GENERAL BANKING OPERATIONS OF

RASTRIYA BANIJYA BANK LIMITED, THIMI

BRANCH

AN INTERNSHIP REPORT

Submitted by

Rojan Awal
Bhaktapur Multiple Campus
Exam Roll No: 24904/19
TU Regd. No: 7-2-20-650-2019

Submitted To
Office of the Dean
Faculty of Management,
Tribhuvan University

In partial fulfillment of the requirements for the Degree of

Bachelors of Business Administration (BBA)

Dudhpati, Bhaktapur
August, 2024

i
INTERNSHIP COMPLETION LETTER

ii
 DECLARATION

I hereby declare that this internship report entitled “General banking operations of
Rastriya Banijya Bank Limited, Thimi Branch” which is submitted by me in partial
fulfillment of the requirements for the award of BBA degree of Tribhuvan University
comprises only my original work and due acknowledgements have been made to
materials used in the report.

………………………
Rojan Awal
August 2024

iii
 BONAFIDE CERTIFICATE

Certified that this Internship report

General banking operations of Rastriya Banijya Bank Limited, Thimi Branch
is the bona fide work of

Rojan Awal
Who carried out the Internship Report under my supervision. This report is forwarded
for examination.

………………….. ………………….
Name of Supervisor Name of the Program Director
Mr. Prashu Ram Gelal Mr. Tulsi Ram Ghemosu

……………………
Name of the External Examiner:
August , 2024

iv
 ACKNOWLEDGEMENT

The successful completion of this report writing leaves me with the debt of
acknowledgement of the following personalities for providing me a platform for
learning and enhancing my skills as a management student. The satisfaction that
accompanies that successful completion of any task would be incomplete without
mentioning of people whose ceaseless cooperation made it possible, whose guidance
and encouragement crown all efforts with success.

I am thankful to Mr. Tulsi Ghomesu for providing this opportunity to conduct this study.
I am grateful to my supervisor Prashu Ram Gelal for the guidance, inspiration and
constructive suggestions that were helpful for me while preparing this report. I am
thankful to Mr. Tulsi Ghomesu for providing this opportunity to conduct this study. I
would like to express my special gratitude and thanks to Bhaktapur Multiple Campus
for encouraging and providing me with all the help for this report.

I would like to thank Rastriya Banijya Bank Limited, which accepted my presence and
gave me an opportunity to work with them. I would like to express my gratitude,
appreciation and indebtedness to Mr. Binod Prasad Sapkota, Branch Manager, for
providing me such a challenging internship opportunity. Moreover, I would like to
express my sincere appreciation to Mrs. Rajya Laxmi Acharya, Mr. Kumale Khatri,
Mrs. Sunita Pyakurel, Mrs. Anita Tajale and Mrs. Sharmila Khulal as well as all the
staff members for their immense support and hospitality during the entire internship
program despite of the rush of the work.

Lastly, I owe my depth of gratitude to all other persons who directly and indirectly
helped me in completion of this report.

Rojan Awal

August, 2024

v
 TABLE OF CONTENTS

INTERNSHIP COMPLETION LETTER…………….……..……….…ii

DECLARATION ...................................................................................... iii

BONAFIDE CERTIFICATE................................................................... iv

ACKNOWLEDGEMENT .......................................................................... v

TABLE OF CONTENTS .......................................................................... vi

LIST OF TABLES ....................................................................................ix

LIST OF FIGURES .................................................................................. x

ABBREVIATIONS ...................................................................................xi

CHAPTER ONE ....................................................................................... 1

INTRODUCTION .................................................................................... 1
1.1 Background of the Study ...................................................................................... 1

1.2 Objectives of the Study ........................................................................................ 2

1.3 Significance of the Study ..................................................................................... 3

1.4 Methodology of the Study .................................................................................... 3

1.4.1 Organization Selection .................................................................................. 3

1.4.2 Placement ...................................................................................................... 4

1.4.3 Duration ........................................................................................................ 4

1.4.4 Activities Performed ..................................................................................... 4

1.5 Limitation of the Study ........................................................................................ 7

CHAPTER TWO ...................................................................................... 8

INTRODUCTION OF BANKING INDUSTRY ................................... 8

2.1 History of Banking ............................................................................................... 8

2.2 Introduction to Banking Sector and Bank ............................................................ 9

vi
 2.3 Evolution of Banking Sector in Nepal ................................................................. 9

2.4 Classification of Banks....................................................................................... 11

2.5 Present Scenario of Nepalese Banking Sector ................................................... 12

2.6 Opportunities of the Banking Industry ............................................................... 13

2.7 Threats/Challenges of the Banking Industry ...................................................... 13

CHAPTER THREE ................................................................................ 14

INTRODUCTION TO THE ORGANIZATION................................. 14

3.1 Overview of Rastriya Banijya Bank Limited ..................................................... 14

3.2 Functions of RBBL ............................................................................................ 14

3.3 Core Philosophy of RBBL ................................................................................. 15

3.4 Structure and Network of RBBL........................................................................ 15

3.5 Board of Directors of RBBL .............................................................................. 16

3.6 Product and Services offered by RBBL ............................................................. 17

3.7 SWOT Analysis of RBBL .................................................................................. 22

CHAPTER FOUR .................................................................................. 23

JOB PROFILE AND ACTIVITIES PERFORMED .......................... 23

4.1 Activities Performed .......................................................................................... 23

4.1.1 Customer Service Department .................................................................... 23

4.1.2 Electronic Cheque Clearing Department .................................................... 26

4.1.3 Administration Pension Department ........................................................... 26

4.2 Experience in Internship..................................................................................... 27

4.3 Problem Faced and its Solution......................................................................... 28

CHAPTER FIVE .................................................................................... 31

CONCLUSION AND LESSON LEARNT ........................................... 31

5.1 Conclusion.......................................................................................................... 31

5.2 Lesson Learnt ..................................................................................................... 32

vii
 5.3 Observed Gap between Theory and Practice ..................................................... 33

REFERENCES ........................................................................................ 35

APPENDIX .............................................................................................. 37

viii
 LIST OF TABLES

Tables No: Page No.

Table 2.1 Classification of Banks 11
Table 2.2 Classification of the FIs 12
Table 3.1 Branch Network 15
Table 3.2 Board of Director 15

ix
 LIST OF FIGURES

Figures No: Page No.

Figure 1.1 Duration 4
Figure 3.1 Product/ service of RBBL 16

x
 ABBREVIATIONS

ABBS : Any Branch Banking Service

AD : Anno Domini
ADSL : Asymmetric digital subscriber line
ATM : Automated Teller Machine
BAFIA : Bank and Financial Institution Act.
BBA : Bachelors in Business Administration
BLB : Branchless Banking
BOD : Board of Directors
BS : Bikram Sambat
CDM : Cash Deposit Machine
CEO : Chief Executive Officer
CSD : Customer Service Department
ECC : Electronic Cheque Clearing
KYC : Know Your Customer
L/C : Letter of Credit
MICR : Magnetic Ink Character Recognition
MS : Micro Soft
NTC : Nepal Telecom
RBB : Rastriya Banijya Bank
RBBL : Rastriya Banijya Bank Limited
RIDA : Research Inputs and Development Action
SFAFDB : Students Financial Assistance Fund Development Board
SWIFT : Society for Worldwide Interbank Financial Telecommunication
TU : Tribhuvan University
USD : United State Dollar

xi
 1

CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
This report is prepared in partial fulfillment of the degree of Bachelor in Business
Administration (BBA), an undergraduate course under Tribhuvan University (TU).
The main objective of the internship is to help students understand the real working
environment as well as to apply the knowledge they have gained in the classroom into
the real business practices. The internship enables the students to be acquainted with the
practical aspect of the Nepalese business environment. This program also helps to know
how the organization as a whole operates and also how communication takes place and
activities are coordinated in the corporate world. It focuses on middle-level managerial
skill and knowledge enhancement under the supervision of faculty of management
(FOM) to deliver applied education in the field of economics, finance, marketing,
business environment, and information technology along with current affairs and
changes that occurs in the management field.

This course creates the platform to enhance the practical based learning process by
synthesizing theoretical concepts with real time examples and experiences. To achieve
this practical based learning process and enhance the knowledge of the students,
students must undergo internship program in their final semester i.e. Eighth semester.
The Nepalese financial sector is composed of banking and non-banking sectors.
Banking sectors comprise of class A, B, C and D class institutions mentioned in Nepal
Rastra Bank Act, 2058. Class A institutions are commercial banks, Class B institutions
are development banks, class C institutions are finance companies and class D
institutions are micro- finance companies.

Internship is the process of working as an assistant or a trainee to gain practical

experience in a job. It is a job taken by a student in order to learn a profession or trade.
Internship is an opportunity to observe, learn, understand and participate in the
corporate culture. As internship nourishes the student with pragmatic concept of job
design and job requirements, it is often regarded as the first step in career development.
 2

An internship is an extensive program through which an intern can learn the practical
aspects of what is taught between 4 walls of a classroom. It provides golden opportunity
to generate quality education because it enables us to learn, observe and understand the
real corporate world. Most importantly, the internship could be regarded as the first step
of career development. The internship enables the students to be acquainted with the
practical aspect of the Nepalese business environment. This program also helps to know
how the organization as a whole operates and also how communication takes place and
how activities are coordinated in the corporate world. Thus, the internship program can
be regarded as a fruitful opportunity for the students of BBA to be familiar with
corporate work of Nepal.

In case of banking market, there is wider diversification in a commercial bank.

Commercial banks provide the largest number of placement under different branches
and departments. The general banking practices of RBB is the main focus of this study.
There is the provision of job rotation, generalization in organizational environment.
Therefore, choosing a commercial bank can be perceived as a wise decision as internee
can learn wider area under same roof.

1.2 Objectives of the Study

Every kind of study has its own objectives. Without objectives nothing can be
accomplished. The main objectives of this report are to acquaint the BBA student like
us with the reality of organizations’ functioning and to undertake in depended analysis
and the appraisal of situation. The general objective of this report is to partially fulfill
the requirement for the degree of BBA. However, the specific objectives are as
follows:-
• To gain practical insight of the real working conditions
• To acquire sound knowledge about the organization's policies and principles
• To familiarize with day to day activities carried out at customer department
services
• To know about the different strategy of RBBL and how is it successful in
dealing with its customers.
 3

1.3 Significance of the Study

Internship program has helped fresh students to gain practical experience from actual
work setting. The finding of this study benefits the students considering the importance
of practical knowledge to fresh students. This program can be useful for future because
it provides an opportunity to students to know the challenges and problems faced by
the bank in day to day operation. Some of the significance of the internship program
are as follows:
• Increases confidence level of the students.
• Helps to enhance communication and interpersonal skills.
• Provides students with practical knowledge.
• Provides the opportunity to face real life problems.

1.4 Methodology of the Study

A systematic approach and methodology is needed in order to do any type of study and
prepare report on that study. An intense research has to be done in order to get the
appropriate results. This internship report has been designed to give a clear picture of
the operations performed in Rastriya Banijya Bank. The study is based on both primary
and secondary data collection methods. The methodology explains the efforts
undertaken for selection of organization, placement at department, duration of
internship and general overview of the activities performed during the internship
period.
• website of RBB
• Annual reports, different statement file, balance sheet and various
documents and other published data

1.4.1 Organization Selection

Selection of the organization is a crucial task as it affects the outcome of the internship
directly. The organization was personally visited in order to select the organization and
college recommendation letter and curriculum vitae was submitted at RBB Limited,
Sigh durbar Plaza. The bank accepted the request for internship and provided the
opportunity at RBBL, Thimi Branch. RBBL was selected for learning various aspects
of working environment with the aim to build confidence by developing interpersonal
and managerial skill in real field and it will become a source of inspiration for the
upcoming future.
 4

1.4.2 Placement
The Head Office of RBBL appointed the internee to Thimi branch as requested by the
internee. During the internship program the internee was placed to many different
departments such as, CSD, ECC, and Pension.

1.4.3 Duration
As prescribed by Tribhuvan University, the internee joined the bank for 8 weeks from
----------- 2024A.D. to --------- 2024A.D. During this internship period of Eight weeks,
the internee was able to learn about the bank’s culture, working environment and the
working procedure of the various department of the bank. The duration of internship
can be shown in the following figure:

Weeks
4.5
4
3.5
3
2.5
2
1.5
1
0.5
0
CSD ECC PENSION

Figure 1.1 Duration

1.4.4 Activities Performed

As Intern was placed in various departments, Intern performed various activities related
with each department. This section includes the study based on the internship period
and the various tasks performed during the stay in bank. From first to four week of
internship intern was placed in customer service department of Rastriya Banijya Bank.
After that intern was placed at electronic cheque clearing department for the cheque
clearing facilities for three weeks.
In remaining one weeks, intern was placed at pension department. Intern used to assist
the bank client in providing information and handling documents in customer service
 5

desk. Intern had user account to access Pumori Software (banking software) with which
Intern performed the tasks. The activities that internee performed during internship
period are as follows:

• Customer Service Department (CSD)

• Clearance Department
• Pension Department

A) Customer Service Department

Customer Service is often known as front desk or help desk of an organization. It
provides all necessary information to the customers, therefore the person inside of the
desk also should be well known about organization system. It is the window through
which bank sees its customer and customer interact with bank. It is the image icon of
the bank so good customer service means good image of bank. Under this department
following activities are done:

i. Customer Counselling
➢ Providing information about products to the customers
➢ To respond to the customer queries.
➢ To provide different types of forms and vouchers.

ii. Account Operations

➢ Account opening
➢ KYC (Know Your Customer) update
➢ Account closing
➢ Balance checking
➢ Filing and documentation of different accounts.

iii. Distribution Activities

➢ Customer’s statement printing.
➢ Accept requisitions for cheque books.
➢ Issuing cheques
➢ Recording and distribution of cheque books.
 6

B) Cash Department
Teller is the department of cash deposit and cash payment. Here the customer can
deposit cash in their own account as well as other person account by filing up the deposit
slip and withdrawal can be made through cheque or withdrawal slip. Following are the
activities done in teller department:
➢ Accepting deposit.
➢ Payment for cheque.
➢ Verify the signature.
➢ Transfer of balance from one account to another account.
➢ Record the amount of deposit and payment in the file.
➢ Posting in the computer the amount deposited and paid

C) Clearance Department (ECC)

Clearing is the process of depositing the mentioned cheque amount in customer bank
account through other commercial bank’s cheque in order to make the transaction
process convenient and deliver maximum customer satisfaction. In clearing department,
bank deals with different types of cheque of different banks, which are requested by a
customer to clear. Clearances of cheque are supervised by clearing house located at
Thapathali. Clearing is done by all banks except NRB. It is done for customer
satisfaction to avoid travelling from one bank to another. Taking care of the
convenience and different need of customer, clearance department offers two methods
of clearing the cheque:
i. Regular Clearance
ii. Express Clearance

D) Pension Department
Pension department check the balance of pension account, provide information about
pension patta renewal, renew pension patta and pay pension amount to respective
person. Generally, pension is distributed from the twenty fifth day of every month. In
order to know whether it is necessary to renew pension patta or not, the internee
should at first check the customer’s account using Pumori
 7

1.5 Limitation of the Study

As we know that each and every research and the study have their own limitations, this
study also has some major limitations which are listed below:
• This study may not be applicable to other organization of similar nature.
• Two month of internship program was not enough for learning overall
functioning of each department
• The bank’s policy to keep some information confidential prevented from
analyzing overall activities.
• The internee was not the real employee of the organization so the internee has
no right to access in every information and department.
 8

CHAPTER TWO
INTRODUCTION OF BANKING INDUSTRY

This section involves the brief introduction of the banking industry. It includes the
introduction of banking industry, meaning of bank, evolution of banking industry in
Nepal, meaning, development and functions of commercial banks in Nepal, present
scenario of banking industry on Nepal, opportunities and threats of banking industry in
Nepal.

2.1 History of Banking

The idea of bank began as long as 1800 BC in Babylon. In those days moneylenders
made loans to people. In Greece and Rome banks made loans and accepted deposits.
They also changed money. However, with the collapse of Roman Empire Trade
slumped and banks temporarily vanished. However, banking began to revive again in
the 12th and 13th centuries in the Italian towns of Florence and Genoa.
The origin of commercial bank can hence be traced back to the early times of human
history. As early as 2000 BC some people had developed a system of banking in
Babylonia. In ancient Greece and Rome, the practice of granting credit was widely
prevalent. At the same time some rich people used to practice storing of precious metals
and coins at safe places and loaning out money for public and private on interest
The term bank derived from the Latin word ’Bancus’, Italian word ‘Banca’ and French
word ‘banque’ all of which mean a ‘bench’. At ancient times there used to be some
moneylenders who sat in the bench for keeping, lending and exchanging of money in
the market place. That was the origin of commercial bank.
According to Crowther, modern banking has three ancestors. They are merchants,
goldsmiths and moneylenders.
The modern economic system cannot function without the bank. Presently there are
different types of banks that are established for instance Industrial bank, Commercial
bank, Agricultural bank, Co-operatives etc. Todays is the era of international banking
with the incorporation of the information technology.
 9

2.2 Introduction to Banking Sector and Bank

The banking sector is the section of the economy devoted to the holding of financial
assets for others, investing those financial assets as leverage to create more wealth, and
the regulation of those activities by government agencies. Bank is an organization
offering financial services, especially loans and the safekeeping of customers’ money
until required and making loans at interest. It is a financial institution that accepts
deposits and channel the money into lending activities.
A bank is an institution, which draws surplus money from public who are not using it
and lend to those who are intending to use it for productive purpose. Bank is also a type
of financial institution where financial services are broadly offered and wide ranges of
financial functions are performed.
(Horace) A bank is manufacturer of credit and machine so facilitating exchanges.
(C. R, Crowther)

Nepal Rastra Bank 2002 defines bank is a financial institution which provides financial
services that may be in the form of accepting deposits, advancing loans, providing
necessary technical advices, dealing over foreign currencies, remitting funds, etc. Thus,
in general bank is an institution with following features:

a. It deals with money; accepts deposits and lend to people who need.
b. It deals with credit and has the ability to create credit.
c. It is commercial institution and aims at earning profit.
d. It is unique financial institution that creates demand deposit which serves as a
medium of exchange and as a result, the bank manages payment system of
country.

2.3 Evolution of Banking Sector in Nepal

The history of bank development is not long in Nepal. It is difficult to trace the correct
chronological history of banking system in Nepal before 800 AD due to lack of
historical records. However, goldsmiths, merchants and local moneylenders were
considered ancient bankers of Nepal.
Sankhadhar Sakhwa, Sudra (low cast) merchant, cleared all the debt of Nepalese people
in 879 and started new era (20 October 879 AD) known as Nepal Sambat. It is an
 10

evidence of money lending and borrowing practice in ancient Nepal. Towards the end
of 9th century, Gunkam Dev had borrowed money to rebuild the Kathmandu Valley.

There are evidence of professional moneylenders and bankers during Malla regime in
12th century. This was particularly due to trade with Tibet. However, due to lack
regulatory measures interest rates were excessively higher. Kausi Tosha Khana
established during the time of King Prithvi Narayan Shah (1723-1755) was considered
the first banking institution of Nepal. The Tejarath Adda, established in 1880, was the
first formal institutional banking in Nepal. However, it did not offer deposit services
but granted loans to the general people and government employees keeping valuables
as collateral such as gold, silver, and employees’ salaries. Though the Tejarath
Addawas an important institution to meet the credit needs of the borrower, there were
still large numbers of people in the society out of reach of its services as banking
services were too limited.

The role of local lenders was so vital to cater credit needs of other people. The way of
managing surplus money such as use of clay pot was risky, unsafe, and inconvenient.
The need for full banking service firms were realized soon because of following
reasons:
a) Public’s need of wider range of banking services,
b) Extending trade to international boundary, and
c) Independence movement against British regime in India so that Rana regime
felt safe to keep the money in the country.

As a result, Nepal Bank Limited was established in November 15, 1937 AD (1994
BS).It is taken as the milestone of modern banking of the country. Nepal Bank marks
the beginning of a new era in the history of the modern banking in Nepal. The
government owned 51 percent of the shares in the bank and controlled its operation to
a large extent. It was headquartered in Kathmandu and had branches in others parts of
the country as well. In order to regulate the economy and unregulated use of money
Nepal Rastra Bank was created in 1956 as the central bank. Its function was to supervise
commercial banks and to guide the basic monetary policy of the nation. Its major aims
were to regulate the issue of paper money; secure country wide circulation of Nepalese
currency and achieve stability in its exchange rates; mobilize capital for economic
 11

development and for trade and industry growth; develop the banking system in the
country, thereby ensuring the existence of banking facilities; and maintain the economic
interests of the general public. Nepal Rastra Bank also was to oversee foreign exchange
rates and foreign exchange reserves. After almost 30 years another state owned
commercial bank Rastriya Banijya Bank (National Commercial Bank), was established
in 1996. The Land Reform Savings Corporation was also established in the same year
to deal with the finances related to land reforms. During 1967 AD the Agricultural
Development Bank was loss established. Almost 75 percent of the bank was state
owned; 21 percent was owned by the Nepal Rastra Bank and 5 percent by cooperatives
and private individuals. Hence it is clear that since the 1960s; both commercial and
specialized banks have expanded. More business and households had better access to
the credit market although the credit market had not expanded.

However, the decades of 1980 can also be considered as the landmark in the modern
banking history foe Nepal. It was only in this decade government allowed the excess to
foreign joint venture banks to be the part of the Nepalese banking business. During this
period, three foreign commercial banks opened branches in Nepal. The first was Nepal
Arab Bank established in 1984 AD. It was co-owned by the Emirates Bank International
Limited (Dubai), the Nepalese government, and the Nepalese public. After that in 1984
came Nepal Indosuez Bank (currently Nepal Investment Bank) which was jointly
owned by the Credit Agricola Indosuez, Rastriya Banijya Bank, Rastriya Beema
Sansthan (National Insurance Corporation), and the Nepalese public. Then Nepal Grind
lays Bank was the third foreign joint venture to be established in Nepal which was co-
owned by a British firm called Grind lays Bank, local financial interests, and the
Nepalese public. Although government had started the liberalization of financial sector
during the decade of 80s but this process speed up only in early 1990s. In fact, private
sector rushed into the banking and financial industry after restoration of democracy in
1990. Many commercial banks like Himalayan Bank, Everest Bank, etc. were
established during this decade. After the period till date twenty-eight commercial banks
have been established in Nepal.

2.4 Classification of Banks

A modern banking system demands different types of banking services. So to fulfill all
the functions demanded by the customers, different types of banks emerges in the
 12

banking industry specializing in different functional areas and with different purposes.
The highest authority on the pyramid is the central bank of Nepal. Nepal Rastra Bank.
NRB decides and formulates various guidelines for the banking sector in the country.
Nepal Rastra Bank has classified banking and financial institutions broadly into four
classes as class A, Class B, Class C and Class D. Different classes are classified on the
basis of capital requirement for their establishment.

Table 2.1 Classifications of Banks

Class Category In million Mid-July 2017
Class "A" Commercial banks 8000
Class "B" Development banks
National Level 2500
4-10 districts 1200
1-3 districts 500
Class "C" Finance Companies
National Level + 4-10 Districts 800
1-3 districts 400
Class "D" Micro Credit Development Banks
National Level 100

4-10 districts 60

1-3 districts 20
Source: www.nrb.org.np

2.5 Present Scenario of Nepalese Banking Sector

In the context of present situation there is tough competition for banking industry. The
overall competitions have been increased over the gap of time. As, we know the
economy of Nepal is very small but number of service provider high. Due to this reason
many banking industry is facing lots of problem. Some are in the position of insolvent
and some are in the process of merger. The political instability is creating lots of
problem in their operation. Few banks are making their presence in market by providing
security and confidence to customer. Banking industry is failing to achieve their
respected target.
The NRB has classified the financial institutions into “A” “B” “C” “D” categories on
the basis of the minimum paid-up capital and provide the suitable license to the bank
of financial institution. Group “A” is for Commercial Bank. “B” is for Development
 13

Bank, “C” is for the Financial Institutions and “D” is for the Micro Finance
Development Banks.

Table 2.2 Classifications of the Financial Institution

Classification Component Minimum Paid up capital Number

KA or A Commercial Banks( includi 8000 million 27

ng foreign joint-venture ban
ks)
KHA or B Development Banks 2500 million 18
GA or C Finance Companies 800 million 20

GHA or D Micro Credit institutions 300 million 74

Others Institutions - 15

Infrastructure Development 2000 million 1

Bank
Source: www.nrb.org.np

2.6 Opportunities of the Banking Industry

The main opportunities of the banking industry are highlighted below:

• Brand switching customers

• Explore the rural markets in Nepal
• Habit of saving and investments through modern technologies

2.7 Threats/Challenges of the Banking Industry

The main challenges of the banking industry are highlighted below:

• Political instability
• New policies laid down by NRB
• Brand switchers
• Attitude, perception and interest of customers
• Low public confidence
• Rivalry among existing competitors
 14

CHAPTER THREE
INTRODUCTION TO THE ORGANIZATION

3.1 Overview of Rastriya Banijya Bank Limited

Rastriya Banijya Bank Limited is fully government owned, and the largest commercial
bank in Nepal. RBBL was established on January 23, 1966 (2022 Magh 10 BS). Under
the RBBL Act. Now the bank is running under bank and financial institute act 2063.
RBBL has been contributing to socio economic development of the country for the last
five decades. RBBL provides various services to a wide range of customers including
both elite and poor.

RBBL has Nepal’s most extensive banking network with over 250 branches (including
Provincial Office). Through its widest branch and ABBS network RBBL has been
catering modern banking services to millions of customers. The bank has played a
significant role for the development of financial sector i.e. bank, insurance companies
through its promoter role.

The Bank with 2600 hands has expanded its wings in the most part of the country
through multiple distribution outlets of 250 branches (including Provincial Office), 25
counters, 93 branch less banking, and 204 ATMs. The Bank with as many as 1.7 million
satisfied direct customer ranging from poor to elite ones and millions of indirect ones,
has drawn important imprint in the picture of country’s economy through its significant
involvement in the best use of its resources to enhance the production, income and
employment opportunities.

3.2 Functions of RBBL

As per the Banking and Financial Institution Act (BAFIA), 2063, there are four types
of financial institutions which are classified in A, B, C, and D classes. Out of four
classes, Commercial bank falls under class ‘A’ category. RBBL as a commercial bank
performs various functions as prescribed in BAFIA, 2063. Some of the major functions
performed by RBBL are as follows:

• Accepting deposits with, and refunds such deposits

 15

• Supplying credit for various purpose

• Dealing in foreign exchange
• Issuing guarantees on behalf of its customers
• Making payments and supplying credit through automated teller machines
• Remitting or transferring funds to different places within or outside the National
boundary
• Purchasing, selling, or accepting bonds issued by the Government of Nepal or
the Rastra Bank

3.3 Core Philosophy of RBBL

The core philosophy of the bank includes its vision mission and objectives. And they
are stated below:
3.3.1 Vision: “The most credible bank for one and all, always contributing towards
Nation’s prosperity."
3.3.2 Mission: “We strive to enhance the quality of life of all Nepalese by eliminating
barriers to financial access and helping them achieve their full potential; and by
ensuring safe, innovative and affordable financial services, through vast networks of
efficient centers, socially responsible business processes and empathetic human
resource”
3.3.3 Strategic objectives:
The strategic objectives of the RBBL are as follows:
• Focus on providing innovative financial services.
• Increase in capital base of the Bank by the minimum capital requirement.
• Business growth and increase in market share.
• Enhance operational efficiency.
• Sustainable increase in profit.
• Focus on empowerment of deprived class

3.4 Structure and Network of RBBL

RBBL has enhanced the availability of its services both inside and outside the valley
across the country. It has been providing services to its customers through 250 different
 16

branches in seven provinces. The number of branches in different province (including

Provincial Office) is shown in the table below:
Table 3.1 Branch Network

S.N. Province Branches

1 Province 1 52
2 Province 2 32
3 Bagmati 57
4 Gandaki 30
5 Province 5 36
6 Karnali 20
7 Suderpaschim 23
Total 250
Source: www.rbb.com.np

3.5 Board of Directors of RBBL

The bank has a dynamic team of management including personalities from various
fields with long experience in banking industry.
Table 3.2 Board of Directors

Name Post

Mr. Dilip Kumar Dhungana Chairman

Mr. Narayan Prasad Risal Director

Mr. Sushil Ghimire, FCA Director

Mrs. Romila Dhakal Upreti Director

Prof. Dr. Ram Prasad Gyawali Director

Mr. Anal Raj Bhattarai Director

Mr. Laxman Ghimire Independent Director

Mr. Devendra Raman Khanal CEO

Saraswati Adhikari Deputy CEO

Source: www.rbb.com.np
 17

3.6 Product and Services offered by RBBL

RBB is never back in providing the best products and services to meet the requirement
of its customers, be that the existing ones or potential customers. RBB is indeed
successful to provide these entire products through the analysis of the customer
feedback form. Customer’s satisfaction is the paramount driver at RBB. The different
product and service offered by RBB are as follows:

Product/services

Deposit Loan Remittance Other Services

Figure 3.1: Product/Services of RBB

3.6.1 Deposit
Accepting Deposit is the primary function of every commercial bank. RBB also
provides the services of collecting deposits from its customers. Collections of deposits
are in different forms:
a) Current Account:
RBB offers a wide range of products and services designed to make banking easier and
to match each and every customer's requirements. This account is non-interest bearing
account. They are offering various flexible payment methods to allow customers to
distribute money directly to others. There is no limit for withdrawal and deposit in this
account. They provide internet user login for this account in case of single signatory.
b) Saving Account
RBB saving account is a deposit account held at a bank maintained by a customer for
the purpose of accumulating funds over a period of time while earning an interest.
Saving account can be opened in NPR and for the Nepalese citizen and USD for foreign
citizens with valid password and job appointment letter. Nepalese citizen who have
foreign currency source of income they can open foreign currency account. Maximum
interest rate provided is 3.25% and minimum interest rate is provided is 1.5%. The types
of savings account offered by RBB along with interest rates are presented in later part.
 18

c) Fixed Deposit
RBB has introduced several innovative schemes under Fixed Deposit designed to cater
to the needs of various segments of customers to meet your specific requirement.
Tenure ranging from three months to five years, fixed deposit at Rastriya Banijya Bank
allows customers to diversify their portfolio to best suit their investment plan. The
maximum interest rate provided in fixed deposit is 10.5% and minimum interest rate
provided is 3%.
d) Call deposit
Call deposit accounts are those accounts where customer park high-volume short
term deposits. These accounts pay interest to account holders based on the rate
negotiated with the bank. Cheque books will be provided to the call account holders
to withdraw cash. Rastriya Banijya Bank opens call deposit accounts in Nepali
Rupee and various other convertible foreign currencies.
e) Foreign Currency Deposits
RBB accepts foreign currency deposits at attractive rates of interest. Foreign
currency lending to exporters at competitive rates is also available. It also provides
certain facilities for NRN. The various services with their respective interest rate is
provided in later part of this report.

3.6.2 Loans and Advances

RBB provides credit on competitive terms by way of term loans as well for financing
working capital needs of all kinds of productive and income generating activities. The
maximum interest rate provided is 12% and minimum interest rate provided is 9%. The
classification of loan and their respective is presented in later part of this report.

3.6.3 Remittance
Remittance can be made to any part of the world by way of SWIFT Transfer instantly
in addition to the conventional facilities like demand drafts, Travelers’ cheque etc. RBB
facilitates both Inward and Outward remittance.
Rastriya Banijya Bank (RBB) has operated online web based remittance system, where
by money can be sent to Nepal from Worldwide. Payments can be collected from more
than 163 branch offices of the RBB. RBB has made association with the following
 19

foreign agencies for direct Remittance through RBB Remit where by Nepali citizens &
other people at Qatar, UAE and Dubai can send money to Nepal instantly.

3.6.4 New Services by RBB

a) Branchless Banking
RBB has deployed a Branchless Banking (BLB) System that is capable of providing
Retail Banking features such as Cash Deposit/Withdrawal, Bill Payments, Fund
Transfers and Inquiries to the RBB Customers. Customers are benefited by BLB in
the following ways:
i. Service provided at their doorstep/ village
ii. Availability of Basic Banking Services throughout the day
iii. Hassle free transaction for the villagers as there are no vouchers
iv. Familiarity in dealing with their own person
v. Reduces the cost of transaction

b) Cash Deposit Machine (CDM) Machine

RBB launched a self-service terminal that lets customers make cash deposits and
payment transactions to RBB accounts. Now customers’ dealings in cash are become
an easy chore. Our CDM services are available 24/7 in a week. All successful
transactions are immediately credited and customers will be issued an advice slip
confirming the transaction. To use the CDM, customers might not worry on any card
(debit-card issued by RBB) or any vouching at the bank counter. They only required
the account number to deposit and name for conformation. The services available are:
i. Cash deposit
ii. Cash deposit to third party accounts

c) Internet Banking
Rastriya Banijya Bank facilitates banking with a click of a mouse by which customers
can track their account from anywhere in the world. RBB has robust, instant, secured
and reliable banking solution for its clients. Edit/Drop User: The corporate customer
can edit/drop user for his/her account.
d) RBB Mobile Pay Service
RBB is providing Mobile Banking Financial service with its service powered by
Playbill (P) Ltd. The Customer of RBB can pay utility bills, shop online, buy tickets,
 20

send gifts, pay bills and even transfer money through the mobile phone. It is easy,
simple and secure.
e) Mobile Banking
Rastriya Banijya Mobile Banking provides convenient mechanism and quick access to
banking services for RBB customers from their mobile devices. The system is a SMS
based which can be used by the both NTC and Ncell telecommunication subscribers.
Customers can keep an eye on their financial transactions as well as carry out secure
financial transaction from anywhere, anytime. The main features of the Mobile Banking
services are Balance Enquiries, Last Transactions details, Transactions alerts, e-
recharges/bill payments/top up to utilities like NTC prepaid/postpaid/landline/ADSL,
NCELL prepaid/postpaid, inter branch funds transfer, etc.

It is also integrated with Fonepay network and eSewa mobile wallet, which enrich our
customer with more enhance and value added services like inter banks funds transfer,
global merchant payments and cash out from local merchants. Customers can use the
mobile banking service from the simple mobile handset through plain SMS and they
can download Rastriya Banijya Mobile Banking application from our website
(Download Mobile Apps section of this page) as well as from the corresponding App
Stores (Android, Apple).
f) ATM Card
RBB is visa associate member bank. Bank has launched issuance of Visa Electron
Debit card from all of its branches. RBB has own 72 ATM outlets.
RBBL is issuing visa debit card in three categories:
Visa domestic: Valid in Nepal and India
Visa international: Valid worldwide
Visa travel Quota: Valid worldwide issued against travelling cheque

3.6.5 Other Services

RBBL provides various other services such as: Any Branch Banking Service (ABBS),
Trade Finance, Student Financial Project, and Locker Facility.
a) Any Branch Banking Service
RBB has been providing Any Branch Banking Service from all branches across the
country. Through this service a customer from our any branch can easily deposit his/her
money in any branch and withdraw his/her money from any branch.
 21

ABBS service charge is free within the Kathmandu valley and within the same district.
However, for the cross district (except for within the Kathmandu valley) transaction,
minimum charges of Rs 100 will be charged up to Rs 2 lakhs and 0.05% will be charged
above Rs 2 lakhs.

b) Trade Finance
Through the wide spread and strong network of correspondent banking
relationships, Rastriya Banijya Bank is capable to offer various products
related to international trade suitable to your needs. Some of the major
products and services in this regard are as follows:
i. Letters of Credit (local, import and export)
ii. Various types of Bonds/Guarantees (including counter guarantees)
iii. Collections (Clean and documentary)
iv. Short-term Trade Finance (import, export and bills)
c) Student Financial Assistance Project

Student Financial Assistance Fund Development Board (SFAFDB) and Rastriya

Banijya Bank (RBB) signed agreement for carrying out banking and consulting services
for the administration of student financial assistance trust fund on the 21st November,
2008. RBB, hence called as Administrator, signed agreement with sub-consultants
DEVTEC Nepal (P) Ltd and Research Inputs and Development Action (RIDA) for
acquiring technical support in this regard. The main objective of the task is to administer
the student financial assistance program starting from awareness raising, selection of
students and disbursement of financial assistance through the different branches of
Rastriya Banijya Bank.
d) Locker Facility
Locker is a facility furnished to the individual and institutional customers who
prefer to safe deposit precious gems & jewelries and important documents to evade
the probability of increasing theft, burglary and fire. The Locker has been the first
choice for the safest custody of the valuable goods with flexibility of time to store
and take away when required.
 22

3.7 SWOT Analysis of RBBL

SWOT analysis is the acronym used for strength, weakness, opportunity, and threat.
SWOT analysis is used to analyze the internal and external environment of an
organization. All the external forces of the organization provide opportunities and
threats and internal forces provides the strength and weakness. With the help of SWOT
analysis, internal strength can be matched with the external opportunity to gain
competitive advantage. Similarly internal weakness can be reduced or overcome and
external threat can be avoided. The aim of SWOT analysis is to produce a good fit
between resource capability and external opportunities. For every organization to be
stable SWOT analysis helps in incredible way for which every aspect should be viewed.
Being a topmost organization of Nepal this analysis is to be prioritized for which
following observation is made. Following are the strengths, weaknesses, opportunities,
and threats of RBBL:

Strengths
• Better customer service
• Brand image
• Wider range of market
• Valuable human assets
Weaknesses
• Lack of team work
• Obsolete technology
• Lack of innovative and active
manpower
• Internal operating problems
• Lack of public confidence and
support

Opportunities Threats
• Expansion of number of • New competitors
branches • Political instability
• Alliances or joint ventures to • Brand switching
expand coverage
• Better customer service
 23

CHAPTER FOUR
JOB PROFILE AND ACTIVITIES PERFORMED

4.1 Activities Performed

During eight weeks of internship period at Rastriya Banijya Bank Limited, Banepa
branch, the internee visited three departments. They are CSD, ECC & Remittance, and
Pension. The internee has participated in the real life organizational setting outside the
classrooms and the internee has been provided with the opportunities to study the
overall management and business skills. With the keen support of bank staff, the bank
internee was able to use theoretical knowledge in actual field. In every department, way
of dealing with the customer was different. Customer care department involves more
dealing with customer than other department.

4.1.1 Customer Service Department

Customer service is the front desk and busiest place of any organization. It is the place
where customers make first contact with the bank. The initiation of banking services
starts from CSD where the deployed staff must have fair knowledge of banking so that
they may be able to answer any questions raised by the customers. Generally, we all
think that the only function of the customer service department is counseling the
customers and fulfilling their queries. But the scope of CSD is not only limited to the
customer counseling and fulfilling their queries.
In CSD the internee performed various activities which are discussed below:
a) Account Opening:
The internee was involved in opening accounts like saving account, and current account
as per the requirement of the customers. Filling account forms was also done by the
internee. There are 5 to 10 accounts opening per day in Thimi branch. The range may
be increased as per duration of schemes provided. The process of account opening can
be shown as follows:
• Customer is provided with the application form to be filled up. The account
opening form includes KYC form, Signature Card.
• The customer must submit copy of the citizenship, electricity bill or telephone
bill, and four passport size photos with the application form.
 24

• When the form is filled up by the customers, bank staff check the form and
documents and verify them and make the entry of the account holder in the
system called Pumori.
• The customer is provided with the account number and asked to deposit the
money as per the type of account s/he has opened.
b) Account Closing:
As per the request and requirement of the customers the account can be closed. The
major reasons for closing accounts are death of account holder and account holder going
abroad. Procedures to close the account followed by RBBL are as follows:
• Customers are provided with the account closing application. While giving the
application, the customers are asked for the reason to close the accounts.
• When the form is filled up, the customers are asked to submit cheque book and
ATM card (If taken) with the application.
• Then finally, the account of the account holder is closed. Bank charges certain
amount as account closing charge.
c) Customer Query Handling and Counselling:
As a CSD staff during internship most of the internee time was spent in handling the
numerous queries of various walk in customers. The internee gave the information that
they wanted. Many customers were interested to learn about the product which internee
happily obliged. In addition to that, the internee answers queries about bank’s other
products, services, transactions etc. The internee handled all the customer queries via
phone as well.
d) KYC Form Update:
KYC is an acronym used for “Know Your Customers”. It involves making reasonable
efforts to determine true identify and beneficial ownership of accounts, source of funds,
the nature of customers’ business, reasonableness of operations in the account in
relation to the customers’ business, etc. which in turn helps the banks to manage their
risks prudently. KYC update is the recent activity that is carried out in all the
commercial bank as instructed by Nepal Rastra Bank.
The internee was told to inform the customer visiting the bank to update their
accounts and those who doesn’t often visit bank were informed through telephone.
The KYC update process can be listed as follows:
• Customers are provided with the KYC form to be filled up.
 25

• When the form is filled up, the internee checks the form and verifies it for the
further process if all the information is filled up correctly.
• The customers submit copy of citizenship, and two passport size photos with
form
• Then, the internee updates the account of the customers using software called
Pumori.
e) Providing Balance Statement to Customers:
Balance statement shows complete transaction of a customer of deposits, withdrawals
and closing balance. These are confidential information so; statements are only
provided to the account holder. Statement is given to the person who has been identified
and authorizes by the bank. To get the account statement, the customer needs to provide
information about his/her account name, account number, period and authorized
signature or stamps of the organization. Bank provides statement to those customers
who have account in the same branch of that bank.
f) Filing:
Filing is one of the most important jobs assigned the internee. All the files of forms
related to the customers have to be properly filled up and put in the respective file and
has to be placed in the specified drawer. The internee is asked to search for the particular
file and has place it back in same manner.
g) Issuance of MICR cheque book:
Today cheque works as closely as paper money. It can be taken from one place to
another easily. Most of the commercial banks, development banks, financial institutions
and the co-operative accept cheque of each other easily.
The cheque is issued to the customer after he/she opened the account in the bank as per
his/her request. If customers request for new cheque book for the second time they
should fill the requisition form which is placed at the end of the checkbook. Before
receiving the checkbook, the account holder should sign in cheque register and
requisition slip. Then account holder’s signature is verified by staff of the bank or
internee and when signature matches s/he gets the new cheque book. In case if
requisition slip is loosed, the account holder should pay the extra charge of Rs 300 to
get the new cheque book and the charge is debited from the customer account.
 26

h) Scanning:
The internee scanned the required document like signature card, ATM and Mobile
Banking form. Scan needs to be done carefully because it encompasses the pivotal
information like customer signature and nominees.

4.1.2 Electronic Cheque Clearing Department

ECC department is one of the crucial department of any bank. ECC department mostly
deals with the cheque of other banks to be cleared and deposited in the respective
accounts but sometime, cheque of the same bank can also be cleared and deposited. The
cheque clearing process can be described as:
• At first, the customer is asked to fill the respective account name, number and
the amount in deposit voucher and submit cheque and voucher to staff of ECC
department
• Then, the internee checks the deposit voucher and cheque whether the voucher
is filled correctly or not as per the cheque. If the deposit voucher and cheque are
filled correctly, the internee verifies it for further process.
• The internee scans the cheque and fills necessary information in software called
ECC and sends it to clearing house for clearance.
• The internee generates the clearance report sent by clearance house and checks
for the mistakes if any
• Then, the internee posts the clearance amount to the respective account and
charges some charge such as ECC charge and ABBS commissions etc.

4.1.3 Administration Pension Department

The internee was also involved in pension department to check balance of pension
account, provide information about pension patta renewal, renew pension patta and pay
pension amount to respective person. Generally, pension is distributed from the twenty
fifth day of every month. In order to know whether it is necessary to renew pension
patta or not, the internee should at first check the customer’s account using Pumori. The
activities performed by the internee in the pension department are
• The internee checked the balance of the pension account and provided
information related to pension patta renewal
 27

• The internee helped customers to fill up the pension patta renewal form and
checked the form
• The internee renewed the pension patta at least for six months
• The internee posted pension in the customers’ account
• In case of Birendra Kalyankari Fund, the internee provided a slip to customers
by which they withdraw their money
• The internee helped the staff of pension to send messages to the customers
whose ATM and pin have been issued
• The internee provided ATM to the customers after the verification

4.2 Experience in Internship

Internship at Rastriya Banijya Bank Ltd., Thimi was really worthwhile and had a
memorable experience. It was great opportunity to gain wide knowledge about different
operational activities and procedure in practical ways. Without continuous support of
staffs, it may not be possible. So, intern experienced following things from internship:
• Working in government owned commercial bank, intern experienced the
importance of Nepali typing, Darta chalani for maintaining the record.
• Experienced how operational activities of branches of commercial are
conducted.
• Experienced how the product and services of banks plays an important role in
the life of people and in the country.
• Intern came to know about the workforce diversity on the basis of academic
background, gender, ethnic group, experience and the difficulty to work
between the diverse workforces.
• Working in a busy branch, intern experienced to handle bunch of work in a
single time.
• Experienced that in a group of customers, there are some people who have bad
intention and how to tackle with that type of customers.
Hence, intern got an opportunity to work in real life situations, experiencing the banking
practices of commercial bank, decision making process, organizational culture, division
of work, importance of team work and so on.
 28

4.3 Problem Faced and its Solution

• System Breakdown
This is one of the common issue banks are facing so does RBBL, Thimi. There occurs
frequent breakdown in the system which results in slow delivery of services, resulted
long queue and dissatisfied employee.
Solution: information and technology department should be more concerned towards
it. Old computers should be replaced with new and highly efficient computers. For
example: Slowing down of the system at the peak hour of serving the customer in queue.

• Dissatisfied Personnel
It is major issue of bank which is resulted due to less no. of staffs in the branch. Single
employee should bear more burden of work especially in ECC and remittance
department. It creates dissatisfaction in employers and less performance of work.
Solution: Equal distribution of workload, appointing new staffs by opening vacancies,
quarterly choosing best employee based on performance.

• Queue Management
There is no proper queue management system. In ECC department customers directly
enter the room and disturb the employer to perform their work. They directly interact
with staff for balance inquiry, advice and for suggestions.
Solution: Proper renovate of department and inquiry desk should be maintained.

• Lack of Proper Filing

One of the major problems is the archive and filing system of the bank. At Thimi, intern
observed that there is lack proper filing and indexing system in ECC and CSD than
another department. At CSD old files are thrown at corner of room and at ECC there is
no enough space to index the file. Although there were helpers who were assigned filing
work but they don’t pay attention in filing documents in time, resulting work delay.
Solution: Unused documents should be filtered and free space for new documents. On
other hand if concerned department heads take filing the document seriously then this
issue can be solved.
• Resistance to change
Another major problem at bank is the lack of enthusiasm of employees.
Employees resists for the change and have low learning desires. Staffs from
 29

one department denied working in another department. Especially, in ECC as

work burden is more.
Solution: Proper training related to work must be given to accept change.
• Grievances handling
The complaints and grievances of customers are no instantly solved. The first place
where the customer complains is CSD which is fully assigned to the interns who have
limited information and authorities. Due to limited number of staffs and lack of
authorized officers the grievances handling is time consuming.
Solution: The branch should increase the number of employees, which will improve
grievance handling, quick operation and will result in satisfied customers.
• Conflict Among Personnel
Difference in personal beliefs, attitude and the culture of employees and dominating
nature of employee in same level created conflict among the staffs.
Solution: Job rotation should be done and conducting branch weekly if not monthly
meeting between the staff of every level help to make strong bond.
 31

CHAPTER FIVE
CONCLUSION AND LESSON LEARNT

5.1 Conclusion
The internee chooses Rastriya Banijya Bank Limited to do internship on banking since
it is one of the renowned bank. During the internship period the internee found deviation
between practical knowledge and theoretical knowledge. Nevertheless, the internee got
the chance to improve his interpersonal skills and be familiar with the real life problems.
The internship added sense of responsibility to the internee while performing any task.
The theoretical knowledge that internee gained in college is now backed up with this
internship program due to its practical nature which will be beneficial for the internee
future.
Furthermore, to learn new lessons which were not covered in our classes, the
environment of RBBL was the perfect platform. It was really exciting to see the real
professional environment in the office. There were many departments. The internee got
the chance to work in most of the departments during the internship period. They are
CSD, ECC, Pension and Remittance.
The internee was able to understand corporate work culture, environment through
managerial perspective, being able to cooperate and comprehend the true concept of
working with the people in a team. Internee was able to visualize the current scenario
of Nepalese financial system and deliberately learned the majority of operation of CSD
and ECC including managing customer’s information system. During the internship
period at RBBL the internee found everyone to be honest, polite along with good work
ethic. The internee was able to see the practical implications of organizational behavior
that internee learnt within the closed four walls of classroom. All the knowledge that
internee has learned at class turned out at managerial tools and now internee has learned
to use these tolls effectively and efficiently as per the requirement.
Hence, to maintain its current position as a higher profit earning bank of Nepal, RBBL
has to benchmark its services to its major competitors in the industry and provide a
continuous mean of improvement in its existing products and services, while
introducing new ones to the industry. I would like to once again thank RBB, all the
staffs of RBB for their support, suggestions and cooperation. As a whole, my internship
was interesting, memorable and knowledgeable.

31
 32

Therefore, the internee is very much pleased to conclude that RBB is one of the best
bank with friendly and supportive environment and excellent customer service.

5.2 Lesson Learnt

As we know that practice makes man practical and perfect, the eight weeks internship
period in RBBL has taught the internee many lessons. Internee has learnt different skills
and obtained a variety of knowledge during internship period. The internee was able to
learn how the theories of the book are applied in the organization and the knowledge
beyond the books which could be gained only by working in a real organization. The
internee also learnt the professional attitude which will be useful in future. Apart from
that internee gained information about the products and services provided by the bank
and the culture of organization.
The internship has taught the internee many things which are listed below:
• Learned to socialize with professionals
• Learned to tackle operating problems
• Learned to deal with the parties
• Learned to use equipment like photocopy machines and printers
• Learned the working pattern and culture of organization
• The internee has broadened the interpersonal and communication skills
• The internee gained basic knowledge on operating software like Pumori
• Learned to develop positive attitude towards work as well as people at the work
place
• Internee has learned how to maintain systematic record and filling of the
document.
• Internee has learned how to open and close account of the bank and procedure
of account closing and opening.
Finally, the internee wants to conclude that throughout the internship period the internee
learnt many new things and developed the positive attitude towards the work and staff.
Hence, internship in RBB not only fives insight to learn about how the bank performs
interbank transactions in Nepal, but also boosts future prospects in the banking sector

32
 33

as well. Therefore, internship plays an important role in matching the knowledge gained
from practical perspective of education with the practical exposure at the work place.

5.3 Observed Gap between Theory and Practice

Reality differs a lot from the theoretical perspective, as learning in practical

environment and theoretically through the books has vast difference in the
conceptuality. The real life situation deals with in the practical aspect prepares well for
working in that environment, quite easily, the theoretical concept may boost learning
in a practical environment.

The report basically focuses on the overall banking activities especially highlighting
the functional departments. The general objective of this study is to get the better
understanding of the corporate environment of RBB. In general, it tries to assess the
contribution of RBB in the overall economic development. The purpose of the study
also is to do practical work, in the field and apply the knowledge of classroom lectures
to the real life situations.

In different courses I had acquired only the theoretical knowledge but during internship
program I got a chance to gain practical knowledge and cope with the working
environment. The theoretical knowledge that had required is very useful in
understanding the practical situation and in reducing the difficulties which many
students face during the internship program. But many gaps between the theoretical
aspects learnt and observed in the company. Some of them are as follows:
• There is no particular theory that is developed regarding how to deal with the
customer. Every customer is different in their perception and attitudes.
• This report is not generalized to RBBL as whole since the data was related only
to Thimi Branch of the bank.
• No strict description of job and responsibilities i.e. one staff has to perform tasks
as per the requirement.
• There is no universal way of performing the responsibilities given to the staff.
Each and every bank has its own way of carrying out the same activities unless
it is bounded by external rules and regulations.
• Development of computerized systems in the bank creates and documented
working environment where theories are less practically applied.
33
 34

• Since the entire activity of the bank is dependent upon the computer network,
any interruption or failure of network results in work delay and customer
dissatisfaction.

Thus, these gaps are observed between the theory and practice. In theory we learn
certain principles and processes but in practice they differ based on different factors.
There may not be specialization in work in practical life because one has to perform
task as per the requirement of administration.
 35

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516.

Gautam R., Gurung R., Pokharel J., Kandel R., &Sigdel S. (2014). Foundations
of Financial Institutions and Markets. Kathmandu: Ayam Publication.

Gajurel, D. P. (2010).Market Structure, Efficiency and Performance of Nepalese

Banking Industry. Unpublished M. Phil. Dissertation, T.U. Faculty of
Management, M. Phil.Program.

Gajurel, D. P. (2012).Concentration and Competition in Nepalese

Banking.Journal of Business, Economics & Finance.

Goodhart, C. (1985). The Evolution of Central Banks. London: London School

of Economics.

Manandhar, K.D. &Pokharel, S.B. (2012).Marketing Financial Services.

Kathmandu: Buddha Publication.

Mihail, D.M., (2006). Internship at Greek Universities: An exploratory study.

Journal of Workplace Learning.

Nepal Rastra Bank (2019), Publications and reports.

Kathmandu: NRB Rastriya Banijya Bank (2018). Annual

report.

Shrestha, M.K (2008). Financial Markets & Institutions. Kathmandu: Asmita

Publication.

Thapa, K, &Neupane, D.K. (2008).Banking & insurance. Kathmandu: Asmita

 36

Books Publishers & Distributors (P) Ltd.

www.nrb.org.com/bsd/bsdindex.
php?vw=4www.rbb.com.np/bran
ches.phpwww.rbb.com.np/vision
Miss.phpwww.rbb.com.np/eban
king.phpwww.rbb.com.np/atm.p
hp
 37

APPENDIX
List of Commercial Bank in Nepal
S.No. Name Operation Date
(A.D.)
1 Nepal Bank Ltd. 1937-11-15
2 Agriculture Development Bank Ltd. 1968-01-21
3 Nabil Bank Ltd. 1984-07-12
4 Nepal Investment Mega Bank Ltd. 2023-01-11*
5 Standard Chartered Bank Nepal Ltd. 1987-02-28
6 Himalayan Bank Ltd. 1993-01-18
7 Nepal SBI Bank Ltd. 1993-07-07
8 Everest Bank Ltd. 1994-10-18
9 Kumari Bank Ltd. 2023-01-01*
10 Laxmi Bank Ltd. 2002-04-03
11 Citizens Bank International Ltd. 2007-04-20
12 Prime Commercial Bank Ltd. 2007-09-24
13 Sunrise Bank Ltd. 2007-10-12
14 Sanima Bank Ltd. 2012-02-15
15 Machhapuchhre Bank Ltd. 2012-07-09*
16 NIC Asia Bank Ltd. 2013-06-30*
17 Global IME Bank Ltd. 2023-01-09*
18 NMB Bank Ltd. 2019-09-28*
19 Prabhu Bank Ltd. 2016-02-12*
20 Siddhartha Bank Ltd. 2016-07-21*
21 Civil Bank Ltd. 2016-10-17*
22 Rastriya Banijya Bank Ltd. 2018-05-02*