in the name of the
Firm and I am personally liable for any overdraft or other
obligations arising in or in connection with this account and
the

Bank

is

hereby

authorized

20

to

debit

the

account

with

commission

and

or

other

Banking

charges

and

expenses

incurred in connection with this account.

Additional care must be taken while opening of sole proprietor
account. Beside other documents the customer should be ask to
p r o d u c e t h e o r i g i n a l N TN ( N a t i o n a l Tax N u mb e r ) c e r t i f i c a t e
issued to his name in the capacity as sole proprietor of said
firm.

5. Illiterate Custom er Account.

T h e s e t yp e s o f a c c o u n t s a r e o p e n e d o n l y f o r t h o s e p e r s o n s w h o
a r e i l l i t e r a t e . T h i s a c c o u n t i s a l s o k n o w n a s P H O T O AC C O U N T ,
that during opening this account we paste the current passport size
p h o t o g r a p h s w i t h AO F ( A c c o u n t s O p e n i n g F o r m ) . I l l i t e r a t e p e r s o n
c o u l d o n l y o p e n S a v i n g Ac c o u n t s . F u r t h e r m o r e , a l l w i t h d r a w a l s
undertaken by illiterate Customers must be witnessed by two Bank
officials and countersigned by Manager Operation.

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

 Accounts of only Registered Partnership concerns will be opened

and the Partnership Deed will be obtained and critically reviewed.
T h e AO F m u s t b e s i g n e d b y a l l t h e P a r t n e r s i n t h e i r c a p a c i t y a s
individuals and not as member of the Partnership
The signing and delegation of powers of those authorized to operate
t h e a c c o u n t s h o u l d b e c l e a r l y s t a t e d o n t h e AO F d o c u m e n t a t i o n i n
a c c o r d a n c e w i t h Pa r t n e r s h i p D e e d .
7. Limited Liabilities Company Accounts .
There are two types of Limited Companies i.e., Public Limited
and Private Limited. The Public and Private Limited Companies are
both incorporated and governed under the provisions of Companies
Ordinance 1984.
A Limited Liability Company may open an account with the Bank
only if it is authorized to do so by a resolution of the Board of
D i r e c t o r s o f t h e c o m p a n y.
Furthermore, such resolution must specify the titles / designation of
the officials authorized to open and operate the account, the extent
of their authority and the manner in which the account will be
operated.

8. Associations, Committee, Societies or Club Accounts etc .

A n As s o c i a t i o n , C o m m i t t e e , S o c i e t y o r C l u b m a y o p e n a n
account with the Bank only if authorized to do so by the Governing
B o d y o f t h e s a i d As s o c i a t i o n / C o m m i t t e e / S o c i e t y o r C l u b .
A c c o u n t o f t h e As s o c i a t i o n , C o m m i t t e e , S o c i e t y o r C l u b s h o u l d n o t
be allowed to be overdrawn. No cheques drawn on the accounts of

22

Association, Committee, Society or Club shall be collected for the

credit of personal / private accounts of any of the Office-Bearers of
Association, Committee, Society or Club.

9. Non-Residential Rupees Account .

Accounts of Individuals, Firms or Companies who are resident in
countries outside Pakistan and all nationals of Pakistan and persons
domiciled

in

Pakistan,

who

visit

abroad

for

the

purpose

of

employment, study and business etc., are treated as Non-residents as

l o n g a s t h e y r e m a i n o u t s i d e P a k i s t a n . Ac c o u n t s o f a l l f o r e i g n
nationals who are resident in Pakistan may be treated as
R e s i d e n t Ac c o u n t s .

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

MO (Manager Operation) will go through the Trust Deed to ensure

that no undue onus is placed on the Bank.

11. Executors and Adm inistrators Accounts.

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 Ac c o u n t s s h a l l o n l y b e o p e n e d
with

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,

Development Bodies etc are included in Local bodies. Functions and

powers of these Local Bodies are governed by the relevant Local
A c t s a n d R u l e s / B ye l a w s m a d e i n a c c o r d a n c e w i t h s u c h Ac t . T h e s e
Local Bodies are regarded as desirable Customers because they have
s u b s t a n t i a l a m o u n t o f f u n d s a t t h e i r d i s p o s a l . H o w e v e r, o p e r a t i o n s
on these accounts must be conducted strictly in accordance with the
statutory rules and regulations.

13. Special Convertible Rupees Account (SCRA) .

As per the Foreign Exchange Manual Chapter 20, SCRA can be
open by Nonresidents for the purpose to trade in the shares quoted
on the Stock Exchanges in Pakistan. Such accounts can be fed by
remittances from abroad or by transfer from a foreign currency
account maintained by the non-resident investor in Pakistan. The
balance available there in can be used for purchase of any share
quoted on the Stock Exchange. Branches will be required to submit
w e e k l y s t a t e m e n t i n t h e p r e s c r i b e d P e r f o r m a ( V-9 2 ) o f F E - M a n u a l
showing the position in respect of SCRA accounts as on each
S a t u r d a y.
1 4 . S t a f f Ac c o u n t s .
Staffs can open only one saving or current account singly or
jointly with his / her spouse at the time of appointment in the
respective branch of Meezan Bank Limited. The account will be

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).

Documentation of Opening an Account.

1. Individual accounts:
1.

Copy of CNIC.

25

2.
3.

Any proof of Income (salary slip/ NTN).

A n 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 ) .

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

5. Certificate of Commencement of Business (for Public Ltd. Co.).

6. Copies of CNICs of all Directors/Signatories.
7. Latest copy of certified Form-29.
6 . C l u b / S o c i e t y / As s o c i a t i o n :
1 . C o p y o f R u l e s / B y- L a w s .
2. Copy of Registration (if applicable)
3. List of executive Member/Management Committee/Management
Board etc.
4. Certified Copy of Resolution.
5. CNICs of all Members of Management Body & Signatories.
6. Undertakings to immediate inform the bank in writing about
a n y c h a n g e s i n M a n a g e m e n t C o m m i t t e e / Au t h o r i z e d p e r s o n s .
NOTE:
These all documents are required original, bank itself
get the photocopy of these documents.

Housewives/Students/Retired Personal: Documents as

requested by branch.

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

distribution is on monthly basis but its investment

is minimum 200,000/= rupees.

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

designed to give customers a monthly return, which

is

purely

halal.

investment of

These

c e r t i fi c a t e s

require

the

100,000/= rupees, and

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

investment in Dollars and that is $ 10,000/=. And

t h e p r o fi t i s d i s t r i b u t e d i n D o l l a r s .

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

according to Islam. Those attractive products are:

1. Meezan Labbaik Umrah.

2. Meezan Labbaik Ramadan Umrah.
3. Meezan Labbaik Hajj.

1. Meezan Labbaik Umrah:

Meezan bank launches Umrah packages (a Holy
Journey

With

Comfort

&

Convenience)

valuable customers at attractive rates.

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

now and pay later

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.

The package charges schedule is as under:

Description

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

Child (75% of Adult)

Infant (10%of Adult)

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

installments. MBL will collect 10% of package price as Down

Payment and first installment .
As per Financing Contract bank approves or disapprove the
application, in case of approval bank sends Customer for
U m r a h a f t e r p r o c e s s i n g o f Vis a , d o c u m e n t a t i o n s a n d o t h e r
arrangement. Incase of Rejection, Bank will pay back the
Deposited amount.
P r o c e s s i n g C h a r g e s a t Ac t u a l : T h e B a n k w i l l c o n d u c t c r e d i t
assessments like NADRA, ECIB, Data Check and Physical

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

 Select Monthly Deposit plan according to expected package

price.
D e p o s i t C a l c u l a t o r w i l l b e a v a i l a b l e a t b r a n c h e s & o n B a n k s
website.
C u s t o m e r w i l l d e p o s i t fi x e d a m o u n t e a c h m o n t h .
Once the deposited amount reaches the package
price

the

Customer

can

f u l fi l l

the

desire

to

perform Umrah/ Hajj. Pilgrimage to be performed

on some future date (6 months to 20yrs).
B a n k w i l l g i v e s p e c i a l p r o fi t t o t h e C u s t o m e r o n
Mudarabah basis.
The

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 .

Withdrawal from the Scheme

Option available any time, without any penalty imposed by
closing his account.
At maturity Customer will have the option to take his deposited
amount with profit and utilize for any purpose he may deem fit.

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.

Consumer Banking Products

O ff e r s B y M e e z a n

bank Ltd. on Musharakah Basis.

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.

Consumer Banking Products are:

1.

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

Machinery etc for his use. Bank has no expertise,

so banks make the agent to that person, he will
buy himself and then hand it over to the bank.

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

provides the convenience of a well designed product

while avoiding an interest based transaction.
Car Ijarah is simply a rental agreement under which
the car will be given to the customer on rent for a
period, agreed at the
Bank

purchases

customer
completion
ownership

for
of
of

the

time of the contract. Meezan

car

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

What makes Car Ijarah unique?

Som e of the ke y c ha ra c te ris tic s of C a r Ija ra h a re a s
follows

Rights & liabilities of Owner v/s User

An Islamic Ijarah is an asset-based contract, i.e.
the lesser should have ownership of the asset during
the currency of the contract. Under Islamic Shariah,
all ownership related rights and liabilities should lie
with

the

liabilities
lease

owner

while

all

lie

with

does

not

should

contract

usagethe

related

u s e r.

distinguish

rights

and

conventional
between

the

natures of these liabilities and dumps all liabilities on

the user, which is contradictory to Islamic Shariah.
Under Ijarah, all ownership- related risks lie with 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

contract permissible (Halal) for the Bank.

Continuation

of

lease

rentals

in

case

of

total

loss or theft of vehicle

If

the

destroyed,

leased
the

vehicle

conventional

is

stolen

leasing

or

completely

company

would

continue charging the lease rent till the settlement of

the

I n s u r a n c e / Ta k a f u l

claim.

Under

the

Islamic

system, rent is consideration for usage of the leased

asset, and if the asset has been stolen or destroyed,
the concept for rental becomes void. As such, in the
above-mentioned eventualities, Meezan bank does not
charge the lease rental.

43

Does

Meezan

Bank

use

Ta k a f u l

or

conventional

insurance to insure its vehicles?

MBL is insuring its Car Ijarah vehicles through
Ta k a f u l

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

company has started operations in Karachi and Car

Ijarah

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

presently available since Leased assets are required

t o b e i n s u r e d u n d e r t h e l a w. H o w e v e r , M e e z a n B a n k s
Ijarah arrangement clearly states that Meezan Bank
will

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 .

Is there a Penalty for Late Payment of Rent and

how is this permissible under Islamic Shariah?

In

most

contemporary

fi n a n c i a l

leases,

an

extra

monetary amount is charged if rent is not paid on

time. This extra amount is the considered as Riba and
is

Haram.

The

leasing

institution

in

their

income

ta kes this am ount. U nde r Ija ra h, the Le s s ee m ay be

a ske d to unde rta ke tha t if he fa ils to pa y re nt on its
due date, he will pay certain amount to a charity,
which will be administered through the Islamic Bank.
Fo r t h i s p u r p o s e t h e b a nk m a i n t a i n s a c h a r i t y f u n d

45

where such amounts may be credited and disbursed

for charitable purposes.

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

hand locally assembled vehicles as well. This feature

i s s p e c i fi c a l l y d e s i g n e d a s a v e r y

46

economical option as well. With a minimum-security

deposit as low as 20%, our used Car Ijarah facility is
at your service.

Used Car Selection Criteria

Selecting a used car is very simple, all you need to
ensure is:

That the second hand car you select should be from

i t s fi r s t o w n e r. T h e Ve h i c l e s h o u l d n o t b e o l d e r t h a n 5
years

when

selected

by

you

for

Car

Ijarah.

The

minimum-security deposit for a vehicle up to 2 years

of age is 20%, while minimum security deposit for a
vehicle over 2 years of age is 30%. At the time of
termination

of

our

Ijarah

47

agreement,

the

vehicle

should MPT NE ,PRE TJAM 8 YEARS OLD. This means

that if a car is 5 years old, the Car Ijarah tenure is
not

more

than

years

and

if

its

years

old,

the

tenure may be set for a 3year or 4 year term. This

facility

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

should not be worth more than Rs.1 million or less

than Rs.250,000/-. Meezan Bank will have the vehicle
valued

by

an

independent

valuation

company

a c c o r d i n g l y.

Approved by Meezan Banks Shariah Board

48

Car Ijarah is designed under the supervision of

Meezan

Banks

Shariah

Supervisory

Board

and

is

approved by the Board.

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

Rental Calculation for new cars

Security

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

costing Rs.300,000 for a tenure of 5 years and are

willing to pay a 50% Security Deposit, your monthly
rental would be,

Rs. 300,000 X 0.015614 = Rs. 4,84/- per month for 5

years
(** All other costs will be charged at actual)

Rental Calculation for used cars

Security

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

costing Rs. 300,000 for tenure of 5 years

And are willing to pay a 50% Security Deposit, your

total monthly rental would be:

Rs. 300,000 X 0.015760 = Rs. 4,728 per month for 5

years
(** All other costs will be charged at actual)

Documentation required for Car Ijarah

It is very easy to apply for Car Ijarah, just bring
the following documents.
Copy of CNICs.
Tw o r e c e n t p a s s p o r t s i z e d p h o t o g r a p h s

51

 Re c e n t

Utility

Bill

( E l e c t r i c / G a s / Wa t e r )

received

at the residential address

Last Six Month Bank Statement
Last Six Month Bank Statement of Business (for
Businessmen)
C e r t i fi e d / O r i g i n a l

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 )

How can I apply?

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

comfort of our personalized services just visit your

nearest Meezan Bank Branch.

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

manner coupled with dedicated service excellence.

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

important achievements. It represents your security,

s t a b i l i t y , a n d i s a g r e a t b l e s s i n g i n i t s e l f. I t p r o v i d e s
that
your

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

devaluation its all a very hard bargain. In the other

hand,

owning

installment

your

that

own

ta ke s

home
you

54

and

step

paying
by

step

an

easy

towards

complete ownership, is so much better than paying a

rent which ultimately only adds to your expenses.
Added to that is your desire to stay away from
interest

based

fi n a n c i n g

and

be

totally

R i b a - Fr e e ,

thus achieving that inner satisfaction and peace of

mind you desire so much. Why not have the best of
both world? Isnt that why you are working so hard
for anyway

Islamic

Financing

on

Diminishing

you

participate

Musharakah

basis
With

Easy

home

with

Meezan

Bank in a joint ownership of your property, where the

Bank

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

the home (rent), and another for your equity share. In

fact, the total monthly payment is reduced regularly
as your share into the property grows. When you have
made the full investment that had been agreed, you
become the sole owner with a free clear title to the
p r o p e r t y.

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

mortgage is Easy & Halal

Within

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

Choose it and be ready to move in.

M e e z a n B a n k w i l l fi n a n c e u p t o 8 5 % o f t h e a p p r a i s e d
value of your new home.

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

have already started.

M e e z a n B a n k w i l l fi n a n c e u p t o 7 0 % o f t h e a p p r a i s e d
value of your home cost.

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

months) up to a maximum of 20 years.

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

already in a livable state.

F l e x i b l e fi n a n c i n g , 3 0 % v a l u e o f t h e p r o p e r t y.

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

salaried persons and 70% for Businesspersons.

Flexible

fi n a n c i n g

from

PKR

300,000/-

to

Million.

Documents Required for Easy Home:

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

Approved Building Plan.

P r o c e s s i n g Fe e :
With Application.
Processing fee

5,000/-

Legal Charges

5,000/-

Income Estimation Charges 4,000/P r o p e r t y Va l u a t i o n C h a r g e s 3 , 5 0 0 / After Approval:

Legal documentation Charges.
Rs. 1,000(Up to 1M)
Rs. 2,500(Above 1M)
Rs. 10,000(Above 10M).

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

comprehensive report towards the deep knowledge of

ocean

already

exist.

Heart

is

warm

with

love

and

thoughts have turned to the city of knowledge.

Before joining Meezan bank, we were thinking that
all banks either Islamic or Conventional works under
the same policies but, after joining the Meezan Bank
Ltd. we recognized that we were wrong. we dont know
about the other banks but I could say confidently that
Meezan Bank Ltd. is working under the policies of Islam
and tries its level best towards the Islamic banking.
In this modern era in the competition of thousands of
conventional banks Meezan Bank Ltd. is fulfilling the
customer banking needs being in the SHARIAH. By
the grace of Allah, 166 Branches of Meezan Bank Ltd.
are servicing the customer in different 40 cities.

65

I
the

wish

MEEZAN

BANK

success

in

initiating

cause of Riba-free banking.

TERM REPORT

Meezan Bank Ltd

KASHIF AFZAL JUNEJO

(FA07-BB-0033)

SYED ARSALAN MANNAN

(FA07-BB-0087)

M.MUSSAIB ASIM

(FA07-BB-0035)

AHSAN MAQBOOL

(FA07-BB-0040)

66

02- Dec 2009

SUBMITTED TO SIR SHUJJAAT SALEEM

FOR THE COURSE FINANCIAL INSTITUTIONS

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