Table of Contents

Acknowledgement
BankingAn
Overview----------------------------------------------------------------------------------------Chapter

No.1

1.1

Banking

Definition------------------------------------------------------------------------------------------------1
1.2 History
Banking--------------------------------------------------------------------------------------- 1

of

1.3 Banking
Pakistan-----------------------------------------------------------------------------------------------1

in

Chapter
No.
2
Introduction
and
Background
Falah-------------------------------------------------------3

Al

of

Bank

2.1
Introduction-----------------------------------------------------------------------------------------------3
2.2 Background----------------------------------------------------------------------------------------------3
2.3
Rating----------------------------------------------------------------------------------------------4

Credit

2.4. Current Scenerio of Bank

Alfalah-------------------------------------------------------------------4
2.5.
Associates------------------------------------------------------------------------------------------------4
2.6. Vision
Alfalah---------------------------------------------------------------------------------5

of

Bank

2.7. Mission
Alfalah-------------------------------------------------------------------------------5

of

Bank
2.8.

Awards---------------------------------------------------------------------------------------------------5
2.9
Values----------------------------------------------------------------------------------------------5

Core

2.10.
BAF------------------------------------------------------------------------------------6
2.11.
Facts------------------------------------------------------------------------------6

Objectives

Summary

of

of
Key

Chapter
No.
3
Management
of
Bank
Falah---------------------------------------------------------------------------7

Al
3.1

Designation-----------------------------------------------------------------------------------------------7
3.2
Team-------------------------------------------------------------------------------------7

Management

3.3
Hierarchy-------------------------------------------------------------------------------8

Management

3.4 Board
directors---------------------------------------------------------------------------------------8

of

3.5 Auditors
BAF------------------------------------------------------------------------------------------10

of

3.6 Registration
Exchanges------------------------------------------------------------------- 10
3.7
Structure--------------------------------------------------------------------------------11

at

Organization

3.8
Structure--------------------------------------------------------------------------------------- 12
Chapter
No.4
Departmentalization
Alfalah----------------------------------------------------------------- 13

Stock

at

Branch
Bank

4.1 Account
department----------------------------------------------------------------------13

Opening

4.1.1.

Formal

Application-----------------------------------------------------------------------------13
4.1.2.
Customer----------------------------------------------------------------------------- 13

Types

of

4.1.3. Documents for Account

Opening-----------------------------------------------------------14

4.1.4. Stamps required on

stamps------------------------------------------------------------------17
4.1.5.
AOF---------------------------------------------------------------------------------17

Contents

of

4.1.6. Account opening

procedure-----------------------------------------------------------------18
4.1.7.
issuance------------------------------------------------------------------------19

Cheque

book

4.1.8. Stop payment procedure

--------------------------------------------------------------------19
4.2.
department-------------------------------------------------------------------------------------19
4.2.1.
Cash--------------------------------------------------------------------------------19
4.2.2.
procedure----------------------------------------------------------------------19

Opening
Cash

4.2.3. Cash
Procedure--------------------------------------------------------------------20
4.3.
department----------------------------------------------------------------------------21

Payment

Remittance
Clearing

4.5.
department-----------------------------------------------------------------------------------24
Document

4.7.
department-------------------------------------------------------------------25

of

deposit

4.4.
department--------------------------------------------------------------------------------22

4.6.
department-----------------------------------------------------------25

Cash

Credit

Management

Foreign

Exchange

4.8.
department----------------------------------------------------------------------------------------25
Chapter
No.5
Products
Services------------------------------------------------------------------------------------26

IT
and

5.1
banking----------------------------------------------------------------------------------------26

Personal

5.1.1.
Account--------------------------------------------------------------------------------26

Deposits
5.1.2.

Loans------------------------------------------------------------------------------------------------29
5.13.
Cards----------------------------------------------------------------------------------------30

Credit
5.1.4.

Bancassurance-----------------------------------------------------------------------------------31
5.1.5.

Home

remittancec------------------------------------------------------------------------------33
5.2.
Corporate
banking----------------------------------------------------------------------------------------33
5.2.1.
Finance-----------------------------------------------------------------------33

Working

capital

5.2.2.

Trade

Finance------------------------------------------------------------------------------------34
5.2.3.
operations--------------------------------------------------------------------34

Capital

5.2.4.
banking-----------------------------------------------------------------------------34

Market

Investment

5.3.
Business
banking-----------------------------------------------------------------------------------------35
5.3.1.

Business

loans-----------------------------------------------------------------------------------35
5.3.2.

Agri

Alfalah

SME

loans----------------------------------------------------------------------------------------36
5.3.3.
toolkit----------------------------------------------------------------------------37
5.4.
banking------------------------------------------------------------------------------------------37

Islamic

Chapter
No.
6
Policies
of
bank-------------------------------------------------------------------------------------------42
6.1
Overview--------------------------------------------------------------------------------42
6.2
Policies--------------------------------------------------------------------------43

Policies-An

Human

6.3
Policies-------------------------------------------------------------------------------44

Resource

Management

Chapter
No.
7
Assignments
Handled-----------------------------------------------------------------------------------46
7.1
Information----------------------------------------------------------------------------------46

Branch

7.2. Learning
Internee------------------------------------------------------------------------- -46

as

an

7.3.
performed----------------------------------------------------------------------------------- 47

Tasks

7.4.
Assignment----------------------------------------------------------------------------------47

Major

Chapter
No.
8
Financial
Analysis-----------------------------------------------------------------------------------------48
8.1
Analysis-----------------------------------------------------------------------------------48

Horizontal

8.2
Analysis---------------------------------------------------------------------------------------52
8.3
Analysis------------------------------------------------------------------------------------------56
8.3.1.

Vertical
Ratio

Summary of

Ratios----------------------------------------------------------------------------56
8.3.2.

Profitablility

Ratio----------------------------------------------------------------------------57
8.3.3. Gross Spread
Ratio---------------------------------------------------------------------------58

8.3.4. Income and Expense

Ratio-----------------------------------------------------------------59
8.3.5. Return on
Equity-----------------------------------------------------------------------------60
8.3.6. Return on
Assets-----------------------------------------------------------------------------61
8.3.7. Advances to deposit
Ratio-----------------------------------------------------------------62
8.3.8. Book Value per
share-----------------------------------------------------------------------63
8.3.9. Average rate of
lending--------------------------------------------------------------------64
8.3.10. Average rate of
borrowing---------------------------------------------------------------65
8.3.11.
Spread----------------------------------------------------------------------------------------66
8.3.12. Infection
Ratio-----------------------------------------------------------------------------67
8.3.13. Earning per
share-------------------------------------------------------------------------68
8.3.14. Dividend Pay out
Ratio------------------------------------------------------------------69
8.4. Cash
Analysis--------------------------------------------------------------------------------------71

flow

Chapter
No.
9
Recommendations
Conclusion-------------------------------------------------------------------73

and

9.1.
Recommendations-------------------------------------------------------------------------------------73
9.2.
Conclusions----------------------------------------------------------------------------------------------73
References---------------------------------------------------------------------------------------------------------------------75