Chapter - 01: Prepared By: Md. Moinuddin, MBA-06. MKT, C.U

Chapter - 01
INTRODUCTION
Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 1

EVOLUTION OF THE WORD ‘BANK’
The word bank originated from Italian word “Banca”. Banca means long
tool. In ancient time Italian Jews merchant used to do business of lending
money by sitting on the tools.
It is assumed that the word “bank” derived from the word Banca. To
meet the expense of war of 1171 one type credit certificate was
launched in Italy at an interest rate of 5% it was called as Monte in Italian
language and Banke in German language then German language was
widely used in Italy. As a result the word Banke gradually changed to the
word Banca from which the word Bank originated.
THE EMERGENCE OF MODERN BANKING

The linguistics and etymology suggests an interesting story about
banking origins. Both the old French word “Banque” and the Italian word
Banca were used centuries ago to mean a bench or moneychangers
table. This describes quite well what historian has observed concerning
the first bankers, who lived more than 2000 years ago. They were money
changers, situated usually at table or in a small shop in the commercial
district, aiding travellers who came to town by exchanging foreign coins
for local money or discounting commercial notes for a fee in order to
supply merchants with working capital.
The first bankers probably used their own capital to fund their activities,
but it was not long before the idea of attracting deposit and securing
temporary loans from wealthy customers became a source of bank
funding. Loans were then made to merchant’s shippers and landowners
at rates of interests low as percent per annum to as high as 48 percent a
month for the riskiest ventures! Most of the early bank was Greek in
origin.
The banking industry gradually spread outward from the classical

civilizations of Greece and Rome into northern and western Europe. The
early bank in Europe was places for safe keeping of valuable items (such
as gold and silver bullion) as people came to fear loss of their asset due
to war, theft, or expropriation by government. When colonies were

established in North and South America, old world banking practice was
transferred to the new world.
DEVELOPMENT OF BANK IN BANGLADESH

Bank system was practiced in Indian subcontinent from the ancient
period in Indian subcontinent merchants; goldsmith moneylenders were
the primary bankers. During the mughal period banking and credit
business was enchanted rapidly.
Indigenous banking in Bangladesh is as old as banking in other parts of

the world. Money used to be accepted as a deposit and advances used to
be given. During mughal period, indigenous banking flourished. The
subarna banik the bullion trading community used to do banking in the
then Bengal.
Subsequently, larger banking in Bangladesh was gradually taken over by

the upcountry bankers who were known as Seth, shah etc. but subarna
baniks continued to operate in rural Bengal. With the British gradually
coming over to Bengal and settling here, banking in the form of agency
house, exchanging house started to flourish in Calcutta. Entry of the
Bengalese into banking started in the part of this century, especially in
the wake of the swadeshi movement.
In 1700 AD “Hindustan bank” was established as the first joint stock

bank. In 1784 “Bengal bank” and in 1786 “general bank of India “ was
launched. Then both the bank absolved respectively in 1793 and 1832.
During the early period of nineteenth century the three banks “Bank of
Bombay”, “Bank of madras” and “bank of Bengal” merged to “imperial
bank of India”.
In 1947 after the separation of Bengal, bank business faced a severe

disaster as non-Muslim bankers migrated to India. In order to rebuild the
bank business State bank of Pakistan was established as a central bank
of Pakistan in 1948.

In 1971 Bangladesh became independent. After liberation “Bangladesh
bank was automated with the asset and liabilities of former “State bank
of Pakistan”.

Chapter - 02
COMPANY PROFILE

BACKGROUND OF MTBL
In the backdrop of economic liberalization and financial sector reforms, a

group of highly successful local entrepreneurs conceived an idea of
floating a commercial bank with different outlook. For them, it was
competence, excellence and consistent delivery of reliable service with
superior value products. Accordingly Mutual Trust Bank Ltd. was created
and commencement of business started on September 29, 1999. The
sponsors are reputed personalities in the field of trade and commerce
and their stake ranges from shipping to textile and finance to energy,
etc.
As a fully licensed commercial bank, Mutual Trust Bank Ltd. is being

managed by a highly professional and dedicated team with long
experience in banking. They constantly focus on understanding and
anticipating customer needs. As the banking scenario undergoes
changes so is the bank and it repositions itself in the changed market
condition.
Dhaka Bank Ltd has already made significant progress within a very
short period of its existence. The bank has been graded as a top class
bank in the country. It has already occupied an enviable position among
its competitors after achieving success in most of the areas of business
operation.
The present day banking structure has evolved over several decades.
The far-reaching program of economic reform is being carried out at
present towards efficient utilization of scarce resources and the
development of private entrepreneurship. In a fast changing business
environment, financial intermediaries are gradually being left to be
guided by market forces rather than regulations. Competition is
strengthened by the entry of new and innovative providers of financial
services through the development of money market and the capital
market. Under the ongoing financial liberalization programmed, Mutual

Trust Bank Ltd. emerges as a new bank in the private sector to operate
in the commercial arena of Bangladesh.
Mutual Trust Bank Limited in the Banking Area Of Bangladesh

The banking sector of Bangladesh comprises of four categories of
scheduled banks.
These are:
 Nationalized Commercial Banks
 Govt. Owned Development-Finance Institutions
 Private Commercial Banks
 Foreign Commercial Banks
Commercial banks are again divided into three categories –
 First generation
 Second generation
 Third generation
MTBL is the leader of third generation bank
GOALS AND OBJECTIVES OF MTBL
 To earn and maintain CAMEL Rating 'Strong'

 To establish relationship banking and improve service quality
through development of Strategic Marketing Plans
 To remain one of the best banks in Bangladesh in terms of
profitability and assets quality.
 To introduce fully automated systems through integration of
information technology.
 To ensure an adequate rate of return on investment
 To keep risk position at an acceptable range (including any off
balance sheet risk)
 To maintain adequate liquidity to meet maturing obligations and
commitments.

 To maintain a healthy growth of business with desired image.
 To maintain adequate control systems and transparency in
procedures.
 To develop and retain a quality work force through an effective
HRM system.
 To ensure optimum utilization of all available recourses

To be the bank of 1st choice by
creating exceptional value for our
clients, investors and employees.
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
and services in the search for excellence
and to create an impressive economic
value.

BOARD OF DIRECTORS OF MTBL
The Board of Directors of Mutual Trust Bank consists of 13 Directors, which

includes a Chairman and a Vice Chairman.
Chairman
Mr. Samson H. Chowdhury, Chairman
Mr. Samson H. Chowdhury, a recognized entrepreneur of the country, is

the Chairman of Mutual Trust Bank. This prolific business magnate with
variegated experience is a Senior Cambridge and he participated in the
Management Training Course jointly conducted by the University of
Dhaka and the Harvard University. He has been an icon in the country's
pharmaceutical industry for long. He is the Chairman of the reputed
conglomerate Square. Furthermore, he is the Chairman of Central
Depository Ltd and Shabazpur Tea Estate as well as life member of
Transparency International, Bangladesh Chapter and its former
Chairman.
Vice Chairman
Dr. Arif Dowla , Vice Chairman
Dr. Arif Dowla is the Vice Chairman of Mutual Trust Bank. He is the
Managing Director of Advanced Chemical Industries Limited. He obtained
PhD degree in Mathematics from the University of California, San Diego.
He is also a member of the American Mathematical Society. His doctoral
dissertation was on non-stationary stochastic processes, which is a field
of study related to probability theory and statistics. His thesis advisor
was the renowned Time Series and Random Fields analyst Professor
Dimitris N. Politis.
Directors
Mr. Syed Manzur Elahi (Founder-Chairman)
Mr. Syed Manzur Elahi, Son of late Justice Sir Nasim Ali, former Chief
Justice of Kolkata High Court, was the founder Chairman of Mutual Trust

Bank. He is a man of pleasant personality and enjoys an impeccable
reputation and respect. He has made significant contribution in various
industrial & business enterprises including Banking. He did his M. A. in
Economics from University of Dhaka. Mr. Elahi is the Chairman of
Bangladesh Association of Banks, Vice Chairman, Bangladesh Association
of Publicly Listed Companies and Director of ACI.
 Mr. Hedayetullah
 Mr. Kh. Rashiduzzaman (Representing East West Properties
Development Ltd.)
 Al-haj Syed Abul Hossain
 Mr. M.A. Maruf
 Mr. Md. abdul Malek
 Mr. Rashed Ahmed chowdhury
 Mrs. Yasmeen haque
 Mr. A.F.M Mahfuzul Hasan
 Mr. Md. Wakiluddin
 Mr. Saidur Rahamn Ratan
Managing Director Of MTBL
Mr. Kazi Md. Shafiqur Rahman
Mr. Kazi Md. Shafiqur Rahman joined Mutual Trust Bank Limited as
Managing Director on 1st May 2007. Earlier he joined Mutual Trust Bank
as Additional Managing Director on February 22, 2007. Mr. Shafiqur
Rahman is an MBA and started banking career as Senior Officer in Janata
Bank in 1973..
Deputy Managing Director
Mr. Quamrul Islam Chowdhury,

Mr. Quamrul Islam Chowdhury, Deputy Managing director, is the
Company Secretary of the Bank. He joined erstwhile State Bank of
Pakistan as Trainee Officer in February 1965 and after completion of
training he was absorbed in the then Habib Bank as Officer. He served in

Habib Bank/ Agrani Bank for 34 years and held important positions. He
was DGM/ Board Secretary of Agrani Bank before he joined Mutual Trust
Bank in September 1999 as Sr. Vice President & Company Secretary.
MANAGEMENT STRUCTURE OF MTBL
MANAGING DIRECTOR
DEPUTY MANAGING DIRECTOR
SENIOR EXECUTIVE VICE
EXECUTIVE VICE
SENIOR VICE
VICE
SENIOR ASSISTANT VICE
ASSISTANT VICE PRESIDENT
OFFICER SENIOR PRINCIPAL
PRINCIPAL OFFICER
SENIOR EXECUTIVE
SENIOR OFFICER
OFFICER
JUNIOR OFFICER
ASSISTANT

BRANCH NETWORK OF MTBL
Principal Branch CDA Avenue Branch

7-8, Motijheel C/A, Dhaka. 565/A, CDA Avenue (GEC Point)
Tel : 711 3237-8, 7110930-1 East Nasirabad, Chittagong.
Dilkusha Branch Khatunganj Branch
68 Dilkusha C/A, Dhaka 1000 325 Asadganj Road, Chittagong
Tel : 7171 301- 2 , 7170137 Tel : 031-61 22 54 , 840718
Panthapath Branch Mograpara Branch
69/1 Panthapath, Dhaka. Mograpara, Sonargaon
Tel : 861 3807, 8629887 Tel : 06723-88105
Babu Bazar Branch Sreenagar Branch
Aman Court, 15, Babu Bazar, Dhaka. Sreenagar , Munshigonj
Tel :731 4821 Tel : 06925 88222
Progati Sarani Branch Aman Bazar Branch
15/5, Progati Sarani, Dhaka Hathazari, Chittagong
Tel : 881 8804, 885 5863 Tel : 031-681022
Dhanmondi Branch Bashundhara City Branch
Green Taj Center Bashundhara City Shopping Mall
Tel : 815 5607, 8158334 Tel : 9124021, 9136113, 8122044
Uttara Model Town Branch Chandra Branch
Sector 04, Uttara, Dhaka. Dewan Plaza Kaliakoir, Gazipur
Phone:8924379, 8951474 Tel : 06822-51968
Pallabi Branch Jubilee Road Branch
14/11, Pallabi, Mirpur-12, Dhaka 214 Jubilee Road
Tel : 901 6273 , 805 5630 Chittagon. Tel : 031-627533
Agrabad Branch Nazirhat Branch
21-22, Agrabad C/A,Chaittagong M.M. Plaza, Fatikchari,Chittagong.
Tel : 031-716 487, 813 287 Tel : 0821-4483498
Chakoria Branch Fulbaria Branch
Chiringa, Chakoria Annexco Tower, Fulbaria, Dhaka.
Tel: 0173-108693 Tel: 9559842
Pabna Branch Madaripur Branch
Abdul Hamid Road,Dilalpur, Pabna Howlader Harun Plaza, Kotwali,
Tel: 0174-567109 Madaripur
Tel: 066162483
Gulshan Branch Dholaikhal Branch
House # 50, Road # 03 Dholaikhal New Road,Dhaka.
Gulshan, Dhaka Tel: 7172602, 7172363
Sylhet Branch Raipur Branch
Sylhet City Center Gazi Complex,Raipur
Zindabazar, Sylhet Laxmipur
Moulvi Bazar Branch Aganagar Branch
103, M. Saifur Rahman Road Babul Tower-2 ,East Aganagar, Dhaka
Moulvi Bazar. Phone: 7762226, 7762227
Savar Branch Joypurhat Branch
United Super Market 553 Main Road
Bus Stand,Savar. Joypurhat Sadar
Tel: 7741452, 7741453 Joypurhat.

CORPORATE CULTURE
This bank is one of the most disciplined Banks with a distinctive
corporate culture. Here they believe in shared meaning, shared
understanding and shared sense making.The people in the Bank see
themselves as a tight knit team/family that believes in working together
for growth. The corporate culture has developed has not been imposed;
it has rather been achieved through their Corporate conduct.
Corporate Information
The Bank 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 38,000,000 ordinary shares of Tk.100 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.

The Company (Bank) operates through its Head Office at Dhaka and 31
branches. The Company/Bank carries out international business through
a Global Network of Foreign Correspondent Banks.
The Registered Office of the Bank is:

68, Dilkusha C/A, Dhaka-1000
Phone: 717 0138, 717 0139, 717 0140 Fax: 880-2-956 9762,
SWIFT-MTBL BD DH ,Telex: 632173 MTB HO BJ
E-mail: mtbl@bangla.net
Capital Structure
MTBL started its operation on October 24, 1999 as a private sector bank
with an authorized capital of Tk. 1,000.00 million and paid up capital of
Tk. 200.000 million. The authorized capital increased to Tk. 3,800.00
million in 2007. The paid up capital of the bank stood at Tk. 997.92
million as on December 31, 2007 registering an increase of Tk 47.52
million or 5% to that of previous year . Total capital of the bank on
December 31, 2007 increased by Tk. 256.42 million and stood at Tk.
2,370.95 million consisting of shareholders equity(Tire-1) of tk. 1,925.53
million and Supplementary capital(Tire-11) of Tk. 445.42 million.
Shareholders equity consists of paid up capital, reserve and retained
earning whereas Supplementary capital includes general provision
against Loan and advances and exchange equalization and revaluation
gain on HTM securities. Total capital of the bank as on December 31,
2006 was Tk. 2,114.53 million.
Corporate Objectives of MTBL
i) To earn a remarkable income from all heart-center of free economy

ii) To build up a strong pillar of capital
iii) To make the best Bank by offering better services with competitive
price
iv) To offer standard financial service to the people
v) To discover strategies for achieving systematic growth

vi) To choose the Mutual Trust Bank Ltd. at first time in respect of
offering best service
vii) To enhance asset of the shareholders
viii) To convert standard long term investment by using the Bank’s
silent amount
ix) To produce congenial atmosphere, so that the client becomes
interested to deal in the Mutual trust Bank Ltd.
Corporate Social Responsibility (CSR):
Profits are not the bottom line to Mutual trust Bank Limited. Apart from
earning profits, the bank lays emphasis on the sustainable development
of itself as well as the country, the welfare of the society and the
contribution to the humanity. With this end in view the bank responds to
the clarion call of less privileged and handicapped people. Though the
concept of CSR is nascent in our country, MTB is enlightened with the
spirit of CSR. The bank has contributed to various charitable, educational
and healthcare institutions across the country in the form of donation
and sponsorship. The bank has formed MTB foundation to serve the
humanity. The philanthropic supports were extended both from the bank
and from the MRB foundation.
MTBL FINANCIAL REPORT 2007

OPERATION OF MTBL
Mutual Trust Bank Limited, since its inception is a fully focused Bank
depending on technology. The Bank has by now a network of 30
branches strategically located in different cities. All the branches are
functioning in computerized environment and integrated through Wide
Area Network (WAN). The branches are full-fledged units and can provide
all commercial and investment-banking services raging from small and
medium enterprises to big conglomerates and houses. Sectors like
housing, transport, lease and hire purchase are financed to broaden the
spectrum of loan portfolio. The Bank has been accorded license by the
Securities and Exchange Commission (SEC) for carrying out operation as
merchant banker and portfolio manager. The Bank is expected to start
operation in the areas of issue management, underwriting and portfolio
management. Priority sectors like agriculture and IT are also considered
favorably so as to contribute in the national economy.
The Bank will introduce modern system of Leasing Operation as in

practice with Banks in all other countries of the world. The Lease Finance
portfolio of the Bank will be the first of its kind in a Commercial Bank in
Bangladesh.
A warehousing system will be developed in the country through private

entrepreneurs. The conventional “go down” system of the Banks will
gradually be done away with and modern system of warehousing will be
encouraged in its place for pledge of goods of the clients as in vogue in
all other countries of the world. Because, Banks deal with papers not
with goods.
Mutual Trust Bank Ltd. will try to achieve excellence in customer

services. The customer is most important for them. Their policy will be
customer driven. The Bank will introduce Inland Travelers Cheque and

launch Special Savings Schemes, Special Credit Scheme will also be
devised for the benefit of the low-income group, especially for the self-
employment of the educated youth.
Mutual Trust Bank is primarily a corporate Bank, its loan distribution
being 39% large companies, 35% medium companies and 10% small
companies. In terms of lending type the focus is on in trade finance.
Consumer lending is very small.
Services, Products & Loans Profile OF Mutual Trust Bank

Ltd
Keeping pace up with the head office instruction and to fulfilling the
perfect needs of the customers, the MTBL provides the following
services:
▪ Account Related Services ▪ Personal Banking

▪ Corporate Banking ▪ Capital Market Services
▪ Remittance ▪ Foreign Trade
▪ Correspondent Banking
THE DIFFERENT BANKING SERVICES & PRODUCTS OF

MTBL
Categories of Account Related Services:
▪ Current Account ▪ Savings Account ▪ STD Account

▪ FDR Account ▪ DPS Account ▪ MTB Double Saver
Plan
▪ MTB Triple Saver Plan ▪ MTB Education Plan ▪
MTB Festival Plan
▪ MTB Millionaire Plan ▪ MTB Unique Saving Plan
Categories of Services Under personal Banking:

▪ Personal Loan ▪ SME Loan ▪ ATM / VISA Card
▪ Excel Account ▪ Draft Against DPS ▪ Locker and Safe
custody
▪ Credit Card ▪ Car Loan

Corporate Banking Products:
▪ Letter of Credit ▪ Guarantee ▪ Leasing
▪ Syndicate Loan ▪ Import & Export Finance ▪ Project Financing
▪ Working Capital Financing
Remittance Related Services:

a) Local Remittance:
▪ PO/DD/TT
▪ Collection of PO/DD/TT
▪ Purchase/Discount of cheques-Inland Bill
b) Foreign Remittance:
▪ Encasement of any Foreign TT ▪ Purchase of Foreign
Draft
▪ Collection of clean Bill ▪ Issuance of foreign
currency draft
▪ Cancellation of foreign currency draft ▪ Student file opening
▪ Encasement of any Foreign currency draft
The MTBL Loans Portfolio

Continuous Credit:
▪ Security over ▪ draft Share ▪ Financials obligation ▪ DPS
Cash Credit:
▪ Pledged ▪ Hypothecation
Export Credit Facility:

▪ Packing Credit
Import Credit Facility:

▪ Payment against document (PAD)
▪ Loan against trust receipt (LTR)
▪ Loan Against Imported Materials (LIM)
Industries Loan:
▪ Long term loan ▪ Short term loans
Personal Loan:
▪ Car loa ▪ HBL ▪ Vocational ▪
Educational
▪ Hire purchase ▪Lease financing ▪ Marriage loan
▪ SME Financing:
MTB Digon Loan Scheme
MTB Bhaggobati Loan Scheme
MTB Microfinance Loan Scheme
▪ Consortium financing:
MTB Doctor’s Loan Scheme
MTB Life Line Loan Scheme.

MTBL- JUBLLEE ROAD BRANCH
ORGANOGRAM:
SAVP& Manager-
Mr. Syed Nurul Kabir
Principal officer & Deputy

Manager-
Mr. Md. Zahangir Kabir
Sr. Executive officer(SEO)-

Mr. Ariful Hoque
Officer (4)
junior officer (2)
Assistant officer (4)
OVERALL POSITION OF PERFORMANCE AS ON DECEMBER 31,

2008 :
 Total Deposit :tk. 67,08,13,509

 Total Loan & Advances :tk. 72,96,60,923
 Total Fixed Assets :tk. 57,64,314
 Total Net Income :tk. 10,49,82,446
 Total Expenditure :tk. 7,72,68,542
 Total Import :tk. 95,89,22,895
 Total Export :tk. 37,61,845
 Remittance :tk. 74,53,61,827
 Profit :tk. 2,77,13,904

ACTIVITIES- JUBLLEE ROAD BRANCH
Customer Care
Center
Accounts opening Remittance (Local) Cash
Cash Receipt Cash Payment
Financial Control Department

(FCD)
Daily Accounts Clearing
Foreign Exchange
Department
Import & Remittance (Foreign) Export
Loans & Advance Department
Continuous
Demand Term Loan Time Loan
a.CC (Hypothecation)
b.Overdraft
PAD
c.SOD
Inland Bill Purchase (IBP)
d.Cash Collateral
Foreign Documentary Bill Purchase (FDBP)
e.Loan Againts Trust Receipt
(LTR)

Chapter-03
GENERAL BANKING
OPERATION

GENERAL BANKING
The starting point of all the banking operations is General Banking. It is

an important department for all banks because it provides services to
the customers day-to-day. Front Desk is the important for general
banking. Customers give their deposits and meet their demand for cash
by honoring cheques. The customer opens new accounts, remit funds,
issues bank drafts and pay orders etc. General banking is also known as
“retail banking”. There are various functions in this department, which
are as follows: -
 Account Opening Section/Customer Relation,
 Local Remittance Section,
 One Stop Utility Services Section,
 Deposit Schemes Section,
 Clearing Section,
 Collection Section,
 Cash Section,
 Accounts Section,
ACCOUNTS OPENING SECTION

Accounts opening section is an important factor for banks because
customer is the main source of bank. Selection of customer is another
important factor. Bank’s success and failure largely depends on their
customers. If customer is not good then may create fraud and other
problems by their account with bank and thus destroy goodwill of banks.
So, bank must be conscious in selecting its customer. For this reason
keep key information system.

Major Functions:
 To open Account
 To perform Promotional Activity
 To Issue Check & Deposit Book
 To Show the statement of different accounts
 To provide necessary information to the clients
Types of Account of:
 Current Account
 Savings Account
 Fixed Deposit Account
 STD (Short Term Deposit)
 SOD (Secured Overdraft)
 CC A/C (Cash Credit)
 CD A/C (Current Deposit)
Special scheme:
 MTB Doctor’s Loan Scheme
 MTBL BHAGGOBATI Loan Scheme
 MTBL DIGOON Loan Scheme
 MTB Life Line Scheme
 MTB Microfinance Loan Scheme
 MTB Education Plan Scheme

 MTB Double Saver Plan Scheme
 MTB Monthly Saving Scheme
 MTB Visa Electron Card
Procedure to open an Account :
For opening an account, at first the prospective account holder will apply
for opening an account by filling up account opening form. Account
opening form consists of the name of the branch, type of account, name
of the applicant(s), present address, permanent address, passport
number (if any), date of birth, nationality, occupation, nominee(s),
special instruction (if any), initial deposit, specimen signature(s) of the
applicant(s), introducer’s information etc.
The prospective customer should be properly introduced by the

followings:
1. An existing customer of the bank.
2. Officials of the bank not below the rank of Assistant Officer.
3. A respectable person of the locality who is well known to the

manager or authorized officer.
 Two copies of passport size photograph duly attested by the

introducer.
 Signature of the prospective account holder in the account opening form

and on the specimen signature card duly attested by the introducer.
 Then the concerned authority will allocate a number for the new
account.
 The customer than deposit the “initial deposit” by filling up a deposit

slips. Initial deposit to open a current account in is TK. 10000.00 and
saving account is Tk. 5000.00.
Activities & papers necessary for opening an account:
A. Joint Account:

If the account is a joint account, then the joint account holder should
submit a declaration and operational instructions of the account along
with their signature. The declaration is:
“Any balance to the credit of the account is and shall be owned

by us as joint depositors. Any liability whatsoever incurred in
respect of this account shall be joint and several.”
B. Partnership firm:
The following documents have to be submitted for preparing an account

of a partnership firm:
1. Partnership deed.
(a) If the partnership firm is a registered one, then one copy of

registration forms.
(b) If not, then a copy of certificate from the notary public.
C. Limited Company:
For the opening of an account of a limited company, following

documents have to be submitted:
 A copy of resolution of the company that the company decided to

open an account in the Bank.
 Certified true copy of the Memorandum & Articles of Association of

the Company.
 Certificate of Incorporation of the company for inspection and

return along with a duly certified Photocopy for Bank’s records.
 Certificate from the Registrar of Joint Stock Companies that the

company is entitled to commence business (in case of Public Ltd. Co. for

inspection and return) along with a duly certified Photocopy for Bank’s
records.
 Latest copy of balance sheet.
 Extract of Resolution of the Board/General Meeting of the company

for opening the account and authorization for its operation duly certified
by the Chairman/Managing Director of the company.
 List of Directors with address (a latest certified copy of Form-XII).
D. Club/Society:
Following documents have to be obtained in case of the account of the

club or society:
a) Up to date list of office bearers.
b) Certified copy of Resolution for opening and operation of account.
c) Certified copy of By-Law and Regulations/Constitution.
d) Copy of Government Approval (if registered).
E. Cooperative Society:
Following documents have to be obtained in case of the account of

Cooperative Society:
a) Copy of by law duly certified by the Co-operative Officer.
b) Up to date list of office bearers.
c) Resolution of the Executive Committee as regard of the account.
d) Certified copy of Certificate of Registration issued by the registrar,

Co-operative societies.
F. Non-Govt. College / School / Madrasha / Muktab:

Following documents have to be obtained in case of the account of non-
govt. college / school / madrasha / muktab:
a) Up to date list of Governing Body/Managing Committee.
b) Copy of Resolution of the Governing Body/Managing Committee

authorizing opening and operation of the account duly certified by
Gazetted Officer.
G. Trustee Board:
a) Following documents have to be obtained in case of the account of

trustee board:
b) Prior approval of the Head Office of .
c) Certified copy of Deed of Trust, up to date list of members of the

Trustee Board and certified copy of the Resolution of Trustee Board to
open and operate the account.
H. Minor’s Account:
Following documents have to be obtained in case of the account of

minor:
a) Putting the word “MINOR” after the title of the account.
b) Recording of the special instruction of operation of the account.
c) The AOF is to be filled in and signed by either the parents or the

legal guardian appointed by the court of law and not by the minor.
LOCAL REMITTANCE SECTION
Functions of remittance Section:
a) Telegraphic Transfer,

b) Demand Draft issue,
c) Saving Certificate Issue (Sanchaypatra issue),
d) Pay order.

Telegraphic Transfer:
It is an order from the issuing branch to the drawee bank / branch for
payment of a certain sum of money to the beneficiary. The payment
instruction is sent by telex and funds are paid to the beneficiary through
his account maintained with the drawee branch or through a pay order if
no account is maintained with the drawee branch.
Procedure of issuing TT:
Following procedures are followed while issuing of TT:
a) The applicant fills up the relevant parts of the prescribed

application form in triplicate, duly signed the same and gives it to the
GB.
b) GB will fill up the commission part for bank’s use and request the
applicant to deposit necessary cash or cheque at the cash booth.
c) The first copy of the application form will be treated as Debit Ticket
while the second copy will be treated as Credit Ticket. The third copy will
be handed over to the applicant as customer’s copy.
d) GB will prepare telex in appropriate form, sign it and send it to the

telex operator for transmission of the message.
e) GB will prepare necessary advice. Debit advice is sent to the client

if client’s account is debited for the amount of T.T.
f) T.T. Confirmation Advice is sent to the drawee branch.
g) Credit Ticket (second copy of the application form) is used to credit

the MTBL General Account.

Accounting Treatment:
For telegraphic transfer, MTBL gives the following entries---
Client’s Account Dr.

MTBL General Account Cr.
Telex Account Cr.
Commission Account Cr.
Payment of T.T.
On receipt of T.T. the drawee branch passes payment instructions the

following entries if the T.T. is found to be correct on verification of the
Test number—
a. MTBL General Account Dr.

DAD Account – TT Payable Cr.
b. DAD Account – TT Payable Dr.
Client’s Account/Pay Order Cr.
In case the beneficiary does not maintain any account with the drawee
branch a pay order will be issued in favor of the payee and sent to his
banker / local address as the case may be.
Every branch maintains a prescribed T.T. Payable Register. All the

particulars off T.T. are to be properly recorded in this register duly
authenticated. A separate Type of T.T. confirmation advice is sent to the
drawee branch on the same day. On receipt of T.T. confirmation advice,
the particulars of T.T. are verified with reference to particulars already
recorded in the T.T. payable register.

Demand Draft (DD) Issue:
Sometimes customers use demand draft for the transfer of money from
one place to another. For getting a demand draft, customer has to fill up
an application form. The form contains date, name and address of the
applicant, signature of the applicant, cheque number (if cheque is given
for issuing the DD), draft number, name of the payee, name of the
branch on which the DD will be drawn and the amount of the DD. The
form will be duly signed by the applicant and by the authorized
officer. MTBL charges 15% commission on the face value of DD as
service charge.
Process of issuing Local Draft:
Following procedures are followed while issuing local draft—
a) Get the application form properly filled up and signed by the

applicant.
b) Complete the lower portion of the form for the bank’s use.
c) Calculate the total amount including the bank’s commission.
d) If the cheque is presented for of the local draft, the officer

should get the cheque duly passed for payment by the authorized
person and record the particulars of local draft on the back of the
cheque.
e) If the client wants to debit his account for the payment of the
draft amount, the officer should get the account holder’s signature
verified properly, from signature card on record of the branch and
debit clients account for the total amount including commission.
f) The first copy of the application form will be treated as Debit

Ticket while the second copy will be treated as Credit Ticket and
kept by the GB. The third copy is handed over to the applicant as
customer’s copy.

The GB Department maintains a prescribed L.D. Issue Register. All the
required particulars of LDs issued by MTBL should be entered in that
register duly authenticated.
Issue of Duplicate Draft:
Before issuing duplicate L.D. the branch should observe the followings—
a) Verify the purchaser’s signature on the request letter from the

signature appearing on the original application form.
b) Immediately issue a stop payment instruction to the drawee

branch under advice of head office and obtain confirmation of non-
payment the L.D. in acquisition.
c) After the drawee branch has acknowledged the stop payment

order and confirmed that the local draft in acquisition remains
unpaid at their end, the issuing branch should obtain an Indemnity
Bond on stamp paper as per prescribed format from the purchaser
duly signed by him. The branch will thereafter write to head office
for their approval to issue a duplicate draft.
d) The head office on receipt of the request from the issuing branch
will immediately issue a caution circular to all the branches
regarding the lost of the local draft asking them to record stop
payment.
e) The head office will thereafter issue clearance to the issuing

branch for issuing for issuing a duplicate draft in lieu of original
reported lost.
f) On receipt of the clearance from head office, the issuing branch

will issue a completely fresh draft marking clearly the words
duplicate issued in lieu of original draft no………………. dated
…………….in bold letters on the top of the front page of the draft.
The printed serial number on the draft should not however be struck
off. Intimation should be given to the drawee branch furnishing full
particulars of the duplicate draft.

g) The particulars of the duplicate draft must resemble those of the
original draft in all respects, i.e., all the particulars to the duplicate
draft must be identical with those in the original draft. No further
IBCA is to be issued for the duplicate draft.
h) Prescribed duplicate issuance charge is to be recovered for issuing

the duplicate draft and credited to “Income Account”.
Cancellation of Local Draft:
The followings are followed while canceling a L.D.—
a) The purchaser should submit a written request for cancellation of

the L.D. attaching therewith the original L.D.
b) The signature of the purchaser will have to be verified from the

original application form.
c) Manager’s prior permission is to be obtained before refunding the

amount of draft.
d) Cancellation charge is to be recovered from the applicant and only

the amount of the draft less cancellation charge should be refunded.
Commission charge, posted charge etc. recovered for issuing the L.D.
should not be refunded.
e) The original entries are to be reversed giving proper narration. An
IBDA for the cancelled L.D. should be issued on the drawee branch.
f) Cancellation of L.D. should also be recorded in the L.D. Issue
Register.
Payment of L.D.:
While payment of L.D. MTBL performs the following functions—
a. On receipt of Credit Advice (IBCA) from the issuing branch the
following entries are to be passed –
MTBL General Account Dr.
DAD Account Cr.

b. When L.D. is presented for payment at the paying branch, its
details are to be carefully examined with reference to the following
points—
1) Whether the draft is drawn on the Local office.
2) Whether the draft is crossed or not. Amount of crossed
draft is not paid in cash to the payee but to be paid to his account
with a bank.

3) Draft must have to be signed by two authorized
officers of the issuing branch. Their signatures are to be verified
from the specimen signature book for being sure that draft that the
draft is genuine. The verifier should put his initial.
4) Endorsement on the back of the draft must be regular
in case the draft is presented through clearing.
5) The amount of the draft should not exceed the amount
written in red ink at the top of the draft.
6) The payee is to be properly identified in case of cash
payment.
7) The particulars of the draft i.e. the draft number, date,
amount and the name of the payee should be verified from the L.D.
Payable Register.
8) In case of payment, the draft should be cancelled with
red ink. The date of payment should be recorded in the L.D.
Payable Register.
While payment:
DAD –L.D. Payable Account Dr.
Client’s Account Cr.
An IBCA should be sent with this.
Stop payment of Local Draft:
The payee or purchaser of the draft cannot give stop payment instruction
to the drawee branch. If the paying branch receives a request from the
purchaser of the draft for stopping payment of the draft, it will ask the
purchaser to approach the issuing branch about the purpose. The paying
branch should however exercise necessary precaution in this regard.
Only the issuing branch can issue instruction for stop payment of the
draft under special circumstances.
Saving Certificates:

MTBL Jubllee Road branch sales shanchaya patra as its ancillary services
rendered to customers on behalf of govt. Through Bangladesh bank. Jatio
Shanchay Bureau guided by Bangladesh bank issues Shanchaya patra.
Shanchaya Patra:
Shanchaya patra is received from Bangladesh bank (BB). People
purchasing these bonds by depositing money in this branch and payment
are made on maturity to customers from this branch only. Every
transaction is reported to Bangladesh bank. In case of issuance, report to
be reached to BB within 48 hours, otherwise penalty is imposed. Money
is realized from BB after making payment to customer.
Pay Order:
For issuing a pay order, the client is to submit an application to GB in the
prescribed form. This form should be properly filled up and signed. The
procedure of the issuing pay order is similar to that of the Local Draft.
For issuing pay order MTBL charges commission on the following rate—
# For Tk. 1 to 100000, the commission is Tk.25.
# For Tk. 100000 to 500000, the commission s Tk. 60.
# For Tk 500000 to above, the commission is TK. 75.
Payment of Pay Order:

The pay order is presented to the bank either through clearance or for
credit to the client’s account. While payment, relative entry is given in
the pay order register with the date of payment.
Cancellation of Pay Order:

The following procedure should be followed for the cancellation of the
pay order:
i) The client should submit a written request for canceling the pay
order attaching therewith the original pay order.
ii) The signature of the purchaser will have to be verified from the
original application form.

iii) Manager’s prior permission is to be obtained before refunding the
amount of the pay order.
iv) Cancellation charge is to be recovered from the applicant and only
the amount of the pay order less cancellation charge should be
refunded. Commission recorded for issuing of the original pay
order should not be refunded.
v) Then the officer should write, “Cancelled” on the pay order.
vi) The original entries should be reversed with narration.
vii) Cancellation of the pay order should also be recorded in the
register.
While issuing pay order, MTBL gives the following entries ---
Client’s Account Dr.
Pay Order Cr.
Commission Cr.
CLEARING SECTION
According to the Article 37(2) of Bangladesh Bank Order, 1972,the
banks, which are the member of clearinghouse, are called as Scheduled
Banks. The scheduled banks clear the check drawn upon one another
through the clearinghouse. This is an arrangement by the central bank
where everyday the representative of the member banks gathers to
clear the chouse. Banks for credit of the proceeds to the customers’
accounts accept check and other similar instruments. The bank receives
many such instruments during the day from account holders. Many of
these instruments are drawn payable at other banks. If they were to be
presented at the drawee banks to collect the proceeds, it would be
necessary to employ many messengers for the purpose. Similarly, there
would be many check drawn on this the messengers of other banks
would present bank and them at the counter. The whole process of
collection and payment would involve considerable labor, delay, risk and
expenditure.

Clearing:
As far as safety is concerned customers get crossed cheque for the
transaction. As we know crossed cheque cannot be encased from the
counter, rather it has to be collected through banking channel i.e.
clearing. For example, a client of Mutual Trust Bank received a cheque of
another bank, which is located within the clearing range; deposit the
cheque in his account at Mutual Trust Bank. Now Mutual Trust Bank will
credit his account and collect it. Though the amount is credited in the
customers account but he will not get the money until the cheque is
honored.
Types Of Clearing:
1. Outward Clearing:
Outward clearing means when a particular branch receives instrument
drawn on the other bank within the clearing zone and those instruments
for collection through the clearing arrangement is considered as outward
clearing for that particular branch.
2. Inward Clearing:
When a particular branch receives instruments, which on them and sent
by other member bank for collections are treated as inward clearing.
Clearing house
Clearing House is a place in the Central Bank where different banks
come to settle their interrelated liabilities.
Clearing House System
The mechanism of working at a Clearing House in general is as
follows:
 Every Bank of the locality, which is a member of the clearinghouse,

prepares a Bank-wish list of cheques after receive from customers and
drawn on different Banks of the locality.
 An officer, in charge of clearinghouse, goes to the clearinghouse in
the morning with the cheques and their list. He delivers the cheques to

the officials of the respective banks. Similarly, he also receives the
cheques drawn on his Bank from the officials of the other banks.
 The official of each bank computerizes the final balance, payable
or receivable by his Bank after taking into account the various amount of
receipt and payment.
 The official return of their respective Bank to meet again in the
afternoon to return any dishonored instruments to the officials of the
respective Banks.
 The final settlement is effective by the supervisor of the
clearinghouse by debiting or crediting, as the case may be, the accounts
of the respective Banks as maintained with the clearinghouse.
Activities of the Section:

(a) Preparation of Clearing Outward and Inward Lodgment and record
maintenance of the same.
(b) Batch posting as and when required.
On receipt of instruments, the same is endorsed here. Then clearing
section will sent IBDA to head Office for clearing purpose and on receipt
of IBCA from Head Office amount is credited to customers account and
vice versa. If the instrument is return then the same is given back to the
customer.
Accounting Entries:
For inward instruments:
Customer A/C ----------------------------------Debit
MTBL General A/C ---------------------------Credit
Incase of return:
MTBL General A/C ------------------------Debit
Customers A/C -----------------------------Credit
For Outward instruments:
MTBL General A/C -------------------------Debit
Customers A/C -------------------------------Credit.

In case of return:
Customer A/C --------------------------------Debit
MTBL General A/C---------------------------Credit.
Outward Bills for Collection (OBC):

Customers deposit cheque, drafts etc. for collection, attaching their
deposit slip. Instruments within the range of clearing are collected
through local clearinghouse. But the other, which is outside the clearing
range, is collected through OBC. A customer of Mutual Trust Bank,
Jubllee Road Branch, is depositing a cheque of Sonali Bank, Dhanmondi
Branch. As a collecting bank Mutual Trust Bank Jubllee Road Branch
sends IBCA along with cheque to Mutual Trust Bank, Principal Branch.
Mutual Trust Bank, Main Branch will collect it by Jaamuna Bank,
Dhanmondi Branch, the agent. They will forward the bill to that particular
(Dhanmondi) branch. OBC number given the on the forwarding letter.
Inward Bills For Collection (IBC):
In this case bank will work as an agent of the collection bank. The branch
receives a forwarding letter and the bill. Next steps are:
 Entry in the IBC register, an IBC number given.

 The instrument is sent to clearing for collection.
An IBC is dispatched in this regard.
If dishonored > in this case the instrument is returned to the collecting

branch along with return Memo indicating the cause of dishonored.

ACCOUNTS DEPARTMENT
Introduction:
Accounts division is the center of a bank. As all transactions carried by a
bank is being legalized as far as accounting is concerned. If transactions
were not recorded properly there would be dis-equilibrium in state of the
bank. There can be imbalance in the cashbook thus the whole
mechanism will collapse.
The regular tasks of department are:

 To record all transactions in the cashbook.
 To prepare daily fund position, weekly position, periodic statement of
affairs.
 Prepare necessary statements for reporting purpose.
 To pay all expenditures on behalf of the branch.
 Make salary statements and pay salary.
 Branch to branch fund remittance and supporting accounting treatment.
 Prepare statements for customer.
 Publishing basic data of the branch etc.
General practices of an Accounts Department:
Scrutinizing Vouchers:
At the day end all vouchers are sent to the accounts department by the
respective department from where vouchers are originated. On the next
day an `activity report’ is received from computer department. The
activity report is the detail statement of all the transactions carried by
the branch of a particular date. It is the summary of all account position.
It also displays cash, clearing, transfer position, individual deposit
account position etc.

Provisioning:
Accounts department make provision for different deposit accounts.

Provisioning means keeping the record of expense, which has occurred
by non-cash way. This department also made depreciation of assets that
is one kind of non-cash expense.
CASH SECTION
There are various systems maintain by cash officer that is under:

 Vault
 Cash Payment
 Cash Receive
 Transaction after banking hour.
The cash department is the riskiest department of the bank. This is the
section where tight security is required to avoid any accidents. There is a
limit to be amount of cash that each counter can carry; carrying of
excess cash is avoided for safety reasons.
Cash Receipt:
When clients deposit cash in the bank, the bank officer on receipt of the
cash and the pay in slip/credit voucher shall:
 Check and count the received cash.

 Make sure that the amount in word and number in the deposit slip are
same.
 Check the account title and the number.
 Both the deposit slip is in order.
 Depositor’s signature is in the slip.
 Receive seal in the slip is a must.

 Write the domination of the currency at the back of the pay in slip or
the credit voucher and affix stamp in the slip/voucher.
 Enter particulars of in slip/credit voucher in the receiving cash officer
book.
 At least, send the pay in slip/voucher to the deposit department or to
the respective department.
 The respective officer must sign deposit slip.
 Carbon copy of the deposit slip must be handover to the client with
proper seal and signature.
Cash Payment:
Cheques, demand drafts, pay orders, pay slips and debit cash vouchers
etc. are received from various departments for payment of cash to
customers/payees.Prior payment of cash it is the officer’s duty to make
sure that the cheque/or the instrument has been genuinely passed. The
following common precaution is thoroughly practiced before honoring a
cheque:
 Check of it is an open or crossed check.

 The branch name in the cheque.
 The date in the cheque is very crucial. Cheques are normally valid six
months and pre-dated cheques are asked to present after the date
given.
 Tk in words and figure of the cheque is same.
 Balance in the account is available.
 The apparent tenor of the cheque. Whether any figure, date or
anything has been altered in the cheque presented. If any, then the
respective officer must check wheteher the client is making his
signature for alteration or not.
 The specimen card signature and signature in the cheque should
match.
 Signature of recipient is obtained on the reverse of cheque.

 In case, where a prior arrangement has been made with the bank, a
client may overdraw against a cheque.

Books maintained by cash department:
Vault Register:
This book where amount of cash available in the branch is maintained.
That is, the amount in the vault register book.
Cash Receive Register:

This register keeps record of all incoming cash.
Cash Payment Register:

Similar to the cash register book, this book keeps tracks of all outgoing
cash that is all payments.
Daily Cash Balance Register:

This is the book where cash balance is recorded by counting the notes
and coins that are physically available. The balance in this book is
compare with the vault register, which should be the same. In case there
is an error, then the figures would not match but if no discrepancy is
found then anything is to be worried about.
Mail Receive and Dispatch Section:
Banking is the business of correspondence. Lot of mail comes to the
bank and dispatch from the branch daily. Lot of mail document causes
much loss for bank. That is why bank has to record all Mail received and
dispatched through the bank.
Mail receiving:
All mail comes to the bank recorded in this desk. For this reason a
register book maintained called inward mail register. A number is given
on receiving mail and records particulars of document in the register
book.
Mail Dispatching:
Before dispatching mail from the bank must record in outward mail
register. A number is given on the mail. Destinations, date of dispatch
are recorded in that register

Chapter-04
SERVICE OFFERED BY CREDIT
DEPARTMENT

CREDIT MANAGEMENT
Credit management is the part of bank management which decides what
type of lending product will be offered, to whom it will be offered, how
much it will be offered and analyze and measure the credit risk on loans
and manage all the activities regarding the loans. The aim of the credit
management is to have a secured loan portfolio so that the bank can
earn profit by keeping the depositors savings secured. The entire job
regarding that consist the credit management.
LOAN
Loan means lending a fixed amount of money to borrower for a certain
period time. The borrower must repay the loan within the given time
period. In Loan, the disbursement will take place only for one time. The
borrower can repay the loan all at a time or by installment.
ADVANCE
Advance is a little bit different than Loan. In Advance, the borrower is
allowed credit limit for a given period of time. In that given period, the
borrower can withdraw money, as many times as he want but he cannot
exceed the credit limit. Again he can repay several times whenever he
wants. In Advance, disbursement and repayment occurs several times.
But at the end of the period, whole credit amount must be repaid to the
banks. This type of credit is allowed to business for their working capital
requirement.
PAPERS/DOCUMENTS REQUIRED FOR LOAN &

ADVANCES
 Original Title Deeds
 R.S.Khatian/ P.S.Khatian / B.S.Khatian

 R.S., P.S., &B.S.Sheet or Information Slip regarding corresponding
plots
 B.S. Mutation Khatian, DCR & CC Of Order Sheet of Mutation case
 Vendor Deeds (Bia Deed)
 Up-to- date rent receipt
 Up to Non Encumbrance certificate
 Municipal Holding Tax Receipt
 CDA approved plan
 Mortgage permission
 No objection certificate From Third party
 All original deeds & documents
 Trade license
 TIN Certificate
 VAT certificate
 IRC/ERC
 L/C Performance for last 01 year
 Liability With other bank (sanction letter)
 Nationality Certificate
 Two copies passport size photographs
 Clients Letter Pad
 Account statement of recent year with cash flow & Income
statement
 Bank statement of the existing Banks
 Stock report
EXISTING CREDIT POLICY OF MTBL LTD

Mutual Trust Bank Ltd. is a new bank. It is committed to provide high
quality financial services/products to contribute to the growth of GDP of
the country through stimulating trade and commerce, accelerating the
pace of industrialization, boosting up export, creating employment
opportunity for the educated youth, poverty alleviation, raising standard

of living of limited income group and overall sustainable socio-economic
development of the country.
In achieving the aforesaid objectives of the bank, Credit Operation bank

is of paramount importance as the greatest share of total revenue of the
bank is generated from it, maximum risk is centered in it and even the
very existence of the bank depends on prudent management of its credit
port-folio and is less often the result shrinkage in the value of other
assets. As such, credit portfolio not only features dominant in the assets
structure of the bank, it is critically important to the success of the bank
also.
To provide a broad guide line for the Credit operation towards achieving
the objectives of the bank, for efficient and profitable deployment of its
mobilized resources and to administer the Credit portfolio in the most
efficient way, a clearly defined, well planed, comprehensive and
appropriate Credit Policy and control guidelines of the bank is a pre-
requisite.
The administration of the loan process covers all laws and regulations at
both local and global levels including Bank Policy as set out in this
documents and The Bank's Credit manual / circulars.
Proper analysis of credit proposal is complex and requires a high level of
numerical as well as analytical ability. To ensure effective understanding
of the concepts and thus to make the overall credit portfolio of the bank
healthy, proper staffing of the credit departments done through
placement of qualified officials who have got the right aptitude, formal
training in finance, credit risk analysis, bank credit procedures as well as
required experience. Where repayment and interest servicing
performance of a credit deteriorates in it is identified at an early state
and closely monitored in order to avoid loan losses.
Types of Credit Facilities:

Mutual Trust Bank Ltd. ltd provides the following types of credit facilities
to the individuals, partnership firms, companies, corporations and other:

• Term Loan
• Temporary Over draft
• Overdraft against securities
• Loan Against Packing Credit
• Cash credit
• Payment Against Documents
• Loan Against Trust receipt
• Foreign Bills Purchased (clean)
• Foreign Bills Purchased (Documentary)
• Local bill Purchased (clean)
• Local Bills Purchased (Documentary)
• Foreign Bills Discounted
• Local Bills Discounted
• Other Bank’s Acceptance Purchased
• Demand loans
• Staff loans
CREDIT FACILITIES PROVIDED BY THE MTBL.
FUNDED CREDIT NON-FUNDED CREDIT

FACILITY FACILITY
Over Draft Cash Credit Term Loan Letter of Credit Letter of

(OD) (CC) (L/C) Guarantee
SOD(P SOD(H) CC CC
) Pledge Hypothecation
Figure: credit facilities of MTBL.

SME & CONSUMER FINANCING OF MTBL
MTB has formulated and launched a number of products under Small
Enterprise Financing & Consumer Financing program in accordance with
the prudential Regulation/Guidelines of Bangladesh Bank. The products
are Small business Loan, Consumer Loan, Home Loan, Home Repair &
Renovation and Auto Loan. These products are now dealt with SME
Division of the bank as SME loan products.

SME & Consumer Financing:
a. MTB Doctor’s Loan Scheme

b. MTB Bhaggobati Loan Scheme
c. MTB Digon Loan Scheme
d. MTB Life Line Loan Scheme
e. MTB Microfinance Loan Scheme
(a) MTB Doctor’s Loan Scheme:

Now to diversify the bank’s product as well as make profitability, the
bank may introduce new product for lending in the potential sectors of
the consumer market. Doctors Loan is now a demanding and lucrative
product. Most of the private commercial banks such as Prime Bank
Limited, Eastern Bank Limited, BRAC Bank Limited, Trust Bank Limited
etc have product for financing the doctors.
(b).MTBL BHAGGOBATI Loan Scheme:

Women are no more belong for household activities only. Rather their
movement started
shifting toward ruling nation, leading corporate office, developing as
business think tank. In all over the world for the last decade women has
proved their capacity and entrepreneurship skill in their respective
arena. The state and Bangladesh Bank feel to give a comfortable ground
for the development of the women in the business entity and are
encouraging and inviting the financial facilitators to extend their hands.
There are thousands women specially in handcrafts, boutique, agro
based industry, beauty parlor, readymade garments, creative works,
interior design, entertainment market etc keeping their superb
contribution and emerging gradually. It is the right time for us to develop
a product for the development of women entrepreneur, which will have
long-term impact on the growth of our economy.

(c) MTBL DIGOON Loan Scheme:
There are around 120,000 bankable small and medium enterprises
(SMEs) in Bangladesh according to market survey. Based on the
estimate, there is a total funding requirements of BDT 200 Billion. A lot of
banks are financing for their working capital, fixed asset purchase and
other business purpose through complicated or less friendly credit
analysis methods by taking land and / or building as primary collateral.
MTBL, as specified in its Small & medium Enterprise Financing Policy,
would like to offer simply structured, process based, yet risk mitigating
banking product to the SMEs. MTB “DIGOON” has been designed based
on the above objectives to achieve
(d)MTB Life Line Scheme:

MTB Life Line is an any purpose unsecured and terminating loan facility
(EMI based) for any legitimate purpose. Bank would finance against gross
monthly income of the any credit worthy individual. To meet life style
needs of the credit worthy individuals and to capitalize the vast market
gap, this loan is a suitable unsecured consumer loan product.
(e)MTB Microfinance Loan Scheme:

Micro finance loan is now a demanding and lucrative product. Most of the
Nationalized Commercial Banks (NCBs), Private commercial Banks (PCBs)
and also the Foreign Commercial Banks (FCBs) are lending the micro
finance institutions (MFIs) as wholesale credit under specific product
program. The product as proposed for microfinance lending under
Microfinance Scheme may be dealt with SME Division as specialized
product.

FUNCTIONS OF CREDIT DEPARTMENT
The responsibilities/ functions perform by the credit department for

processing and servicing of all types of advances as well as maintaining
the records are as follows:
 The Branch Managers is the first line-lending officers and are

responsible for exercising their authority with due diligence and
discipline. They must also:
• Know their borrower fully
• Comply with the applicable instructions, manual, circulars
and other rules of the bank as well as those of Bangladesh
Bank including Banking companies Act 1991 (as mentioned
from time to time).
• Take interview of the prospective borrower.
• Receive the credit information assembled and placed in the
Customer's Credit file.
• Process and sanction credits to the customers.
• Disburse credit facilities to borrowers in accordance with
established procedures.
• Record the credit facilities.
• Prepare vouchers pertaining to credit facilities disbursed and
maintain records of relevant entries.
• Control the securities and proper customer of documents.
• Follow up the recovery of credit as per due date.
• Review and analyze the following in connection with credit
risk proposals covering any obligor.
 History of antecedent of the obligor and its management

personnel.
 Financial condition of the obligor evidenced by comparative
statements like Balance Sheet, Income Statement, operation results -

and supplementary facts as well as by personal Net Worth Statement
of the proprietor, parents and directors.
 Bank and Credit Information Bureau (CIB) checking and trade
standing through investigation.
CREDIT INFORMATION BUREAU (CIB) REPORT
Credit information bureau is a department of Bangladesh Bank, which

provide report on the prospective client of loan. If the applicant is
defaulter at any Bank than Bangladesh Bank restrict that particular
client. Therefore, CIB Report plays an important function in giving loan
and advances.
The following flow chart shows the process of getting CIB

Report.
INQUIRY FORM HEAD OFFICE
CIB REPORT REPORT BANGLADESH BANK
Figure: Process of getting CIB Report
CIB Report is required in the following three fields:
 New loan
 Renewal
 Enhance

Five Inquiry Forms have to produce by the bank to get CIB Report. These
are:
SEGMENT 1: Information of individual/organization/institution
SEGMENT 2: owner information
SEGMENT 3: Information of allied concern
SEGMENT 4: Outstanding information
SEGMENT 5: Guarantor information
Chapter -05
FOREIGN EXCHANGE
DEPARTMENT

FOREIGN EXCHANGE
Foreign Exchange Department is international department of Bank. It
deals globally. It facilitates international trade through its various modes
of services. It bridges between importers and exporters. If the branch is
authorized dealer exchange market, it can remit foreign exchange form
local country to foreign country. This department mainly deals in foreign
currency. This is why this department is called foreign exchange
department.
Some national and international laws regulate function of this

department. Among these Foreign Exchange Act, 1947 is for dealing in
foreign exchange business, and Import and Export Control Act, 1950 is
for Documentary Credits (UCPDC-1993 revision & International Chamber
of Commerce Publication no-500) is also an international trade.
Governments Import & Export policy is another important factors for
import and export operation for banks.

Foreign Exchange Mechanism
BUYER/
IMPORTER INDENTOR SELLER/
EXPORTER/
BENEFICIARY
Sales/ purchase Contract
Application for opening L/C
against documents
Forwards Documents
Makes Payment
Advises or confirms L/C

Present documents
Submits documents
Makes Payment
Makes payment
Issuing L/C
ADVISING BANK
CONFIRMING BANK
NEGOTIATING BANK
ISSUING BANK
L/C OPENNING BANK
Pay or Reimburses
Instructs to pay or
reimburse
PAYING / REIMBURSING BANK

Functions of This Department
Foreign Exchange
Imports Exports
Payment against
Opening of L/C Export L/C Advising Pre-Shipment
Document (PAD) Finance
Loan against Trust Loan against Imported Post-Shipment Foreign Bills for
Receipt Merchandise (LIM) Finance Collection (FBC)
Inward Bills Guarantees Inland

(For Collection) & Foreign Export Certificates Realization
Dealing Section Remittance
Quoting Rates of Forward Cover Inward Remittance Out ward Remittance

Exchange (Booking of Contract) FDD, MT, TT
Reconciliation Guidance on rates

(Foreign Bank A/c) trends to customer
Travel Returns
Issue & Sales of Purchase or encashment Rectums to Other Rectums HO

Foreign currencies & foreign currencies & TC
Bangladesh Bank (IBD)
TC

IMPORT OPERATION
Import section helps business and other people to import goods. In

international environment, buyers and sellers are often unknown to each
other. So seller always seek guarantee for the payment for his goods
exported. Here is the role of bank. Bank gives export guarantee that it
will pay for the goods on behalf of the buyer. This guarantee is called
Letter of Credit. Thus the contract between importer and exporter is
given a legal shape by the banker by its ‘Letter of Credit’.
When a buyer goes to import some goods from a foreign buyer, he
requests his bank make payments to the exporter of goods. And the
bank recovers the amount from the importer.
Steps for Import L/C Operation- (6 Steps Operation):
Step 1-Registration with CCI&E

1. For engaging in international trade, every trader must be first
registered with the Chief Controller of Import and Export.
2. By paying specified registration fees to the CCI&E. the trader will
get IRC/ERC (Import/Export Registration Certificate), to open L/C with
bank, this IRC is must.
Step 2-Determination terms of credit

1. The terms of the letter of credit are depending upon the contract
between the importer and exporter. The terms of the credit specify the
amount of credit, name and address of the beneficiary and opener, tenor
of the bill of exchange, period and mode of shipment and of destination,
nature of credit, expiry date, name and number of sets of shipping
documents etc.

Step 3-Application by importer to the banker to open letter of
credit
1. For opening L/C, the importer is required to fill up a prescribed
application form provided by the banker along with the following
documents
1. Pro-forma invoice
2. Demand Promissory Note
3. Authority to debit account
4. Tax Information Certificate
5. Filled up amendment request from
6. IMP form
7. Insurance cover note, etc.
8. Filled up LCA form
Step 4- Opening of L/C by the bank for the opener

1. Taking filled up application form the importer
2. Collects credit report of exporter from exporter’s country
through his foreign correspondence there.
3. Opening bank then issues credit by air mail or cable followed by
credit advice as asked for by the opener through his foreign
correspondent or branch as the cash may be, at the place of beneficiary.
The advising bank advises the credit to the beneficiary on his own form
where it is addressed to him or merely hands on the original credit to the
beneficiary if it is so addressed.
Step 5-Shiment of goods and submission of documents by

exporter
1. Then exporter ships the goods to the destination of the importer
country
2. Sends the documents to the L/C opening bank through his
negotiating bank. Generally the following documents are sent to the
Opening Banker with L/C:
1. Bill of Exchange

2. Bill of Lading
3. Commercial Invoice
4. Certification of Origin
5. A certificate stating that each packet contains the description of goods
over the packet.
6. Packing List
7. Advice Details of Shipment
8. Pre-shipment Inspection Certificate
9. Vessel Particular
Step 6-Lodgment of Documents by the opening Bank from the

negotiating bank
1. After receiver the documents, the opening banker scrutinizes the
documents. If any discrepancy found, it informs the importer. If importer
accepts the fault, then opening banker call importer retiring the
document. At this time many thing can happen. These are indicated in
the following:
Discrepancy found but the importer accepts-no problem occurs in

lodgment.
Discrepancy found and importer not agreed to accept- in this case,
importer protest and send back all the documents to the exporter and
request his to make in the specified manner. Here banker is not bound to
pay because the documents send by exporter is not in accordance with
the terms of L/C.
Documents are OK but importer is willing to retire the documents-In this

cash bank is obligated to pay the price of exported goods. Since importer
did not pay bill of exchange, this payment b bank is one kind of credit to
the importer and this credit in banking is known as FORCED PAD.
Everything is O.K. but importer fails to clear goods from the port and
request bank to clear in this cash banks clear the goods and takes

delivery of the same by paying customs duty and sales tax etc. So, this
expenditure is debited to the importer’s account and in banking it is
called LIM.

EXPORT OPERATION
Bangladesh exports a large quantity of goods and services to foreign

households. Readymade textile garments (both knitted and woven), Jute,
Jute-made products, frozen countries. Garments sector is the largest
sector that exports the lion share of the country’s export. Bangladesh
exports most of its readymade garment products to U.S.A and European
community (EC) countries. Bangladesh exports about 40% of its
readymade garments products to U.S.A. Most of the exporters who
export through MTBL are readymade garment exporters. They open
export L/Cs here to export their goods, which they open against the
import L/Cs opened by their foreign importers.
Export L/C operation is just reverse of the import L/C operation. For
exporting goods by the local exporter, bank may act as advising banks
and collecting bank (negotiable bank) for the exporter.
A. As an advising Bank
It receives documents from the foreign importer and hands it over to the
exporter. Sometimes it adds confirmation on the L/C on request from the
Opening Bank. By adding confirmation, it assumes the responsibility to
make payment to the exporter.
B. As Negotiating Bank
It negotiates the bills and other shipping documents in favor of the
exporter. That is it collects the proceeds of the export-bill from the
drawer and credits the exporter’s account for the same. Collection
proceed from the export bill is deposited in the bank’s NOSTRO account
in the importer’s country. Sometimes the bank purchases the bills at
discount and waits till maturity of the bill. When the bill matures,
natures, bank presents it to the drawee to encash it.

Chapter -06
COMPARATIVE ANALYSIS

COMPARATIVE ANALYSIS AMONG FIVE 3RD GENERATION BANK
I compare the competitive position of MTBL with other five modern Banks
on the basis of following financial terms by Taking 2006 as base year &
2007 as current year on the basis of growth rate:
Deposits In
million Taka
Name B. ASIA ONE D.B.B.L J.B.L TRUST B. M.T.B.L
Year
B. .
2003 10431.38 8847 17133.81 6614.06 4483.26 7163.67
2004 13470.98 10915 21067.56 10450.16 9314.95 13164.13
2005 18500.07 18030 27241.11 14454.13 12704.90 16098.54
2006 25289.36 20253 40111.54 17284.81 18985.95 22264.05
1
2007 30004.09 24484 42110.15 20924.02 27101.59 24776.92
Investments: In Million
Taka
Name B. ASIA ONE D.B.B.L J.B.L TRUST B. M.T.B.L
Year
B. .
2003 2496.69 688 3880.03 935.48 1896.92 996.06

2004 3240.51 1229 4372.14 1163.70 3220.78 1676.21
2005 2256.28 2165 4992.13 2037.84 2447.95 2495.98
2006 3345.33 3321 5876.52 2552.67 3122.81 2821.62
2007 4211.35 3587 5909.32 5390.032 3785.45 3956.53
Loans & Advances: In

Million Taka
Name B. ASIA ONE D.B.B.L. J.B.L TRUST B. M.T.B.
Year
B. L
2003 8189.82 6051 11431.32 3239.52 4358.31 5904.18
2004 11861.19 9613 15927.23 6722.80 6804.45 11692.9
7
2005 17869.84 13851 22592.27 11011.83 9738.32 14373.2
6
2006 22255.64 15681 30456.32 12796.63 13188.09 18591.5
2
2007 28456.94 19709 29403.12 16617.45 18682.16 22683.2
3

ROI: In Million
Taka
Year
B. L
2003 5.19 13.22 8.84 3.69 3.59 11.29
2004 6.26 15.86 6.22 4.68 5.46 14.74
2005 9.15 13.94 5.87 2.93 4.95 13.80
2006 7.45 12.86 7.30 10.02 8.43 8.50
2007 11.09 13.05 5.33 10.68 8.80 6.31
EPS: In Million
Taka
Year
B. L
2003 - 23.44 103.97 14.25 19.47 43.37
2004 18.53 24.10 116.93 36.35 35.20 34.33
2005 11.82 37.46 181.97 46.58 24.26 35.37
2006 10.04 39.06 170.18 31.94 52.63 47.93
2007 11.03 38.97 237.37 8.04 28.28 21.12
NET PROFIT: In Million

Taka
Year
B. L
2003 215.85 91 210.15 61.14 68.14 190.34
2004 293.74 195 236.35 155.95 175.98 247.19
2005 383.51 302 367.82 199.82 121.29 336.17
2006 475.75 347 362.18 253.40 263.16 478.28
2007 669.77 405 479.81 89.11 239.03 210.80
Profit Position of Different banks as on 30-06-2008

Profit
Name of the
Position YTD YTD
Banks Growth
June-08 June- 07
12 DBBL 1100.00 680.0 61.76%
14 B. ASIA 900.00 700.0 28.57%
21 JBL 670.00 350.0 91.43%
22 MTBL 550.00 460.0 19.57%
23 TBL 460.00 280.0 64.29%
25 ONE B. 400.00 448.0 -10.71%
SWOT ANALYSIS

From The SWOT analysis we can figure out the ongoing scenario of
MTBL. That is by doing THE SWOT analysis it is possible to find out the
strengths, weaknesses, opportunities, and threats of MTBL so to have a
better view of the present business practices of MTBL, I did the SWOT
analysis.
SWOT ANALYSIS
Internal Factor External Factor
Strength Weakness Opportunity Threats
In SWOT analysis two factors act as: -

 Internal factors, which are prevailing inside the concern, which
include strength & weakness.
 External factors which act as opportunity & threat.

Strength:
 Very good profit margin achieved by the last few years
 Strong capital back up brings available liquidity
 Efficient and experienced management team
 Directors of the bank are not over ruling the decisions made by the
management team
 Several deposits schemes and financial products offered by the
organization, So clients have enough options to invest their money
 Bank quickly expanding its business all over the country.
Weakness:
 No online banking facilities.
 Performance of the marketing sector is really poor
 Officers are limited experienced and not enough trained
 Traditional banking system is followed
Opportunities:
 Clients reliability on MTBL is growing day by day on the bank
 Business Banking
 Diversification
 Modern facilities & computerization
 Stirring Branches
 Interactive Corporate Culture
 After online service bank growth are rapidly increasing.
Threats:
 Very competitive market
 Our political unsuitability effects the banking sector very often
 Our economy now passing recession this also effects the bank
 Central banks policies some times are not in favor of the private
 Competitors have more deposits
 Competitors have more products and services

 Government pressures to reduce interest rate
THE PROBLEMS OF THE BRANCH
 Lack of cross Employee.

 There is no customer complain desk, for this reason it is some time
occur as a irritate matter.
 Officer is less than necessary.
 The manpower of MTBL is not sufficient in context of their
necessity.
 It takes time to take decision of Head Office to branch office.
 Reluctance to add campaign.
 The duration of our internship program is only two months that is
not sufficient for us to gather knowledge about the organization.

RECOMMENDATIONS
I could gain the practical knowledge in the banking sector.

Actually we can’t realize how much it’s area if anybody doesn’t
work here practically. I found that there is some system loss in
the banking sector, which is so confidential. Every commercial
bank is involved with this for their business. None bank
maintains the rules & regulations of Bangladesh Bank perfectly.
For which I think that this business is not done systematically
according to the law of banking. The management of central
bank should try to monitor it perfectly. For this reason they can
use advanced technology.
The duration, two months is not sufficient for the

recommendations. In spite of that I recommend for this bank in
order to overcome the weakness & Threats.
 Top Level Management should be aware of their duty &
responsibility as if the overall condition of Mutual Trust
bank can be improved & can fight with their rival &
competitors
 For the technological advancement SWIFT machine,
availability of internet service, extension of T&T line for the
more than 20 PABX line, sufficient computer & printer,
advanced software, LAN (Land Area Network) among all
computer, central generator & central Air condition,
 By doing some social responsibilities Mutual Trust bank can
highlight themselves to be known & marketing as well as
advertisement
 On line service can be effective for MTBL
 Employees should be properly trained as if they can serve
confidently, quickly.

 Manpower should be increased in the foreign exchange
because they work restless. In spite of that they can’t
complete their duty smoothly.
 `Face is the index of mind’ but the out look of the Mutual
Trust bank isn’t good at all in the comparison of other
commercial bank like EBL Bank, Dhaka bank, one bank etc.
 Effective decision should be taken by the trust for the more
deposit because the more deposit, the more loans, the
more profit & the more investment.
 Diversification of business reduces risk. So it is also
essential.
NECESSARY STEPS FOR RAPID GROWTH
To improve the performance level to lessen the problems as stated in the

previous paragraphs MTBL might take the following steps:
• Firstly the branch has to increase their advertisement and also
increase their social activities. They have to go with the people’s
needs and demands. They have to explore their name to the
people that every one can know about Mutual Trust Bank ltd,
Jubllee Road Branch.
• Thirdly the branch has to take some initiative to receive some
power to sanction a certain limit of loan amount when the
customer require the loan on the urgently basis. It can earn of that
customer’s satisfaction and in future he or she may be do vast
business with the bank.
• Fourthly, communicational skill of the officials should be
improved further, so that they can create an excellent
communication flow with the customer
• Fifthly the branch should minimize its official unnecessary
expenses.

• Lastly and importantly employee satisfaction should be ensured
for quality services. If the employee is demotivated and
unsatisfied, no further measure will work

CONCLUSION
Mutual Trust Bank Limited has been established with the objective of
providing efficient and innovative banking services to the people of all
sections of our society. One of the notable strengths of this bank is that
the disciplined and strongest Management Body backs it. The bank is
committed to contribute as much as possible within its limitations for the
economic growth and for ensuring locative value of its available
resources.
Despite stiff competition among banks operating in Bangladesh, both

foreign and local, Mutual Trust Bank, Jubilee Road branch has achieved
satisfactory progress in the areas of its operation and earned an
impressive operating profit in spite of new branch. The branch will hope
to achieve a satisfactory level of progress in all areas of its operation
including target of profitability during the year 2012.
We hope that this bank will compete with the first class bank of
Bangladesh very soon.

BIBLIOGRAPHY
BB ........................Bangladesh Bank
MTBL ......................Mutual Trust Bank Lt.
MTB ......................Mutual Trust Bank
B. Asia ..................Bank Asia Ltd.
One B. .................One Bank Ltd
CC .........................Cash credit
CL .........................Classified loan
CSE .......................Chittagong stock exchange
DD .........................Demand Draft
DPS .......................Deposit pension scheme
DSE .......................Dhaka stock exchange
FC .........................Foreign currency
FDI ........................Foreign direct investment
FE .........................Foreign exchange
FCAD .....................Financial control and accounts department
IC and PF ...............investment companies and provident fund

ICB ........................Investment corporation of Bangladesh
IDA ........................International development association
IBDA ......................Inter branch debit advice
IBCA ......................Inter branch credit advice
LIM .........................Loan against imported merchandise

LAM ........................Loan against merchandise
LTR .........................Loan against trust receipt
MT ..........................Mail/Money transfer
NCD ........................Negotiable certificate of deposit

OBU ........................Offshore banking unit
PAD .........................Payment against document

PSS .........................Pension savings scheme
SBS .........................Scheduled Bank Statistics

SEC .........................Securities and Exchange Commission
SEM ........................Secondary Exchange Market
STA .........................Special trade arrangement
STD .........................Short term deposit
TT ...........................Telegraphic Transfer
UC ............................Unclassified

REFERENCE
 Inspection Manual, Bangladesh Bank, 1993.

 Rose Peter S. Commercial Bank Management. 4th ed. Singapore:
McGRAW-HILL, 1999
 Annual Report of Mutual Trust Bank Ltd. 2007
 Management Report of Mutual Trust Bank Limited, 2007
 Annual Report of Mutual Trust Bank Limited, 2006 & 2007.
 Annual Report of Trust Bank Limited, 2006
 Annual Report of Bank Asia Ltd. 2007
 Annual Report of One Bank Ltd. 2007
 Annual Report of Dutch Bangla Bank Ltd. 2007
 Annual Report of Trust Bank Ltd 2007
 www.mutualtrustbank.com.
 www.Jamunabankbd.com.
 www.bankasia-bd.com
 www.onebankbd.com
 www.bddl.com.bd
 www.mutualtrustbank.com
 Survey CSE Library
 Personal consultation with banking personal.
 Previous year internship report analysis.

Chapter - 01: Prepared By: Md. Moinuddin, MBA-06. MKT, C.U

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Chapter - 01

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 1

THE EMERGENCE OF MODERN BANKING

The banking industry gradually spread outward from the classical

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 2

DEVELOPMENT OF BANK IN BANGLADESH

Indigenous banking in Bangladesh is as old as banking in other parts of

Subsequently, larger banking in Bangladesh was gradually taken over by

In 1700 AD “Hindustan bank” was established as the first joint stock

In 1947 after the separation of Bengal, bank business faced a severe

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 3

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 4

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 5

In the backdrop of economic liberalization and financial sector reforms, a

As a fully licensed commercial bank, Mutual Trust Bank Ltd. is being

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 6

Mutual Trust Bank Limited in the Banking Area Of Bangladesh

Commercial banks are again divided into three categories –

MTBL is the leader of third generation bank

GOALS AND OBJECTIVES OF MTBL

 To earn and maintain CAMEL Rating 'Strong'

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 7

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 8

We aspire to be the most admired financial

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 9

The Board of Directors of Mutual Trust Bank consists of 13 Directors, which

Mr. Samson H. Chowdhury, a recognized entrepreneur of the country, is

Mr. Syed Manzur Elahi (Founder-Chairman)

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 10

Managing Director Of MTBL

Mr. Kazi Md. Shafiqur Rahman

Deputy Managing Director

Mr. Quamrul Islam Chowdhury,

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 11

MANAGEMENT STRUCTURE OF MTBL

DEPUTY MANAGING DIRECTOR

SENIOR EXECUTIVE VICE

SENIOR ASSISTANT VICE

ASSISTANT VICE PRESIDENT

OFFICER SENIOR PRINCIPAL

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 12

Principal Branch CDA Avenue Branch

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 13

The Company was also issued Certificate for Commencement of Business

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

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 14

The Registered Office of the Bank is:

Corporate Objectives of MTBL

i) To earn a remarkable income from all heart-center of free economy

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 15

MTBL FINANCIAL REPORT 2007

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 16

The Bank will introduce modern system of Leasing Operation as in

A warehousing system will be developed in the country through private

Mutual Trust Bank Ltd. will try to achieve excellence in customer

Prepared By: Md. Moinuddin, MBA-06. Mkt, C.U 19

Services, Products & Loans Profile OF Mutual Trust Bank

▪ Account Related Services ▪ Personal Banking

THE DIFFERENT BANKING SERVICES & PRODUCTS OF

Categories of Account Related Services:

▪ Current Account ▪ Savings Account ▪ STD Account

Categories of Services Under personal Banking: