Internship Report on Commercial Banking Operation and Services of Uttara Bank Limited

Uttara Bank Ltd. is one of the largest and front ranking first generation, oldest private-sector commercial bank in Bangladesh, with years of experience. Adaptation of modern technology both in terms of equipment and banking practice ensures efficient service to clients. The Bank has been carrying out business through its 211 branches spreading all over the country. The management of the bank consists of a team led by senior bankers with vast experience in national and international markets. The bank has more than 600 foreign correspondents world wide. As we know the credit department is allied with the definition of the banking. Through this department bank makes a bridge with the deficit sector of the economy. This department of the bank is most important as this unit ensures interest income- the key source of earnings of banks. The history of the banking industry points toward many banks, which have become penniless due to the mismanagement of the credit department. My study is on Credit Management of Uttara Bank Ltd.

The report starts with the introductory part, which contains the first element about organizational information of Uttara Bank followed by the second component, which describes the business of the organization.
The project part, the essence of the report, continues the second half of the report. It starts with the types of credit of UBL, and then comes the discussion of loan processing, which contains the discussion of how the bank manage its loan from very early of the loan application to the loan disbursement. The necessary documentation procedure and the required documents that are needed to allot a loan are narrated here. Loan and advance is not free from the restrictions, the restrictions of loan and advance is discussed here in this part also.
The analysis proposal of loan and advance comes next. In this part, it is narrated that before taking decision of loan disbursement the bank needs to prepare Credit Information Bureau (CIB) report to analysis of the project feasibility from which the bank is going to allot the loan amount. How the credit officers analyze Credit Risk and Borrower Rating is focused here in this section of the report. The management of the loan actually starts after the sanctioning of the loan, because the efficiency of the credit manager is laid in fast recovery of the disbursed loan amount.
How the credit manager supervises and monitors the disbursed loan so that he/she can trace the status of the loan immediately is included in this paper. Effective loan classification and the provision keeping for the watchful debt can dramatically boost up the performance of the credit department. Hence the major portion of the report includes the discussion of the Project Loan Classification, Provisioning and the procedure of detecting of the Project Loan Recovery is also a leading part of the study.

After the methodical discussion of the credit management and the procedure of the loan management, in the finding part- analysis is being used by implementing Software SPSS through gathered information by making questionnaire and formulate ratio analysis compared to get performance of Credit Management on Uttara Bank which shows satisfactory result and suggestions of the report are personified in the conclusion section, the last part of the report. The problems found in the relevant areas are pointed out here, and at the end, relevant suggestions are also given as recommendation.

Introduction :
Uttara Bank Ltd. is one of the largest and front ranking first generation, oldest private-sector commercial bank in Bangladesh, with years of experience. Adaptation of modern technology both in terms of equipment and banking practice ensures efficient service to clients.
Uttara Bank formed in 1972 as a scheduled bank with assets and liabilities of the Eastern Banking Corporation set up in East Pakistan on 28 January 1965. It started banking business 22 June 1965 and became a member of the Dhaka Clearing House on 17 September 1965. Eastern Banking Corporation was nationalized under the Bangladesh Banks Nationalization Order 1972 and its name was changed to Uttara Bank. The government retracted 95% of its share capital and allowed it to operate as a private bank. It was transformed into a limited company on 15 September 1983.
The Bank has been carrying out business through its 211 branches spreading all over the country. The management of the bank consists of a team led by senior bankers with vast experience in national and international markets. The bank has more than 600 foreign correspondents world wide.

It has some summarization acts as given in chart:
1.2 Business Activities of Uttara Bank Limited
Uttara Bank Ltd has been working with full of strength providing products and services to its customer with satisfaction. There are some services mentioned below with a brief overview of the major business activities:

Product and Services
The Bank has not only the traditional Banking products and services but also some tailor made products in liabilities and assets. It has been making continuous attempt to offer new products and services. Apart from usual Fixed Deposits, Savings Bank Deposits and Current Account Deposits, the bank offers the following customer friendly schemes:


q Monthly Income Scheme
q Monthly Savings Scheme
q Educational Savings Scheme
q Special Savings Scheme
q Double Benefit Scheme
 Savings Deposit (SB) Account
q Short Term Deposit (STD) Account
q Current (CD) Account
q Foreign Currency (FC) Account
q Fixed Deposit
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