Comparative Analysis of Import Division PDF

ffA STUDY ON PERFORMANCE ANALYSIS: IMPORT DIVISION OF
EXPORT IMPORT BANK OF BANGLADESH LIMITED
By
Nabila Alam
ID # 0931059
An Internship Report Presented in Partial Fulfillment

Of the Requirements for the Degree
Bachelor of Business Administration
INDEPENDENT UNIVERSITY, BANGLADESH

April, 2013
Comparative Analysis of Import Division of EXIM Bank Ltd Page 1

A STUDY ON PERFORMANCE ANALYSIS: IMPORT DIVISION OF
EXPORT IMPORT BANK OF BANGLADESH LIMITED
By
Nabila Alam
ID# 0931059
Had Been Approved

April,2013
______________________________
Abul Khair Jyote
Lecturer, Marketing
School of Business
Independent University Bangladesh
Bashundhara R/A, Dhaka

Table of Content
Particulars Page No.
Letter of Transmittal 5
Acknowledgement 6.
Executive Summery 7
Part – I
Working Report on Export Import Bank of Bangladesh Limited
Background & History 9
Corporate Information‟s at a Glance 10
Vision & Mission 12
Objectives 12
Corporate Objectives 13
Board of Directors 13
Shariah Board 14
Islamic bank extend investment (loan) under the principles 15
Branches of EXIM BANK in Bangladesh 16
Financial Performance of EXIM BANK Limited 18
Working Experience at EXIM BANK 20
Job as an Intern 20
Critical Observation and Recommendation 23
Part – II
A STUDY ON PERFORMANCE ANALYSIS: IMPORT DIVISION OFEXPORT
IMPORT BANK OF BANGLADESH LIMITED
Chapter 1: Introduction
1.1 Introduction &Background 26
1.2 Rationale of the Study 27
1.3 Objective of the Report 28
1.4 Limitations 29
Chapter 2: Literature Review
2.1 Literature Review 31
Chapter 3: Methodology
3.1 Methodology of the Study 35
3.2 Instruments Used in Analysis 36
Chapter 4 : Performance Analysis: Import Division of EXIM Bank
4.1 Performance of EXIM BANK at a Glance 38
4.2 Import Business 40
4.3 A Comparison among Import, Export & Foreign Remittance Business 46
4.4 Import Division of EXIM Bank Limited and Other Commercial Banks: A 49
Comparative Analysis
4.5 Comparative analysis of EXIM bank and with Social Islami bank and 52
Shahjalal Islami Bank
Chapter – 5 : Findings & Recommendation

5.1 Findings 55
5.2 Recommendations 57
Chapter – 6 : Conclusion
6.1 Conclusions 59
BIBLIOGRAPHY 62

Letter of Transmittal
May 09, 2013
Abul Khair Jyote

Lecturer, Marketing
School of Business
Independent University Bangladesh
Bashundhara R/A, Dhaka
Subject: Submission of Internship Report
Dear Sir,
I am submitting my internship report as the part of my internship (BBA 499A) and would like to
take the opportunity to thank you for your guidance and supervision in its completion. I
completed my internship at EXIM Bank Limited from the 5th February to 5th May. My working
report is based on Foreign Exchange Banking and my report topic is “A STUDY ON
PERFORMANCE ANALYSIS: IMPORT DIVISION OFEXPORT IMPORT BANK OF
BANGLADESH LIMITED”.
I hope you will assess my report considering the limitation of the study. Your kind advice will
encourage me to do further research in future.
Sincerely yours,
Nabila Alam
ID# 0931059

Acknowledgement
First of all, I would like to pay my gratitude to the Almighty Allah for helping me in preparing
this internship report successfully. In the preparation and finish this internship report, I
acknowledge the encouragement and assistance given by a number of people and institution. I
am most grateful to the EXIM Bank management to give me the opportunity to complete my
internship in their organization.
I would like to express my gratitude to my Supervisor Mr. Abul Khair Jyote for providing me
detailed feedback and advice on this report. He always gave me his suggestions in making this
study as flawless as possible.
I also want to render my special thanks to Mr. Md. Shahidullah Executive Vice President of
Agrabad Branch, EXIM Bank Limited for providing all the support in the organization.
Furthermore, I want to convey my heartiest thanks to my classmates and friends without their
help this report could not be fulfill.
Finally Special thanks go to the respondents, who spared their time generously, and helped me to
complete my study.

EXECUTIVE SUMMERY
Importance of banking system in a country is increasing day by day. It is quite impossible for
any country to develop in industrial and commercial sector without sound banking system in
modern economic era.
Foreign Exchange Department is international department of Bank. It deals globally. It facilitates
international trade through its various modes of services. It bridges between importers and
exporters. If the branch is authorized dealer exchange market, it can remit foreign exchange form
local country to foreign country. This department mainly deals in foreign currency. This is why
this department is called foreign exchange department.
Foreign exchange operation is one of the significant functions of the bank. It plays a vital role in
overall economy of the country. Bank collects information from numerous sources relating to
cost and revenue from foreign exchange operation. Through export, import, and foreign
remittances Foreign Exchange department of the banks earns their profit. Banks is the
intermediary of all export, import, and remittance activities.
Globalization of national economies has given a boost to international trade. The seller and the
buyer in an international trading transaction must agree for a product or its quality, price etc.
enter into a sales contract, spelling out precisely shipping and delivery details, terms of payment,
required documentation and other related issues including dispute settlement procedure and legal
framework available.
The impact on trade transactions currency policies of the importing and exporting countries and
risks associated with them, fraud possibilities in the transaction or in documents are also
necessary. A country cannot long continue to have a deficit on foreign current account but a
favorable balance of payments on current account may conceal a heavy adverse balance of
payments with one individual country or group of countries.
Foreign Exchange Market allows currencies to be exchanged to facilitate international trade and
financial transactions. After passing a lot of phases, present foreign exchange market has
established and performing to benefit all the parties incorporated here. There are basically three
players in the foreign exchange market of Bangladesh. Those are the Bangladesh Bank,
authorized dealers, and customers. This paper discussed regarding the related issues of foreign
exchange activities of EXIM Bank Ltd.

Part – I
Working Report on Export
Import Bank of Bangladesh
Limited

EXIM Bank Ltd
Generally, the commercial banks and financial companies provide a myriad of banking
products/ facilities and service to cater to the needs of their customers. These include 24 hour
banking, home banking (Tele Banking) [Via use of modems and phones] and general banking
and service products. For customers' convenience, such products are available throughout the
banks' branches in Bangladesh.
However, the Bangladesh banking industry is characterized by strict banking rules and
regulations set by Bangladesh Bank. All banks and Financial Institutions (FIs) are highly
governed and controlled under The Bank Companies Act (Act 14 of 1991), which lays many
restrictions besides other guidelines. Among the many regulations imposed, Bangladesh Bank
does not allow any FI to go into bankruptcy or insolvency.
The range of banking products and financial services is also limited in scope. All local banks
are imposed with 4 percent Cash Reserve Requirement (CRR), which is non-profit bearing, and
12 percent Statutory Liquidity Requirement (SLR). This has given rise to higher cost of funds
with the liberalization of markets, competition on banking.
Background & History:
EXIM Bank Limited was established in 1999 under the leadership of Late Mr. Shahjahan
Kabir, founder chairman who had a long dream of floating a commercial bank that would
contribute to the socio-economic development of our country. He had a long experience as a
good banker. A group of highly qualified and successful entrepreneurs joined their hands with
the founder chairman to materialize his dream. Indeed, all of them proved themselves in their

respective business as most successful star with their endeavor, intelligence, hard working and
talent entrepreneurship. Among them, Mr. Nazrul Islam Mazumder became the honorable
chairman after the demise of the honorable founder chairman.
This bank starts functioning from 3rd August 1999 with Mr. Alamgir Kabir, FCA as the
advisor and Mr. Mohammad Lakiotullah as the Managing Director. Both of them have long
experience in the financial sector of our country. By their pragmatic decision and management
directives in the operational activities, this bank has earned a secured and distinctive position in
the banking industry in terms of performance, growth, and excellent management. The
authorized capital and paid up capital of the bank are Tk. 2000.00 million and Tk 9223 million
respectively.
The bank has migrated all of its conventional banking operation into Shariah based Islami
banking since July/2004.
Corporate Information’s at a Glance:
EXIM Bank at a Glance
Name of the Bank: Export Import Bank of Bangladesh Limited
Status: Public Limited Company
Category: Commercial
Origin: Local
Date of Incorporation: 2nd June 1999.
Date of Commencement: August 03, 1999

Listing with Dhaka Stock Exchange: September 2004.
Listing with Chittagong Stock Exchange: September 2004.
Head Office: "SYMPHONY"

Plot # SE (F): 9, Road # 142
Gulshan Avenue, Dhaka- 1212.
Telex: 642527 EXM HO BJ
Phone: +880-2-9889363, 9891489
Fax: +880-2-8828962
E-mail: itd@eximbankbd.com
Website: www.eximbankbd.com
Known as: EXIM
SWIFT Code: EXBKBDDH
Stock Code: EXIMBANK
Chairman: Mr. Md. Nazrul Islam Mazumder.
Managing Director: Dr. Mohammed Haider Ali Miah
Authorized Capital: Tk. 20,000.00 million
Paid-up-Capital: Tk. 9223.20million
Operating Profit: Tk. 355.02 million
Total Asset: Tk. 51,503.02 million
Number of Employees: 1724 Persons
Number of Shareholders: 126,681
Number of Branches: 64

Logo:
Vision & Mission:
The vision and mission of EXIM Bank are stated in the following bullets:
To be the finest bank in the banking arena of Bangladesh under the Shariah guidelines.
To maintain Corporate and business ethics.
To become a trusted repository of customers' money and their financial advisor.
To make our stock superior and rewarding to the customers/share holders.
To display team spirit and professionalism.
To have a Sound Capital Base.
To provide high quality financial services in export and import trade.
To provide excellent quality Customer service
Objectives:
The word EXIM implies the meaning of its operation. Though it is a new type of Bank in
Bangladesh, it is familiar with so many countries in the world such as Export Import Bank of
United States, Export Import Bank of Japan. Despite it is a local bank, it has spread its
operation in the whole world through foreign banking. To achieve the desired goal, it has
intention to pursuit of excellence at all stages with a climate of continuous improvement.
Because it believes, the line of excellence is never ending. It also believes that its strategic
place and business networking will strengthen its competitive edge over in rapidly changing

competitive environment. Its motto is to provide quality services to the customers all over the
world. So the slogan of the bank- “Local Bank Global Network” is completely adjustable.
Corporate Objectives:
To provide high quality financial services that will enhance the well-being and success of
individuals, industries and business communities of the country.
Quality earning generated in core markets.
Strong capitalization.
Through commitment to the bank and the customers whom it serves, Southeast Bank wants to
become the best bank in Bangladesh. Thus it provides a very efficient customer service at a
competitive price.
Board of Directors:
Name of Directors Position
Mr. Md. Nazrul Islam Mazumder Chairman
Mr. Md. Abdul Mannan Vice-Chairman
Mr. Md. Nazrul Islam Swapan Director
Mr. Mohammad Abdullah Director
Mr. Md. Altaf Hossain Director
Mrs. Nasreen Islam Director

Mr. Mohammed Shahidullah Director
Mr. Md. Fahim Zaman Pathan Director
Mrs. Nasima Akhter Director
Mr. A.K.M. Nurul Fazal Director
Al-haj Md. Nurul Amin Director
Mr. Zubayer Kabir Director
Mrs. Rizwana K. Riza Director
Shariah Board:
The Board of directors has formed a Sharia Supervisory Board for the Bank. Their duty is to
monitor the entire Bank‟s transactional procedures, & assuring its Sharia compliancy. This
Board consists of the following members:
Professor Moulana
Mr. Md. Nazrul Islam Mr.kaji Masihur
Mohammad Salah
Mazumder Rahman
Uddin
Mr. A.K.M Nurul Professor H.M. Shahidul Mr. Md. Abdul
Fazal Islam Barakaty Mannan
Hafez Moulana
Mr. A.S.M. Fakhrul
Mr. Zubayer Kabir Mufti Mohammad
Ahsan
Khair Ullah
Mr. Abdullah Al- Moulana Mohammad
Zahir Sawpan sadequl islam
The tasks of the Sharia supervisor in summary is replying to queries of the Bank‟s
administration, staff members, shareholders, depositors, & customers, follow up with the Sharia
auditors and provide them with guidance, submitting reports & remarks to the Fatwa & Sharia

Supervision Board and the administration, participating in the Bank‟s training programs,
participating in the supervision over the AlIqtisad AlIslami magazine, & handling the duty of
being the General Secretary of the Board.
Islamic bank extend investment (loan) under the principles of the followings:
Mudaraba: Mudaraba means the hiring of capital. It is a contract in a profit sharing
where one party provides capital/funds and the other labor/work. Under this system,
banks provide the capital and clients provide expertise and profit is shared according to
agreed ratio.
Musharaka: This mode of finance is represented by two or more financiers in
contributions of equal or unequal ratios of capital to establish a new project or to
participate in an established one and all partners are entitled to share the total profits of
the venture according to ratio as mutually agreed upon allowing for managerial skills to
be remunerated.
Murabaha: About 70 to 80 percent of financial operations of most of the Islamic banks
belong to this segment. It enables the investor to obtain finished goods, raw materials,
machinery or equipment from the local market or through import by opening letter of
credit (L/C). Under this technique, bank buys the goods upon the request of the client and
then the customer form the bank purchases these goods with a fixed period of time or by
installment with a cost, which includes cost of goods plus mark-up profit.
Ijarah: Izarah financing under Islamic Shariah is same as the western concept of leasing.
In Ijarah financing, the bank finances capital goods to industrial project against payment
of a rent by installment.

Bai-Muajjal: Bai Muajjal means sale for which payment is made at a future fixed date or
within a fixed period. Bai-Muajjal is treated as a contract between the bank and the client
under which the bank sells to the client certain specified goods at an agreed price payable
within a fixed future date in lump sum or by installments. By this credit sell bank
possession of the goods also.
Quard: is profit free loan to the holder of investment accounts of the bank on
compassionate ground.
Branches of EXIM BANK in Bangladesh:
EXIM has total 64 branches in Bangladesh and some other branches are waiting to open. Some
of the name are-
 ASHUGANJ BRANCH  IMAMGONJ BRANCH
 ASHULIA BRANCH  KARWAN BAZAR BRANCH
 BANANI BRANCH  KERANIGONJ BRANCH
 BASHUNDHARA ROAD BRANCH  MALIBAGH BRANCH
 BOARD BAZAR BRANCH  MAWNA BRANCH
 ELEPHANT ROAD BRANCH  MIRPUR BRANCH
 FARIDPUR BRANCH  MOTIJHEEL BRANCH
 GAZIPUR CHOWRASTA BRANCH  NARAYANGONJ BRANCH
 GULSHAN BRANCH  NARIA BRANCH
 HEAD OFFICE CORPORATE  NAWABPUR BRANCH
BRANCH  NEW ESKATON BRANCH

 PALTAN BRANCH  SHITAKUNDA BRANCH
 PANCHABOTI BRANCH  SONAIMURI BRANCH
 PANTHAPATH BRANCH  THAKUR BAZAR KRISHI / SME
 RAJUK AVENUE BRANCH BRANCH
 SAT MASJID ROAD BRANCH  BOGRA BRANCH
 SAVAR BRANCH  RAJSHAHI BRANCH
 SHIMRAIL BRANCH  BEANIBAZAR BRANCH
 SONARGAON BRANCH  BISWANATH BRANCH
 UTTARA BRANCH  FENCHUGONJ BRANCH
 AGRABAD BRANCH  GOALABAZAR BRANCH
 BAHADDARHAT BRANCH  GOLAPGONJ BRANCH
 BASURHAT BRANCH  MOULVI BAZAR BRANCH
 CDA AVENUE BRANCH  NOBIGONJ BRANCH
 CHHAGALNAIYA BRANCH  SYLHET BRANCH
 CHOWMUHANI BRANCH  JESSORE BRANCH
 COMILLA BRANCH  KHULNA BRANCH
 FENI BRANCH  BARISAL BRANCH
 JUBILEEROAD BRANCH  DINAJPUR BRANCH
 KHATUNGONJ BRANCH  RANGPUR BRANCH & so on
 LAKSHAM BRANCH
 MODAFFARGONJ BRANCH
 PAHARTOLI BRANCH

Financial Performance of EXIM BANK Limited:
In Bangladesh, there are many types of Banks, which are formed as commercial banks. But
above all, EXIM Bank of Bangladesh Ltd. is a new kind of private commercial bank. The full
abbreviation of EXIM Bank of Bangladesh Ltd. is Export Import Bank of Bangladesh Ltd.
Originally; the name of the bank was BEXIM Bank of Bangladesh Ltd. Later the management
of BEXIM Bank of Bangladesh Ltd. changed the name of the bank as EXIM Bank of
Bangladesh Ltd. because of the case lodged Beximco group of industries.
The bank has got lending personalities, businessmen and reputed industrialists as its sponsors.
The bank will be immensely benefited from the valuable advice of the experienced sponsors
of the bank. The late chairman of the bank contributed much for the solid foundation of the
bank at the initial stage. Unfortunately his untimely death caused a vacuum in the leadership
of the bank. But within the shortest possible time, the sponsors who in a position to select the
next chairman of the bank.
The Bank achieved satisfactory progress in all areas of its operation and earned as operating
profit of Tk. 355.02 million in 2012.

PERFORMANCE OF EXIM BANK AT A GLANCE
Figure in crore
Sl.
Particulars 2007 2008 2009 2010 2011 2012
No
Authorized
1. 3500.00 3500.00 10000.00 10000.00 20000.00
Capital
Paid Up
2. 2142.2 2677.75 3373.96 6832.27 9223.56
Capital
Shareholders’
3. 4042.53 4989.2 6717.21 12474.85 14484.22
Equity
4. Total Capital 4569.56 5763.89 7718.89 13957.40 16109.56
Statutory
5. 1134.64 1532.55 2092.95 3154.76 3849.78
Reserve
113070.9
6. Total Asset 51503.03 68446.46 86213.37 129874.42
8
100596.1
7. Total Liability 47460.5 63457.26 79496.16 115390.20
3
8. Deposit 41546.57 57586.99 73835.46 94949.40 107881.21
Investment(Ge
9. 40195.24 53637.68 68609.91 93296.65 99699.83
neral)
Investment(Sh
10. are & 2457.72 2894.02 2189.54 4522.04 6734.03
Securities)
Operating
11. 1908.2 2518.39 3181.78 5893.79 3955.82
income
Foreign
227966.6
12. Exchange 117900.14 156434.57 162604.61 254407.47
0
Business
129570.7 136837.1
i) Import 61399.4 78540.49 83911.51 128445.77
3 8
161604.3
ii) Export 55790.42 76465.62 76240.77 95395.45 122217.34
4
iii) Remittance 710.32 1428.46 2454.33 3036.42 3744.36 4368.27

Capital
13. Adequacy 11.23% 10.79% 11.18% 9.95% 10.88%
Ratio
14. EPS 34.76 40.95 50.21 3.77 2.18

ROA After
15. 2.00% 1.83% 2.19% 3.54% 1.65%
Tax
Price Earnings
16. 9.02 7.85 7.52 11.34 12.76
Ratio (Times)
Investment as
17. a % of total 96.75% 93.14 92.92 98.26 92.42
Deposit
Working Experience at EXIM BANK:
EXIM Bank Limited is a scheduled commercial Bank established under the Bank Companies
Act, 1991, which incorporated as a Public Limited Company under the Companies Act, 1994
in Bangladesh on June 02, 1999 an commence on August 15, 1999. EXIM Bank Limited is
one of the leading private commercial bank having a spread network of 62 branches across
Bangladesh and plans to open few more branches to cover the important commercial areas in
Bangladesh by the end of 2013. Being able to work in this organization I find myself lucky. I
got the opportunity to work with different departments in Agrabad Corporate Branch of
EXIM Bank Ltd.
During the three months of my internship I was placed in the Agrabad Corporate Branch
under Mr. Md. Shahidullah, Executive Vice President, EXIM Bank Ltd. I heavily enjoyed the
working environment of this office. The work experience gave me a good idea of the overall
banking system of Bangladesh and taught me the professionalism at work place.
Job as an Intern:
During the internship period at EXIM Bank Ltd, I was placed in different departments on
rotation basis. At first I was in General banking section for three weeks, then in Investment

Unit for one week and finally in Foreign Exchange section for rest of the days. So it was a
great experience for me to work in different departments.
General Banking:
In General banking department I was place in all section. There I did different jobs as per the
official‟s requirement. Though I was not assigned for specific responsibilities, but I did
basically customer management related jobs. My job descriptions are mentioned below:
Helping clients to fill up account opening form and pay order form.
Writing pay order instrument.
Cheque Requisition
Cheque Received and Issue.
Cheque Book Delivery.
Pay Order Cancellation.
Clearing Cheque Received.
Cheque Clearing.
Outward Clearing.
Inward Clearing.
Remittance.
Provide customer‟s product related information.
Provide assistance support according to the needs of the customer.
Helping officers for preparing Bangladesh bank report

Investment Department:
Fill up CIB (Credit Information Bureau) form for clients.
Preparing Head Office forwarding for loan approval.
Making Customer Sanction Advice for disbursing loan amount, after getting Head
Office approval.
Preparing purchase order for Car Loan, Doctor‟s Loan and Household Durables Loan
on the basis of client‟s quotation.
Foreign Exchange:
One of the most important parts in EXIM BANK Agrabad Corporate Branch is Foreign
Exchange Department that deals with import, export and post import financing. During my
internship period I was placed in import and foreign currency accounts section. My
responsibilities are mentioned below:
Opening Back to back L/C: Back-to-Back L/C is a secondary L/C opened by the seller‟s
Bank based on the original/master L/C to purchase the raw materials and accessories for
manufacturing of the export products required by the seller.
Payment Instruction: This is a universal system allowing importer‟s bank to pass on a
payment order drawn on to the receiving bank of different country for execution. For
giving import payments from foreign banks, Payment Instruction is mandatory.
IMP Report: At the end of each month every commercial bank sent a report to
Bangladesh Bank on the basis of their import payment during the whole month.

Critical Observation and Recommendation:
As a finance student, I always prefer to do a job in a financial organization. So, obviously
banks get the first priority to me. An internship in a bank, like EXIM BANK is a great way to
demonstrate profit in the sector and for me to learn more about the actual job I would be
doing on a routine basis.
During internship period, employees of EXIM BANK were very supportive & always helped
me to learn. But it was not possible for me to know about all the departments within 3
months.
In the follows I found out some problem over in the EXIM BANK as critical Observation, and
some recommendation regarding the observation:
During my internship I observed that work load in foreign exchange and Credit
department at Agrabad Corporate Branch was more than compared to the number of
working employees. As their work pressure was being doubled, so motivational levels
of those employees were getting down. So, the authority is required to be a little careful
about their employees. May be their current policy is not to recruit any new employee,
but they can solve this situation by transferring employees from other departments.
Otherwise the motivation level of the employee will be low.
In EXIM BANK Agrabad Corporate Branch, the place is not so big for the employees.
Sometimes the customers need to stand which could affect their reputation. So the
management needs to look after this.

Part – II
A STUDY ON PERFORMANCE
ANALYSIS: IMPORT DIVISION
OFEXPORT IMPORT BANK OF
BANGLADESH LIMITED

Chapter 1: Introduction

Introduction
1.1 Introduction &Background:
This internship report is originated as a partial fulfillment of the BBA program of
School of Business, Independent University Bangladesh. This report is a mandatory
requirement for BBA completion. I have worked at Export Import Bank of
Bangladesh Ltd. Agrabad branch for three months and the experience of working at
Export Import Bank of Bangladesh Ltd. has helped me to match our theoretical
knowledge with practical understanding. As an intern of Export Import Bank of
Bangladesh Ltd. i was provided with the topic “A STUDY ON PERFORMANCE
ANALYSIS: IMPORT DIVISION OFEXPORT IMPORT BANK OF BANGLADESH
LIMITED.”
The report basically deals with “A STUDY ON PERFORMANCE ANALYSIS: IMPORT
DIVISION OFEXPORT IMPORT BANK OF BANGLADESH LIMITED.” The foreign
exchange policy of Export Import Bank of Bangladesh Ltd. is prepared in line with the
guidelines of Bangladesh Bank and for the guideline of the officers or executives in handling
affairs relating to foreign exchange in a disciplined way. Foreign exchange department plays a
very important role in bank as they are the medium of the foreign exchange business to the
customers. In this report I have tried to study the factors to evaluate EXIM Bank ltd with
other banks. I made a comparison study between activities of three banks.

1.2 Rationale of the Study:
Banks are one of the most important financial institutions in the economy of any country.
They are the principle source of credit for millions of individuals and families and for many
units of government. Foreign exchange department is a crucial part of any bank because a
major portion of revenue comes through this unit. It facilitates the foreign trade and foreign
transaction which is arises for international business .specially for the Import Export and
Remittance Business. Banks provides various kinds of services for the importer and exporter
to make their business easier. It is totally impossible to do these kinds of business without the
help of bank. Here Bank is the middle man between the two parties; Exporter and Importer.
Banks open LC on behalf of importer against the exporter. A letter of credit is the amount of
credit that a lender is willing to extend to a borrower over a period of time, based on the
financial stability of the borrower. In some cases, a letter of credit involves the establishment
of a loan that is extended by a Bank for a specific purpose, with some sort of payments
expected along the way. At other times, the structure of the letter of credit is not tied to
specific purpose, with the credit being open to use as the borrower sees fit.
Bank took the risk in return of commission from the importers and also enjoys the investment
opportunity.
So through the foreign exchange department Bank maintain the inter-banking communication
worldwide and also ensure the flow of money circulation among the different countries safely
as well as smoothly.
As the foreign exchange department is one of the important divisions of the Bank, I choose to
do my report on the export and import division of the foreign exchange department.

1.3 Objective of the Report:
General Objective:
To get practical exposure to organizational environment.
To present the system and methodology adopted in conducting day to day banking by
EXIM Bank.
To observe the foreign exchange operation of EXIM Bank Ltd and their services.
Specific Objective:
To get an overall idea of banking from banker‟s point of view.
To review the techniques used by the bank to make it lucrative.
An analysis and discussion of foreign exchange services of the bank with other
banks.
To evaluation of the present performance of the bank regarding foreign
exchange with others.
To identify the problems of EXIM Bank of Bangladesh Ltd.
Determining the drawbacks of the existing foreign exchange system.
Recommending some guidelines to improve the effectiveness of foreign exchange
services.

1.4 Limitations:
The present study was not out of limitations. But as an internee it was a great opportunity for
me to know the banking activities in Bangladesh especially of EXIM Bank. Some constraints
are appended bellow:
Lack of Information or Data: Adequate and in-depth well-organized information
is not available for access. Though the officials tried to assist, sometimes their
working pressure couldn't give me proper assistance what I needed. There is
some information which need special permission from top level is not always
achievable.
Time Constraint: It is something like impossible to cover the entire foreign exchange
banking services exploiting Ninety days time period while an employee or an officer is
awarded with one or two year probationary period to do his or her particular job.
Secrecy of Information: Some of the information needed to explore the current marker
scenario of the company was not disclosed.
Comparison Status: I have had no opportunity to compare the foreign exchange
banking system of the EXIM Bank with that of other contemporary and common size
banks. I had compared the banks that information is available. It was mainly because of
the shortage of time and internship nature.
Lack of Experience: Though I have prepared many reports before, I had no experience
of internship. So inexperience is one of the main constraints of the study.

Chapter 2: Literature Review

Literature Review
2.1 Literature Review:
Foreign exchange” means foreign currency and includes any instrument drawn, accepted,
made or issued under clause (13) of Article 16 of the Bangladesh Bank Order, 1972] all
deposits, credits and balances payable in any foreign currency, and any drafts, traveler‟s
cheque, letters of credit and bills of exchange, expressed or drawn in Bangladesh currency but
payable in any foreign currency.
Import of goods into Bangladesh is regulated by the Ministry of Commerce in terms of the
Import and Export (Control) Act, 1950, through Import Policy Order (IPO) in force and
Public Notices issued from time to time by the Office of the Chief Controller of Imports and
Exports (CCI&E). The instructions contained in this chapter apply to sales of foreign
exchange or transfers to non- resident taka accounts against import of goods into Bangladesh.
In terms of the Importers, Exporters and Inventors‟ (Registration) Order, 1981 no person can
import goods into Bangladesh unless he is registered with the CCI&E or exempted from the
provisions of the said Order. Before Letter of Credit Authorization Form (LCAF) is issued or
Letter of credit (LC) is opened or remittance is made for imports into Bangladesh the AD
should verify that the importer is registered with the CCI&E or otherwise exempted from such
registration. The AD should ensure that the registration number of the importer is invariably
furnished on the IMP form. Where the importer is exempted from such registration, a suitable
mention of this fact should be made on the IMP form.

The ADs must ensure that they deal only with known customers having a place of business in
Bangladesh and can be traced easily should any occasion arise for this purpose. Opening of
LCs and payments for imports into Bangladesh should be made through an AD in the area
where the holder of the LCAF is resident. In case the importer is a new customer, the AD
should obtain certificate from the AD through which the applicant imported earlier to the
effect that no bill of entry is due/overdue for submission by the importer.
Bangladesh followed a „fixed exchange rate‟ system until 1979. Between 1979 and mid-2003,
the country pursued a managed floating exchange rate regime. Continual devaluation of the
domestic currency, in order to maintain a stable real exchange rate and avoid overvaluation of
the domestic currency, was the hallmarks of this regime. Since the end of May 2003,
Bangladesh has introduced a kind of „clean floating‟ exchange rate policy by making it fully
convertible on the current account, although capital account controls still remain. All the
exchange rate policies Bangladesh has taken, mainly, to accelerate exports, reduce extra
pressure of imports and thereby improve the balance of trade. The following studies validate
the above statement.
Islam (2003) states that the monetary authority determines the exchange rate policy aiming to
achieve two main objectives. First, the „domestic target‟, which includes restraining inflation
rate, credit growth in the public and private sector, and the growth of liquidity and broad
money. Secondly, the „external target‟, which includes promotion in international reserves
level, reduce the current account gap, control trends of exchange rate changes in the local
inter-bank foreign exchange market, and adjust the trends in the exchange rates of
neighboring trade partners: India, Pakistan and Sri Lanka.

Hossain et al (2005) quoted from Rahman (1995) and Bayes et al (1995) that the main
objectives of exchange rate changes of Bangladesh were to: (i) promote international
competitiveness; (ii) encourage exports diversification; (iii) withdraw subsidies from exports
sector; (iv) discourage imports growth; and (v) rearrange resources in import substitutes and
export oriented sectors. Aziz (2003) paper states that the finance ministers of last few regimes
in their statement stated the following reason of devaluation of currency in Bangladesh: (i)
increase export, (ii) discourage import, (iii) protect local infant industries, (iv) encourage the
expatriates to send money to home, and (v) improve international reserve situation.
According to the „Financial Sector Review (2006)‟ of the Bangladesh Bank, the key aims of
exchange rate policy of Bangladesh are to:
I. Maintain competitiveness of Bangladeshi products in the world markets,
II. Encourage remittances inflow from expatriate wage earners,
III. Maintain stable internal price, and
IV. Maintain a viable external account position.
Thus, all the studies and policy papers have directly or indirectly articulated the export-led-
growth and imports contraction targets as the main objectives of the exchange rate policy of
Bangladesh.

Chapter 3: Methodology

Methodology
3.1 Methodology of the Study:
Sources of Data: Both primary and secondary data are used in this report. There are many
tables and figures in this report which are based on both primary and secondary data. Primary
data are emphasized than the secondary data in this report.
Methods of collecting Data: The techniques of collecting primary data are not same as the
techniques of collecting secondary data. The different methods and tools of collecting primary
data and secondary data used in this report are described as follows:
Collection of Primary Data: Various types of the data and information were collected from
my practical experience and queries from the executives while doing my internship at The
EXIM bank Ltd. Information and data regarding Overview of the EXIM bank Limited,
various stages of import activities, performance measurement in of import activities,
significance and importance of various small segments of import process etc. were collected
from these sources.
Collection of Secondary Data: Data regarding the clearing process and performance
evaluation of The EXIM Bank Ltd. were collected from secondary sources like: Annual
Reports, Brochures, Manuals and Publication of The EXIM Bank Ltd., Bangladesh Bank
Library, News paper etc. were the major sources of secondary data.

3.2 Instruments Used in Analysis:
There are some tools which are used in analysis. There are various figures, tables, charts
which are easier to understand. These instruments are used in the analysis with their sources.
In some areas, I compare the performance of activities with other banks. But most of the cases
I used tables and charts to present the condition in an easier way.

Chapter 4: Performance
Analysis: Import Division of
EXIM Bank

Performance Analysis: Import Division of EXIM Bank
Export Import Bank of Bangladesh Limited has diversified activities in retail banking,
corporate banking and international trade. From the very beginning it has obtained a solid
foundation in respect of foreign trade. Its total import, export and remittance for the year of
2012 were Tk.1368.37, Tk.1616.04 & Tk. 4368.27crore respectively. The EXIM Bank
Limited has established a modern dealing room for foreign trade money management.
SWIFT has already been introduced and installed at 20 A.D branches out of 62 branches to
speed up international transactions and parsing of L/Cs and it will be installed at all the A.D
branches of the bank shortly.
4.1 Performance of EXIM BANK at a Glance:
Figure in crore
Sl.
Particulars 2007 2008 2009 2010 2011 2012
No
Authorized
1. 3500.00 3500.00 10000.00 10000.00 20000.00
Capital
Paid Up
2. 2142.2 2677.75 3373.96 6832.27 9223.56
Capital
Shareholders’
3. 4042.53 4989.2 6717.21 12474.85 14484.22
Equity
4. Total Capital 4569.56 5763.89 7718.89 13957.40 16109.56
Statutory
5. 1134.64 1532.55 2092.95 3154.76 3849.78
Reserve
113070.9
6. Total Asset 51503.03 68446.46 86213.37 129874.42
8
100596.1
7. Total Liability 47460.5 63457.26 79496.16 115390.20
3

8. Deposit 41546.57 57586.99 73835.46 94949.40 107881.21
Investment(Ge
9. 40195.24 53637.68 68609.91 93296.65 99699.83
neral)
Investment(Sh
10. are & 2457.72 2894.02 2189.54 4522.04 6734.03
Securities)
Operating
11. 1908.2 2518.39 3181.78 5893.79 3955.82
income
Foreign
227966.6
12. Exchange 117900.14 156434.57 162604.61 254407.47
0
Business
129570.7 136837.1
i) Import 61399.4 78540.49 83911.51 128445.77
3 8
161604.3
ii) Export 55790.42 76465.62 76240.77 95395.45 122217.34
4
iii) Remittance 710.32 1428.46 2454.33 3036.42 3744.36 4368.27

Capital
13. Adequacy 11.23% 10.79% 11.18% 9.95% 10.88%
Ratio
14. EPS 34.76 40.95 50.21 3.77 2.18
ROA After
15. 2.00% 1.83% 2.19% 3.54% 1.65%
Tax
Price Earnings
16. 9.02 7.85 7.52 11.34 12.76
Ratio (Times)
Investment as
17. a % of total 96.75% 93.14 92.92 98.26 92.42
Deposit
Interpretation:
It is clearly shown in the table the overall condition of the EXIM bank. The total deposit of
the bank is increasing. It is very necessary for any Bank. And the loan as a percentage of is
92.42% in 2011 that‟s mean that, 92.42% deposit is invested. As a result of that operating
profit of the Bank is also increasing. Bank allows two types of investment, general investment
and investment on Share and bond. Foreign Exchange business consisting import Export and
remittance volume also has a wonderful growth.

4.2 Import Business:
The performances of the services provided by the bank in Import Division are shown below.
Letter of Credit
The following table and figure show last ten years volume of letter of credit of EXIM Bank:
Number of letter of credit
Number of Letter
Year Tk. in crore
of Credit
2012 45125 157467
2011 39551 149871
2010 35627 134577
2009 32511 133245
2008 28334 124627
2007 25817 116215
2006 21555 111251
2005 16339 106245
2004 12692 102240
2003 10520 98156
Table: Letter of credit of EXIM Bank Ltd (Source EXIM Bank annual report)

Number of Letter of Credit
50000
45000
40000
35000
30000
25000
20000
15000
10000
5000
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Number of Letter of Credit 10520 12692 16339 21555 25817 28334 32511 35627 39551 45125
Figure: Number of L/C

180000
160000
140000
120000
Tk in Crore
100000
80000
60000
40000
20000
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Tk in Crore 98156 10224 10624 11125 11621 12462 13324 13457 14987 15746
Figure: L/C Opened (Tk. in Crore)

Interpretation
If we see the last ten year‟s number of opening L/C it increased.
The highest number is Tk. 157467 crore in 2012.
The lowest number is Tk. 98156 crore in 2003.
The growth of number of opening L/C in 2012 is 7.14%

Irrevocable Credit
The following table and figure show last ten years volume of irrevocable L/C of EXIM Bank:
Volume of irrevocable L/C
(Figure in Crore)
Year Irrevocable L/C

2012 1935.64
2011 1523.98
2010 2465.97
2009 1102.35
2008 825.91
2007 926.02
2006 745.27
2005 722.99
2004 500.93
2003 238.30
Table: Volume of irrevocable L/C (Source EXIM Bank annual report)

Irrevocable L/C
2500
2000
1500
1000
500
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Irrevocable L/C 238.3 500.93 722.99 745.27 926.02 825.91 1102.35 2465.97 1523.98 1935.64
Figure: Irrevocable L/C
Interpretation
If we see the last 10 years volume of irrevocable L/C it increases almost every year.
The highest volume is Tk. 1935.64 crore in 2012.
The lowest volume is Tk. 238.30 crore in 2003.
The growth rate of volume of irrevocable L/C in 2012 is 2.66%.

Volume of Import
The following table and figure show last five years volume of import of EXIM Bank:
Volume of import
Taka in crore
Year Volume of Import
2012 136837.18
2011 128445.77
2010 129570.73
2009 83911.51
2008 78540.49
2007 61399.40
2006 49596.73
2005 41432.10
2004 26781.8
2003 19260.1
Table: Volume of import (Source: EXIM Bank annual report)

140000
120000
100000
80000
60000
40000
20000
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Volume of Import 19260 26782 41432 49597 61399 78540 83912 12957 12844 13683
Figure: Volume of Import
Interpretation
If we see the last 10 years volume of import, it increases every year.
The highest volume is Tk. 136837.18 crore in 2012.
The lowest volume is Tk. 19260.10 crore in 2003.
The growth rate of volume of import in 2012 is 54.70%.

4.3 A Comparison among Import, Export & Foreign Remittance Business:
A comparison among last five years export, import and foreign exchange transactions of
EXIM Bank is given below:
Taka in crore
Year Import Export Foreign

Remittance
2012 136837.18 161604.34 4368.27
2011 128445.77 122217.34 3744.36
2010 129570.73 95395.45 3036.42
2009 83911.51 76240.77 2454.33
2008 78540.49 76465.62 1428.46
2007 61399.40 55790.24 710.32
2006 49596.73 46234.59 343.78
2005 41430.1 31285.37 222.97
2004 26781.8 22418.4 113.79
2003 19260.1 15124.6 235
Table: Comparison among volume of Import, Export & Foreign Remittance (Source:
Annual report)

Amount in Crore Tk. 180000
160000
140000
120000
100000
80000
60000
40000
20000
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Import 19260 26782 41430 49597 61399 78540 83912 12957 12844 13683
Export 15125 22418 31285 46235 55790 76466 76241 95395 12221 16160
Remittance 235 113.7 222.9 343.7 710.3 1428. 2454. 3036. 3744. 4368.
Figure: Volume of Import, Export & Foreign Remittance
Interpretation
If we see the last 10 years volume of export & import, it increases every year.
Volume of remittance is unstable but highest in 2012.
The highest volume of export, import & remittance is in 2012.
The lowest volume of export, import & remittance is in 2003.
The growth rate of export, import & remittance are 33%, 65% and 2% respectively in
2012.

Foreign Remittance
2%
Export Import
33% 65%
Figure : Percentage of Export, Import & Remittance
From the above trend analysis it indicate that the EXIM Bank performance for import &
export business is quite sound. Its services in irrevocable L/C, number of L/C opening,
volume of import etc are improving year by year from 2003 to 2012.
So the overall performance in foreign exchange service of EXIM Bank Ltd is shown above, it
shows that export, import and foreign remittance business are improving year by year from
2003 to 2012.

4.4 Import Division of EXIM Bank Limited and Other Commercial Banks: A
Comparative Analysis
For the comparative analysis, four banks like South-East, Dutch-Bangla Bank Ltd, City Bank
Ltd and NCC Bank Ltd are taken here. A comparison of foreign exchange operation of EXIM
Bank with other private banks is shown below:
Letter of Credit
The following table and figure show different banks volume of L/C in 2012:
Name of the EXIM Bank Mercantile Prime Bank South East NCC Bank
Bank Bank Ltd Bank Ltd
Limited Limited
Limited
Letter of 1935.64 1784.13 1924.67 1694.18 1451.46

Credit (Tk.
in crore)
Table: Comparison among banks volume of L/C in 2012

Letter of L/C
2000
(Tk. in crore)
1500
1000
500
0
EXIM Bank City Bank Dutch-Bangla South East NCC Bank
Limited Limited Bank Ltd Bank Ltd Limited
EXIM Bank City Bank Dutch-Bangla South East Bank NCC Bank
Limited Limited Bank Ltd Ltd Limited
Letter of L/C 1935.64 1784.13 1924.67 1694.18 1451.46
Interpretation
The EXIM Bank stands on the highest position in volume of L/C that is Tk. 1935.64
crore in 2012.
The NCC Bank stands on the lowest position in volume of L/C that is Tk. 1451.46 crore
in 2012.
It indicates that EXIM Bank have better acceptance by its corporate client.
Volume of Import
The following table and figure show different banks volume of import in 2012:
Mercan
EXIM Prime
tile South East NCC Bank
Name of the Bank Bank Bank
Bank Bank Ltd Limited
Limited Ltd
Limited
Volume of Import (Tk. 136837.18 132096 139806 135125.12 117646.80
in crore)
Table: Comparison among Banks volume of Import in 2012

Volume of Import
140000
135000
Tk. in crore
130000
125000
120000
115000
110000
105000
EXIM Bank Mercantile Prime Bank South East NCC Bank
Limited Bank Limited Limited Bank Limited Limited
EXIM Bank Mercantile Prime Bank South East NCC Bank

Limited Bank Limited Limited Bank Limited Limited
Volume of Import 136837.18 132096 139806 135125.12 117646.8
Interpretation
The Prime Bank stands on the highest position in import business that is Tk. 139806
crore in 2012.
The NCC Bank stands on the lowest position in import business that is Tk. 117646.80
crore in 2012.
The EXIM Bank stands on the second highest position in import business that is Tk.
136837.18 crore in 2012.

4.5 Comparative analysis of EXIM bank and with Social Islami bank and
Shahjalal Islami Bank
Import business for EXIM bank ltd is the. 136837.18 crore Social Islami bank is tk.124586
crore and Shahajalal islami Bank is tk.129875 crore in 2012:
Social
Shahjalal
EXIM Bank Islami
Name of the Bank Islami Bank
Limited Bank
Limited
Limited
Volume of Import
136837.18 134586 129875
(Tk. in crore)
Table: Comparison among Banks volume of Import in 2012
Volume of Import
138000
136000
Tk. in crore
134000
132000 Volume
130000 of Import
128000
126000
EXIM Bank Limited Social Islami Bank Shahjalal Islami Bank
Limited Limited
Social Islami Bank Shahjalal Islami Bank

EXIM Bank Limited
Limited Limited
Volume of Import 136837.18 134586 129875

Interpretation
Growth rate of import Business is 54.70%. Of EXIM Bank, 53.86% for Social Islami Bank
and 48.76% for Shahajalal Islami Bank in 2012. Exim bank is in the first position. And the
growth rate of the EXIM bank is the highest.

Chapter 5: Findings &
Recommendation

Findings & Recommendation
5.1 Findings:
In recent years, the foreign exchange business of Export Import Bank of Bangladesh Ltd. is
increasing at a good rate though there are political and economical situation. EXIM Bank is
rendering a stable support to the national foreign exchanges business. Although the foreign
exchange business loading day by day there are also some obstacles around it they are as per
observations:
The EXIM Bank LTD, Agrabad branch is an AD (Authorized Dealer) branch.
EXIM bank does not provide assistance in relation with foreign exchange to the small
entrepreneur. Small entrepreneur has to keep higher margin sometimes 100% regarding
opening a L/C. It mainly give facilitate foreign exchange services to the big shots. As a
result their services are not diversified in to the small-scale portfolios. This may cause
high financial loss in future.
EXIM Bank takes 100% margin for the new importer to avoid the risk.
Lack of enthusiastic scheme for exporter & importer.
In comparison to the other bank like Southeast bank, Dutch Bangle, EXIM bank has
better import condition.
In comparison among the shariah based Bank EXIM Bank secured the second place.
EXIM Bank‟s performance in volume of import are improving year by year but
compare to other private banks like South-East Bank Ltd, Prime Bank Ltd, Mercantile

Bank Ltd and NCC Bank Ltd, it secure second position. But there also some other bank
where the performance of EXIM bank is below of them.
Amount of Deposit of the bank is growing year by year but the cost of deposit is
increasing. It means that the bank has to pay 13% or some cases 13.5% profit (profit) to
the depositor. On the contrary they take 16% profit (profit) from investor who takes
loan from Bank. It is clear that bank has only 3% in their hand in which they have to use
2% for maintaining the administrative cost and the rest 1% is their profit. So Bank
always want deposit with lesser cost or no cost that‟s mean they want deposit on current
A/C( 0% profit rate) and STD A/C(5.5%profit rate) but they have a big number of
deposit in Mudarabaha term deposit (MTDR) which profit rate is 13% .
In the year 2012 the import letter of credit and import volume growth was 54.70%.in
the year 2011 the growth was 19.71% and 2010 it was 23.80%.
Another threaten is the technology, the bank must be adjusted with new technologies
and information which they are trying. Otherwise the profitability of the bank may
hamper.
The marketing strategy adopted by the bank is effective but not efficient. The
appearance of the bank in the printing media and electronic media has become a matter
of fortune.

5.2 Recommendations:
The entire department should be well informed regarding their goal and objectives. It is
essential to execute company objective into individual target.
There must be clear allocation of responsibilities, authority and accountability.
The bank should introduce more promotional activities.
The bank should take initiative to develop an effective research and development centre
to get innovative ideas to capture the competitive market.
Diversified schemes for export and import with fewer margins for L/C should introduce
by the bank for small entrepreneur to target a different segment to increase volume of
export and import.
Efficient and attractive marketing strategy and appearance of the bank in the printing
media and electronic media would also increase knowledge of people about foreign
trade. This is very much useful for increase transactions in foreign exchange department
of this bank.
Tight rules and requirements for opening foreign currency account should be relaxed
and make it easy and simple.

Chapter 6: Conclusion

Conclusion
6.1 Conclusions:
The commercial banking system dominates Bangladesh's financial sector. Bangladesh Bank is
the Central Bank of Bangladesh and the chief regulatory authority in the sector. The banking
system consists of nationalized commercial banks, private commercial banks, foreign
multinational banks and some specialized banks
There are huge number of nationalized and foreign bank operating their banking in
Bangladesh, The export Import Bank of Bangladesh Limited is promising one among these
banks. The growing competition bound EXIM Bank not only to compete with the other
commercial bank but also with the public banks. For the future planning and the successful
operation in achieving its prime goal in this current competitive market, this can be helpful in
international trade financing that suggested mostly for the betterment of country.
Foreign Exchange Business is the main source of the expansion of our economy. This is why,
the importance of the effective involvement of Bank in our economy in financing Import,
Export & Remittance business is enormous
The total process of import consists of some sequential steps. First the importer must be
registered with the Chief Controller of Import and Export (CCI & E). Secondly importer will
determine terms of credit to open L/C. thirdly, he will submit the proposal for L/C to the
issuing Bank. Then bank will ask for some important document like. L/C Application form,
Pro-forma invoice, Tax Identification number, Import registration certificate, Beneficiaries
credit report, VAT certificate etc. After submitting the document issuing bank open L/C for

importer. Opening bank then issues credit by air mail/TELEX/SWIFT followed by L/C advice
as asked by the opener through his foreign correspondent or branch as the case may be, at the
place of beneficiary. Then the advising bank make know the exporter by the negotiating
Bank(the exporter Bank) about the L/C. Being confirm about L/C, exporter make the
shipment of goods and sent the documents (Bill of lading, Bill of Exchange, Commercial
Invoice, Certificate of Origin, Packing List, Shipment Certificate Pre-shipment Inspection
Certificate) to the issuing Bank through the negotiating Bank . After receiving the documents,
the opening banker scrutinizes the documents. If any discrepancy found, it informs the
importer. If importer accepts the fault, then opening bankers call importer retiring the
document by cash payment, or other ways ,if the importer make delay bank charge profit
( interest) at 16% of the due amount to the importer.
In today‟s banking sector, Foreign Exchange activities are very common. All most all the
commercial banks have this department. So the activities of the foreign exchange similar to
all. Mechanism of operation of the L/C and other related activities are well developed one.
The steps in opening L/C, which are followed by EXIM Bank ltd, are more are less same.
Some exception arises from the amount of margin, percentage of commission and over all
good relation with customer. EXIM Bank Limited tries to maintain good relation to customer
by providing some incentives. Like 10% or below 10% margin for the regular customer, less
percentage of commission for big amount of L/C, and Fast processing etc.
After analysis the whole import performance and Bank activities, we can see that Banks
import volume and the amounts of L/C are increasing year by year. And through this, the

profit volume of the bank is also increasing. The increasing demand of the imported goods
and friendly relation with customer by the bank are the main reasons of this growth.

BIBLIOGRAPHY
Source:
Annual Report 2011

Annual Report 2010
Annual Report 2009
Annual Report 2008
Annual Report 2007
Annual Report 2006
Annual Report 2005
Annual Report 2004
Other Related Magazines Published by EXIM Bank Bd Ltd.
Reference books:
A Textbook on Foreign Exchange, Second Addition, L.R. Chowdhury
Websites:
http://bankinfobd.com/banks/index/page:1
http://en.wikipedia.org/wiki/List_of_banks_in_Bangladesh
www.eximbankbd.com
Search engine:
www.google.com
www.yahoo.com

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ffA STUDY ON PERFORMANCE ANALYSIS: IMPORT DIVISION OF

EXPORT IMPORT BANK OF BANGLADESH LIMITED

An Internship Report Presented in Partial Fulfillment

INDEPENDENT UNIVERSITY, BANGLADESH

Comparative Analysis of Import Division of EXIM Bank Ltd Page 1

Had Been Approved

Comparative Analysis of Import Division of EXIM Bank Ltd Page 2

Comparative Analysis of Import Division of EXIM Bank Ltd Page 3

Comparative Analysis of Import Division of EXIM Bank Ltd Page 4

May 09, 2013

Abul Khair Jyote

Subject: Submission of Internship Report

Comparative Analysis of Import Division of EXIM Bank Ltd Page 5

Comparative Analysis of Import Division of EXIM Bank Ltd Page 6

Comparative Analysis of Import Division of EXIM Bank Ltd Page 7

Comparative Analysis of Import Division of EXIM Bank Ltd Page 8

banks' branches in Bangladesh.

does not allow any FI to go into bankruptcy or insolvency.

with the liberalization of markets, competition on banking.

Background & History:

contribute to the socio-economic development of our country. He had a long experience as a

Comparative Analysis of Import Division of EXIM Bank Ltd Page 9

chairman after the demise of the honorable founder chairman.

banking since July/2004.

Corporate Information’s at a Glance:

EXIM Bank at a Glance

Name of the Bank: Export Import Bank of Bangladesh Limited

Status: Public Limited Company

Date of Incorporation: 2nd June 1999.

Date of Commencement: August 03, 1999

Comparative Analysis of Import Division of EXIM Bank Ltd Page 10

Listing with Chittagong Stock Exchange: September 2004.

Head Office: "SYMPHONY"

Telex: 642527 EXM HO BJ

Phone: +880-2-9889363, 9891489

Known as: EXIM

SWIFT Code: EXBKBDDH

Stock Code: EXIMBANK

Chairman: Mr. Md. Nazrul Islam Mazumder.

Managing Director: Dr. Mohammed Haider Ali Miah

Authorized Capital: Tk. 20,000.00 million

Paid-up-Capital: Tk. 9223.20million

Operating Profit: Tk. 355.02 million

Total Asset: Tk. 51,503.02 million

Number of Employees: 1724 Persons

Number of Shareholders: 126,681

Comparative Analysis of Import Division of EXIM Bank Ltd Page 11

Vision & Mission:

To maintain Corporate and business ethics.

To become a trusted repository of customers' money and their financial advisor.

To make our stock superior and rewarding to the customers/share holders.

To display team spirit and professionalism.

To have a Sound Capital Base.

To provide high quality financial services in export and import trade.

To provide excellent quality Customer service

intention to pursuit of excellence at all stages with a climate of continuous improvement.

Comparative Analysis of Import Division of EXIM Bank Ltd Page 12

individuals, industries and business communities of the country.

Quality earning generated in core markets.

Name of Directors Position

Mr. Md. Nazrul Islam Mazumder Chairman

Mr. Md. Abdul Mannan Vice-Chairman

Mr. Md. Nazrul Islam Swapan Director