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1.1 Origin of the assignment:
We, the students of Batch: 29-A bearing ID: 1263, 1242, 1262, 1275, 1251, 1277 are going to present an assignment to Lecturer Priyanka Das Dona to fulfillment the course requirement.
1.2 Objective of the assignment:
The primary objective of this study is the partial fulfillment of the course requirement. The main objectives of this report are as follows: 1. To fulfill the requirement of the course “Money and Banking” offered in BBA program. 2. The collateral purpose of this assignment is to explore about overall activities of a commercial bank. 3. It will also enable us to improve our skills on report writing. As corporate executive put great value on report writing as an important element in organization success, this part of the course will prepare us to face the future challenges of corporate world. 4. It helps us to be familiar with the various aspects of a commercial bank. This is very important for the business students. 5. To meet the curiosity in this stated subject.
We collected information for this report mainly from primary survey 1to2 persons were interviewed for this purpose. All of them were employees of DBBL. Besides the view of the general people like us has also been discussed in our class lecture. We have used the Internet to collect some information. All the data were stored into computer. Different tables and graphs were prepared to gain a better view. Microsoft Word and Microsoft Excel were used for this purpose.
Although it has been tried on the level best to make this report based on facts and complete information available, there are some limitations that are inevitable. They are following: 1. The main obstacle while preparing this report was time. As the tenure of the Course program was only four months, it was not possible to highlight everything deeply. 2. Confidentiality of information was another barrier that hindered the study. 3. Sufficient records, publications were not available as per my requirement. 4. Because of being private limited companies, SCB, DBBL and others banks keep some information restricted. Therefore the comparison mayn’t be satisfied fully.
Money & Banking 8
Chapter 2 Overview of the Bank
Dutch-Bangla Bank is the first bank in Bangladesh to be fully automated and introduce Electronic Banking. The automation was completed in 2003, but further additions and features are continuously being added and upgraded. DBBL has adopted the same exact automation solution used my many international banking giants. Although this was significantly more expensive than other solutions, it is a small price to pay for a client's peace of mind. A DBBL client now has unrivaled access to banking from any DBBL branch, ATM and POS. All of these services are free-of-charge and are surprisingly affordable for everyone. Even though DBBL has invested more in Electronic Banking more than any other bank, the division was never intended to be profitable. It was undertaken with the same mindset DBBL undertakes its Corporate Social Responsibility tasks. This is why you pay barely anything even though these same services would cost you much more in other countries and other banks. Never has any bank given so much for free. DBBL also has the largest ATM network in Bangladesh. This gives DBBL clients full access to 'anytime anywhere' banking nationwide. All international and many local banks use the DBBL ATM network for their own clients. DBBL has installed over 800 ATMs nationwide. As with most things, ATM access to all DBBL ATMs is unlimited and free for all DBBL clients. If a client of a member bank (not DBBL) uses a DBBL ATM, the member bank may add a transaction charge. DBBL has the largest IT budget in Bangladesh. DBBL maintains the state-of-the-art Electronic-Banking Division. The Electronic-Banking Division oversees and maintains DBBL's investment as well as implementing upcoming projects. DBBL is the only local bank to have a off-site Data Recovery Site (DRS). DRS ensure that customer records are safe, backed-up, and up to date in the event of a major catastrophe at the Electronic-Banking Division headquarters. Since 2004, DBBL has introduced mobile and SMS banking. With a mobile phone, customers can perform many banking operations with their phone. DBBL is a primary license holder for both VISA and MasterCard. It is authorized to issue and accept payments from both organizations. DBBL also works closely with both organizations to bring you the latest in card technology. DBBL also offer Visa and MasterCard Debit Cards. Dutch-Bangla Bank started operation is Bangladesh's first joint venture bank. The bank was an effort by local shareholders spearheaded by M Sahabuddin Ahmed (founder chairman) and the Dutch company FMO. From the onset, the focus of the bank has been financing high-growth manufacturing industries in Bangladesh. The rationale being that the manufacturing sector exports Bangladeshi products worldwide. Thereby financing and concentrating on this sector allows Bangladesh to achieve the desired growth. DBBL's other focus is Corporate Social Responsibility (CSR).
Money & Banking 9
2.2 Historical Background:
Dutch-Bangla Bank Limited is a scheduled commercial bank. The Bank was established under the Bank Companies Act 1991 and incorporated as a public limited company under the Companies Act 1994 in Bangladesh with the primary objective to carry on all kinds of banking business in Bangladesh. The Bank is listed with Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited. DBBL- a Bangladesh European private joint venture scheduled commercial bank commenced formal operation from June 3, 1996. The head office of the Bank is located at Senakalyan Bhaban (4th floor), 195, Motijheel C/A, Dhaka, Bangladesh. The Bank commenced its banking business with one branch on 4 July 1996. Dutch Bangla Bank Limited (DBBL) a public company limited by shares, incorporated in Bangladesh in the year 1995 under companies Act 1994. With 30% equity holding, the Netherlands Development Finance company (FMO) of the Netherlands is the international cosponsor of the Bank. Out of the rest 70%, 60% equity has been provided by prominent local entrepreneurs and industrialists & the rest 10% shares is the public issue. During the initial operating year (1996-1997) the bank received skill augmentation technical assistance from ABN Amro Bank of the Netherlands. DBBL’s focus is to provide one counter service to clients covering: Commercial Banking (Deposit Accounts), Consumer Banking (Retail Baking) Traveler Cheques- Foreign & Inland Remittances, Financial Services, Corporate Banking, Asset & liability management, Liquidity & capital Resources Management, Information technology, Human Resources. DBBL Internet banking enables customer to access his/her personal or business accounts anytime anywhere from home, office or when traveling. Internet Banking gives customer the freedom to choose his/her own banking hours. It can save time, money and effort. It's fast, easy, secure and best of all. DBBL, since its inception was active in various social activities, which increased manifold over the period of time and its growth. It is one of the fast growing leading online banks in private sector. The emergence of Dutch-Bangla Bank Ltd. in the private sector is an important event in the banking area of Bangladesh. The Netherlands Development Finance Company (FMO) of the Netherlands is the international sponsor of the Bank. The FMO is the Dutch development bank of the Netherlands specialized in the financing of private enterprises in Asia, Africa, Latin America and Eastern Europe. Dutch-Bangla Bank Ltd. came into existence with joint venture as a public limited company incorporated in Bangladesh on June 26, 1995 with the primary objectives to carry on all kinds of banking business in and outside of Bangladesh. DBBL has started its business with foreign bank. DBBL commenced its business as scheduled bank with effect from July 04, 1995 with one branch-Motijheel Branch, Dhaka, with a motto to grow as a leader in the banking arena of Bangladesh through better counseling and effect service to clients and thus to revitalize the economy of the country. All the branches are currently providing truly On-Line banking facility. DBBL resumed its operational activities initially with an authorized capital of Tk.400 million and paid up capital of Tk.202.14 million.
2.3 An over view of DBBL
Dutch-Bangla Bank is a second generation commercial private Bank. During the period of its operation, this bank creates a milestone of success in banking sector. This bank holds an experienced team of banking professional. They achieve this success because of their experienced banking professional team, proper management & so on. Dutch-Bangla Bank Limited is a Bangladesh–Netherlands joint venture scheduled commercial bank established in Money & Banking 10
health and hygiene. science and education. To establish relationship banking and improve service quality through development of Strategic Marketing Plans. Taking cue from its pool esteemed clientele. To provide client services all over Bangladesh it has established a wide correspondent banking relationship with a number of local banks.4 Mission: Dutch-Bangla Bank engineers enterprise and creativity in business and industry with a commitment to social responsibility. 2. To remain one of the best banks in Bangladesh in terms of profitability and assets quality. To facilitate international trade transactions. Money & Banking 11 . clean and pollution free environment and above all a society based on morality and ethics make all our lives worth living. 2. To ensure an adequate rate of return on investment. 6. etc. 5. To introduce fully automated systems through integration of information technology. Dutch-Bangla Bank Limited takes part in different national activities promoting sports. 2. it has arranged correspondent relationship with large number of international banks which are active across the globe. sports and athletics. DBBL's essence and ethos rest on a cosmos of creativity and the marvel-magic of a charmed life that abounds with spirit of life and adventures that contributes towards human development. social awareness. In addition to its banking activities. To earn and maintain CAMEL Rating 'Strong'. where arts and letters. Participation in these activities as sponsors is part of its business development policy.5 Vision: Dutch-Bangla Bank dreams of better Bangladesh. "Profits alone" do not hold a central focus in the Bank's operation. music and entertainment. Starting with one Branch in 1996. culture. To keep risk position at an acceptable range (including any off balance sheet). 2.7 Objectives of DBBL: 1. because "man does not live by bread and butter alone" 2. 3.6 Core Objectives: Dutch-Bangla Bank believes in its uncompromising commitment to fulfill its customer needs and satisfaction and to become their first choice in banking. 4.Bangladesh with the primary objective to carry on all kinds of banking business in and outside of Bangladesh. Dutch-Bangla Bank intends to pave the way for a new era in banking that upholds and epitomizes its vaunted marques "Your Trusted Partner". DBBL has expanded to thirty nine (39) branches including nine Branches outside of the capital.
8 Organization management chart: Money & Banking 12 .2.
Khan Tariqul Islam Mr. A. Mohammad Mutalib Mr. Jahangir Akhter Mr. Md. Khan Tariqul Islam Senior Executive Vice President Mr. S. M. K. M. Md. Harun Azad Mr. Mir Mominul Huq Mr. Shirin Designation Division Managing Director Additional Managing Director Deputy Managing Director (Operation) Deputy Managing Director (Administration) Credit Division Accounts Division Human Resource Division Board Secretariat Card Division Marketing & Development Division Treasury Division (Front Office) Corporate Banking Division Credit Monitoring & Recovery Division Credit Administration Division General Service Division Internal Control & Compliance Division Retail and SME Division International Division. A. A. Yeasin Ali Mr. Vice President Vice President Money & Banking 13 .2. Shah Alam Mr. Shamsi Tabrez Mr. Moyen Uddin Ahmed Mr. Nazmul Quadir Mr. Iqbal Amin Mr. M. Md. Abul Kashem Md.9 Management Setup: Name Mr. Mr.K. H. Mahbub Jan Chowdhury Mr. K. Muhammad Shahidul Senior Executive Vice President Islam Mr. Vice President Senior Vice President Mr. Hossain Chowdhury Akhtar Abdul Senior Vice President Senior Vice President Senior Vice President Vice President Senior Asst.M. Iqbal Amin Senior Executive Vice President Company Secretary Executive Vice President Executive Vice President Executive Vice President Senior Asst. Shah Alam Mr. Monirul Alam Mr.
Fixed deposit: fixed deposits are those.4 Principal of Commercial Banking: Commercial banks while employing their funds should pay attention to both liquidity and profitability. This type of bank is specialized in loans to commercial and industrial business. be to follow a golden mean to earn profits without sacrificing the need for keeping a reasonable amount of liquid assets. 3.5 Bank Sources of Funds: A. which are withdrawal only after a specified period. therefore. Depository Accounts: 1. therefore. and engages in various lending activities. Demand deposits: types of demand deposits: Money & Banking 14 . 3. leaves a trial of woes and suffering to many people. So a banker should invest his excess money in some assets which are liquid in nature and at the same time earn an income.Chapter-3 Theoretical Aspects 3.1 Commercial Bank: Commercial bank is a financial institution that is owned by stockholder. the more attractive the rate of interest.2 Organizational Structure: Generally commercial bank are organized as public limited company with share holding dispersed across a large section of the investing public with controlling interest held by small groups of sponsors.3 Supervision: The banks take on the role of debtors to multitude of depositors. It primary business is to hold deposit and make loans and invests with the object of profit for the shareholders. So commercial bank mobilize is for the shareholders. Fixed deposits are also known as time liabilities of the bank. A wise policy would. For this reason the governments in all commercial banks through the central banks or monetary authority. So fixed deposits has the following nature: It’s a time liability Interest increase as duration increases Not payable on demand Loan can be available 2. So commercial bank mobilize saving of the people to generate profit. Liquidity in its turn is dependent on conversion of assets into cash without undue loss to produce capacity to meet the short-term obligation but such liquid assets doesn’t earn anything and remains idle. The failure of a commercial bank. 3. operates for a profit. The longer the period of deposit. 3.
If a bank needs more permanent sources of funds. Non Depository Sources: i. b. Borrowing from the central bank: another temporary source of funds for banks is central bank. Loans from the discount window are short term. Short term deposits: Short term deposits (STD) withdrawal by short notice. These are demand liabilities of bank. As rule bank do not pay any interest on these deposits. This provides short-term loans to banks ( as well as to some other depository institutions). ii. commonly from one day to a few weeks. Its liquidity is high. The interest rate charged on these loans is known as the discount rate. and equipment. Bank Capital: Bank capital generally represents funds attained through the issuance of stock or through retaining earnings. Long Term Source of Funds: i. This type of deposit also carries a lower rate of interest. because they have fewer fixed assets than use industrial equipment and machinery for production. are withdrawal any time by means of cheques. Money & Banking 15 . A bank collects its funds mainly through deposits. banks that wish to borrow at the discount at the discount window must is mainly used to resolve a temporary shortage of funds. Bonds issued by the bank: like other corporations. c. B. C. So current deposit has the following natures: This account is used by the savings businessman for handling cash. bank own some fixed assets such as a land. Savings bank deposits: Saving bank deposits are subject to certain restriction on the amount so receivable or withdraw and don’t have any specific maturity. such as much as most other corporations. it will develop a strategy to increase its level of deposits. Negative return to account holder Loan facilities on current A/C It is for business only. Current deposit: Current deposits accepted on account. Banks often use a repo as a source of fund for just a few days. Therefore. The bank simply sells some of its government securities (such as treasury bills) to a corporation with a temporary excess of funds and buys those securities back shortly thereafter. This type of borrowing by banks is often referred to as borrowing at the discount window. This distinguishes bank capital from all the other sources ii. These deposits carry a lower rate of interest. This type of deposit is suitable for corporation. These assets often have an expected life of 20 years or more and are usually financed with long term sources of fund. banks have less need for long tern funds. the bank has no obligation to pay out funds in the future. To ensure that the need for funds is justified. on the other hand. The government securities involved in the repo transition serve as collateral for the corporation providing funds to the bank. Repurchase agreement: a repurchase agreement (repo) represents the sales of securities at a specified date and price. With either from.a. building.
The loan amount and maturity can be tailored to the borrowed needs. and determines the payment structure of loan). Loan participations/Loan syndication: Some large corporations wish to borrow a large amount of funds than individual bank may not be willing to provide such a huge amount of money. These loans require the borrowers to make periodic payments over time. disbursement. Bank loan: The main use of bank funds is for loans. They can tap various sources for temporary funds and therefore are not overly concerned with maintain excess reserves. Banks also hold cash to maintain some liquidity and accommodate any withdrawal requests by depositors.of funds. they hold only as much cash as is necessary to maintain a sufficient degree of liquidity. 5.6 Uses of Fund by Banks: The major uses of commercial bank funds are summarized as follows: 1. the lead bank passes the payments on to the other participants in proportion to original loan amount they provided. Money & Banking 16 . The interest charged on any borrowed funds is typically adjustable in accordance with the prevailing market rates. A. B. Borrower need not to pay interest on whole amount of sanctioned loan rather only on the amount withdrawn as loan. A more flexible financing arrangement is the informal line of credit. which represents a future obligation by the bank to pay out funds. Types of business loan: Bank provides short term loan to support ongoing operation of business. 2. sufficient documentation is needed to specify any conditions by which the borrower must abide. Because banks do not earn income from cash. As interest payments are received. which allows the business to borrow up to a specified amount within a specified period. Cash: Banks are required to hold some cash as reserves because they must abide by reserve requirements enforced by the central bank. A working capital loan can support the business until sufficient cash inflows are generated. C. Banks also offer term loans. Bank capital as defined here represents the equity or net worth of the bank. Several banks may be willing to pool any available funds they have to accommodate a corporation in what is referred to as loan participation (by more than one bank to a single corporate loan). primarily to finance the purchase of fixed assets such as machinery. Banks that participates to provides the loan need to supply fund to the lead bank (the bank that arranges the documentation. As term loans are long terms. The lead bank receives not only its share of interest payments but also fees for servicing the loan. Types of consumer loan: Commercial banks provide installment loan to individuals to finance purchases to cars and household products. Because the bank is not committed to provide loan as demanded.
7 Income & Expenses of Commercial Bank: A. Investment in securities: Banks purchase treasury securities as well as securities issued by government agencies. Occupancy expense of premises 3. Bank can act as the lender by purchasing a corporation’s holdings of treasury securities and selling them back at a later date. Other Operating Income: 1. the repo represents a sale of securities that it had previously purchased. For residential real estate loans. the maturity on a mortgage is typically 15-30 years. D. Banks also provide some commercial real estate loans to finance commercial development. 3. From investment securities 3. From loan 2. many commercial banks have pursued these types of loan as a mean of increasing their earning. Service charges on deposits accounts 2. Repurchase Agreement: From a lender perspective. A maximum amount is assigned to the credit card holders depending on their income and employment record. Since the interest rate on credit card loans and personal loans is typically much higher than the cost of funds. Salaries & employee benefits 2. 4. Real estate loans: Banks also provide real estate loans. Although corporate bonds are subject to credit risk. enabling purchases of various goods without the consumer reapplying for credit on each purchase. Banks also purchase corporate and municipal securities. Other service charges and fees 4. Interest on long –term borrowings All these generate the total interest income C. Other expenses Net operating income = Total operating income –Total operating expenses Money & Banking 17 . Interest in time deposits in other banks All these generate the total interest income B.Banks also provide credit cards to consumers who qualify. they offer a higher return than treasury securities. Other income D. The loan is backed by the residence purchased. Other Operating Expenses: 1. Interest Expenses: 1. and bank’s loan is backed by securities. This provides short-term funds to the corporation. Interest Income: 1. Interest on deposits 2. although shorter-term mortgages with a balloon payment are also common. Credit card fees 3. 5. Interest on short-term borrowings 3.
Cash credit to grant to a customer is drawn by him as and when needed and not all at once. 5. Receiving of deposit from the public: Follow the depository sources of funds previously. 3. on behalf its customers. Overdraft facilities are allowed to the Banks customers to overdraw their current accounts up to an agreed limit. c) Remitting of funds on behalf customers by the drafts or mail or Telegraphic transfer. A bank makes advances in different ways: Money at call comprises such loans. 4. subscriptions. bonds. interest dividend. b) Issuing of Bank Drafts and travelers cheques etc. d) Serving as referee to the financial standing and credit-worthiness of its customers. cheque. traders and others against documents of title to goods. Discounting a bill of exchange is the most popular lending by a bank.5. These are payable at call or short notice of fortnight or less. Demand deposits are created in two ways: either by converting cash into demand deposits with the bank or by borrowing from the bank and lodging the same amount with the bank as demand deposits.8 Function of Commercial Banks: Some of the fundamental functions usually discharge by a commercial bank r indicated below: 1. which are given for very short periods. b) Buying and selling of shares. 2. Money & Banking 18 . to tide over temporary financial difficulties. trustee and attorney for its customers etc. collateral and market securities. rents or other periodic receipts and payments like insurance premium. Loans are made against personal security of the borrowers with or without surety. General Utility Services: Some general utility services provided by the commercial banks area) Issuing of letters of credit to its customers. Agency service: A commercial bank performs certain functions as an agent for and on behalf of its customers. securities etc. Making loans and advances: The other major function of commercial bank is to make loans and advances to businessman. Providing safety vaults or lockers for the safer custody of valuables and securities of the customers etc. bills and other commercial instruments. For transfer of funds from one place to another. Some of these functions relate toa) Collection and payment of promissory notes. Money creation: The most distinctive function of commercial banks is creation of money because demand deposits serve as money and community. c) Dealing in foreign exchange and financing foreign trade by accepting or collecting foreign bills exchange. d) Acting as executor.
The people in the Bank see themselves as a tight knit team/family that believes in working together for growth. d. shared understanding and shared sense making. 4. Anything that conveys a right to wealth in another country is foreign exchange. foreign exchange management. maintains all of its function efficiently and updates information properly. traveler cheques. shared understanding and shared sense this bank.2.1 Human Resource Management: Success of any organization largely depends on efficiency and competency of its manpower. 4. support and service.3 Credit department: Risk is an internal part of an business and the main role of our management principal is to find the optimal balance of risk& return.Chapter-4 Main Topic 4. 4. it believes in shared meaning. In DBBL HR department efficiently manage it function such as: Service provided under this department is: a. DBBL IT dept. DBBL update the new software operates its online functions. DBBL installing the same system in respect to asset liability management. Bangladesh bank has undertaken a project to install a core risk management system in every bank. c.2.4 IT department: DBBL undertook a project with BASIS to award the best IT uses in Bangladesh. character individually to suit the purpose of the Bank and the needs of the customers who are of paramount importance to them.2 Department of DBBL: 4. In this bank.2. Strategic Planning and organizational development.2 International division: International trade mean foreign currency and include all deposits. objects and situation in a distinctive way. Staff Development Project and information development. Faculty and departmental advice. bill of exchange and promissory note payable in any foreign country. The People of bank can see and understand events. b. Money & Banking 19 . it believes in shared meaning.1 Corporate Culture of DBBL: Dutch-Bangla Bank Limited (DBBL) is one of the most disciplined Banks with a distinctive corporate culture. They would their manners and etiquette.2. anti-money laundering system. internal control and compliance. The corporate culture they belong has not been imposed: it has rather been achieved through their corporate culture. credit and balance payable in foreign currency as well as foreign currency instrument such as draft. activities. 4.
Industrial Term Loan g. FMO Foreign currency Loan l. Airport. Other Term Loan j. Real Estate Loan (Res. On line Banking through all Branches f. Loan against Trust Receipt b.3. Cash deposit to a certain number of ATMs any time iv. Loan Against Accepted Bill f. Resident Foreign Currency Deposit e. in our office premise.1 Products and services offered by DBBL: a.. Convertible Taka Account Non-Convertible Taka Account Exporter's FC Deposit(FBPAR) Current Deposit Account-Bank Short Term Deposit Account-Bank h.3. Cash Credit (Hypothecation) m. Remittance and collection c. DBBL-Maestro/Cirrus ATM & Debit card iii.) e.3. SMS Banking m. PIN (Personal Identification Number) change j. 7 days a week. g. h. & Comm. Lease Finance i. Cash withdrawal – 24 hours a day. Project Finance f. Agricultural Term Loan 4. Real time any branch banking 4. Internet Banking l. you can perform the following: i. Using any of the DBBL ATM pools anywhere in the country. Corporate Banking e. Investment Banking g. Current Deposit Account c. throughout the country. nearby market. Railway stations etc.4. Agriculture Loan i. DBBL Credit card k. Account balance enquiry ii. university. Short Term Deposit Account d. Mini statement printing v. DBBL-NEXUS ATM & Debit card ii.3 Products and services: 4.4 ATM Services: We can find DBBL ATMs beside our home. Consumer Credit Scheme d.3.3 Loan & Advances: a.2 Banking Products: Various deposits: a. Retail Banking b. Import and export handling and financing d. 24 Hours Banking through ATM i. Consumer credit h. FMO Local currency Loan for SME k. 365 days a year iii. i. Small Shop Financing Scheme Money & Banking 20 . college & school premises. j. Transport Loan c. Foreign Currency Deposit 4. Savings Deposit Account b.
Pre-Shipment Finance Pre-Shipment finance in the form of: I) Opening of Back-to-Back L/C II) Export Cash Credit 2.3.3. Money market Interbank & b. Spot Sale/Purchase c. which helps provide premium services. DBBL offers competitive interest rate and provides premium quality services for the accounts. iii.6 Account Service: a.3 Foreign Remittance: DBBL provides premium quality service for repatriation and collection of remittance with the help of its first class correspondents and trained personnel.7 Foreign Trade: DBBL extends finance to the importers in the form of: i. which enable its branches to send and receive payment instruction directly.7. Convertible and Non-Convertible Taka Account 4. Outward Remittance: FDD.5 Treasury: DBBL is well equipped for treasury operation through subscribing Reuters's terminal and operating in SWIFT network.7. 4. Non-Resident Foreign Currency Deposit Account (NFCD) d. TT. DBBL provides all the accounts services as prescribed by the guidelines of Central Bank (Bangladesh Bank).7. Foreign Currency Account c.3.4. Opening of L/C 2. SWAP 4. Resident Foreign Currency Deposit Account (RFCD) e. By introducing on-line banking service and becoming a SWIFT Alliance Access Member. 3. TT. Credit against Trust Receipt for retirement of import bills. Opening of L/C (Foreign/Local) ii. Remittance services provided by DBBL are: i.2 Export Finance: 1. Inward Remittance: Draft. DBBL’s treasury quotes competitive exchange rate for major currencies: a. Short term & medium term loans for installation of imported 4.3. ii.1 Import Finance: DBBL extends finance to the importers in the form of: 1.3. TC and Cash (FC) Money & Banking 21 . Credit against Trust Receipt for retirement of import bills. Account services are: b. Post-Shipment Finance Post-Shipment finance in the form of: I) Foreign/Local Documentary Bills Purchase II) Export Credit Guarantee III) Finance against cash incentive 4. It is also well equipped with competent human resources for efficient dealing. Forward Sale/Purchase Corporate d.
Any Visa/MasterCard card holder (local or overseas) can user their card to pay DBBL authorized e-Merchants against their purchase of goods and service.A. secure and best of all.7. you can perform the following: Securities with DBBL Internet Banking A/c Opening & Accessing Internet Banking Internet Banking Features Terms & Conditions of Internet Banking 4. merchant payment. Using any of the DBBL ATM pools anywhere in the country. money and effort. Dutch Bangla Bank Limited (DBBL) introduced "Fast Track" in the country which is the first of its kind in the country that is like a mini branch. such as cash-in. is the number one and reliable money transfer company in the world. easy.S. 4. Chittagong and Sylhet cities. U. the Fast Track also provides some account opening service and loan information. DBBL has installed 50 Fast Tracks in Dhaka. office or when traveling. Internet Payment Gateway Dutch-Bangla Bank Limited (DBBL) introduced Internet Payment Gateway to facilitates Ecommerce in Bangladesh. salary disbursement.4. DBBL is working with airlines. To provide banking and financial services. It will also boost the E-commerce and open the door for freelancer and ICT company to earn more remittance for the country. Money & Banking 22 .000 BDT. By 2010. railways. Once everything in operation. this will change the payment mechanism in Bangladesh and will reduce public suffering.3.e. This modern Electronic Technology based money transfer company has earned worldwide reputation in transferring money from one country to another country within the shortest possible time.8 DBBL Internet Banking: DBBL Internet banking enables customer to access his/her personal or business accounts anytime anywhere from home. Internet Banking gives customer the freedom to choose his/her own banking hours. educational institutions and Stock Exchanges for facilitating purchase of ticket. utility payment. 4. Utility companies. Moreover. ATM money withdrawal through mobile technology devices. Dutch-Bangla Bank Limited has set up a Representation Agreement with Western Union Financial Services Inc. i. it lets the customer deposit small amounts of money to DBBL account with a limit of 20. is called Mobile Banking.A.3. Mobile Phone. government allowance disbursement. foreign remittance. It is also working to make an interface with the renowned PayPal payment gateway. Along with the generic ATM withdrawal service.4 Western Union: Western Union Financial Services Inc. It can save time.S.9Mobile Banking: Mobile Banking is a Banking process without bank branch which provides financial services to unbanked communities efficiently and at affordable cost. payment of bills/fees and IPO subscription through the Internet Payment Gateway.3. as on 14th February 2006. It's fast. cash out. U. They can also pay DESCO electricity bills.4 Fast Track: In 2010.
4. creating opportunities for business & economic growth. the society. 4. The centers also facilitate quick transfer of funds from home and abroad to rural people through ATMs at free of cost.4. ensuring protection of environment while financing businesses and supporting the distressed people of the society are at the heart of corporate social responsibility policy of DBBL.6. MasterCard. Maestro. the economy. VISA Electron. 4. We are trying to incorporate sound environmental management process in business operations of projects financed by us that can ensure healthy and sustainable lives for our future generations.6 Corporate Social Responsibility: DBBL as a responsible corporate citizen is fully aware of its responsibility about how its operational activities impact its stakeholders.) issued by different Banks worldwide are accepted at our ATM/POS network. VISA Plus.5 Services to Banks outside the Country: We honor Cards of the customers of all the Banks throughout the world: All cards (VISA.6.2 Environment: DBBL complies with environmental standard while financing industrial projects. empowering people to fulfill their aspirations. Visa Debit. its staff and the environment. Cirrus. DBBL introduced a guideline demanding assessment of environmental and social impacts of the projects to ensure that operations of the projects would be eco-friendly. Master Debit etc.1 Commitment to rural area and Supporting SME: DBBL has opened 10 SME service centers mainly in rural area to support SMEs and to bring related low income group under financial intermediation to help them become self reliant and unleash the potential of economic growth in rural area. Projects with likely adverse impact on environment are strongly discouraged by DBBL. Money & Banking 23 . In DBBL we take this responsibility and believe that responsible conducts are directly correlated with economic & social development of the country. Conducting business in an ethical way.
] 4. We imparted training to 528 officers in 68 different courses during 2009. committed & motivated team of human resources with positive & sincere attitude towards customers that can build. The training need of individual employees including training need for introducing new products.Environmental degradation and depletion of natural resources are matters of great concern in Bangladesh like anywhere in the world. A number of sectors are on the priority list of the Bank. depletion of soil nutrients etc.6. We also nominated 71 officers to undergo different training programs/courses organized by different organizations like BIBM. Natural calamities like floods. DBBL has been continuously creating social awareness to protect the environment that is essential for present and future generations. Environmental degradation is taking place due to poverty. 4.4 Training: DBBL attaches utmost importance to the development of its employees through continuous training so that DBBL executives can have competitive advantage in the market. In turn. Dutch-Bangla Bank Limited has been giving priority to the education sector by Money & Banking 24 . Education. Customers' perception & satisfaction ultimately determines relative or absolute success or failure of an organization. over population and lack of awareness about the environment. Accordingly how human resource is recruited. destruction of wetlands. trained. as a responsible corporate body. DBBL executives are encouraged to attend high quality training at home and abroad to develop and broaden existing knowledge and skills and to acquire new skills and expertise. developed & motivated has far reaching implication on long term sustainable growth of the Bank. well trained. services and technology is evaluated on a continuous and systematic way. Bangladesh Bank Training Academy (BBTA) and other similar organizations. DBBL is regularly advertising in print and electronic media to develop an eco-friendly society for sustainable and healthy human life. 4. In addition. rehabilitation of distressed people and such other programs to redress human sufferings and to improve quality of life are some of the important areas where the Bank carries out its social and philanthropic activities. health care. maintain and strengthen trust & confidence in our customers that is crucial for our success. Keeping this view in mind.6. cyclones and tidal bores also result in severe socio-economic and environmental damage.3 Employees -unleashing the hidden potential: Human resource is the most valuable assets of DBBL. It is manifested by deforestation.6. eight executives were sent abroad for attending overseas training and workshop. we need a competent. 4. Dutch-Bangla Bank Limited has been playing a pioneering role in implementing social and philanthropic programs to help disadvantaged people of the society. The training programs were organized by our own training institute.6 Education Sector: Education is a pre-requisite for the overall development of the country.5 Supporting the Society at large: Since inception. With that end in view.6.
6. This scholarship is available for different levels of education such as: 4. and making infrastructural development.1 HSC level: Dutch-Bangla Bank Limited awards new scholarships every year for the meritorious and needy students of this level along with the continuation of existing awardees.188.8.131.52.6. Already 876 scholarships have been awarded in this level.C.C. The students.1 Scholarship Program: Dutch-Bangla Bank Limited (DBBL) has been awarding the largest number of scholarships in Bangladesh for the meritorious and needy students every year since 2001. who have been studying at H.2 Graduation level: Every year DBBL awards new scholarships for the meritorious and needy students of this level along with the continuation of existing awardees.awarding Scholarship and Fellowship.S. level after passing S. are eligible to apply for scholarship of this level. Doctoral & Post-Doctoral degree since 2006. level. who have been studying at graduation level after passing H. Under this program a scholarship awardees is provided with the following benefits: 4.6. The scholarships are renewable for the entire academic period of H.C. This fellowship is awarded to those researchers engaged in Money & Banking 25 .6.S. The students. examination in the current year.S. Already 745 scholarships have been awarded in this level.2 Fellowship Program: Dutch-Bangla Bank Limited has been awarding fellowship for pursuing M. are eligible to apply for scholarship of this level.C.S. examination in the current year. 4. The scholarships are renewable for the entire academic period of graduation level.1.Phil.1. Some of the programs are enumerated below: 4.
research in various fields like Social.000 underprivileged blind people by providing sophisticated cataract surgery (Intra Ocular Lens) throughout the country in phases since 2008. Already 159 fellowships have been awarded. Up to the year 2009.6. Comilla. Jessore. Agricultural and Natural Sciences and also engineering at different public universities of Bangladesh in M. the cleft-lipped boys & girls are being treated across the country for restoration of hope and dignity in their lives. Noakhali. Chittagong. special camps were arranged under this 'Smile Brighter' program in Dhaka.000 sq. Feni. Sylhet.2 Cataract operation for underprivileged blind people: Visual impairment is an immense social problem in our country. attending social ceremonies and impediment at the time of getting married. & PostDoctoral Levels. Savar. Savar Bazar. Baburhat.. Dania. Shatkhira.1 Smile brighter program for cleft-lip patients: Cleft-lip is far more a social set back than a health problem. Considering the gravity of the situation. Board Bazar. 4. As a continuous process. Cataract is the major cause of blindness. Bhola. Sirajgonj. Khulna.679 numbers of poor cleft-lipped boys & girls have so far been successfully operated upon across the country under the "Smile Brighter" banner. in each floor along Money & Banking 26 . Lalmonirhat.7.6. Gazipur Chowrasta. They have established a four storied Hospital having 20. Pabna. More than 4. Dinajpur.7. Rajshahi. Under this program a fellowship award is provided with the various benefits.6. Faridpur. Naogaon.7.Phil.7. Kishoregonj. Cox'sBazar.750 cataract operations have been completed successfully in different regions of the country. Biological.6.7 Health Sector: 4. Dutch-Bangla Bank Foundation started the program of operating 12. Patherhat and Hathazari Branch to render free medical services to the rural and destitute people of the adjoining areas especially for the women and children. 4.4 Health Infrastructure development: Donation to OGSB Hospital: Obstetrical and Gynecological Society of Bangladesh (OGSB) is working with poorest of the poor women and children of our country. DBBL has taken the initiative to bring back smile on the face of the boys and girls with cleft-lip through plastic surgery at free of cost since 2003. Besides. about 1. Rangpur.D. etc. A large number of rural poor people are deprived of the opportunity to cure the problem.3 Medi-Care Services for the rural people: DBBL has established Rural Medi-Care Service Center at its rural branches of Shimrail. Medical. Tangail. 80% of the affected people can resume vision through cataract operation. Ph. Kustia. 4. Bogra. Every year fellowships are awarded to the researchers for the entire period of research work as required by the university curriculum. Mymensingh.6. Barisal. 4. Boys and girls cursed with cleftlips face numerous problems in everyday life ranging from disruption of formal education. Keeping their sufferings in mind. ft.
185 to Putul Biswas.900 to Pediatrics Department.000 was approved in favour of OGSB Hospital and Institute of Reproductive & Child Health. Financial assistance of Taka 15. Money & Banking 27 . for operative treatment of his son.000 sq. Donating a PC-less multimedia projector costing Taka 61.000 to Department of Pediatrics.7. Financial assistance of Taka 50.000 to Nahid Anjum. for treatment of cancer. According to the recommendations of WHO.5 Donation for medical treatment: Financial assistance of Taka 100. the OGSB authority has planned to construct another floor (4th floor. Dhaka Medical College Hospital. Dhaka University. for treatment of underweight neonatal patients. B: There is now growing concern about blood safety. To meet the increasing demand for services for women and children. Mirpur. In this connection. Donation to ICDDR.800 to ICDDR. of Comilla. ft. equitable access to safe blood and blood products and their safe and rational use in the third world countries. Financial support of Taka 20. B authority has planned to set up an international standard blood transfusion unit. Dhaka.000. for treatment of her father. The Board of Trustees of DBBF approved financial support of Taka 11. Bangabandhu Sheikh Mujib Medical University.6. Donating 03 (three) Baby Warmer costing Taka 159. B Dhaka for setting up of the blood bank with all modern facilities of international standard. Dhaka. of Department of Development Studies.476. measuring 20. 4. with an academic Institute at Mirpur. ICDDR. Financial assistance of Taka 100. Dhaka for construction of 4th floor of the above mentioned OGSB Hospital at Mirpur. Dhaka for better dissemination of knowledge.000 to Bir Sresthho Matiur Rahman Foundation for providing free health services to poor freedom fighters and their school going children.000 to Md. the Bangladesh Government has initiated a strategy to make provision for safe blood transfusion in order to contain the transmission cycle of transfusion associated infections. Abul Kalam.) of the hospital which will be solely used for neonatal care for the sick and vulnerable children.
staff welfare. regulatory requirements. The Bank being a financial intermediary plays a significant role in this process by mobilizing savings & other resources. environmental issues.4. trading. procedures and systems in compliance with best practices in corporate governance. By offering its unique products & services the Bank is engaged in maximizing savings. DBBL is a corporate citizen. Money & Banking 28 . consumptions etc. productions. local & international trades and consumptions. It cannot act on its own without its stakeholders. employment generation. In the process the Bank is directly or indirectly creating a lot of wealth by accelerating economic activities & growth.7 Economic Contribution: Savings. employment. risk management. direct and monitor the Bank to perform its operations in an effective way to create and maximize value for the economy and society. customer services and business practices to strengthen its ability to serve the stakeholders and society increasingly in a greater way. productions. DBBL has undertaken due process. DBBL as a responsible citizen has taken effective measures to sustain its operations in a sustainable way thereby to increase its contribution to the economy & society. The stakeholders as a whole help. investments. to maximize economic growth and welfare of the society. Measures taken by DBBL to maximize value for its stakeholders and to increase its contribution to the economy & society in a sustainable way. Therefore banking company is holding a key position in economic and social development of a country. investments. allocating such resources to productive investments. distribution and consumptions are essential part of any economic system.
4. it is the policy of DBBL to maintain strong capital adequacy ratio to have sufficient cushion to absorb any unforeseen shocks arising from any potential risk. That’s good for the economy. Money & Banking 29 . At the end of 2009.587 million as at 31 December 2008. exchange and brokerage and operating incomes etc. investment income. like interest income. Maintaining adequate capital and capital adequacy ratio . to ensure long term solvency of the Bank and to help sustainable business and profit growth of the Bank that can maximize value for stakeholders. they are using their revenues in different sectors there are no extension money. commission. Bank's regulatory capital reached at Taka 5.8 Creation of Revenues and its distribution by DBBL: Their revenue flow is good. They are creating revenues from different different sectors.cushion to absorb the unforeseen shocks As part of risk management system.900 million as against Taka 4.
The proposed stock dividend for 2009 is 33.33%. Dividend rate should increase Mobilization and allocation of resources in optimum way-extending loans to important sectors at reasonable interest rate and charges.9 Sustainable dividend policy to ensure growth and maximize share value: DBBL's dividend policy is designed in a way to ensure sustainable growth of the Bank with strong capital adequacy ratio which must maximize value for shareholders. Money & Banking 30 . DBBL paid 50% stock dividend in 2008.4.
It expresses the progress of the bank.698 million to Taka 48. exports and imports are increasing. deposit. Creditdeposit ratio is contained within optimum limits to ensure utilization of resources within tolerable risks.619 million to Taka 81. Money & Banking 31 . Revenue. 4. In 2009 total liability.10 Financial Progress: Overall financial position is good. While resources are allocated at competitive rates preferably in most productive as well as export oriented sectors to maximize economic and social development of the country. deposits. profit. borrowing and others increased from Taka 60. assets. loans. Depositors are offered the best technology driven products & services available in the market to encourage them in savings. Loans and advances increased from Taka 41.481 million. including capital.411 million.It is the policy of DBBL to mobilize resources from diversified sources to make it cost effective and sustainable to support business growth.
Repayments: Equal monthly installments.000. Interest Rate:13% Rank 3 Dutch-Bangla Bank Ltd Home Line 2 HSBC Home loan 1 4.000. C.17.4. Loan Amount: Minimum Tk. Repayments: Equal monthly installments.000.00 whichever is higher. Loan range: BDT 50. Tenor: 1 to 15 years. 500.00. Professional Experience: o Salaried: Employed for at least two years by a wellreputed company.00. 1. Processing fee: 1% on the approved loan amount or Tk.50% p. B. A. Loan range: BDT 20.00.00. Rate of Interest: 16.000. C. B.or maximum 70% of the asset value.000/.000/-. 00.000. Processing fee: 1% on the approved loan amount or Tk.B.TO BDT 5.00 whichever is higher. C. Interest rate: 15 % D.000.a.TO BDT 1 1. 500. o Self Employed: BDT 50.00 & Maximum Tk.50% p. Age: At least 23 years.50 % D. 10.000/. o Self-employed: Business Money & Banking 32 .1 Home loan: Bank Name Product Name AB Bank Ltd House/Office Furnishing/ Renovation Loan Short Description A. Charges: Application fee: Tk. Loan Amount: 70% for the brand new car. 3 60% for the reconditioned car but must not exceed BDT 10. .11.11 Comparison with other Banks: 4. Rate of Interest 14. A.a. 2000.2 Car loan: Bank Name AB Bank Ltd Product Name Auto Loan Short Description Rank Dutch-Bangla Bank Ltd Auto line HSBC Car Loan A. Interest rate: 14.000/. C. 2 B. 5000. whichever is lower.000. Charges Application fee: Tk. For Brand new Car: Max 60 months D. Tenor For Reconditioned Car: Max 36 months. Tenor: 1 to 5 years. Minimum Monthly Income: o Salaried: BDT 40. A.50% p. A. D. Tenor: Min 12 months & Max 48 months.00 B. B.11.00.a. C. Age: At least 23 years.
Repayments: Equal monthly installments.a.Salaried: Money & Banking 33 . 500. Minimum Monthly Income: . .00. 50. D.000.000/B. 000. .000.a. Autopsy/CEPS: BDT15.Salaried: Employed for at least two years by a wellreputed company. Age: At least 23 years . . Daintiest Rate: 16 % 4. D.TO BDT 1. 3. 2 B.Salaried: Employed for at least two years by a wellreputed company.00. . Minimum Monthly Income: o Salaried: BDT 20. A.000. Professional Experience: .Self-employed: Business establishment for at least two years (with adequate proof).3 Education loan: Product Name Education Loan Short Description A. C.11. C. B.00% p. C. C. Loan range: BDT 50. & Maximum Tk.00 whichever is higher.4 Health line: Bank Name HSBC Product Name Medical loan Rank Short Description A. Tenor: Min 12 months & Max 36 months. 00. Charges: Application fee: Tk.establishment for at least two years(with. Processing fee: 1% on the approved loan amount or Tk. Age: At least 23 years.16.11. Interest Rate: 19 % Rank 1 Bank Name AB Bank Ltd Dutch-Bangla Bank Ltd Education Line 2 HSBC Student loan 3 4.000.50% p.Self-employed: Business establishment for at least two years (with adequate proof).50 % D. Rate of Interest: 14.00. Interest rate: 17. Loan Amount: Minimum Tk. Professional Experience: . A.Self Employed: BDT50. Minimum Monthly Income: . 1000.000. adequate proof) C. o Self Employed: BDT 50.000/. B. Tenor: 1 to 5 years.Salaried: BDT18.000. 000.
50 % D. .Self Employed: BDT50. Interest rate: 17. A.000.000.6 Marriage Line: Bank Name DutchBangla Bank Ltd Product Name Marriage Line Short Description Rank HSBC Wedding loan A.000. Tenor: 1 to 5 years.TO BDT 1 1.000.000.11. Repayments: Equal monthly installments. Repayments: Equal monthly installments. Age: At least 23 years.000. Professional Experience: .000/.TO 1 BDT 1. 000. . Loan range: BDT 50. 4. D.000/. Tenor: 1 to 5 years.DutchHealth Line Bangla Bank Ltd BDT18. -Self Employed: BDT50. Autopsy/CEPS: BDT15.11.TO BDT 1 1. Tenor: 1 to 5 years.000/B. Loan range: BDT 50. Auto pay/CEPS: BDT15. Autopsy/CEPS: BDT15. Interest Rate: 19 % Money & Banking 34 . 2 B.000/B.000/B. Age: At least 23 years.000.000/. Dutch-Bangla Bank Ltd Professional line 4. Minimum Monthly Income: .Salaried: BDT18. Loan range: BDT 50. D. Minimum Monthly Income: Salaried: BDT18. Interest Rate:19 % A.50 % D. Interest Rate:19 % A. C.50% D. D.Self Employed: BDT50.Salaried: Employed for at least two years by a wellreputed company.5 Professional line: Bank Name HSBC Product Name Professional loan Short Description Rank A. 000. C.000. 000. C. Interest rate: 17. Repayments: Equal monthly installments. 2 B. C.000. Interest rate: 17. Self-employed: Business establishment for at least two years (with adequate proof).
Age: At least 23 years.7 Travel line: Bank Name DutchBangla Bank Ltd Product Name Travel line Short Description Rank HSBC Travel loan A.12 Interest Rate Comparison: The interest rate comparison is done to show the comparative position of the bank considering the similar products of other banks. The clean credit products are offered to the persons whose salary varies from 10000 (salaried person) to 30000 (businessman).Salaried: BDT18.D. Interest Rate: 19% 4. DBBL has to compete by both quality and price. Self Employed: BDT50. Interest rate: 17. Other than the home loan service. all other products have higher interest in HSBC than in DBBL. As a part of the expansion strategy. DBBL is still promoting its life line products to the customers and that’s why. A. D. In addition. As the brand value is not as same as HSBC or other multinational banks. 2 B. Repayments: Equal monthly installments.Tenor:1 to 5 years. it was found that HSBC is successful in keeping higher mark up due to its brand value to the customers. over the period. Minimum Monthly Income: . C.Autopsy/CEPS: BDT15.000/.000. During the study. the market is very much competitive and uncertain.000.13 Risk Involved in the Loans: The eligibility of the borrowers shows how much risk is involved in the loan products. The aim is to make the clients loyal to the bank. One of the reasons behind the lower interest rate is the brand value of DBBL. Salaried Money & Banking 35 . it is now offering lower interest rate for the products necessary in everyday life. it has become the most popular bank among the consumers. This implies that there are risks involved in the process of disbursing loan without any collateral. Selfemployed: Business establishment for at least two years (with adequate proof). have a strong customer base in the long run. This will help the bank to create a sustainable brand value and thereby. DBBL has established itself as the quality service provider.TO BDT 1 1. the required age is just 22 years. Loan range: BDT 50.Salaried: Employed for at least two years by a well-reputed company. .000. Since. C. 4. HSBC maintains a steady state 19% interest for its life line products.50 % .4. it offers competitive price for the products. However. Professional Experience: . Having the highest number of ATM booths.000/B.11.000. On the other hand. it has to compromise the price of the products.
So.14 Industry Interest Rate versus Life Line Rate: The current industry interest rate is around 16%-17% per year. 4. So. some banks are charging more than that. chances are more to be successful in doing business with the loan money. This also indicates that the market situation might change at any time. HSBC is charging around 19% whereas DBBL is charging around 16.5%. there is risk of losing profit margin if the central bank intervened in the market. But.5%-17. This implies that there are lees risks involved as these businessmen are presumed to have better management capacity. A person of 22 years is presumed to have very limited management capability. This will lead to more sales and hence. The middle class families will be more attracted to the life line products due to the low interest rate. the secured credit lines are offered to the employees who are not less than 23 years of age. This implies that the bank has to be very careful in terms of giving loans to the business persons without any collateral. This will create pressure for the commercial banks to lower down the interest rate. This criterion is set at 25 years for the businessman seeking loans. more profit in future. On the other hand. But the age requirement is too low for the business borrowers. there are risks of being failure in the business. However. Money & Banking 36 . So. There is another possible impact of lessening the interest rates. it is a matter of concern that the central bank has issued a guideline to keep the interest rate at 14% maximum for the term loans and working capital financing.persons are more secured than the businessmen. This will cut down the margin further for the banks.
16. 9. 17. co-operative. Lack of initiative to develop and expand new product. 8. 10. Eid cards / New Year cards. The bank should provide sufficient manpower to the respective branches 15. experienced and dedicated human resources. The product should be promoted in new and an innovative ways. Dutch Bangla Bank is trying it’s best to increase their service to the public. 5. Money & Banking 37 . 7. A good working environment is remaining in Branch office. Lack of advertisement and products by the Bank. DBBL has a bulk of qualified. Lack of employees’ satisfaction in the branch can be seen. 18. As a private bank. 4. Te authority should take initiative to improve their expertise in the Investment Businesses to be more prompt. Employees are mostly courteous. 2. friendly in nature and eager to help despite the tremendous workload. 3. DBBL often has problem with ATM machine. 14. Personal relationship should be build up with the customers. 13. The work load is not sound distributed between the employees of same level in the branch. They can send different gift item like calendar. 6.Chapter-5 5.1 Findings: 1. 12. The higher-Level management of the bank should invite more participation from their subordinates. diary. The relationship between bankers and client should be improve. As the worked load on the same level employees is not same so they should help each other. Customer often complains that the ATMs are out of order. DBBL should introduce motivated programs for its employees so that they can enhance their performance. Dutch Bangla Bank. 11.
The bank should develop culture of timeliness over the period. The satisfaction of their customer’s needs is their prime focus and they want to achieve it by offering products and services.5. If your employees are satisfied they would produce superior quality performance in optimal time and lead to growing profits. Employee satisfaction is supremely important in an organization because it is what productivity depends on. 2. 3. However. Interns should be used for assisting the mainstream employees. There are lots of services which DBBL cannot provide in specific time. There are lots of complaints about the ATM service of DBBL. Physical working environment should be improved. some employees go for professional training. the bank does not have any alternative way of compensating the position. However. To fill up the gap. interns are recruited which actually lowers the quality of the services. This actually motivates the clients to deposit money in DBBL as it provides the opportunity to withdraw the cash at any time. exceptional case should be considered. Some recommendations are given below based on the data analysis: 1. then the clients will be de-motivated to deposit money in DBBL. employees including the management have to face the wrath of the customers. Some of the customers also complained about the neatness of the fresh rooms. It was found during the internship period that the branch lacks neat and cleanliness. Every day. DBBL has branded the bank as the highest number of ATM booths holders. 6. 4. still they are yet not the market leaders. The bank has to overcome the shortcomings in the near future and offers new innovative products to retain its position as a leader amongst banks year after year. At that time.2 Recommendation: Though Dutch Bangla Bank has established its image as one of the best service provider for its potential customers. Sometimes. ATM services should be improved. Other than that. In addition. A considerable time and money are wasted due to the bad service of the ATM booths. There are situations when there is no scope of providing prompt service. Dutch-Bangla Bank should analyze the need of the people in the locality in which the bank is operating. Management should emphasize on the employee satisfaction. if the bad service continues. decrease in profit. Management should think about increasing the number of employees in the branch. 5. customers have to wait more than the usual time required for a service. A healthy work environment provides people with opportunities to meet work and personal goals. It was found that the employees cannot provide quality services during the pick hours as there are fewer employees than what is needed. everyone of the bank must be prepared both mentally and physically for providing prompt service. Satisfied employees are also more likely to be creative and innovative and come up with a breakthrough that allows a company to grow and change positively with time and changing market conditions. cost increases. increase competitor. Money & Banking 38 . Neat and clean working environment should be the top priority issue. But for lack of cooperation customer dissatisfaction is increasing which may result of company’s reputation loss.
The success of a bank depends on the quality of the services it offers.5. try to provide quality services with competitive interest rates. Life line package has been developed with the same purpose. It has a large portfolio with huge assets to meet up its liabilities and management of this bank is equipped with the export bankers and managers in all level of management. To that extent. product development. All the commercial banks. DBBL always emphasizes its customer services. branch networking and the contribution to the economic development of the country. therefore. but there are some obstacles it faces to sustain the position. The bank also provides social services through DBBF as their social responsibility. Although.3 Conclusion: Dutch-Bangla Bank Limited is one of the most potential Banks in the banking sector. the comparative analysis shows that DBBL is in better position. So it is not an easy job to find out the drawbacks of this branch. It has been observed that DBBL started its banking services with a view to minimize the customer’s needs by offering different products and services which are easy and affordable for all level of customers. However. resource management. DBBL is not an exception. the continuous improvement of the services will certainly place the bank in the best position in one decade Money & Banking 39 .
dbbl.5.com Money & Banking 40 . www.bd. 2.com www.com www.wikipedia.scribd. 4.4 Bibliography: 1.com www. 5. 3.com www.hsbc.google.
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