Preface: UBL Internship Report

UBL !
Internship Report
PREFACE
Bachelor in business administration (BBA) is a program in which we

studied about business and finance. In Pakistan the banking sector is at the
maturity stage and banking sectors are the best institutes in which we are
easily understand the practical experience. Bachelor in business
administration gives us an opportunity to touch the practical experience
about business and finance as the internship. The Internship program is an
important part to give students an opportunity to have experience of
practical field. Unless and until the students experience the novelty of
practical work, their knowledge of what they study in theoretical
courses remains incomplete. The most important point in an Internship
program is that the student should spend their time in a true manner and
with the spirit to learn practical orientations of theoretical study framework.
This Internship Report is on my Six weeks practical training at UBL
GHORGHUSHTI (branch) In this Internship Report I have tried to give
details about the United Bank Limited, working and the functions of
different departments of the bank.
Comsats Wah Page 1 of 31!

UBL ! Internship Report
Dedication
I dedicate this to beloved parents, teachers, my dear class fellows and friends.
Acknowledgement
All praise to Almighty Allah, the most merciful & Compassionate. I express
our gratitude to our kind Teachers who kept our moral high by their
suggestions and appreciation. They were available to us whenever and for
whatever we consulted them. Without their precious guidance and help, I
could never be able to complete this Internship Project.
There are many people to whom I thank for their help to us. I especially want
to thank to the Manager of United Bank Limited GHORGHUSHTI who
provided me much information and also helped this Internship Project
towards completion.

Table of Contents
Executive SUMMARY!...........................................................................................7
INTRODUCTION!...................................................................................................8
OVER VIEW OF THE ORGANIZATION!..............................................................8
NATURE O F ORGANIZATION! 8
BREIF HISTORY! 8
VISION! 9
MISSION STATEMENT! 9
SWOT ANALYSIS! 10
Strengths! 10
Weaknesses! 10
Opportunities! 10
Challenges! 11
ORGANIZATIONAL HIERARCHY! 11
2.8 BOARD OF DIRECTOR! 13
2.8.1 CHAIRMAN OF UBL! 13
2.8.2 DEPUTY CHAIRMAN OF UBL! 13
2.8.3 PRESIDENT OF UBL! 13
2.8.4 DIRECTOR OF UBL! 14
2.8.7 GROUP FINANCIAL OFFICER! 15

2.9 NUMBER OF BRANCHES! 15
4.2 SPECIMEN SIGNATURE CARD! 15
4.2 SPECIMEN SIGNATURE CARD! 15
4.3 CASH BOOK REGISTRATION! 16
4.4 DEPOSIT SLIPS! 16
MINOR ACCOUNT! 16
FOREIGN EXCHANGE DEPARTMENT! 17
ACCOUNT OPENING DEPARTMENT! 17
INDIVIDUAL CUSTOMER ACCOUNT! 17
Account Of Illiterate Person! 17
Account Of A Minor Person! 18
Joint Account! 18
BUSINESS CUSTOMER ACCOUNT! 18
4.6.2 REMITTANCE DEPARTMENT! 18
DEMAND DRAFT (D.D)! 18
PAY ORDER! 19
DEPOSITING BOOK! 19
CLEARING DEPARTMENT! 19
IT DEPARTMENT!................................................................................................19
FUNCTION OF DEPARTMENT! 20
Branch banking! 20
Consumer banking! 20

Electronic banking! 21
Corporate banking! 21
Treasury and investment! 21
INVESTMENT PORTFOLIO!...............................................................................21
PRODUCTS LINE OF UBL!.................................................................................21
PRODUCTS AND SERVICES OF UBL! 21
COMMERCIAL BANKING! 22
CORPORATE BANKING! 22
CONSUMER BANKING! 23
UBL ADDRESS! 23
UBL BUSINESS LINE! 23
UBL CASH LINE! 23
UBL CREDIT CARD! 24
UBL DRIVE! 24
4.11 FINANCIAL SERVICES! 24
4.11.1 NEW CAR FINANCING! 24
4.11.2 USED CAR FINANCING! 24
4.11.3 CASH YOUR CAR! 24
4.11.4 UBL MONEY! 24
4.11.5 UBL WALLET! 25
4.11.6 UBL e-STATEMENT! 25
4.11.7 UBL Pay Plus! 25
RECOMMENDATIONS!.......................................................................................25
6.1 HUMAN RESOURCE DEPARTMENT! 25

6.2 POLITICAL INTERFERENCE! 26
6.3 BASIS FOR PROMOTION! 26
6.4 NEEDS OF CHANGE IN RECRUITMENT POLICY! 26
6.5 REFRESHER COURSES! 26
6.6 TRAINING FOR CREDIT MANAGEMENT! 27
6.7 INTRODUCTION OF NEW COURSES! 27
6.8 CAREER DEVELOPMENT! 27
Learning!.............................................................................................................27
Week 1:! 27
Vertical Analysis of Balance sheet!...................................................................27
Horizontal Analysis of Balance Sheet!.............................................................28
Vertical Analysis Income Statement:!...............................................................29
Horizontal analysis of Income Statement!.......................................................30
CONCLUSION!....................................................................................................30

Executive SUMMARY
All these six weeks were full of events, full of learning and most importantly full of
professional working. Here 'professional' regards in all from clerical to managerial work. In
these six weeks period, the best thing to me was the authority and dependency of
customers upon me, when they come with a hope that I'm there to guide them through
Knowing all is not learning, the real learning is to convey right. I tried to learn real, see real
UBL, and tried to comprehended the difference between what we look from outside and
what is going on inside. UBL is full of experienced and professional traditional
bankers. As it perfectly suit the environment we are operating in, you attitude has In
the private sector, no doubt it’s a fast growing bank, helped UBL in capturing masses. but
here's something that's still unrealistic to the policy makers. The line of unsatisfied
customers is increasing, not because we are not serving well, it's because customers
are not understanding the YOU attitude right. Every customer wants to make sure his
work is done at the first convenience, but they are not concerned about the
responsibility with which every employee is working. We need to put in some guidelines for
our customers, as they walk in. This will not only save their time but will also
motivate staff members to work more prom ptly, because if customer and employee
engage into some unhealthy quarrel, the whole environment will be disturbed. The bank
should bring forward the new talent as fresh knowledge and education is considered
very important to increase the efficiency and production. People have to wait for re-
cashing their cheques and for paying their utility bills, which are not good for reputation of
bank, it should be improved. Bank is retaining its earnings to reinvest it for the further
expansion of bank, which is a good sign because it increases shareholder wealth. At
39 last I want to say that I have learned much experienced how to communicate
with customers.

INTRODUCTION
The basic objective of banking is to accept the money in shape of deposit from
customer and to lend it to other customers in shape of advances in order to generate
the profit. UBL was set up in 1959 by “Mr. Agha HasanAbidi” and is today one of
Pakistan’s major bank in terms of deposits and advances with a huge domestic and
international network.
OVER VIEW OF THE ORGANIZATION

NATURE O F ORGANIZATION
UBL is a Banking Company, which is engaged in Commercial &Retail Banking and
related services domestically and overseas. United Bank Limited the Group's principal
activities are to provide commercial banking and other financial services. The Group
offers personal banking, cash management, retail loans and other financial services.
These services include deposits, savings/current bank account, vehicle loans, personal
loans, global banking, lending to priority sector and small scale sector, foreign exchange and
export finance, corporate loans and equipment loans. The Group operates through1044
branches within Pakistan and 15 branches outside Pakistan. At present UBL and its
subsidiaries are:
Holding Company United Bank Ltd.

Joint Venture Pakistan International Bank
Joint Venture Oman United Exchange Co.
Subsidiary United Bank Ag-Zurich.
Subsidiary United Assets Management Co. Ltd.
BREIF HISTORY
Agha HasanAbedi founded the bank in 1959. In 1971 the Government of Pakistan
nationalized it. A professional team was appointed in mid 1997 to restructure the bank. The
management is also in the process of rationalizing the branch network and identifying
and recovering its doubtful and classified portfolio. It has planned to institute major

improvements in customer services and internal systems to improve efficiency. It also

intends to launch innovative products. The bank is increasing resource mobilization through
regular deposit campaigns and accelerating the process of recovery of outstanding
advances and non-performing assets. UBL was the largest privatization attempted by the
Government of Pakistan, launched in June 2001, with 21 interested parties. It was impacted
by the adverse developments of the September 11, 2001 and was finally concluded in
October 2002 by which stage only three bidders they’re left the consortium comprising Best
way Group (BG), out of the UK and Abu Dhabi Group (ADG) from the UAE they’re finally the
winners at a record price. This signaled the strong confidence reposed by these investor
groups, in the improved governance of the county, the economic potential, the banking
opportunity and the existing management of the bank. The management of this bank
is committed tonsuring that this confidence reposed in the bank is fully met to the highest
expectations of its shareholders and all its stake holders.
VISION
To be the world class bank dedicated to excellence, and to surpass the highest
expectations of our customer and all other stakeholders.
MISSION STATEMENT
United Bank Limited derives its mission statement from its principal Dar Al-Mal Al Islami
(DMI) Trust. The overall mission being. The introduction of a just and equitable financial
system by being a world class multipurpose financial institution, providing a range of
specialized services, working on shariah principals.
The mission statement translates into our objectives:
“To comply with the spirit of Islamic Shariah which will govern our
entire business by translating it into modern financial products and
services. To strive for Halal profit, prudent growth and pursuit of
improved efficiency. To focus on serving our customer and shareholders
by building relationships based on trust and mutual benefit. To inculcate
a culture of teamwork with in the bank by introducing staff training and
development programs”.

SWOT ANALYSIS
Strengths
United Bank Limited is one of the largest commercial bank in the country. United
Bank Limited has almost forty-seven years of good standing to its valued clients.
United Bank Limited is the second largest private commercial bank of Pakistan with1044
plus branches and has an international presence. United Bank Limited is growing
bank to achieve WORLD CLASS banking standards bear immense potential/prospects
of employment in the future. United Bank Limited believes insetting the right goals for
the right jobs and we strive to identify the right resource.
UBL is actively participating in international markets and has recently introduced credit
cards in UAE, Bahrain, and Qatar, being backed up by 24 hours call center out of UAE. The
overall efficiency of the bank operations and management ability can be noticed by looking
at to its income pattern and provisions/write off practices. Advances investment of the
bank shows a constant growth pattern. The bank is actively emerging and is
engaged in international trade and foreign exchange transactions.
Weaknesses
The major weakness is lack of adaptability to accept the change.
The Human resource is though experienced but still lack adaptability to change to the
modern technology, products and methodologies of working especially in paper less
environment. The approach to involve and engage fresh/energetic Human resources slow.
The client and customer service standards along with attitude problem are major areas of
weaknesses. Due to risks such as political, economic and legal etc. the bank has suffered
losses the main reason was that of piling up of large amount of unrecoverable loans and
debts which have adversely affected the image of the UBL. Accumulated losses pushed
the bank to cut down its promotional activities in order to reduce expenses for last few years.
Administrative expenses are 51% of them ark up revenue. Promotions are carried out on
annual basis ignoring the importance of capabilities and performance outputs.
Opportunities

UBL being one the largest bank in Pakistan has great potential to redesign its
products fore existing and fresh Depositors Reconstruction of Afghanistan is a golden
opportunity where the bank can effectively participate. Expansion of IT platform and
internet based banking system.
Interest of businesses in leasing facilities provides a healthy opportunity for banks

There is a large pool of unemployed MBAs who can be hired to achieve
professionalism on its organizational culture. Outsourcing of promotional companies
and also use the excellent promotional facilities.
Entering new market segments, Increase the product range to meet the broader range of
customer’s needs. In wake of current economic conditions and with vast network of 1044
Branches, UBL can earn a significant leverage in competition among other banks
through with its quality service and standards. The brand name is strong that can
have a competitive edge in comparison to other banks in the town as people still rely
on old banks like HBL,NBP etc.
Threats
The greatest of all challenges is to maintain the speed on which UBL is running.
Increase in competition due to increasing number of foreign and domestic private
banks offering highly specialized and attractive services. Growing rate of global
technical advancements and adaptation of modern style of management in banking sectors
of Pakistan. Unemployment, lower level of income and prices like problem sin the
motherland coupled with low rate of industrialization, geo political adverse conditions.
ORGANIZATIONAL HIERARCHY
Chairman

Deputy Chairman
Board of Directors
Executive Committee
SEVP
Managing Director
EVP
VP
Officer Grade-I
Clerical Staff Officer Grade-II
Non Clerical Staff Officer Grade-III

2.8 BOARD OF DIRECTOR

2.8.1 CHAIRMAN OF UBL
ShaikhNahayanMabarak Al Nahayanis the United Arab Emirates Minister of Higher

Education and Scientific Research. He is also Chancellor of two of the UAE's three
government-sponsored institutions of higher learning: United Arab Emirates University,
established in 1976, and the Higher Colleges of Technology, established in 1988. He is
the president of the third, Zayed University, established in 1998.Sheikh Nahayan is
also Chairman of CERT (Centre of Excellence for Applied Research and Training), the
commercial arm of the Higher Colleges of Technology, which was established in
1996.Sheikh Nahayan is Chairman of the Abu Dhabi Group, Union National Bank,
and United Bank Limited. He is also Founder Chairman of Bank Alfalah Limited and
Chairman ofWARID Telecom International (a regional telecoms group based out of
Abu Dhabi with operations in Pakistan, Bangladesh, Georgia, Uganda, Congo
Brazzaville, and Ivory Coast).He is a recipient of Pakistan's highest civilian award, the
'Hilal-e-Pakistan', which was conferred upon him by the President of Pakistan in 2005.
2.8.2 DEPUTY CHAIRMAN OF UBL
Sir Mohammed Anwar Pervez, OBE H Pk, also founder Chairman & Managing Director of
Bestway Group. In July 2004, stood down from his role as Managing Director and
retained the role of Chairman of the Group. Sir Anwar began his career in food business in
1963 when he opened a mini supermarket in Earls Court, London. Sir Anwar is also the
Chairman of Batleys Ltd ;Bestway Cement Ltd and Deputy Chairman of United Bank Ltd. He
is also the Chairman of the Board of Trustees of Bestway Foundation UK and Patron-in-
Chief of Bestway Foundation Pakistan. He is a Charter Member of the Dukeof
Edinburgh’s Award Scheme; a Trustee of the Memorial Gates Trust; Specialist
Schools Trust and CrimestoppersIn March 2000, the President of Pakistan rewarded him
the “Hilal-e-Pakistan” (H Pk). No other expatriate has the singular distinction of
receiving such an eminent recognition whilst living and working in a foreign country.
2.8.3 PRESIDENT OF UBL

MR. ATIF BOKHARI Is a President & CEO of UBL was brought by President General
Musharraf from Bank of America. Atif is younger brother of General Asif Riaz Bukhari a
commando, who is a close friend of General Musharraf. He was also a member of the HBL
Management Committee.
2.8.4 DIRECTOR OF UBL
Mr. Omar Ziad Jaafar Al-Askari, Director United Bank Limited, Pakistan; President and
CEO of United Technical Services, Abu Dhabi; President and CEO of United Eastern
Investment Corporation; Director of Fruit of the Loom quoted on the New York Stock
Exchange.
MR. MOHAMMAD ZAMEER CHOUDRY, OBE H Pk is also Chief Executive of Bestway

Cement Limited. Under his stewardship Bestway Cement has established itself as the third
largest cement manufacturer in Pakistan in just under a decade with a production capacity of
4 million tonnes per annum . A further 2 million tones per annum is under construction
and will come online by early 2008. In October 2002 he led and managed Bestway’s
acquisition of United Bank Limited. Today, UBL is Pakistan’s 2nd largest bank with assets
under management in excess of US$ 9.0 billion. He serves as a Director on the main
Board of UBL and chair’s the Audit Committee. Mr. Choudrey is a Trustee of Bestway
Foundation UK and Chairman of Bestway Foundation Pakistan. He has also served as a
Governor of John Kelly Schools in Northwest London.
Mr. Ahmad Waqar an MBA from Henley College of Management, U.K. and along with
being in charge of MAP Trading, UNITED BANK, also simultaneously holds the position of
Director in UBL. He also heads the Central Ordering Department of the Cash & Carry
business and is a Director in Bestway (Holdings) Limited and its subsidiary companies. After
joining the Group in 1984, he was appointed as a Director in 1993 and was elected as a
member of the Bestway Cement Board in 1994.He is also a Trustee of Bestway Foundation,
Pakistan.

2.8.7 GROUP FINANCIAL OFFICER
Mr. Amir Karachi wala is a young and dynamic professional. He heads the Finance and
Information Technology functions at Bestway Cement Limited. After graduating from the
prestigious Hailey College of Commerce, University of the Punjab, Lahore he
proceeded to the U.K. where he studied accountancy from Thames Valley University
and the Chartered Association of Certified Accountants. Mr. Sheikh trained with a Top-10
Accountancy and Business Advisory firm in the U.K. before he joined the Bestway Group
in 1996. Mr. Sheikh was made a Director of the Company in 2001.He is also a Trustee, the
Treasurer and the Secretary of Bestway Foundation, Pakistan. As the Head of Finance &
Information Technology, he has been instrumental in maintaining the highest standards
of financial discipline and developing the Information Technology infrastructure along most
modern lines at Bestway Cement.
2.9 NUMBER OF BRANCHES
UBL operates a branch network of 1044 branches all over Pakistan. UBL has a large
network of branches, which extends to the remotest areas of the country. In December1983,
there were 1623 branches whereas in 1974 it had only 1238 branches and in
October 2003 these figures show total number of 1007 branches3. UBL has been very
active in increasing its overseas branches network. The first foreign branches were
established in London in 1963. Now UBL has branches in Bahrain, Qatar, Saudi Arabia,
United Arab Emirates, Yemen Arab Republic, UK Switzerland, Egypt, Oman and The
United States. These branches are playing a significant role in channeling home
remittances and foreign trade of Pakistan.
4.2 SPECIMEN SIGNATURE CARD
SSC is used for the signature of account holder in UBL it rule that those people whose
signatures are in Urdu must to sign three time on this card and those people whose
4.2 SPECIMEN SIGNATURE CARD
SSC is used for the signature of account holder in UBL it rule that those people whose
signatures are in Urdu must to sign three time on this card and those people whose

signatures are in English must to sign only for two times on this card. This card is only used
for the confirmation of signature at the time of withdraw cash through cheques.
4.3 CASH BOOK REGISTRATION
CBR fills at the time of opening new account which is the request for new cash Book
and filling the CBR it will activate through computer.
4.4 DEPOSIT SLIPS
This slip has the amount mention in it that how much money deposit is at initially or
during account.
MINOR ACCOUNT
This account is basically for the children whose age is under 18 it has some
requirements and benefits that are given below It can open from Rs.100. Birth certificate or
B form of minor. CNIC of father or guardian appointed by court. Free e-statement is used.
Free accidental death/disability insurance coverage will be provided. No minimum
balance charges. No maximum limit of cash. Internet banking facility, access card center
and access ATM two ATM cards are issue on this account.
In this account the minor can’t withdraw money through his/her signature only The
guardian can withdraw money. Other then these I also learn about the types of these
accounts they are as follows:
• Sole proprietorship
• Partnership
• Joint stock companies
• Club, Societies and Associations
• 26
• Foreign missions/ Diplomas
• Agents account
• Trust account

FOREIGN EXCHANGE DEPARTMENT
This department deals in foreign exchange. This department is made for the
convenience of customers having foreign dealings. It makes easy for them to pay and
receive in foreign currency.
• Foreign currency accounts are opened in Dollar, Pound and Euro etc.
• Some of the departments which I observe are as follows:
• Account Opening Department.
• Remittance Department.
• Clearing Department etc.
ACCOUNT OPENING DEPARTMENT

There are many types of accounts such as:
1. Individual Customer Account.
2. Business Customer Account
INDIVIDUAL CUSTOMER ACCOUNT
There are some sub-types of individual customer account.

• Illiterate Accounts
• Minor Accounts
• Joint Accounts
Account Of Illiterate Person
In case of illiterate person the CD 50 form is used which is signed or puts thumb
impression being unable to sign or in case of shaky signature and Age & mark of
identification. Thumb Impression is be affixed in presence of Bank Officer. All cheques are
signed in presence of Bank Officer. Account holder (illiterate person) must submit 3passport
size photographs & copy of National Identity Card. Customer is required to come
personally for each withdrawal and abstained to issue cheque to third party.

Account Of A Minor Person
Minor is a person who has not attained the age of 18 years. Minor can open two types of
accounts
1. Opened & operate independently.

Opened & operated by guardian.
In case of independent minor must capable of signing and parents must give him/her
approval. In case of guardian the account will be operated by guardian even if
minor attains the age of majority.
Joint Account
An account opened in the name of two or more persons. Signatures of both or

each person on a cheque those who are in a contract with bank (Holders of Bank
Account) Payment will be stop if any person disagrees in case of money withdrawal.
BUSINESS CUSTOMER ACCOUNT

This account is totally different from other accounts. This account is for business
customers like big business companies. Transactions for cash depositing and cash
payment is also different. These business customers have much value for the banks.
4.6.2 REMITTANCE DEPARTMENT
Inland remittance means Transfer of funds from one place to another place with in a
country. Following modes of remittance are available and applicant can select which
suits the needs:
1. Demand Draft (D.D)

2. Pay Order
3. Depositing book
DEMAND DRAFT (D.D)
The demand draft is a written order, drawn by one branch of a bank upon another
branch of the same bank, to pay a certain sum of money to or to the order of a specified

person. Drafts are not issued payable to bearer. Demand draft can be issued to any
person, firm, company or local authority. Purchaser deposit cash or advise to debit his
account for the amount of D.D. Branches will maintain a file of draft confirmation report for
record & verification. Dem and Draft includes:
1. Name of drawee branch & city.

2. Amount of draft.
3. Name of payee
4. Signed by two attorneys
Issuing branch may cancel DD on request of purchaser, if it has not been indorsed.
Application in writing by purchaser in which purpose of cancellation m ust be mentioned in
clear & explicit term and it much appear satisfactory.
PAY ORDER
Pay order is semi negotiable instrument issued and payable on the same branch of a
bank. Issuance procedure is same as of dem and draft. Similar remittance application
form is used. Charges are flat as per schedule of charges.
DEPOSITING BOOK
Is the book in which illiterate customer come and we help them in depositing the cash.
CLEARING DEPARTMENT
Clearing department is separate department. This department is very important

because all types of clearing are done in this department. Clearing of all types of items are
done like cash books received, wallet card, cheques and mails etc.
IT DEPARTMENT
UBL systems are the most Hi- Tech in the whole Pakistan industry and it is the State of the
Art in field of IT. The bank made significant investment in consumer related
innovative computer systems .Which have supported the launch of first of their kind
consumer, banking products. We have also reach our customers and broaden our

costumer base through technology depends channels of distribution such as ATMs,

Debt Cards, Internet and Phone Banking .The focus in 2006 will continue to be on
infrastructure building consisting of trade professionals , automation of processes and
implementation of functionally rich and user friendly technology . We firmly believe the
technological strength will enable UBL to lead the financial industry by providing better
service to our customer .Our focus remained on achieving technological superiority in the
industry.
We look to build on the solid foundation we have established by strengthening balance

sheet, diversifying revenue streams and improving operating efficiencies. Building on the
review of business practices undertaken last year, we developed a strategic plan to
realize our vision for the bank. This led to a series of restructuring initiatives to align
ourselves better in order to serve the interests of both costumers an share holders. The
bank will continue building infrastructure in line with the launch of various world class
products in 2007. State of-the-art technology and systems have provided the required
support to the infrastructure for smooth functioning. The focus on automation of branches
continues and we are now targeting the 700 online branches mark. Substantial
investment on premises and renovation is planned to continue in 2008. We renovated
the total of 40 premises that includes 38 branches and 2 Co-operate centers. We also
invested in our office premises in order to provide quality working for people in 2005. In
order to serve our customer better, we build our infrastructure by renovating 59
commercial banking branches and additional 3 co-operate centers in 2006.
FUNCTION OF DEPARTMENT
UBL is a commercial bank, which transacts the business of banking in accordance with the
provisions of BCO, 1962. Section 7 of the Act authorizes banks to engage in the
prescribed form of business. In the light of this section UBL’s functions can be
categorized as under:
Branch banking
For example Deposits, remittance, Foreign trade, Lockers etc.
Consumer banking
For example credit card, auto loans, home loans, consumer durables etc.

Electronic banking
ATM’s, online banking etc. For example phone bank
Corporate banking
For example short / long term finance, trade finance, structured finance etc
Treasury and investment

For example money market, investment, Government securities, correspondent banking
etc.
INVESTMENT PORTFOLIO
UBL em ploys diversified investment portfolio. The bank invests its funds both in risk free
assets as well as in risky assets. This enables it to minimize its unsystematic risk to a
great extent. UBL values its security holding on market value, in accordance with the
guidelines given in SBP circular. Any unrealized surplus/deficit arising on such
revaluation is taken directly to “Surplus/Deficit on revaluation of securities” in the
balance sheet. Where an active market is not available, securities continue to be stated at
cost. Provision for diminution in the value of these securities is made after
considering permanent impairment, if any, in their value. Where securities are sold
subject to commitment to repurchase them at a predetermined price, they remain on the
balance sheet and a liability is recorded in respect of the consideration received in
“Borrowing from Bank” or “Deposits” as appropriate. Conversely, securities purchased
under analogous commitments to resell are not recognized on the balance sheet and
consideration paid is record in “lending to financial institutions” or “loans and advances” as
appropriate.
PRODUCTS LINE OF UBL

PRODUCTS AND SERVICES OF UBL
Being a Commercial Bank, UBL offers the services and products in the following areas:
• Commercial banking

• Corporate banking
• Consumer banking
COMMERCIAL BANKING
To stand tall among the world’s leading banks, UBL has developed a YOU attitude to
understand its customers well. When you talk, we speak for you. For small and middle size
investors, UBL has so much to offer, so much to deliver. You live the way you want; we will
always be shadowing you. Walk in to any nearest branch of UBL, enter the world class bank
and let us serve you with what you need.
If you have a small or medium -sized business, UBL can assist you with the right mix of
banking services that will help you manage and grow your business. Our experts will
facilitate you in the varied financial situations that you come across. We will respond to your
needs promptly because we understand how much your customers, your employees
an attitude to understand its customers well. Middle size investors, UBL has so much to
offer, so much to deliver.
CORPORATE BANKING
Our mission is to serve all your corporate needs and ensure your full satisfaction
through product innovation, personalized banking, and top notch service. The Corporate
Banking Group focuses on attracting and servicing large portfolio customers. The
Relationship Management team manned by highly qualified individuals from the industry
has steadily expanded our customer base. The success of CBG has been established
from the fact that UBL received the 'No.1 Euro money 2000' Best Local Bank award
and recognized it to have out performed all other banks.
In year 2000, UBL was also voted as the best Corporate Bank by the customers of a
major foreign bank in a survey. Aggressive marketing combined with professionalism
has led to an increase in UBL's market share with top corporate customers and in some
cases replacing Foreign Banks. Presently, its portfolio includes the quality names in the
country, which were initially confined to foreign banks only.

CONSUMER BANKING
You as an individual can gain and benefit the most through UBL Consumer Banking. In UBL
you get friendly, efficient and attentive personalized banking services - a unique
banking relationship experienced by each UBL client. You can utilize the following
services. You as an individual can gain and benefit the most through UBL Consumer
Banking. You can utilize the following services.
• UBL Address
• UBL Business line
• UBL Cash line
• UBL Credit Card
• UBL Drive
UBL ADDRESS
Owning a house of your very own is a cherished dream. A lot of planning and hard work is
involved in making this dream come true. That is why, at UBL we aim to make your
decision easier, by offering you the right ingredients that can help you.
UBL BUSINESS LINE
UBL Business Line a complete solution to all your Business Financing needs. With UBL
Business Financing facility, you can now take your business to greater and newer
heights, and achieve the level of success that you truly deserve. UBL Business line is a
running Finance facility that not only provides funds for growth and profitable
opportunities.
UBL CASH LINE
UBL Cash line is a flexible loan that provides you cash up to Rs.500,000 without any
security requirements. It empowers you to take control of your finance. UBL Cash line is
aimed to make your life easier. ZINDAGEE ASAAN. Whether you are a salaried
individual or a businessman, UBL Cash line takes care of your cash requirements.

UBL CREDIT CARD
Welcome to the world of UBL Credit Cards the most exciting and vibrant credit card
brand in Pakistan. We offer you a range of innovative and exciting cards that is not only
powered by the security of chip but also enable you to personalize it any way you want.
UBL DRIVE
Accelerate your life; Drive the way that suits you! UBL Drive is a unique auto financing
product which offers you features, option and flexibility unmatched by any other bank,
because at UBL, You come first.
4.11 FINANCIAL SERVICES
4.11.1 NEW CAR FINANCING
UBL Drive allows you to drive away in your own car by making a down payment of just 15%
and to top that with low monthly installments.
4.11.2 USED CAR FINANCING
With UBL Drive you can buy favorite used car (up to 5 year s old) at the most affordable
rates.
4.11.3 CASH YOUR CAR
UBL Drive is not a car loan; it’s financing facility that gives you Cash on your car, you
can get up to 75% of your car value.
4.11.4 UBL MONEY
UBL money, the personal installment loan from UBL provides you with power, Control
convenience and the flexibility to manage your financial requirements and realize on
your dreams.
It’s about buying new furniture or marriage expenses, financing the education of your
child or enjoying vacations abroad! UBL Money caters your needs handsomely. You

can borrow any sum between 50,000 to 500,000 (PKR) and payoff up till 5 years. We
know what you need at what time. Just give us the opportunity and let us serve
you best.
4.11.5 UBL WALLET
With International power of UBL Wallet, now with the power and international
acceptance of VISA! Your Wallet VISA ATM & Debit Card has all the convenience and
security you desire and the quality you deserve. This Wallet holds all the cash in your bank
account.
4.11.6 UBL e-STATEMENT
UBL is pleased to announce the launch of the UBL e-statement facility which it easier for
you to get your statement of accounts and automated transactional debit/credit alerts
right into you inbox.
4.11.7 UBL Pay Plus
If you are a permanent employee of a company (Government, Semi-Government, MNC or

Local Corporate Entity/Private/Public Limited), which disburses salary through UBL, then
UBL Pay Plus (loan against salary) is the right product for you. Through UBL Pay Plus, you
can now easily avail a loan based on your salary level.
RECOMMENDATIONS
Recommendations are considered to be the most important part of an internship report,
without which no report is considered complete and meaningful. This part of the report is
based on the previous sections.
6.1 HUMAN RESOURCE DEPARTMENT
The importance of manpower cannot be denied in any organization. In case of banks it is the
most valuable asset, because the bank is very sensitive organization and to be in harmony
with this sensitivity, need for proper human resource is felt badly. Critical analysis of

UBL necessities recommending suggestions that would increase bank’s efficiency and
effectiveness.
6.2 POLITICAL INTERFERENCE
The political intervention in the bank needs to be stopped so that the top hierarchy as well
as the personnel placed at other important levels of the institution is not changed Just on
political grounds and the on going developmental work is not obstructed. It will enable the
management to formulate long term strategies and their proper implementation
because the long term policies, accurately based on calculated risk, have proved the
pivotal role players for organizational sustainable development.
6.3 BASIS FOR PROMOTION
A sizable portion of the officers of UBL, are promoted in without test and interviews to
officer’s cadre. The promotion policy must be too tight and transparent that no one may have
the chance to be promoted on criteria other than the required qualification,
experience and performance.
6.4 NEEDS OF CHANGE IN RECRUITMENT POLICY
It is important to say that the external level market is full of the required talent like MBA, M.
Com etc, But on the country only graduation with simple subjects is still the requisite
qualification for officer’s cadre, which has already worked amply in the devastation of
UBL.
6.5 REFRESHER COURSES
The Human of the bank should frequently conduct meaningful refresher courses,
seminars and workshops with a view to improve the knowledge of the staff. Due to
severe competition and technological developments, the banking business is
experiencing rapid changes therefore the HRD should have arrangements for staff
trainings to cope with the new changes that may become threats for the interest of the
bank.

6.6 TRAINING FOR CREDIT MANAGEMENT
Special trainings on credit management should be imparted to the finance dealing staff.
Financing is main fountain bank’s income. Sound finance is extremely necessary for
opening of springs of the smooth inflow of the income.
6.7 INTRODUCTION OF NEW COURSES

The human recourses division of the bank should focus on the restoration of the
corporate image of the bank by floating programs such as, marketing excellence,
courses on corporate culture and others. Usually in businesses the wholesalers,
retailers and other intermediaries are finished by opening a network of the business own
outlets. It works as profit maximization devise.
6.8 CAREER DEVELOPMENT
As a matter of personnel policy HRD of UBL should prepare a plan showing the future
growth potential of employees on the job performance and evaluation and it should be
made known to the employees. In this regard, employees should be given opportunities to
show their performances, which would help in their career development.
Learning
Week 1:
I am very thankful to the manager and the other whole staff of UBL that they welcomed me
on the first day of my internship. The manager introduced me to the staff and told me about
the main functioning areas of the bank. My first whole week spent in introduction to the
banking terms
Vertical Analysis of Balance sheet

2010% 2009% 2008% 2007% 2006%

ASSETS
Cash and balances with treasury
9.65 9.86 8.27 10.84 11.56
banks
Balances with other banks 2.60 0.87 1.24 0.79 3.31
Landings to financial institutions 1.77 3.73 3.76 4.67 6.98
Investments 32.13 21.69 19.21 21.79 15.89
Advances 47.7 57.13 61.29 56.45 58.42
Operating fixed assets 3.2 3.53 2.93 3.19 1.23
Deferred tax asset 0.185 0.098 0.34 0 0.21
Other assets 2.6 2.78 2.91 2.24 2.36
Total Assets 100 100 100 100 100
LIABILITIES
Bills payable 0.72 0.83 0.86 1.14 1.07
Borrowings 6.45 5.67 7.30 11.14 9.09
Deposits and other accounts 78.8 79.9 79.9 75.74 79.16
Sub-ordinate loans 1.71 1.93 1.98 1.13 1.41
Deferred tax liability -net 0 0 0 0.42 0
Other liabilities 2.51 2.33 2.76 2.41 2.19
Total Liabilities 90.20 90.16 92.75 92 92.94
Presented by
Share capital 1.75 1.79 1.67 1.53 1.52
Reserves 3.10 3.05 2.55 1.93 1.96
Un-appropriated profit 3.75 3.58 2.74 2.95 2.93
Surplus on revaluation of assets -
1.17 1.39 0.27 1.58 0.62
net of deferred tax
Total equity 9.79 9.83 7.24 7.99 7.05
Horizontal Analysis of Balance Sheet

2010% 2009% 2008% 2007% 2006%
ASSETS
Cash and balances with treasury
137.84 125.60 102.3 117.54 100
banks
Balances with other banks 129.62 38.58 53.41 29.86 100
Landings to financial institutions 41.87 78.32 77.11 83.80 100
Investments 333.89 202.41 172.95 171.84 100
Advances 134.94 143.17 150.07 121.04 100
Operating fixed assets 428.39 418.87 344.28 323.22 100
Deferred tax asset 143.20 67.15 226.72 0 100
Other assets 185.97 168 176.07 119.15 100

Total Assets 165.09 146.41 143.06 125.28 100

LIABILITIES
Bills payable 110.63 112.86 113.89 133.3 100
Borrowings 117.02 91.17 114.82 153.55 100
Deposits and other accounts 164.33 146.84 144.31 119.86 100
Sub-ordinate loans 199.81 199.88 199.95 99.97 100
Deferred tax liability -net 0 0 0 0 0
Other liabilities 189.62 155.92 180.40 138.14 100
Total Liabilities 129.21 142.03 142.77 124.01 100
Presented by
Share capital 189.06 171.87 156.25 125 100
Reserves 261.34 228.45 186.79 123.65 100
Un-appropriated profit 211.18 178.50 133.58 125.93 100
Surplus on revaluation of assets -
309.59 325.62 61.66 316.28 100
net of deferred tax
Total equity 229.09 204.05 146.87 142.05 100
Vertical Analysis Income Statement:

2010% 2009% 2008% 2007% 2006%
Mark-up / return / interest earned 100 100 100 100
Mark-up / return / interest expensed 42.52 46.08 46.34 100
Net mark-up / interest income 57.48 53.91 53.65 100
Provision against loans and advances - net 11.81 18.21 12.96 100
Provision for diminution in value of
investments
-net
Bad debts written off directly 1.67 2.43 2.63
Net mark-up / interest income after
43.99 33.26 38.05 100
provisions
Non mark-up / interest income
Fee, commission and brokerage income 10.68 9.69 12.03 100
Dividend income 0.99 0.99 1.13
Income from dealing in foreign currencies 2.78 1.98 3.45
Gain on sale securities 0.26 1.03 0.38 100
Unrealized loss on revaluation investments
.064 0.0049 0,037 100
classified as held for training
Other income 2.38 4.98 3.59 100
Total non-mark-up / interest income 17.05 18.68 20.56 100
Non mark-up / interest expense
Total non mark-up / interest expenses 31.15 28.98 31.90 100
Profit before taxation 29.90 22.96 26.72 100
Taxation 11.09 7.92 10.67
Profit after taxation 18.80 15.04 16.05 100

Un-appropriated brought forward 0 27.28 30.15 100

Transfer from surplus on revaluation of fixed
0 0.41 0.48 100
assets-net of tax
Profit available for appropriation 18.80 42.80 46.68 100
Horizontal analysis of Income Statement

2010% 2009% 2008% 2007% 2006%
Mark-up / return / interest earned 179.83 185.21 157.37 124.41 100
Mark-up / return / interest expensed 207.83 232.24 198.41 139.65 100
Net mark-up / interest income 163.47 157.88 133.51 115.55 100
Provision against loans and advances - net 344.83 516.18 228.59 278.42 100
Provision for diminution in value of
investments 100
-net
Bad debts written off directly 370.06 551.69 507.71 347.17 100
Net mark-up / interest income after
140.73 109.59 106.53 95.35 100
provisions
Non mark-up / interest income
Fee, commission and brokerage income 142.88 133.58 140.88 129.97 100
Dividend income 70.58 72.41 70.22 65.53
Income from dealing in foreign currencies 250.67 183.99 272.13 125.40
Gain on sale securities 56.57 224.10 71.49 302.41 100
Unrealized loss on revaluation investments
100
classified as held for training
Other income 191.9 412.8 252.73 219 100
Total non-mark-up / interest income 145.65 164.34 153.69 129.41 100
Non mark-up / interest expense
Total non mark-up / interest expenses 164.95 158.08 147.84 122.04 100
Profit before taxation 124.14 98.19 97.07 90.99 100
Taxation 136.46 100.37 114.88 95.41
Profit after taxation 117.86 97.08 88.01 88.74 100
Un-appropriated brought forward 225.88 212.95 169.09 100
153.37 142.61 123.86 100
Transfer from surplus on revaluation of fixed
267.87 267.87 66.72 100
assets-net of tax
Profit available for appropriation 154.01 143.31 123.54 100
CONCLUSION
Every work we have done on our lives has it failure and successful aspects. The
internship main purpose was to understand the practical life that how professionally we have

to start our work and in manner that can reveal our path to the future. As I worked in a
practical environment I am confident to work in a financial institution. The main
intrinsic worth is being more confident through meeting and understanding the behavior of
people (customers, employees). It is to convince someone according to their requirements
and their psyche and to drive some one to get products or services. As according to
demerits there is always usual in our environment where different types of personalities
meets and do work at one place. I have learnt that how management is difficult to do
and how we can make it more effective. Now after my internship I know how the bank works.
How is the professional environment and how we have to do work there?

Preface: UBL Internship Report

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UBL !

Bachelor in business administration (BBA) is a program in which we

Comsats Wah Page 1 of 31!

Comsats Wah Page 2 of 31!

OVER VIEW OF THE ORGANIZATION!..............................................................8

2.8 BOARD OF DIRECTOR! 13

2.8.1 CHAIRMAN OF UBL! 13

2.8.2 DEPUTY CHAIRMAN OF UBL! 13

2.8.3 PRESIDENT OF UBL! 13

2.8.4 DIRECTOR OF UBL! 14

2.8.5 DIRECTOR OF UBL! 14

2.8.6 DIRECTOR OF UBL! 14

2.8.7 GROUP FINANCIAL OFFICER! 15

Comsats Wah Page 3 of 31!

2.9 NUMBER OF BRANCHES! 15

4.2 SPECIMEN SIGNATURE CARD! 15

4.2 SPECIMEN SIGNATURE CARD! 15

4.3 CASH BOOK REGISTRATION! 16

4.4 DEPOSIT SLIPS! 16

FOREIGN EXCHANGE DEPARTMENT! 17

ACCOUNT OPENING DEPARTMENT! 17

INDIVIDUAL CUSTOMER ACCOUNT! 17

Account Of Illiterate Person! 17

Account Of A Minor Person! 18

BUSINESS CUSTOMER ACCOUNT! 18

4.6.2 REMITTANCE DEPARTMENT! 18

DEMAND DRAFT (D.D)! 18

Comsats Wah Page 4 of 31!

Treasury and investment! 21

PRODUCTS LINE OF UBL!.................................................................................21

PRODUCTS AND SERVICES OF UBL! 21

UBL BUSINESS LINE! 23

UBL CASH LINE! 23

UBL CREDIT CARD! 24

4.11 FINANCIAL SERVICES! 24

4.11.1 NEW CAR FINANCING! 24

4.11.2 USED CAR FINANCING! 24

4.11.3 CASH YOUR CAR! 24

4.11.4 UBL MONEY! 24

4.11.5 UBL WALLET! 25

4.11.6 UBL e-STATEMENT! 25

4.11.7 UBL Pay Plus! 25

6.1 HUMAN RESOURCE DEPARTMENT! 25

Comsats Wah Page 5 of 31!

6.2 POLITICAL INTERFERENCE! 26

6.3 BASIS FOR PROMOTION! 26

6.4 NEEDS OF CHANGE IN RECRUITMENT POLICY! 26

6.5 REFRESHER COURSES! 26

6.6 TRAINING FOR CREDIT MANAGEMENT! 27

6.7 INTRODUCTION OF NEW COURSES! 27

6.8 CAREER DEVELOPMENT! 27

Vertical Analysis of Balance sheet!...................................................................27

Horizontal Analysis of Balance Sheet!.............................................................28

Vertical Analysis Income Statement:!...............................................................29

Horizontal analysis of Income Statement!.......................................................30

Comsats Wah Page 6 of 31!

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OVER VIEW OF THE ORGANIZATION

Holding Company United Bank Ltd.

Comsats Wah Page 8 of 31!

improvements in customer services and internal systems to improve efficiency. It also

The mission statement translates into our objectives: