shahidul report final

7/31/2019 Shahidul Report Final

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MD. SHAHIDUL ISLAMID # M 20831111018

Chapter: 1

INTRODUCTION

Prepared For: Md. Masum Hossain Page 111


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1.0. INTRODUCTION OF THE TOPIC:

Financial institution/intermediary that mediates or stands between ultimate borrowers and

ultimate lenders is knows as banking financial institution. Banks perform this function in two

ways: taking deposits from various areas in different forms and lending that accumulated

amount of money to the potential investors in other different forms.

General Banking is the starting point of all the banking operating. General Banking

department aids in taking deposits and simultaneously provides some ancillaries services. It

provides those customers who come frequently and those customers who come one time in

banking for enjoying ancillary services. In some general banking activities, there is no

relation between banker and customers who will take only one service form Bank. On the

other hand, there are some customers with who bank are doing its business frequently. It isthe department, which provides day-to-day services to the customers. Everyday it receives

deposits from the customers and meets their demand for cash by honoring chaque. It opens

new accounts, demit funds, issue bank drafts and pay orders etc. since bank in confined to

provide the service everyday general banking is also known as retail banking.

Banking system occupies an important place in a nations economy because of its

intermediary role; it ensures allocation and relocation of resources and keeps up the

momentum of economic activities. A banking institution is indispensable part of a modern

society. It plays an important role in the economic development of a country and forms the

core at the money market in any country. In a developing country like Bangladesh the

banking system as a whole has a vital role to play in the progress of the economic

development.



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Bangladesh Bank introduced new accounting policies with respect to loan classification,

provisioning and interest suspense in 1989 with a view to attaining international standards

over a period of time. A Revised policy for loan classification and provisioning was

introduced from 1st January, 1999.The Revised policy calls for an independent assessment

of each loan on the basis of qualitative factors and objective criteria. Each loan is branded

with the worst level of classification resulting from these independent assessments.

If a Continuous Credit or a Demand Loan remains non-performing for 6 months or more it is

classified Sub-standard. It is classified as Doubtful if it remains non-performing for 9 months

and classified as Loss if non-performing for 12 months or more.

In the case of a Term Loan, which is repayable within a maximum period of 5 years, if any

installment is not repaid within the specified period and if the time-equivalent of such

unadjusted balance is 6 months, it is classified Sub-standard. A Term loan is classified

Doubtful and Loss if the time-equivalent of unadjusted balance is 12 months and 18 months

respectively.

Under the existing system scheduled banks are required to maintain provisions against

unclassified and substandard loans in addition to doubtful and loss loans. They are allowed

to book interest against classified loans only on cash basis.

Whether a credit is classified or not under the objective criteria, it is subjected to

classification under qualitative judgment if any doubt arises regarding repayment of loan



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1.1. ORIGIN OF THE REPORT:

Bachalor of Business Administration (BBA) in a specialized course. The course in designed

with an excellent combination of practical and theoretical aspect. After completing the BBA

exam three months is preserved for internship. As a student of BBA with the requirement of

my course I was assigned to Mutual Trust Bank Ltd., Shah Mokhdum Avenue Branch,

Uttara, Dhaka for my Internship.

I have timed my best to use this opportunity to enrich my knowledge on banking system. I

have also tried my level best to present my practical experiences in this internship report.

1.2. CONCEPTUAL FRAMEWORK OF THE REPORT:

Objective of the practical orientation program is to have practical exposure for the students.

Our internee duration is three months, which was somehow not sufficient enough to gather

adequate experience of such vast banking business. After working whole day in the office it

was very much difficult and also impossible to study against the theoretical aspects of

banking. Finally as the banks renovation activities was going on so the physical working

condition was not healthy enough that we thought it would be.



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1.3. OBJECTIVES OF THE STUDY:

Broad Objective:

The objective of the reports is divided in two parts. In first part of the report is about the level

of performance of the bank is analyzed. The strengths, the weaknesses and their potential

or threats are analyzed. It therefore, provides an in depth analysis of the whole organization

including it various department and identified the existing problem and also provides

recommendation for solving the problem. The second part of the report focuses on general

banking and credit operation of the Bank .

Other Objective:

Without this we have various objectives that are follows:

What type of client they are attending?

How they measure the client performance?

How much credit risk the Bank has to obtain?

What are the policies about the default client?

To know about the organizational framework of the bank.

To gather comprehensive knowledge on general banking system.

To acquire the knowledge about the primary forms of entrance in the

international trade i.e., the export-import.



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To acquire the knowledge about the credit systems of Mutual Trust Bank. To

observe the banks involvement in the foreign exchange business, formalities, and

activities of the letter of credit (L/C).

To focus the growth and development of Mutual Trust Bank Ltd.

To know the work environment & organizational behavior of the bank.

1.4. METHODOLOGY:

The study is descriptive in nature. Each and every aspect of operation especially General

Banking & credit issues are forced on study. I collected information both from primary and

secondary sources. In depth technique was used to collect data from the executive. Their

opinion helped in explaining the issues. Secondary data were collected from annual reports,

bulletin, previous research books, journals and web site. Based on objective, frequency

table and grapes were used for analysis.

1.5. TIME PERIOD OF THE STUDY:

The report is a combination of three months internship program with Mutual Trust Bank

Limited. This report focuses about ninety days working experiences in Mutual Trust Bank

Limited, Shah Mokhdum Avenue Branch, Uttara, Dhaka. This report will give a clear idea

about the activities and operational strategies of Mutual Trust Bank Limited.

1.6. LIMITATIONS:

In doing the report I have faced some limitations that cannot be ignored. Some of those

limitations are:

Workload at my job place was a barrier to prepare this report.

Getting relevant papers and documents were strictly prohibited.



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Although the officers have been very helpful, they didnt have enough time to

share with me, as they are very busy with their assigned words. So, in some

cases, observation was needed.

Finally, the length of this internship program is not sufficient to conduct a

detailed study on the subject of research.

Chapter: 2

ORGANIZATION PART



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2.0. NAME, LOCATION AND BACKGROUND OF THE COMPANY

Registered Name of the Company:

Mutual Trust Bank Limited.

Legal Form:

The Company was incorporated on September 29, 1999 under the Companies Act 1994 as

a public company limited by shares for carrying out all kinds of banking activities with

Authorized Capital of Tk. 38,00,000,000 divided into 3,80,000,000 ordinary shares of Tk.10

each.

Company Registration No.:

C38707(665)/99 on September 29, 1999

Bangladesh Bank Permission No.:

BRPD (P)744(78)/99-3081 on October 5, 1999

Registered Office:

MTB Centre, 26 Gulshan Avenue



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Plot 5, Block SE(D), Gulshan 1, Dhaka 1212

SWIFT Code:

MTBL BD DH

Historical background:

The Company was incorporated on September 29, 1999 under the Companies Act 1994 as

a public company limited by shares for carrying out all kinds of banking activities with

Authorised Capital of Tk. 38,00,000,000 divided into 3,80,000,000 ordinary shares of Tk.10

each.

The Company was also issued Certificate for Commencement of Business on the same day

and was granted license on October 05, 1999 by Bangladesh Bank under the Banking

Companies Act 1991 and started its banking operation on October 24, 1999. As envisaged

in the Memorandum of Association and as licensed by Bangladesh Bank under the

provisions of the Banking Companies Act 1991, the Company started its banking operation

and entitled to carry out the following types of banking business:

(i) All types of commercial banking activities including Money Market operations.

(ii) Investment in Merchant Banking activities.

(iii) Investment in Company activities.

(iv) Financiers, Promoters, Capitalists etc.

(v) Financial Intermediary Services.

(vii) Any related Financial Services.



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The Company (Bank) operates through its Head Office at Dhaka and 76 branches . The

Company/ Bank carry out international business through a Global Network of Foreign

Correspondent Banks.

Memberships of MTB:

Metropolitan Chamber of Commerce and Industry, Dhaka (MCCI, D)

The Institute of Bankers Bangladesh (IBB)

Bangladesh Foreign Exchange Dealers Association (BAFEDA)

Bangladesh Institute of Bank Management (BIBM)

International Chamber of Commerce Bangladesh Limited (ICCB)

Association of Bankers Bangladesh Limited (ABB)

Bangladesh Association of Publicly Listed Companies (BAPLC)

American Chamber of Commerce in Bangladesh (AMCHAM)

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2.1. MISSION, VISION, OBJECTIVES AND STRATEGIES OF THECOMPANY

2.1.1. Vision:

Mutual trust banks vision is based on philosophy known as MTB3V. we envision MTB to be:

i. One of the best performing banks in the country

ii. The bank of choice and

iii. A truly world class bank

2.1.2. Mission:

We aspire to be the most admired financial institution in the country, recognized as a

dynamic, innovative and client focused company that offers an array of products andservices in the search for excellence and to create an impressive economic value.

2.1.3. Values:

Commitment



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Shareholders - Create sustainable economic value for our share holders by utilizing

an honest and efficient business methodology.

Community committed to serve the society through employment creation, support

community projects and events and a responsible corporate citizen.

Customer render state-of-the-art service to our customer, offering diversified

products and aspiring to fulfill their banking need to the best of our abilities.

Employees Be reliant on the inherent merit of the employees and honor hour

relationship as a tribute to be a part of this renowned financial institution.

Accountability

As a bank, we are judged solely by the successful execution of our commitment, we expect

and embrace the form of judgment. We are accountable for providing the highest level of

service along with meeting the strict requirements of regulatory standards and ethical

business practices.

Agility

We can see things from different perspective; we are open to change and not bounded by

how we have done things in the past. We can respond rapidly and adjust our mode of

operation to meet stakeholder needs and achieve our goals.

Trust



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We value mutual trust, which encompasses transparent and candid communication among

all parties.

2.1.4. Overall strategic objectives:

To ensure the inflow of funds and combination of list possible cost

To maintain a discreet credit policy

To enhance versatility and diversification through the penetration of new

market segment, thereby fulfilling unmet needs

To extend financial assistance to the citizenry, living at dispersed locations

by expending the network of branches

To practice stronger IT-driven initiatives that will meet the challenges and

requirements of the bank and its clientele

To improve administrative and organizational structure in order to prepare

the platform for best practices of corporate governance

To enrich the banking sector with improve awareness to corporate social

responsibility to provide extensive carrier opportunities through competitive

pay and benefits and a flexible environment



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2.3. COMPANYS MAJOR FUNCTIONS, ITS BUSINESS &DESCRIPTION OF VARIOUS FUNCTIONAL DEPARTMENTS

If the jobs are not organized considering their interrelationship and are not allocated in a

particular department it would be very difficult to control the system effectively. If the

departmentalization is not fitted for the particular works there would be a haphazard situation

and the performance of a particular department would lose its measurability. MTB has done


Figure 1: Organization Structure of Mutual Trust Bank Limited


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this very well by dividing all sorts of operations into 25 divisions/departments having specific

and specialized job responsibilities. I have identified the divisions and outlined their functions

below:

1. Banking Operations Division (BOD) :

Submission of special important returns/information to National Task Force, Anti

Corruption Commission, Bangladesh Bank, Central Intelligence Cell, National Board

of Revenue, Income Tax Authorities and other Law Enforcing and Regulatory

Authorities collecting from the branches as per their requirements.

Issuance of all kinds of Instruction Circulars, Circular Letters and other Departmental

letters regarding banking operations.

Correspondences with Private General Insurance Companies for enlistment and

Renewal of those with our Bank.

Issuance of Circulars/Letters in communicating the instructions issued by the

regularity authorities and monitoring the compliance activities of branches.

Collection of information from branches as required by different departments of

Bangladesh Bank, consolidation of those information and then submission to the

respective authorities.

Correspondences regarding re-confirmation of lien of FDRs of our branches as well

as of other banks to comply the instructions of Bangladesh Bank.



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Circulation of revised interest rates and review/revision of Schedule of Charges and

Commissions to cope with the market and also to comply with Bangladesh Banks

guidelines/instructions.

Discharging secretarial services to BACH Implementation Unit of the bank.

Take necessary measures to comply with the instructions of Bangladesh Bank

inspection report regarding banking operation.

Take necessary steps to solve miscellaneous problems of the branches related to

banking operations.

2. Anti Money Laundering Division (AMLD):

Issuance of circulars/instructions to branches in pursuant to the instruction of

Regularity Authority.

Liaise with the regulatory bodies including Bangladesh Bank.

Monitoring the activities of branches regarding compliance of AML

instructions/guidelines.

Conducting training /workshop to make the officials aware /updated with the change

in regulations, procedures etc.

Examination of Independent Procedure Testing Reports submitted by Internal Audit

of ICC Division, Head Office as well as Self Assessment Report submitted by the

branches and take necessary measures to mitigate to irregularities/problems.



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Holding meetings of CCU on a quarterly basis and report the progress to MD.

Submission of CTR and STR to Bangladesh Bank after observing necessary

formalities.

All AML related actions assigned by Management from time to time.

3. Test Key Department:

Fixation of fixed and variable numbers for all branches with the newly opened

branches.

Responsible for the following works as in-charge of the Board Division under close

supervision of DMD and Group Company Secretary:

i. Preparation of notice for serving to the honorable Directors for Board

meeting, Executive Committee meeting and Audit Committee meeting.

ii. Preparation of Agenda and File for Board meeting, Executive Committee

meeting and Audit Committee meeting.

iii. Preparation of minutes of Board meeting, Executive Committee meeting and

Audit Committee meeting.

iv. Preparation of advice on the decision of Board Meeting, EC meeting and

Audit Committee meeting and communicate of the same to the related

division/department of Head Office.

v. Submission of minutes and other related periodical statements to Bangladesh

Bank and other regulatory bodies.



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vi. Preserving of Board Memos, minutes and filling of other important documents

in a systematic way.

vii. Various work related to holding AGM and EGM.

viii. Maintaining liaison with MTBSL, MTBCL and Share Department.

ix. Arrangement of Monthly Communication Meeting of the Board Division and

preparation of minutes thereof.

x. Any other job as assigned by the DMD and Group Company Secretary.

4. Card Division:

Cards Customer Service

New Accounts Opening & Maintenance

Card Production

Accounts

Merchant Acquiring

Cards Sales

5. Credit Administration Department:

Resolving the difficulties regarding disbursement

Ensure timely and smooth submission of the regulatory compliance

Disbursement approval letter

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Maintain close contact with Bangladesh Bank regarding compliance issues.

Complying with our 76 Branches regarding their limit authorization, CL statement &

Bangladesh Bank issues.

6. Credit Monitoring Cell:

To scrutinize & follow-up of all performing Loans & Advances up to risk grade 5 as

per Credit Risk Management(CRM) guide line.

To review all Loans & Advances at every stage from sanctioning, disbursements till

the expiry of the same for keeping the loan portfolio of the bank as unclassified.

To follow-up/ monitor the Overdue/EOL& SMA of loans & advances through on line

of all branches.

To follow-up the term loans of all branches whether any installments becomes

overdue.

To follow-up the continuous loan account whether any limit is going to be expired or

transaction found unsatisfactory.

To follow-up whether any un-authorized excess over limit allowed by the branches.

Financial statements are to be collected from the branches on regular basis.

To provide necessary information to the Management through In-charge of the Cell.

Constant follow-up is going on to escape the loan accounts from classification of

SMA/Overdue.



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To provide current data & information regarding recovery of expired EOL, Overdue

& SMA loan accounts to the top Management for taking necessary action.

7. Credit Risk Management:

Setting mission and vision on credit of MTBL

Setting Credit Principles, single borrowers exposure limitations of MTBL,

determining lending caps, identifying discouraged business types and setting loan

facility parameters.

Having oversight of banks credit policies, procedures and controls relating to all

credit risks.

Ensuring correct credit evaluation process in compliance with Credit Risk

Management guidelines of Bangladesh Bank.

Setting Industry and Business segment focus

Ensuring processing of credit proposals by undertaking appropriate evaluation

process and gradation of risks

Placing proposals to the approving authority in compliance with delegation of

business power.

Acting as Member Secretary of Credit Committee and critically evaluating credit

proposals before recommendation by the Credit Committee.

Placing credit proposals to the Board/EC for approval



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Handling credit portfolio of the bank in order to ensure quality advance and there by

good asset quality

8. Engineering Department:

Responsible for all MTB premises for the Bank and all its subsidiaries all over the

country.

Responsible for full time supervision of the under construction MTB Tower at Kazi

Nazrul Islam Avenue, Bangla Motor.

Responsible for the interior decoration of proposed branches/departments/ ATMs/etc

and renovation/maintenance works of the existing branches and other MTB

establishments.

The department is also responsible for preparing future Engineering plans of MTB.

9. Group Finance:

This is one of the most important divisions with a lot of functions and man-power. The

department is further divided into two departments, each having very specific functions as

outlined below:

i. Financial Administration Division and Reconciliation Dept:

Preparation of Financial Statements of the Bank (Quarterly/Half yearly/Yearly)

Editing of Financial Statements for Annual Report



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Issuance of Instruction Circular, Circular letter relating to FAD/Recon

Issuance of letter, Office Note relating to FAD/Recon

Maintenance of daily and monthly Accounting of Head Office Accounts

Computation of Corporate Tax, preparation of Tax Return, filing of return to Tax

Office

Payment of Advance Corporate Tax of the Bank

Follow up and liaison with Tax Office and getting the assessment done by Tax

Authority

Issuance of Certificate in support of deduction of Taxes to the payee

Liaison with Credit Rating Agency, submission of requisite papers as per

requirements and getting the Credit Rating done

Regular assessment of necessity of T-Bill to be purchased/sold for SLR purpose and

arrange for purchase/sale of T-Bill, payment thereof and accounting of the above

transactions

Follow up of T-Bill maturity & receiving the advice for sale proceeds of T-Bill and

proper accounting thereof

Payment of all Source Tax & VAT to Bangladesh Bank and collect copies of Challan

Attending various meeting with Tax Office and External Auditors

Liaison with Bangladesh Bank Inspection Team during Inspection work till Inspection

completed

Liaison with External Auditors and External Audit Team during audit till completed

Editing of Financial Statements given by External Auditors

Preparation of Annual Budget of the Bank for approval of the Board

Distribution of budget to the Branches



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Approval of Daily vouchers of Head Office Accounts and signing of IBCA & IBDA

Issuance of Closing Circular (Quarterly/Half Yearly/Yearly)

Editing of Printing Materials for Annual Financial Statements to publish in Newspaper

MIS for Board meeting and Managers Conference

Supervision of all statements to Bangladesh Bank

Signing of Dividend Notice

Approval for Cash in Safe, Cash on Counter & Cash in Transit for Branches

Insurance for Head Office

Maintenance of Bank Account of Merchant Banking Division, signing of cheques as

one signatory and approval of vouchers

Maintenance of MTB Employees Welfare Fund Account

Maintenance of MTB Foundation Account

Maintenance of MTB Employees Death Benefit Plan Account

Maintenance of MTB Employees Medical Assistance Fund Account

ii. Inter Branch Reconciliation Dept

Head of Inter Branch Reconciliation, sending of branch wise monthly outstanding list

and follow up till reconciliation completed

Maintenance of Provident Fund Accounts investment & mature

10. Human Resource (HR):

Preparation of Organogram of the Bank.

Fix up the Pay Structure of the Bank.

Recruitment of the Personnel for the Bank.

Transfer & Posting of the Employees.



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Promotion for the employees.

Disciplinary action, termination, Charge Sheet, dismissal.

Annual Performance Appraisal for employees.

Training (local & foreign) /Workshop /Seminar for the employee.

Power of Attorney and Specimen Signature for Executive/Officers.

Sanction of yearly increment/special increment.

Resignation & Termination of the Employee.

Employees Car Loan Scheme.

Mobile Phone Purchase & Bill ceiling for Executives.

Internship program for University student.

Permission for higher study.

Leave for the employees

Approval of TA/DA

Policies & guidelines related to HR.

Arrangement for MANCOM meeting

Implementation of decisions made by MANCOM meeting

Updating HR services, policies, and program

11. Internal Control & Compliance Division:



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This is another division with very important functions as MTB gives a lot of importance to

internal control and compliance. Hence, this division is further divided into three departments

with specific functions as outlined below:

i. Audit & Inspection

To assist preparing /designing Audit plan for each calendar year & get its approval

from the competent authority.

To conduct routine and surprise audit & inspection of different AD& non AD branches

and Divisions/Departments of CHO as per audit plan duly approved by competent

authority.

To conduct special audit on higher risk areas of the bank as & when required by the

management.

To conduct Investigation/Inquiry in to the complaint as & when assigned by the

management.

To report the deficiencies identified during audit & inspection to appropriate levels as

per guideline laid down in the Internal Control & Compliance Risk Manual of the

bank.

To submit informal audit report to the branches on the end of closing of conduction of

Audit & Inspection with request to rectify the same within the scheduled date.

To prepare and submit the final report to Head of ICC for onward submission to MD

& CEO.

Any other duties as & when assigned.

ii. Compliance



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To keep close liaison with the regulators at all levels and notify the other units of the

Bank regarding regulatory changes for their compliance.

To prepare and submit Executive Summary on the audit findings of Internal Auditors

to the appropriate level as per ICC Risk guidelines of the bank.

To prepare and submit Executive Summary on the serious irregularities detected by

the Internal Auditors reported vide their Interim Reports.

To prepare and submit Executive Summary on the audit findings of Bangladesh

Bank Inspection Teams and External Auditors.

To ensure timely and proper compliance of all audit objections as raised by Internal

Auditors, BBs Inspection Team and External Auditors.

To ensure timely preparation of periodical reports/memorandum on audit position of

the Bank for onward submission to the management, Audit Committee and Board of

Directors along with the progress report on compliance of all audit irregularities

raised by Internal and External Auditors.

To prepare and furnish working papers of Audit Committee meetings and submit the

same to the Competent Authorities.

To ensure timely compliance of the instructions/decisions of the Audit Committee &

Board of Directors of the Bank.

To prepare and submit the working papers of ICC Evaluation Committee meetings.

Convey the decision of ICC Evaluation Committee meetings to the concern offices

and branches for compliance.

To initiate office note before the Management for taking approval regarding the

implementation of control strategies as recommended by the Internal & External

Auditors from time to time.

All work related to formulation of policy guidelines of Internal Control & Compliance

Risk of the Bank.



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To look after the overall activities of monitoring unit as per guidelines of Banks

manual on ICC Risk adopted from Bangladesh Banks manual of Core Risks in

banking.

To review all control function checklists (Loan Documentation Checklist, Loan

Sanction Checklist, LC Documentation Checklist, Departmental Control Function

Checklist & Quarterly Operational Report) and report the exceptions to Head of

ICC/Management.

To collect relevant data from various branches/departments of Head Office of the

Bank & analyze them to assess the quantum of risk by using Risk Matrix Guideline

stipulated in the ICC Risk Manual of the Bank & put up the same before the

Management for their observations & decisions.

To prepare Annual Health Report on the Bank by February of each year based on

the financials of the last year as a regulatory compliance.

To prepare Annual Risk profiling of the branches of the Bank as a regulatory

compliance.iii. Monitoring

To collect certificate from all branches regarding compliance of Departmental

Control function Checklist on daily, weekly, monthly & quarterly basis as designed

by Internal Control & Compliance Division duly communicated to the branches vide

instruction circular no.40/45 dated 29.12.2005.

To collect & review Quarterly Operational Report (QOR) and point out the exceptions

and collect the compliance timely.



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To put up the positions of deficiencies & compliance of Quarterly Operational Report

before the management for perusal & instructions by the 15 th day of following month

of the quarter ends.

To collect Loan Documentation Checklist(LDCL)from all branches and point out the

exceptions & collect compliance by making necessary correspondence with

branch/respective departments of Head Office & put up to the management perusal

& their instructions those are to be complied with.

To collect operational performance of various branches in the prescribed format of

the Bank on quarterly basis & put up the same before management by the 10 th day of

following month of the quarter ends.

To collect certificates on periodical basis from all branches/departments of Head

Office in respect of timely compliance of their regulatory requirements.

Any other duties as and when assigned.

12. Group ITS Division: Overall supervision of the activities and operations of the Group ITS Division

Analyze and rework existing business processes, with identification and development

of the necessary capabilities using new technology, thereby streamlining the Banks

network access, as well as exploiting its knowledge resources

Head the Banks efforts to integrate the Internet into both its long-term strategy and

its immediate business plans

Provide strategic and tactical planning, development, evaluation, and coordination of

the information and technology systems and platforms of the Bank.



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Oversee effective and efficient electronic communication between staff,

management, branches, and other technology resources within the Bank

Oversee the back-office computer operations of the Banks information systems,including local area and wide-area networks, satellite or stand-alone systems

including BACH

Set up Disaster Recovery (DRPs)/ Business Continuity Plans (BCPs) and

procedures for Core Banking Application and other critical systems

Effective negotiation for purchase of IT related products to reduce costs

Provide the appropriate infrastructure and/or solutions, at the right time, to support

the business needs, in the most cost effective manner

Upgrade the MTB Internet Banking system into one of the best available in the

country

Project Manager for Bangladesh Automated Clearing House (BACH), ensure MTB

remains in the forefront for early implementation

Project Manager for MTB branded ATMs, efficiently deliver the goal of acquiring 200

ATMs by December 2011 and implementation of Euro Master Visa (EMV) module

Act as Project Manager for transforming and upgrading the Banks core IT system,

in 2012, allowing it to have one of the best in the world

Ensure LAN/WAN networking, Network security issues, Routers/Switches and

Firewall configuration, OS installation, Other Communication equipment

implementation.



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Report and liaise with the Senior Management on all departmental issues and

progress status

Perform all other managerial works related to the ITS Division

Point-of-contact for all the strategic and operational IT needs

Support the overall banks human resources in upscaling their computing skills

13. General Services Division:

To Prepare notes for approval and learning the system

To prepare board memo(s)

To prepare deeds and look after renewal process & others

14. International Trade Services Division:

Process proposals for AD Licenses for Bangladesh Bank approval

Attend all queries of Bangladesh Bank in respect of Non-Payment of accepted bills,

overdue export bills and overdue Bills of Entries with proper co-ordination with AD

Branches

Make necessary correspondences with Bangladesh Bank for recovery of un-paidaccepted bills by others Banks

Prepare proposals for any special permission of Bangladesh Bank in respect of any

Foreign Exchange Transaction



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Supervise timely submission of statements and returns in respect of Foreign Trade

Transaction and other related issues to Bangladesh Bank and other regulatory

bodies

Process notes for management approval for new correspondent banking relationship

and opening or closure of any Nostro account

Prepare drafts of Agency Agreements, obtain legal opinion from our legal advisor

and finalize them for execution

Annually review and renew U.S. Patriot Act certification of the Bank and provide on

request to our different correspondent banks

Annually prepare KYC AML Questionnaire for different foreign correspondent banks

and Exchange/ Remittance Houses

Prepare and Issue Instruction Circulars for our branches in respect of operational

guidelines, management policies, compliances, changes of regulations and

circumstantial directions of the management and other regulatory bodies

Review and make necessary correspondences with our branches for timely internal

and external audit compliances in respect of Foreign Trade transactions

Look after pending suits of the Bank in foreign courts, which arose from foreign trade

transactions of our branches in co-ordination with the legal advisor of the bank,

respective branches and Head Office and attend queries of the foreign and local

lawyers and update Bangladesh Bank from time-to-time

Review & Revise banks schedule of charges for foreign exchange transaction as

and when required by the management.



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15. Communications Department:

To promote the MTB brand and enhance the understanding and engagement of the

staff through various projects, branding etc.

Responsible for the Banks CSR activities, Sponsorships and budgeting to help

develop the brand.

16. NRB Division:

This is a division which generates huge income for MTB and as a result the importance of

this division is immense. This division is also further divided into three departments so that

this division is well-maintained and can reach greater heights.

i. NRB Business:

Prepares the annual Business Development Plan; as well as prepares the annual

Work Plan.

Lead and develop officials by identifying training needs.

Define and follow up of yearly targets and objectives.

Develop and implement strategies for new products and services.

Determine new opportunities by analyzing business needs.

Provide direction, guidance to the division to ensure alignment with the divisions

strategies.

Prepare proposals for any special permission of Bangladesh Bank in respect of new

tie up with exchange Company.

Supervise timely submission of statements and reply to queries to Bangladesh Bank.



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Process notes for management approval for new tie up with foreign correspondent

and other divisional matters.

Drafting of Agency Agreements, obtain legal opinion from the legal advisor and

finalize them for execution.

Execution and implementation of any other job as and when assigned by HoNRB.

ii. NRB Operations:

Instant Cash Product Money Gram, Xpress Money, Instant Cash, Instant Exchange

UK, Al Fardan Exchange, Al Zaman Exchange, Asia Exchange, Bahrain India Intl

Exchange, Wall Street & Zenj Exchange(Turbo Cash):

i. Download and mail to concern branches.

ii. Reconciliation.

iii. Reply to amendments and queries.

iv. Account credit transaction sorting and processing.

NRB accounts:

i. Processing and sorting of applications upon receipt.

ii. Record keeping.

iii. Communicate with NRB account holder.

iv. Sending cheque book and other document to NRB account holder.

Other Jobs:

i. All courier related issues.

ii. Reply to DD related queries and discrepancies.



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ii. NRB Overseas Representative:

L/C opening (Cash, Deferred & others Miscellaneous Work.

Preparation of daily LC position.

Shorting & distribution of daily Inward swift message

Issuance of precedes realization certificate Cash incentive related.

Maintenance of IRC renewal, reporting(CCI&E), received & transfer related work.

As a member of loan Recovery cell. Frequently visit to the client for loan recovery

purpose and duly report to head of recovery cell of the Branch.

Report to foreign exchange In Charge (Import) for daily assignment

17. Research & Development Department:

To undertake Research Projects as par need of the Management of the Bank.

To maintain different kind of information database and to grow the department as the

Centre for Information To publish monthly Magazine MTBiz

Quarterly Peer Group Review Study

Other ad hoc studies like: Customer Satisfaction Survey, Employee Satisfaction

Survey etc.



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18. Retail Banking Division:

To deal with both asset and liability portfolio of Retail Banking-by product & by

branch & sales team.

Follow up the Direct Sales Team(DST) / Branches budget with actual achievement

Monitoring performance of direct sales executives both asset & liability and arrange

sales commission & make list of non performer based on performance.

Communicate and implement management strategies for Retail Banking

To survey the market, develop the product and launching new product accordingly

Managing the growth of portfolio of Retail Asset, Liability, including underwriting and

risk management processes.

Overseeing pricing strategies of the portfolio to ensure appropriate pricing for credit

risk incurred, while meeting the banks profitability objectives.

Analyzing complex market forces and anticipates impact of changes in the economic

environment

19. Special Asset Management Department:

Supervise and conduct Operational Activities

Mobilize/Procurement of new business/ deposits for attaining the budget fixed by the

competent authority of the bank.



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20. Share Department:

Submitting Annual return, Particulars of Directors, Return of Allotment and other

information to Register of Joint Stock Companies.

Submitting monthly shares and shareholding statements required form SEC, DSE &

CSE.

Sending all other information necessary and required from SEC, DSE & CSE.

Providing related information to shareholders.

Maintaining necessary records

Correspondence with Central Depository

Bangladesh Limited (CDBL)

Bonus and Dividend related jobs

Correspondence with various institutions related to Share Dept.

Transfer of Shares

IPO related records maintaining

Right issue related records maintaining

Share delivery of IPO applicants

Lost / Lien of Shares

Documentation & Dispatch

AGM and EGM related work



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21. SME Banking Division:

To manage credit quality standards through effective management of risk according

to MTB policy and MTB3V.

To achieve set targets in terms of sales volume & number of accounts of entire SME

Banking.

To increase the customer base.

To achieve revenue target of all branches, SME/Agri branches.

To have control over cost and maintain cost/income ratio.

To manage bad portfolios.

To help in recovering the loan.

To develop sales strategies for specific product channels.

To plan for attribution and make necessary arrangements so that required numbers

are maintained.

Managing credit quality standards through effective management of risk according to

credit policies.

To ensure that effective process and controls are in place with clear responsibility

and accountability for the prevention of money laundering, mis-selling, mis-

representation, fraud and customers protection in line with the MTB policy and local

legal and regulatory requirements.



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To monitor the quality and completeness of applications source by the branch.

To ensure that unethical / illegal practices are discouraged and discipline in the team

is maintained.

To develop, maintain and where applicable, roll out procedures and controls that

meet the requirement of MTB policy, local laws and regulations.

To ensure training standards laid down at center level including those relating to

compliance are met.

To organize sales promotions (campaign, presentations, exhibitions etc.) in

coordination with Managers.

To drive motivate and inspire respective sales center to achieve their planned sales

activities.

22. Risk Management Unit:

Identification, Measurement, Reporting, Monitoring and control of all risks, those

usually affect BFI, in a qualitative and quantitative manner.

Ensuring regulatory compliance regarding RMU

ICAAP, SREP manual preparation and effective implementation

Stress Testing, Scenario Analysis, Sensitivity Analysis to benefit the risk

management and capital planning.

Develop the risk awareness culture in the bank.



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23. Treasury Department:

Overall responsibility of all treasury activities

Responsible for treasury financial plan

Determine overall treasury business and risk strategy

Set individual dealer dealing limits

Monitors all dealers positions and ensure dealers all internal and regulatory as well

as dealer specific limit

Decide on particular positions during adverse situations

Continuous development of systems, processes, business strategies etc.

Member of ALCO

Propose overall balance sheet strategy to the ALCO

Trading spot and forward positions arising from import/export/remittances etc.

Forming Market views

Profitability trading

Cross currency dealing

Pricing for Money Market and Forex

Monitoring of maintenance of CRR and SLR



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Investment in Treasury Bond/ bills portfolio

Repo activities

Overnight / Call Money activities

Term market activities

Managing balance sheet gap

Interest rate and market forecasts

Analyses of Risk report

24. Corporate Banking Division:

Lead and manage the lending portfolio of the Bank. Provide strategic direction to

grow business through a core team of Credit Officers at Head Office and the branch

network across the country. Introduce guidelines to assist clients with financial

products and services to source Working Capital and Revolving Lines, Mortgages,

Letters of Credit, Term Loans, Equipment and Auto Lease. Offer opportunities to

leverage companys strength to raise capital manage cash flow and provide

innovative asset-based solutions to meet financing needs.

Manage and enhance the capability of the Banks Structured Financing and Loan

Syndication Team.

Develop the Banks Retail and Small and Medium Enterprise (SME) business and

manage both the units. Work to set up leadership teams for the Retail and SME

segments and provide strategic guidance.



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Responsible for the Banks Credit Card Division and work to hire appropriate talent to

run the unit.

Manage the Banks Offshore Banking Unit and build the Banks Cash ManagementUnit.

2.4. THE COMPANYS COMPETITIVE CONDITIONS, INDUSTRYANALYSIS AND SWOT ANALYSIS

2.4.1. World Economy: An overview

In the era of trade liberalization, globalization has presented new challenges as well as

greater opportunities for countries all over the world. Economic boundaries of nations are

being abolished and the world is gradually becoming one global village. In the beginning of

the year1999, the Euro currency started to replace the currency of eleven European Union

countries. In the financial service sector profound changes have been taking place globally.

E-commerce is becoming the predominant mode of transactions. Revolutionary changes in

the fields of cost control, retail channels, range and delivery of services, accessibility and

reach are being witnessed. These changes have already triggered off reorganization,

amalgamation, and takeover of financial institution globally.

However, from 2007, the financial industry has started to melt down with many financial

institutions going bankrupt due to malfunctioning practices. The financial world was taking

more and more risks to increase their profitability which ultimately resulted in a backlash.

The whole world came to know of what we call a Liquidity Crisis. This was the start of the

global recession, the largest of its kind in modern history. Many researchers found that the

whole system of the financial industry was at fault. People lost faith in the financial

institutions and it seemed like the end is near for the financial industry. However, things

have started to improve from the end of the year 2010 and the world economy is recovering

slowly but steadily.



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Investment rate in FY 08 showed some increase and the declining trend in private savings

was substantially reserved. The national savings rate increased from the previous year. This

was partly due to increased inward remittances, increase in nominal interest rates and lower

rate of inflation.

A recent report from Bangladesh Bank gives us a brief overview regarding the economy of

Bangladesh, which is stated below:

Within last one decade (2000-2001 to 2010-2011) nominal GDP increased more than

threefold from TK. 2535.5 billion to TK. 7875.0 billion.

In 2010-2011 per capita income was USD 818 which was USD 374 in 2000-2001.

Foreign exchange reserve increased to USD 10.91 billion from USD 1.30 billion.

Export income has increased to USD 22.92 billion from USD 6.47 billion.

Import payment has increased to USD 33.66 billion in 2010-2011 from USD 9.33

billion in 2000-2001.

During the last FY wage earners remittances was USD 11.65 billion which was only

2.50 billion in 2000-2001.



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2.4.3. Industry Analysis

Bangladesh economy has been experiencing a rapid growth since the 90s. Urbanization

and lifestyle changes along with the economic development have created a demand for

banking products and services to support consumer investments in a profitable manner. To

meet the overgrowing demand of consumers the number of commercial banks in

Bangladesh is increasing day by day. So it is wise to say that the banking industry is quite

saturated and competitive. Some of the major players in this industry are the Hong Kong

and Shanghai Banking Corporation (HSBC), Standard Chartered Bank (SCB), City bank,

MTB, BRAC Bank, Prime Bank Limited Dutch Bangla Bank Limited, Mutual trust Bank,

National Bank, AB Bank, etc. Over the years these banks are significantly holding the

market share and continuously exerting pressure over one another. This highly competitive

and profitable industry therefore inspired others to come forward and thus made this industry

even more competitive and tougher.

In todays world everyone needs something unique to survive, and like everyone else each

bank also has some specific characteristics which set them apart from the others. For

example, the unique selling point of Dutch Bangla Bank Limited is its ATM outlets. None of

the banks can even think about competing with Dutch Bangla Bank in terms of ATM outlets.

With their massive promotion and superior ATM service quality, Dutch Bangla bank has

created a specific image in the minds of the customers. Similarly BRAC Bank specializes in

SME banking. This has been really profitable for BRAC bank for quite some time now. This

untapped market has great potential and at this moment BRAC Bank almost enjoys a

monopoly in that field. Again if we consider the case of Prime Bank, it specializes in



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corporate clients. Though MTB and Prime bank Limited came in the industry at the same

time however Prime Bank has expanded its business to a great extent. Today Prime Bank is

a famous name among all the corporate and is proving to be quite successful. This does

prove that the banking industry is quite competitive.

However keeping all that in mind, a new dynamic bank emerged named MTB, a fully online

scheduled commercial bank opened in 1999, is dedicated to offer its clientele truly

international standard banking services. MTBs customer friendly product with convenient

features is designed to meet the grouting and changing needs. Most important, The MTB

has a team of expert sales persons who will take banking at the doorsteps of customers.

Such innovative schemes, diversified services and dedicated human resource have been

the success factor of MTB in such a competitive industry.

A recent report from Bangladesh Bank also gives us the following information regarding the

industry:

Net NPL ratios have declined by more than two thirds since 2004.

Return on assets has more than doubled since 2004 (from 0.69 to 1.78 average for

all banks).

Return on equity has sharply increased from 9.7 percent in 2003 to 21 percent in

2010.

BB prepared risk management guidelines to strengthening debt management and

increasing the quality of assets.

BB conducted stress testing to increase the shock absorbing capacity of the banking

sector.

Completed Basel II implementation to increase capital of banks and has started

working on the implementation process of Basel III.



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2.4.4. PESTLE Analysis

Political Factors:

1. Reigning government always tries to bring new banks in the market making

their own people the directors and owners of the banks.

2. Banks which has a board of directors who are from the political party of the

reigning government tends to get more business and favor from the

government.

3. The government often scrutinizes the banks with directors of the opposition

party.

Economic Factors:

1. The economy is currently on a downfall following the stock market crash.

2. Many people lost their savings who invested in the stock market.

3. Almost all economic activities in the country have slowed down which will

take its toll on the banking industry.

4. Though the economy is on a downfall, the rate of inflation is still high for

which people are not convinced about saving in terms of money in a bank.

5. The GDP growth of the economy is however steady.

Social Factors:

1. People in the rural areas ideas are still skeptical about the banking industry

and their offers and schemes.



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2. People, especially in the rural areas, still prefer to save money in their home

or save in terms of land.

3. People, especially aged and in rural areas, think that taking a bank loan is a

bad idea and is a burden.

Technological Factors:

1. Emergence of online banking and telephone banking brought a whole new

dimension in the industry.

2. ATMs now play a big role especially in the urban cities.

3. Due to technological advances, banking have become faster, efficient and

more coordinated.

Legal Factors:

1. Banks are now more regulated than they were before in their early stages.

2. Bangladesh Bank strongly monitors all the banks.3. Most banks are still suffering to maintain the Statutory Liquidity Reserve

(SLR) and Cash Reserve Ratio (CRR) imposed by the Bangladesh Bank.

4. Most banks are also suffering to maintain their Debt-Liquidity Ratio imposed

by the Bangladesh Bank.

Environmental Factors:

1. Due to technological advances, banks now have to rely less on papers and

as a result they are not doing much or any hard to the environment.



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2.4.5. SWOT Analysis



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Figure 2: SWOT Analysis



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Chapter: 3

GENERAL BANKING

3.0. GENERAL BANKING:



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3.1. Deposit Products:

The aim to satisfy all clients, regardless of how big or small they may be, individuals are

counseled on the best type of accounts suitable to them such as Current, Savings, Short

Notice Deposits, Fixed Deposits etc.

3.1.1. Current & Short notice deposit (SND) Account:

Both individuals and business concerns including non-profit making organization can open

current and & Short notice deposit account. For opening a personal current account, the

account holder must provide his/her true names, parents name, present and permanent

address, date of birth, place of birth, account holders two recent passport size color

photographs, nominees one passport size color photograph, TIN number (if any), Passport

or Voter ID card or any others employer ID card and certificate from the ward commissioner

or union council chairman, The requirement of sole proprietorship account is same as of

personal account plus proprietor valid trade license photocopy is needed.

The requirement of partnership account is same as of sole proprietorship account plus

partnership deed and mentioned those will provide authority to operate the account.

The requirement of sole limited company account is same as of personal account with some

additional documents which are listed below:

Certificate of incorporation

Resolution of the board of directors

Memorandum and articles of association

Proper information as of personal account of directors and accounts operators

Certificate of the returns submitted to the register of joint stock companies



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Attestation by embassies or high commissions in the respective countries if the

company is incorporated outside of Bangladesh.

In addition, Different club, Co-operative society, private school, college& Madrasa, Trustee

board can open current account as per provide their board resolution, Deed of those

organization and others document as per types of organization.

3.1.2. Saving Account (SB):

Saving account always opened by individual for saving purpose of deposited amount over a

period. For opening a saving account, a person must provide his true names, parents

names, present and permanent address, date of birth, place of birth, account holders two

recent passport size color photographs, nominees one passport size color photograph,

Passport or NID Card or any others employer ID card or certificate from the ward

commissioner or union council chairman, Details of occupation or employment and source

of wealth or income and an introducer, who already has a account with the bank.

3.1.3. Fixed Deposit (FD) Account:

Fixed Deposit is one, which is repayable after the expiry of a predetermined period fixed by

the client. The period varies from 1 month to 12 months. These deposits are not repayable

on demand but they are withdrawing able subject to a period of notice. Hence, it is a

popularly known as Time Deposit or Time Liabilities. Normally the money on a fixed

deposit is not repayable before the expiry of a fixed period.

3.1.4. Deposit Products and Interest Rate:



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Types of Deposit Interest Rate

1. Savings Deposits a) General 6.50%

b) NRB 6.75%

2. Special Notice Deposits (SND)

Below BDT 10.00 million 5.50%

BDT 10.00 million to below 250.00 million 7.00%

BDT 250.00 million to below 1.00 billion 9.50%

BDT 1.00 billion and above 12.00%

3. Fixed Deposits:

1 month

Any Amount 12.50%

3 months

Any Amount 12.50%

6 months

Any Amount 12.50%

12 months

Any Amount 12.50%

Table1: MTB Deposit Offers & Schemes

3.2. Retail Savings Products:

3.2.1. MTB Senior:



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MTB Senior is an exclusive savings account that adds interest on daily basis and pays out

on monthly basis.

Eligibility of a Client to open this account:

Must be a citizen of Bangladesh

Age 60 and above

Unique features of this product:

Lifetime Free Debit Card

Free internet banking

20% off on locker charge

First 3 cheque books free

Interest calculated on daily basis and paid monthly

Unlimited transactions

Online banking facility across MTB branches and access to largest ATM network.

3.2.2. MTB Inspire:

MTB Inspire is an exclusive savings account that adds interest on daily basis and pays out

on monthly basis.


Must be a citizen of Bangladesh



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Age 18 years and above



No Debit card Fee for 1st year


Unlimited transactions


3.2.3. MTB Ruby:

MTB Ruby is a daily interest bearing and monthly interest paying savings account for female

customers.


Any Bangladeshi female citizen with photo ID document




No Debit card fee for 1st year



3.2.4. MTB Privilege Saving:



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MTB Privilege Savings Account is a daily interest bearing and monthly interest paying

savings account for MTB privilege customers.


Any Bangladeshi Citizen who has deposit balance of Tk. 30 lac and above with MTB

(Total Balance including the opening balance of this account)



Interest calculated on daily balance

Interest is credited to account every month


No account maintenance fee

Waiver in account maintenance fee

Waiver in cheque book fee

Free debit card

Required documents to open the account:

Banks prescribed AOF (signed by the applicant)

Three PP size photographs of applicant(s) attested by the introducer

Copy of valid photo ID like, Passport/NID/Driving License etc.

One PP size photograph of nominee attested by account holder



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3.2.5. MTB Junior:

MTB Junior is a daily interest bearing and half yearly interest paying savings account for

school/college students.


School/college students

Age below 18 years


Interest calculated on daily balance

Interest is credited to account on half yearly basis

No debit card fee

Waiver in account maintenance fee


Banks prescribed AOF (signed by the applicant)

ID card of the school

Three PP size photographs of applicant(s) attested by the institution authority / bank

official / any person acceptable to MTB Intimation of Guardian as per banks prescribed AOF (Individual information form

duly signed by guardian).

3 copies PP size photographs of the guardian

Copy of valid photo ID like: Passport/NID/Driving License etc of guardian

One PP size photograph of nominee attested by guardian.



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3.2.6. MTB Graduate:

MTB Graduate is a daily interest bearing and monthly interest paying savings account for

College /University students.


Any Bangladeshi college/university student with photo ID document as applicable for

savings account.

Age 18 years and above.


Interest calculated on daily basis and paid monthly.

No Debit card fee.

No account maintenance fee.


Banks prescribed AOF (signed by the applicant).

ID card of the college/university

Three PP size photographs of applicant(s) attested by bank official / any person

acceptable to MTB

Copy of valid photo ID like; Passport/NID/Driving License etc.

One PP size photograph of nominee attested by account holder.



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3.2.7. MTB Retail Savings Products (Deposit Slab and Interest Rate):

Product Name Deposit Slab ( If any) Rate

MTB Inspire Below BDT 0.1 million 6.00%

BDT 0.1 million to less than BDT 0.5 million 6.50%


BDT 1.0 million and above 8.50%

MTB Ruby Day End Balance Interest Rate

Up to BDT 5 lac 5.50%

Above BDT 5 lac and up to BDT 20 lac 5.75%

Above BDT 20 lac 6.00%

MTB Senior Below BDT 0.1 million 6.00%



BDT 1.0 million and above 8.50%

MTB Junior Day End Balance Interest Rate

Up to BDT 20,000 5.00%

Above BDT 20,000 and up to BDT 50,000 5.50%

Above BDT 50,000 6.00%

MTB Graduate Day End Balance Interest Rate

Up to BDT 20,000 5.25%

Above BDT 20,000 and up to BDT 50,000 5.75%

Above BDT 50,000 6.00%

Privilege Savings Day End Balance Interest Rate

Up to BDT 5 lac 5.50%



Above BDT 25 lac 6.75%

Table 2: MTB Retail Savings Products



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3.3. Deposit Schemes:

Apart from the conventional banking operations MTB strives to introduce an array of

products and services and already launched a number of deposit schemes products with the

aim of popularizing consumer banking operations and offer higher return to its clients. These

products are:

3.3.1. Brick by Brick:

Drops of water make an ocean. Your habit of regular savings will provide you comfort in the

future. Brick by Brick is a unique monthly savings plan which builds up over the years and

provides a lump sum amount at maturity.

The savings periods are 3, 5, 8 and 10 years. Monthly installments are Tk. 500/=, 1,000/=,

2,000/=, 5,000/= and thereafter in multiples of Tk. 500.

Any one will have to open an account in the bank from which a standing instruction will be

given to transfer the monthly deposit in the scheme's account and you must ensure that their

account has sufficient balance within the 10th of each month.

This plan is so flexible that at maturity any one can earn a handsome amount depending on

the size of installment amount of savings and tenure.



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3.3.2. Monthly Benefit Plan:

This plan offers you to generate monthly income out of your deposit. It has been designed to

help and assist conscious savers from all strata of the society. The minimum deposit is Tk.

50,000/= or in multiples thereof. There is no upper limit and this plan is for a 1, 2 & 3 years

term that cannot be changed subsequently.

You will require opening a savings/current account. Monthly income will be credited to your

account.

3.3.3. MTB Double Saver Plan:

]MTB Double Saver Plan offers Clients a one time savings scheme, which will provide of

clients double the amount of your deposit after eight (8) years. Clients will receive a

handsome amount at maturity.

If you are an individual or if the institution is an NGO or an Educational institution or a Trust

or Society or any other institution, Clients may invest their savings in this scheme with a

minimum deposit of Tk. 10,000/- for eight (8) years with no limit for maximum amount. At

maturity Clients will get double of their deposited amount along with a gift item.

Clint can even avail loan up to 90% of the deposited amount.

3.3.4. MTB Millionaire Plan:

Millionaire Plan is a monthly savings plan, which is designed to make you a millionaire in a

few years.



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If the clients are an individual or if their institution is an NGO or an Educational institution or

a Trust or Society or any other institution, the clients may invest their savings in this scheme

for 6/8/10/12/15/20 years with different installment sizes. At maturity they will get Tk.

10,00,000/-.

The clients can even avail loan up to 90% of the deposited amount after 1(one year).

3.3.5. MTB Education Plan:

Education is the backbone of any nation and one of the primary factors of prosperity. An

educated nation stands tall in the committee of nations and deserves respect. A child's

education is of prime importance and every parent should ensure and make every effort to

get their child educated.

To admit a child in a good institution parents require adequate amount of savings for the

cost of admission into a school. This plan allows new parents to save for 4/7/9/12 years.

The parent can deposit any amount of money at any day of the month. The interest rate is

very lucrative and Mutual Trust Bank offer substantially more than the prevailing savings

rate.



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3.4. Corporate Employee Privilege Program (CEPP):

MTB has started offering different retail banking privileges to well known corporate houses

under Corporate Employee Privilege Program (CEPP). Employees of these corporate

houses will be eligible for specific offer on retail products and services as approved by the

management while opening salary account with MTB.

Under CEPP the corporate houses will get following benefits:

Salary Account:

Saving or Current account

No account maintenance fee

No account opening deposit

No Debit Card fee


Free cheque book

Credit Card:

50% discount in annual fee

Personal Loan:

Rate of interest:18% p.a

Processing fee : Regular fee will apply

Auto Loan:

Rate of interest:16.50% p.a

Processing fee : Regular fee will apply



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3.5. Correspondent Banking:

The objective of Mutual Trust Bank correspondent banking operations is to strengthen our

existing relationships with foreign banks and financial institutions around the globe as well

as exploring new relationships. In addition to that, we provide assistance in marketing the

products of the correspondent banks.

At present MTB is maintaining relationships with 30 (thirty) foreign correspondents and the

number is growing every day. Currently the bank has 18 (eighteen) NOSTRO A/Cs with

large foreign banks abroad. The bank is a "SWIFT" member and its Bank Identification

Number or BIC is 'MTBL BDDH'.

3.6. Foreign Trade:

MTB provides a wide range of banking services to all types of commercial concerns such as

Import & Export Finance and Services, Investment Advice, Foreign Remittance and other

specialized services as required. Although MTBL are a private commercial Bank, It has a

strong global network that helps us to undertake international trade smoothly and efficiently.

Import Business:

Mutual Trust Bank supports its customers by providing facilities throughout the import

process to ensure smooth running of their business. The facilities are:

a. Import Letter of Credit

b. Post Import Financing (LIM, LTR etc)

c. Import collection services & Shipping Guarantees



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Export Business:

Mutual Trust Bank maintains a strong network with the Exchange Houses worldwide for

ensuring better remittance services for its customers. The Bank having a network of 36

branches has established remittance arrangements with a number of exchange houses to

facilitate wage earners to remit their money to Bangladesh. The following is the list of

exchange houses having arrangement with Mutual Trust Bank Ltd.

3.7. Online Banking:

Mutual Trust Bank is playing a pioneering role among its competitors in providing real time

online banking facilities to its customers. Mutual Trust Bank online banking offers a

customer to deposit or withdraw any sum of money from any branch anywhere.

Any account holder having a checking account with the bank can avail this service.

Based on two-tier client-server architecture, the banking software works basically on central

server approach providing the fastest possible access time to any client database from any

branch as well as updating the transaction. The branch level server keeping the up to date

transaction history of the client ensures the offline transaction ability in case of any failure in

the remote communication. Using Microsoft's enterprise version of SQL Server 2000 as data

reservoir, the software ensures the highest level of security at application, network,

database and operating systems level ascertaining the confidentiality and security of

customer's personal and account's information.

3.8. Remittance Services:



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Exchange House Name Service Available Presence

UAE Exchange Centre LLC

1. Taka Draft Arrangement2. Express Money

3. TT Arrangement

Global

Wall Street Exchange Centre LLC 1. TT/ EFT Arrangement UAE

Instant Cash Worldwide Ltd. 1. Instant Cash Payment.2. TT/EFT Arrangement.Global

Al Ahalia Money Exchange Bureau 1. TT/EFT Arrangement2. Taka Draft Arrangement UAE

Route of Asia Money Exchange Ltd. 1. TT/EFT Arrangement UK

Bangladesh Money Transfers (UK) Ltd. 1. TT/EFT Arrangement UK

Instant Exchange UK Ltd. 1. TT/EFT Arrangement UK

Money link UK Ltd. 1. TT/EFT Arrangement UK

Trust Exchange Co. W.L.L. 1. Taka Draft Arrangement

2. TT ArrangementQatar

Economic Exchange Company 1.Taka Draft Arrangement2.TT/EFT Arrangement UAE

Al Ghurair Exchange LLP 1. TT/EFT Arrangement UAE

ICICI Bank, India 1. TT/EFT Arrangement Global

Money Gram Payment System 1. Instant Cash Payment Global

Table 3: Exchange House

3.9. SWIFT Service:

The Society for Worldwide Interbank Financial Telecommunication or S.W.I.F.T. is a

worldwide community. 7,800 financial institutions in 200 countries connected to one another



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through SWIFT. In their own word SWIFT "consistently delivers quantifiable business value

and proven technical excellence to its members through its comprehensive messaging

standards, the security, reliability and five nines availability of its messaging platform and its

role in advancing STP. The guiding principles of SWIFT are clear: to offer the financial

services industry a common platform of advanced technology and access to shared

solutions through which each member can build its competitive edge."

Mutual Trust Bank has already become the member of SWIFT community and has started

its operation from March 2004. With introduction of SWIFT, MTB ensures its customers the

quickest and most secured financial transaction around the world. The SWIFT address or

BIC of Mutual Trust Bank is: MTBL BD DH.

Bank Identification Code (BIC) for the MTB Branches are:

Branches BIC

Principal Branch MTBL BDDH PBR

Panthapath Branch MTBL BDDH PPB

Agrabad Branch MTBL BDDH AGB

Babu Bazar Branch MTBL BDDH BBB

Progati Sarani branch MTBL BDDH PSB

Dilkusha Branch MTBL BDDH DIL

Khatunganj Branch MTBL BDDH KTG

Uttara Model Town Branch MTBL BDDH UTR

Dhanmondi Branch MTBL BDDH DHA

3.10. Cards Services:

3.10.1. Visa Electron Debit Card:



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MTB Visa Electron Card will be offered to each and every Savings, Current & SND Account

holders of the Bank. This electron Card can be used at any MTBs ATM or any VISA logo

ATMs all over the country.

3.10.2. International Travel Card:

An internationally accepted VISA prepaid card for the travelers:

Will reduce dollar endorsement hassle and will provide best support while in

abroad.

Easy to use & Carry.

Secured & Convenient

Handy & Prestigious.

Usability on 550,000 Visa ATMs worldwide.

3.10.3. MTB Hajj card:

Hajj card is a pre-paid card which is valid only in Saudi Arabia (KSA) to perform Hajj or

Omrah. According to the Central Bank Foreign Currency regulations, this card will allow the

pilgrims to withdraw cash from any of the VISA acquired ATM and purchase or pay against

service by using VISA POS throughout Saudi Arabia. The cardholder will be able to

withdraw SR 100 in cash per transaction or up to the face value of the card.

MTB Hajj cards are especially designed to ease the payment for food and lodging of the

Bangladeshi pilgrims at Saudi Arabia to perform Umrah or Hajj. However these cards can

also be used by any travelers at Saudi Arabia considering the security aspect in handling

cash required for their travel while in the Kingdom.



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Benefits of the Hajj Card:

Peace of MindNo need to worry about carrying large amount of cash.

Safety

The traveler will receive a personal identification number (PIN code) for each card.

ATM Cash can only be accessed by the cardholder by entering the confidential PIN

code.

Easy

Withdrawing cash from VISA acquired ATM is done by following a few easy steps.

Hotel Booking:

Any Bangladeshi pilgrim can easily book hotel in Mecca or Medina from Bangladesh

before going to perform Hajj or Omrah by using his/her hajj card. Card holder also

can buy/book advance air ticket in advance by the card at their convenient schedule.

Convenient:

Hajj cards can be used to withdraw cash & purchase or getting service 24 hours a

day, 7 days a week from any of the VISA ATMs and VISA accepted outlet across

Saudi Arabia.



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No Confusion:

The cards value will be converted in Saudi Riyals. The travelers does not need to

worry about foreign currency exchange once the purchase is done by using card in

KSA.

Cost Saving:

There are no fees on ATM withdrawals made with Saudi Umrah and Haj Cards, and

100% cash value can be withdrawn in cash.

Sharia:

The cards adhere 100% to Islamic Sharia regulations.

Souvenir:

Once used

shahidul report final

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