Internship report

On
“General Banking Performance- A Study on Agrabad Branch First Security
Islami Bank Limited”
(This internship report has been prepared for the partial fulfillment of the degree
of Bachelor of Business Administration with a major in Finance)

Supervised By:
Professor Dr. Mohammad Saleh Jahur
Department of Finance
Faculty of Business Administration
University of Chittagong

Prepared By:
Shamonur Meti
ID NO: 17303010
BBA Program
8th Semester
Session: 2016-2017
Department of Finance
University of Chittagong

1
 Date of Submission:

Table of Contents
Chapter-01
Introduction (Page:4-8)
Particulars
1.1 Prelude

1.2 Statement of the problem

1.3 Objective of the report

1.4 Scope of the study

1.5 Rationale of the report

1.6 Research Design

1.7 Organization of the report

1.8 Limitations of the study

Chapter-2
Overview of FSIBL,( Page : 9-19)
Particulars
2.0 Introduction:
2.2 Organizational Structure of First Security Islami Bank Limited
2.3 Products & Services
2.4 Market Competitiveness
2.5 The objective of the internship:

3.6 Conclusion:

2
 Chapter -3
(Findings and Analysis), Page: (20-48)
Particulars
3.0 Introduction
3.1.0 Analysis on General Banking Activities

3.2. Analysis on FSIBL General banking policy and products

3.3 Analysis on General Banking performance Agrabad Branch

3.4 Problems

3.5 Suggestions for general banking

Chapter -4
(Summary, Policy Implications and Conclusion), Page :(49-52)
Particulars
4.0Introduction

4.1 Summary of the findings

4.2Policy Measures:

4.3Conclusion

3
 Chapter-01
Introduction

1.1 Prelude
The banking sector is one of the key players in the global financial sector, not leaving Islamic banking
behind which becomes a crucial part. A large number of the teachings of Islam deal with economic
affairs. One of the five questions Muslims will face on Judgement Day will be: “How did you earn your
wealth and how did you spend it?” Our earnings must come from halal means (permissible according to
Islamic Law) and must be spent on halal categories of expenditure. Around 62% of the world’s Muslims
live in the Asia-Pacific region (Turkey to Indonesia). Southeast Asia acts as a central hub for Islamic
banking and finance, especially Malaysia, Indonesia, and Brunel with a large Muslim population.
Bangladesh is one of the largest Muslim countries in the world. The individual of this country is
profoundly committed to the Islamic way of life as cherished within the Heavenly Qur’an and the
Sunnah. Normally it remains a deep cry in their hearts to mold and plan their financial lives in the
understanding of the statutes of Islam. The Islamic banking system has gained the trust of millions of
customers (Majeed & Zainab). First Security Islami Bank Ltd was incorporated on 29 August 1999 as a
commercial bank. It started operations on 25 October 1999 with an authorized capital of 1 billion taka.
From 2009 the bank started sharia banking. There are a total of 196 branches of First Security Islami
Bank Limited situated in 52 districts in Bangladesh.
This Islamic banking is keeping money or keeping money movement that’s reliable with the standards of
Shariah and its viable application through the improvement of Islamic finance matters. As such, a more
correct term for ‘Islamic banking is Shariah-compliant finance’. Shariah prohibits the acceptance of
specific interest or fees for loans of money ( known as riba or usury), whether the payment is fixed or
floating. Investment in businesses that provides goods or services considered contrary to Islamic
principles (e.g., pork or alcohol) is also haram (“sinful and prohibited”). Two fundamental principles of
Islamic banking are the sharing of profit and loss and the prohibition of the collection and payment of
interest by lenders and investors. At the end of June 2021, Bangladesh’s 10 full-fledged Islamic banks
have been operating with 1569 branches out of a total of 10788 branches in the whole banking sector.
General banking provides the foundation of a banker customer relationship. This department is
considered the direct customer service center. It is the starting point of all the banking operations. It
opens new accounts, remits funds, honor cheque, takes deposits, issues bank drafts and pays orders etc.
General Banking is the most important and preliminary of a bank, as the major encounters with the
customers happen during providing and performing the services of general banking. As a key driver of
the economy, it provides a safe place to save excess cash known as deposits. It also supplies liquidity to
the economy by investing this money, allowing consumers to purchase homes, cars, and consumer
products. That’s why the report was developed concentrating on the overall general banking
performance of First Security Islami Bank, Agrabad Branch, Chittagong.
The banking industry is undergoing a radical shift, one driven by new competition from FinTechs,
changing business models, mounting regulation and compliance pressures and disruptive technologies.In
the digital world, there’s no room for manual processes and systems. Banks need to think of technology-
based resolutions to banking industry challenges.

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1.2 Objective of the report

The report’s main objective is to evaluate the general banking performance of the first security Islami
Bank Limited Agrabad Branch.
To accomplish the main objective following specific objectives have been covered:
a. To give an overview of First Security Islami Bank Limited;
b. To analyze general banking policy and products of FSIBL;
c. To examine general banking performance of FSIBL Agrabad Branch;
d. To identify problems facing the branch in managing general banking and
e. To suggest some policy measures for improving the general banking performance of the FSIBL
Agrabad branch.

1.3 Scope of the study

The study has covered general banking performance of First Security Islami Bank Limited for five years
from 2017-2021.

1.5 Rationale of the report

Right now, Bangladesh Bank has four divisions, namely, State-owned Commercial Banks (6), Private
Commercial Banks (43=Conventional bank 33+Islami Shariah-based bank 10), and foreign commercial
banks (9) and 9 specialized banks (Bangladesh Bank,2021). The banking sector of Bangladesh is getting
competitive day by day; new banks are trying to add modern products to their product line and design
their services more efficiently, modern technologies (cloud banking) are coming for flexible banking.

For academic purposes, every student is required to work in selected institutions as an intern to enrich
their practical knowledge and experience. After completing the internship, an internship report should be
prepared on the knowledge of the internship. For the completion of this internship program, I have been
placed in a bank named “First Security Islami Bank Limited” Agrabad Branch. Here, I have used my
personal experience in general banking of a commercial Islamic bank such as First Security Islami
Bank Limited Agrabad Branch. From this report, we can get information and knowledge about the
products and services, tools used to satisfy their customers, and all other things that are related to the
general banking of First Security Islami Bank Limited Agrabad Branch. Therefore, this study will be
helpful to depositors and investors to make well-timed decisions concerning investment and fundraising.
Ultimately, the results of the study also help different stakeholders and policymakers .

1.6 Research Design

The research is a descriptive one.

1.6.1 Population and sample:

5
 Population
There are 43 private commercial banks. The report has been prepared on the general banking
practice of FSIBL

Sample size:
Only one branch of FSIBL has taken the sampling unit for the study. For example, Agrabad Branch,
Chittagong.

Sampling Techniques:
A random sampling technique has been applied to select samples for the study.

1.6.2 Method of data collection:

The observation method and direct interview method have been used for the collection of data that are
used in the study.

Selection of the data

Primary data collected from,

 Interviewing with the bank officials of FSIBL, Agrabad Branch.

 Practical and manual experience gained by working at different desks during the internship
period.
 Conversation with the new and prospective clients.
 Observing the total environment.

Secondary data collected from,

 Newspapers, journals on the Islamic banking system.

 Officials’ records of First Security Islami Bank Limited.
 Web site of the First Security Islami Bank Limited.
 Collections prior research reports.
 Various reports and articles related to the study.
 Some of my course elements as related to this report.
 Brochure and prospects of FSIBL.
 Annual report of FSIBL.
 Various published documents of FSIBL.

1.6.3 Analysis of Data

The study has used descriptive statistics. The study has also used graph, trend analyses and pie chart.

1.7 Limitations of the study

Six-week time is not enough for such an extensive study. Through I have received maximum assistance
from every individual of the FSIBL Agrabad Branch. Due to the time limit, the scope and dimension of
the study have been curtailed.
I have faced the following obstacles while preparing this report:
Data Constraints

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  Since the ideal size of data could not be taken, the suggested operating process may not
be useful without appropriate modification.
 Sometimes the authority does not provide their internal information which is very
difficult to collect from any other sources.
 Some internal information is highly confidential to show a report.
 Sufficient records and publications were not available

Time constraints

 Due to a shortage of time, the accuracy of information may not have been completely
perfect. It is very difficult to collect all the required information in such a short period

 Although bankers have tried their best to help, the nature of the job is such that gives
them little time to discuss.
 During the time of queries, the information was not found in a structured way
Financial constraints
 A financial constraint is any factor that restricts the amount or quality of investment
options. They can be internal or external. Internal constraints such as lack of knowledge
or poor cash flow.

Skill constraints
 Large-scale research was not possible due to constraints and restrictions imposed by the
bank.
 Lack of research skills in researcher.
 Failed to collect proper information due to lack of experience.

It was very difficult to get the actual information because the bank personnel and officials were
sometimes very busy with their occupational activities. Hence it was a little bit difficult for them to help
within their tight schedule.

7
CHAPTER -2
First Security Islami Bank Limited : An Overview
2.0 Introduction:
FSIBL a third generation progressive Shariah Based Islami Bank having a corporate culture and safety
growth in its business expansion. First Security Islami Bank Ltd was established as a Public Limited
Company in Bangladesh on 29 August 1999 under Companies Act 1994 to carry on banking business.
The converted its banking operation into Islamic Banking based on Islamic Shari’ah from traditional
banking operation on 01 January 2009 after obtaining approval from honorable High Court. Minister of
Finance and Bangladesh Bank. It obtained permission from Bangladesh Bank on 22 September 1999 to
commence its business . The Bank is one of the interest- free Shari’ah based banks in the country and its
modus-operandi are substantially different from other conventional banks. The bank went for public
issue on 20 July 2008 and its shares are listed with Dhaka Stock Exchange (DSE) Ltd. and Chittagong
Stock Exchange (CSE) Ltd. Presently the bank carries out its banking activities through its 71 Agent
outlets, 136 Sub-branches and 196 branches in the country. The Bank had no overseas branches as at
December 31,2021. The registered office of the bank is located at 23, Dilkusha C/A, Dhaka-1000

Vision
To be the premier financial institution in the country based on Islamic Shari’ah by providing high quality
products and excellence in services backed by the latest technology and a team of highly motivated
personnel to deliver excellence in Banking Services .

Mission
 Make a positive contribution to society and care for the environment by attaining the highest
level of satisfaction through the extension of services by dedicated and motivated professionals.
 Provide solutions for the community to the needs of Islamic Banking services to maintain
continuous growth of market share by ensuring corporate ethics and transparency in all levels.
 Provide optimal investment value for investors by ensuring sustainable growth and establish full
of honorable shareholders and above all, to contribute effectively to the national economy.
 Create the best rides as a place of pride for the work and achievement for employees as a
manifestation of worship.
 Provide comfortable access through various means anytime and anywhere by allowing
individuals to improve their quality of life and bring peace of mind.

8
Core values

Brand
Value

Creativity Knowledge

core
Values

Fairness Friendliness

Clarity

1. We trust in the Almighty Allah.

2. We adherence to the spirit of Islami Sharia’h.
3. We believe in integrity, transparency and accountability.
4. We ensure our clients’ expectations by anticipating their needs and responding with sense of
urgency.
5. We approach business decisions with an example on long term growth and sustainable profit.
6. We communicate with candor and transparency to provide the best services.
7. We believe that commitment to our faith and families is fundamental to the overall culture of our
institution.
8. We share business plan and encourage two way communication.
9. We work together as a team internally and collaborate externally with our customers to meet or
exceed their expectations and help them reach their goals.
10. We believe that acting with integrity, servicing our clients with utmost care and working with
them in a collaborate way bring respect, loyalty and trust.
11. We encourage our team members to take initiatives by creating an environment that encourages
employees to lead and make decisions based on the best interest of the customer and bank.
12. We provide for the welfare of our customers and team members not only physical safety, but
financial safety and security as well.
13. We work for the economic emancipation and alleviation of poverty from our country.
14. We contribute to the economic development and nation- building activities of our country.
15. We upload the name and fame of the bank and the country through international trade.
16. We work for value additional to the investment of the valued shareholders.

Strategic Objectives
1. Employing, retaining local qualified personnel, and continually develop their skills and expertise to
provide banking services and manage operational risks in line with industry best practices. Applying
equal opportunity employment principle to encourage performing personnel to grow within the bank.
2. Establishing a set of managerial succession and adopting technology changes to ensure development
of an Islamic Bank as a stable financial institution.

9
3. Achieving financial strength and growth, including expanded market share, and generating income
for its shareholders through strengthening trust and partnership with our customers and an on-going
focus on providing professional and quality customer service.
4. Designing suitable products and services which are very responsive to meet the client’s financial
needs and aspirations as well as ensuring adequate risk- adjusted return for the bank through
delivering services with the implementation of world class IT infrastructure.
5. Introducing existing products into a new market and new products to new and existing markets with
our innovative services approach and conforming to monetary laws and regulation.
6. Developing and implementing a promotional plan to drive increased business.
7. Investing in infrastructure that unlocks the potential of the private sector, championing gender
equally and community participation. It will help improve skills for competitiveness, ensuring that
those skills better match the opportunities and requirements of local job markets.
8. Contributing actively to the national economy growth through attracting foreign investment,
financing investment projects in the country and promoting foreign trade with locals.
9. Ensuring corporate governance in conformity with laws and regulations and undertaking all our
activities honestly, responsibly and ethically.
10. Devising suitable programs and action plans to accelerate our recovery drive and cost rationalization
initiatives.
11. Pursuing earnings growth by increasing its penetration in the banking services market, while
maintaining its focus on asset quality. Continual pursuing its international expansion program to gain
both market share and protecting itself through geographic and economic diversification.
12. Promoting sustainable development in the country in the country through continuous corporate
sponsoring of social activities.
13. Ensuring ‘Green Banking’ in the context of prevailing regulations of central bank.
14. Establish one new strategic alliance annually.
15. Continual pursuing its international expansion program to gain both market share and protecting
itself through geographic and economic diversification.
16. Promoting sustainable development in the country in the country through continuous corporate
sponsoring of social activities.
17. Ensuring ‘Green Banking’ in the context of prevailing regulations of central bank.
18. Establish one new strategic alliance annually.

2.1 PROFILE of THE BANK

10
Registered Name of The Company
Legal Form
Registered Office
Head Office
Bank web-address
SWIFT
Certificate of incorporation number
Certificate of Commencement of Business
Number
Bangladesh Bank Approval number
Listing date with Dhaka Stock Exchange Ltd.
And Chittagong Stock Exchange ltd
VAT registration number
Tax payer’s Identification No.
External Auditor
Legal Advisor
Tax Consultants
Practicing Professional
Certification of CGC
Number of Branch
Number of Sub-bramch
Number of ATM & CRM booth (own)
Number of Agent Banking outlet
Number of Employees & Staff
Number of Directors
Chairman
Vice- Chairman
Managing Director
Chief Financial Officer
Head of Internal Control & Complience Rafiq Ul Alam
Division
Company Secretary
Subsidiary Companies
First Security Islami Bank Limited
A Schedule Commercial Bank incorporated
under the Companies Act, 19194 as a Public
Limited Company and licensed under the
Bank Companies Act,1991.
23, Dilkusha C/A , Dhaka-1000, Bangladesh
Tel:88-02-55045706, 223356431, E-mail:
share@fsibl.com
Rangs RD Center, Block # SE (F), Plot #
03,Gulshan Avenue, Gulshan-1, Dhakan-1212,
Bangladesh.Tel:88-02-55045969, E-mail:
info@fsiblbd.com
www.fsiblbd.com
FSEBBDDH
C-38464 (422) / 99, Date: August 29, 1999
Issue No. 3060, date: September 29, 1999
No. BRDP (P) 744 (73)/ 99-2931, Date-
September 22, 1999
September 22, 2008
000397534-0101
357777328548/ Tax Circle and Zone-LTU
(Tax)
1. SHAFIQ BASAK & CO., Chartered
Accountants.
2. RAHMAN MOSTAFA ALAM & CO.,
Chartered Accountants
The Law Counsel, Barristers and Advocates,
City Heart (7th floor),
Suit No. 8/8, 67, Naya Paltan, Dhaka-1000
K.M Hasan and Co., Chartered Accountants
Home Tower Apartment,87,New Eskaton
Road,Dhaka-1000
for Ahmed Zaker & Co., Charted Accountants
Green City Edge (Level-10),89 Kakrail,
Dhaka-1000
196
136
200
71
5086
12
Mohammed Saiful Alam
Mohammed Abdual Maleque
Syed Waseque Md Ali
Md. Mustafa Khair
Oli Kamal Alam
1. First Security Islami Capital and
Investment Limited.
2. First Security Islami Exchange Italy, SR
11
Annual Report:2021

FSIBL in 2020
Overall achievements of the FSIBL, almost in all cases, were in positive trend and continued efforts to
promote quality in all activities. Accordingly, the total number of branches and ATM booths stood at
190 and 165 respectively at the end of 2020.

Branches Sub-branches ATM Booths Agent Banking

Outlet
190 50 65 41

We are hoping to continue this endeavor to include unbanked people under the banking umbrella in the
upcoming days. To deliver banking services at the doorstep, digitalized banking services like SMS
banking , internet banking, mobile banking etc. have already been functioned in F 2.2
Organizational Structure of First Security Islami Bank Limited:
There are three different wings to consist the organizational structure of FSIBL .

They are:
Board of Directors
Executive Committee
Senior Executive

12
Board of Director:
Chairman

Vice Chairman

Directors

Managing Directors

Company Secretary

Auditors

Legal Advisor

Advisor

Responsibilities

Monitor and
strengthen To determine which programs are consistent with the
organizations mission and monitor their effectiveness.
programs and Set out rules,governance and policies.
services

Protect assets
and provide The board must assist in developing the annual
budget and ensuring that proper financial controls.
proper financial Build a competent board.
oversight

Ensure One of the boards foremost responsibilites is to

adequate secure adequate resources for the organization to
fulfill its mission.
financial Ensure legal and ethical integrity
resources Contribute to development of strategy

13
Senior Executives:
Managing
Directors

Deputy
Managing
Director

Executive vice
President
Secretary

Senior Vice
President

Vice
President

First Vice
President

Assistant
Vice
President
First
Assistant
Vice
President

Executive Committee:

Managing Director

Directors

Chairman

14
Hierarchy of First Security Islami Bank Ltd:

Managing
Directors(MD)

Deputy Managing
Director(DMD)

Senior Executive Vice

President (SEVP)

Executive Vice
President (EVP)

Senior Vice
President(SVP)

Vice President(VP)

Senoor Assistant Vice

President (SAVP)

Assaisnt Vice
President

Senior Principal
Officer(SPO)

Principal Officer(PO)

Senior Officer(SO)

Management Trainee
Officer (MTO)

Officer

Corporate Governance:
Corporate governance is about how corporation is running its operations to achieve its corporate
objectives. Bangladesh Bank (BB) gives emphasis on implementing corporate governance among the
financial the financial institution and to do that, BB emphasis implementation of the guidelines issued by
them for improving corporate governance in banking. Good Corporate Governance practices enhance an
entity’s corporate image and market credibility, which attract capital and increase its borrowing power.
These can be reflected in the quality of financial and disclosures; strength of internal control system and
internal audit function induction of professionally competent, independent non-executive Directors on
corporate Board; formation of Audit Committee; delegation of authority to executives and staff;
protection of corporate for strengthening organizational strength. With a view to ensure effective
participation and deep interest in the affairs of the company and as per Articles of Association of the
company and as per Bangladesh Bank Circular No. 16 dated March 24,2003 the bank has set up the
following 2 committee:

 Executive Committee
 Audit Committee

Executive Committee
FSIBL has constituted 09 members executive committee of the board of directors as per Bangladesh
Bank guidelines to ensure corporate governance in the business of which managing director of the bank
is Ex-officio Member. The executive committee of the board are responsible for developing policy and
strategy for smooth operation of business and business development of the bank to ensure maximization
of shareholders wealth protecting other stakeholders interest in the company Mr. Md. Saiful Alam,
Chairman of the board of Directors is the Chairman of the present Executive Committee of the bank. He
is very dynamic person and leading the executive committee of the bank in a very manner.

15
Audit Committee
FSIBL has formulated an audit committee that can play an effective role in formulating an efficient and
secured banking system. The Audit Committee has been formed comprising three members of the Board
of Directors. As per corporate governance guidelines, the Chairman of the Audit Committee should have
sound knowledge and expertise in finance and accounting or auditing.

Different departments involved in FSIBL:

1. Customer Care Department
2. Cash Department
3. Accounts Section
4. Investment Department

Statements prepared by Accounts Section:

1. Sector wise balance position
2. Maturity balance sheet
3. Foreign currency statement
4. Branch Trail balance
5. Liquidity Position
6. Income & expenses statement.

2.3 Products & Services

1. General Products & Remittance a) Mudaraba saving account (MSD)

b) Al-Wadiah Current Account
c) Mudaraba Short Term Deposit (MSTD)
d) TT, DD, PO
4. Deposit Scheme a) Mudaraba Term Deposit Scheme (MTD)
b) Mudaraba Double Benefit
Scheme(MDBS)
c) Mudaraba Montyly Income Scheme
(MMIS)
d) Mudaraba Monthly Saving Scheme
(MMSS)
8. Investment Scheme a) Baimuajjal
b) Mudarabawes bills
c) Hire purchase
d) Quard purchase
e) Bills purchase & discount
f) In-land
g) Foreign
h) Loan against trust receipt
i) Customer credit scheme
j) Staff loan

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SERVICES:

Retail Banking SME Lending Corporate Credit

Foreign Exchange
Business
Locker services Credit Card Western union
money transfer

SMS Banking SWIPT Services Treasury

International Trade
ATM Banking Online Banking
Management

2.4 Market Competitiveness

SWOT analysis is the detailed study of an organization’s exposure and potential from the
perspective of its strengths, weakness, opportunities and threats. This facilitates the
organizations to make their existing line of performance and also foresee the future to improve
their performance in comparison to their competitors. As though this tool , an organization can
also study its current position, it can also be considered as an important tool for making changes
in the strategic management of the organization.
Organizations often think the way to measure customer satisfaction is to examine the number of
customer complaints. The problem with this method is that it is reactive, it only responds after
the event and it does not really measure satisfaction only dissatisfaction. Monitoring the
complaint level does not really tell if the customers are any more or less satisfied with the
product or service.
In the competitive arena of the marketing era SWOT analysis is a must based on Product, Price,
marketing policies of a financial institution like a bank. From the SWOT analysis we can
figure out ongoing scenario of this bank.

Strengths
Bank Reputation
FSIBL has already established a favourable reputation in the banking industry.

Islamic Banking Concept

As we are an Islamic Nation our major deals want to follow the Islamic rules and regulations.
FSIBL always follows the Islamic rules. And it always helps the bank to attract the new and
existing clients.

17
Top Management
The top management of the organization is the driving force and they are very experienced in
the banking sector, skills, and expertise will continue to contribute towards further expansion of
the bank.

Teamwork at mid-level and lower level

Many jobs are performed in groups of two or three in order to reduce the burden of the
workload and enhance the process of completion of the job.

Facilities and Equipment

FSIBL has the adequate facilities and equipment to provide better services to the customers. The
bank has computerized and online banking operations under software.

Modern Branches:
This creates a positive image in the minds of the potential customers and many people get
attracted to the bank.

Weakness:
Lack of Advertising and promotion of their new products
FSIBL does not have any advertisements for SME loan. As a result people are not aware of this
product.

Low reward package

The reward package for the entry and the mid-level management is considerably low. The
compensation package for FSIBL. Entry-level positions are even lower than the modern banks.
Under the existing low payment structure , it will be very difficult to attract and retain higher
educated employees in FSIBL.

Opportunities:
Diversification
FSIBL can purse a diversification strategy in expanding its line of business.By expanding their
business portfolio, FSIBL can reduce their business risk.
Interactive corporate culture:
There are no hidden barriers while interacting awith the superior or the subordinates. Its
working environment is friendly and interactive. That’s why the FSIBL working environment
boosts the spirit and motivation of the employees.
Competitive Advantage
In this competitive environment, FSIBL must expand its product line to enhance its sustainable
competitive advantage.
Threats
18
  There are many competitors in the market.
 Regulatory requirements
 Changing customer needs.
 Many of competitor banks are well equipped & also providing better online services.

Business Growth
Deposit and Investment have been increased as expected in 2020 unlike last few years. At the end of
2020, the amount of our bank’s deposits stood at 42,060 crore, which is about 5200 crore or about 14
percent more than in 2019 in 2020, the bank’s investment distribution has growth by about 14 percent,
which was about 16 percent in 2019. As a result, the total investment of the bank has increased by TK
5,061 crore to TK 41,509.30 crore. In 2020, the bank’s operating profit grew by about 4 percent to stand
at TK.613 crore.

Key indicators

Deposit: 42,870 Investment Operating Profit :

Crore 41,509 Crore 613 Crore
Source: Annual Report 2020
In 2020, the bank’s import business stood at TK.4,302 crore. On the other hand, the bank’s export
business. In 2020 was 1241 crore. When our expatriates sent a record amount of remittances in 2020, the
total remittances through our bank came to TK.1500.31 crore.

Export:
1241
Crore

Non-
funded
Import Remittance:
4,302
1500 Crore
Crore

Source: Annual Report 2020

Human Resource:

19
At the end of 2020 there are 345 Executives and 3,243 Officers working in the
bank. Dedicated own training institute conducted different courses in 2020 for
developing the knowledge level about banking and different ethical issues. Besides , our research team
was dedicated to find out necessary key factors related to national and international issues for designing
essential model and strategies for the betterment of the bank.

Officers-
3,243

Executives-
Staff- 831
345

Manpower

Source: Annual Report 2020.

Corporate Social Responsibility:

Aside from banking activities, FSIBL has been trying to extend financial aid in health services, render
education and alleviate poverty for the poor and meritorious students by providing scholarships for the
underprivileged, helpless, neglected & lagged behind communities during natural disasters and /or
calamities every year under corporate social responsibility (CSR) programs. Besides we have been
contributing much for the betterment of sports, literature and culture. In this line, sufficient margin of
bank’s operating profit spent in this program in 2020.

2.5 The objective of internship:

 Apply business concepts and theories to real-world decision-making;
 Develop and improve business skills in communication technology, quantitative reasoning, and
teamwork;
 Observe and participate in business operation and decision-making;
 Meet role models and potential mentors who can provide guidance, feedback and support.
 Expand network of professional relationships and contact .

2.6 Conclusion:
FSIBL is devoted to conducting all banking activities on the basis of interest free
and profit-loss sharing system.. In most of the branches, there are deposit section,
investment section, accounts section, foreign section and cash section. FSIBL
performs its different types ofday-to-dayy general banking activities with the help
of these sections. The objective of the report is to evaluate the general banking
performance of FSIBL Agrabad branch .The study has cover the . general
banking performance of FSIBL for five years from 2017-2021. The study is
descriptive one. It has used both primary and secondary data. FSIBL Agrabad
20
branch is selected as sample for the study. The report is suffered from some
limitation. The whole report is divided into four chapters.The vision of FSIBL is
to provide high quality products. Mission, goals and objectives are included in this
chapter. It also includes the corporate profile, management responsibilities and
products & financial services. Market scenario and market growth of FSIBL also
shown in this chapter. Finally objectives of the internship are also included.

21
 Chapter: 3 (Findings & Analysis)
3.0 Introduction:
The bank renders commercial banking services to all types of customers. The range of services offered
by the bank includes accepting deposits, making an investment, purchasing bills, conducting domestic
and international money, transfer, carrying out foreign exchange transactions in addition to international
money transfers, and offering other customer services such as safekeeping, collection, and issuing
guarantees, acceptances and letters of credit. The core business of the bank includes deposit,
mobilization, and investing activities comprising short-term, long-term, import and export financing.
Sustainability of the general banking depends on how fast the banking service and the technology should
be cheap for the sake of affordability for general people.

3.1.1 General Banking Policy and Product

a) General Banking: Everyday transaction of the banking system is the main operation that is
handled by the general banking sector. The general banking conditions apply to all products and
services. If a customer enters into an agreement for a product or service, the specific condition may
apply to the agreement. These specific conditions contain rules that apply specifically to that product or
that service. It has to meet the customer’s demand for cash and receive investment from them. It offers
account opening service, helps remit funds, takes deposits,performs clearing of cheques, reconciliation
of transactions and monitors books of accounts
3.1.1 Analysis of general banking policy of FSIBL

a) Objectives of General Banking: At a glance, the objectives of First Security Islami bank
regarding general banking are:

 To facilitate and handle all kinds of commercial banking services to its customers authorized
by Bangladesh Bank. Record keeping of customer service policy and complaints.
 Deposit monitoring and support. And also preparing and introducing new account opening
forms & KYC.
 To promote a secure and efficient payment & settlement system.
 To handle the export and import trade
 To increase awareness among the clients about the Islamic Banking by conducting workshop,
meeting etc.

22
b) General banking products offered:
Banks have to know about customers’ income and fill up the KYC form for knowing customer details. It
is a great platform for building good relationships between customers and bankers.

PRODUCT LIST
Al-Wadiah Current Deposit A/C
Al -Wadeeah Current Plus Account
(Morjada)
Al-Wadeeah Premium Account (Shomman)
Mudarabah Savings Deposit Acccount(Staff)
Mudarabah Savings Deposit Account
Mudarabah Specialized Savings Account
Mudarabah Shramajibi Savigns Account (Mehnoty)
Mudarabah Student Savigns Account
(Onkur)
Mudarabah Salary Account (Prapti)
Mudarabah Senior Citizen Savigns A/C
( Probin)
Mudarabah New Generation Savigns (Projonmo)
Mudarabah Workers Savigns A/C
(Majdoor)
Mudarabah Special Notice Deposit Account (SND)
Mudarabah Term Deposit Account
Mudarabah Monthly Profit Scheme
Mudarabah Monthly Profit Scheme
( FSIBL Murobbi)
Mudarabah Monthly Profit Scheme (Mahiyasi)
Mudarabah Sanchay Scheme
( FSIBL Sanchay)
Mudarabah Deposit Double Scheme
Mudarabah Money Plant Scheme
Mudarabha Greheni Deposit Scheme (Ghoroni)
Mudarabah Cash Waqf. Deposit Scheme
Mudarabah Hajj Deposit Scheme
Mudarabah Marriage Deposit Scheme (Bondhon)
Mudarabah Education Deposit Scheme (Alo)
Mudarabah Pension Deposit Scheme (Oboshor)
Mudarabah Millionaire Deposit Scheme( Agroshor)
Mudarabah Kroropoti Deposit Scheme
( Unnoty)
Mudarabah Probashi Deposit Scheme(Swadesh)
Mudaraba Monthly Deposit Scheme(Mmds)
Mudaraba Mushafir Deposit Scheme(Mushafir)
Mudaraba New Generation Deposit Scheme(Uddipon)
Mudaraba Gift Cheque (Shuveccha)
Mudaraba Agent Savings A/c (First pay sure cash)
Non Residential Foreign Currency Account

23
c) General banking services offered:

SERVICES
Mobile APPs “FSIBL Cloud”’
ATM Service
SMS Banking
Mobile Banking
Online Banking
Evening Banking
Internet Banking
Offshore Banking
School Banking
Agent Banking
Remittance Service
Locker Service
QR Merchant Service
Collection Booth
Utility Bill Collection
Haj Cell
Complain Cell
E-KYC Solution ( FREEDOM)
Zakat Fund
E-GP Service
Call Center-16257
E-Challan

d) Deposit Policy:
One of the important functions of the bank is to accept deposits from the public for the purpose
of lending. In fact, the depositors are the major stakeholders of the banking system.

Objectives:

 The deposit policy document on deposits outlines the guiding principles in respect of the
formulation of various deposit products offered by the bank;
 The document recognizes the rights of depositors and aims at dissemination of
information with regard to various aspects of acceptance of deposits from the members
of the public, conduct, and operations of various deposit accounts;
 This document will impart greater transparency in dealing with individual customers and
create awareness among customers of their rights;
 The ultimate objective is that the customer will get services they are rightfully entitled to
receive without a demand.

24
Types of Deposit :
A deposit is a financial term that means money held at a bank . Deposit is the main function the of bank .
From the beginning of the banking system it is known to us that deposit collection is the main operation
of the bank.

Al Wadiah Mudaraba Mudaraba Mudaraba Scheme Foreign

Account Savings Term Account Account
Account Account
Current Saving Mudarabah Alo Bondhon FC
Deposit Deposit Term
Deposit
Shomman Onkur Mudarabah Niramoy Unnoti RFCD
Monthly
Profit
Scheme
Morjada Projonmo FSIBL MMDS Ghoroni NFCD
Murobbi
Prapti Mahiyasi MMDS Swadesh ERQ
Gold
Mehonoty FSIBL Agroshor Haj NITA
Sanchay
SND Double Uddipon Musafir Other
Benefit
Triple Aboshor
Benefit
Four Times
Benfit
Proyash

25
Purpose of deposit
A deposit involves a transfer of funds to another party, such as a bank, for safekeeping.
Al-wadiah current deposit account-
Desiring for unlimited transaction facility for carrying out daily higher business transaction. FSIBL
(First Security Islami Bank Limited) offer the best for their customer.

Somman – Al-wadiah premium account: Morjada – Al-wadiah current plus

FSIBL gives you free intercity transaction with limitless account:
transaction facility. It is a unique account which permits you forhaving
limitless transaction facility with a wide list of
specialized benefits. It surely addsgreater for you.

PurposesMudaraba savings deposit account-

Mudaraba is usually an agreement between a customer and a banker to deposit money in a bank. The
depositors will deposit the money and the bank will invest the funds in accordance with Islamic Shariah
without any interference from the depositors.

Onkur Account: savings A/C School students can open A/C on Onkur as well as X (level 18).

(School Banking)
Projonmo – mudaraba new University or college students, except their mother and father, can open an account
with everybody when they are over 18 years old. No carrier fee is required from the
generation savings A/C beginning of the year.

Prapti – mudaraba salary FSIBL Mudaraba earnings Saving Account

(Prapti) is for those whose monthly salary is BDT 5000 or above.
savings account
Probin – mudaraba senior Saving account for senior citizen.

citizen savings account

Mehnoti- mudaraba Specialized account for people with lower

sromojibi savings account: earnings bracket of the country.

Mudaraba special notice A specialised account that offers you extra

transactions limit than normal.
deposit account:

26
 Mudaraba term account

Mudaraba term deposit account: Proyas – mudaraba money plant deposit

Any adult with sound thoughts is welcome to open scheme:
this account under his or her own The account can Use cash as a plant that gives you incomeas it grows.
also be opened by an owner/partnership, limited
venture (non-
public/public), education agency, club, affiliate,
socio-economic business enterprise.name or with
the assistance of others.

Mudaraba monthly profit scheme

One time deposit begins from 25,000/- or it is more
than one.
Minimum age: 60 years & above
Mudaraba monthly profit scheme (MMPS)
-Get your profit on monthly basis.

Mudaraba scheme account

Niramoy – mudaraba health Gharoni – mudaraba Mudaraba haj savings
Alo – mudaraba education care deposit scheme: housewife deposit scheme: account:
deposit scheme:
FSIBL health care
deposit scheme
Help your junior allows you meet Griheni deposit scheme is Special Deposit
specially for the Scheme for simplify
expand a saving the medical crises girls to encourage female appearing Haj
habit. on the proper empowerment.  Tenures from 1 to 20
second. years.

Agroshor – mudaraba Bondhon – mudaraba Uddipon- mudaraba new

millionaire deposit scheme:
Be a Millionaire by
using starting as
instalment of only BDT
2, half in handy
tenure. Tenures from
3 to 20 years
marriage deposit Aboshor – mudaraba generation deposit scheme:
scheme: pension deposit scheme:
Shortage of
money for
marriage? FSIBL All your lifestyles you Convince new generation
Bondhon worked in your cash- for financial savings and
facilitates you now allow your cash work assist them grow
clear up the for you.
trouble

Mudaraba monthly deposit

scheme: Shadesh – mudaraba
emigrant deposit scheme:

Month-to-month Despite you are staying abroad,

deposit scheme gives you can
you greaterinstalment save up here. Any Bangladeshi
Expatriate is capable of preserve
option than others. the scheme. except his/her
nominated person can perform
the scheme in his/her want.

27
Charges and duties of products and services

SL Types of Nature of Rate of

Services Charges Charge/Commission
01 Al-Wadiah Current Maintenance fee Tk.300.00 ( Half-yearly)- Al-
Deposit Wadiah Current Deposit
AccountND
Tk. 500(Half-yearly)- MSND
Account
Account Closing fee TK.300.00
02 Mudarabah Savings Maintenance Up to tk 10000/-nil
Deposit Account fee Tk.10001/ -to tk25000/-
Charge tk.100/-

25001/-to tk.200000/-Charge
tk200/

Tk.2000001/-to tk1000000/-
Charge tk 250

Above tk. 1000000/- Charge

tk 300/-
(Half Yearly)

Account Closing fee Tk.200.00

03 Cheque Book Issue Charges At actual
04 Collection (local) Conveyance at actual

a. Collection of Minimum Tk. 50.00 per

Local Cheque instance
b. Cheque returned Tk. 200.00 per cheque
unpaid from
clearing house

c. Bounced Cheque Tk. 50.00 per cheque

drawn on us ( tk.50 /-per instance from the
(Cash or transfer) account holder of the cheque)
Besides the case of Cash
&transfer, tk.50/- from
beneficiary (if return memo is
issued)

d. Fax Tk.50 (per page)

e. telephone charge Tk.50 (per page)
28
 f. E-mail/SMS charge Tk. 75 (per page)
Atactual

g. NID Verification Charge At actual

05 a.DD/TT issued Commission Up to tk 1000 Comm tk 20.00

Above tk.1000.00 but not
exceeding tk.1.00 lac comm. Tk
50.00
Above tk 1.00 lac but not
exceeding tk 5.00 lac comm. Tk
100.00
Above tk.5.00 lac but not
exceeding tk.10.00 lac Comm.
Tk.200
Above tk 10.00 lac comm. Tk
300.00

b. Cancellation of DD/ Charge/ Fee Tk.50.00 ( fiat)

TT/PO/SDR
c. Issuance of Duplicate Charge Tk.50.00 ( fiat)
instrument

d. pay order issue commission a. Up to tk 1000.00

Comm. Tk 20.00
b. Above tk 1000.00 but
not exceeding tk. 1.00
lac Comm. Tk 50.00
c. Above tk 1.00 lac
Comm tk.100
06 Stop payment instruction commision For stop payment tk. 100/-each
instance
For cancellation of stop
payment tk.50/-each instance
07 Standing Instruction commission Tk.50.00 per instance for a/c to
a/c transfer except scheme
account.
Tk. 15.00 per instance for
transfer of amount from all
kinds of deposit account to
scheme account.
commision Tk. 40.00 for each parcel for
first 10 days & additional tk.
10.00 for each every
29
 subsequentn 10 days or part
thereof.
09. a. clients godown under Rent
Banks custody insurance
Salary & On clients A/C
allowances of
godown staff

b. banks rented godown rent Actual rate for floor occupied

plus pror
insurance To be realized from the client
proportionately.

Salary & -Do

allowance of
godown staff
10. Locker Rent (annually)

Small Tk.3500
Medium Tk 4500
Big Tk 6000
Security Money Tk 5000 (flat)
for locker

Key replacement Tk.3000

11. Solvency Certificate Charges / Fee Tk.200.00 (Per Certificate)

12 Transfer of A/C from one
branch to another
13. Balance Confirmation
Certificate with an account
statement
fee Within the distrinct tk.50.00
Outside the district tk.100.00
fee Nil-two times peryear (Half-
yearly)

Tk.100.00 per instance – in

addition to over two times (per
year)

Certificate for BO A/C Charges Tk. 100.00 per instance

15 SMS Banking Charge Charges SMS service charge tk 400.00
yearly.
16 Internet banking Charge Charges Internet banking service charge
tk. 200.00 yearly.

30
Now you can access to your money 24/7 more easily and conveniently through our
widespread network of ATMs in Bangladesh

Eligibility:
If you are in individual and have a savings, current or STD account, you are eligible to avail FSIBL card.
Just visit your branch and fill up an application form. Within shortest possible time you will get a sms
notification to collect the card from your designated branch

Cash withdraw Limit, Fees & Charges:

Cash withdraw Limit

BDT 100,000 per day BDT 100,000 per day

(Maximum BDT 50,000 per Transaction) (Maximum BDT 50,000 per Transaction)
BDT 100,000 per day BDT 100,000 per day
** VAT will be implemented as per Govt.
Card Fees

Prefix Product Name Issue Fee Annual Fee

102 Al-Wadiah Agent Current Account 200.00 200.00

111 Al-Wadiah Current Deposit A/C 500.00 500.00
117 Al-Wadeeah Current Plus Account (Morjada) Free Free
118 Al-Wadeeah Premium Account (Shomman) Free Free
121 Mudarabah Savings Deposit Account (Staff) Free Free
122 Mudarabah Savings Deposit Account 500.00 500.00
124 Mudarabah Shramajibi SavingsA/C (Mehnoty) 200.00 250.00
125 Mudaraba Student Savings Account (Onkur) Free Free
126 Mudaraba Salary Account (Prapti) Free 500.00
127 Mudaraba Senior Citizen Savings A/C (Probin) Free Free
128 Mudaraba New Generation Savings A/C Free 250.00
(Projonmo)
131 Mudarabah Special Notice Deposit Account 500.00 500.00
(SND)
141 Mudarabah Agent Banking Saving Account 200.00 200.00
** VAT will be implemented as per Govt. rules

Card fees

Prefix Card Replacement Fee Re-Issue PIN Minimum Balance for

31
 ATM Txn

102 200.00 200.00 1000.00

111 400.00 200.00 1000.00

117 Free Free 15000.00

118 Free Free 25000.00

121 300.00 Free 0.00

122 400.00 200.00 500.00

124 400.00 200.00 0.00

125 Free Free 0.00

126 400.00 200.00 500.00

127 Free Free 0.00

128 400.00 200.00 100.00

131 400.00 200.00 1000.00

141 200.00 200.00 500.00

** VAT will be implemented as per Govt. rules

Minimum Balance for ATM Txn

3.1.1 Account Opening Section

Account opening is the gateway for customers to enter into business with bank. It is the basis of banker
customer relationship. This is one of the most important sections of a branch , because by opening
accounts bank mobilizes funds for investment. Various rules and regulations are maintained and various
documents are taken while opening an account .
FSIBL mobilizes deposits through different types of accounts. FSIBL is an Islamic bank ruled by Islamic
Shariah. Formalities for Opening an account:

Documents required for opening an account

32
Personal Account
1. 2 (two) copies of photograph of every signatory (must be attested by introducer) & Nominee
NID.
2. To fill up the account opening form correctly ( must be introduced by introducer)
3. Photocopy of National ID card [passport/Birth certificate with a photo ID]
4. Signature and 1 (one) copy of photograph of each nominee ( must be attested by account holder)
& NID / Passport / Birth Certificate.

Limited Company Account

1. Request Letter / Application in company’s Letter Head Pad for account opening purpose.
2. Certificate of incorporation.
3. The certified copy of Memorandum and Articles of Association by Registrar of Joint Stock
Companies & firns
4. Up -to- date Trade License , E.R.C.,I.R.C., TIN & VAT copies of the company ( if applicable) .
5. Board Resolution regarding opening and operation of Bank Account and signing of Bank’s
charge documents with execution of Mortgage Deeds and other Bank’s papers and documents
etc. As per Memorandum and Articles of Association.
6. Seal as per Resolution.
7. 2 copies of photograph of every signatory ( must be attested by introducer ) & Visiting Card of
the Signatories.
8. Photocopy of National ID card [ passport / Birth Certificate with a Photo ID.
9. Complete Bio-Data with passport size photographs of all the directors of the company duly
signed by them.
10. Certified copy of Form No. XII & XX duly issued by the Registrar of joint Stock Companies &
Firms for Bank’s records.
11. Updated E.R.C., I.R.C., TIN & VAT copies ( if applicable)
12. Membership Certificate of Chamber of Commerce and industry, Trade Association , Stock
Exchange (if applicable) .
13. Tenancy Agreement copy in between the Company and the Landlord.
14. List of the Directors with complete present and permanent addresses with signature & telephone
nos. on Letter -Head Pad of the Company.
15. Certificate of Commencement of Business in case of Public Ltd. Company.

Proprietorship Account
1. Request Letter / Application in Firm’s Letter-Head pad for account opening purpose.
2. Up -to-date Trade License, E.R.C., I,R.C, TIN & VAT of the Firm ( if applicable) .
3. Seal of the Firm & Visiting Card of the signatories ( if applicable)
4. 2 (two) copies of photograph of the each signatory (must be attested by Introducer).
5. Photocopy of National ID card [ Passport/ Birth Certificate with a Photi ID] .
6. Signature and 1 ( one) copy of photograph of each nominee ( must be attested by the account
holder).
7. Membership Certificate of TRADE ASSOCIATION , Chamber of Commerce and Industry ( if
applicable)
8. Tenancy Agreement copy ( if applicable) .
School / College / Educational Institution
33
 1. Request Letter/ Application in Institution’s Letter Head Pad for account opening purpose.
2. 2 copies of photograph of every signatory ( must be attested by Introducer)
3. Photocopy of Nationaoml ID card ( Passport / Birth Certificate with a Photo ID.
4. List of members of the Managing Committee.
5. Resolution of the Managing Committee regarding opening & operation of Bank Account .

Government Office Account

2 Request Letter/ Application in concern Govt. Office’s Letter Head pad for account opening
purpose.
3 2 copies of photograph every signatory ( must be attested by Introducer)
4 Government order/ decision to open the account with drawing & disbursement authority of the
officials to open and operate the account.
5 The account shall be in the official designation of the operators and not in the personal name of
any official.

Partnership Account
1. Request Letter/ Application in the firm’s Letter Head Pad for account opening purpose.

2. Registered Partnership Deed on the non-judicial stamp of Tk.2000/- & List of the Partners with
Portfolio.
3. Up-to-date Trade License, E.R.C., I.R.C., TIN & VAT copies of the firm. ( if applicable)
4. Resolution regarding the operation of Bank account and signing of Bank’s charge documents with
execution of Mortgage Deeds and other Bank’s papers and documents etc as per Partnership Deed.
5. Seal as per Resolution & Visiting Card of the Signatory (s)
6. 2 (two) copies of photographs of every signatory( must be attested by Introducer)
7. Photocopy of National ID card [Passport/ Birth Certificate with a Photo ID.
8. Signature and 1 (one) copy of a photograph of each nominee ( must be attested by the account holder)
9. Membership Certificate of Trade Association , Chamber of Commerce and Industry ( if applicable)
10. Tenancy Agreement copy in between the Firm and the Landlord ( if applicable).

Club / Association /Society/Religious Account

1. Request Letter / Application in Institution’s Letter Head Pad for account opening purpose.
2. 2 copies of photograph of every signatory ( must be attested by Introducer)
3. Photocopy of National ID card [ Passport / Birth Certificate with a Photo ID].
4. List of members of the Executive / Managing Committee
5. Resolution of the Executive / Managing Committee regarding opening & operation of Bank
Account.
6. Certified copy of Bye -Laws/ Rules and regulation / constitutions.

Trusty Account
1. Request Letter / Application in institution’s Letter Head Pad for account opening purpose.
2. 2 copies of photograph of every signatory (must be attested by Introducer)
3. Photocopy of National ID card [ Passport / Birth Certificate with a photo ID.
34
4. Attested copy of Trust Deed .
5. Resolution of the committee regarding opening & operation of Bank Account Head Office approval
for opening Trust Account.

Account Closing Procedure:

To close account, a customer has to provide a written application. After submitting the application he or
she has to submit the final cheque to withdraw full amount from his account . Bank charge will be
deducted and after submitting unused cheque books, his or her “account opening” form will be stamped
and identified as closed then.

Issuance of Deposit Slip:

If a customer decides to deposit money, he or she has to collect a deposit slip from the customer service
department of the bank.

3.1.2 Deposit Section

Deposit is the main function of bank. From the beginning of banking system it is known to us that
deposit collection is the main operation of the bank.

Al Wadiah Mudarab Mudaraba Mudaraba Scheme Foreign

Account a Term Account Account
Savings Account
Account
Current Saving Mudarabah Alo Bondhon FC
Deposit Deposit Term
Deposit
Shomman Onkur Mudarabah Niramoy Unnoti RFCD
Monthly
Profit
Scheme
Morjada Projonmo FSIBL MMDS Ghoroni NFCD
Murobbi
Prapti Mahiyasi MMDS Swadesh ERQ
Gold
Mehonoty FSIBL Agroshor Haj NITA
Sanchay
SND Double Uddipon Musafir Other
Benefit
Triple Aboshor
Benefit
Four Times
Benfit
Proyash

35
G e n e ra l b a n k in g D iv is io n s
Account Opening
Section

Deposit Section

Remittance Section

Cash Section

Clearing Section

36
3.1.3 Remittance section:
Remittance section two types:
1. Inward (local) Remittance
2. Outward (foreign) Remittance

3.1.4 Cash Section:

The cash section determines the liquidity strength of a bank. It also sensitive as it deals with liquid
money. Maximum concentration is given while working on this section. As far as safety is concerned
special safety measure is also taken. Cash Department is the most important part of General Banking.
Cash department should be placed in a branch in a branch from where manger can watch everything
from his or her table either client or the vilt. It is the most important department of the bank since from
desk cash department has direct interaction with customers.
Some register books uses in the cash department are mentioned below:
 Receiving Cashier’s Book
 Payment Cashier’s Book
 Cash Balance Book
 Vault register
 Key register
 Remittance Register

Cash Receive:
Cash may be received by –
 Cash Receiving by Pay Slip.
 Cash Receiving by Pay- Order, MTD.

Cash Payment:
The client has to give cheque to cash officer to get this money with signature on cheque and signature
must be matched with the number into the computer and check the balance the client have in his or her
account. Cash officer should provide issue note i,e . fresh and accepted by the bank rather non-issue note
example. torn and damage notes. Payment can be through transfer which is no physical cash but transfer
account to account.

Reasons for dishonoring the cheque:

 Not enough fund in an account.
 Dissimilarity between the amount written in words and numbers.
 Expired cheques (out of date)
 Drawer stopped the payment.
 Approval of the payee is not regular.
 Crossed cheque to be presented through a bank.
 Signature of the drawer not matched/ required.

3.1.5 Clearing Section

37
A clearinghouse is an assembly of the locally operating scheduled banks for the exchange of cheques,
drafts, pay orders, and other demand instruments drawn on each other and received from their respective
customers for collection. The house meets at the appointed hour on all working days under the
supervision of two central bank officers or its agent as the case may be and works within the regulations
framed therefore on the basis of prevailing banking practices. In Bangladesh, clearing houses sites at
Bangladesh bank where there is no office of the Bangladesh bank, Sonali bank acts as agent of
Bangladesh bank.
There are mainly two types of clearing system in Bangladesh, such as:

 Internal clearing or inter-branch clearing or inward clearing.

 External clearing or inter banks clearing or outward clearing.

Outward Clearing:
When a particular branch receives instruments drawn on another bank within the clearing zone and sends
those instruments for collection through the clearing arrangement is considered an outward clearing for
that particular branch.

Inward Clearing:
Clearing returns (inward) consists of those instruments which were presented by us to other banks for
payment but have been returned and unpaid due to specified reasons through the clearing house.
The entire number of banks representative daily conducts two meetings at a fixed time. In their first
meeting the handover cheque, drafts, etc. passed, which has drawn upon them. In case there are certain
cheques, which could not be honored are returned to the presenting banks with the reason of non-
payments in the second meeting at the clearing – house.

OBC & IBC:

OBC/IBC is required when both the banks are not in the same clearing zone. Outward Bills for
Collection (OBC) and inward Bills for collection (IBC) is required when both the bank (collection bank
and playing bank) are not in the same clearing zone.

Operating Procedure:
Clearing operations are completed in three stages:

 Operations at branch level.

 Operations at internal clearing house.
 Operations at the clearing house in Bangladesh Bank.
Bangladesh Bank clearing their house sites twice a day. In its first meeting Bangladesh Bank clearing–
house received instruments and distributes the same among the representatives comes with returned
instruments and distributing among the representatives .

Software:
Software called NIKASH supplied by Bangladesh Bank is used in clearing of the cheque and other
instruments. The in- charge of clearing section makes clearing slip for each cheque. Through computer
using NIKASH and finally these cheques are sent to the Bangladesh Bank Clearing – House sorting bank
wise.

38
3.2. Analysis on FSIBL General banking policy and products:
FSIBL has its own Customer Acceptance Policy, Guidelines on E-KYC for FSIBL FREEDOM, Anti
Money Laundering & Combating Financing of Terrorism Policy, Money Laundering and Terrorist
Financing Risk Management Guidelines for FSIBL, and Guidelines for Prevention of Trade Based
Money Laundering of FSIBL approved by the board of directors which are prepared in line with the
prevailing laws, circulars, guidelines issued by the regulatory authorities.
The bank conducts Customer Due Diligence (CDD) for ever customer at the time of account opening
and Enhanced Due Diligence (EDD) when required in line with BFIU, Bangladesh Bank’s provided
format. The bank verifies NID information of every customer by using election commission’s data base
to ensure complete and accurate KYC of the bank’s new and existing customers. As per “Guidelines on
Electronic Know your customer (e-KYC) issued by BFIU. FSIBL has successfully launched e-KYC
based solution “FSIBL FREEDOM’’ to facilitate bank account opening form anywhere, anytime
instantly. Besides, bank’s executives & officials frequently attend regular and refresher training on the
topic of Anti Money Laundering and Combating Financing of Terrorism at home and abroad . The bank
distributes a huge leaflets and hang posters on the topic of Anti Money Laundering and Combating
Financing of Terrorism at every branch for building public awareness on these issues.
Campaign:
Marketing Division, keeping pace with time ahead , organize different campaign to make the market
vibrant. It is also working to increase the number of clients as well as to ensure the smooth customer
service through different campaign for the progress & development of the bank. Ultimately, it is playing
the leading role to increase bank’s deposit for bringing consecutive progress & growth.

PRODUCT LIST SERVICES

Al-Wadiah Current Deposit A/C Mobile APPs “FSIBL Cloud”’
Al -Wadeeah Current Plus Account ATM Service
(Morjada)
Al-Wadeeah Premium Account (Shomman) SMS Banking
Mudarabah Savings Deposit Acccount(Staff) Mobile Banking
Mudarabah Savings Deposit Account Online Banking
Mudarabah Specialized Savings Account Evening Banking
Mudarabah Shramajibi Savigns Account Internet Banking
(Mehnoty)
Mudarabah Student Savigns Account Offshore Banking
(Onkur)
Mudarabah Salary Account (Prapti) School Banking
Mudarabah Senior Citizen Savigns A/C Agent Banking
( Probin)
Mudarabah New Generation Savigns (Projonmo) Remittance Service
Mudarabah Workers Savigns A/C Locker Service
(Majdoor)
Mudarabah Special Notice Deposit Account QR Merchant Service
(SND)
Mudarabah Term Deposit Account Collection Booth
Mudarabah Monthly Profit Scheme Utility Bill Collection
Mudarabah Monthly Profit Scheme Haj Cell
( FSIBL Murobbi)
Mudarabah Monthly Profit Scheme (Mahiyasi) Complain Cell
Mudarabah Sanchay Scheme E-KYC Solution ( FREEDOM)
( FSIBL Sanchay)
Mudarabah Deposit Double Scheme Zakat Fund
Mudarabah Money Plant Scheme E-GP Service
39
 Mudarabha Greheni Deposit Scheme (Ghoroni) Call Center-16257
Mudarabah Cash Waqf. Deposit Scheme E-Challan
Mudarabah Hajj Deposit Scheme
Mudarabah Marriage Deposit Scheme (Bondhon)
Mudarabah Education Deposit Scheme (Alo)
Mudarabah Pension Deposit Scheme (Oboshor)
Mudarabah Millionaire Deposit
Scheme( Agroshor)
Mudarabah Kroropoti Deposit Scheme
( Unnoty)
Mudarabah Probashi Deposit Scheme(Swadesh)
Mudaraba Monthly Deposit Scheme(Mmds)
Mudaraba Mushafir Deposit Scheme(Mushafir)
Mudaraba New Generation Deposit
Scheme(Uddipon)
Mudaraba Gift Cheque (Shuveccha)
Mudaraba Agent Savings A/c (First pay sure
cash)
Non Residential Foreign Currency Account

Mobile Financial Services - “First Pay Sure Cash”

FSIBL has launched mobile banking service from 2012 under the name of “First Pay Sure Cash’’. First
Security Islami Bank offers different services through the Mobile Banking Services that include free and
quick opening of customer account, deposit and withdrawal of cash money, fund transfer from account
to another , receiving remittance from abroad, knowing account balance and mini-statement, giving and
receiving salary, mobile recharge and payment of utility bill, merchant bill etc.
FSIBL Mobile Banking is rendering Mobile Financial Services with having strong network coverage
consisting of 88 distributors, 45234 MFS (Mobile Financial Services) agents and 8,97324 customers all
over the country.
First Security Islami Bank Ltd is expanding its network focusing on organizations like Educational
Institution, Financial Institution, Merchant and Utility Bill collections. So far, we have booked total 403
institutions, out of which total Educational Institution 254 (Dhaka Collage, Govt. Titumir Collage &
Bogra Zilla School etc.),total merchant 129, total utility 06 (Dhaka WASA, DESCO, Khulna WASA
&Westzone Power Distribution Co. etc) and total municipality 14 are brought under FSIBL Mobile
Banking.

Table 1 Turnover of MFS & Total Collection of FSIBL MFS

Year Total Turnover Total Collection
(in Crore) of FSIBL MFS
(in Crore)
2016 269.97 62.10
2017 641.53 64.36
2018 913.87 130.28
2019 1043.44 143.64

40
 2020 680.51 63.45
2021 136.01 39.63

FSIBL is rendering the below Mobile Financial Services :

 Cash Deposit
 Cash Withdrawal
 Money Transfer
 Mobile Recharge
 Payment
 Balance Check
 Pin Change.

FSIBL Internet Banking

FSIBL launched Internet Banking Services on the year 2014. Currently there are 11523 customer on this
service as on 31st December 2021. The key services and features of FSIBL Internet Banking are:
a. Transational Service:
 Own bank (Own Account -Other Account)
 Other Bank (IBFT NPSB/Qcash)
b. Informative Service
c. Statement Veiw
d. Balance Inquiry
e. Profit Details
f. Cheque Book Details
g. Transaction Details

Mobile Apps (FSIBL CLOUD)

FSIBL CLOUD is an Official Mobile Application of First Security Islami Bank Limited. User can
transfer money,pay bill,send requests, and browse information with it. There are 69,862users on this
service as on 31st Dec 2021.

Feature and Services of FSIBL CLOUD

Transactional Feature : Fund transfer with FSIBL,BEFTN , RTGS, bkash Fund Transfer, QR
payment to Merchant, Utility Bill Payment ( DESCO, Dhaka WASA, Credit card bill), Mobile Airtime
Recharge, My QR for instant transaction.

Requests: Stop Cheque, Order Cheque, Statements, Change Address, Complain, Product Requests.
Informational feature: Profile Information, Account Information, Exchange Rate, contacts info &
Locations (Head Office and Branches), Product Details, Activity Log for Security.

Others: Calculator, News and events, Favorite event.

Table :1 User Base of FSIBL CLOUD
Year FSIBL Cloud User
2019 19643
41
 2020 43051
2021 69700

FSIBL CLOUD USER

80000

70000

60000

50000

40000

30000

20000

10000

0
2019 2020 2021

The user base of FSIBL CLOUD is increasing day by day. In 2021, users have been increased up to
69,700 which is 62%higher than previous year.

Transaction Volume according to Service as on 2021 from starting.

SL SERVICE NAME TOTAL IN CRORE
1 BEFTN 828
2 RTGS 145
3 IBFT NPSB 190
4 Bkash 127
5 Nagad 31
6 Utilities 10
7 Mobile Recharge 2.58
Total 133.58

42
 Nagad
2%
Utilities
Bkash 1% Mobile Recharge
10% 0%

IBFT
NPSB
14%

BEFTN
RTGS 62%
11%

Transaction Volume according to Services as on 2021 from starting.

Revenue from included services in FSIBL CLOUD & Banking in 2021.

SL SERVICE NAME REVENUE (TK IN
LAC)
1 Annual Services Charge From 11.00
iBanking
2 Revenue From bKash 11.31
3 Revenue from Mobile Recharge 3.38
TOTAL REVENUE 25.69

BRTA Fees Collection

In 2016 First Security Islami Bank Limited obtained the permission to collect the fees of BRTA through
all branches along with the mobile banking network . Currently 109 branches of FSIBL collecting BRTA
fees across the country.

Year Total Number of Total Amount of Total amount of

Transactions Transaction (in Revenue (in Lac)
crore)
2018 2803 2.6 0.14
2019 76519 52.68 3.82
2020 89214 117.44 4.46
2021 96948 168.84 6.45

43
 Total Number of Transaction
120000

100000

80000

60000

40000

20000

0
2018 2019 2020 2021

44
 Total Amount of Transaction (in crore)
180

160

140

120

100

80

60

40

20

0
2018 2019 2020 2021

Total Amount of Revenue ( in lac)

7
6
5
4
3
2
1
0
2018 2019 2020 2021

Present Activities of FSIBL EFT Team :

In inward EFT FSIBL are processing foreign and interbank remittances. FSIBL
receive foreign remittance from our International division and we process it
through BACH Program to the beneficiary end through Bangladesh Bank.

45
Activities:
Receive foreign Dividend Payment Other Services
remittances from the
following companies
 Italy Exchange  First Security  Share Sale :Alhaj
House Islami bank Securities.
Limited (FSIBL)  Share Sale: Rapid
 Al Muzaini  Northern General Securities
Insurance  Salary of
 Transfast Company Ltd Kamrunnessa
 Brac Saajan  S. Alam Cold High School.
Rolls Mills Ltd  BANBEIS
 Xpress Money  FAS Finance (Bangladesh
Bureau of
 Placid Educational
Information and
Statistic) :
Retirement benefit
and welfare fund
of the teachers.
 Sandhani Life
Insurance Co Ltd
(Premium
Payment)

In EFTN ( 2021) the following number of transactions processed & settled :

Number of Transactions-2021
( inward & outward) 946166
Taka in Crore 121,235.00 Crore

In EFT Bangladesh Bank instructed all the banks not to realize any kind of
charges. Many of think that though it is an easy and secured payment system but it
is not becoming popular for not having the scope of realizing commissions.
FSIBL RTGS Activities:
At the inception of RTGS inward is operating centrally. All of our 196 branches
and 138 sub-branches send RTGS transaction to the central team and it
transmitted to Bangladesh bank for settlement and then Bangladesh Bank send it
to the receiving bank. Any return issue is solved within 30 minutes. Financial
institutions and people can transfer funds for fulfilling their needs. ASYCUDA
(The Automated Systems for Customs Data) was implemented for collecting
46
custom dutfeesfee and chages . By using this system commercial banks can send
customs duty to Sonali Bank B.Wapd a Branch, Dhaka.
Recent Changes in RTGS :

Recently mobile apps Using this app, the

FSIBL Cloud has been
launched for
increasing customer
service and available
of banking service to
all .
customer can tranfer
money, loan
installment and pay
bill etc through RTGS
process by sitting at
home.

FSIBL Agent Banking:

First Security Islami Bank Ltd launched its Agent Banking Operation under the brand name “FSIBL
Agent Banking” on May 29, 2016, upon receiving permission from Bangladesh Bank on September 01,
2015. The Agent Banking outlet is running under the ABS integrated with CBS.

It is a banking system exactly like a model branch which is located ie remote areas, where all kinds of
branch banking facilities such as Account Opening, Cash Deposit /Withdrawal, Fund Transfer, BEFTN,
BACH & RTGS e,tc in onma ited scale (as per Bangladesh Bank guidelines) are provided to the
underserved population through engaged agents under a valid agency agreement. Along with the general
banking services, FSIBL Agent Banking is renderine other banking services like BREB Bill Collection
and Foreign Remittance Services to the underserved population in the remote area. As per Agent
Banking Model, the Agent Banking outlets are being tagged with FSIBL Branches, considering the
distance in terms of the nearest location from the Agent outlet. The tagging branch manager will provide
all sorts of susupporto the concerned outlets, awhich re reflected in their affairs for exmthe ple: tagged
branch, is the ultimate beneficiary of the Agent Banking Business. The key services and features of
FSIBL Agenthavenking has been given below:
a) Account opening under Mudaraba and Al-Wadiah Shari’ah principal i.e
 Mudarabah Agent Banking Savings Account.
 Al-Wadiya Agent Banking Current Account
 Mudarabah Monthly Deposit Scheme and
 Mudarabah Term Deposit Account etc.
b) Utility bill payment (i.e : BREB).
c) Deposit and withdraw cash with a fund transfer facility through BEFTN & RTGS.
d) Payment of inward foreign remittances. (i.e Western Union, Moneygram, Express Money, RIA,
Transfast, etc)
e) Receive banking services from home through FSIBL Cloud App.
f) Provide agricultural, small and medium and consumer investment.
47
 g) Deploying an Officer from the concerned branch to conjoin and observe operational activities.

Agent Banking Outlet:

So far, as of 31.12.2021, FSIBL Agent Banking & Mobile Banking has opened 71 Agent Banking
Outlets with a total accumulated account of 64,001, a total deposit of Tk-237.41 Cr, and a total turnover
of Tk 782.02 Cr. Where a number of the ansaction were 1,35,794.

Table 1: Zone-wise Agent Banking Outlet

SL Zone 2016 2017 2018 2019 2020 2021 Total
no Name Count
1 Dhaka 0 1 1 0 1 5 8
South
2 Dhaka 0 0 0 1 0 4 5
North
3 CTG 1 0 0 2 1 7 11
South
4 CTG 0 0 1 1 0 0 2
North
5 Cumilla 2 2 0 1 2 8 15
6 Khulna 1 4 3 7 1 2 18
7 Rajshahi 2 1 0 0 0 0 3
8 Barishal 0 0 0 2 0 3 5
9 Sylhet 0 0 0 2 0 2 4
Total 6 8 5 16 5 31 71

48
 ZONEWISE AGENT OUTLET
Sylhet Dhaka South
Barishal 6% 11%
7%
Rajshahi Dhaka North
4% 7%

CTG South
16%
Khulna
25%
CTG North
3%

Cumilla
21%

49
The growth of Agent Banking Outlet increasing tremendously after 2020. It proves that, financial
inclusion expands after 2020 due to pandemics.
Table: 2 ACCOUNT STATUS OF AGENT BANKING

2016 2017 2018 2019 2020 2021 Number

DEMAND 4534 5350 12940 22987 33130 46291 1252323
SCHEME 668 878 2345 5524 8501 13358 31274
MTDR 16 133 680 1571 2558 4352 9310
TOTAL 5218 6316 15965 30082 44189 64001 165816

50
 Account Status of Agent Banking

64001

44189

30082

15965

5218 6361

2016 2017 2018 2019 2020 2021

Customer tends to open account is increasing rapidly. In 2021,there are 19812 accounts were opened in
agent banking outlet, which is 44.83% higher than previous year.

TABLE 3 : Total Deposit Status in Yearly.

Year Deposit ( TK in Crore)
2016 5.31
2017 12.39
2018 31.45
2019 84.58
2020 137.20
2021 237.41

51
 Total Deposit status of Agent Banking
(in crore)
250 237.41

200

150 137.2

100 84.58

50
31.45
12.39
5.31
0
2016 2017 2018 2019 2020 2021

The business (i,e Deposit) coming from agent banking outlets contributes in the increment of liquidty.
Total amount of deposits stands 237.41 Crore Taka as on 31st December , 2021, whch is surprisingly
increased from the year 2019.

Table : 4 Amount of BREB Bill Collection

Year BREB bill Collection (in Crore)
2018 3.31
2019 9.42
2020 15.95
2021 29.32

52
 AMOUNT of BREB BILL COLLECTION ( Tk in CRORE)
35

30

25

20

15

10

0
2018 2019 2020 2021

First Security Islami Bank Limited (FSIBL) and Bangladesh Rural Electrification Board (BREB) struck
an agreement for the collection of electricity bills through FSIBL Agent Banking. The amount of money
collected by BREB is steadily increasingly .It benefits in a variety of ways . In comparison to the
previous year , the percentage of bills collected has grown by 81.81 percent.

Table : 5 Amount of Remittance Distribution

Year Remittance (in crore)
2016 1.61
2017 1.48
2018 7.03
2019 16.91
2020 30.60
2021 57.98

53
 Remmittance Distribution (in CRORE)
60

50

40

30

20

10

0
2016 2017 2018 2019 2020 2021

Account hoiders and walk-in customers can now use our overseas remittance payment services from a
location close to their home without having to travel far and face the discomfort. FSIBL Agent Banking
currently accepts foreign remittances from the following exchange houses : Western Union, Moneygram
Express Money, RIA, Transfast , Placid Express Italy Exchange House, Aftab Currency Exchange, Brac
Saajan Exchange etc.

As on 31.12.2021, FSIBL Agent Banking has distributed the 7539 number of foreign Remittance which
amount stands to 57.98 Crore.

Table 6 : Turnover of Agent Banking Business

Year Turnover of Agent Banking Business (Tk in
Crore)
2018 237.02
2019 391.45
2020 467.74
2021 782.02
54
 Turnover of agent BANKING BUSINESS (TK.
IN CRORE)
900

800

700

600

500

400 782.02
300
467.74
200 391.45

100 237.02

0
2018 2019 2020 2021

A good turnover indicates financial wellness of a company. A 67%++ increment shows that , FSIBL
Agent Banking delivering a good contribution in growth of FSIBL.

3.3 Analysis of General Banking performance Agrabad Branch

FSIBL Agrabad Branch being a third-generation progressive Islamic Shari’ah Based private commercial
bank, it always emphasizes on the development of its manpower to provide quality services to its clients.
It believes that the factors which help the banks to survive and differentiate it from other banks are
closely interlinked with the quality of services and satisfaction of clients and these depends on the
employees efficiency & effectiveness of work as well as use of modern technology with greater access to
all maintaining security.
To prepare this report, I tried to find out how the general banking activities of FSIBL ,Agrabad Branch,
and Chittagong is done and their outcomes. This reveals the following majors findings:

55
General Banking Performance of FSIBL Agrabad Branch
Year Target Achievement
2017 800 Crores 659 Crores
2018 850 Crores 771 Crores
2019 915 Crores 963 Crores
2020 1250 Crores 1428 Crores
2021 1450 Crores 1385 Crores

General Banking Performance , Agrabad Branch.

1600

1400

1200

1000

800

600

400

200

0
2017 2018 2019 2020 2021

These plot area represent

The deposit collection and investment of FSIBL, Agrabad Branch has increased over the year.

Trends in deposit and investment :

The amount of deposit and investment of FSIBL , Agrabad Branch have been increasing day by day.
Here I have shown the trend of previous five years deposits by the following chart :

56
Year Amount of deposits in TK
2017 12580
2018 13500
2019 14100
2020 14283
2021 12563

Deposit Amount
14500
5
14283
0
3
14100
0
14000

13500 2
13500
0

13000

2
12580
0 12563
0
12500

12000

11500
2017 2018 2019 2020 2021

Series 1 Column1 Column2

Following are the information of investment:

Year Amount of investment
2017 3618.25
2018 3815.68
2019 4298.34
2020 4084.60
2021 4366.87
It has been found from analysis of above table that the amount of investment is increasing .

57
 5000

4500
4298.34 4366.87
4000 4084.6
3815.68
3618.25
3500

3000

2500

2000

1500

1000

500

0 2.4
2 4.4
2 3
1.8 5
2.8
2017 2018 2019 2020 2021
Investment Amount

Caculation of growth rate of deposit and investment, I have used the following formula
{(Current Year- Previous Year)/ Previous Year}*100

Year Amount of Amount of Growth rate of Growth rate of

deposits in TK investment in deposit investment
TK
2017 12580 3618.25 - -
2018 13500 3815.68 7.91% 5.46%
2019 14100 4298.34 4.44% 12.46%
2020 14283 4084.60 1.29% -4.97%
2021 12563 4366.87 12.04% 6.91%

58
 Chart Title
15.00%

10.00%

5.00%

0.00%
2017 2018 2019 2020 2021

-5.00%

-10.00%

-15.00%

Deposit Growth Rate Investment Growth Rate

The growth rate of deposit and investment

3.4 Problems
The following Problems have been identified:
1. Problems in Deposit Collection: A deposit is both a transfer of funds to another party for
safekeeping and a portion of funds used as collateral for the delivery of a good. FSIBL faces many
problems in collecting deposits. The deposit stood at Tk 12563 crore in 2021 which was tk. 14283 crore
in 2020 meaning a decrease by Tk.1720 crore or 12.04 %.

2. Lack of customer care facilities: FSIBL, Agrabad Branch should more concern about
customer service. it should provide more trained manpower to support the customer and help them to
solve their inquiries.

3. Poor Investment Policy: Investment is the management of surplus resources in such a way
that it works for providing benefits to the supplier of the funds that is the banks. Investment Risk is one
of the major risk faced by bank. This can be described as potential losses arising from the failure of the
counterparty to perform according to the agreement with the bank. The investment policy of FSIBL is
poor. The bank’s total investments stood at Tk 4084.60 in 2020 which was Tk. 4298 crore in 2019a
meaning decrease by Tk. 214 crores or 4.91%.

4. Lower Profitability: The overall investment income in 2020 was 42,525.50 which was
decreased in 2021 standing at tk. 40631.89 million. And profit paid to the depositors in 2020 was
31,175.40 Million which was dramatically decreased in the year 2021 standing at tk 27608.05 Million,
which means FSIBL has experienced a decreasing trend in profit paid to the depositors and the growth
rate was -11.44%. That’s why lower profit paid to the depositors badly impacts on the overall
performance.

5. Diversification of funds by clients: Diversification is the process of investing

a portfolio across different asset classes in varying proportions depending on an investor’s time horizon,
59
risk tolerance, and goals. While diversification does not assure or guarantee better performance and
cannot eliminate the risk of investment losses, this disciplined approach does help alleviate some of the
speculations that is often involved with investing.

6. Increase in operating expense: The overall operating expenses has increased. Rent, tax,
electricity etc expense, legal expenses, printing , stationary, advertisement expense and other expenses
have increased in 2021 with compared to 2020. Ultimately it brings problem in the day to day
general banking activities.
7. Lack of trained manpower: While doing my internship in FSIBL , Agrabad
Branch, I noticed that there are shortage of manpower It has a huge number of customers but to deal
with these customers the manpower is not sufficient so that there must be a right number of employees
in the right place and FSIBL should behavioral training to the employees to deal with the customers
more efficiently and more smartly.

8. Lengthy procedure to deposit and withdraw:

FSIBL, Agrabad Branch should provide quick service of deposit and withdrawal of cash for their
valuable customers. As the customers need not wait for long time so more cash counting machine and
sufficient manpower should be provided in this area.

9.More Competitors: There are lot of competitors in banking sector of Bangladesh. So its great
threat for them. There are not only the conventional banks but also some other Islami Banks in the
market as their competitor.

60
3.5 Suggestions for general banking
Though FSIBL Agrabad Branch is performing well it has some crucial areas to improve which are
prescribed below:

1.Conscious about customer opinion: Customer opinion is very important for the
development of a service -oriented organization. So if the branch consider the customer opinion then it
will be helpful to the bank also. They can place a customer opinion box where the customer can write
down their opinion and drop that to the box. By this the banks can get information from their client and
the customers also think that they are valuable to the bank .

2. Investment portfolio: To fulfill the vision of mass banking FSIBL Agrabad branch should
grants investment portfolios to new entrepreneurs. Besides this the branch should make its investment
schemes more attractive for availing high-return projects.

3. Implementation of an innovative idea: FSIBL Agrabad Branch should consider the

utilization of youth potentials in the context of yhe present socio-economic conditions of Bangladesh.
Strong commitments and stepping up through experiment and implementation of innovative ideas are the
appropriate ways to do that.

4. Emphasis on Marketing Effort: FSIBL Agrabad Branch should give more emphasis on
their marketing effort and take more promotional activities. And also introducing more innovation and
modern customer service through the appointment of a customer relationship officer at branch level.
That means the branch needs to utilize more modern technologies to keep pace with the changing time.

5. Focusing on Women Entrepreneurs: FSIBL Agrabad Branch should appoint a sufficient

number of women employees to deal women entrepreneurs and professional to understand their need and
thus create demand for investment.

6. Advertisement: Most of the people of our country have no proper knowledge about activities of
islami banking as well as its mechanism. It should improve through various seminar and Islamic
discussion.

Outlook of FSIBL 2022

Considering the present situation in the world due to the COVID-19 pandemic , the management of the
bank has focused on the following issues:

 Developing technology to increase customer base, improve efficiencies, fight financial crimes
and enhance service excellence.
 Accelerating digital on board for different operational procedure and customer service.
 Introducing new products and services based on Islamic Shari’ah focusing on the present market
demand of the country.
 Digitalizing, modernizing, and reviewing Islamic banking practices in our all operation.
 Diversifying investment portfolio catiously without compromising asset quality for minimizing
risk.
 Ensuring prudent management of investment risk to offset risk arising out of COVID-19 &
OMICRON and concurrent environment.

61
 Focusing on recovery of non-performing investments (NPIs) and non-degradation of existing
asset quality.
 Focusing on expansion of its banking services among un-banked people through Sub-branches,
Agent Outlets and Digital Banking Services.
 Ensuring health and safety measures for all of our employees, staff and customers under the
current COVID-19 and OMICRON situation.
 Reengineering business process for increasing dynamism and efficiency in services.

62
Chapter – 4 (Summary, Policy Implications, and
Conclusion)
4.0Introduction
In today’s world, a bank performs several general banking activities in line with its different
internal departments. In most of the branches there are deposit section, investment section,
accounts section, foreign exchange section and cash section. FSIBL performs its different types
of day-to-day general banking activities with the help of these section. Bank earns its operating
profit through functional activities of these departments under general banking. That is why;
general banking performance does mean a lot for a bank. If a bank can figure out its outstanding
performance in general banking through satisfying its customer then it is possible for that
particular bank to gain competitive advantage from the market.

The main objective of the report is to evaluate the general banking performance of the First
Security Islami Limited Agrabad Branch . The study has covered general banking performance
of FSIBL for five years 2017-2021. The report had used both primary and secondary data . The
study has used descriptive statistics. The whole report is divided into four chapters .

4.1Summary of The Findings

The study has examined the general banking performance of FSIBL. The findings of the report have
been summarized as follows :

Summary of the general banking policy and products of FSIBL

FSIBL is moving forward with aim to reach its goal and even has become the leading one in respect of
standard shariah compliance leading banks of Bangladesh. Marketing and Business development
division is working devotedly & sincerely with the target to help shariah permitted product reach to the
doorsteps of the people & even the underserved as per the demand of the ongoing market. FSIBL has to
conduct KYC policy prior to opening account or establishing relationship with customer. Complete
identification and verification has to be conducted and necessary documents in this regard must be
obtained. FSIBL has successfully launched e-KYC based solution “FSIBL FREDOM’’ to facilate bank
account opening from anywhere, anytime instantly. In the era of globalization, ever new FSIBL product
has added to over banking sector throughout Marketing & Business Development Division focusing on
modern banking service and demand of the market. FSIBL continued adding more and more services
raising customer happiness. Only in 2021, twelve new services added which makes 64 different types of
services. As a part of this continuum effort , during pandemic COVID-19 situation , Market and
Business Development Division unveiled salary account in the name of Modaraba Workers Saving
account Majdoor for the workers of the mills & factories . FSIBL has been awarded the 1 st position three
times at a stretch, for the collection of Dhaka WASA bills. FSIBL branches, sub-branches and agent
banking outlets are collecting utility bills of the same. In doing so about BDT 2214 crore has been
collected in 2021 against various types of utility bill collection. The user base of FSIBL Cloud is
increasing day by day. In 2021 user have been increased up to

63
 69700 which 62% higher than previous year. The deposit coming from agent banking outlets contributes
in the increment of liquidity. Total amount of deposits stands 237.41 crore as an 31 st December 2021,
which is surprisingly increased from the year 2019. FSIBL call center was highly committed in meeting
emergency need. From 2018-2021 service provided to 4 lac customers. Call drop reduced from 18.19%
to 4.11%. In 2021, FSIBL obtained award as Shariah Complaint Modern Bank of the year. Also got ISO
2700:2013 Certificate. FSIBL inaugurated its 200 th ATM Booth on 15 December 2021. Focusing on
modern banking sector and demand of the customer and opened 1 st CRM ATM Booth. Marketing and
Business development Division is going to launch a new product named FSIBL Merchant.

Summary of General Banking Performance of FSIBL Agrabad Branch:

After analyzing the investment and deposit ratio of FSIBL Agrabad Branch, it is found that the ratio is
28.76%, 28.26%, 30.48%, 28.59% and 34.76% in the year 2017, 2018, 2019, 2020 and 2021
respectively. FSIBL Agrabad Branch is experiencing increasing trend in this ratio. The investment
growth rate 5.46% , 12.64 % , 4.97% ,6.91% in the year 2018, 2019, 2020, 2021 respectively. The
investment policy of FSIBL is good. The FSIBL’s (Agrabad Branch) total investment stood at TK
4366.87 Crore in 2021 which was TK 4048.60 Crore in 2020 meaning increased by 318.27 Crore. The
growth rate of deposit 7.31% in 2018, 4,44% in 2019, 1.29% in 2020 and -12 % in 2021 . FSIBL
Agrabad Branch is experiencing declining trend in deposit growth. On the other hand . the overall profit
amount 24 crore in 2017, 23 crore in 2018, 22 crore in 2019 , 25 crore in 2020 and 26 core in 2021 .
Growth rate 15.36% in 2021 which was 4.0% in 2020. FSIBL (Agrabad Branch) is experiencing an
variability in profitability . To increase the profit the bank should use the bank funds more.

Summary of the problems facing the branch in managing the general

banking :
Many new banks are coming in the scenario with new service. Local competitors can capture huge
market share by offering similar products. FSIBL Agrabad Branch has lacking’s in aggressive
advertising. Frequent taka devaluation and foreign exchange rate fluctuation is also matter of concern.
Besides, employees are not posted in the right place at the right time in some area. That’s why they have
to face various problem to operate their activities. Absence of stable internet connection badly impact
on their operation and wasting their time.

Summary of the policy measure for improving the general banking

performance of the FSIBL Agrabad Branch:
Today, the banking industry cannot be thought of without the active involvement of information &
communication technology. ICT increasingly become an invaluable and powerful tool for driving
development, supporting growth, promoting innovation, and enhancing competitiveness. The marketing
and Business Development Division is also working to increase the number of client as well as to ensure
the smooth customer service the different campaign for the progress and development of the bank.
Customer service and complain management make query and justify the matter. Implementing policy,
manual and structure development of customer care of the bank. Monitoring of help, evaluation and self
- assessment of customer service department. FSIBL management information system division has
realistic objective through which bank management can make decision, co-ordinate among the division
and find out problems compare of business performance and formulate strategies for bank development
as well as Bangladesh Bank measure through supervision of banks for condition and business
performance.

4.2Policy Measure
The report has put forward or suggested following policy measure for improving overall general
banking performance of FSIBL Agrabad Branch :I

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Guidelines for “Speak up Policy”- The bank adopts a “Speak up Policy” to uphold its
commitment to the code and to maintain a culture of strong ethics and integrity.

Arranging Seminar/Workshops /Training -The bank used to organize and sponsor

seminars/workshops/ debates and discussions in order to promote ethics, integrity and compliance
standards within the bank in specific and the financial services industry in general.

Customer service and fair treatment – Record keeping of customer service policy and
complaints. All employees should give priority in solving customer complaints quickly, and record the
accordingly. The employee must thank customers for bringing the problem to them. Communicating
with customers regarding customer queries and customer complaints at various touch points. Customer
complaints should be handled with care and sincerity. Customers should go home with happiness along
with the solution.

Asset -Liability Management and Locker Services:

 Deposit monitoring and support;
 Annual budget monitoring of branches and sub-branches;
 Review and follow-up of locker service of branches as to ensure maximum utilization for enhancing
income from avenues.
 Updating the insurance coverage of the rented chambers of locker statement collected from branches
and monitoring of uncollected locker rent

School Banking and Unclaimed Deposit:

 Collects information about school banking accounts from branches & monitoring these regarding
conversion of Onkur account to Saving A/C after attainment of 18 years of age.
 As per Bangladesh Bank instruction unclaimed deposits for 10 years and above are to be collect for
submitting the same to Bangladesh Bank maintaining the formalities laid down in the Bangladesh
Bank circular.

Cash Management: Follow-up daily cash position of the branches such as in the vault. And also
monitoring quarterly statements of cash in transfer (CIT).Banking policy circulation to the branches.
Also implementing the rules and regulation of opening of different types of account and correspondence
thereof within the Bangladesh Bank guideline.

Audit follow -up and Rectification:

 Review of the internal Audit Report and special inspection report andalso A monitoring the report
related to the general banking activities

Privacy and security of clients/ Stakeholders Information: In order to provide

financial services, employees will collect , maintain and use the personal information of clients in a
manner that allows them to provide better and tailored products and services and better meet the client’s
financial needs and objectives. All information gathered from customers /clients during the course of
providing service shall be considered confidential.
Transparancy and Accuracy of Financial, Tax and other Reporting : The bank will ensure that its reports
and communication are true, complete and accurate

4.3Conclusion

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Islam is a complete code of life where the detailed regulations for maintaining a proper economic life is
given. Therefore FSIBL Agrabad Branch is trying to establish the maximum welfare of the society by
maintaining the principles of Islamic Shariah which is based on Quran and Sunnah,. It also upgrades the
lifestyle of society by serving the people.
FSIBL is the pioneer of the welfare activities in Bangladesh. It is emphasize equally in developing the
rural areas of the country. The spscial feature of the Investment Policy of the bank is to invest on the
basis of profit-loss sharing system in accordance with the tenets and principles of Isiamic Shariah.
Earning of profit is not the only motive and objective in creating employment opportunities.
Having been considered the pro-efficiency character of FSIBL and its beneficial impacts on the
economy, government policy in Muslim countries should be in favour of transforming conventional
banking system into Islamic banking.

References :
Annual Report of FSIBL 2017
Annual Report of FSIBL 2018
Annual Report of FSIBL 2019
Annual Report of FSIBL 2020
Annual Report of FSIBL 2021

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