Foreign Exchange Service of Bank Asia Limited Essay

1. IntroductionThe curseing sector in Bangladesh comprises of four categories of scheduled banks. These be, subject beaized commercial banks (NCBs), disposal owned development finance institutions (DFIs), infrac over commercial banks (PCBs) and inter guinea pig commercial banks (FCBs). executing of these banking sectors downstairs CAMEL framework, which involves analysis, and evaluation of the five life-or-death dimensions of banking trading trading operations, the five indicators used in the evaluation system are (I) Capital sufficiency (ii) As delineate reference (iii) Management firmness (iv) Earnings and (v) Liquidity. In addition, inappropriate replacement Service is mavin of the major considering factors regarding these indicators.The bank acts as a media for the system of foreign mass meeting policy. The principles of foreign permute suffice involve the entire system, the media used, and the m whizztary unit. match to Mr. H.E. EVITT Foreign Exchange is that section of scotch science which deals with the means and methods by which remediate to wealth in one expanses currency is converted into rights to wealth in foothold of an some early(a) countrys currency. So bank should be aware virtu in all in ally this section for the general development of the economy.2. Background of the driveAn internship political programs necessity is originated for implementing the theoretical cognition in particle field. Therefore, internship program is include in BBA program. The goal of this floor is to depict the contribution and the effect of foreign exchange service in rims net profit.1.3 Rational Of the StudyThe able of the study is to know more or so the course in practical life. This study also armed serviceed me to know the banking system. From this study I learned roughly the unlike functions in the bank like offering online banking, restore order, foreign remittance, foreign trade, investment and so forth I also learned how the banks realize these functions, what problems they face, and their benefit in offering different services to their clients. Then I was delegate in foreign trade department, so I aim learned ab knocked out(p) L/C Files, register and over all L/C mechanism. In this section, how they provide their services to the clients I contribute also learned about it. As a student of Finance, it is actually most-valuable for me to acquire proper knowledge in this course to get better precede in the future.1.4 Objectives of the Study1) The prime butt of the study is to understand various functions of brims. I tried to evaluate the present causality of the banks. 2) To know about various products & international adenosine monophosphateere services of this bank, and to know about the banking terms as wholesome as utilize with banking environment. 3) To know how they find out the danger of the foreign trade. 4) To know how they identify these types of stake and minimize them.1.5 M ethodology of the studyFor preparing the report, I followed the following steps Primary education First, I collected entropy about the Foreign Exchange Service in edge Asia ltd. MCB Dikusha Branch by bivouac to personnel works in the bank. supplementary Information Then in the arcminute stage, I analyzed the collected data, working in Foreign Trade Department. Again, ad hominem Observation File Finding annual Reports of BAL Articles of BIOM helped to prepare this report.1.6 Limitations of the StudyNot all the information of a pious platitude heap be disclosed. It is very much crucial for a bank to provide warrantor to the customer. So the perfect information talent not be shown in all places. The Employees of the savings bank are also very busy. Therefore, the employees of the bank do not have enough cartridge holder to provide me help regarding preparing report. Therefore, it was very hard for me to collect the data and bring out the proper information in order to make report look good. I had to go through with(predicate) umpteen obstacles in order to make it presentable.1.7 Scope of the ReportThe scopes of the report are as follows The report would help the treetop management to identify the key areas of weakness and strength in foreign exchange service. The scope of the study is based on brief description of BAL has been furnished. The study whitethorn help top management in planning and decision making regarding foreign exchange service.CHAPTER 2AN OVERVIEW OFTHE PRINCIPAL ACTIVITIES OF hope ASIA LIMITED2.1 OVER VIEW OF shore ASIA LIMITED marge Asia limit (Ltd) has been launched by a group of successful entrepreneurs with recognized standing in the hostel. The paid up capital of the imprecate is 1395 million. The management of the money box consists of a squad led by senior bankers with decades of experience in national and international commercializes. The senior management team is ably supported by a group of professionals ma ny of whom have word picture in the international market. Bank Asia peculiar(a) is one of the third generation hidden commercial banks (PCBs), incorporated in Bangladesh on 28 September 1999 as a public limited company under the Companies Act 1994, and governed by the Banking Companies Act 1991.The Bank went for public issue of its shares on 23 September 2003 and its shares are listed with Dhaka tune Exchange Ltd and Chittagong Stock Exchange Ltd. Bank Asia Limited acquired the pedigree of Bank of Nova Scotia (incorporated in Canada), Dhaka, in the year 2001 and at the runner of the year 2002, the Bank also acquired the Bangladesh operations of Muslim Commercial Bank Limited (MCBL), a bank incorporated in Pakistan, having two branches at Dhaka and Chittagong and one booth at Dhaka. In pickings over the Bangladesh operations, all pluss and certain specialised liabilities of MCBL were taken over by Bank Asia Limited at book values. at heart a short span of time Bank Asia Ltd h as established itself as one of the fast growing topical anaesthetic hush-hush banks. It has at present a net of Thirty three branches serving many of the leading corporate houses and is gradually despicable towards retail banking. Another significant address channel is its own as tumefy as shared ATM Network. Bank Asia has a network of 25 ATMs out of which 6 it owns. The other 19 ATMs are shared through ETN with eleven other banks. Since its humble beginning in 1999, it set milestone by acquiring the business operations of the Bank of Nova Scotia in Dhaka, offset in the banking tale of Bangladesh. It again iterate the performance by acquiring the Bangladesh operations of Muslim Commercial Bank Ltd. (MCB), a Pakistani bank.In the year 2003 the Bank again came to the limelight with oversubscription of the Initial commonplace Offering of the shares of the Bank, which was a record (55 times) in our capital markets history and its shares commands respectable premium. The asset and liability ingathering has been remarkable. By Dec 2007 the total asset of the Bank grew to Tk 38436 million, increase of almost 26% comparing to 2006. As of Dec 2007 deposits change magnitude to Tk 30004 million, an increase of 19% over that of 2006, and Loans & Advances reached Tk 28456 million, an increase of 28% over that of 2006. Bank Asia has been actively participating in the local anesthetic money market as well as foreign currency market without exposing the Bank to vulnerable positions.The Banks investment in Treasury Bills and other securities went up noticeably opening up opportunities for enhancing income in the context of a authorities of gradual interest rate decline. Bank Asia Ltd is maintaining its competitiveness by leveraging on its Online Banking Software and modern IT infra grammatical construction. It is the pioneer amongst the local banks in introducing innovative products like SMS banking, and under the ATM Network the Stelar Online Banking software enables bet linking of a clients account, without the necessity for a separate account.2.2 VISION argumentation OF BANK ASIA LIMITEDBank Asias vision is to have a indigence free Bangladesh in course of a generation in the new millennium, reflecting the national dream. Our vision is to build a society where human dignity and human rights slang the richlyest consideration along with reduction of poverty.2.3 committee STATEMENT OF BANK ASIA LIMITEDTo help in bringing high quality service to our customers and to participate in the produce and expansion of our national economy. To set high standards of integrity and bring total contentment to our clients, shareholders and employees. To become the most sought after(prenominal) bank in the country, rendering engineering science driven innovative services by our dedicated team of professionals.2.4 CAPITAL social structureBanks generally do their business with others fund, so Bank Asia Ltd is not in exception. Bank Asia Ltd uses 24% loveliness and 75% Debt source of capital. The capital structure is following