Dubai Islamic Bank Pakistan Internship Report.docx

7/27/2019 Dubai Islamic Bank Pakistan Internship Report.docx

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Table of Contents

Serial No. Title Page No.

Part No.1 About Dubai Islamic Pakistan 2

Islamic Banking 3

Dubai Islamic Bank Pakistan 4

DIBPLs Vision 4

DIBPLs Mission 4

Core Values 4Management Team of DIBPL 5

SWOT Analysis 5

Market Analysis 7

Part No. 2 Dubai Islamic Bank Pakistan Services 8

Basic Accounts 9

Other additional accounts 10

BankaTakaful service 11

Consumer financing 12

Corporate banking 13

Part No. 3 My internship Experience 15

Operations at DIBPL 16

Account opening at DIBPL 17

Part No. 4 Suggestions and Recommendations 18


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Part No. 1


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Islamic Banking

Islamic banking is banking or banking activity that is consistent with the principles ofsharia and its

practical application through the development ofIslamic economics. As such, a more correct term for'Islamic banking' is 'Sharia compliant finance'. Sharia prohibits the fixed or floating payment or acceptance

of specific interest or fees (known as riba, orusury) for loans of money. Investing in businesses that

provide goods or services considered contrary to Islamic principles is also haraam.

Allah has clearly ordained the prohibition of Riba in the Glorious Quran. Verses [2:278-279] translate into:

278. O ye who believe! Fear Allah, and give up what remains of your demand for usury, if ye are Indeedbelievers.

279. If ye do not, take notice of war from Allah and His Messenger: but if ye repent, ye shall have your

capital sums; Neither will you deal with others unjustly, nor shall you be dealt with unjustly.

Islamic banking has the same purpose as conventional banking: to make money for the banking institute

by lending out capital. But that is not the sole purpose either. Adherence to Islamic law and ensuring fair

play is also at the core of Islamic banking. Because Islam forbids simply lending out money at interest

(riba), Islamic rules on transactions have been created to prevent this perceived evil. The basic principle

of Islamic banking is based on risk-sharing which is a component of trade rather than risk-transfer which

is seen in conventional banking. Islamic banking introduces concepts such as profit

sharing (Mudharabah), safekeeping (Wadiah), joint venture (Musharakah), cost plus (Murabahah),

and leasing (Ijar).

In an Islamic mortgage transaction, instead of lending the buyer money to purchase the item, a bank

might buy the item itself from the seller, and re-sell it to the buyer at a profit, while allowing the buyer to

pay the bank in installments. However, the bank's profit cannot be made explicit and therefore there areno additional penalties for late payment. In order to protect itself against default, the bank asks for strict

collateral. The goods or land is registered to the name of the buyer from the start of the transaction. This

arrangement is called Murabahah.

Riba gives birth to an economic system that is unjust; one that favors the rich at the expense of the poor.

Rather than reward for effort and entrepreneurship with profit, the Riba based economic system rewards

capitalists. Islamic Finance attempts to create a fair economic system. It works on the principle of profit

and loss sharing. Riba (Interest) is strictly prohibited in all its forms and kinds.

Islamic banks have to strictly comply with the principles and rules of Sharia which prohibit outright any

transaction involving alcohol, pork, gambling, etc. Further, the Islamic modes of finance and investmentused by these banks must fulfill the basic conditions of these contracts to be considered Sharia

compliant.
http://en.wikipedia.org/wiki/Shariahttp://en.wikipedia.org/wiki/Islamic_economicshttp://en.wikipedia.org/wiki/Ribahttp://en.wikipedia.org/wiki/Usuryhttp://en.wikipedia.org/wiki/Haraamhttp://en.wikipedia.org/wiki/Ribahttp://en.wikipedia.org/wiki/Profit_sharinghttp://en.wikipedia.org/wiki/Profit_sharinghttp://en.wikipedia.org/wiki/Joint_venturehttp://en.wikipedia.org/wiki/Murabahahttp://en.wikipedia.org/wiki/Leasinghttp://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Leasinghttp://en.wikipedia.org/wiki/Murabahahttp://en.wikipedia.org/wiki/Joint_venturehttp://en.wikipedia.org/wiki/Profit_sharinghttp://en.wikipedia.org/wiki/Profit_sharinghttp://en.wikipedia.org/wiki/Ribahttp://en.wikipedia.org/wiki/Haraamhttp://en.wikipedia.org/wiki/Usuryhttp://en.wikipedia.org/wiki/Ribahttp://en.wikipedia.org/wiki/Islamic_economicshttp://en.wikipedia.org/wiki/Sharia


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Dubai Islamic Bank Pakistan limited (DIBPL)

Dubai Islamic Bank Pakistan Limited (DIBPL), commenced operations in 2006. Since then, DIBPL has

undertaken major initiatives to expand its branch network across the country. Under its consumer bankingdivision, the bank is offering state-of-the-art Sharia compliant products that effectively compete with those

being offered in the market by conventional banks. It also has expertise in providing Retail, Private, Small

and Medium Enterprises, Corporate, Investment Banking and Advisory services.

The Bank launched Pakistan's first Islamic Visa Debit Card and introduced financial products covering

Home Financing, Auto Financing, and Depository products.

DIBPL has also introduced Priority Banking and Internet Banking, both of which are being recognized as

benchmark products in their respective categories. Besides regular banking services, the Bank is

committed to bringing foreign investment to the country. DIBPL's corporate wing has actively pursued

foreign investors and convinced world renowned giants from the GCC to be part of Pakistan's economy.

With short-term credit rating of A-1 and long-term credit rating of A, the bank continues to reaffirm its

commitment to Pakistan with new branches and absolutely Halal and Sharia compliant new products and

services. DIBPL is currently one of the most active players in the consumerautos and home

financeindustry with the combined portfolio standing way above Rs 10 billion.

DIBPL is operating through 100 branches located in 30 cities across Pakistan as of, December 2012.

The registered office of the bank is situated at Hassan Chambers, DC-7, Block-7, Clifton, Karachi. DIBPL

is 100% owned by Dubai Islamic Bank PJSC (Public Joint Stock Company) and its nominated

shareholders. The parent company is a listed company in Dubai.

Vision of DIPBL

To be the leading Islamic Bank providing Sharia compliant financial services, by creating value

for al l stakeholders

Mission of DIBPL

To provide diversified Sharia compliant financial services and products through the best of

innovat ion, ta lent and o perational excel lence whi le ensur ing consistent gro wth and prof i tab i l i ty

Value of DIBPL

Trust

Communication

Innovation

Caring

One Team, One Goal


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Management Team of DIBPL

Junaid Ahmed Chief Executive Officer

Ammar Bin. Mujeeb Head of Information Technology

Iqbal Ahmed Zuberi Head of Country Operations

Irfan Johar Head of Internal Audit

Masood Karim Shaikh Head of Corporate & Investment Banking

Syed Iftikhar Ul-Haq Head of Consumer Assets

Khurram Munawar Head of Credit Risk Management

Wamiq Rizvi Head of Human Resources & Administration

Zahid Mansoor Head of Treasury

Naveed Malik Head of Distribution

Ali Jaffer Company Secretary & Head of Legal Affairs

Muhammad Salim Yousuf Chief Financial Officer

Naveed Lodhi Head of Compliance

SWOT Analysis

I. Strengths:

It is the one of the first and leading Islamic bank.

DIBPL has strong financial stability and strong capitalization.

It is a most enthusiastic and qualified staff, to provide impeccable customer services.

Its website satisfies the need of their customer.

Being an Islamic Bank, DIBPL has a wide national network. As an emerging markets bank, it hasbranches in all major cities of Pakistan with the facility of online banking, it is very easy for itscustomers to transact all over the country.

DIBPL provides online banking service to satisfy customers needs. Online banking service meansthat a customer can withdraw and deposit his money at any branch in the country. Where this serviceis not present, cheque has to be presented only in that branch on which they are drawn. But with thisfacility, a person has access to its funds at any branch of the bank.

The innovative service of Islamic Insurance called Takaful.

II. Weaknesses:


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DIBPL deduct high charges for most of their services as compared to other banks is major weakness.

Lack of advertisement of their services.

As DIBPL follows centralized system so system becomes time consuming.

The degree of satisfaction of employees was quite low. First of all, the pays are lower those offered inother banks. Secondly, the employees are given targets that are too difficult to achieve. This makes ajob too stressful and tensed.

Due to the dissatisfaction of staff and recession, there is high turnover among them. People who findother alternatives do not stay with the bank. Therefore, the bank incurs loss in their training anddevelopment.

iii. Opportunities:

Growing demand of Islamic products and services

Coming up with the products for the SME to target the medium level customers

Doing business with the companies having Islamic mindset i.e. Islamic Financial Institutions

Increase branch network within the country

Growing Islamic finance market.

iv. Threats:

Right now there are a few banks that are providing Islamic banking services in addition to DIBPL.These banks include Bank Islami, Al-Baraka Bank, Meezan Bank and some branches of Bank Alfalahwhich are dedicated for Islamic Banking services.

Due to the increase in the conventional commercial banks, there is an increase in competition. Alsothere is a lot of aggressive marketing by the competitor banks. This is also threat for DIBPL.


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Market Analysis

Dubai Islamic Bank Pakistan Limited is growing rapidly in Pakistan. This shows the success of its variousstrategies. Various factors of marketing for DIBPL are:

Target Market Marketing Mix

I. Target Market:

The DIBPL is mainly focusing on individuals and SMEs. Small and medium sized companies are its maincustomers. The reason behind focusing on corporate sector is that a single company can deposit a largesum of money that is difficult to achieve by focusing on individual customers. It does not mean that DIBPLis lacking the other side of the picture. It has also got individual customers. Corporate sector constitute80% of all the deposits of the bank. This is the reason DIBPL is focusing on corporate sector. Due to thisreason we see no advertisement of DIBPL in print and electronic media. Target marketing is the basicstep for rest of the strategies being developed.

II. Marketing Mix:

Marketing Mix includes four Ps of marketing. These are:

Product Price Place Promotion

Products and services provided by DIBPL have been earlier in this report. All the products and servicesoffered by DIBPL are purely Islamic. No other bank offers such services to the customers.Price means that service charges of the bank. Charges are determined by the Schedule of Charges everyyear. Bank provides quality services at very competitive charges. For example there are charges for therenewal of ATM card, renewal of cheque books and cash withdrawals.

The main factor to discuss is the promotion. Promotion strategies consist of promotion mix. Thepromotion mix includes:

Advertising Publicity Sales Promotion Personal Selling

Advertising is paid and non personal communication of companies message to target customers. DIBPLhas no focus of advertising. This is also a weakness of DIBPL, because its customers are spending a lotof funds on advertising. Competitors are taking full advantage of it. As DIBPL is offering products andservices to individual customers, so they need to communicate their products and services with people

through print and electronic media.

DIBPL has very effective personal selling teams. Their Financial consultants and Relationship managersconvince corporate customers to an account in the bank. This is competitive advantage of DIBPL. This isthe reason due to which DIBPL stands good in the market. Even without advertising and othercommunication methods DIBPL manages to gain a good market share.


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Part No. 2


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All the services offered by DIBPL are Islamic in nature.

Basic Accounts

i. Current Account:

DIBPL Current Account is a non-remunerative checking account, specifically appeals to businessmen and

salaried individuals who need to make frequent payments and deposits in their account. The Dubai

Islamic Current Account is an ideal low cost option for such customers. Based on the Wadia contract, the

Dubai Islamic Current Account offers users safe keeping of their cash deposits against DIBPLs

guarantee to provide the depositor his funds on demand. However, the depositor permits DIBPL to use or

invest his money in its Sharia compliant investments and is neither entitled to investment profit nor does

the account holder bear any risk of loss. All entities including individuals, corporations, firms, societies,

clubs, government organizations, statutory bodies, public and private institutions can open Current

Account with as low as PKR 1000.

II. Saving Account:

Dubai Islamic Savings Account is a great investment option for depositors who wish to earn Halal returns

on their savings. By investing in the Dubai Islamic Savings Account, the depositor (fund provider or

Rabb-ul-Maal) authorizes DIBPL (fund manager or Mudarib) to invest his/her funds on the basis of

unrestricted Mudaraba contract according to the principles of Sharia. DIBPL invests these funds in its

Common Mudaraba Pool with other deposits and the shareholders equity. The profit on the Common

Mudaraba Pool is distributed amongst the shareholders and depositors on the basis of agreed upon

weightage which take into consideration the tenor, amount of deposit and profit payment frequency of the

account. The Savings Account is offered in Pak Rupees and US Dollar, with as low as Rs. 1000 initial

deposit.

III. Fixed Deposit:

DIBPL Fixed Deposit Account offers the ideal mix of long and short term benefits to depositors seeking

attractive and Halal returns on their savings. With a history of high profit payouts Dubai Islamic Fixed

Deposit Account is an excellent investment vehicle for depositor. By investing in the Dubai Islamic Fixed

Deposit Account, the depositor authorizes DIBPL to invest his/her funds on the basis of unrestricted

Mudaraba contract according to the principles of Sharia. DIBPL invests these funds in its Common

Mudaraba Pool with other deposits and the shareholders equity. The profit on the Common Mudaraba

Pool is distributed amongst the shareholders and depositors on the basis of agreed upon weightage

which take into consideration the tenor, amount of deposit and profit payment frequency of the account.


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Others Accounts Offered by DIBPL

I. Junior Account:

DIBPL is the first Bank in Pakistan to enable young minor to conduct riba-free banking. It is a unique

opportunity for you to not only understand the value of saving money from early age, but also inculcate

the importance of Islamic Banking. A junior account can be opened with as little as Rs. 5, with maximum

age limit of 18. If one is 15 or above, he can get his Islamic Debit Card.

II. E-Saving Account:

DIBPL gives the power to control your financial future from anywhere and anytime. E-Saving Account

offers you a banking experience like never before. Benefits of E-Savings Account includes Online

Account opening, Higher profit rates, Free internet and Mobile banking, 24/7 phone banking. E-Saving

account is for Pakistani residents, offered in PKR, with minmum balance requirement of Rs. 10,000, with

no issuance of Cheque Book.

III. Cash Manager Account:

At DIBPL, goal is to offer solutions that help one to achieve his business plan in a convenient and hassle-

free manner. DIBPL Cash Manager Account helps in managing business transactions in a fast and simple

manner. Through Cash Manager Account, manage the payment of their employees, free collection

services, internet banking facility, Cash pick-up service, long banking hours till 8:00 pm, lockers facility.

IV. Investor Portfolio Securities (IPS) Account:

DIBPL IPS account enables its customers to invest in highly lucrative Sharia complaint Government

backed Ijara Sukuk. Not only does the DIBPL IPS Account enable to purchase and sell GoP Ijara Sukuk,it also gives the convenience of maintaining portfolio of Ijara Sukuk at DIBPL. Moreover, one can transfer

his existing holding of Ijara Sukuk to your IPS account at DIBPL from any other bank.


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BankaTakaful service (Insurance)

The word Takaful means to guarantee; to help; to take care of ones needs. Takaful is a system

based on the principle of Taawun (mutual assistance) and Tabarru (voluntary contribution), where

risk is shared collectively by a group of participants, who by paying contributions to a common fund,

agree to jointly guarantee themselves against loss or damage to any one of them as defined in thepact. Takaful is operated on the basis of shared responsibility, brotherhood, solidarity and mutual

cooperation.

I. Al-Islami Cash cover:

DIBPL presents Al-Islami Cash Cover a product of Pak-Qatar General Takaful that offers coverage

against loss of cash resulting from armed hold-up, mugging and/or forced deprivation of cash following its

withdrawal. This agreement covers only cash personally withdrawn by the customers form his own

account through any I-Link machine or over the counter at any DIBPL branch in Pakistan.

The coverage of the Takaful is restricted to 1.5 kilometers radius or 30 minutes after the withdrawal,

whichever occurs first. Any robbery/forced deprivation incident occurring after 20 minutes from the time ofcash withdrawal or outside a radius of 1.5 kilometers from the cash withdrawal point/ATM/branch would

not be covered by the Takaful Company.

II. Al-Islami Takaful:

DIBPL is proud to introduce Al-Islami Saving & Takaful Plan in collaboration with Pak Qatar FamilyTakaful Ltd. (PQFTL) Al-Islami Saving & Takaful Plan is a Sharia compliant alternative to conventionalinsurance, offering a unique combination of saving, investment and protection. The Al-Islami Saving &Takaful Plan offers ones peace of mind and takes care of the future of ones loved ones by offering asavings plan and providing Takaful coverage in the event of death to ones beneficiaries. So rest assured,with Al-Islami Saving and Takaful Plan, ones future plans are in safe hands.

As an individual you have many dreams A college education for your child from a prestigious university A dream wedding for your beloved daughter Your spiritual journey to perform Hajj A comfortable retired life with enough savings to take care of you and your loved ones Any other financial objectives you may want to achieve

There's nothing better than the Al-Islami Saving & Takaful Plan to fulfill your dreams the Islamic Way!

Based on your saving capacity, Al-Islami Saving & Takaful Plan offers you a range of investment options

to suit your risk profile, with most flexible payment options.


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Consumer Financing

i. Home finance:

Dubai Islamic Home Finance is the key to your dream home and we are eager to put this key in your

hands. Using the Musharaka cum Ijara model, the Bank enters into a partnership with you and helps you

in fulfilling your dream of owning a home quickly, conveniently and in a fully Shariah compliant manner.

Whether you want to buy, renovate or simply wish to switch from your present home finance with any

other bank, DIBPLs would be the best Shariah compliant alternative. Currently Dubai Islamic Home

Finance is offering three product variants:

Home Purchase. Purchase of undivided share (Home Renovation). Purchase of undivided share of property from other bank (Balance Transfer)

ii. Auto Finance:

Dubai Islamic Auto Finance offers a world class auto finance facility that enables you to get a car quickly,conveniently and in a fully Sharia compliant manner. Using Musharaka cum Ijara model to finance your

car, steer yourself towards peace of mind and fulfillment of your desire. Features include:

Riba free

Quick processing

Fully Sharia compliant

Low monthly installments inclusive of lowest Takaful/insurance rate & trackers

III. Business Finance:

Dubai Islamic Business Finance is a shariah compliant term finance facility which provides a complete

solution for fulfilling the financial needs of your business.

There are so many reasons that make Dubai Islamic Business Finance the right choice!

The only product of its kind available in the market

100% Shariah Compliant

Minimum financing amount of Rs. 500,000

Maximum financing of up to Rs. 20 million

Fastest processing time

Affordable monthly payment plan

Financing up to 70% of your property value

Finance Enhancement option as per the applicable terms

Early & Partial settlement option as per the applicable terms

Tenor Rescheduling option as per the applicable terms


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Corporate Banking

DIBPL provides a wide range of services specifically designed to assist Pakistani businesses.

i. Cash Management:

DIBPL Cash Management offers comprehensive end-to-end Sharia compliant solutions to meet cash flowrequirements. One can reduce turnaround times for your accounts receivables, better manage yourpayables, and benefit from our value-adding MIS reports. GL reconciliation would have never been easierfor you.

a) Collections:

DIBPL is an expert at facilitating the collection of sales proceeds and converting your Receivables intoFunds Available. You are provided the facility of maintaining a single concentration account. Collectionsfrom all over Pakistan (cash/ cheque/ pay order/ demand draft) will be credited to this main account viaDIBPL's real time online branch network.

b) Bulk & Data Processing:

DIBPL has formed project-to-project alliance with NIFT on processing and collection. DIBPL will perform

the role of the financial institution while NIFT will provide the expertise in the area of bulk processing.

National Institutional Facilitation Technologies has 10 years of experience in this area and has previously

done such projects for SSGC and LESC successfully. A deal with PTCL and KESC has been inked for

provision of this service.

c) Payment Product:

The product facilitates clients in managing their outflow of funds. The outflows can be through Pay

Order/Demand Draft or by way of electronic cheques issued at the clients office.

d) Depository Services / Liquidity / Funds Management:

In DIBPL's suite of Shari'a approved Investment Depository Products, your organization will certainly findjust the right combination of attractive returns and enhanced liquidity that it requires. Enhance your fundsmanagement like never before.

e) Foreign Exchange Remittances:

The Cash Management Group at DIBPL is adept at handling outward/inward remittances through StateBank of Pakistan. Be it money transfers within Pakistan or outside, DIBPL will have a product to meetyour needs safely and efficiently.The Bank's extensive network of correspondent banks in all major countries of the world is all that yourbusiness will require.

f) Designated Bank Services:

Designated banking service such as managing dividend payouts on behalf of corporate clients is alsoavailable.


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g) Cash-In-Transit Services:

DIBPL can arrange for its clients a secure pick up of cash from the customers door step for deposit atDIBPL's nearest branch.

II. Trade Related:

DIBPL offers a range of solutions to help customers in their trade transactions. DIBPLs Sales and

Service Outlets have the infrastructure in place to ensure that customers documents are processed

accurately and in the fastest possible time.

a) Import Murabaha:

Import Murabaha is a product, used to finance a commercial transaction which consists of purchase bythe Bank (generally through an undisclosed agent) the goods from the foreign supplier and selling them tothe customer after getting the title to and possession of the goods. Murabaha financing is extended to alltypes of trade transactions i.e., under Documentary Credits (LCs), Documentary Collections and OpenAccount.

b) Wakala Istithmar Facility (Exports):

A unique structure tailor-made for the exporters of the country, the Wakala Istithmar facility which hasbeen developed under the direct guidance of Sharia to meet the working capital requirements ofexporters and local manufacturers speaks volumes about our Sharia expertise and edge in bringing newSharia compliant products to the market for promotion of Islamic banking and ridding those who desireHalal income from interest-based financing.

c) Wakala Cum Istisnaa Facility (Local Supplies):

Istisnaa is a contract for manufacturing or construction whereby the manufacturer sells to the buyer,goods of specific description, at a fixed price, which the manufacturer shall make from raw material of its

own and deliver to the buyer at a future date. Istisna cum Wakala is a two-leg short-term trade financesolution which enables a manufacturer to fulfill his payment obligation under a documentary creditpresentation and allows time for the goods to be cleared, manufactured and stocked. Once the goods aredelivered to the buyer, the customer then sells the goods, in its capacity as the agent of the bank tocreditworthy and trusted buyers and realizes the sale proceeds on behalf of the Bank. Such finances areoffered in conjunction with L/Cs to corporate customers under Wakala Istisna facility.

d) Guarantee:

A guarantee is issued by DIBPL (the guarantor) on behalf of its customer (the applicant) in favor of a thirdparty (the beneficiary), for fulfillment of specifically defined contractual and/or financial obligations of theapplicant. If the obligations are not fulfilled by the applicant, the guarantor will pay up to a certain amountto the beneficiary on non-performance of the obligations by the applicant.

iii. Investment Banking:

With its team of seasoned professionals, DIBPL has become the Investment Bank of choice for local andregional clients in a short span of time. DIBPL leverages the regional expertise and local knowledge tocreate an efficient blend of solutions for our customers.DIBPLs Investment Banking provide its clients with a unique combination of expertise, broad range ofinvestment banking/financial services and access to top regional decision makers. DIBPL derive strengthfrom our team that has unrivalled experience in dealing with the largest M&A, Advisory and Fundraisingtransactions in the country.


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Part No. 3


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During my internship I have worked in various departments of bank. The reason for selecting DIBPL was

that it is among those few banks which performed remarkably well in less time and grabbed the market

share with its products, services and different banking experience.

Operations at Branch

i. Cash Management:

The money which either comes or goes out from the bank, its record should be kept. Cash department

performs this function. The deposits of all customers of the bank are controlled by means of ledger

accounts.

Payment is a bankers primary contract to repay money received for this customers account usually by

honoring his cheque. Cash Closing and opening at the start and end of the day is maintained by

operations department.

ii. Clearance:

A clearing house is a platform for commercial banks set up given below for the purpose of interchange

and settlement of credit of different cheques. In Pakistan, the clearing system is operated by the NIFT.

The easy, safe and most efficient way is to offset the reciprocal claims against the other and receive only

the net amount owned by them. This facility of net interbank payment is provided by the clearing house.

Clearing may inward or outward clearing. When a customer of DIBPL deposit a cheque of other bank in

his account, that has to go through outward clearing and when a issues a cheque on party which has

account in other bank, clearing would be inward.

III. Remittance Department:

Another important function is remittance. People send their money to other persons and organizationsthrough various ways i.e. bank draft, telegraphic transfer, mail transfer, coupons, Western Union MoneyTransfer, Xpress Money etc. It works both inward and outward.DIBPL offers the following forms the remittance.

Demand Draft Telegraphic Transfer Pay Order Mail Transfer Safe custody of specimen signature book Preparation of periodical statements Any other work/duty assigned by manager

IV. Utility Bills acceptance:

DIBPL accepts the utility bills of KESC, PTCL and SSGC on the behalf of the respective companies.SSGC slabs are sent to Tameer Micro finance bank to further process while KESC and PTCL slabs aresent to NIFT.


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Account Opening at DIBPL

When a customer comes to open his account, he has to fill an Account Opening form (AOF). Newcustomer also signs his/her signature on Specimen card for further transactions with the banks, and alsosigns the Bank Service Agreement (BSA).

Verisys a verification system started by NADRA on the CNIC of the new account opener. A Verisystells, that whether the candidate is a Pakistani citizen or not and all the information written in accountopening form are true or not by matching the information to the database of NADRA. SBP and Worldcheck are checked to ensure that new customer is not in the blacklist of State Bank defaulter or his nameis not in the any terrorist organization. His job ID cards photocopy and companys letter on letterhead istaken in case if customer is employed. The documents required for account opening are as follows:

Filled Account Opening Form (AOF) Banking Service Agreement signed (BSA) Signed Specimen card. ATM card form filled. Other than CNIC signature form NADRA Verification

World check list and State Bank list Job Card/ID card/Company letter Telephonic verification report

The account opening process is completed by Customer Relation Officer (CRO), by scanning all the

documents and sent to Centralized Account Opening Department. Account Number is received from

CAOD, after Department checks all the documents and allocates the unique number (Account Number).

After opening an account, Letter of thanks is sent to the account holder directing him to collect the check

book in person after receiving the letter. All the documents are put in jacket in safe place for any further

reference in the future. Check book and ATM card is issued to new account holder in 3-4 days time. And

pin code of ATM card is received by branch in 4-5 days. Account holder, himself/herself, collects the

check book from the branch.


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Part No. 4


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Based on my experience at DIBPL, I have tried to give recommendations for further improvement:

i. First of all, I would like to recommend the bank must pursue am aggressive marketing and

advertising strategies so that it can create awareness in the public about its Islamic products andservices.

ii. The personnel in the bank should not be overstressed with workload. The workload is of a

destructive level. At that level of load the employees loose all the comfort in their work and remain

tense and frustrated.

iii. DIBPL should increase the pays to employees, because the salaries of the employees are much

lower as compare to the banking industry, which leads to employees d issatisfaction and

turnovers.

iv. DIBPL needs to improve its website. More information relating to financial performance of the

bank should be available on the website.

v. Management should distribute work equally among the different employees.

vi. Related jobs should be assigned to the employees so that they can work more efficiently.

Dubai Islamic Bank Pakistan Internship Report.docx

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