AN INTERNSHIP REPORT ON NEPAL BANK LTD.

BY
Puja Pandey
Exam Roll No: 1082/16
T.U. Reg No. 7-2-302-912-2016
Lumbini Banijya Campus

An Internship Report Submitted to

Faculty of Management, Tribhuvan University
in the partial fulfillment of the requirements for the degree of
Bachelor of Business Management (BBM)

Butwal-11, Devinagar
May, 2021

i
 Declaration
Internee hereby declare that the internship report entitled, “AN INTERNSHIP REPORT ON
NEPAL BANK LIMITED” Submitted to the Faculty of Management, Tribhuvan University,
Kathmandu is an original peace of work under the supervision of Dr. Bhagwati Prasad
Chaudhary, faculty member of Lumbini Banijya Campus, Butwal and is submitted in partial
fulfilment of the requirements for the award of the degree of Bachelor of Business Management
(BBM). This internship report has not been submitted to any other university or institutions for
the award of any degree or diploma.

-------------------
Puja Pandey
Date:

ii
 Abstract
Tribhuvan University has designed various management course under faculty of management
(FOM). Among these courses, one of the outstanding developments is in the form of Bachelor of
Business Management (BBM). For the partial fulfillment of the requirement for the degree of
Bachelor of Business Management (BBM), every eight semester BBM students are supposed to
undergo internship training in any reputed organization and prepare an internship report. In this
modern competitive business world organization are facing numerous challenges and are striving
to be competitive in the long run. In this perspective, it is essential for the management internee
to get exposure of such issues and challenges.
The purpose of the internship is to make students familiar with different aspects of the
organization, and to get practical exposure in the related field. Similarly, the secondary objective
of the internship is to identify various problems encountered in the organization during the
internship period. More over the secondary objectives is to find solution and resolve such kind of
encountered problem.
The major activities performed in the organization during the internship period in Nepal Bank
Limited were providing service to customers, opening account, cheque deposite, printing,
scanning.
After the successful completion of internship intern is able to learn about the general working
environment of an organization. The internship program at Nepal Bank Limited really provided
internee an opportunity to know and observe the working system, network layout, functions of
various departments and a lot which were possible only due to the friendly working
environments and cooperated employees.

iii
 Acknowledgement
Internee worked hard to prepare this internship report. However, it would not have been possible
without the kind support and help of many individuals and organizations as well. Their
contribution is sincerely appreciated and gratefully acknowledged. At the very outset, Internee
feel deeply honored in expressing heartfelt respect towards campus i.e. Lumbini Banijya Campus
which has been a platform for career development.

Similarly, Internee take this opportunity to express my profound gratitude and deep regards to
intern supervisor Dr. Bhagwati Prasad Chaudhary and BBM program incharge Mr. Madhukar
Sharma for their exemplary guidance monitoring and constant encouragement throughout the
internship period.

Moreover, Internee would like to express gratitude towards our campus chief Prof. Dr. Tara
Prasad Upadhyaya sir for his kind co-operation and encouragement in completion of the
internship report. Further, I am highly indebted to all my teachers of Lumbini Banijya Campus
who has provided crucial information through orientation class regarding preparation of my
project work.

Likewise, Internee place a deep sense of gratitude to my family members who have been
invariable source of inspiration during the preparation of this project work. Internee would also
like to thank my friends for their encouragement and motivation in preparing this report.

Puja Pandey

BBM 8th semester, Lumbini Banijya Campus

iv
 Table of Contents
Page No.
Title Page ---------------------------------------------------------------------------------------- i
Declaration -------------------------------------------------------------------------------------- ii
Abstract ------------------------------------------------------------------------------------------ iii
Acknowledgements ----------------------------------------------------------------------------- iv
Table of contents ------------------------------------------------------------------------------- v
List of Tables------------------------------------------------------------------------------------ vii
List of Figures----------------------------------------------------------------------------------- vii
Abbreviations------------------------------------------------------------------------------------ viii

CHAPTER I: INTRODUCTION 1-4

1.1 Background ……………………………………………………………………………1
1.2 Objectives ……………………………………………………………….…….….. 2
1.3 Methodology………………………………………………………………………3
1.3.1 Source of data collection……………………………………………..….....3
a. Primary Source………………….…………………………………..3
b. Secondary Source………………………………….……………….3
1.3.2 Organization Selection…………………………………..…………….4

1.4 Limitation of the study……………………………………….……………4

V
 CHAPTER II: INTRODUCTION TO THE INDUSTRY 5-8
2.1 Introduction of Bank ……………………………………………………………………5
2.2 Evolution and Growth of Banking Industry in Nepal……………..…………………….5

2.3 Role of Banking Industry in economy of Nepal………………….……………………..6

2.4 Present scenario of Banking Industry in Nepal…………………………….……………7
2.4.1 Function of Commercial Bank……….…………………………….………..7
a) Primary Function………………………………………………….……….7
b) Agency Function…………………………………………….….…………8

CHAPTER III: INTRODUCTION OF THE ORGANIZATION 9-15

3.1 Profile of Nepal Bank Limited ………………...............................................................9
3.2 Organization Structures …………….………………………………….....…..………..11
3.3 Services provided by NBL…………………..................................................................13
3.4 Department of the Organization……………………………………………..…………15

CHAPTER IV: ANALYSIS OF ORGANIZATION ACTIVITIES AND PROBLEMS IDENTIFIED

16-21

SOLVED

4.1 Activities of the Organization……………………........................................................16

4.2 Problems identified and suggested solution ………..……..………………..………….21

CHAPTER V: CONCLUSION AND LESSON LEARNT 22-23

5.1 Conclusion………………………………………………………………………….…22
5.2 Lessons Learn……………………………………………………………………..…..23

BIBLIOGRAPHY

Vi
 List of Tables

Table No. Title Page No.

3.1 Corporate Social Responsibility 10

3.2 Board of Director of NBL 11

List of Figures
Figure Title Page No.
No
3.1 Simplified Organization Structure of NBL 12
3.2 NBL Product and Service 13
4.1 Major Function of CSD 17

Vii
 ABBREVIATIONS
BBM: Bachelor of Business Management

NBL: Nepal Bank Limited

FoM: Faculty of Management

LBC: Lumbini Banijya Campus

TU: Tribhuvan University

ASBA: Application Supported by Blocked Amount

ATM: Automated Teller Machine

C-ASBA: Centralized Application Supported by Bank Account

SMS: Short Message Service

vii
 CHAPTER ONE

INTRODUCTION
1.1 Background

Tribhuvan University (TU) has designed various management degrees under Faculty of
Management (FOM). Among them, one of the outstanding developments is in the form of
Bachelors of Business Management (BBM), which had been established in 2070. This program
is introduced in a way so as to reduce the gap between theoretical and practical knowledge
provided to the students. The BBM program aims to overcome the drawbacks of other existing
management degree of TU and hence focuses on the development of the students through field
visits, report preparation, presentation and of course, internship program. Internship has merged
the theoretical and practical knowledge which is important in our life for developing the practical
knowledge. As our educational system predominantly text based, inclusion practical orientation
program, as an academic component is an expectation to the norms. As the parties; educational
institution and the organization substantially benefit from such a program. The process
establishes networking contracts, which may help student to get a job, which means students can
train and prepare them for the job market. Internship experience gives professional experiences
which practical orientation provides positive development in professional arena.

The BBM program has incorporated 45 days internship program with a view to developing
student skill in objective oriented business management, capable of understanding and solving
real life business related problems. So being the student of BBM in Lumbini Banijya Campus the
intern select Nepal Bank Limited and got involved in 45 days internship program. During the
internship period the internee got chance to learn many practical kind of stuff in business sector.
As this topic is about the customer department of Nepal bank Limited, this project report is
basically focused on providing service to the customers, opening account, cheque deposit,
printing, scanning.

1
1.2 Objectives

The internship program is undertaken for the partial fulfillment of the requirements for the
degree of Bachelors in Business Management. The general objective of this program is to make
students familiar with the working environment and gain the practical experiences in the related
field. This further helps the students to expose themselves to the real world of the external
environment about different aspects of management where they can apply their theoretical
knowledge. The main task of the internship program is to make study on business sector and
understands its activities. These objectives of the report are mentioned down below:

The specific objectives of the internship have been proposed listed below:-

• To explore the applicability of theoretical knowledge in the practical workplace.

• To develop managerial and communication skills to tackle the real life situations.
• To get the practical exposure and understand the institutional cultures and value system of the
corporate world.
• To gather the knowledge on the various activities performed in various departments of the bank
and be aware of the products and services.
• To develop the ability to handle various kinds of customers with varying knowledge level,
problems, and requirements.

2
1.3 Methodology

This internship report is the study of particular subject backed by the collection, compilation,
presentation and interpretation of relevant information. It starts from the selection of the
organization for the internship, performance of different kinds of activities and placement in
different parts of the organization and last collection of various primary and secondary data for
the preparation of the report
It helped to analyze the findings in meeting the objectives of the study.

1.3.1 Sources of Data collection :

For the report the data are collected from the primary source and secondary source. They are as
follows:
a) Primary Data
• Observation of working environment of the bank.
• Visited banks and practiced as the intern in order to associate with different aspects of the
banks.
• Met with the customers of the bank and had direct contact with them for relevant information.
• Informal discussion and interaction with the staff of the bank.

b) Secondary Data
• Annual report of Nepal Bank Limited (NBL).
• Information from the official website of NBL- www.nepalbank.com.np
• Notices and Working guideline of NBL
• Application form for different type of account opening
• Browsers of the different types of account
• Official website of Nepal Rastra Bank (NRB)- www.nrb.org.np

3
1.3.2 Organization Selection

In order to select organization, I first personally visited and dropped my college recommendation
letter and my curriculum vitae at Nepal Bank limited Branch office, Manigram. The bank
accepted my request and I was provided opportunity to do my internship at Nepal Bank Limited,
Branch office at Manigram.

1.4 Limitations of the study

Despite lots of opportunities prevailing for the study, there were few limitations which restricted
the study and they are:
• It was difficult to have the in-depth study of all the departments due to the time constraints.
• The bank’s policy in keeping some matters confidential prevented from analyzing various
critical facts and issues.
• Limited availability of annual reports, office records, and other published and unpublished
source of data.
• Time and resources constraints are the major limitations of this report.
• Despite the sincere effort and willingness to help of the bank executives, their busy schedules
could not give to interne as per the expectations.
• This report does not explain the overall functioning of the bank.
• Since the intern is confined to few departments, only the related data of limited departments are
available
However, ignoring all limitations, it has been best tried to gain adequate banking knowledge and
sincerely perform the task assigned.

CHAPTER TWO
 INTRODUCTION TO THE INDUSTRY

2.1 Introduction of bank

Bank can be defined as the financial intermediary between depositors and entrepreneurs. The
intermediation takes place when banks accept deposit from the general public, corporate bodies,
and private organizations and deploys those deposits for profitable purpose in the form of loans
and advances. Bank is financial service institution, therefore in between this intermediation, the
bank gets some earning. According to Horace White, “Bank is a manufacture of credit and
machine so facilitating exchange”.
According to shorter oxford English dictionary, “A bank is an establishment for the custody of
money, received from or on behalf of each customer. Essential duty is to pay their draft on each
profit area from its use of the money left unemployed by them.” By this definition, the bank can
easily be defined as the custodian of deposits. The transactions in the financial market heavily
depend upon the banking system of the country. Without the bank, it would be quite impossible
for the industrialist and entrepreneurs to go directly to the general public for getting their savings
or investments. So the simplest definition is that bank takes the saving of public by providing
them with certain rates of interest and loan it to needy customers charging them the certain rate
of interest and earns some profit. This is the broadest from of banking but in this age banking is
such big term. It does a lot more than deposits and credits, remitting of money, letter of credit
etc.

2.2 Evolution and Growth of Banking Industry in Nepal

The word “Bank” has derived from the Italian word “Banco” which means accumulation of
money of stock. It is believed that its origin is from the French word “Banque” which means
“Beach” for keeping, lending and exchanging of money or coin in the market place by money
lenders or money changers. It is believed that the ancestors of modern banking system were
merchants, goldsmiths and moneylenders. Modern banking sowed its seed in the medieval Italy
despite strong Christian prohibitions against charging interest.

The bank had started in Italy in 12 th century as a public bank. The bank of Venice that was
established in 1158 A.D. was the first bank in the history of banking. Following its establishment
various banks such as Bank of Barcelona, which was established in 1401 A.D. was the second
bank of the world. Similarly, Bank of Geneva (1407), Bank of Amsterdam (1609), and Bank of
Hindustan (1770) were established. The first central bank was the “Bank of England”, which was
established in 1844 A.D.

● History of Banking Development in Nepal

In the context of Nepal, the history of banking system in Nepal is believed to be started from the
time of Prime Minister Ranoddip Singh in 1877 A.D. He introduced many financial and
economic reforms. The Tejaratha Adda was established at that time and its basic purpose was to
provide credit facilities to the general public at a very concessional interest rate. The Tejarath
Adda disbursed credit to the people on the basis of collateral of gold and silver. All employees
of government were also eligible for this type of loan, which was settled by deducting from their
salary. Tejaratha Adda extended credit only; it did not accept deposits from the public.

But the real banking started with the establishment of Nepal bank limited in 1994 B.S which was
founded by Judda Samsher. It was the first bank of Nepal. Its main function was to provide
loans and accept deposits. Later Nepal Rastra Bank was established as a central bank in 2013
B.S. The bank was completely government ownership bank and it also started to issues notes
since 2016 B.S. Modern banking system always makes the economy alive and progressive and
makes people energetic to keep daily commercial economic and banking transaction. Nepal Bank
Limited is the real and first commercial bank in Nepal. The second commercial bank of Nepal
was established in 2022 B.S. as Rastrya Banijya Bank under RBB act 2021 B.S. came into
existence as fully state owned commercial bank. Nepal government allowed joint venture banks
to operate in the country. At present, banking sector is more liberalized and there are various
types of the bank working in the modern banking system. This includes central, commercial, and
development banks.

2.3 Role of Banking industry in economy of Nepal

Banks have, today gained paramount trust in the public. The functions of banks are not confined
just to accept deposits and give loans; they render a wide range of financial services covering
different strata of society. This gives us an impression regarding the need of a bank. Need of
bank includes but does not limit to:

● Financial intermediation

● Legal entity and freedom from exploitation

● Boost of trade and economic development

● Organized institution and capital formation

● Fund transfer and safety of valuables

● Underwriting services and agency services

● Employment
 6

2.4 Present Scenario of Commercial Banks in Nepal

The bank, which performs all kinds of banking business and generally finances trades and
commerce, is called commercial bank. Commercial banks are Class ‘A’ type Financial
Institutions. Nepal Bank Limited (established in 1937 AD) is the first commercial bank in Nepal.
Commercial banks perform all kinds of banking business. The primary function of commercial
banks is receiving deposits and lending to others. Functions of the commercial banks are;
accepting deposits; advancing loans, letters of credit, guarantees, remittances, e-banking, bills,
etc. These banks provide banking facilities to the customer through bank branches, branchless
banking service, mobile banking, internet banking, ATMs, debit cards, credit cards, etc. They
mainly aim to direct the flow of idle funds to productive sector to earn profit. The banks also
undertake a wide variety of functions to assist their customers by performing agency services and
general utility services. In Nepal, after the liberalization and privatization policy adopted the
commercial banks started to bloom. The bloom was seen not only in terms of their numbers and
branches but also in the number and variety of service provided by them.
As per the latest data from Nepal Rastra Bank (January, 2020), at present, there are a total of 27
Commercial Banks in Nepal. So far, a total of 4011 branches of commercial banks have been
established across the nation.
2.4.1 Functions of commercial bank
The primary functions of every bank are accepting deposit from people and lend loans to
necessary people. But the functions of commercial banks are in broader scope, size and
magnitudes. Commercials banks are one of the major financial intermediaries whose primary
function is the transfer of monetary resources from the savers to users. The transfer are made at
certain prices and conditions governed by the broad policy parameters stipulated by the central
bank authority The functions of commercial banks can be classified as primary and secondary
function and utility function.
a) Primary functions
1. To accept various types of deposit like fixed deposit, saving deposit, call deposit and current
deposit
2. To provide loans and advances in different forms like cash, money at call, overdraft,
discounting bills of exchange, term loan etc.
 7
b) Agency functions
1. To collect and clear cheque, dividends and interest warrant
2. To make payment of rent, insurance premium etc.
3. To deal in foreign exchange transactions
4. To purchase and sell securities
5. To act as trustee, attorney, correspondent and executor.
2.5.1.3 General utility functions
1. To provide safety locker facility to customers
2. To provide money transfer facility
15 3. To issue travelers cheque
4. To accept various bills for payments like phone bills, water bills, electricity bills etc.
5. To provide merchant banking facility
6. To provide credit cards, debit cards, smart cards etc.
 8
CHAPTER THREE
INTRODUCTION OF NEPAL BANK LIMITED

3.1 Profile of Nepal Bank Limited

Nepal Bank Limited (NBL), the first bank of Nepal was established on November 15, 1937,
A.D (Kartik 30, 1994). Before the establishment of Nepal Bank Limited, none other financial
institution had come into operation. All monetary transactions were carried out by private dealers
and trading centers due to which Nepalese economy suffered various economic and banking
problems which were settled after the establishment of Nepal Bank Limited. This marked the
beginning of an era of formal banking in Nepal.

Nepal Bank Limited was formed as a joint venture between the general public and government.
NBL’s authorized capital was NRs. 10 million and issued capital NRs. 2.5 million of which paid-
up capital was NRs. 842 thousand with 10 shareholders. Currently, the bank has been providing
banking services through its branch offices in the different geographical location of the country.

3.1.1 Vision:
The vision of Nepal Bank Limited are “To remain the leading financial institution of the
country.” and “Pioneer bank with the complete business solution.”

3.1.2 Mission: BEST

B - Building trusted and united customer relationship
E - Ensuring superior quality customer service
S - Service access to all
T - Technology driven smart banking service

3.1.3 Core Values

● Honesty, transparency, integrity and ethics

● Respect to customers and respect to fellow associates
● Learning and knowledge sharing
● Teamwork, ownership and accountability
 ● Contribute to society and environment

9
3.1.4 Objectives:
Nepal Bank has the following objectives:
• Focus on building the positive net worth and meeting the minimum capital need.
• Focus on increasing the customer base and market share.
• Maximize the potential/efficiency of bank's staff.
• Focus on minimizing the risk associated with the business.
• Focus on providing the world class business solutions.
• Focus on increasing the sustainable profit.

3.1.5 Corporate Social Responsibility:

Table 3.1 Corporate Social Responsibility

S.N
Date CSR-Activity
o.
Dec 20,
1 Nepal Bank Limited Donated Rs. 15 Lakhs to We Will Rise Foundation
2019
May 27, Nepal Bank Limited Donated Rs. 50 Lakhs to a School (Nepal Rastriya Pra.
2
2019 Bi) in Bara
 10

3.2 Organizational Structure of NBL

The bank is under the control of NRB. NRB has appointed a five members management
committee. This management committee performs as the Board of Directors of the bank. Chief
executive officer is under the Board of Directors (BOD) followed by General Managers (GM),
Deputy General Manager (DGM) and then other departments.

Table 3.2 Board of Directors of NBL

Position Name of the Position Holder

Chairman Madhu Kumar Marasini

Director Deependra Bikram Thapa

Director Savitri Ranjit Shrestha

Director Vivek S.J.B Rana

Director Vishnu Kumar Agrawal

Director Om Krishna Shrestha

Company Secretary Keshab Prasad Bhandari

 11
Figure 3.1: Simplified Organizational Structure of NBL
 12

3.3 Services Provided by NBL

NBL like all other commercial banks generate its revenue mainly from its credit creation ability
and finances its credit creation from deposits. Thus, mainly the products can be categorized into
two major heading deposits and loans. However, there are other various product/services of NBL
that has enabled it to retain its customer for more than seventy years. NBL is not just business,
it’s the facility for the citizen belonging to every corner of the country and in even in the entire
globe. Remittance, utility payment service, SMS banking, internet banking, ABBS all form an
array of consumer oriented service that are aiding for NBL corporate image and untrammeled
consumer loyalty.

Figure 3.2: NBL Products and Services

NBL products are briefly described below:

• Deposits:
NBL offers a wide range of deposit products that caters the requirement. Namely:
1. Savings Deposit
2. Current Deposit
3. Fixed Deposit
• Loan:
NBL offers a wide range of tailor-made funded and non-funded credit facilities to suit funding
requirements. Namely:
1. Corporate Loan
2. Retail/ Consumer Loans

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• ABBS:
NBL is proud to announce that all together 114 branches are enabled for ABBS. In ABBS,
customers having account with NBL can access account from any online NBL's branch.

• Nepal Remit:
NBL Remit - an online/internet based Remittance Service for the purpose of facilitating to
transfer the earnings of Nepalese and Nepalese Expatriates with very minimal charge.

• Internet Banking
NBL introduced Internet Banking with following features:
¬ Save time- you don't need to queue at a branch.
¬ Bank when you want, day and night, where it suits you.

• SMS Banking
Customers have access to banking needs without ever having to wait in queues.
Features:
¬ Instant Balance Information and Account statement print request
¬ Latest Exchange rate of foreign currency

• ATM/Debit Cards:
NBL ATM allows its customer to access vast network of ATMs located in major cities in Nepal.
It allows the cardholder to withdraw cash, inquire account balances and to pay.
• Safe Deposit Vaults:
It helps to store items like important papers like insurance policies, family records, birth
certificates, deeds, titles, leases, contracts, bonds, and certificates of deposit, jewels, etc.
 14
3.4 Department Of the Organization

1. Customer service Department (CSD)

2. Bills & Remittance Department (RMT)

3. Customer Relations Department (CRD)

4. Credit Control Department (CCD)

5. Credit Administration Department (CAD)

6. Trade Finance Center (TFC)

7. International Banking Department (IBD)

8. Administration Department

9. Legal Department

10. Treasury Department

11. Human Resource Department (HRD)

12. Report & Reconciliation Department

13. General Service Department

 15
CHAPTER FOUR

ANALYSIS OF ORGANIZATIONAL ACTIVITIES AND

PROBLEM IDENTIFIED

4.1Activities of the organization

4.1.1 Customer Service Department

Customer service is the front desk of any organization, where customers make the first contact
with the bank. The image and reputation of the bank depend upon the effective functioning of
this department. Customer service is the process by which an organization delivers its products
and services to the customers. The staff deployed in CSD should have a fair knowledge of
banking so that they may be able to answer any questions raised by the customers. Attracting the
potential customers and retaining the existing customers are intended by CSD.
Hence, all the activities of CSD are directed towards customer satisfaction. One thing that is to
be kept in mind is the finding new customer is much more expensive than retaining existing one.
Customer service is more than just keeping the customer happy. But it is about revenue because
a lost customer means loss of revenue and incurred expenses in making a new customer and an
unhappy customer can damage the image and reputation of the business as a whole.
To sum up, CSD is the face of the bank. CSD is about how the organization delivers its product
or service. It is a link between customers and other departments of the bank. It bridges between
bank and customer. This unique feature makes CSD crucial department of the bank.

¬ Major Functions Performed at CSD

As described, the CSD is responsible to provide detailed information about the product and
services of the bank to meet customer need and to make banking more convenient. The staff in
the CSD must be capable enough to cope with every environment and at the same time needs to
have good communication and interpersonal skills to build a good public relation. The major
activities performed in the CSD are:
 16
Figure 4.1: Major Functions of
CSD

Above mentioned are the major functions that must be performed by the staff placed in the CSD,
similarly intern was also required to perform all this functionalities during the placement period
at CSD. Thus, activities performed at CSD can be presented in the major categories as follows:

1) Customer Counseling
• Understanding the need of customers and determining the purpose of the visit
• Forwarding the customer to the concerned department as per their need
• Providing suggestion about the suitable deposit product for the customer
• Making the customer aware of the benefits and services available
• Informing the customers about the minimum balance required and service charges.
• Counseling about the various services provided by the banks and convincing about the utility
of such services.

2) Account Operation:
It can be categorized into account opening and account closing as described below.

a) Account Opening

The activities involved in account opening are highlighted below:

● Providing the account opening form along with the signature specimen card
● Verifying details in the account opening form by verbal queries with customer
● Cross matching details and forwarding the document for approval from the supervisor.
● Opening the account in the system using ‘NEWTON’ screen number ‘61100’
● Requesting the customer to deposit the amount by filling up the deposit slip
● Photo and signature card scanning and entering into the software

17
Requirement to Open New Account:
Customers are required to fulfill some basic requirement before they open their account. Those
requirements are mentioned below:
For Personal Account:
• Personal Identification (Citizenship Certificate and 2 copies of photography/ 3 if the person is
illiterate)
• Nominee Declaration (If any).
• Photocopy of receipt of payment bill of electricity or telephone or water or voting ID or

For Partnership Account

• Letter of Partnership duly signed by all partners
• Copy of the Partnership duly signed by all partners
• Copy of the Partnership Agreement
• Certified copy of Partnership Registration

Account of Corporate Bodies, Copy of:

• Memorandum and Articles of Association of the Company
• Resolution of Board of directors to open and operate an account
• List of directors duly signed by respective directors with home address and phone numbers
• Certificate of commerce of commencement of business

Accounts of clubs, societies and associates (all Documents to be duly certified by the
charity)
• List of Office Bearers
• Copy of Resolution to open and operate the account
• Name and signature of persons authorized to operate the account
• Copy of the registration certificate

For Minors:
Guardianship to be verified with related documents:

Nominee Form:
• Photography of the nominee
• Signature of the nominee

For Clubs/Societies and Association:

• Copy of Registration Certificate
• Copy of By-laws
• Copy of Resolution to Open and operate the account
• List of members

18

For Partnership Account:

• Certificate of Partnership Registration
• Copy of Partnership Deed, if any

For Proprietorship Account:

• Registration Certificate
• Identification of Proprietors

Procedure of Account Opening

Whether it is the current account or saving account, it has followed certain procedure. The
procedures of both the accounts are moreover similar.
⮚ Filling up of account opening form with the specimen/signature card and KYC
form.
⮚ Verification of the form by checking whether each attribute required is properly
filled or not.
⮚ In the case of the current account, attributes are the name of the firm or
individual, PAN/VAT no, minute, the stamp of the firm, etc.
⮚ In the case of saving the account, attributes are the name of the individual,
citizenship no or license no etc.
⮚ Verification of the form and the documents by the senior authority.

⮚ Entry of the information into the newton against the screen no. “16110”.

⮚ Obtain the registration number and enter in screen no. “300”.

⮚ Obtain the account number. starting with”2-10-….”(saving a/c) Or”2-11-

….”(current a/c)
⮚ Generation of the account number by the system.

⮚ Communication of account number to the customers.

⮚ Filling deposit slip of balance required.

⮚ Record in the ledger book with required details.

 b) Account Closing
The activities involved in account closing are described below:
⮚ Asking the customers about the reason for closing account and convincing the customer
not to close account as far as possible by suggesting the alternative services available
⮚ If the customer is willing to close his account, then providing the account closing form
and getting it cleared from all the department ‘without any objection’
⮚ Informing the customer about the charges levied

⮚ Collecting the belonging-related to account i.e. cheque book, ATM card, pass book if any

⮚ Finally, the account is closed by handling the cash to the customer after debiting the
account closing charge.

19

3) Distribution Activities

CSD performs distribution function in mainly three core area which is mentioned below:

a) Account Statement
Account statements are asked by the customer to determine the transaction record. An account
statement provides only the account holder or to the bearer of the previously issued account
statement signed by the account holder.

b) Issuing Bank Certificate

Bank certificate is provided to an individual or a company if the person is going abroad. The
transactions and balance of the account holder are certified by the bank for the concerned
embassy. The balance certificate is the proof that the person has the certain balance on the
account of NBL. In the balance certificate, the Nepalese currency which is available in the bank
account of the respective customer is converted to the currency where the customer is going. For
example: if the customer is going to Netherland then the Nepalese currency will be converted to
the Euro currency and this conversion is done according to the rate of NRB.

c) Cheque Book
Cheque books are strictly handed over to the account holder only after getting the cheque
disbursement register signed by the account holder, in person. However, the cheque requisite slip
can be collected for the bearer, not necessary the account holder. Minimum balance required to
issue a cheque book for saving account is rupees three thousand and that for the current account
or call account is rupees five thousand.
 d) ATM Distribution
ATM card is considered to be highly confidential and secured for the banks perspective. ATM
cards are only handed over to the account holders only. It is provided after confirming the receipt
by signing the register and the application form. It can be explained in a series of steps in figure
below:

e) Checking Balance
Many people come for the balance enquiry in the bank. Through CSD, account holders are
provided the information regarding their balances as well as the date of deposit and withdrawal
The NBL software facilitates to show the balance of the respective branch only. This
information is provided to the account holder only but if in case the account holder is unable to
come then his representative can know the balance by bringing the application written by the
account holder with his/her signature if signature matches then only the information regarding
balance will be provided. Balance inquiry is obtained from screen number “250”. In case
customer wants to inquiry balance of other branches, they need to visit counters (counters are
provided with ABBS facility.)

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4.2Problem Identified and Suggested Solution

Problems and organization are non-detachable terms. In performing day to day activities of the
organization, one needs to tackle with various problems and challenges. While dealing with such
problems, appropriate managerial skills need to be used to solve the problem in the effective and
efficient way. During the internship period, the following problems were solved.

o Problems related to the Wrong Information and Incomplete Information:

o Problems related to the Trapping of ATM Cards.

✔ .
o Problems related to the Malfunctioning of the ATM Machines.

o Problem-related to the Change of Rules and Regulations.

o Problems related to the Mistakes done by Other Employees.

o Problems related to the Mistakes due to the Error in the System.

o Problems related to the Non-functioning of Various Services:

Particularly in NBL, an employee should face difficult situation due to the malfunctioning of the
SMS services as well as the E- Banking Services. Thus, staffs have to solve their respective
problems.
• In CSD, it was time-consuming to find cheques. It is because cheques were arranged in order of
cheques issued. But the order was broken when customers came to take cheques. Hence, as per
the suggestion of internee, cheques were arranged in alphabetical order afterwards.

• In locker department, some customer’s keys were informed to be lost. Also court ordered from
stop operation. In the case, print copy of “lost keys” and “Rock” was posted in the door of the
locker. It prevented anybody from an opening locker.
Therefore, one sitting in various departments should always be ready to face and solve any kind
of uncertain situation for the benefit of the customers and ultimately for the benefit of the Bank
itself. And the internee had performed all the above-explained task and solved all the types of
above explained problems as the assistant trainee of NBL.

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CHAPTER FIVE

CONCLUSION AND LESSON LEARNT

5.1 Conclusion
Nepal bank limited begins the history of formal banking in the country and has been contributing
its bit for the national development. During the Eighty- Four of functioning NBL has gone
through various ups and downs, however, it has always contributed in the national growth with
its activities. NBL services reach the extreme of the county to facilitate its customer and build
the trust of individual and business houses for the commercial banking industry. NBL facilities
and product prove themselves to be commendable from the above analysis. The financial
position explained its profitability and market coverage which is appreciable for a bank with the
history of some disastrous years. The recovery of the bank in terms of its financial position, its
adaptation to technological advancement and customer trust shows that the bank has enormous
opportunities and new heights to achieve.

Intern at NBL experienced a great deal of corporate cultures in a friendly environments. Intern
was involved in various departments gather practical experience about the functioning of those
departments and the bank as a whole. This internship favored to get the practical acquaintance of
the bank and its overall operation system. Learning under those experienced heads made the
internee’s work easy and internee was able to develop and represent as a member of the bank
rather than just an intern.
Intern observed the various activities done at CSD that aid in the development of internee’s
interpersonal and communication skills. Placement at various departments made to be
familiarized with overall activities; risk associated with the activities and the matter that needed a
close monitoring in those departments. Working in “NEWTON” made the intern experience the
pressure during the time of handling cash and dealing the customers crowd; also made the
internee aware about the critical aspects of making payment, counting cash, checking authorized
signature etc. Experience at CSD completed the knowledge of overall banking operation as
intern analyzed the financial position of the branch, its income-expenses, and observed the
activities of auditors and the information desired for auditing.
While concluding this report, the internee is intensely satisfied with the internship and its
outcome. This experience will not only be beneficial today but also in the future also when the
interne should work in the real life.

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5.2 Lessons Learnt

The duration of internship lasted for around two months and during the course of the internship
there were various lessons that intern was able to learn. This internship was a great opportunity
for an intern to face real-life work scenarios after four years in the classroom, and it must be said
that it was a great learning experience. Some of the lessons learnt during this time as an assistant
trainee at NBL could be summarized as follows:

Knowledge Based Learning:

• Learnt the process of opening and closing account, issuing cheques, issuing bank statement,
dealing with customers at CSD
• Learnt the procedures and requirements in locker department.
• Learnt the function of remittance department and the process of carrying out various remittance
products like web remit, draft, scheduling, etc.
• Learnt the process of debit and credit posting, reimbursement in case of double posting etc.
while using NEWTON.
• Learnt the about the importance of CSD in the bank and its various activities i.e. cheque
printing and distribution, transferring amount account, dealing with customers etc.
• Learnt and experienced the risk associated with handling NEWTON at the teller and
understood the degree of patience and concentration need while working in the teller.

Skill-Based Learning
• Learnt how to operate banking system, i.e. NEWTON.
• Learnt the overall banking operation in various departments like Locker, CSD, and
Remittance department.
• Learnt to use theoretical knowledge in practical working environment
• Learnt how to use the printer, fax machine, cheque writer, photocopy machine etc.

Behavioral Based Learning

• Learnt to handle customer visiting in the banks with different temperament, moods and
queries
• Learnt the importance of time management and developed interpersonal and communication
skills
• Learnt the importance of correlation among the various banking operation for the overall
profitability of the banks

After the preparation of this report and experience gathered during the internship, internee has
been able to understand the banking operation to some extent. Lessons learnt during internship
period will be of great help while the internee starts her career in the financial sectors of any
economy.
Concluding with the saying “the things that had been read 1000 times can be learned by hearing
that 100 times or by writing it 50 times or watching it 10 times or by actually doing it only once”
This saying is appropriate at this stage to express the lessons learnt during the internship period.
In the internship, practically the work is either observed or done practically, which are the best
means of learning. So, the internship program is successful in bringing the change in the student
closed in the boundary of the classroom by exposing them in the real and very difficult and
challenging external job place.
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BIBLIOGRAPHY

● https://en.wikipedia.org/wiki/Bank

● http://internshipreportpresentaion.blogspot.com/2015/10/internship-report-on-nepal-
bank-limited.html
● World Bank. (n.d). About Banks: The History of Bank. Retrieved 7 20, 2019, from World Bank
website: https://www.worldbank.org.ro
● Nepal Bank Limited. (2017). About Us: Intro: History. Retrieved 7 20, 2019, from Nepal Bank
Limited website: https://www.nepalbank.com.np
● Hameed, I. (2012). Article storm. Retrieved 7 20, 2019, from Evolution of banking:
http://articlestorm.blogspot.com/
● Tribhuvan University. (2009). About Us: Tribhuvan University. Retrieved 7 15, 2019, from
Tribhuvan University Website: https://tribhuvan-university.edu.np/
● https://blog.khalti.com/tips/banking/list-of-banks-in-nepal/#:~:text=As%20per%20the
%20latest%20data,been%20established%20across%20the%20nation.