The word “Bank” refers to the financial institution deals with money. Commercial banks are the primary contributor to the economy of the country. They are borrowing money from the locals and lending the same to the business as loans and advances. So the people and the government are very much dependent on these banks as the financial intermediary. Moreover, banks are profit -earning concern, as they collect deposits at the lowest possible cost and provide loans and advances at higher cost. The differences between two are the profit for the bank.
Involvement of the banking sector in different financial events is increasing day by day. At the same time the banking process is becoming faster, easier and the banking arena is becoming wider. As the demand for better service increases, the banking organizations are coming with innovative ideas. In order to survive in the competitive field of the banking sector, all banking organizations are looking for better services and opportunities providing to their clients. As a result, it has become essential for every person to have some ideas on the bank and banking procedure. Besides these various kind rules and regulations are formulated to check unexpected threats such as money laundering and to cope with rapid change and challenge of competitive free market economy.
As core concentration of this study was foreign division, so this study is concerned with specific area of managing import and export procedures to promote logistic support in business.
1.2 Objective of the study
The main objective of the study is to analyze the foreign exchange business of AB Bank Limited. There are some specific objectives on the way of achieving the main objective. These are as follows: ➢ To discuss about the import & export policy of the sample branch. ➢ To analyze the export and import functions and financing of the branch ➢ To focus on growth and development of foreign Exchange business in ABBL, CDA branch. ➢ To identify the problems and prospects of foreign exchange. ➢ To know the risk involved in the foreign exchange business. ➢ To promote the ways, techniques & policies to improve the performance of Foreign Exchange business.
1.3 Methodology of the study
In this report both primary and secondary data are collected.
Primary sources of data
➢ Face to face conversation with the bank officer and staff ➢ Face to face conversation with the clients
➢ File study
Secondary sources of data
➢ Annual report of the ABBL
➢ ABBL website
➢ Relevant books, newspapers and journals
➢ Various circulars & guidelines & study selected reports ➢ Different training materials from BIBM.
1.4 Scope of the study
Banking system occupies an important place in a nation’s economy. A banking institution is indispensable in a modern society. It plays a crucial role in the economic development of a country and forms the core of money market in an advanced country. In recent times the banking sector over the world has been undergoing a lot of changes due to deregulation, technological innovation, globalization, implementation of BASEL II & rating based financing etc. Bangladesh banking sector is lagging far behind in adopting these changes. To flourish well in these changing environments not only progress of appropriate infrastructure is necessary but also infusion of professionalism into banking service is essential. It is also helped me to acquire a firsthand perspective of a leading private bank in Bangladesh. In this internship report the major area of commercial baking has been covered in Foreign Exchange business.
1.5 Limitation of the study
From the beginning to end the study has been covered with the intention of making it as a complete and truthful one. However, many problems appeared in the way of conducting the study, mainly time. It was not possible to go through the whole area...
References: ✓ Gordon E. & Natarajan K. : Banking Theory, Law and Practice (Himalayan Publishing House, 2000)
✓ International Trade Finance-Journal (Bangladesh institute of Bank Management)
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