Internship Report

on
“Loan Disbursement and Recovery System of Shahjalal
Islami Bank LTD”

PREPARED FOR
Hasna Binte Hafiz

Lecturer

Department of Accounting

Faculty of Business Administration

PREPARED BY
Soyeda Mun Mun Akter Akhi

ID: BBAW2019000837

Major in Accounting
Batch 16th
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh

Date of Submission: 2024

 Internship Report
on
“Loan Disbursement and Recovery system” of Shahjalal
Islami Bank LTD”

Supervised By
Hasna Binte Hafiz

Lecturer

Department of Accounting
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh

Submitted By
Major in Accounting
Batch 16th
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh

Date of Submission: 2024

 Letter of Transmittal

16-01-2024

Hasna Binte Hafiz

Lecturer
Department of Accounting
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh

Dear Mam,

I am pleased to submit my Internship report, titled “Loan Disbursement

Policy and Recovery System of Shahjalal Islami Bank LTD” for your
review and evaluation. During this time, I have strived to apply the
knowledge and skills acquired during my academic journey, and I am
grateful for your guidance and support. I am confident that the findings and
insights presented in this Internship report will contribute positively to this
field, and I am eager to receive your feedback and suggestions for further
refinement. I would like to express my gratitude for the opportunity to
undertake this Internship report and for your support throughout this
process. Your insights and expertise have been invaluable.

Thank you for your time and consideration. I look forward to your feedback
and any recommendations for the advancement of this work.

Sincerely,

……………………..
Soyeda Mun Mun Akter Akhi
BBAW2019000837
Major in Accounting
Batch 16th
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh
 Declaration of Student

I , Soyeda Mun Mun Akter Akhi, a student at EXIM Bank Agricultural University
Bangladesh, enrolled in the Faculty of Business Administration, declare that the
Internship report titled “Loan Disbursement and Recovery System of Shahjalal
Islami Bank LTD” submitted by me for only to fulfill my academic requirement and
entirely my original work.

I acknowledge that all ideas, data, research findings, and content presented in the
Internship report are my own, and any contributions from external sources have been
appropriately and accurately cited and referenced. I have not engaged in any form of
academic misconduct, including plagiarism, cheating, or any other dishonest
practices, in the preparation of this Internship report. Any assistance, guidance, or
resources received during the research and writing of this Internship report are duly
acknowledged in the acknowledgment section.

I understand that any violation of academic integrity or failure to comply with the
principles of honesty and authenticity may lead to disciplinary actions and “F”
Grade. I take full responsibility for the content and accuracy of this report, and I am
prepared to defend its authenticity if required.

By signing this declaration, I affirm my commitment to academic integrity and the

principles of honesty in scholarly work.

Sincerely,

…………………….

Soyeda Mun Mun Akter Akhi

BBAW2019000837
Major in Accounting
Batch 16th
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh
 Certificate of Supervisor

This is to certify that the thesis report titled on “Loan Disbursement and
Recovery System of Shahjalal Islami Bank LTD’’ has been prepared by
Soyeda Mun Mun Akter Akhi, Reg: BBAW2019000837, as a part of the
requirement in obtaining the BBA degree from the Faculty of Business
Administration, EXIM Bank Agricultural University Bangladesh.

The information presented here seems to be authentic. She has done her job
according to my supervision and guidance. She has tried her best to do this
successfully. I think this study will help her in the future to build up her
career. I wish her every success in life.

……………………

Lecturer
Department of Accounting
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh
 Acknowledgment

I would like to express my sincere gratitude and appreciation to the

following individuals and organizations for their invaluable support and
assistance throughout the completion of my Internship report.

It is my great responsibility to express my humble gratitude to the almighty

Allah for his many blessings.

My supervisor, Hasna Binte Hafiz, for his guidance, mentorship, and

unwavering support. His expertise and dedication significantly enriched the
quality of this work. EXIM Bank Agricultural University Bangladesh, for
providing me with the opportunity to undertake this research, and for
granting access to valuable resources, data, and facilities.

My Family and Friends, for their encouragement, patience, and

understanding during this demanding academic endeavor. Their support was
a constant source of motivation.

I would also like to acknowledge the entire EXIM Bank Agricultural

University Bangladesh community for fostering an environment conducive
to academic growth and research excellence. This Internship report would
not have been possible without the collective support and inspiration from
these individuals and institutions.

Thank you all for your invaluable contributions to this work.

……………………
Soyeda Mun Mun Akter Akhi
ID: BBAW2019000837
Batch 16th
Faculty of Business Administration
EXIM Bank Agricultural University Bangladesh
 CHAPTER 1
INTRODUCTION

1.1Introduction

Banking is one of the most essential sectors that play a big role in the
country's wealth creation operations. A modern and prosperous banking
system is necessary for development. A well-functioning financial system
was critical to both national economic and social development.
Deregulation, technological innovation, and globalization have all led to
significant changes in the banking industry in recent years. These changes
significantly affected a country's economy. A strong financial institution
requires qualified and skilled management, as well as highly-trained and
dynamic staff. The banking sector in Bangladesh has challenges but has a
promising future.
Banks are the primary tool of any country's financial system, including
Bangladesh. Despite recent economic growth in Bangladesh, the majority
of the population still lacks access to banking services. A new
socioeconomic concept in Bangladesh promises to provide financial
services to underprivileged individuals. Providing financial services to all
segments of society, including those with less financial resources, is crucial
for inclusive development and economic progress.

A robust and healthy banking sector is critical to economic success. In

Bangladesh, banks play an important role in the economy by providing
credit for economic activities and collecting surplus capital from the public
through various depository incentives. Effective lending management,
strategies, and legation are necessary.

In recent years, the banking sector has underperformed. Currently, the

performance of commercial banks in the country is bad, reflecting their
overall health. Banks have not demonstrated significant gains in indicators
such as capital risk weighted asset, non-performing loans, return on equity,
return on asset, liquid asset, and excess liquidity. The government and
Bangladesh Bank have taken steps to reform the financial sector, including
promoting discipline, preventing money laundering, implementing loan
write-off policies, establishing guidelines for loan rescheduling, and
increasing transparency. As a result, the image of the banking industry is
improving.
 1.2Objectives of the Study

 To obtain a basic appraisal of the Approval loan.

 Research the credit programs of the bank.
 To understand the disbursement and recovery procedures for approval
loans.
 To determine the success factor for credit approval, loan disbursement, and
recovery system banking at Shahjalal Islami Bank Limited.
 To know the loan policy of the bank.

1.3Methodology of the Study

The report is prepared on the basis of Loan Disbursement Policy of

Shahjalal Islami Bank LTD, Chapainawabganj Branch .To conduct the
overall study, at first I explored the sources of Primary and Secondary
Information and Data. Different files of the department and statement
helped me to prepare this report. I have interviewed the SJIBL officials for
getting more information. To present numerical data, I used the Annual
Reports and monthly statement of Shahjalal Islami Bank LTD,
Chapainawabganj Branch.

1.3.1 Sample Collection

We have selected Shahjalal Islami Bank Ltd, Chapainawabganj Branch,

Chapainawabganj as the sample of my study because I have selected this
institute for my internship program. Its different activities relating to lending
need to be evaluated.

1.3.2 Methods of Data Collection

I have collected two types of data for preparing this report. These are below:

 Primary sources of data.

 Secondary sources of data.
 Collection of Primary data
 Practical desk work.
 Direct observation.
 Face to face conversation with the officers.
 Interviewing the persons who are treated as experts in respective areas.
 Official record of the branch.

Collection of Secondary data

 Different papers of respective department.

 Annual report of SJIBL.
 Newspapers reports in this concern.
 Websites of SJIBL and Wikipedia.
 Monthly statement of SJIBL.

1.3.3 Data visualization technique

To visualize result, I plotted data by using:

 Table.
 Graph.
 Percentage analysis.

1.4 Limitations of the study

To prepare the report I had to face some problems and limitations. Those
limitations are unavoidable for me. The limitations are below:

 To prepare an internship report a big deal of time is needed. As an internee

I had only 3 months, which is not enough to prepare a totally perfect report.
 It required a lot of assistance from all level officers and staff but they are
very busy to doing their jobs.
 There are various information that bank employee could not provide due to
security and other corporate obligations.