...The recently published study paper by State Bank of Pakistan (SBP); “Price and income Elasticity of Imports” gives some intriguing insight into the country’s Balance of Payment (BoP) accounts and its relation to growth. The relevance of the study cannot be ignored in the current economic context when country is experiencing large current account deficits monthly. The study highlights that many developing countries rely extensively on running external deficits in order to spur medium to long term growth. Import price elasticity The report points out that these large deficits can sometimes have a hard landing in the shape of BoP crisis, which can make a country, go bankrupt. Thus BoP has become an increasingly important indicator over the period as a measure of judging a country’s long term growth prospects. In Pakistan, major components driving the BoP deficit are its rising imports relative to exports. Hence the moot point of the study is what drives the demand for imports in Pakistan and as to what income level affects the demand for import. Depreciating your way out of trade deficits… So, what interests us is the policy implication suggested in the study conducted. The study lays out its recommendations on the findings of Heien (1968). It states that if the import price elasticity relative to income falls between -0.5 and-0.1, then exchange rate and import tariff polices can be equipped to tackle the problem of widening trade deficits. In Pakistan’s case, this price...
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...Awareness of Electronic Banking in Pakistan 1 AWARENESS OF ELECTRONIC BANKING IN PAKISTAN Awareness of Electronic Banking in Pakistan Nouman Anwar Dar MCB Bank Limited Proceedings of 2nd International Conference on Business Management (ISBN: 978-969-9368-06-6) Awareness of Electronic Banking in Pakistan 2 Abstract Electronic Banking is an essential sector of banking industry. E-banking services are gaining the attention of conventional banking’s customers rapidly. It has brought the revolutionary changes in the Pakistan banking industry in terms of customer and business perspectives. Electronic banking has got popularity in the developed as well as developing countries because it saves people time, reduces costs and people have access to all banking services on the click of a button. More often, the new innovated system allows the customers to touch their accounts at home using a mobile device or electronic terminals. This research paper focuses on growth and awareness of electronic banking in Pakistan. Electronic banking is today’s need as it provides easy way to monitor an account. Most of the commercial banks in the country switched to the convenience ways in accessing the accounts of the customers and giving them the freedom for the easy access. “The volume of e-banking transactions reached 125.9 million while the value of these transactions aggregated to Rs 12 trillion showing an increase of 15.5 percent and 19.0 percent respectively as compared to the...
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...Banking sector plays a vital role in the economic growth. Sound financial well-being of a bank is the assurance not only to its investors, but is equally important for the owners, personnel and the whole economy as well. As a result efforts have been made from time to time, to gauge the financial position of every bank and oversee it proficiently and viably. In this paper, an effort has been made to assess the financial performance of the ten commercial banks working in Pakistan and the data has been taken for seven years i.e. 2007-2013. Moreover, data were also assembled from articles, papers, the World Wide Web (Internet), Specialized International Journals, and relevant previous studies. In the present study an endeavor was made to evaluate the performance & financial accuracy of commercial banks using CAMEL approach. CAMEL is the supervisory and administrative framework implemented by State Bank of Pakistan. It consists of five...
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...Developments of Islamic Banking in Pakistan & Malaysia: An Analytical Review Abstract This study compares Islamic banking operations currently practiced in Pakistan and Malaysia. Both countries started Islamic banking in early 1980’s but employed entirely different approaches. Pakistan attempted to convert the entire financial system in accordance with Islamic law at once at national level. Malaysia adopted the gradual application approach. It allowed Islamic and conventional banking systems to operate and to compete for deposits on parallel basis. This study examines the Pakistani and Malaysian approaches towards the implementation of Islamic banking in their respective countries. It recognizes lack of commitment and long term planning problems in case of Pakistan. Introduction Islamic banking system has emerged as a competitive and a viable substitute for the conventional banking system during the last three decades. It is especially true for Muslim world where presently Islamic banking strides at two separate fronts. At one side, efforts are also underway to covert the entire financial systems in accordance to Islamic laws (Shariah). At the other side, separate Islamic banks are allowed to operate in parallel to conventional interest based banks. Pakistan and Malaysia are the two good examples of above mentioned approaches. Both countries adopted different tracks for the same ultimate destination of developing full fledge viable Islamic financial...
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...People Perception of Islamic Banking Muhammad Sohail Bhatti Student MS Islamic Banking & Finance University of Management & Technology Abstract: This research was conducted to gauge the perception of general public about Islamic Banking in Pakistan. Questionnaires were distributed to customers of Islamic Banking and conventional banking. The results revealed that most of the people do not have adequate knowledge of the concepts of Islamic Banking. Some of the participants did not even know that “Riba” is forbidden in Islam. Less awareness about the Islamic banking concepts can be the main cause of negative perception among general public. This study also revealed that many people think that Islamic banks have not played their proper role in creating the awareness and knowledge about the concepts and working of Islamic banking. The study might help the Islamic Banks to reconsider their marketing strategies so that the negative perceptions of the general public may be changed to a positive one. Key Words: Islamic Banking, Perception Introduction: Islamic Banking is relatively new concept as compared to conventional banking. The history of conventional banking dates back to about two hundred years. Whereas Islamic banking is only in its infancy stage and started only about 17 years ago. People are so used to the conventional side of the banking that it is a little hard for them to understand the Islamic Banking concepts and the working and services offered by them...
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...Islamic Banking in Pakistan. Submitted By: Saad Alam 2151407 Submitted To: Sir Qayyum Qureshi | | | | | Type | Public Limited | Traded as | KSE: MEBL | Industry | Islamic Banking, Commercial Banking | Founded | 1997 | Headquarters | Karachi, Pakistan | Products | Murabaha, Ijarah, Diminishing Musharakah, VISA Debit Card, Saving Accounts, Consumer Banking etc. | Number of employees | 7,000 - 2014 | Slogan | The Premier Islamic Bank | Website | www.meezanbank.com | | PROFILE:Meezan Bank (Urdu میزان بینک) is the first and largest Islamic commercial Bank of Pakistan. The Bank is headquartered in Meezan House - Karachi, Pakistan. It has a network of over 490 branches in more than 100 cities of Pakistan. It commenced operations in 2002 when State Bank of Pakistan issued first-ever license for Islamic commercial banking. The Bank has a market share of 35% in Islamic banking industry of the country.JCR-VIS Credit Rating Company Limited, an affiliate of Japan Credit Rating Agency, has rated the Bank’s short term rating at A1+ (A-One Plus), the highest standard in short term rating, and the long-term entity rating at AA (Double A) with “Stable” outlook, making it the only Islamic bank with AA credit rating in the Islamic banking industry of Pakistan. | | HISTORY:The founder of Pakistan, Quaid-e-Azam Mohammed Ali Jinnah while delivering speech at the opening ceremony of State Bank of Pakistan on July...
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...E- Banking System in Pakistan ` E- Banking System in Pakistan Written by, Muhammad Rahimuddin rud777@hotmail.com 691205 0694 Syed Asif Abbas Bukhari asifbukhari82@hotmail.com 720512-1234 Supervised by Eva. Wittbom School of Management Blekinge Institute of Technology Ronneby, Sweden Thesis for the Master‟s degree in Business Administration, Spring-2010 Blekinge Institute of Technology, Ronneby, SWEDEN Thesis for the Master‟s degree in Business Administration Spring, 2010 I E- Banking System in Pakistan ABSTRACT Our this research work is based on the E-banking technology in which customers can access more accurate, quicker and rapid banking services from the computerized banking system. This system has also been adopted by the international banks as well as by the local banks in Pakistan to give efficient services to their elite customers. The purpose of our research work is carried out to unlock the significance that Pakistani banks are connected with this type of e-banking technology that is being implemented by the banks for providing the electronic services to the customers and in what extent this technology is relevant to customers. This research work will also help to determine whether the ebanking services are more efficient, accurate and rapid banking services. Thesis for the Master‟s degree in Business Administration, Spring-2010 Blekinge Institute of Technology, Ronneby, SWEDEN II E- Banking System in Pakistan SUMMARY ...
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...objectives are set and the means of obtaining those objectives and monitoring performance. Corporate governance may be the ways of bringing the interests of investors and managers into line and ensuring that firms are run for the benefit of investors. Given the state of the economy of Pakistan in 2010, troubled as it is; ideally it would be more desirable to look at the governance issues at macro level for Pakistan. As a famous economist, Dr Shahid Javaid Burki- a long observer of Pakistan’s economy has recently stated “Pakistan can generate a greater bounce in its economy than India by creating better governance. It has occurred before in the country’s difficult economic history and could happen again.” (Improved Governance: Dawn, 12th, October 2010). However, as a starting point , in this paper we look at closely the governanceissues for the banking, a sector which has played a significant role till recent years in economic activity of Pakistan. Rehman et al (2010) have looked at the issue of corporate governance in Chemical and Pharmaceutical sectors of Pakistan and found that there is a significant impact of corporate governance on the shareholder’s returns in pharmaceutical sector of Pakistan. Corporate governance has become...
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...contributing to this project, was vital for the success of the project. We are grateful for their constant support and help. ABSTRACT: This research is conducted just to explore that what are the issues and challenges as also what opportunities are there for the Islamic banks in Pakistan. As Pakistan is a Muslim country and the main population is of Muslims, there is a great importance of Islamic banking in this country and people are getting aware of this financial system. But the main challenge here that is faced by the Islamic banking is that Pakistan govt. is supporting conventional banking more. For this research interviews were taken from the employees and the customers of Islamic banks. These interviews are about the basics of the Islamic banking, about the awareness of Muslim society, the opportunities for the development and growth and the challenges that are faced by the Islamic banks in Pakistan. This research shows that as the Muslims in Pakistan want halal banking and are switching towards Islamic banks as they want to live their lives according to Islam, so there are opportunities for the Islamic financial system in Pakistan. In order to make this financial system successful the banking authorities should...
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...STARTED EVERYWHERE WITH THE BANKING SYSTEM AND ITS CONTRIBUTION TOWARDS FINANCIAL DEVELOPMENT OF A COUNTRY IS HIGHEST IN THE INITIAL STAGE. MODERN BANKS PLAY AN IMPORTANT PART IN PROMOTING ECONOMIC DEVELOPMENT OF A COUNTRY. BANKS PROVIDE NECESSARY FUNDS FOR EXECUTING VARIOUS PROGRAMMERS UNDERWAY IN THE PROCESS OF ECONOMIC DEVELOPMENT. THEY COLLECT SAVINGS OF LARGE MASSES OF PEOPLE SCATTERED THROUGHOUT THE COUNTRY, WHICH IN THE ABSENCE OF THE BANKS WOULD HAVE REMAINED IDEAL AND UNPRODUCTIVE. THESE SCATTERED AMOUNTS ARE COLLECTED, POOLED TOGETHER AND MADE AVAILABLE TO COMMERCE AND INDUSTRY FOR MEETING THE REQUIREMENTS. ECONOMY OF BANGLADESH IS IN THE GROUP OF WORLD’S MOST UNDERDEVELOPED ECONOMIES. ONE OF THE REASONS MAY BE ITS UNDERDEVELOPED BANKING SYSTEM. GOVERNMENT AS WELL AS DIFFERENT INTERNATIONAL ORGANIZATIONS HAVE ALSO IDENTIFIED THAT UNDERDEVELOPED BANKING SYSTEM CAUSES SOME OBSTACLES TO THE PROCESS OF ECONOMIC DEVELOPMENT. SO THEY HAVE HIGHLY RECOMMENDED FOR REFORMING FINANCIAL SECTOR. SINCE 1990, BANGLADESH GOVERNMENT HAS TAKEN A LOT OF FINANCIAL SECTOR MORE TRANSPARENT, AND FORMULATION AND IMPLEMENTATIONS OF THESE REFORM ACTIVITIES HAS ALSO BEEN PARTICIPATED BY DIFFERENT INTERNATIONAL ORGANIZATIONS LIKE WORLD BANK, IMF, ETC. IN 1996, WORLD BANK PUBLISHED ‘BANGLADESH: AGENDA FOR ACTION’ IN WHICH IT HAS SUGGESTED A LOT OF RECOMMENDATIONS FOR ECONOMIC DEVELOPMENT OF OUR COUNTRY. THESE RECOMMENDATIONS INCLUDE SPECIAL PRESENTATION FOR REFORMING BANKING SECTOR. BANK IS THE MOST...
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...Vision Benchmark of Excellence in premier banking Mission To be the leader in premier banking, trusted by customers for accessibility, service & innovation; be an employer of choice creating value for all stakeholder. Values Silkbank prides itself in being a conscientious and responsible corporate citizen with a commitment to the development of Pakistan. At Silkbank our employees are encouraged to give back to society and we have made concerted efforts towards the development of healthcare, education and constructive, character building sports activities in the underdeveloped segments of our country. Core values * Customer Focus * Integrity * Teamwork * Creativity * Meritocracy * Humility History On September 15, 2001, under the supervision of the State Bank of Pakistan (SBP), the institution then known as the Prudential Bank was acquired by the management and associates of the Saudi Pak Industrial and Agricultural Investment Company (Pvt) Ltd (SAPICO). On March 31, 2008, a Consortium comprising of IFC, Bank Muscat, Nomura International and Sinthos Capital led by senior bankers Mr. Shaukat Tarin and Mr. Sadeq Sayeed acquired 86.55% stake in Silkbank for around $213 million or $0.47 per share (PKR 29.3 equivalent per share). Under the new leadership, the Bank will continue to focus on SME & Consumer financing resulting in efforts of increased profitability. Board of Directors Mr. Munnawar Hamid OBE, Chairman Mr. Hamid was elected Director...
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...those who filled the questionnaires. I would like to express my sincere gratitude to my supervisor Sir Mehmood Qasim for providing me his precious time, guidance, and instructions all along in order to materialize my content for the report.I am also thankful to my parents who accommodated me during those long hours of work in my project development and all the friends and colleagues who helped me out in my times of weakness and encouraged me. I am hopeful that the effort will be fruitful for the students to come in KU after us. Once again, I am very thankful to all people who have been involved in this thesis report directly or indirectly. Abstract This project compares the performance of Islamic banks and conventional bank in Pakistan on the basis of financial performance and customer perception. For this comparison, two Islamic banks and two conventional were selected. The selected banks are broadly of similar size in term of deposits. First part covers the comparison of financial analysis between Islamic and conventional banks over last seven years. The hypothesis is generated to measure which bank is...
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...SLEPT Analysis of Banking Industry Social Analysis Social environment of an organization plays an important role in the performance of an organization. The analysis which we have done also reveals the vital role of the culture and society in the success or failure of an organization. An organization must carefully observe the cultural and societal forces while performing its operations in that particular area. In our analysis of banking industry of Pakistan we analyzed the following facts : • Banks are open for every one and a person from any social class can utilize their facilities by completing their legal requirements. But majority of banks ( RBS, Samba, Bank Alfalah & UBL ) aretargeting the middle class and upper class. While some banks ( HSBC &Citi bank ) target the business class people and other big parties. • The Pakistani society is becoming more knowledgeable and educated about the latest trends in the world due to which they are readily adapting new technologies . They feel free and comfortable andsecure to use banking services. Most of the people think that the bank is the safest and most secure place for them to keep their money. • In the banking industry of Pakistan most of the players areforeign banks. People are not worried about the nationality of the bank ,they do not like or dislike a bank because of its country of origin. Butwhat people expect is that the foreign banks would provide them more better service as compared to the local banks...
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...INTERNSHIP REPORT ON MCB BANK LIMITED PREPARED BY FAIZA IQBAL BBA (HONS) MORNING DEPARTMENT OF MANAGEMENT SCIENCES Internship Report|2011| || Practice makes a man perfect. Theoretical knowledge is not enough on its own. It is useful when implemented. That’s why it is necessary for completion of BBA program to do practical work. Internship program is also held in every management institution to support the same purpose. Banking plays very important role in the development of commerce and economic fields of a country. As banks are using different modern and up to date technologies in order to perform well and influence different managerial activities, it is a better option for business students to get internship experience in banks. I did five weeks internship in MCB BANK Model Town Branch, Bahawalpur. During this time I visited different departments and was thoroughly briefed about the procedures and working by friendly senior staff of there. In preparation of this Report I have tried my best to provide all possible information about the operations, functions and tasks of MCB in brief and comprehensive form. It also includes a brief view of what I did during internship. Internship report ends with some recommendations and concluding remarks after identification of problems that I observed during internship. Although I have put all my efforts but surely there are chances for mistakes, suggestions...
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...Manager) who had instead and help me in my report. Lastly I would love to thanks my family members all the support and prayers in every steps. Summary: This internship report grasps the achievement of my particular understanding of banking Environment along with achievement of banking rules. I had begun this internship of mine. From soneri bank private limited Okara Branch. The duration of my internship was six weeks. I was introduced to the basic working of banking along with real life Practice. Soneri bank is the one of the Pakistani private and supportive commercial bank having 234 branches in larger cities of Pakistan. It’s main head office in Karachi on chundrigar Road. Its head Quarters in Lahore. The bank starts its developments in year 1992. Soneri bank limited came in to being on September 28, 1991; the first branch of bank opened in Lahore on April 16, 1992 and also has branch in Karachi on May 09, 1992 & listed on all the stock exchange of Pakistan. To open a customer account like Individual, joint partnerships, private limited are the minor types of accounts. Different certification is required for each form is same type of account but application form is same for all accounts like soneri saving accounts, basic banking Account, current deposit, and Ikhtiar Account. In credit department is relationship with the form of deposits or the accounts that are opened in bank. Customer can deposit their amount in Soneri accounts like soneri saving Account, profit...
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