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Chapter-1 Introduction

1.1 Origin of the assignment:


We, the students of Batch: 29-A bearing ID: 1263, 1242, 1262, 1275, 1251, 1277 are going to present an assignment to Lecturer Priyanka Das Dona to fulfillment the course requirement.

1.2 Objective of the assignment:


The primary objective of this study is the partial fulfillment of the course requirement. The main objectives of this report are as follows: 1. To fulfill the requirement of the course Money and Banking offered in BBA program. 2. The collateral purpose of this assignment is to explore about overall activities of a commercial bank. 3. It will also enable us to improve our skills on report writing. As corporate executive put great value on report writing as an important element in organization success, this part of the course will prepare us to face the future challenges of corporate world. 4. It helps us to be familiar with the various aspects of a commercial bank. This is very important for the business students. 5. To meet the curiosity in this stated subject.

1.3 Methodology:
We collected information for this report mainly from primary survey 1to2 persons were interviewed for this purpose. All of them were employees of DBBL. Besides the view of the general people like us has also been discussed in our class lecture. We have used the Internet to collect some information. All the data were stored into computer. Different tables and graphs were prepared to gain a better view. Microsoft Word and Microsoft Excel were used for this purpose.

1.4 Limitations:
Although it has been tried on the level best to make this report based on facts and complete information available, there are some limitations that are inevitable. They are following: 1. The main obstacle while preparing this report was time. As the tenure of the Course program was only four months, it was not possible to highlight everything deeply. 2. Confidentiality of information was another barrier that hindered the study. 3. Sufficient records, publications were not available as per my requirement. 4. Because of being private limited companies, SCB, DBBL and others banks keep some information restricted. Therefore the comparison maynt be satisfied fully.

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Chapter 2 Overview of the Bank


2.1 Introduction:
Dutch-Bangla Bank is the first bank in Bangladesh to be fully automated and introduce Electronic Banking. The automation was completed in 2003, but further additions and features are continuously being added and upgraded. DBBL has adopted the same exact automation solution used my many international banking giants. Although this was significantly more expensive than other solutions, it is a small price to pay for a client's peace of mind. A DBBL client now has unrivaled access to banking from any DBBL branch, ATM and POS. All of these services are free-of-charge and are surprisingly affordable for everyone. Even though DBBL has invested more in Electronic Banking more than any other bank, the division was never intended to be profitable. It was undertaken with the same mindset DBBL undertakes its Corporate Social Responsibility tasks. This is why you pay barely anything even though these same services would cost you much more in other countries and other banks. Never has any bank given so much for free. DBBL also has the largest ATM network in Bangladesh. This gives DBBL clients full access to 'anytime anywhere' banking nationwide. All international and many local banks use the DBBL ATM network for their own clients. DBBL has installed over 800 ATMs nationwide. As with most things, ATM access to all DBBL ATMs is unlimited and free for all DBBL clients. If a client of a member bank (not DBBL) uses a DBBL ATM, the member bank may add a transaction charge. DBBL has the largest IT budget in Bangladesh. DBBL maintains the state-of-the-art Electronic-Banking Division. The Electronic-Banking Division oversees and maintains DBBL's investment as well as implementing upcoming projects. DBBL is the only local bank to have a off-site Data Recovery Site (DRS). DRS ensure that customer records are safe, backed-up, and up to date in the event of a major catastrophe at the Electronic-Banking Division headquarters. Since 2004, DBBL has introduced mobile and SMS banking. With a mobile phone, customers can perform many banking operations with their phone. DBBL is a primary license holder for both VISA and MasterCard. It is authorized to issue and accept payments from both organizations. DBBL also works closely with both organizations to bring you the latest in card technology. DBBL also offer Visa and MasterCard Debit Cards. Dutch-Bangla Bank started operation is Bangladesh's first joint venture bank. The bank was an effort by local shareholders spearheaded by M Sahabuddin Ahmed (founder chairman) and the Dutch company FMO. From the onset, the focus of the bank has been financing high-growth manufacturing industries in Bangladesh. The rationale being that the manufacturing sector exports Bangladeshi products worldwide. Thereby financing and concentrating on this sector allows Bangladesh to achieve the desired growth. DBBL's other focus is Corporate Social Responsibility (CSR).

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2.2 Historical Background:


Dutch-Bangla Bank Limited is a scheduled commercial bank. The Bank was established under the Bank Companies Act 1991 and incorporated as a public limited company under the Companies Act 1994 in Bangladesh with the primary objective to carry on all kinds of banking business in Bangladesh. The Bank is listed with Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited. DBBL- a Bangladesh European private joint venture scheduled commercial bank commenced formal operation from June 3, 1996. The head office of the Bank is located at Senakalyan Bhaban (4th floor), 195, Motijheel C/A, Dhaka, Bangladesh. The Bank commenced its banking business with one branch on 4 July 1996. Dutch Bangla Bank Limited (DBBL) a public company limited by shares, incorporated in Bangladesh in the year 1995 under companies Act 1994. With 30% equity holding, the Netherlands Development Finance company (FMO) of the Netherlands is the international cosponsor of the Bank. Out of the rest 70%, 60% equity has been provided by prominent local entrepreneurs and industrialists & the rest 10% shares is the public issue. During the initial operating year (1996-1997) the bank received skill augmentation technical assistance from ABN Amro Bank of the Netherlands. DBBLs focus is to provide one counter service to clients covering: Commercial Banking (Deposit Accounts), Consumer Banking (Retail Baking) Traveler Cheques- Foreign & Inland Remittances, Financial Services, Corporate Banking, Asset & liability management, Liquidity & capital Resources Management, Information technology, Human Resources. DBBL Internet banking enables customer to access his/her personal or business accounts anytime anywhere from home, office or when traveling. Internet Banking gives customer the freedom to choose his/her own banking hours. It can save time, money and effort. It's fast, easy, secure and best of all. DBBL, since its inception was active in various social activities, which increased manifold over the period of time and its growth. It is one of the fast growing leading online banks in private sector. The emergence of Dutch-Bangla Bank Ltd. in the private sector is an important event in the banking area of Bangladesh. The Netherlands Development Finance Company (FMO) of the Netherlands is the international sponsor of the Bank. The FMO is the Dutch development bank of the Netherlands specialized in the financing of private enterprises in Asia, Africa, Latin America and Eastern Europe. Dutch-Bangla Bank Ltd. came into existence with joint venture as a public limited company incorporated in Bangladesh on June 26, 1995 with the primary objectives to carry on all kinds of banking business in and outside of Bangladesh. DBBL has started its business with foreign bank. DBBL commenced its business as scheduled bank with effect from July 04, 1995 with one branch-Motijheel Branch, Dhaka, with a motto to grow as a leader in the banking arena of Bangladesh through better counseling and effect service to clients and thus to revitalize the economy of the country. All the branches are currently providing truly On-Line banking facility. DBBL resumed its operational activities initially with an authorized capital of Tk.400 million and paid up capital of Tk.202.14 million.

2.3 An over view of DBBL


Dutch-Bangla Bank is a second generation commercial private Bank. During the period of its operation, this bank creates a milestone of success in banking sector. This bank holds an experienced team of banking professional. They achieve this success because of their experienced banking professional team, proper management & so on. Dutch-Bangla Bank Limited is a BangladeshNetherlands joint venture scheduled commercial bank established in Money & Banking 10

Bangladesh with the primary objective to carry on all kinds of banking business in and outside of Bangladesh. Starting with one Branch in 1996, DBBL has expanded to thirty nine (39) branches including nine Branches outside of the capital. To provide client services all over Bangladesh it has established a wide correspondent banking relationship with a number of local banks. To facilitate international trade transactions, it has arranged correspondent relationship with large number of international banks which are active across the globe. In addition to its banking activities, Dutch-Bangla Bank Limited takes part in different national activities promoting sports, culture, social awareness, etc. Participation in these activities as sponsors is part of its business development policy.

2.4 Mission:
Dutch-Bangla Bank engineers enterprise and creativity in business and industry with a commitment to social responsibility. "Profits alone" do not hold a central focus in the Bank's operation; because "man does not live by bread and butter alone"

2.5 Vision:
Dutch-Bangla Bank dreams of better Bangladesh, where arts and letters, sports and athletics, music and entertainment, science and education, health and hygiene, clean and pollution free environment and above all a society based on morality and ethics make all our lives worth living. DBBL's essence and ethos rest on a cosmos of creativity and the marvel-magic of a charmed life that abounds with spirit of life and adventures that contributes towards human development.

2.6 Core Objectives:


Dutch-Bangla Bank believes in its uncompromising commitment to fulfill its customer needs and satisfaction and to become their first choice in banking. Taking cue from its pool esteemed clientele, Dutch-Bangla Bank intends to pave the way for a new era in banking that upholds and epitomizes its vaunted marques "Your Trusted Partner".

2.7 Objectives of DBBL:


1. To earn and maintain CAMEL Rating 'Strong'. 2. To establish relationship banking and improve service quality through development of Strategic Marketing Plans. 3. To remain one of the best banks in Bangladesh in terms of profitability and assets quality. 4. To introduce fully automated systems through integration of information technology. 5. To ensure an adequate rate of return on investment. 6. To keep risk position at an acceptable range (including any off balance sheet).

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2.8 Organization management chart:

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2.9 Management Setup:


Name Mr. Md. Yeasin Ali Mr. A. H. M. Nazmul Quadir Mr.K. Shamsi Tabrez Mr. Abul Kashem Md. Shirin Designation Division Managing Director Additional Managing Director Deputy Managing Director (Operation) Deputy Managing Director (Administration) Credit Division Accounts Division Human Resource Division Board Secretariat Card Division Marketing & Development Division Treasury Division (Front Office) Corporate Banking Division Credit Monitoring & Recovery Division Credit Administration Division General Service Division Internal Control & Compliance Division Retail and SME Division International Division.

Mr. Muhammad Shahidul Senior Executive Vice President Islam Mr. Khan Tariqul Islam Senior Executive Vice President Mr. Khan Tariqul Islam Mr. Md. Monirul Alam Mr. Moyen Uddin Ahmed Mr. A. K. M. Shah Alam Mr. A. K. M. Shah Alam Mr. Mahbub Jan Chowdhury Mr. Iqbal Amin Senior Executive Vice President Company Secretary Executive Vice President Executive Vice President Executive Vice President Senior Asst. Vice President Senior Vice President

Mr. Iqbal Amin Mr. Mohammad Mutalib Mr. Md. Harun Azad Mr. S.M. Jahangir Akhter Mr. Mir Mominul Huq Mr. Hossain Chowdhury Akhtar Abdul

Senior Vice President

Senior Vice President Senior Vice President Vice President Senior Asst. Vice President Vice President

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Chapter-3 Theoretical Aspects


3.1 Commercial Bank:
Commercial bank is a financial institution that is owned by stockholder, operates for a profit, and engages in various lending activities. It primary business is to hold deposit and make loans and invests with the object of profit for the shareholders. So commercial bank mobilize is for the shareholders. So commercial bank mobilize saving of the people to generate profit. This type of bank is specialized in loans to commercial and industrial business.

3.2 Organizational Structure:


Generally commercial bank are organized as public limited company with share holding dispersed across a large section of the investing public with controlling interest held by small groups of sponsors.

3.3 Supervision:
The banks take on the role of debtors to multitude of depositors. The failure of a commercial bank, therefore, leaves a trial of woes and suffering to many people. For this reason the governments in all commercial banks through the central banks or monetary authority.

3.4 Principal of Commercial Banking:


Commercial banks while employing their funds should pay attention to both liquidity and profitability. Liquidity in its turn is dependent on conversion of assets into cash without undue loss to produce capacity to meet the short-term obligation but such liquid assets doesnt earn anything and remains idle. So a banker should invest his excess money in some assets which are liquid in nature and at the same time earn an income. A wise policy would, therefore, be to follow a golden mean to earn profits without sacrificing the need for keeping a reasonable amount of liquid assets.

3.5 Bank Sources of Funds: A. Depository Accounts:


1. Fixed deposit: fixed deposits are those, which are withdrawal only after a specified period. The longer the period of deposit, the more attractive the rate of interest. Fixed deposits are also known as time liabilities of the bank. So fixed deposits has the following nature: Its a time liability Interest increase as duration increases Not payable on demand Loan can be available 2. Demand deposits: types of demand deposits:

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a. Savings bank deposits: Saving bank deposits are subject to certain restriction on the amount so receivable or withdraw and dont have any specific maturity. These deposits carry a lower rate of interest. A bank collects its funds mainly through deposits. b. Short term deposits: Short term deposits (STD) withdrawal by short notice. This type of deposit also carries a lower rate of interest. This type of deposit is suitable for corporation. Its liquidity is high. c. Current deposit: Current deposits accepted on account, on the other hand, are withdrawal any time by means of cheques. These are demand liabilities of bank. As rule bank do not pay any interest on these deposits. So current deposit has the following natures: This account is used by the savings businessman for handling cash. Negative return to account holder Loan facilities on current A/C It is for business only.

B. Non Depository Sources:


i. Borrowing from the central bank: another temporary source of funds for banks is central bank. This provides short-term loans to banks ( as well as to some other depository institutions). This type of borrowing by banks is often referred to as borrowing at the discount window. The interest rate charged on these loans is known as the discount rate. Loans from the discount window are short term, commonly from one day to a few weeks. To ensure that the need for funds is justified, banks that wish to borrow at the discount at the discount window must is mainly used to resolve a temporary shortage of funds. If a bank needs more permanent sources of funds, it will develop a strategy to increase its level of deposits. Repurchase agreement: a repurchase agreement (repo) represents the sales of securities at a specified date and price. Banks often use a repo as a source of fund for just a few days. The bank simply sells some of its government securities (such as treasury bills) to a corporation with a temporary excess of funds and buys those securities back shortly thereafter. The government securities involved in the repo transition serve as collateral for the corporation providing funds to the bank.

ii.

C. Long Term Source of Funds:


i. Bonds issued by the bank: like other corporations, bank own some fixed assets such as a land, building, and equipment. These assets often have an expected life of 20 years or more and are usually financed with long term sources of fund, such as much as most other corporations, because they have fewer fixed assets than use industrial equipment and machinery for production. Therefore, banks have less need for long tern funds. Bank Capital: Bank capital generally represents funds attained through the issuance of stock or through retaining earnings. With either from, the bank has no obligation to pay out funds in the future. This distinguishes bank capital from all the other sources

ii.

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of funds, which represents a future obligation by the bank to pay out funds. Bank capital as defined here represents the equity or net worth of the bank.

5.6 Uses of Fund by Banks:


The major uses of commercial bank funds are summarized as follows: 1. Cash: Banks are required to hold some cash as reserves because they must abide by reserve requirements enforced by the central bank. Banks also hold cash to maintain some liquidity and accommodate any withdrawal requests by depositors. Because banks do not earn income from cash, they hold only as much cash as is necessary to maintain a sufficient degree of liquidity. They can tap various sources for temporary funds and therefore are not overly concerned with maintain excess reserves. 2. Bank loan: The main use of bank funds is for loans. The loan amount and maturity can be tailored to the borrowed needs. A. Types of business loan: Bank provides short term loan to support ongoing operation of business. A working capital loan can support the business until sufficient cash inflows are generated. Banks also offer term loans, primarily to finance the purchase of fixed assets such as machinery. As term loans are long terms, sufficient documentation is needed to specify any conditions by which the borrower must abide. A more flexible financing arrangement is the informal line of credit, which allows the business to borrow up to a specified amount within a specified period. The interest charged on any borrowed funds is typically adjustable in accordance with the prevailing market rates. Borrower need not to pay interest on whole amount of sanctioned loan rather only on the amount withdrawn as loan. Because the bank is not committed to provide loan as demanded. B. Loan participations/Loan syndication: Some large corporations wish to borrow a large amount of funds than individual bank may not be willing to provide such a huge amount of money. Several banks may be willing to pool any available funds they have to accommodate a corporation in what is referred to as loan participation (by more than one bank to a single corporate loan). Banks that participates to provides the loan need to supply fund to the lead bank (the bank that arranges the documentation, disbursement, and determines the payment structure of loan). As interest payments are received, the lead bank passes the payments on to the other participants in proportion to original loan amount they provided. The lead bank receives not only its share of interest payments but also fees for servicing the loan. C. Types of consumer loan: Commercial banks provide installment loan to individuals to finance purchases to cars and household products. These loans require the borrowers to make periodic payments over time.

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Banks also provide credit cards to consumers who qualify, enabling purchases of various goods without the consumer reapplying for credit on each purchase. A maximum amount is assigned to the credit card holders depending on their income and employment record. Since the interest rate on credit card loans and personal loans is typically much higher than the cost of funds, many commercial banks have pursued these types of loan as a mean of increasing their earning. D. Real estate loans: Banks also provide real estate loans. For residential real estate loans, the maturity on a mortgage is typically 15-30 years, although shorter-term mortgages with a balloon payment are also common. The loan is backed by the residence purchased. Banks also provide some commercial real estate loans to finance commercial development. 3. Investment in securities: Banks purchase treasury securities as well as securities issued by government agencies. Banks also purchase corporate and municipal securities. Although corporate bonds are subject to credit risk, they offer a higher return than treasury securities. 4. Repurchase Agreement: From a lender perspective, the repo represents a sale of securities that it had previously purchased. Bank can act as the lender by purchasing a corporations holdings of treasury securities and selling them back at a later date. This provides short-term funds to the corporation, and banks loan is backed by securities.

5.7 Income & Expenses of Commercial Bank:


A. Interest Income: 1. From loan 2. From investment securities 3. Interest in time deposits in other banks All these generate the total interest income B. Interest Expenses: 1. Interest on deposits 2. Interest on short-term borrowings 3. Interest on long term borrowings All these generate the total interest income C. Other Operating Income: 1. Service charges on deposits accounts 2. Credit card fees 3. Other service charges and fees 4. Other income D. Other Operating Expenses: 1. Salaries & employee benefits 2. Occupancy expense of premises 3. Other expenses Net operating income = Total operating income Total operating expenses Money & Banking 17

5.8 Function of Commercial Banks:


Some of the fundamental functions usually discharge by a commercial bank r indicated below: 1. Receiving of deposit from the public: Follow the depository sources of funds previously.

2. Making loans and advances: The other major function of commercial bank is to make
loans and advances to businessman, traders and others against documents of title to goods, collateral and market securities. Loans are made against personal security of the borrowers with or without surety. A bank makes advances in different ways: Money at call comprises such loans, which are given for very short periods. These are payable at call or short notice of fortnight or less. Overdraft facilities are allowed to the Banks customers to overdraw their current accounts up to an agreed limit, to tide over temporary financial difficulties. Cash credit to grant to a customer is drawn by him as and when needed and not all at once. Discounting a bill of exchange is the most popular lending by a bank. 3. Money creation: The most distinctive function of commercial banks is creation of money because demand deposits serve as money and community. Demand deposits are created in two ways: either by converting cash into demand deposits with the bank or by borrowing from the bank and lodging the same amount with the bank as demand deposits. 4. Agency service: A commercial bank performs certain functions as an agent for and on behalf of its customers. Some of these functions relate toa) Collection and payment of promissory notes, cheque, bills and other commercial instruments, interest dividend, subscriptions, rents or other periodic receipts and payments like insurance premium. b) Buying and selling of shares, bonds, securities etc. on behalf its customers. c) Remitting of funds on behalf customers by the drafts or mail or Telegraphic transfer. d) Acting as executor, trustee and attorney for its customers etc.

5. General Utility Services: Some general utility services provided by the commercial banks
area) Issuing of letters of credit to its customers. b) Issuing of Bank Drafts and travelers cheques etc. For transfer of funds from one place to another. c) Dealing in foreign exchange and financing foreign trade by accepting or collecting foreign bills exchange. d) Serving as referee to the financial standing and credit-worthiness of its customers. Providing safety vaults or lockers for the safer custody of valuables and securities of the customers etc.

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Chapter-4 Main Topic


4.1 Corporate Culture of DBBL:
Dutch-Bangla Bank Limited (DBBL) is one of the most disciplined Banks with a distinctive corporate culture. In this bank, it believes in shared meaning, shared understanding and shared sense this bank, it believes in shared meaning, shared understanding and shared sense making. The People of bank can see and understand events, activities, objects and situation in a distinctive way. They would their manners and etiquette, character individually to suit the purpose of the Bank and the needs of the customers who are of paramount importance to them. The people in the Bank see themselves as a tight knit team/family that believes in working together for growth. The corporate culture they belong has not been imposed: it has rather been achieved through their corporate culture.

4.2 Department of DBBL:


4.2.1 Human Resource Management: Success of any organization largely depends on efficiency and competency of its manpower. In DBBL HR department efficiently manage it function such as: Service provided under this department is: a. b. c. d. Strategic Planning and organizational development. Faculty and departmental advice, support and service. Staff Development Project and information development.

4.2.2 International division: International trade mean foreign currency and include all deposits, credit and balance payable in foreign currency as well as foreign currency instrument such as draft, traveler cheques, bill of exchange and promissory note payable in any foreign country. Anything that conveys a right to wealth in another country is foreign exchange. 4.2.3 Credit department: Risk is an internal part of an business and the main role of our management principal is to find the optimal balance of risk& return. Bangladesh bank has undertaken a project to install a core risk management system in every bank. DBBL installing the same system in respect to asset liability management, foreign exchange management, internal control and compliance, anti-money laundering system. 4.2.4 IT department: DBBL undertook a project with BASIS to award the best IT uses in Bangladesh. DBBL update the new software operates its online functions. DBBL IT dept. maintains all of its function efficiently and updates information properly.

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4.3 Products and services:


4.3.1 Products and services offered by DBBL: a. Retail Banking b. Remittance and collection c. Import and export handling and financing d. Corporate Banking e. Project Finance f. Investment Banking g. Consumer credit h. Agriculture Loan i. Real time any branch banking 4.3.2 Banking Products: Various deposits: a. Savings Deposit Account b. Current Deposit Account c. Short Term Deposit Account d. Resident Foreign Currency Deposit e. Foreign Currency Deposit 4.3.3 Loan & Advances: a. Loan against Trust Receipt b. Transport Loan c. Consumer Credit Scheme d. Real Estate Loan (Res. & Comm.) e. Loan Against Accepted Bill f. Industrial Term Loan g. Agricultural Term Loan 4.3.4 ATM Services: We can find DBBL ATMs beside our home, in our office premise, nearby market, university, college & school premises, Airport, Railway stations etc., throughout the country. Using any of the DBBL ATM pools anywhere in the country, you can perform the following: i. Account balance enquiry ii. Cash withdrawal 24 hours a day, 7 days a week, 365 days a year iii. Cash deposit to a certain number of ATMs any time iv. Mini statement printing v. PIN (Personal Identification Number) change j. 24 Hours Banking through ATM i. DBBL-NEXUS ATM & Debit card ii. DBBL-Maestro/Cirrus ATM & Debit card iii. DBBL Credit card k. Internet Banking l. SMS Banking m. On line Banking through all Branches

f. g. h. i. j.

Convertible Taka Account Non-Convertible Taka Account Exporter's FC Deposit(FBPAR) Current Deposit Account-Bank Short Term Deposit Account-Bank

h. Lease Finance i. Other Term Loan j. FMO Local currency Loan for SME k. FMO Foreign currency Loan l. Cash Credit (Hypothecation) m. Small Shop Financing Scheme

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4.3.5 Treasury: DBBL is well equipped for treasury operation through subscribing Reuters's terminal and operating in SWIFT network. It is also well equipped with competent human resources for efficient dealing. DBBLs treasury quotes competitive exchange rate for major currencies: a. Spot Sale/Purchase c. Money market Interbank & b. Forward Sale/Purchase Corporate d. SWAP 4.3.6 Account Service: a. DBBL provides all the accounts services as prescribed by the guidelines of Central Bank (Bangladesh Bank). DBBL offers competitive interest rate and provides premium quality services for the accounts. Account services are: b. Foreign Currency Account c. Non-Resident Foreign Currency Deposit Account (NFCD) d. Resident Foreign Currency Deposit Account (RFCD) e. Convertible and Non-Convertible Taka Account 4.3.7 Foreign Trade: DBBL extends finance to the importers in the form of: i. Opening of L/C (Foreign/Local) ii. Credit against Trust Receipt for retirement of import bills. iii. Short term & medium term loans for installation of imported 4.3.7.1 Import Finance: DBBL extends finance to the importers in the form of: 1. Opening of L/C 2. Credit against Trust Receipt for retirement of import bills. 4. 3.7.2 Export Finance: 1. Pre-Shipment Finance Pre-Shipment finance in the form of: I) Opening of Back-to-Back L/C II) Export Cash Credit 2. Post-Shipment Finance

Post-Shipment finance in the form of: I) Foreign/Local Documentary Bills Purchase II) Export Credit Guarantee III) Finance against cash incentive

4.3.7.3 Foreign Remittance: DBBL provides premium quality service for repatriation and collection of remittance with the help of its first class correspondents and trained personnel. By introducing on-line banking service and becoming a SWIFT Alliance Access Member, which enable its branches to send and receive payment instruction directly, which helps provide premium services. Remittance services provided by DBBL are: i. Inward Remittance: Draft, TT. ii. Outward Remittance: FDD, TT, TC and Cash (FC)

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4.3.7.4 Western Union: Western Union Financial Services Inc. U.S.A. is the number one and reliable money transfer company in the world. This modern Electronic Technology based money transfer company has earned worldwide reputation in transferring money from one country to another country within the shortest possible time. Dutch-Bangla Bank Limited has set up a Representation Agreement with Western Union Financial Services Inc. U.S.A. as on 14th February 2006. 4.3.8 DBBL Internet Banking: DBBL Internet banking enables customer to access his/her personal or business accounts anytime anywhere from home, office or when traveling. Internet Banking gives customer the freedom to choose his/her own banking hours. It can save time, money and effort. It's fast, easy, secure and best of all. Using any of the DBBL ATM pools anywhere in the country, you can perform the following: Securities with DBBL Internet Banking A/c Opening & Accessing Internet Banking Internet Banking Features Terms & Conditions of Internet Banking 4.3.9Mobile Banking: Mobile Banking is a Banking process without bank branch which provides financial services to unbanked communities efficiently and at affordable cost. To provide banking and financial services, such as cash-in, cash out, merchant payment, utility payment, salary disbursement, foreign remittance, government allowance disbursement, ATM money withdrawal through mobile technology devices, i.e. Mobile Phone, is called Mobile Banking. 4.4 Fast Track: In 2010, Dutch Bangla Bank Limited (DBBL) introduced "Fast Track" in the country which is the first of its kind in the country that is like a mini branch. Along with the generic ATM withdrawal service, it lets the customer deposit small amounts of money to DBBL account with a limit of 20,000 BDT. Moreover, the Fast Track also provides some account opening service and loan information. By 2010, DBBL has installed 50 Fast Tracks in Dhaka, Chittagong and Sylhet cities. Internet Payment Gateway Dutch-Bangla Bank Limited (DBBL) introduced Internet Payment Gateway to facilitates Ecommerce in Bangladesh. Any Visa/MasterCard card holder (local or overseas) can user their card to pay DBBL authorized e-Merchants against their purchase of goods and service. They can also pay DESCO electricity bills. DBBL is working with airlines, railways, Utility companies, educational institutions and Stock Exchanges for facilitating purchase of ticket, payment of bills/fees and IPO subscription through the Internet Payment Gateway. It is also working to make an interface with the renowned PayPal payment gateway. Once everything in operation, this will change the payment mechanism in Bangladesh and will reduce public suffering. It will also boost the E-commerce and open the door for freelancer and ICT company to earn more remittance for the country.

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4.5 Services to Banks outside the Country:


We honor Cards of the customers of all the Banks throughout the world: All cards (VISA, VISA Electron, VISA Plus, Visa Debit, Maestro, MasterCard, Cirrus, Master Debit etc.) issued by different Banks worldwide are accepted at our ATM/POS network.

4.6 Corporate Social Responsibility:


DBBL as a responsible corporate citizen is fully aware of its responsibility about how its operational activities impact its stakeholders, the economy, the society, its staff and the environment. Conducting business in an ethical way, creating opportunities for business & economic growth, empowering people to fulfill their aspirations, ensuring protection of environment while financing businesses and supporting the distressed people of the society are at the heart of corporate social responsibility policy of DBBL. In DBBL we take this responsibility and believe that responsible conducts are directly correlated with economic & social development of the country. 4.6.1 Commitment to rural area and Supporting SME: DBBL has opened 10 SME service centers mainly in rural area to support SMEs and to bring related low income group under financial intermediation to help them become self reliant and unleash the potential of economic growth in rural area. The centers also facilitate quick transfer of funds from home and abroad to rural people through ATMs at free of cost. 4.6.2 Environment: DBBL complies with environmental standard while financing industrial projects. Projects with likely adverse impact on environment are strongly discouraged by DBBL. We are trying to incorporate sound environmental management process in business operations of projects financed by us that can ensure healthy and sustainable lives for our future generations. DBBL introduced a guideline demanding assessment of environmental and social impacts of the projects to ensure that operations of the projects would be eco-friendly.

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Environmental degradation and depletion of natural resources are matters of great concern in Bangladesh like anywhere in the world. Environmental degradation is taking place due to poverty, over population and lack of awareness about the environment. It is manifested by deforestation, destruction of wetlands, depletion of soil nutrients etc. Natural calamities like floods, cyclones and tidal bores also result in severe socio-economic and environmental damage. DBBL has been continuously creating social awareness to protect the environment that is essential for present and future generations. With that end in view, DBBL is regularly advertising in print and electronic media to develop an eco-friendly society for sustainable and healthy human life. 4.6.3 Employees -unleashing the hidden potential: Human resource is the most valuable assets of DBBL. Accordingly how human resource is recruited, trained, developed & motivated has far reaching implication on long term sustainable growth of the Bank. Customers' perception & satisfaction ultimately determines relative or absolute success or failure of an organization. In turn, we need a competent, well trained, committed & motivated team of human resources with positive & sincere attitude towards customers that can build, maintain and strengthen trust & confidence in our customers that is crucial for our success.] 4.6.4 Training: DBBL attaches utmost importance to the development of its employees through continuous training so that DBBL executives can have competitive advantage in the market. The training need of individual employees including training need for introducing new products, services and technology is evaluated on a continuous and systematic way. DBBL executives are encouraged to attend high quality training at home and abroad to develop and broaden existing knowledge and skills and to acquire new skills and expertise. We imparted training to 528 officers in 68 different courses during 2009. The training programs were organized by our own training institute. We also nominated 71 officers to undergo different training programs/courses organized by different organizations like BIBM, Bangladesh Bank Training Academy (BBTA) and other similar organizations. In addition, eight executives were sent abroad for attending overseas training and workshop. 4.6.5 Supporting the Society at large: Since inception, as a responsible corporate body, Dutch-Bangla Bank Limited has been playing a pioneering role in implementing social and philanthropic programs to help disadvantaged people of the society. A number of sectors are on the priority list of the Bank. Education, health care, rehabilitation of distressed people and such other programs to redress human sufferings and to improve quality of life are some of the important areas where the Bank carries out its social and philanthropic activities. 4.6.6 Education Sector: Education is a pre-requisite for the overall development of the country. Keeping this view in mind, Dutch-Bangla Bank Limited has been giving priority to the education sector by

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awarding Scholarship and Fellowship, and making infrastructural development. Some of the programs are enumerated below:

4.6.6.1 Scholarship Program: Dutch-Bangla Bank Limited (DBBL) has been awarding the largest number of scholarships in Bangladesh for the meritorious and needy students every year since 2001. This scholarship is available for different levels of education such as: 4.6.6.1.1 HSC level: Dutch-Bangla Bank Limited awards new scholarships every year for the meritorious and needy students of this level along with the continuation of existing awardees. The students, who have been studying at H.S.C. level after passing S.S.C. examination in the current year, are eligible to apply for scholarship of this level. The scholarships are renewable for the entire academic period of H.S.C. level. Already 745 scholarships have been awarded in this level. 4.6.6.1.2 Graduation level: Every year DBBL awards new scholarships for the meritorious and needy students of this level along with the continuation of existing awardees. The students, who have been studying at graduation level after passing H.S.C. examination in the current year, are eligible to apply for scholarship of this level. The scholarships are renewable for the entire academic period of graduation level. Already 876 scholarships have been awarded in this level. Under this program a scholarship awardees is provided with the following benefits: 4.6.6.2 Fellowship Program: Dutch-Bangla Bank Limited has been awarding fellowship for pursuing M.Phil, Doctoral & Post-Doctoral degree since 2006. This fellowship is awarded to those researchers engaged in

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research in various fields like Social, Biological, Medical, Agricultural and Natural Sciences and also engineering at different public universities of Bangladesh in M.Phil., Ph.D. & PostDoctoral Levels. Every year fellowships are awarded to the researchers for the entire period of research work as required by the university curriculum. Already 159 fellowships have been awarded. Under this program a fellowship award is provided with the various benefits. 4.6.7 Health Sector: 4.6.7.1 Smile brighter program for cleft-lip patients: Cleft-lip is far more a social set back than a health problem. Boys and girls cursed with cleftlips face numerous problems in everyday life ranging from disruption of formal education, attending social ceremonies and impediment at the time of getting married. Considering the gravity of the situation, DBBL has taken the initiative to bring back smile on the face of the boys and girls with cleft-lip through plastic surgery at free of cost since 2003. More than 4,679 numbers of poor cleft-lipped boys & girls have so far been successfully operated upon across the country under the "Smile Brighter" banner. Besides, special camps were arranged under this 'Smile Brighter' program in Dhaka, Savar, Tangail, Mymensingh, Kishoregonj, Sirajgonj, Pabna, Rajshahi, Naogaon, Bogra, Rangpur, Dinajpur, Lalmonirhat, Sylhet, Comilla, Noakhali, Feni, Chittagong, Cox'sBazar, Faridpur, Khulna, Jessore, Kustia, Shatkhira, Barisal, Bhola, etc. As a continuous process, the cleft-lipped boys & girls are being treated across the country for restoration of hope and dignity in their lives. 4.6.7.2 Cataract operation for underprivileged blind people: Visual impairment is an immense social problem in our country. Cataract is the major cause of blindness. 80% of the affected people can resume vision through cataract operation. A large number of rural poor people are deprived of the opportunity to cure the problem. Keeping their sufferings in mind, Dutch-Bangla Bank Foundation started the program of operating 12,000 underprivileged blind people by providing sophisticated cataract surgery (Intra Ocular Lens) throughout the country in phases since 2008. Up to the year 2009, about 1,750 cataract operations have been completed successfully in different regions of the country. 4.6.7.3 Medi-Care Services for the rural people: DBBL has established Rural Medi-Care Service Center at its rural branches of Shimrail, Dania, Gazipur Chowrasta, Board Bazar, Savar Bazar, Baburhat, Patherhat and Hathazari Branch to render free medical services to the rural and destitute people of the adjoining areas especially for the women and children. 4.6.7.4 Health Infrastructure development: Donation to OGSB Hospital: Obstetrical and Gynecological Society of Bangladesh (OGSB) is working with poorest of the poor women and children of our country. They have established a four storied Hospital having 20,000 sq. ft. in each floor along

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with an academic Institute at Mirpur, Dhaka. To meet the increasing demand for services for women and children, the OGSB authority has planned to construct another floor (4th floor, measuring 20,000 sq. ft.) of the hospital which will be solely used for neonatal care for the sick and vulnerable children. Financial support of Taka 20,000,000 was approved in favour of OGSB Hospital and Institute of Reproductive & Child Health, Mirpur, Dhaka for construction of 4th floor of the above mentioned OGSB Hospital at Mirpur, Dhaka. Donation to ICDDR, B: There is now growing concern about blood safety, equitable access to safe blood and blood products and their safe and rational use in the third world countries. According to the recommendations of WHO, the Bangladesh Government has initiated a strategy to make provision for safe blood transfusion in order to contain the transmission cycle of transfusion associated infections. In this connection, ICDDR, B authority has planned to set up an international standard blood transfusion unit. The Board of Trustees of DBBF approved financial support of Taka 11,476,800 to ICDDR, B Dhaka for setting up of the blood bank with all modern facilities of international standard. Donating 03 (three) Baby Warmer costing Taka 159,900 to Pediatrics Department, Dhaka Medical College Hospital, for treatment of underweight neonatal patients. Donating a PC-less multimedia projector costing Taka 61,000 to Department of Pediatrics, Bangabandhu Sheikh Mujib Medical University, Dhaka for better dissemination of knowledge.

4.6.7.5 Donation for medical treatment: Financial assistance of Taka 100,000 to Md. Abul Kalam, of Comilla, for operative treatment of his son. Financial assistance of Taka 100,000 to Bir Sresthho Matiur Rahman Foundation for providing free health services to poor freedom fighters and their school going children. Financial assistance of Taka 50,000 to Nahid Anjum, for treatment of cancer. Financial assistance of Taka 15,185 to Putul Biswas, of Department of Development Studies, Dhaka University, for treatment of her father.

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4.7 Economic Contribution:


Savings, investments, employment generation, productions, distribution and consumptions are essential part of any economic system. The Bank being a financial intermediary plays a significant role in this process by mobilizing savings & other resources, allocating such resources to productive investments, local & international trades and consumptions. In the process the Bank is directly or indirectly creating a lot of wealth by accelerating economic activities & growth. By offering its unique products & services the Bank is engaged in maximizing savings, investments, productions, trading, employment, consumptions etc. to maximize economic growth and welfare of the society. Therefore banking company is holding a key position in economic and social development of a country. DBBL is a corporate citizen. It cannot act on its own without its stakeholders. The stakeholders as a whole help, direct and monitor the Bank to perform its operations in an effective way to create and maximize value for the economy and society. Measures taken by DBBL to maximize value for its stakeholders and to increase its contribution to the economy & society in a sustainable way, DBBL as a responsible citizen has taken effective measures to sustain its operations in a sustainable way thereby to increase its contribution to the economy & society. DBBL has undertaken due process, procedures and systems in compliance with best practices in corporate governance, risk management, regulatory requirements, environmental issues, staff welfare, customer services and business practices to strengthen its ability to serve the stakeholders and society increasingly in a greater way.

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4.8 Creation of Revenues and its distribution by DBBL:

Their revenue flow is good. They are creating revenues from different different sectors, like interest income, investment income, commission, exchange and brokerage and operating incomes etc. they are using their revenues in different sectors there are no extension money. Thats good for the economy.

Maintaining adequate capital and capital adequacy ratio - cushion to absorb the unforeseen shocks As part of risk management system, it is the policy of DBBL to maintain strong capital adequacy ratio to have sufficient cushion to absorb any unforeseen shocks arising from any potential risk, to ensure long term solvency of the Bank and to help sustainable business and profit growth of the Bank that can maximize value for stakeholders. At the end of 2009, Bank's regulatory capital reached at Taka 5,900 million as against Taka 4,587 million as at 31 December 2008.

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4.9 Sustainable dividend policy to ensure growth and maximize share value:
DBBL's dividend policy is designed in a way to ensure sustainable growth of the Bank with strong capital adequacy ratio which must maximize value for shareholders. DBBL paid 50% stock dividend in 2008. The proposed stock dividend for 2009 is 33.33%.

Dividend rate should increase

Mobilization and allocation of resources in optimum way-extending loans to important sectors at reasonable interest rate and charges.

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It is the policy of DBBL to mobilize resources from diversified sources to make it cost effective and sustainable to support business growth. Depositors are offered the best technology driven products & services available in the market to encourage them in savings. While resources are allocated at competitive rates preferably in most productive as well as export oriented sectors to maximize economic and social development of the country. Creditdeposit ratio is contained within optimum limits to ensure utilization of resources within tolerable risks. In 2009 total liability, including capital, deposit, borrowing and others increased from Taka 60,619 million to Taka 81,481 million. Loans and advances increased from Taka 41,698 million to Taka 48,411 million.

4.10 Financial Progress:

Overall financial position is good. Revenue, profit, assets, loans, deposits, exports and imports are increasing. It expresses the progress of the bank.

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4.11 Comparison with other Banks:


4.11.1 Home loan: Bank Name Product Name AB Bank Ltd House/Office Furnishing/ Renovation Loan Short Description A. Loan Amount: Minimum Tk. 1,00,000.00 & Maximum Tk. 10, 00,000.00. B. Charges: Application fee: Tk. 500.00, Processing fee: 1% on the approved loan amount or Tk. 2000.00 whichever is higher. C. Tenor: Min 12 months & Max 48 months. D. Rate of Interest: 16.50% p.a. A. Loan range: BDT 20,000/- TO BDT 5,000,000/- or maximum 70% of the asset value, whichever is lower. B. Tenor: 1 to 15 years. C. Interest rate: 14.50 % D. Repayments: Equal monthly installments. A. Age: At least 23 years, B. Minimum Monthly Income: o Salaried: BDT 40,000, o Self Employed: BDT 50,000. C. Interest Rate:13% Rank 3

Dutch-Bangla Bank Ltd

Home Line

HSBC

Home loan

4.11.2 Car loan: Bank Name AB Bank Ltd Product Name Auto Loan Short Description Rank

Dutch-Bangla Bank Ltd

Auto line

HSBC

Car Loan

A. Loan Amount: 70% for the brand new car. 3 60% for the reconditioned car but must not exceed BDT 10,00,000.00 B. Charges Application fee: Tk. 500.00, Processing fee: 1% on the approved loan amount or Tk. 5000.00 whichever is higher. C. Tenor For Reconditioned Car: Max 36 months, For Brand new Car: Max 60 months D. Rate of Interest 14.50% p.a. - 17.50% p.a. A. Loan range: BDT 50,000/- TO BDT 1 1,000,000/-.B. Tenor: 1 to 5 years. C. Interest rate: 15 % D. Repayments: Equal monthly installments. A. Age: At least 23 years, 2 B. Professional Experience: o Salaried: Employed for at least two years by a wellreputed company, o Self-employed: Business

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establishment for at least two years(with, adequate proof) C. Minimum Monthly Income: o Salaried: BDT 20,000, o Self Employed: BDT 50,000. Daintiest Rate: 16 %

4.11.3 Education

loan: Product Name Education Loan Short Description A. Loan Amount: Minimum Tk. 50,000.00. & Maximum Tk. 3, 00,000.00. B. Charges: Application fee: Tk. 500.00, Processing fee: 1% on the approved loan amount or Tk. 1000.00 whichever is higher. C. Tenor: Min 12 months & Max 36 months. D. Rate of Interest: 14.50% p.a. - 16.00% p.a. A. Loan range: BDT 50,000/- TO BDT 1,000,000/B. Tenor: 1 to 5 years. C. Interest rate: 17.50 % D. Repayments: Equal monthly installments. A. Age: At least 23 years, B. Professional Experience: - Salaried: Employed for at least two years by a wellreputed company, - Self-employed: Business establishment for at least two years (with adequate proof). C. Minimum Monthly Income: - Salaried: BDT18, 000, - Self Employed: BDT50, 000, Autopsy/CEPS: BDT15,000. D. Interest Rate: 19 % Rank 1

Bank Name AB Bank Ltd

Dutch-Bangla Bank Ltd

Education Line

HSBC

Student loan

4.11.4 Health line: Bank Name HSBC Product Name Medical loan Rank Short Description A. Age: At least 23 years , 2 B. Professional Experience: - Salaried: Employed for at least two years by a wellreputed company, - Self-employed: Business establishment for at least two years (with adequate proof). C. Minimum Monthly Income: - Salaried:

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DutchHealth Line Bangla Bank Ltd

BDT18,000, - Self Employed: BDT50, 000, Auto pay/CEPS: BDT15,000. D. Interest Rate:19 % A. Loan range: BDT 50,000/- TO BDT 1 1,000,000/B. Tenor: 1 to 5 years. C. Interest rate: 17.50% D. Repayments: Equal monthly installments.

4.11.5 Professional line: Bank Name HSBC Product Name Professional loan Short Description Rank A. Age: At least 23 years, 2 B. Minimum Monthly Income: Salaried: BDT18, 000, - Self Employed: BDT50,000, Autopsy/CEPS: BDT15,000. D. Interest Rate:19 % A. Loan range: BDT 50,000/- TO 1 BDT 1,000,000/B. Tenor: 1 to 5 years. C. Interest rate: 17.50 % D. Repayments: Equal monthly installments.

Dutch-Bangla Bank Ltd

Professional line

4.11.6 Marriage Line: Bank Name DutchBangla Bank Ltd Product Name Marriage Line Short Description Rank

HSBC

Wedding loan

A. Loan range: BDT 50,000/- TO BDT 1 1,000,000/B. Tenor: 1 to 5 years. C. Interest rate: 17.50 % D. Repayments: Equal monthly installments. A. Age: At least 23 years, 2 B. Professional Experience: - Salaried: Employed for at least two years by a wellreputed company, Self-employed: Business establishment for at least two years (with adequate proof). C. Minimum Monthly Income: - Salaried: BDT18,000, -Self Employed: BDT50, 000, Autopsy/CEPS: BDT15,000. D. Interest Rate: 19 %

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4.11.7 Travel line: Bank Name DutchBangla Bank Ltd Product Name Travel line Short Description Rank

HSBC

Travel loan

A. Loan range: BDT 50,000/- TO BDT 1 1,000,000/B.Tenor:1 to 5 years. C. Interest rate: 17.50 % .D. Repayments: Equal monthly installments. A. Age: At least 23 years, 2 B. Professional Experience: - Salaried: Employed for at least two years by a well-reputed company, Selfemployed: Business establishment for at least two years (with adequate proof). C. Minimum Monthly Income: - Salaried: BDT18,000, Self Employed: BDT50,000, - Autopsy/CEPS: BDT15,000, D. Interest Rate: 19%

4.12 Interest Rate Comparison:


The interest rate comparison is done to show the comparative position of the bank considering the similar products of other banks. Other than the home loan service, all other products have higher interest in HSBC than in DBBL. HSBC maintains a steady state 19% interest for its life line products. During the study, it was found that HSBC is successful in keeping higher mark up due to its brand value to the customers. On the other hand, DBBL is still promoting its life line products to the customers and thats why, it offers competitive price for the products. Since, the market is very much competitive and uncertain; DBBL has to compete by both quality and price. One of the reasons behind the lower interest rate is the brand value of DBBL. As the brand value is not as same as HSBC or other multinational banks, it has to compromise the price of the products. However, over the period, DBBL has established itself as the quality service provider. Having the highest number of ATM booths, it has become the most popular bank among the consumers. As a part of the expansion strategy, it is now offering lower interest rate for the products necessary in everyday life. The aim is to make the clients loyal to the bank. This will help the bank to create a sustainable brand value and thereby, have a strong customer base in the long run.

4.13 Risk Involved in the Loans:


The eligibility of the borrowers shows how much risk is involved in the loan products. The clean credit products are offered to the persons whose salary varies from 10000 (salaried person) to 30000 (businessman). In addition, the required age is just 22 years. This implies that there are risks involved in the process of disbursing loan without any collateral. Salaried

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persons are more secured than the businessmen. But the age requirement is too low for the business borrowers. A person of 22 years is presumed to have very limited management capability. So, there are risks of being failure in the business. This implies that the bank has to be very careful in terms of giving loans to the business persons without any collateral. On the other hand, the secured credit lines are offered to the employees who are not less than 23 years of age. This criterion is set at 25 years for the businessman seeking loans. This implies that there are lees risks involved as these businessmen are presumed to have better management capacity. So, chances are more to be successful in doing business with the loan money.

4.14 Industry Interest Rate versus Life Line Rate:


The current industry interest rate is around 16%-17% per year. However, some banks are charging more than that. HSBC is charging around 19% whereas DBBL is charging around 16.5%-17.5%. But, it is a matter of concern that the central bank has issued a guideline to keep the interest rate at 14% maximum for the term loans and working capital financing. This will create pressure for the commercial banks to lower down the interest rate. This will cut down the margin further for the banks. This also indicates that the market situation might change at any time. So, there is risk of losing profit margin if the central bank intervened in the market. There is another possible impact of lessening the interest rates. The middle class families will be more attracted to the life line products due to the low interest rate. This will lead to more sales and hence, more profit in future.

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Chapter-5
5.1 Findings:
1. As a private bank, Dutch Bangla Bank, Dutch Bangla Bank is trying its best to increase their service to the public. 2. DBBL has a bulk of qualified, experienced and dedicated human resources. 3. Employees are mostly courteous, co-operative, friendly in nature and eager to help despite the tremendous workload. 4. A good working environment is remaining in Branch office. 5. DBBL often has problem with ATM machine. 6. Customer often complains that the ATMs are out of order. 7. The work load is not sound distributed between the employees of same level in the branch. 8. Lack of initiative to develop and expand new product. 9. Lack of employees satisfaction in the branch can be seen. 10. Lack of advertisement and products by the Bank.
11. Personal relationship should be build up with the customers. They can send different gift item like calendar, diary, Eid cards / New Year cards.

12. The higher-Level management of the bank should invite more participation from their subordinates. 13. The product should be promoted in new and an innovative ways. 14. The bank should provide sufficient manpower to the respective branches 15. Te authority should take initiative to improve their expertise in the Investment Businesses to be more prompt. 16. The relationship between bankers and client should be improve. 17. As the worked load on the same level employees is not same so they should help each other. 18. DBBL should introduce motivated programs for its employees so that they can enhance their performance.

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5.2 Recommendation:
Though Dutch Bangla Bank has established its image as one of the best service provider for its potential customers; still they are yet not the market leaders. The bank has to overcome the shortcomings in the near future and offers new innovative products to retain its position as a leader amongst banks year after year. Some recommendations are given below based on the data analysis: 1. Management should think about increasing the number of employees in the branch. It was found that the employees cannot provide quality services during the pick hours as there are fewer employees than what is needed. Sometimes, customers have to wait more than the usual time required for a service. In addition, some employees go for professional training. At that time, the bank does not have any alternative way of compensating the position. To fill up the gap, interns are recruited which actually lowers the quality of the services. Interns should be used for assisting the mainstream employees. 2. ATM services should be improved. There are lots of complaints about the ATM service of DBBL. Every day, employees including the management have to face the wrath of the customers. A considerable time and money are wasted due to the bad service of the ATM booths. DBBL has branded the bank as the highest number of ATM booths holders. This actually motivates the clients to deposit money in DBBL as it provides the opportunity to withdraw the cash at any time. However, if the bad service continues, then the clients will be de-motivated to deposit money in DBBL. 3. The bank should develop culture of timeliness over the period. However, exceptional case should be considered. There are lots of services which DBBL cannot provide in specific time. There are situations when there is no scope of providing prompt service. Other than that, everyone of the bank must be prepared both mentally and physically for providing prompt service. 4. Management should emphasize on the employee satisfaction. Employee satisfaction is supremely important in an organization because it is what productivity depends on. If your employees are satisfied they would produce superior quality performance in optimal time and lead to growing profits. Satisfied employees are also more likely to be creative and innovative and come up with a breakthrough that allows a company to grow and change positively with time and changing market conditions. 5. Physical working environment should be improved. Neat and clean working environment should be the top priority issue. A healthy work environment provides people with opportunities to meet work and personal goals. It was found during the internship period that the branch lacks neat and cleanliness. Some of the customers also complained about the neatness of the fresh rooms. 6. The satisfaction of their customers needs is their prime focus and they want to achieve it by offering products and services. Dutch-Bangla Bank should analyze the need of the people in the locality in which the bank is operating. But for lack of cooperation customer dissatisfaction is increasing which may result of companys reputation loss, decrease in profit, cost increases, increase competitor.

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5.3 Conclusion:
Dutch-Bangla Bank Limited is one of the most potential Banks in the banking sector. It has a large portfolio with huge assets to meet up its liabilities and management of this bank is equipped with the export bankers and managers in all level of management. So it is not an easy job to find out the drawbacks of this branch. It has been observed that DBBL started its banking services with a view to minimize the customers needs by offering different products and services which are easy and affordable for all level of customers. To that extent, DBBL always emphasizes its customer services, product development, resource management, branch networking and the contribution to the economic development of the country. The bank also provides social services through DBBF as their social responsibility. The success of a bank depends on the quality of the services it offers. All the commercial banks, therefore, try to provide quality services with competitive interest rates. DBBL is not an exception. Life line package has been developed with the same purpose. Although, the comparative analysis shows that DBBL is in better position, but there are some obstacles it faces to sustain the position. However, the continuous improvement of the services will certainly place the bank in the best position in one decade

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5.4 Bibliography:
1. 2. 3. 4. 5. www.dbbl.com www.google.com www.hsbc.bd.com www.scribd.com www.wikipedia.com

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