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Internship Report submitted to the Faculty of Management &
Administrative Sciences in Partial Fulfillment of the Requirements for
the Degree of Master of Business Administration.

MBA (2011-2014)

Signature of Program Coordinator______________

Date: JUNE 27,2014

Two months or 6 weeks internship program is an integral part of MBA
semester program, which carries zero credit hours.
The purpose of this training is to prepare MBA students in a manner that they
should have practical knowledge of their courses of studies & the practical
aspects, to be beneficial for their future.
I underwent the training at the UBL wazirabad branch code 0968.

I am thankful to the internship in charge, the staff members of this branch in









Aslam(Manager), who gave me full opportunity to learn all the transactions

of the bank and taught me how to work in the practical field. He also gave
continuous and proper support and help in preparing this internship report.


I dedicate this report to my family, teachers,

Friends and to the dedicated and cooperative staff of

Executive summery
To interpret my skills and educational knowledge of Accounting I have done
my internship in UBL Wazirabad and to know how I will work in financial
institutions and among various types of people have different attitude.
The objective of this Internship was to explore the issues relating to Finance
and to find out problems regarding the theoretical concepts with practical
experience working in an organization during the internship and study the
system of UBL. There are many possible improvements, which we can make
positive changes in the system.
The report based on my six weeks internship program in Askari UBL. The
methodology reported for collection of data is primary as well as secondary
data. The biggest source of information is my personal observation while
working with staff and having discussion with them.
The report summarizes description of the UBL, theory and practices adopted
by UBL and financial position of UBL, its analysis and at the end concluding
remarks and suggestions are given for improvements. It was too much difficult
for me to describe the functioning of such a vast organization within the limits.
In spite of this, I tried my best to describe.
Finally, for any all too fallible errors, omissions and shortcomings in the
writing of the report only I am responsible, for which I hope that all
concerning regards of this report will forgive us.

All praises and thanks to Almighty Allah, the Lord and creator of this
universe by whose power and glory all good things are accomplished. He is
also the most merciful, who bestowed on me the potential, ability and an
opportunity to work on this report.
I owe our profoundest thanks to my teachers, I feel blessed to have them as my
teacher, whose strength and wisdom I learn up to and no doubt, experience of
work with them is far better than I believed possible. I am also grateful to Mr.
Muhammah Aslam (branch manager), Mr. Muhammad Qaleem (manager
operation), and Mr.Hamayoon Akhter (cashier) for their continued guidance
and encouragement.
Last but not the least; ordinary words of gratitude do not encompass
the true love and guidance extended to our loving and caring parents. Their
constant interest, prayers and encouragement have been a very strong support
for me and have enabled me to finish our course work.

1. Introduction of Organization
1. History of the Bank
2. Business Volume
3. Hierarchy of Organization
4. UBL Complete range of Product
2. Plan of Internship Program
3. Training Program
4. Ratio analysis
5. Future Prospects of Organization
6. Conclusion
7. Recommendations

Introduction of Organization
History of the Bank
The bank has the great history of excellence in the banking sector for
more than five decades. It came into being in 1959 and first branch launched
in Chandigarh. The banking history is full of success and innovations. It is the
first bank who lunches the overseas branches in 1963. UBL always gone step
by step with the information and technology and introduces computer banking
in Pakistan in 1971. The bank took part in the success of every field of life
throughout his history and always considers the benefits of the customers first.
By keeping the trends of innovation the bank introduces the first UBL Credit
card the UNICARD also the first bank to have an Islamic banking divisions in
Pakistan. The bank was privatized in 2002, and afterward the Best Way and Al
Ayaan collaborated to the todays standing bank. UBL successes with the new
vision for the 52 years with the flourishing history and now ranked in the
worlds largest financial services group.

Business Volume

Business assets and liabilities, shareholders detail as per audited annual report
of UBL 2010.
Amount in Rupee
Total Assets


Share Capital

12,241, 798


21, 688, 637

Total liabilities


UBL Complete range of Product

UBL has the vast range of products and offering products for both
cooperate and retailing sector in Pakistan


Deposits and commercial products;


UBL Business partner--Current account

UBL Cash Line

UBL business Partner Plus- Current Account

UBL Address- Home

Foreign currency term deposit certificate

UBL Drive- Auto Loan

UBL First Minor Account

UBL Agricultural Loan

Rupee transactional account-PLS Saving account


UBL Uniflex

UBL Sillah Mila

UBL Unisaver

UBL Credit Card-Chip

Certificate of Deposit

UBL WIZ- Prepaid Debit

Shopping Card
Music Card

Foreign currency savings




Corporate Finance;


Loan Syndication

Documentary Letter of Credit

Structured Finance

Documentary Collection

Term Finance certificates.

Funds Transfer

Credit Extensions

Investment and Cash Management

Over Drafts and Demand Drafts

Current and PLS accounts.

Working Capital Finance

Cash Collection

Import Financing

Utility Bills collection

Receivable discounting


Plan of Internship Program:

I started training in the Saroki 1451 branch UBL. I started training
from Day 17 JULY 2013 today ended on 05 SEPTEMBER 2013. There were
12 employees in the branch of the branch were covering a waste of
commercial area. There is a section in two of the monetary cashiers were
working and one supervisor, also one Regional branches that deal with cash
without a prescription and account opening processes, Corporate social
responsibility, an employee of a very old and kind of the West Bank and
service for nearly 40 years. It is effective, and a great deal of experience with
the clearing of checks, Provision of checkbooks and ATM cards. A CSOM is
the Director of the operational branch does all the trades operating Conducted
in the branch. I worked with most of them Department of banking services to
individuals and also works with corporate social responsibility, and learn to set
off. When I entered the branch I am ashamed and reluctant of the environment,
but when I met with Branch Manager I feel confident because the manager is
very kind and courteous, and after Words were met with all the staff all very
cooperative and kind and was a great place For me to learn all the work of the
branch to know specifically for banking operations for individuals. The big
advantage of this section, which was then converted to symbols, it was still a
system UNIBANK2000. This means that in the system of UNIBANK ATM is
Balanced daily manually, and also many other works that have not yet
changed to the new coding system.

Training Program:
This was my first Practical training in any field. I was greatly blessed
by all the Staff members from branch manager to a cashier. This Six weeks
period of internship is full of work and learning. Following is the details of
works assigned to me, and I performance in the bank.
I have mainly learned about following fields:
The Account opening procedure, Evaluation of customers, know the
types of Accounts maintained by the banks. The Cash over the Counter for
foreign remittances. The balancing of ATM cash just for UINBANK System
branches. How the DDS over drafts transferred, UniRemote, and Starting of
the Day with ending of the Day procedures. The daily transitioned the
documented sheets which are maintained by the branch.

Types of Accounts
UBL Basic Banking Account:
In this type of account minimum of two withdrawals and deposits are
allowed per month and free of charges. If customer do more transactions
above the mentioned limited then the flat fee is charged as per rates are
prevailing according to bank policy. This account is free from Levy charges in
case of not meeting minimum balance requirements.

UBL Business Partner Account (Current Account):

UBL offers our regular customers unlimited deposits and unlimited
withdrawals and minimum credit limit of 10000/-. If reduced the amount from
this said limit, the 50 rupees per month should be deducted from the account
unless these are charges are exempted in any case. The Business Partner
Account offers the net banking services plus UBL WALLET and PREMIUM
CARD and other existing products.

UBL Business Partner plus: (current Account):

UBL offers unlimited Withdrawals and deposits. With the exemption of

service charges, while maintaining the minimum balance of 25000/-. The ATM
and other charges are free according to this UBL Business Partner Plus
(current Account).

Opening of an Account:
The beneficial products for commercial banks are their accounts and
their different types. In my early Days in the branch I learned the retail
banking and their procedures.
It was really a Great experience for me first days I watched the officer with
great attention and noted all the essentials for opening of an Account.
UBL is Bank of everyone. The UBL offers accounts which are suitable for
every person in any field. Either person is a middleman or a business man or a
salaries person, a house Wife or a Student or a minor child overseas Pakistani,
he /she will receive benefits and outstanding services. Because UBL where
you come first.
When I learned then my officer tell me to deal with customers for some time.
It was actually the learning for me; I dealt different customers, when I was in
point where I did not understand the Officer guided me well.

Opening Form:
The UBL opening Form is designed according to the advancements in
the technology. It consists of Five PAGES; three pages are about requirements
of customers and information of customers to be filled in. The two pages are
contains the information of accounts, terms and conditions for accounts rules









acknowledgement. UBL has centralized process of opening an account. Means

we collect Data from the customer, and scanned them and submitted to CAPS
a tab in the site.
Type of accounts and currency dealt in;
The Different types of accounts are given in this section of AOF. First of all
understand the customer, why he/she wants to open an account, and then
describe his needs according to all eight types of accounts also outline all the
features of the accounts to the customer and tick to the mail box of account
which customer agrees.

Ask customer about the type of currency which he may deal with, most of
customer dealt in PKR, which means Pakistani Rupee. Tick the relevant box of
related currency type.

Nature of account:
Choose the desired nature of account, while individual or joint account.

Particulars of Account;
In this sections the Title of account mentioned, from whom the
account is recognized following with the Secret word section, in which
minimum of Six digit secret word is entered, which is told by the applicant,
this is for the security of the account, usually mothers name is entered, and
used to verify from customer on phone. After that Mailing address for mailing
anything, next is permanent address of the customer according to CNIC of the
customers E-mail address is mandatory for e-statements and Net banking.
Then Active mobile number placed for mobile banking facilities. The all fields
should be filled properly any necessary item should not be missed.
Personal information:
In this Tab the personal information of Applicant is placed of
(Single/Joint Account) .First of all, the name of applicant and then fathers/
husbands name. Gender section tick one of the box of either male or female
.Following comes Marital Status, tick one of the box from, Married, Single
and others, if others please specify the status. Following are Nationality and

Status. Afterwards





REGISTRATION no .comes, behind it CNIC no. and its Date of Expiry

placed. Last column of the form contains the occupation detail.
MINORS Account information:
Next Page starts with the section of minors Account. In this section:
The minor Applicants and his /her Guardians information is placed.

Business Account:
This block is filled if the Applicant wants to open a business Account.
In this block persons Account Title Followed by Companies Name,
Afterwards Nature of the business. Date of commencement of business.
Mailing Address of Office of Dealing, and then Permanent Registered address,

accompanied by Tehsil/District and City information is below these columns.

Email Address and Fax number is Also mentioned.
Additional Information:
Existing Relationship with the customer:
If the applicant has any other existing relation with UBL, then mentioned here.
Existing relationship with other banks; the Applicant have relationship with
other banks if any.


Describe the customer about ATM and its fields. Then ask customer
about the need of ATM Card and its specifications. Enter the customers Name
in the field, and options of Supplementary card options, if customer later want
to issue card then fill it with relevant information.

Zakat Deduction:
The PLS account holders can directly Pay Zakat from their account.

Other UBL products:

If customer needs other UBL product, then ask and fill it.
Operational Instruction:
This is for Signing Authority of Account; either Account is single

Special instructions: if any, are registered here.

Statement of Accounts;
When Statements of accounts needed, monthly weekly, half yearly of yearly

Account Referred by:

Either customer walk in. or referred by any other.

Terms and Conditions:

The terms and Conditions about account opening and bank policies are
detailed mention here. Indemnity and undertaking; in this part the customer
admit that he/she is agree with the UBL policies, and consider as a Part of

Signature Specimen Card:

The SSC is maintained with the bank, this is to verify and get record of
customers original signatures in the banks record. Whenever needed the bank
have SSC to verify customers signature in any inconvenient situation.

Cheque Book Requisition Card:

The completion of filling of Form, this form is filled whether to mail
cheque book or HOLD for collection.

Letter of Thanks:
A letter of Thanks is dispatched to the customers mailing address,
actually it is to verify that the customer is actually lives in that address or not.

Customer Documentation:
The customers original CNIC with photocopy, also in centralized
process of AOF, there is need of documentation prove of source of funds from
the customer are needed.

Completing the Account opening procedure:

The form filled and then legal and required documents are received
from the customer. All the documents including customers CNIC copy,
documented prove of Source of funds with AOF completed. The Soft Copy of
All these documents are uploaded to the internet.

After the approval of account, the account is opened from Karachi,

ATM Balancing Procedure:

The balancing of ATM is maintained in those branches maintaining the
UNIBANK 2000 system. The branches which are converted to SYMBOLS
have no need of process of ATM balancing.
The cashier put cash in the cassettes of ATM Machine in early morning. Then
the Role of previous days off line and online transactions is given to RBO. The
RBO check the role, and mark those transactions which have icons of
withdrawals and approved together, put offline transactions in the system and
updated. The online transactions are checked through the list and role provided
from the ATM Machine.

The Cash remaining in the ATM machine should be balanced daily. The
figures are matched that how much cash is uploaded in the ATM machine, and
how much remaining in the ATM.

Cash over the Counter:

The COC is used for the encashment of the Foreign Remittances. The
amounts which are transferred to UBL from different countries are enchased
through that procedure. The following details are required from the customer,
the Original CNIC with Copy. The supervisor asked the customer from where
the remittance received and who send.
The payment is only given to those persons who provide the name of sender
and receiver along with the original CNIC.

These are the online transfer of cheques, or cash rupees to one branch
of the bank to other branch of the bank in all over the world.

Demand Drafts:
It is very Secure and fast way of paying Remittances to other cities.
The account holders customers and Walk in people both are able to avail this
ability from the UBL, but the charges are different for Walk in Customer and
account holder of the bank.

Pay Orders:
POs is the quick way of paying your remittance within one city. There
deposited to any branch and then forwarded to the clearing process, within A
day the amount transferred.

The online facility of depositing cash in any branch of UBL in all over
the Pakistan, the charges of Uni remote starts from 290 to 360 approximately.

Major Withdrawals:
The withdrawals made by the customer in previous day, over one
million are noted here, in the sheet, after completing signatures of supervisors
and manager. It is filed.

Daily customer transactions:

In this sheet all the daily customer transactions are noted, after signing
it is also filed.
Subsidiciary Ledger:
It is also Called 110. It is also completed daily.
Daily Over Rides;
It is completed daily also.

The operational Works at start of the day:

The checking of opening of cash, How the cash counter is opened ,
how the cash is put into the counter, the opened cash , is recorded in the
registers, the CSOM make sure that the cashier will not take unsorted cash.
The cameras and metal detector and other electronic instruments are working

Ending the Day:

In end of the day the QUIEMATRIC which is token a machine, we
check its time and it makes all the day. The cash is closed at what limit, and
how much sorted and unsorted cash left in the locker, noted in the relevant

Current Ratio
Asset Turnover
Debt to Asset
Debt to Equity
Coverage Ratio
Gross Profit Margin
Net Profit Margin
Return On Investment -4.43%
Return On Equity
Advances to Deposit 56.46%
Investment to Deposit 20.22%
Cash Ratio

2008 2009FORMULA
0.91 1.15Current Assets / Current Liabilities
0.06 0.04Markup Revenue / Total Assets
0.94 0.93Total Debt / Total Assets
14.4 13.47Total Equity / Total Assets
1.15 3.34EBIT / Interest Expense
52.50% 79%Gross Profit / Revenue * 100
12.69% 30%Net Profit / Revenue * 100
0.76% 1.24%Net Profit / Total Assets * 100
16.78% 18%Net Profit / Total Equity * 100
46.74% 45%Advances / Deposits * 100
41.63% 28%Investment / Deposits * 100
9.23% 28%Cash / Current Liabilities * 100

1. Net Profit Margin= Net income/Revenue *100

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=17742218/59331761 =14034501/61107025 =14052051/52763249
=29.90 %



Chart no.1

The Net Profit Margin for 2010 is higher as compare to the years 2009
and 2008. The NPM for 2009 is slightly low as compare to the year 2008. This
is because the economic conditions for Pakistan changed very fast.

2. Gross Spread Ratio= Net Mark up income/ Gross

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---




=26103808/34108508 =20327864/32943238



Chart no.2

The Net Mark up income for the year 2010 is greater from the last
couple of years. This is because the company is growing at a rapid at, and
receiving more mark up ratio as compare to gross income.

3. Non interest income to income ratio= Non Interest

Year 2010
Amount in ---000---

Year 2009
Year 2008
Amount in ---000--- Amount in ---000---

=10120632/17742218 =
= 57.04%


11419571/14034501 =11199152/14052051



Chart no.3

The non interest income for the year 2010 is lower as compare to the
years 2009 and 2008.

4. Spread Ratio= Interest Earned/ Interest Expense.

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=59331761/25223253 =61107025/28163787
=2.53 Times

=2.17 Times

2.17 times

Chart no.4

The interest earned is 2.5 times greater as compare to the interest
expenses. The ratio is also higher for the year 2010 as compare to the recent
years. This shows that the bank is striving towards success and controlling
their expenses very well.

5. Return on Assets= Net Income/Total Assets.

Year 2010
Year 2009
Year 2008
Amount in ---000---rupees Amount in ---000---rupees Amount in ---000---rupees

Chart no.5


The ROA for the year 2010 is lower as compare to the year 2009; this
is because of Flood in Pakistan faced by our country. The 30% area of the
country is swirly affected by flood; so the Bank would not Able to cover back
the ROA ratio.

6. DuPont Return on Asset Ratio = (Net income

/Sales)*(Sales/Total Assets)
Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=(11159930/59331761)* =(9192687/61107025)* =(8445251/52763249)*
( 59331761/698784979)


=1.59 %



Chart no.6

this Ratio is also increased during the calendar year of 2010.

7. on Equity=Net Income (after tax)/ Shareholders

Year 2010
mount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---


=9192687/52276246 =




Chart no.7

The ROE for the year 2010 is greater as compare to the recent years.

8. Debt ratio= (Total Liabilities/Total Assets)

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=(630369914/698784979) =(558779710/619716433) =571311725/620707389

=90.16 %
Chart no.8

= 92.04 %

The Debt Ratio is almost same from year 2009, and year 2010. The
total liabilities are above 90 percent of total Assets. Which are increased
during year as compare to the year 2009, but lower from the year 2008.

9. Debt/Equity Ratio= (Liabilities/ Equity)

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=(630369914/60180924) =(558779710/52276246) =571311725/47121165
=10.47 Times

=10.68 Times
Chart no.9

=12.12 times

The liabilities are above 10 percent as compare to the equity. The ratio
is slightly lower from 2009, but is higher in 2008.

10. Advances/Deposits Ratio

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=333732172/550645767 =354091713/492036105 =377945366/492267898

= 71.9%
Chart no.10


The Advances to the deposits Ratio is above 60percent for the year
2010 but is lower from the years 2009 and 2008. This is because The bank did
not give too much advances.

10.Operating Cash Flow Ratio= Cash Flow from

operation/Current Liabilities
Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---

=100070348/5045815 =23099432/5147259 =1025033/5210870
=19.83 %

Chart no.11


The Cash Flow from Operating Activities to current liabilities is
greater in year 2010 and much lesser in 2009 and 2008.

11.Dividend Per Share= Dividend over Period /Number

of Outstanding Shares
Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in




=Rs. 4 /-

=2.5 /Chart no.12

The Dividend per Share is significantly increased in year 2010 Due to
the overall Good business activities of the bank.

12.Earning Per Share (EPS)= Net Income /Number of

Outstanding Shares
Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---




=Rs. 9.12 /-



Chart no.13

The EPS for the year 2010 is greater from previous years. This
interpretation and increase in earnings per share shows that bank is growing
towards success are a rapid rate. Its profit is also increased more that 25
percent from recent calendar years. i,e,. 2009.

13.Price Earning Ratio = Market value of Share/EPS

Year 2010
Amount in ---000---

Year 2009
Amount in ---000---

Year 2008
Amount in ---000---




=Rs. 7.48 /-

=Rs.7.07 /-

=Rs.4.48 /-

Chart no.14

The Price Earning Ratio for the year 2010 is increases significantly
from past years.

Future Prospects of Organization:

UBL is not only working for the corporate sector, but it also working
for the development of ordinary man by facilitating himself by various
program. The UBL is looking forward for the better of low income people
especialy. Recently UBL has developed small business schemes. Als ogood
rates accounts for ordinary pepole and Businessmen. The UBl Recently issues
the Perdais Card, for free foreign remittencce, Also issueing many other WIZ
cards for students, House Wives, and children.
The UBL is growing at a rapid rate not only in Pakistan, but also in UAE and
sojme european countires. UBL make banking easy and comfortable for an
ordinary person. It is the most relaible bank, where you come first.


The UBL is growing rapidly in the banking sector in Pakistan. It has

currently largest Online branches in urban areas , and also developing its
structure in rural areas too.. As the technology Advances the UBL also making
it self fast and accurate in coming years the UBL is looking for the better
infrastructure in banking in Pakistan. As the World is going forward towards
technology and advancements, the UBL also going step by step with all the
organizations. It has a good banking Structure, and very fast and effective
network.iconcluded that it is the good banking for rural customers as well as
urban customers, there are need of areas to be established and worked.
My Experience during internship was great and full of learning. I learned A lot
from the GMAbad branch.All the Staff members give Great respect and honor,
and every person want to teach me whatever he knows. And know when I
made my internship, my mind cleared all the duobts which I left during my

The overall organization is very good and results oriented, but I feel
there is a need of improvement in some areas.
There is not so much strictness about works the employees performed.
Everyone not want to do his work properly, he always take interests in others
work. There is not an equal distribution of work, according to the designation
of the Employee.
If there is proper checking of work of the employees then they would be very
efficient in their work. Lack of facilities to the employees, take the employees
mind to their private and they will not be able to perform well. If proper
facilities are providing to them and they have no tension of child feed, then
they would be able to work efficiently.
All the members of Staff are not motivated by the seniors. The attitude of
Staff is not good with the customers. There is a Need of improvement in the
attitude of the staff.
UBL boosting from its privatization, but after that there is not so much care is
taken, as it was expected. The Organization is creeping towards success, but
the competing organization from UBL is running towards success. IF UBL

make policies according to the customer needs and customer affordability

then, the bank will successively run in towards new age. The online System of
the bank should improved, it is much better in urban areas, but very poorly
operate in rural areas.
The service charges are too high as compare to other Commercial banks. The
interest margin is also increased, because the customers are receiving more
mark up with less installments that why UBLs credit section is not, profiting