Presentation By:M.Nauman SherRazaullah khanShiraz Khan

Al-Meezan Bank

Largest Shariah compliant asset

management company .

Incorporated on 27th February

1995.

Al Meezan is registered as a Non Banking

Finance Company.

270 Branches across 83 cities in

Pakistan.

Vision

Establish Islamic banking as banking of first choice to facilitate the implementation of an equitable economic

system, providing a strong foundation for establishing a fair and just society for mankind.

Mission

To be a premier Islamic bank, offering a one-stop shop for innovative value-added products and services to our customers within the bounds of Shariah, while optimizing the stakeholders’

value through an organizational culture based on learning, fairness, respect for individual enterprise and performance.

Shareholdings’

Employees of Al-Meezan

05%

Pak Kuwait Investment

Company (PVT) Ltd 30%

Meezan Bank Limited 65%

Meezan Bank Products

Services Electronic Banking

Consumer Finance

Deposit Accounts

Terms and Certificates

Deposit Accounts

Rupee Current Account

Labbaik Saving

AasaanRupee Saving Account

Dollar Saving Account

Euro Saving Account

Pound Saving Account

Meezan Bachat Account

Business Plus Account

Meezan Kids Club Account

Meezan Teens Club Account

Term Certificates

Certificate of Islamic Investment

Meezan Amdan

Certificate

Monthly Mudarabah Certificate

Dollar Mudarabah Certificate

Services

Labbaik Travel

Aasaan

Online Banking

8 to 8 Banking

Ladies Banking

Home Remittance

Western Union

Money Transfer

Electronic Banking

Visa Debit Card

Internet Banking

Meezan Quickpay

SMS Alerts

ATM Network

Call Center

Consumer Finance

Easy Home

Car Ijarah

Laptop

Ease

Monetary Policy(Credit Control)

“The changes in money supply by the central bank to influence interest rate and achieve some other economic objectives is called

monetary policy” Bank Credit dominant part. Credit is lifeblood of modern business. Too much credit leads to inflation.

Objectives of Credit Control

• Regulate money supply• To increase investment• To increase employment opportunities• To control price level

Methods to control credit(tools of monetary policy)

Quantitative Controls

Qualitative Controls

Quantitative Controls

• Discount rate policy– Rate of interest at which a central bank provides loans to

commercial banks.• Open Market Operations

– Sale and purchase of government securities in the open money market by the central bank.

• Variation in Reserve Requirement– Changing the percentage of reserve requirements of member

banks.• Credit Rationing

– Fixing limit up to which central bank can give loans to it’s member banks.

Qualitative Controls

• Change in Margin Requirements– Change in margin of loan against security.

• Moral persuasion– Advising and Guidance to member banks.

• Publicity– Central bank undertakes publicity about it’s

policies.• Direct Action

Monetary Policy Objectives in Pakistan

• The principal objectives of monetary policy in Pakistan is to:– Control Inflation– Maintaining price stability– Strong monetary growth– Achieving maximum employment rate

Transaction cost

“Transaction cost are fees charged by financial companies in the sales and purchases of

securities”OR

“ A fee charged by a financial intermediary such as a bank, broker or underwriter”

Transaction cost (Cont’d)

• The transaction costs to buyers and sellers are the payments that banks and brokers receive for their roles in these transactions.

• There are also transaction costs in buying and selling real estate.

• These fees include the agent's commission, government fees.

Transaction Cost (example)

Consider the prospective purchaser of a refrigerator. The purchase price of the refrigerator that is eventually bought is not the only cost involved. Transaction costs such as the time spent researching the best brand and model, and the cost of travelling to wherever that item is available for purchase increase the real cost of the purchase.

Information cost

“Cost incurred from completing due diligence which involves the expenses related to the investigation of an investment or financial activity and is necessary

to determine profitability.”OR

“Costs incurred in transaction including the analysis and evaluation of the advantages of a financial

asset as an investment.”

End of Presentation

Any Question ?