Final Project

“Internship”
Report on

(NIB Bank Limited)

COMSAT INSTITUTE OF INFORMATION TECHNOLOGY

WAH CANTT

ADNAN KHAN ALIZAI

FA04-BS (BA)-003

Submitted in partial fulfillment of the

degree of the Bachelor of Business
Administration

At

NIB Bank Ltd

Wah Cantt Branch
Acknowledgment

Firstly I am thankful to Almighty Allah who

is most gracious and most merciful and Holy
Prophet Muhammad PBUH, who blessed me with
intellect and determination to accomplish
this report. Then I am also thankful to all
bank staff who guides me during my
internship duration. I am also thankful to
all respected teachers who develop me
during my BBA to do such tasks.
 Table of Contents

MISSION............................................................................................................................1
VISION...............................................................................................................................2
EXECUTIVE SUMMARY...............................................................................................3
HISTORY OF THE NIB BANK......................................................................................5
INTRODUCTION OF TEMASEK ................................................................................7
NIB STRUCTURE.................................................................................................................9
FINANCIAL ANALYSIS: ...............................................................................................9
MARKETING STRATEGY ANALYSIS......................................................................15
WHAT IS SALAM BANKING?................................................................................................15
VALUE PROPOSITION ..........................................................................................................15
TYPES OF LOAN..................................................................................................................16
HRM STRATEGY OF NIB............................................................................................17
ACCORDING TO THE HRM DEPARTMENT:..............................................................................17
CMM (COMMERCIAL MASS MARKET).................................................................................18
MARKETING STRATEGY:..........................................................................................19
PRODUCT STRATEGY:...........................................................................................................19
PRICING:...........................................................................................................................19
PROMOTIONAL STRATEGY:..................................................................................20
Print media:..............................................................................................................20
Referral marketing:...................................................................................................20
Occasional marketing:..............................................................................................20
WORK PROCEDURE....................................................................................................21
FIRST STEP........................................................................................................................21
SECOND STEP....................................................................................................................22
THIRD STEP ....................................................................................................................22
MY BANK WEEKS.........................................................................................................23
1ST WEEK..........................................................................................................................23
2ND WEEK.......................................................................................................................23
3RD WEEK.........................................................................................................................24
4TH WEEK.........................................................................................................................25
5TH WEEK......................................................................................................................27
6TH WEEK.........................................................................................................................28
Learning:...................................................................................................................29
Pros............................................................................................................................29
Cons...........................................................................................................................30
SWOT ANALYSIS..........................................................................................................31
STRENGTHS...................................................................................................................31
WEAKNESSES................................................................................................................32
OPPORTUNITIES..........................................................................................................33
THREATS........................................................................................................................33
PEST ANALYSIS............................................................................................................34
RECOMMENDATIONS.................................................................................................36
CONCLUSION................................................................................................................37
 Mission

Our Mission is to provide a banking

experience so unique, that it compels
each of our customers to want a long
term, multi-product relationship with
NIB Bank.

1
 Vision

 To be the bank of choice for the

most discerning segments of the
consumer and corporate markets in
Pakistan.
 To revolutionize banking for the
SME segment by creating new
products and distribution
channels.
 To become a leading provider of
investment banking and wealth
management services.
 To be a top-5 choice of employer,
a premier developer of human
talent, and an organization that
understands and honors its social
responsibilities

2
EXECUTIVE SUMMARY

As a major requirement of BBA program is internship, so I

decided to do my internship in an organization in which I
can learn more about the courses which I have studied
during my BBA degree specialization, for this purpose I
joined NIB bank Limited and appointed as internee. After
entering in organization I was assigned to work in all
prospects of bank for short time period. This experience
helps me a lot to be more informed about the environment of
this type of banking field. I learn a lot in short time
period which helps me to understand professional life.

In NIB bank employees have very good relationship among

themselves and also with there customers. They treated me
very well during my internship duration and help me to
understand the way of doing work. They trained me very well
that I can easily understand the way they are doing there
work. The environment of NIB bank was so pleasant and
friendly.

During my stay at NIB bank limited I have learned a lot of

things about professional field like culture of the
organization and the behavior of employee like how to deal
with customer to become a loyal customer of the
organization.

From the start of it’s from 2003, the performance of NIB

bank limited is so good. Now a day’s NIB bank plays a
central role in Pakistan’s financial and economic

3
development. NIB bank stands in the list of leading banks
in Pakistan.

To be recognized as a leading financial institution of

Pakistan in emerging markets, it provide its customers a
set of innovative products and services, and give superior
value to its stakeholders, shareholders and employees. NIB
bank is an organization that provides opportunities to its
staff to have a challenging and rewarding long term carrier.

NIB bank has largest online network in Pakistan and have

more than 240 domestic branches in Pakistan. Its customer
relationship is the back bone of its success. In NIB bank
employees aim is to ensure customer satisfaction by
providing high quality banking services. This is only
possible by professionalism of employees.

The online branch network is the core strength of NIB bank

customer can use the online services free of charges.

4
HISTORY OF THE NIB BANK

NIB Bank Limited started as NDLC-IFIC Bank Ltd. which was

incorporated in March 2003 as a public limited company. It
started operations in October 2003 when all assets,
liabilities, rights and obligations of the former National
Development Leasing Corporation (NDLC) and Pakistan
operations of IFIC were amalgamated with and into the bank
with a paid up capital of Rs.1.2bn. In April 2004 the
Pakistan operations of Credit Agricole Indosuez were also
amalgamated with and into NIB. In March 2005 Temasek
Holdings of Singapore acquired 25% shareholding in NIB
Bank, through Bugis Investments.

This shareholding was further enhanced to over 70% in June

'05 following an increase in NIB's paid up capital to
Rs.3.4bn. NIB Bank has since grown rapidly from a base of 2
branches in 2003 to 45 in the 4th quarter of 2007. Total
assets have grown from Rs.9bn in December 2003 to Rs.87bn
(excluding acquisition of PICIC through rights) as of
September 30 2007, a CAGR of 85%. Loan growth has been
equally rapid, increasing from Rs.7bn to Rs.43bn in the
same period (a CAGR of 64%), resulting from successes in
both the commercial and consumer business.

Deposits for the same period have grown at a CAGR of 95%,

reaching Rs.45.3bn. The overall client base of NIB has also
witnessed a tremendous growth in the same period as of
September 2007; from a few thousand to over one hundred
thousand.NIB Bank's vision is to rank amongst the top 5
banks in the country.

5
Therefore towards end of June 2007 it acquired majority
shares of PICIC with the aim of merging PICIC and its
commercial banking subsidiary PICIC Commercial Bank Limited
into NIB. The acquisition was financed through the
country's largest private sector rights issue, with
resultant increase in NIB's paid up capital to Rs.21.4bn.
The PICIC acquisition has bought with it another subsidiary
"PICIC AMC" and an affiliate "PICIC Insurance". NIB already
has a shareholding in NAFA, an Asset Management Company
(AMC); thus its asset management business will now also be
increased, with diversification in the insurance business.

The legal merger of PICIC, NIB & PCBL took place on

December 31, 2007, once all regulatory approvals were in
place. NIB Bank is led by Khawaja Iqbal Hassan, supported
by four business heads and ten business enabling function
heads. The merger has resulted in a vastly expanded network
of 240 branches and total assets of over Rs.185bn.
Consequently NIB has the second highest paid up capital of
around Rs.27.5bn and ranks number 7 amongst commercial
banks in terms of distribution network. Merger synergies
will accrue through lower cost deposits, enhanced customer
service delivery channels and overall improved
efficiencies. These would provide a competitive edge in the
face of increasing competition. Temasek Holdings remains
the largest single investor in NIB Bank.

This merger is one step forward in consolidating the

banking sector as envisioned by State Bank of Pakistan and
enhancing FDI as per the Government of Pakistan's
objectives. The powerful franchise of the three merged

6
entities has now been brought together to form a large and
powerful bank. Going forward management is confident that
the combined bank will be a top performer delivering a wide
range of financial services through an extensive branch
network. The asset management arms and insurance affiliate
are also expected to perform well and provide an attractive
dividend stream

INTRODUCTION OF TEMASEK
Temasek is the business group from Singapore. Temasek have
diversified portfolio around the world.
 ICIC BANK
 SINGAPORE AIRLINE
 SHARES IN STANDARED CHATERED
 INVESTMENT IN GAWADAR PORT

7
 Departments of NIB

Branch Manager

Operation Sales Credit IT

IT
BOM BSO BDM BCIM Coordinator

MCO CSO RM SA

CRO RM CO

8
 NIB STRUCTURE

Board of Directors

Board Audit President & CEO

Committee

CFO, Company Head of Commercial

Secretary & Head of Banking Group
Admin

Head of Operations & Head of Consumer

Technology Business

Head of Human
Head of Corporate Bank
Resource

Head of Compliance Head of Risk

Management

Head of Internal Audit Head of Treasury

FINANCIAL ANALYSIS:

9
 Common Size analysis

NIB Limited
2005 2006 2007
Description
Rupees Rupees Rupees %age %age %age
ASSETS
Cash and Balances with 2,085,14 2,928,40 10,318,72
treasury bank 1 4 2 6.5 6.3 6.0
Balances with other 1,966,11 1,362,49
banks 8 7 1,401,796 6.1 2.9 0.8
Lending to financial 2,270,00 2,600,00
institutions 0 0 4,735,113 7.1 5.6 2.7
5,129,28 6,594,03 40,498,84
Investments 5 6 0 16.0 14.2 23.4
19,622,9 31,052,1 82,160,07
Advances 29 69 4 61.3 67.1 47.4
30,800,13
Operating Fixed Assets 368,551 622,216 5 1.2 1.3 17.8
1,142,36
Other Assets 576,691 3 3,353,958 1.8 2.5 1.9
32,018,7 46,301,6 173,268,6
Total Assets 15 85 38 100% 100% 100%
Liabilities
Bills Payables 274,325 215,769 2,110,211 0.8 0.4 1.3
4,547,09 9,164,12 16,669,41
Borrowings 6 1 2 12.5 18.0 10.3
Deposits and other 21,123,5 30,566,5 116,671,2
accounts 56 40 19 58.2 60.2 71.7
Sub-ordinate Loans - - - 0.0 0.0 0.0
Deferred Tax
Liabilities 2,465 - - 0.0 0.0 0.0
1,858,39 2,150,53
Other Liabilities 8 8 4,603,352 5.1 4.2 2.8
27,805,8 42,096,9 140,054,1
40 68 94
Capital

10
 3,361,52 3,361,52 22,017,96
Share Capital 2 2 8 9.3 6.6 13.5
Reserves 694,623 719,810 719,810 1.9 1.4 0.4
(143,392
Inappropriate Profit 197,626 298,376 ) 0.5 0.6 -0.1
4,253,77 4,379,70 22,594,38
1 8 6
Surplus on Revaluation 4,212,87 4,331,87
of Assets 5 5 (28,529) 11.6 8.5 0.0

Total Liabilities & 36,272,4 50,808,5 162,620,0 100. 100. 100.

Shareholder's Equity 86 51 51 0% 0% 0%

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 NIB Limited

2005 2006 2007 %ag

Description %age %age
Rupees Rupees Rupees e
Markup/return/ Interest 1,716,91 3,473,3 6,999,8
Earned 7 64 88 100% 100% 100%
- -
Markup/return/ Interest (1,118,95 (2,452, (4,995, 65.1 - 71.
Expensed 7) 192) 955) 7 70.6 4
Net Markup / Interest 597, 1,021,1 2,003,9 34.8 29.4 28.
Income 960 72 33 3 0 6
Provisions against
non performing loans 1,494,8 21.
and advances 120,931 269,583 01 7.04 7.76 35
Provision for
diminution in value of 0.0
Investments 29,643 - - 1.73 0.00 0
Net Markup / Interest 29.5 21.6 7.2
Income after provision 506,672 751,589 509,132 1 4 7
Non-Markup / Interest
Income
Fee, Commission & 3.5
Brokerage Income 91,707 179,994 249,020 5.34 5.18 6
0.2
Dividend Income 1,668 14,528 13,723 0.10 0.42 0
Income from dealing in 3.2
foreign currencies 109,145 208,927 225,235 6.36 6.02 2
Gain on sale of 0.3
securities 4,040 222 24,021 0.24 0.01 4
1.2
Other Income 14,599 90,635 86,772 0.85 2.61 4
Total Non Markup 12.8 14.2 8.5
Interest Income 221,159 494,306 598,771 8 3 5
Non-Markup / Interest
Expense

12
 1,221,4 2,002,1 35.1 28.
Administrative Expenses 711,545 23 59 41.4 7 6
Other Provisions / - 0.0
Write Offs 327 (328) 2,669 0.02 0.01 4
0.0
Other Charges 1,182 2,587 2,133 0.07 0.07 3
Total Non-Markup / 713, 1,223,6 2,004,2 35.2 28.
Interest Expense 054 82 92 41.5 3 63
-
Profit/(loss) Before (896,3 12.
Tax 14,777 22,213 89) 0.86 0.64 8
-
(33,422 (37,925 - 0.5
Less Tax (20,178) ) ) -1.2 0.96 4
-
Net Profit/(Loss) After (11,209 (934,31 13.
Tax (5,401) ) 4) -0.3 -0.3 3
Note: Common Size Statement is made as all the items of P&L Accounts
in comparison with "Sales".
As negative sign in common size is for the cash outflow so it
should be ignored

13
In the Common size analysis we see that the company is
having the following trend

The cash and balance with treasury bank is comparatively

increasing but the overall ratio of the cash and balance
with treasury bank show a slight decrease is noticed in
this comparison. Means that the company is increasing its
cash reserves, but the overall assets are also increasing
during last few years. A huge jump can be noticed in the
investments and advances of the NIB. The bank is investing
a lot of its earning which shows a positive sign to the
shareholders. It can help in increasing the image of the
Bank and the wealth of the shareholders. A huge investment
in the operating Fix assets can be seen in the last year.
This contributes a lot in the increment of the overall
assets of the bank.

On the Other hand of the balance sheet the company is

showing a great increase in the Deposit and other accounts
if the Bank, it is also a positive sign, means that the
banks have more customers and more accounts, and the
performance of the bank is very good in the last year. The
decline in the borrowing and other liabilities show that
the banks is having enough money in hand to invest projects
and it did not need to barrow money from other banks or
financial institutions.

14
MARKETING STRATEGY ANALYSIS

NIB bank’s marketing strategy is quit different from other

banks. NIB’s segmentation strategy is to capture the market
according the market worth. In the Wah Cantt branch where I
done my internship is the NIB Salam Banking Branch. Salam
banking the is the new segment of NIB in which NIB focusing
on the small business man who is running his business on
sole proprietorship. Different account and different kind
of loan offer to the customer.
NIB bank hired 10 relationship officers for one branch.
Area for every RM is decided according to the all area of
the branch. Normally one branch operates in the zone of
three kilometers. All RM’s belongs to the same area and the
same city. By this strategy Bank try to create a
relationship with its customer. NIB bank called this
strategy as a RELATIONSHIP BASE BANKING STRATEGY.

WHAT IS SALAM BANKING?

Salam is a tribute to the people other banks for granted, a

symbol of respect for those who want respect more than any
thing. Salam is an every day salutation a special tribute,
a mark of admiration of an expression of respect.
Communicate through gesture, a node, a salute, a bow, an
addab and through hand shake.

VALUE PROPOSITION
We will offer long term banking relationship to our
customer through wide distribution channel embedded in
their communities we will help them prosper and grow.

15
NIB in Salam Banking offer personal loan to the customer.
Two important things while giving loan to any customer are

• Capacity
• Character
Types of account in NIB Salam banking

• Salam Business Account/ Salam Current Account

• Salam Bachat Account
• Salam Fix Account
• Salam Committee Account

TYPES OF LOAN

• Personal loan
Nib gives personal loan to the small business man. Some
important requirements are mention as under
 Minimum age of 21 years
 Maximum age of 65 the time of maturity
 Minimum tenure of business 3 years
 Sole proprietorship
 Proper business setup
 Secure/unsecured
 If business is secure than maximum limit of
the loan is 750000
 In unsecured maximum 150000

• CAP (Cash against property)

NIB mortgage any of property against cash

16
HRM Strategy of NIB

HRM department operate all the matter regarding to the

hiring, training, development, pay and all other important
issues form the centralized office from Karachi.

NIB as focusing on the Relationship base strategy with its

customer as they are doing with their employees too. All
sale staff and other staff which is hired are on the
permanent base job. It gives value to the employees as many
banks in Pakistan are working on the third part contract
employees.

ACCORDING TO THE HRM DEPARTMENT:

Our Management philosophy is based on the conviction that

the well-being of the Institution is dependent on the well-
being of its people; hence our approach is primarily people
centric. We are dedicated to the belief that people are our
most valued assets.

When any new employee is hired by the NIB bank his

confirmation base on two important things
• Successfully complete probation period
• Successfully pass Salaam Business Course
This course is 6 days long in which all product knowledge
and the information about the NIB given to the new
employee. At the last day a exam is conducted in which
employee have to give the answers of the product. If any
employee is failed in this exam he has to appear again or

17
bank not confirms him in the bank.
Competitive Marketing Strategy

NIB is working in Pakistan since 2003. In the market of

Pakistan there are many banks are working like
• Islamic Bank
• National bank
• Muslim Commercial Bank
• Habib Bank
• Allied Bank
• United Bank Limited
In the presence of these big and establish banks NIB was
new and unknown bank. To doing business they need trust
among people to do business with them. For this purpose
first of all NIB look to merge some very well establish
bank in Pakistan. They merge PICIC commercial and PICIC
investment in 2007. NIB now decides to do different kind
of banking and for this purpose they decide to open
different kind of branches in different kind of markets.
Their competitive strategy is that they are doing and
opening branch to look the worth of the market.
CMM (COMMERCIAL MASS MARKET)

• In this type of branches NIB is targeting the small

business man in Pakistan. The number of Branches in
CMM is 110... Criteria from taking loans.
1. Business Loan
a. Type of business for which loan is required, it
should be current business
b. Business Address & Ph Number with references
c. Bank Statement

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 d. Age Required is from 21 to 65
e. Minimum Income =4000/-

Marketing strategy:

PRODUCT STRATEGY:

• Consumer banking

• Online banking

• ATM machine

• Foreign trade etc

The Main Products are

• Current Account
• Saving Account
• Salam Business Account
• Sole Proprietor Account
• BBA Account
• Business/Company Account
• Partnership Account

PRICING:
NIB is trying to survey according to the desire of the
people. People want to choose where the mark up rate is
low, where the procedure is easy and where the easy
installment are possible, so according to these requirement
of the people of NIB decreases the mark up rate to 9
%,which is lowest markup rte in the Pakistan, basically in

19
the banking sector start to serve the market with two
different strategies, first is to introduced the products
or service on low price, and then increase the service
charges, and 2nd one is to introduced the service on high
price and then decrease the charges.

The NIB bank is using 2nd strategy. And in the future of Nib
is trying to maintain this strategy for gaining the market
share.

PROMOTIONAL STRATEGY:

PRINT MEDIA:

• Newspaper

• Pamphlets

• Broachers

REFERRAL MARKETING:

Customer to customer marketing

OCCASIONAL MARKETING:

They send Eid cards to their customers upon the special

events.

Distributional strategy:
They actually take all the Distribution channels through
courier services which is one of the best in Pakistan that
is TCS.also they install Atm machines in different sectors

20
Work procedure

I joined the NIB bank as an internee. BM of the branch

gives me the brief introduction of the NIB bank and
promises me to support me in the process of learning and in
acquiring the professional knowledge. BM nominates one
supervisor for my internship that was responsible to teach
me and to take work from me. The branch, which we choose
for the internship, is the branch of Salam Banking. In
Salam Banking the most important department is the Credit
department.

My supervisor Mr. Saqib is related to the cash department.

And
Bank Manager Mr.Qaiser, AND customer relationship manager
madam Hira helps me a lot.
Credit department is responsible for the lending of the
loan to the customer brought by the Relationship Managers.
They check the facts & figures mention by the customer are
correct and follow the certain policy.
First of all my supervisor told me the process of loan
lending to the customer.

FIRST STEP
• Sale department (RM) bring login first from the
market.
• They prepare the case according to the policy.
• RM handover the file to BDM

21
 • BDM enter the data on his MIS and then handover the
file to the credit department.

SECOND STEP
• Credit department first of all screen the file
• ECIB and DC requested
• Telephonic verification
• Residence verification
• NADRA verifies
• Reference check

THIRD STEP

This step is most important step for loan lending, which is

“Credit Meeting”. BCIM conduct it on the business spot with
the customer to Asses the business worth and the reputation
of the customer in the market. Few important things while
conducting the credit meeting are
• Condition of the stock
• Business setup
• Cash flow analysis
• Sale
On the bases of credit meeting BCIM take the final decision
about the lending that how much customer worth for the loan.
Final Step

Then the credit department does final step, which is the

calculation of the loan in the Fine one Production (online
software)

22
MY BANK WEEKS

1 ST
WEEK
They tell me about the General banking, and they tell me
that it is basically divided into the following sub
departments, and I just worked for some of the departments,
these are all department in general banking as follows:

• Account opening
• Clearing
• Term deposit
• Customer relationship
• Issuance of Checkbook after opening Account

In this week I also met with the my colleagues and senior

officers, than my senior Manager Qaiser had send me towards
my colleague Manager Saqib, I was taking all the
instructions from Mr. Saqib. he was very corporative with me

2ND WEEK
My 2ND work in the bank was to screen the files according to
the policy of the bank.
Supervisor Mr.Saqib tells me the process of screening. In
screening the file given by the sale department is check in
credit department. Few important steps were

• Match the information with CNIC

• Name of customer and spell check
• Signature match
• Any other discrepancy, if found return the file to the
sale department.

23
 • To insure all other forms attached

Credit department receive daily 8-15 files from the sale

department. I did this job with full responsibility and
conduct very good screening of the files.

After screening the files for few days second important

thing I did is telephonic verification of customer in third
week.

3RD
WEEK
Telephonic verification
In telephonic verification all the facts & figures mention
in the file by the sale department on behalf of the
customer are checked to insure the right information of the
customer.

Normally one telephone took the time of 10-15 minutes. Two-

reference mention in the file is also contacted on the
phone for insuring the relationship with the customer. It
is very time consuming process often given number is not
contacted.

DC Request (Data Check)

I also make request for the DC in NIB. DC prepare on the

Excel sheet in which information about customer in mention.
Few important things are

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 • Name of the branch
• Name of the RM
• Father name of customer
• DOB
• Residence address
• Residence Telephone
• Business Name
• Business address
• Business telephone
• Cell phone
• Require loan amount
• City

4 TH
WEEK
Account opening:
Although the procedure of opening an account in a bank is a
quite complicated job but I am going to tell you only the
basic necessities for opening the account, which are as
follows:

• Introduction
• National I.D. card
• Personal data
• Details of dealing with other banks.

These are some of the basic requirements for opening the

account.

25
Issuance of cheaque book
Once the account is opened, nib bank issues the chequebooks
to the customer so that they could withdraw their money
whenever they like. The producer of issuance of the
chequebook is as follows:

For the customer who already has an account with the bank,
the lastly consumed chequebook requisition slip with the
help of which a new chequebook is issued. And the person
who is going to open a new account for the first time gets
the chequebook free without any requisition slip.

For the new depositors the cheaque book is not issued at

the time of opening of account, rather it is issued after
three days but, as the most of the customers are from the
armed forces so the usually get the cheaque earlier. NIB
BANK issues the chequebooks for both the local and foreign
currency accounts.

I remained there in the account-opening department for one

week and daily I learnt a new thing. I come to know about
the details of the account opened by the banks, which I
have explained in previous portion of "Departments".

In the start I have stated the account opening procedure

and issuance of cheaque book in a very comprehensive way,
now let me tell u the further related detail of account
opening

• First of all a customer come and gets the information

regarding the opening of account. After getting the

26
 proper information he gets an introducer and goes for
opening an account of any kind whatever he wants
• He fills the from regarding the opening of account
which is in fact a request.
• S.S card is filled which contains the signature that
will be used in future in order to identify that you
are the same particular person who perfectly eligible
for receiving the benefits.
• The S.S card and the application form is verified and
the verification stamp is imposed on it.
• After verification the application forms are pasted in
the file with the serial, no which is actually the
account no. Allocated to the respective customers.
• The chequebook is issued to the customer after three
days.
• A letter of thanks is posted to the customer as well
as the introducer. The introducer is thanked for the
two perspectives. The procedure for opening the
account comes to an end after sending the letter of
thanks.

Active and inactive Account

The account becomes Inactive if there is no debit
transaction. Account becomes active if there is credit
transaction.

5TH WEEK

I told My supervisor Mr.Qaiser that I want to learn more

about the banking than he told me that the Zakat process
and Checking and amendment in the signature in the 5th week.

27
They tell me about the Zakat. Zakat is deducted on the
first of Ramadan. However, the Bank can't deduct the Zakat
if you have given Affidavit (declaration regarding not to
deduct Zakat on Stamp paper).

For non-residents the tax and Zakat is exempt (visa is

required as the proof that the particular person is really
a non-resident).similarly Christians has not to pay the
tax, they have to pay the tax only.

6 TH
WEEK
It was my last week of my first Internship; I was getting a
lot of information which I don’t know previously. That I
request my Supervisor I am a student of Marketing so I want
to work n the marketing. He was very pleased. He takes
permission from our senior Manager that Internees are
allowed to move for survey. He gave me permission that In
the last week I was working in the field as sales &
marketing. I have visited many shops and convinced the shop
keeper to take the loan. I have able to take 2 customers,
one has a mobile shop and 2nd customer was a hair dresser.

28
LEARNING:

I have worked as an Internee in NIB Bank for 6 week

months as per required by University. During my
Internship, there is a tremendous atmosphere in NIB Bank.
I learned so many things from their management like how
to work in a standard place. They are using their own
made software which is used by Bank for online
transactions.

PROS
• The most important benefit of this internship is
that I got practical exposure of work place.
• I got practical experience of working practices
related with my field.
• I learned that how to manage things and how to
create balance among work life and personal life.
• These learned management practices are going to be
very helpful for me while on job.
• Management experience from every aspect was really
very much friendly

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 • Management did help me a lot during my work they
always guide me especially Manager of NIB Bank.
• During my internship I learned how to talk and
behave with employees and senior management.
• During my internship I have seen that no extra
burden given to any employee. But if there is a need
of extra work the manager always do himself (on
importance basis) and went back to home when not a
single work remaining.

CONS
• No Reward system for internees.
• Some employees don’t give as much importance to
internees
• Selections of employees are very rare from
internees

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SWOT ANALYSIS

SWOT is an abbreviation of strengths, weaknesses,

opportunities and threats. SWOT is related to what the
present position of an organization. SWOT analysis is based
on the assumption that if managers carefully review such
strengths, weaknesses, opportunities, and threats a useful
strategy for ensuring organizational success will become
evident.

Strengths

Strength can be defined as an area where a company is best

at doing something or a feature that puts a company at an
advantage in comparison to its competitors. NIB Bank enjoys
the following strengths.

• The standard of service is very good and customers are

satisfied with that service
• They have a computerized system, and online banking
• NIB is the 7th largest bank in Pakistan with over 240
branches
• NIB Bank’s ATM’s are linked with a number of leading
local and foreign banks.
• Automated Systems made NIB Bank to rise with the
pressure of rising competition.
• The employers at NIB are offered reasonable monetary
benefit. Normally two bonuses are given Eid-Ul-Fitar &
Eid-Ul-Azha.

• NIB bank has well established website and is up to

date about the bank.

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Weaknesses

A weakness is defined as an area in an organization where

the organization is not as good at doing something as its
competitors or a thing which an organization lacks or
disadvantage in comparison to its competitors. Based on the
above definition NIB Bank has the following weaknesses.

• Branch area is very small with respect to hired

employees.
• When NIB merges PICIC commercial and PICIC investment
in it then the old employees become part of the NIB.
Those employees need great deal of training and
development. As they are doing conventional banking
and NIB’s slogan is Relationship base banking.
• Online recruitment (unable to collect a pool of
candidate because net is not available everywhere in
the country).

• Branch manger can not fire any employee on his bad

performance as they are hired as permanent employees.

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Opportunities

An opportunity can be defined as a change in external

environment, which if properly exploited with the
organizational strengths will result in enhanced sales,
market share, or income. Using its strengths, NIB Bank can
avail the following opportunities.

• Increase credit facilities to lower income level and

also to SME’s
• Many areas for new branch opening.
• In the economy of Pakistan where other banks are very
carefully lending the different loan NIB giving
personal loan in huge quantity. This will result in
great market share in future.
Threats

Threat can be defined as a change in external environment

which if not met with proper strategies will result in loss
of revenues, market share, or income. In the context of NIB
Banks external environment, the following potential threats
exist:

• Foreign banks operating in Pakistan are playing a

significant role by incorporating new technologies and
providing better quality services thus creating a
threat to the local banks especially to NIB Bank which
tries to develop its image in the eyes of customers.
• Already many huge banks are doing business in the
banking sector.
• Devaluation of Pakistani currency.

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 • The bank is facing threats with the emergence of new
competitors especially in terms of foreign banks.

PEST ANALYSIS

Political
We all know we are not in a strong political condition but
we know our banks really depend upon the Political
condition. It political Environment is good we can maximum
profit. Political Environment Is directly related towards
our Benefits

Economical
As we come to know due to Economic crises all over the
world every country suffers. Now if we talk about the banks
of Pakistan & India. They the best Conceptual Bank all over
the world. These bank cannot be Affected by the economic
crises.
Social
There is some influence in our society that some people
still use Qameeta System. As an Old trend now if we talk
about our Society they now know the concept of Bank and its
good in our society. One thing that Damage the bank are
Interest system we as a Muslim country reject it.
Technology
Banks are using the latest technologies all over the
country. We can see we have Develop an Extranet System. In
which we can use Online Banking. We can use our accounts
any where in the world very easily and you can get any
Information from any of the liked bank.

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PORTER FIVE FORCES

THREATS OF NEW ENTRANTS:

In Pakistan the competition in the banking business is very

big.

BARGANING POWER OF SUPPLIER:

As banking in Pakistan is not new in the market of banking

so our bargaining power of supplier would be very high.soo
suppliers have opportunity to move anywhere in Pakistani
banking sector easily.
BARGAINING POWER OF CUSTOMER:

Bargaining power of customer would be very high because so

many banks in Pakistan and customer have knowledge of all
banking.
Threats of substitute product and services :

Obviously NIB bank have a threat of substitutes, because

lots of bank gives lots of product and services IN WAHCANTT
area.

Rivalry:

Nib bank have also rivalry threat because it’s a new

bank, merger of PICIC commercial bank so PICIC rivals are
their rivals

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RECOMMENDATIONS

• First of all there is no Job security in the NIB Bank.

The employees in the organization should be insured
job security so that there is no pressure on the
employees while performing their tasks.

• NIB should introduce “Dress-Down” day i.e. employees

should be given permission to wear dresses other than
formal dresses on certain days so as to make them
relaxed while work.

• NIB needs to advertise its self as it is not so

familiar among the people like other banks

• NIB should give training to its staff about the

knowledge of the products of different banks as they
then able to compare the advantages of their product
with respect to others.
• They should provide the facility of online submission
of utility bills.

• They should launch home and car loans services

• I found many complaints regarding the ATM issues in

NIB. Most of the time ATM remain offline. NIB needs to
make sure the alternative links for the customer

• They have a very small building and , there is no

space for sitting for customer they try to expand them.

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Conclusion

During my stay at NIB bank limited I have learned a lot of

things about professional field like culture of the
organization and the behavior of employee like how to deal
with customer to become a loyal customer of the
organization. NIB is a Singapore base business group. Group
has diversified type of business all across the globe. In
NIB bank employees have very good relationship among
themselves and also with there customers. Employees treated
me very well during my internship duration and help me to
understand the way of doing work. NIB Bank has since grown
rapidly from a base of 2 branches in 2003 to 45 in the 4th
quarter of 2007. The internship helps me to boost up my
confidence level and I learn the way to deal the
organization level colleagues. It also increases my
interaction with different people from different background
and helps me to learn and understand their values and how
to deal them in affective manner. In NIB Bank Selections of
employees are very rare from internees I learnt a lot from
my internship which will help me a lot in my professional
career.

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