...1 Consumer banking: 6 3. Liquidity Risk: 7 3.1 Measuring Liquidity Risk –SCB 7 3.2 Measuring Credit Risk Exposure 10 3.3 Market Rate Risk 11 3.4 Value at Risk (VaR) 12 4. CAMEL RATING SYSTEM 13 1. Executive Summary International Banking can be defined as banking transactions crossing national boundaries. The activities involves like international lending; claims of domestic bank offices on foreign residents, claims of foreign bank offices on local residents, claims of domestic bank offices on domestic residents in foreign currency are the major activities involved in International Banking. The evolution of banking history dates back to 2000 BC in Assyria and Babylonia; while the modern banking systems originated in Renaissance Italy. The major incentive for the growth of international banking was migration of domestic customers who were MNE’s growing foreign activities and the impacts of regulatory differences. The report is comprised of Liquidity risks, market risks, credit risks of Standard Chartered Bank Plc. The company also demonstrates the firm efficiency of the firm using CAMEL RATING SCALE. The overview of the analysis states that the firm is operating proficiently under the guidelines of BASEL. Introduction According to Lewis & Davis (1987, p. 219), international banking is a denotation of cross-border and cross currency facets of banking business. They classify international banking into two main activities; traditional foreign banking and euro currency...
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...Date of Incorporation as PLC 3. Authorized Capital 4. Pre-IPO Paid up Capital 5. No. of Branches : 850 Details of the Issue History of Capital (Tk. in Million) Year 2004-2008 2009 Authorized Capital (Tk.) 8,000.00 20,000.00 Issued, Subscribed and Paid-up Capital (Tk.) 2593.90 5,000.00 Source of Capital Issue of Bonus and Rights shares Paid-up Capital after IPO Particulars Pre-IPO Paidup capital IPO Paid-up capital after IPO Ordinary Shares 50,000,000 10,000,000 60,000,000 Face Value (Tk.) 100 100 100 Premium Per Share (Tk.) 0.00 900 900 Total Premium (Tk.) 0.00 9,000,000,000 9,000,000,000 Paid-up Capital (Tk.) 5,000,000,000 1,000,000,000 6,000,000,000 Issue Manager : ICB Capital Management Limited Auditors : Howladar Yunus & Co. and A. Wahab & Co. Executive Summary Date of Incorporation as PLC : May 21, 2007 (Immediately after the independence of Bangladesh in 1971, the erstwhile United Bank Limited and Union Bank Limited were nationalized and renamed as Janata Bank). Tk. 20,000 million Tk. 5,000 million Tk. 10,000 million Tk. 100.00 Tk. 1000.00 (including a premium of Tk. 900) Commercial Banking Tk. 3,646.71 mn and Tk. 4,490.98 mn for the year ended on 31.12.08 and 31.12.09 respectively. Tk....
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...Acknowledgement We are really thankful to our honorable faculty, QUAZI SAGOTA SAMINA, Senior Lecturer, Department of Business Administration, East West University. With her valuable advice, continuous inspiration and constructive criticism she helped us to carry out this report successfully. We would also like to thank the data manager of Bangladesh bank, officers of state bank of India for their cooperation , our gratitude to the Commercial Banks for whom we were assigned and Dhaka Stock Exchange library that helped us to gather all the necessary information. Finally, we would like to thank to all the group members that directly or indirectly helped us to provide and accumulate all the necessary information for the accomplishment of this assignment. Introduction Abstract The report started to take place in a Management of Commercial Bank (FIN 380) class when our course instructor said that submitting a report is mandatory or else the course will remain incomplete this report is to find out the Effect of capital, Liquidity & Credit Risk on Profitability. So to find out the correlation we used statistical formula based on which we compel to get the correlation. The foundation or cause of making this report is to identify the changes may happen in a banks’ profitability in case of making any change in the equity capital, liquidity or credit risk. So at the end of this report we will be able to conclude that is there...
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...CHAPTER-1 Introduction Background of the study Concept of bank; Bank, a financial institution, is playing a vital role in the economic development of the country. The function of banks are not only accepting deposits and granting loans but also, including wide range of services to the different strata of society, to facilitate the growth of trade, commerce industry and agriculture of the national economy. In the absence and insufficiency of banking and financial facilities, the growth of the economy development becomes slow. However, bank is the resource for economic development which maintains the self-confidence of various segments of society and advances credit to the people. It may be said that banking in its must simple form, is an old as authentic history. Banking has come to the present advance form through various stages. In the history of banking development, we can’t forget the bank of case De San Giorgio in Genoa, established in 1148 and Bank of Venice established in 1157.In 1401, the bank of Barcelona established in Barcelona. In fact, Modern bank started to take rapid speed in forming and functioning form 17th century. During this period, bank of Milan, bank of Florence and bank of ST. George was established in Genoa. In 1609, the bank of Amsterdam was established in Germany and the bank of England was established in England. In Nepal, the history of bank is not so long, in 1933(1876AD), the transaction. However, Nepal bank limited is the first commercial...
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...progress by the author(s) and are published to elicit comments and to further debate. This paper stresses three factors that amplified the 1990s financial crisis in Ecuador, namely institutional weaknesses, rigidities in public finances, and high financial dollarization. Institutional factors restricted the government’s ability to respond in a timely manner and efficiently enough to prevent the escalation of the banking crisis and spurred the adoption of suboptimal policy decisions. Public finance rigidities limited the government’s capacity to correct existing imbalances and the deteriorating fiscal stance associated with the costs of the financial crisis. Financial dollarization increasingly reduced the effectiveness of financial safety nets, fostered foreign currency demand, and accelerated a currency crisis, thereby further worsening the solvency of banks. These three factors reinforced each other, exacerbating costs as the economy went through a triple banking, currency, and fiscal crisis. JEL Classification Numbers: G21, G28, N46, O54 Keywords: banking crisis, institutions, fiscal policy, monetary...
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...this report a successful one. I would like to express my sincere gratitude to you for your kind guidance & suggestions in preparing the report. It would be my great pleasure for me if you find my report informative and useful to have an idea of recent state of Prime Bank Limited. Sincerely yours …………………………………… Srabanti Singha ID: 09304035 BRAC Business School BRAC University Acknowledgement At the very beginning, I would like to express my gratitude to God for giving me the strength to complete the report. Then I would like to express my gratitude to Md. Imtiaz Ahmed Bhuiyan, Senior Vice President for giving me an opportunity to do internship in Prime Bank Limited Banani branch. I am grateful to Humayun Kabir General Banking Incharge of Prime Bank Limited Banani Branch. I also...
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...obtain knowledge & awareness of the functioning of various departments of the corporate and its environment which is utmost necessary for the success of the budding managers. The basic objectives of the summer internship programme for the MBA students are: 1. To understand the business and competitive environment of ING Vysya Bank. 2. To analyze and understand the financial position of ING Vysya Bank viz – a – viz competitors. 3. To study the Business Banking Department of ING Vysya Bank and its practices. 4. To facilitate in testing what I have learnt in the foundation courses in the first year. 5. To get a feel of corporate life and its functioning & understand various interaction styles. ABSTRACT I did my summer internship in ING Vysya bank. It was a business banking department and it was located in Karol Bagh. On the first day I met the branch manager of the bank Mr. Uday Choudhary. He assigned me my mentor who was the relationship manager of the business banking division of ING Vysya Mr. Anshul Dhamija. In the first week he gave me two files of the...
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...CHAPTER 1 INTRODUCTION 1.1. INTRODUCTION Bangladesh is a developing country. Today, the banking system plays a very vital role in economic development of our country. Shahjalal Islami Bank Ltd. is a financial institution that operates with the objective to implement and materialize the economic and financial principles of Islam in the banking area. The report will illustrate a basic reflection about the Shahjalal Islami Bank Ltd. The report will present the overall scenario of Shahjalal Islami Bank Ltd. The report will cover the information of the bank, present condition of the bank in private banking sector, market share, and various products schemes of SJBL, interest rate of the bank etc. The report will also include various activities done under general banking operation. The activities of dispatch, the procedures of account opening, procedures of inland remittance, received and payment of cash, dealings with customers and provide better customer services and others are explained in these report. 1.2. RATIONALE OF THE REPORT This report based on an internship program. SJIBL arranges internship program to gather practical knowledge about banking activities followed by SJIBL for university students as universities conducted with different organization after the completion of theoretical courses of program of Bachelor of Business Administration (BBA). Each intern must carry out a specific project which is assigned by the SJIBL. Consequently a report based...
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...functioning. Like it or not, risk has a say in the achievement of our goals and in the overall success of an organization. Present paper is to make an attempt to identify the risks faced by the banking industry and the process of risk management. This paper also examined the different techniques adopted by banking industry for risk management. To achieve the objectives of the study data has been collected from secondary sources i.e., from Books, journals and online publications, identified various risks faced by the banks, developed the process of risk management and analyzed different risk management techniques. Finally it can be concluded that the banks should take risk more consciously, anticipates adverse changes and hedges accordingly, it becomes a source of competitive advantage, and efficient management of the banking industry. KEYWORDS: Risk Management, Banking Sector, Credit risk, Market risk, Operating Risk, Gab Analysis, Value at Risk (VatR) _____________________________________________________________________________________ INTRODUCTION Risk is defined as anything that can create hindrances in the way of achievement of certain objectives. It can be because of either internal factors or external factors, depending upon the type of risk that exists within a particular situation. Exposure to that risk can make a situation more critical. A better way to deal with such a situation; is to take certain proactive measures to identify any kind of risk that can...
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...Introduction: A Bank is a financial institution and a financial intermediaries that accepts deposit and channels those deposits into lending activities, either directly by loaning or indirectly through capital markets. A bank is the connection between customers that have capital deficits and customers with capital surpluses. Due to their influence within a financial system and an economy, banks are generally highly regulated in most countries. Most banks operate under a system known as fractional reserve banking where they hold only a small reserve of the funds deposited and lend out the rest for profit. They are generally subject to minimum capital requirements which are based on an international set of capital standards, known as the Basel Accord. Banking Banking in the modern sense of the word can be traced to medieval and early Renaissance Italy, to the rich cities in the north like Florence Lucca, Siena, Venice and Genoa. The Bardi and Peruzzi families dominated banking in 14th century Florence, establishing branches in many other parts of Europe. One of the most famous Italian banks was the Medici Bank, set up by Giovanni di Bicci de' Medici in 1397. The earliest known state deposit bank, Banco di San Giorgio (Bank of St. George), was founded in 1407 at Genoa, Italy. Origin of the word “bank” The word bank was borrowed in Middle English from Middle French banque, from Old Italian banca, from Old High German banc, bank "bench, counter". Benches were used as desks or exchange...
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...encouraged every time I attend her lectures. Without her encouragement and guidance, this project would not have materialized. The guidance and support received from all the members who contributed to this project, was vital for the success of the project. This project highlights the emergence of Internet banking and the growing dependence of Net banking by various Institutions. It also showcases the challenges faced and the opportunities available. INDEX TOPIC PG. NO * Online Banking in India 1 ( Introduction) * Features of Online Banking 2 * Requirements of Online Banking ` 3 * City Union Bank 4 (Introduction) * City Union Bank 5 (Net Banking Requirements) * Impact of Net Banking On the Financial Sector 7 * Indian Banks On WEB 8 * Challenges...
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...India) Excellence Awards • Security in Bank Dun & Bradstreet Banking Awards • Best Private Sector Bank - SME Financing Euromoney Awards for Excellence • Best Bank in India Finance Asia Country Awards • Best Bank in India • Best Cash Management Bank in India • Best Trade Finance Bank in India Financial Express Best Bank Survey • Best in Strength and Soundness Institute of Chartered Accountants of India Awards • Excellence in Financial Reporting International Data Corporation Financial Insights Innovation Awards • Excellence in Customer Experience Skoch Foundation Financial Inclusion Awards • SHG/JLG linkage programme 2011 - 2012 Highlights • Net profit: 5,167 crore. An increase of 31.6% compared to the previous year • Balance sheet size: 337,909 crore as at 31st March 2012 • Total deposits: 246,706 crore. An increase of 18.3% compared to the previous year • Total advances: 195,420 crore. An increase of 22.2% compared to the previous year • Capital Adequacy Ratio: 16.5%. Regulatory minimum requirement is 9% • Tier I capital ratio: 11.6% • Non Performing Assets: 1,999 crore (gross); 1.0% of Gross Advances • Network: • Branches: 2544 • ATMs: 8913 • Cities: 1399 2011 - 2012 Empowering Lives “Give a man a fish and you feed him for a day. Teach him how to fish and you feed him for a lifetime”. The wisdom of this timeless adage defines HDFC Bank’s approach to Financial Inclusion. We call it Sustainable Livelihood Banking. Take for...
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...Introduction 1. Banking industry and financial sector Within the global banking industry, financial sector is an important part of overall global economy and is primarily composed of banking institutions, money markets and financial brokers. This sector is considered as a vital component of developed economies such as the USA, UK, Switzerland and Japan. The definition of a retail bank as described by the banking industry is that it operates within the financial institutions offering services such as adjustable rate mortgages, financial derivatives, bank credit and debit cards, electronic banking etc. Theses organizations are also regulated and controlled by industrial standards’ legislation and regulations that should be adhered to, in order to successfully operate in the industry (Bennett Kottasz, 2012). However this sector, that plays a key role in economic integrations of countries (Winder, 2013), had recently shown signs of distress mainly due to uncontrolled lending and unwarranted risk-taking activities (Habib, 2013). In addition, there had been a lack of transparency. Incidents within last decade such as Lehman Brother collapse and financial meltdown of 2008, created lots of ambiguities in understanding banks risks from imitative trading and therefore unwillingness of any bank to trade or lend to any of the bank. In particular these incidents create an uncertain situation where it is difficult to speculate which particular financial organization might unexpectedly...
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...REPORT ON “A Comprehensive Ratio Analysis on Prime Bank Ltd.” Law & Practice of Banking F-209 Submitted To Umma Rumana Huq Lecturer Department of Finance Faculty of Business Studies University of Dhaka Submitted By: Group 05 Name | ID | Anika Alam | 18-036 | Fariha Tabassum | 18-042 | Rafi Uddin Ahmed | 18-108 | Ulfat Ara Joya | 18-122 | Sabrina Tahira | 18-136 | Ifteqar Rahman | 18-204 | Submission Date: 11 Feb. 2014 LETTER OF TRANSMITTAL 11 Feb. 2014 Umma Rumana Huq Lecturer Department of Finance Faculty of Business Studies University of Dhaka Subject: Submission of the report named “A Comprehensive Ratio Analysis on Prime Bank Ltd.” Dear Madam We submit here our term paper on “A Comprehensive Ratio Analysis on Prime Bank Ltd.” that you assigned us to prepare. We selected some books, collected some data and prepared our term paper on the basis of our findings. During preparation, our all group members contributed their best efforts. Surely it enriches our knowledge and promotes study. We have also learnt much about the issue of Fire insurance in Bangladesh. We are grateful to you for giving us such an opportunity for working on the topic. We shall be available for any clarification, if required. Sincerely The members of group 05 Acknowledgement The report “A Comprehensive Ratio Analysis on Prime Bank Ltd.” has been talented with the congregated efforts and contribution...
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...was incorporated under the Companies Act 1994, started its operation on July 1995 with a target to play a vital role on the socio-economic development of the country. Aiming at offering commercial banking service to the customers’ door around the country, DBL established 20 branches up-to this year. This organization achieved customers’ confidence immediately after its establishment. At the end of year 2007 the equity ownership of DBL was as follows: Ownership Structure Sponsors Institutional Investors General Public Foreign Chart 1.1: Ownership Structure Source: Dhaka Bank Annual Report 2007 (A) Mission Statement To be the premier financial institution in the country providing high quality products and services backed by latest technology and a team of highly motivated personnel to deliver excellence in Banking. An Evaluation of Business and Financial Performance of the Dhaka Bank Limited 1 January 2005 and 31 December 2007 Slogan Excellence in Banking Objectives • • • • • Be one of the best banks of Bangladesh. Achieve excellence in customer service next to none and superior to all competitors. Cater to all differentiated segments of Retail and Wholesale Customers. Be a high quality distributor of product and services. Use state-of the art technology in all spheres of banking. DBL is now offering different types Depository product for mobilizing the savings of the general people. • • • • • • • • Deposit Product Current Deposit Saving deposit Account STD Account Fixed Deposit...
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