DEDICATED

TO MY LOVING PARENTS, FAMILY

AND
RESPECTABLE TEACHERS

1
 PREFACE
The field of banking has always been a source of inspiration for me during
myentire academic career. To work in a bank, to acquaint with its workingmecha
nism was always a point of interest for me and God gave me a
goldenopportunity to complete my internship at UBL, one of the leading bank in
Pakistan and well known in world due to its appearance in the international
markets. I had a general idea about the banking, but once I practically started
theinternship in banking field I observed much about banking, I realized theimpo
rtance and significance of commercial banking for the development of economy.
To adjust myself in such a large commercial organization was not an easy task, but
by the grace of Almighty Allah aid my internship in a befitting manner and I
learned a lo about the overall banking arena. This expanded my vision about the
banking sector, which in turn enabled me to make an appraisal of the economic
situation of our country. This report is a thorough essence of my rigorous studies
which I undergone through in a period of two months in a commercial bank. I have
exclusively studied and observed the operations/ functioning of the bank and tried
my best to abreast myself with all the dimensions of the banks. The purpose of this
report is to evaluate the performance of UBL in diversified avenues and give
concrete recommendation for further improvement. Although the bank is
functioning satisfactory, but the path to ultimate success is still full of threats
and hurdles. It was a great experience to work there and contribute handsomely in
the process of appraising its pros and cons and feeling to be a significant part of
the bank. I am thankful to all those who helped me in one-way or the other and
guided main the preparation and compilation of this report in a presentable fashion

2
 ACKNOWLEDGEMENT

In completion of this work I am thankful to Almighty ALLAH, as I firmly believe,

without his gracious help; this accomplishment would not have been possible.
First and foremost, my deep appreciation, gratitude and indebtedness to my
supervisor MR. Khalid Mehmood, Lecturer, Department of Management
Sciences, Hazara University, for his continuous encouragement, moral support and
generosity in sharing his time and knowledge during my studies.

I wish to express my sincere gratitude to personnel of United Bank Limited Main

bazar khall branch Lower Dir, for their help and guidance during my Internship.
Thanks to the constraints of academic protocols, that those who were and are
always first in my mind are being mentioned last. They are my parents and my
loved ones. It is, I believe, their sincere prayers, which were a constant source of
strength and inspiration to me that resulted in the completion of this work. I
dedicate this work, blended in my boundless love and affection, to them.

3
 EXECUTIVE SUMMARY
Now a day’s strong and efficient capital and financial institutions are the basic
requirements of each county. So no country can be considered strong without
having strong enough capital and financial institutions and markets. One of the
components of these financial institutions are the banks. No one can deny the role
the banks are playing in the economic development of a country.
In Pakistan’s banking sector, UBL is one of the leading commercial banks. Very
renowned bankers such as I.I. Chundrigar and Agah Hassan Abidi established
UBL in 1959. From the very beginning, UBL was showing very good performance
but in 1974 after the nationalization of commercial banks, the bank has received
some very severe financial shocks. The shocks received in 1995 were so severe
that SBP had to assume the control of the bank in order to save it from bankruptcy.
But after taking over the management of the UBL by the new set-up under the
leadership of Zubyr Soomro, the bank was successful in rebuilding its shattered
image. The new management started new schemes and injected new concepts in
order to improve its services to the clients. Now the bank is in very good financial
position and also has gained its lost Goodwill.
My two months internship in United Bank Limited Main bazar khall branch Lower
Dir, gave me a very good deal of the practical experience about the bank, its
personnel and various services it offers to the clients. Although two months
duration for studying organization by no means is enough but I have tried my ever
best to cover all the areas of the bank in my report.
This report highlights the operations and functions of bank. Banks acts as financial
agents to their customer; in return they get reward for their services. Banks play
important role in development of society. A strong economy must have a good
banking system.
United Bank Limited is one of the leading banks in Pakistan. This report explains
how different functions of UBL works and what are their services. During the
critical analysis, it was observed that UBL is one of the leading commercial banks
of Pakistan. UBL has a greater responsibility for safety and prudence. since

4
commercial banks must make a living by putting the money at their disposal to
work, they are faced with the problem of making a living without jeopardizing the
safety of their institution and UBL is doing all this very efficiently

5
6
 CHAPTER # 1
INTRODUCTION TO THE REPORT
1.1. Introduction:
Students of BBA studying courses leading to Bachelor degree in Business
administration are required to undergo an internship programme of two months
duration. This is an essential academic requirement. The internship is followed by
comprehensive report writing, required to submit to Department of management
Sciences Hazara University Mansehra. This report is properly evaluated on the
basis of its description and analytical capabilities by internal and external
examiners. I did my internship in United Bank Limited Main bazar khall branch
Lower Dir.
1.2. Purpose of study:
The purpose of the study is to work in real life, by doing practical learning banking.
In this regard, its objectives are:
i. Analysis of banking business, that is, operational analysis, financial
analysis.
ii. To develop concrete and feasible recommendations.
iii. To Improve report writting skills.
1.3. Scope of study:
The study is limited to banking operations. It has been tried, together with all its
limitations, to collect financial data and general statistics of the bank. Taking into
account the purpose of the study, which is to make a knowledge of the practical
acts in the bank, this seems a comprehensive effort.
1.4. Limitation of study:
It is to admit that the study attempts only those aspects, which are closely relevant
to the purpose of the study. facts and figures, which otherwise
might be equally important, but not having a direct bearing on theconclusions
arrived at this study, have been ignored. The most important limitation from which
the study suffers is the non availability of information in a manner required for

7
analysis and the secrecy of the bank. Another important limitation of the study is
time and space constraint
1.5. Methodology of study:
Both primary and secondary information were employed in compilation of the
report.
i. Primary Data:
 Personal Observations.
 Discussion with Bank Personnel.
ii. Secondary Data:
 Brochures/ Manuals of the bank.
 Annual Report
 State Bank exchange Manual
 Bank billet reports on UBL offered in library.
 Journals, newspapers and books.
 Internet.

8
 CHAPTER # 2
INTRODUCTION TO UBL
2.1. Banking history:
Agreement on the beginning of word "Bank" isn't yet come to at. A few creators
sentiment is that this word is gotten from the words "Bancus" or "Banque", which
mean a seat and they additionally relate saving money business commencement to
Jews in Lombardy. Different specialists express that "Bank" is inferred frame the
German word "Back" which signifies "Joint Stock reserve" and later on because of
German control of Italy, this word was Italianated into "Bank. Creators cite
Babylonians (few quotes Chinese) who created keeping money framework as right
on time as 2000. B.C
2.2. Banking in Pakistan:
Banks began in Pakistan after the bold and emerging decision to formulate the SBP
on July 30, 1948. Since then, the growth of this sector has grown considerably. In
1974, the bank nationalization, hope in this way to achieve a new era of growth.
However, since 1991, this process is the opposite, so far, MCB, ABL and UBL
have been privatized, HBL is being privatized.
2.3. Towards Islamization of economy:
Interest-based trading/business is Islam's "Haram". GOP has been shown. Through
the development of various alternatives to eliminate their interest in the economy
"interest".
In order to achieve this goal, the following results were made:
2.4. Deposits:
 PLS (Modarba) Accounts
 Current Accounts.
2.5. Loans:
 Qarz-e-Hasana.

9
  Lending on the basis of Service charges.

2.6. Trade Related Modes of Finances:

 Bai Muajjuai; The bank purchases the goods and sells them to the customer
at the appropriate price.
 Bai-Salam; By the bank from the customer to buy goods, and at a higher
price to the customer resale, the future to pay.
 Funding for development property on the basis of development costs.
 Buy trade bills.
 Ijara:leasing.
 Installment.
2.7. Investment Type of Modes of Finances:
 Musharaka:Capitalization based on profit and loss.
 Modaraba: On the basis of the purchase of modaraba certificate, the
borrower benefits the loss of interest sharing.
 Rent sharing.
 Equity participation through the purchase of shares.
2.8. Birth of UBL:
On November 9, 1959, UBL was informed and included as a private calendar to
manage an account with approved capital of Rs. 20 million; capital issued and paid
of Rs. 10 million isolated in 1 million offers of Rs. 10 / each Currently, the body
and the president / chief, Mr. Amar Zafar Khan, who is an individual of this newly
framed organization, supervises UBL. The Executive, His Majesty Shaikh
Nahayan Mabarak Al Nahayan and the appointed Director, Sir Mohammed Anwar
Pervez, are the two main controllers of the bank's commitments. Another advance
is the provision of the executive operation, Nauman Hussain, by the recently
privatized bank. The bank's top management appears in the chart given towards the
end of the section.

10
 2.9. Number of branches:
UBL has a substantial branch, extending to the country's most remote areas. In
December 1983, there were 1,223 branches, compared with 1238 in 2004. In
October 2003, these figures showed a total of 1007 branches.
UBL has been very active in expanding overseas branches. The main external
branch was established in London in 1963. At present, UBL has branches in
Bahrain, Qatar, Saudi Arabia, Canada Middle East Easter United Arab Emirates,
Yemen Easter Republic, United Kingdom Switzerland, Egypt, Oman and assembly
countries. These branches are playing a noteworthy role in the transfer of family
settlements and remote exchange of Pakistan.
2.10. Functions of UBL:
UBL is a commercial bank, according to the arrangements in 1962 BCO, the
implementation of account management matters. Demonstration area 7 Approves
the participation of banks in the recommended type of business. According to this
area, the ability of UBLs can be sorted as follows:
 Agency administrations.
 General Utility Administrations.
 Underwriting of advances raised by the Administration or open bodies and
exchanging by enterprises and so forth.
 Provide specific administrative management to customers,
 Pilgrimage related administrative departments.

2.11. Role of UBL banking sector:

UBL's great development and progress has undoubtedly shown the most powerful
and dynamic. In a very short period of time, it was ultimately clear that one of the

11
major banks overwhelmed some of the other more experienced and rival banks.
The major commitments made by the bank are as follows:
 Record setting execution and sense of duty regarding serve the clients.
 Personalized administration and dynamic approach.
 Catalystof changes.
 Professional administration.
 Modern keeping money strategy.
 Human asset advancement.
 Small advances (or) miniaturized scale credits.
 Pacesetter in financial research set up in 1967, division for monetary
research.
 Utility charges accumulation.
 Credit cards (unicard-1970).
 Travelers Checks (Humarah-1971).
 Diaries and date-books – got prizes as well.
 Promotion of games.
2.12. Computerizationof UBL:
UBL in the important city (1966 - 1968) the introduction of computers has made
rapid development. Rawalpindi, Lahore, Karachi three computers are equipped
with a variety of modern large-scale computer. Each branch is equipped with a
microcomputer.
The use of computers to enable banks to save time and effort, improve efficiency,
and quickly provide customers with goods. Which also makes the bank in the
industry to maintain a leading position.

12
 1. UBL - On line System:
The subject of the management is "access anywhere, anywhere, any gadget", which
symbolizes comfort, persuasion and networking. UB-Online can be managed
through different media connections,
i. PC through web.
ii. Cell phone with WAP.
iii. Individual Computerized.
iv. Assistants.
v. Plain phone.
Here are some of the highlights of the passion:

 Records proclamation and electronic information trade.

 Graphicalinvestigation.
 Cautions benefit/office, seek office and action long
 Banks as another PC-based framework, known as "UBANK", is a well-
created online branch-managed account bundle. The framework therefore
provides customers with different reports, the National Bank returns and
records.

2. Money Gram facility:

Banks have recently adopted a money service system that could affect remittances
in minutes. Similarly, a system for local currency transactions is called a one-way
remote.
3. Hajj service:
Following its tradition, in August 1982, electronic equipment was provided at its
pilgrimage booths, and modern computers were installed and improved in the
existing designated branch offices (Hajis). The facility shortened the service time
to less than 6 minutes per Haji, while Haji earlier every half hour to 45 minutes.

13
 2.13. Management of UBL:
Senior Management of UBL:

SheikhNahyanMabarak
Nahayan chairman

Sir MohammadAnwar
Pervez DeputyChairman

AmarZa far Khan

President

M.A Manna
Deputy CEO
RishaMoheyuddin
NaumanHussain GlobalTreasurer
DirectorOperations
KhalidMunawar-ud-din
MansoorM. Khan Head Credit Policy
HeadCorporate Banking
Muhammad Ejazuddin
ShaharyarAhmed AuditChief
Head InvestmentBanking
Mehboob A.Khan
Shahid WaqarMehmood
Head Commercial bank
RukhasanaAsghar
Aman AzizSiddique GlobalHead Human

Ali sameer AmeerKarachiwala

ChiefSAM Chief financialOffice/HCA

14
2.14. Functionhierarchy:
Chairman

DeputyChairman

BoardofDirectors

ExecutiveCommittee

ManagingDirector

SEVP

EVP

VP

Officer Grade-I

NonC lerical ClericalStaff Officer Officer

Staff Grade-II Grade-III

15
 2.15. Cash, Remittances, credit & clearing departments:
2.16. Deposit department:
According to the definition of "banking" in BCO 5 (b), one of the main functions
of the bank is to accept deposits. Deposits are the pillars of any bank; the other
functions of the bank depend to a large extent on the type and size of the deposit.
Function perfumed by cash and deposit department in UBL.
UBL accepts deposits under the following three accounts.
i. Currentaccount.
ii. PLSSaving.
iii. TermsDeposits.
2.17. Opening of Account:
To open an account in UBL, the customer must fill in the bank account in front of
the account. He must be in front of the officer to log all the necessary places.
2.18. Types ofAccount:
1. IndividualAccount:
In this account, a single customer operates the account. The banker will run the
account as required, but if the customer provides special instructions, the bank will
have to comply with the regulations.
2. Jointaccount:
In this type of account, two or more people will open an account. The account will
be operated by an account holder so that (any one survives). If not instructed, all
account holders need to sign the check.

16
 2.19. Nature of accounts in UBL
1. Current Account:
These are not-for-profit demand accounts. Accounts can open the lowest Rupee
1,000 / -. These accounts are usually used for commercial purposes. Because of the
huge competition, UBL has introduced daily earnings accounts to corporate
customers (Uniceba). The lowest balance is rupees. 100,000 / -. If you do not meet
the minimum balance requirement, the bank reserves the right to collect the
scheduled fee.
2. PLS Saving Account:
These accounts are designed to promote people's savings. These accounts can be
opened in part of Pakistan 's rupees and some of the world' s major currencies.
Banks offer 4% to 6% performance on these accounts. The basic feature is the
distribution of profits and losses by the banking system which is not based on
interest. These accounts can be opened under the name of. It is an individual
name, a joint name, a trust account, a charity organization, etc.

Unlike cash accounts, Zakat applies to local currency savings accounts. Child
accounts can be opened under the condition that their guardians operate these
accounts.

3. TermDeposits:
Time deposits are also known as fixed deposits. These can be drawn after the
specified time period. All fixed or term deposits are paid to depositors. The rate of
return varies depending on the duration of the bank deposit amount.
There are two types of time deposits.
a. Special Term Deposit Receipt (STDR’S):
Issued special time deposit receipts, ranging from one month to five years, with
attractive returns. There is no limit to the denomination.
b. Notice Term Deposit Receipt (NTDR’s NTDR’s):
These are special deposits with special functions, which can be withdrawn at any
time, but before giving a prior notice and prior notice.

17
 2.20. Remittances department:
Current business trends need to move quickly from one geographic graphic to
another geographic location The latest technology and telecom data transmission
makes it possible to carry out such transactions in a matter of minutes. UBL
remittance department performs the following functions.
2.21. Demand draft (DD):
D.D is a negotiable instrument issued by a bank branch allocated by another branch
of the same bank.
Procedureof D.D.:

Buyer is made a request to fill in an application frame properly scorched by

candidate. Three things ought to be kept up in the frame.
 Name ofPayee.
 Placeof instalments.
 Amountof D.D.
The committee is billed as a bank salary to D. D. Applicants should deposit the
amount stated on the application form with the teller. In response to having saved
money, the settlement money is D. D. It takes two officials who need the attorney's
power to look out.
Likewise, the bank will provide this office to the entire population without the UBL
account.
They need to present an N.I.C duplicate along with the application form of D. D.
2.22. Telegraphictransfer (T.T):
Please transfer funds to another branch of the same bank with the test number.
When the test number agrees with the bank paid to the parties.
Procedurefor T.T:
The procedure of T. T is the same as that of D. D. However, in D. D it was written
by printing paper and two officers, but in T.T only the test number was given to
the customer.

18
 2.23. Mail Transfer (MT):
If you do not need to pay immediately, MT can also send money. Here, the bank's
sales staff by mail to the payment bank to send instructions to pay the amount of
instructions. Transfer payments are made by debiting the buyer's account at the
sending office and crediting the recipient's account in the payment bank. UBL does
not charge the applicant for the consumption tax.
2.24. Pay Orders:
The payment form is a bank check that supports the named beneficiary. Issuing
bank timely payment. The application of the PO and the customer's account
balance to check or receive the amount of PO and other costs of cash. If required
and signed by two authorized officers, the checklist is typed and crossed. After
that, it is delivered to the customer. PO may cancel the written request from the
original purchaser and surrender the instrument, followed by marking it with other
documents and previous entries.
2.25. RupeesTraveler Cheques:
UBL in November 1996 launched the "Hamra" (R.T.C.Brand), issued to different
consumption tax and commission of different denominations of the applicant.
When the issue HO account is credited and honored, the same account is deducted.
RTC's lost case has notified HO that the customer repaid or issued a new RTC to
him.
2.26. UniRemote:
This is a new tool for transferring funds. This is a step for UBL to take online
banking. This tool electronically transfers from one branch of the UBL to another
branch. The customer has to fill in the deposit slip. In the invoice, the name and
account number designated by the sender are written, and the branch name is also
written. The amount is deposited in the teller, and the receipt is displayed as
remittance. I.D copy also comes with a slide. If you use equipment (computer)

19
through online service, remittance will be transferred. Transfer of funds must be
supervised by another authorized officer. Every time this is 5 minutes.
2.27. Creditdepartment of UBL:

1. General:
The increase in credit is the main capacity of a bank, through which the pace of
action accelerates in the different divisions of the economy. In addition, the
markers that mostly reflect the high caliber of the bank's management are its
judicious financing options, the legitimate control of the recovery and encourage
recovery. In this way, the credit approach of a bank assumes an imperative part,
since it gives the general system, duties, specialists and stimulates the basic
leadership. The execution of the credit division is subject to a characterized
strategy that uses a loan control practiced by the SBP. The SBP influences credit
options through bank rate weapons, open market operations, variable wait
prerequisites, particular credit confinements and prudential addresses.
2. UBL Credit Policy:
The credit business is carried out in accordance with the bank credit policy. The
policy strictly prohibits violations of the SBP / local central bank's regulations and
suggests that self-financing, cash flow support and good mortgage transaction
financing are equivalent to the principles of loans (safety, liquidity, dispersion,
remuneration and applicability).
Purpose:

In this regard, the party mentioned the purpose, they want to apply for finance. Not
for the purpose of the loan.
3. Business:
The parties must have certain business, ie general goods, construction industry.
The second question is that cash flows occur based on how much traffic the parties
have generated from the current business.

20
 4. Security:
Banks secure themselves against loans. There are two kinds of security.

 Commercial.
 Private.

Banks are inclined to business security. Relationship supervisor (RM) is

essentially managing the relationship between banks and gathering. He behaves
like an extension between the two.

In the main case the gathering would set up the accompanying property reports.

The meeting is called to contact any evaluator in the UBL directory. ICM & L and
Tajak Manufacturer are in the UBL directory. The appraiser will visit the site and
establish the market's estimate and the FSV of said property. He plans a report of
no less than three pages. This report sent a page of legitimate sentiment to any
layer on the UBL board. Having a clear legal assumption RM begins to prepare
for the credit endorsement (CA). The reports are burned by the RM and AM and
then sent to UBL RHQ in Peshawar. Here SRM inspects the CA in the event that
it discovers a special case that will send it back to the individual Rm.

RM corrects the usual meaning and sends it back to SRM. SRM examined and
passed it to the loan officer. You have three hours to consider the CA and, if you
discover it, pass it to another credit officer. After its examination, the CA passes
to the credit opportunity administrator. He reviews the CA and, after marking it,
sends it to a computer-aided design. He advances the CA to SCO. Whose office is
in UBL RUCO in Lahore, after its mark, C.A is sent back to RCAD.

RCAD makes a check less disaggregated and requested that the RM contact the
meeting to finalize said files.

 AKSShajarah.
 NaqshaTasveeri.

21
  ApprovedBuilding Design.
 Treshfard.
 IntaqalNaqal.
 Letter of coherence.
 Individual Assurance.
 Letter of hypothecation of stock.
 D.P Note.
 Mortgage Deed.
 NIC of executants and witness.
 Stockreport.
 Insurancestrategy.
 Gatheringprofile.

When it thinks that it is correct, it sends a charge record RM to RCAD and issues
a DAC. A duplicate of the DAC is sent to the RM, the NICF account is opened,
and the fee exchange starts.

2.28. Clearing of bills:

2.29. General:
The bank can pay only the payment for opening a check. Payment for crossed
checks cannot be made by payment banker. The functions of the liquidation sector
are divided into two categories.

22
  Inter Branch Transaction
 Inter Bank Transaction
2.30. Procedure of Clearance of Cross (Cheques):
At any point that the bank obtains a check from another customer's bank, it can not
make installment payments at the counter. The main funder of the occupation must
realize is to put a unique intersection on the substance of the check. By
extraordinary intersection, verification is assured. In case it is stolen, the paying
financier will not be held in the light of non-subscription. On the back of the check,
the stamp is made of the beneficiary's registration will be credited on the
acknowledgment of receipt. It is marked by approved individual. Along with the
cross control, the customer must complete the receipt of the store. The half slip
piece is offered to the customer. After the exceptional intersection and the
fundamental subscription, the broker composes the sum along with the paper check
number and connects with each receipt. Of course, in the role of the smile, the
measure of the considerable amount of checks along with the names of the banks
is added and appended to verify that it is shown for compensation, and the
exhortation is further linked with the check shown for delete. The attached section
is transmitted when sending the check for compensation.
2.31. I B C:
When UBL receives checks for its branch customers, that is, "intersegment
transactions" first, they verify the amount of the account in which the check is
drawn. The required amount is available in the account, and will be signed along
with the signature and your SS card. If all the requests are completed, the bank will
send IBCA to the bank that sent the checque.

23
 2.32. L B C:
LBC means the check on the local branch that we received for collection. UBL
received checks taken from that branch, and from other UBL branches in the
country, from any other bank. They send checks to the reply bank and send
checks at NBP. They send the LBC to the bank from where they received the
check. The next entry is passed after sending the LBCA.

2.33. OBC:
When a bank receives a check from any other branch of its client or any other other
city's other bank. They will send a check to the city's UBL main branch, after
receiving the OBCA, the bank will pass the following entry. If his own client.

24
 CHAPTER # 3
FINANCIAL ANALYSIS:
3.1. Introduction:
The efforts in this section have been made to cover all relevant aspects of UBL's
financial performance. The overtime comparisons and the common size analysis
are carried out in order to draw a concrete conclusion to describe the bank's
financial situation and performance.
3.2. Financial ratio analysis:
Financial statements Users believe it is useful to calculate the index when
interpreting the company's financial statements. The financial relationship is just
an amount divided by another number. The relationship focuses on two special
relationships between the balance sheet, the income statement or each element.
The relationship makes it easier to understand the specific relationships between
the various financial statements and then simply look at the original numbers
themselves. The number of financial ratios that can be created is really infinite, but
there are some basic reasons that are often used, and these proportions can be
divided into six different categories.
 Liquidity Ratio
 Asset Turnover Ratio
 Leverage Ratios
 Coverage Ratios
 Profitability Ratios
 Market Value Ratios

25
26
27
 2017 2016 FORMULA

Current Ratio 5.36 5.25 Current Assets / Current Liabilities

Asset Turnover 0.16 0.17 Mark-up Revenue / Net Assets

Debt to Asset 0.91 0.90 Total Debt / Total Assets

Debt to Equity 13.87 11.64 Total Equity / Total Debt

Coverage Ratio 1.29 1.55 EBIT/ Interest Expense

Gross Profit Margin 55.44% 60.31%Gross Profit / Revenue * 100

Net Profit Margin 23.21% 26% Net Profit / Revenue * 100

Return On Investment 3.90% 4.60%Net Profit/Total Assets * 100

Return On Equity 48% 57% Net Profit/Total Equity*100

Advances to Deposit 46.74% 45% Advances/Deposits*100

Investment to Deposit 41.63% 28% Investment/Deposits*100

Cash Ratio 4.87 4.71 Cash/Current Liabilities*100

28
 3.3. Current ratio:
UBL’s current ratio is increasing over the time. Higher the current ratio higher the
ability to meet the short-term obligations as they come due. The UBL’s current
ratio is increased by 0.11 rupees as compared to 2016. this in turn decreases the
risk of insolvency. The change is occurring due to increase in short term
investment and decrease in short term borrowings.
3.4. Assets turnover:
This shows revenue generated per rupee investment in total assets. UBL’s assets
turnover ratio has shown a little decrease. This is because of increase in total assets
with proportionate increase in revenue. Banks have relatively low ATR capital, as
they are selective in advancing loans and generating smaller sales.
3.5. Debt to asset ratio:
The analysis of total debt to assets ratio, there has been increase as compared to
2017 is 0.91 and 0.90 in 2016.
3.6. Debt to equity:
This ratio measures how the company is leveraging its debt against the capital
employed by its shareholders. Analysis of debt to equity ratio indicates that the
current position for the debt to equity is that for every one rupee in equity provided
by the shareholders of the bank has Rs. 13.87 as a debt. This shows that the bank
is heavily relying on debt financing.

3.7. Coverage ratio:

This ratio shows the number of times a company can cover or meet its financial
charges or obligations. One of the most commonly used ratio is the interest
coverage ratio that measures the number of times the income is available to pay
interest charges. The UBL interest coverage ratio has shown no improvement in
last 2 years. The ratio is decreased from 1.55 to 1.29.

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 3.8. Gross profit margin:
Gross profit margin is the difference between the revenue and cost of goods sold.
Gross profit is critical because it represents the amount of money remaining to pay
operating expenses financing cost and taxes. UBL’s gross profit margin per rupee
has shown declining trend in last two years. There is an decrease of 4.87% in 2017
as compared to 2016. this shows efficiency of the bank to control the cost of sales/
interest earned.
3.9. Net profit margin:
This ratio shows the profit that is available from each rupee of the sale/revenue.
After all expanses have been paid. Net profit margin is also showing decreasing
trend. UBL has not improved net profit margin in the current years. The net profit
margin has reached to 23.21% in 2017 as compared to 2016 in which it was 26%.
While it was in negative figure.
3.10. Return on investments:
This ratio measures the profitability per rupee of investment in assets. In 2017 the
ratio is 3.90% while in 2016 it was 4.90% it was in –ive figures. Although the
assets have increased but the operational recovery of the bank is main cause of
increasing this ratio.
3.11. Return on equity:
The ratio of profits as a percentage of the ordinary shareholders' book value. The
return on equity also shows a lot of negative changes. The proportion was 48% in
2017, compared with 57%.
3.12. Advances to deposit ratio:
This relationship shows the progress of the companies employed per unit of
deposit. This relationship of UBL in the last three years shows a upward trend. In
2016 was 45% and in 2017 it is 46.74%.

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 3.13. Invest to deposit:
This relationship shows the investment of employment companies per deposit unit.
This percentage increased in 2015 compared to 2016. This is due to industrial
development factors in the country where loans increase and investment decreases
slightly.
3.14. Cash ratio:
The ratio of cash and cash equivalents of current liabilities. Indicates the amount of
cash to correspond to the current liability. In 2017, this ratio 4.87 increased from
4.71.

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 CHAPTER 4
SWOT ANALYSIS
SWOT is a useful tool to provide a framework for the analysis of an organization.
SWOT stands for Strengths, Weaknesses, Opportunities and Threats. It is a
common approach to make assessments in terms of internal and external
environment of the organization, and to formulate strategies that analyze their
internal strengths and weaknesses, external opportunities and threats, is the SWOT
analysis for the UBL.

4.1. Strengths:
 It is one of the largest private banks with a rupee deposit base. 849380/-
Millions of people have continued to grow since 2014.
 Has a well-knit and fully equipped branch network system that can
effectively cover both domestic and international markets.

 It involves business and retail banking.

 Banks are actively emerging and engaged in international trade and foreign
exchange transactions. Foreign trade volume increased by 17% over the
previous year.

 Bank investment continues to grow. This year the growth rate of 32%.
 By taking into account its revenue patterns and regulations / write-offs, the
overall efficiency and management capacity of the banking business can be
noted.
 Banks are recruited and trained by highly specialized operators from foreign
banks such as Citibank.
 Banks have a benefit of 25.50% of the financial reputation and credit rating
of SBP, Best Way Group and Abu Dubai Group, which have 48.69%
interest. The other is GOP, NBP Trustee Department, the National Life
Insurance Company.

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 UBL actively participates in the international market and has recently
launched a credit card in the UAE, Behrain and Qatar, supported by the 24-
hour call center of the UAE.
 Net income increased 18% in current year.
 Provision is reduced by 14%.
 Total revenue growth of 16%.
4.2. Weaknesses:
 The main reason for the loss of bank due to political, economic, legal and
other risks is the accumulation of a large number of irreversible loans and
debts that adversely affect the UBL image.
 Cumulative losses allow banks to reduce their promotional activities to
reduce spending over the past few years.
 During the period of nationalization, the life of the banking political entity
has an impact on the banking business, and the selection of employees at
all levels has a negative impact on the efficiency and effectiveness of the
bank.
 Administrative costs are 51% of operating income. Promotional activities
are conducted once a year, ignoring the importance of capacity and
performance.
 Banks have a large number of simple graduates who do not have banking
knowledge.
 Recruitment ineffective system.
 Long-term credit processing and documentation procedures.
 Poor working conditions

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4.3. Opportunities:
 The growing policy of the business and economic sector community
provides UBL with an opportunity to effectively meet the needs of business
people for instant cash facilities, such as the government's intention to
develop housing and agriculture.
 The efficiency of the stock market and the stable exchange reserve level
provides a good opportunity for effective investment decisions.
 Foreign exchange remittance is another area, and now the control system
for transferring money through illegal channels around the world is good
for the banking industry.
 Reconstruction of Afghanistan is a golden opportunity for banks to
participate effectively.
 Expand the IT platform and the Internet banking system.
 The business benefits of leasing facilities provide banks with a healthy
opportunity.
 A large number of unemployed MBA can be hired to achieve the
professionalism of their organizational culture.
 Outsourcing promotion company or use high quality promotional facilities
 Enter a new market segment.
 Increased product range to meet a wider range of customer needs.
4.4. Threats:
 Increased competition due to the increase in the number of private banks at
home and abroad, which provide highly specialized and attractive services.
 Global scientific and technological progress is changing, adapting to
modern banking management style.
 Some major threats to unemployment, income levels and price levels such
as the problems of the motherland and the low degree of industrialization,
geopolitical unfavourable conditions, religious factors and political
instability lead to lack of consistency in policies.

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  Extensive promotion activities for competitors.
This swot analysis reflects the current situation of the bank, some efforts are being
made, and yet others are still being sought to improve the situation. Management
can formulate a strategic plan designed to take advantage of available
opportunities, banks maintain professional management capital, comply with
sound and sophisticated banking regulations and regulations, We need to be able
to gain trust and public confidence again.

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 CHAPTER # 5
RECOMMENDATIONS AND CONCLUSION
Suggestions are believed to be the most important piece of an entry level position
report, without which no report is considered complete and meaningful. This part
of the report depends on the past areas, that is, survey and examination. In addition,
to present proposals, talks were held with the staff of the UBL officers, who gave
the premise suggestions and pointed out some territories, where the change for
improvement is extremely essential. By understanding the importance of this area,
efforts have been made to provide practical suggestions, which are organized under
the titles that accompany them.
5.1. Human resource department:
Any organization can not deny the importance of the workforce. Banks are the most
valuable asset, because banks are very sensitive to the organization, they are in
harmony with this sensitivity, so the demand for human resources is very serious.
A critical analysis of the needs of UBL, recommendations to improve the efficiency
and effectiveness of banks.
5.2. Development of ManagerialLeadership:
In a service industry such as a bank, the need for management skills is more
important. It makes a positive contribution to higher effective results. Without the
development of managerial leadership, the effective use of human resources is
impossible. UBL should also focus on this area, it should be through the use of
modern style management to avoid the lack of management leadership.

5.3. Political interference:

Need to stop the political intervention of the bank, so that the highest level and the
other important aspects of the staff at the same level. It is for political reasons that
the evolving work is unimpeded. This will allow management to develop long-term
strategies and their proper implementation because long-term policies that
accurately calculate risk have proven to be a key player in the organization's
sustainable development.

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 5.4. Basis for Promotion:
A considerable part of UBL officials, without going through visits and visits to the
tables. The promotion policy must be too closed and transparent, and no one can
have the opportunity to be promoted on the basis of the qualifications, experience
and performance required. As for the current staff excess, does not meet the
requirements of standard personnel, can provide the global unified system.
5.5. Management Changes on Merit:
In UBL, although different fresh recruiting numbers are different, banks are faced
with staff saturation, but now the cuts will be more helpful. This streamlining work
will leave the bank and the staff, on the basis of a minimum absolute power, zero
tolerance and incompetence. Now, in this remaining labor force, the high-level
management to the front line of cultural change, more suitable for today's banking
environment needs can be included through appropriate discipline and training.
5.6. Needs of change in Recruitment Policy:
It is important to say that the external market is full of BBA, BBS and other
necessary personnel. But in the country, only a simple subject graduate, is still the
necessary qualifications of cadres, which has been in the destruction of UBL
already have a lot of work. Therefore, it is necessary to strengthen the recruitment
of official structure qualifications, a simple graduate, in their respective areas of
priority access to professional qualifications.
5.7. Refresher Courses:
Bankers should conduct meaningful review courses, seminars and workshops to
raise the knowledge of their staff. Due to the intense competition and the serious
development of technology, the banking business is changing rapidly, so the human
resources development department should arrange staff training to deal with new
changes that may become a threat to the interests of banks.

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 5.8. Computer Trainings:
The existing traditional and orthodox training programs need to be strengthened
more comprehensively by including computer training courses.
5.9. Training for Credit Management:
Special training on credit management should be provided to financial traders.
Financing is the main income of fountain banks. It is necessary to improve the
smooth flow of open spring water.
5.10. Training with Clear Objectives:
Training needs assessment is necessary, only relevant personnel to get training
courses.
5.11. Change in Appraisal System:
The current performance appraisal system is good. But it needs to be real. Obvious
shortcomings are nepotism and favouritism, etc., need to be deep-rooted, the
ultimate elite culture in the assessment needs are fully reflected.
5.12. Introduction of New Courses:
The human resources department of the bank should focus on the corporate image
of the bank through floating programs (marketing excellence, corporate culture
course, etc.). It is usually completed with companies, wholesalers, retailers, and
other brokers through the establishment of business bases. It functions as a design
that maximizes profit. In my opinion, the above two programs, by marketing an
outstanding corporate culture and adding the best counter service and outdoor
informal relationship to customers, line managers spend money on various
advertising media I will save.
5.13. Cheaper means for Postings etc.
The culture, promotion, transfer, release and other interests that are associated with
elements other than UBL need to be fundamentally eliminated.

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 5.14. Customers Orientation:
If each entrepreneur is concerned about his business success, he must understand,
seriously, seriously and properly, that his client is the business system of the "king"
and the operating income of the original spring. UBL should treat its customers as
the mainstream of bank revenue. They need to be respected, quality and time of
service, and get polite to deal with.
5.15. Career Development:
In terms of personnel policy, UBL's human resources development department
should develop a plan to show employees future job performance and assessment
potential, and to understand the staff. In this regard, employees should have the
opportunity to showcase their performance, which helps their career development.
5.16. Conclusion:
Each association has its own qualities, shortcomings and open doors for changes.
Nothing is unimaginable in this world. Conceivable can wind up plainly
inconceivable if untried. To guarantee attainability of a task, any proposal or
suggestion given for it ought to be bolstered by its execution design. An execution
design comprises of activity situated devices and methodology, which are
particular and clear. A usage design implies that everything aside from assets and
making of move to begin work is prepared which demonstrates that execution
design is the spirit of an undertaking. A decent execution design comprises of the
considerable number of steps required for the achievement of an errand or
assignments, it is clear and aides in recognizing the issues to be looked in
conveying common sense work and gives a full picture of exercises and occasions.

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