Hbl Project

7/16/2019 Hbl Project

http://slidepdf.com/reader/full/hbl-project-5634f8cc29094 1/41

HABIB BANK LIMITEDDEPARTMENTS

OPERATIONS

AND

FUNCTIONS OF DEPARTMENT

Submitted to:

Mam Sidra Shehzadi

Submitted by:

Sidra Malik (10-arid-1363)

Sundas Shahid (10-arid-1365)

Hassan Mehmood (10-arid-1317)

Muzammil Tufail (10-arid-1328)

1



ACKNOWLEDGEMENT

All praises belong to almighty Allah who the supreme authority knows

the ultimate relation underlying all sorts of phenomenon going on in this universe

& whose blessing & exaltation flourished my thought & thrived my

ambitions to have the cherished fruit of my modest efforts my humblest

thanks to the Holy Prophet Hazrat Muhammad (PBUH) who is forever torch of

guidance & knowledge for humanity as a whole.

We deem it our utmost pleasure to avail this opportunity to express

gratitude &deep sense of ob l iga t ion to my revered teachers and

HBL’s manager RAHIL NASIR for their valuable and dexterous

guidance, untiring help, compassionate attitude, kind behavior, moral support

and enlightened supervision during this whole project.

Finally, we would like to extend hurtful thanks to our adoring

parents and friends for their day and night prayers sacrifices and encouragement,

moral and financial support throughout the course of our study. May all of them

live long and enjoy a happy life!

THANKS TO EVERYONE

2



TABLE OF CONTENT

3

Sr.no Title Page no.1 Bank and scope of banking 4

2 Introduction of HBL 4

3 Rating 5

4 Symbol of HBL 5

5 History of HBL 6

6 Mission and vision 8

7 Objective 9

8 Values 10

9 Services of HBL 11

10 Product of HBL 14

11 Departments of HBL 17

12 Account opening department 1713 Remittance department 21

14 HRM department 24

15 Credit and administrativedepartment

25

16 Marketing department 26

17 Finance/Advance Department 27

18 Agri-Finance Department 31

19 Clearing Department 33

20 Cheque Receipts 34

21 Forex Department 35



BANKS AND SCOPE OF BANKING

WHAT IS BANK?

A bank is an institution for the custody, loan or exchange of

money for sanctioning credit, for transferring funds

by domestic foreign bills of exchange. It is a pipeline

through which currency moves into and out of

circulation. As it is clear from the definition of

banking, the main activity or function of banking is

borrowing and lending of money with a margin of

gain. However, as far as the present day banking is

concerned, there are a number of different banks, set

up under specific different objectives, performing

various functions

INTRODUCTION

Habib Bank Limited is a leader in Pakistan’s

services industry. It is a prime bank recognized in1941 commonly referred to as "HBL" and head-

quartered in Habib Bank Plaza, Karachi, Pakistan,

and is the major bank in Pakistan. The bank has anetwork of over 1450 branches in Pakistan and 55 branches worldwide. It has a domestic market share

of over 40%. It continues to dominate the commercial

banking sector with a major market share in inwardforeign remittances (55%) and loans to traders,

farmers and small industries. Its name is generally

considered for quality and reputation.

HABIB BANK has been a pioneer in

providing novel banking services such as first

installation of mainframe computer in Pakistanfollowed by ATM and more Internet banking

facilities in all branches. The main strength of HBL

brand is its great services to all customers especiallyto the corporate customers and its prominent head

office building that has dominated Karachi’s skyline

for 35 years.

4



Habib Bank Limited provides commercial banking, modaraba management, and asset

management related services in Pakistan, as well as in the Asia Pacific, Europe, North America,

and the Middle East. It offers a broad range of products to target different market segments.Habib Bank Ltd is a Banking HBL which is engaged in Commercial &Retail Banking and

related services domestically and overseas. HBL Enjoy 20% of the market Share in Pakistan.Today HBL is truly the bank of the people Providing its customers convenience and Satisfactionall Over the world. Habib Bank Plaza, the tallest building in Pakistan, is the proud symbol of

HBL leadership In Pakistan’s corporate ground.

Besides this, HABIB BANK has been a pioneer in providing innovative banking

services such as first installation of mainframe computer in Pakistan followed by ATM and

more Internet banking facilities in all branches. The main strength of HBL brand is its greatservices to all customers especially to the corporate customers and its prominent head office

building that has dominated Karachi’s skyline for 35 years.

RATINGHBL is currently rated AA (Long term) and A-1+ (Short term) and has a balance sheet size

of USD 10.2 billion. It is the first Pakistani bank to raise Tier II Capital from external sources.

SYMBOL OF HBLThis symbol of HBL contains Bismillah at top,

Sword under Bismillah

and then lion under sword.

THIS SYMBOL DEPICTSBismillah ««... Islamic values and

culture

Sword«««…...Power

Lion««...….....Strength

HBL ««...........Brand name

THE POWER TO LEAD « «…logo

5



HISTORY AND OVERVIEW OF HBL

Mohammed Ali Jinnah, Pakistan's founding

father, realized the significance of financialintermediation while he was campaigning for the

creation of a separate homeland for the Muslims of

India. He persuaded the Habib family to establish a

commercial bank that could serve the Indian

Muslim community. His initiative resulted in the

creation of Habib Bank in 1941, with HO in

Bombay (now Mumbai), and fixed capital of 25,000

rupees. The bank played an important role in

mobilizing funds from the Muslim community to

finance the All-India Muslim League's campaign

for the establishment of Pakistan. Habib Bank also

played an important role in channeling relief funds

to the people hurt in the communal riots and

violence that preceded the departure of the British

from India.

After Pakistan was born in 1947, Habib Bank, at the urging of Governor-General Jinnah, moved

its headquarters to Karachi, Pakistan's first capital. This gave Karachi its first commercial bank

of the newly formed Islamic Republic of Pakistan. The Habib family owned and managed the

bank until the Pakistan government nationalized it on 01 January 1974.

1951 HBL opened the first of 3 branches in Sri Lanka.

1952 HBL established Habib Bank (Overseas).

1956 HBL opened first of 5 branches in Kenya.

1957 or 1958 HBL opened a branch in Aden.

1961 HBL opened the first of what would become 6 branches in the UK.

1964 HBL opened the first of 4 branches in Mauritius and a branch in Beirut.

1966 HBL opened the first of 8 branches in the UAE.

1969 HBL opened first of 3 branches and an OBU in Bahrain. However, HB’s branch in

Aden is nationalized.

6



1971 HBL opened an OBU in Singapore and a branch in New York.

1972 HBL opened the first of 11 branches in Oman. HBL constructed Habib Bank Plaza

in Karachi to commemorate the bank’s 25th Anniversary.

1974 The government of Pakistan nationalized HBL and HBL merged with Habib Bank (Overseas).

1975 HBL opened a branch in Belgium. HBL also merged with Standard Bank, a

Pakistani bank.

1976 HBL opened a branch in the Seychelles, the first of two branches in Bangladesh,

and a branch in the Maldives.

1979 HBL opened a branch in the Netherlands.

1980 HBL opened a branch in Paris and another in Hong Kong.

1981 HBL established Nigeria Habib Bank with 40% ownership. HBL also opened a

representative office in Teheran.

1982 HBL opened a branch in Khartoum.

1983 HBL opened branch in the Karachi EPZ and a branch in Istanbul.

1984 HBL established Habib American Bank in New York with a branch each in

Manhattan and Queens, and a US International Banking Facility. HBL also opened a

branch in California.

1987 HBL opened in Australia.

1991 The Habib Group established a separate private bank, the Bank AL Habib, after

private banking was re-established in Pakistan. HBL opened a branch in the Fiji Islands,

and took over the Paksistani branches of failed bank, BCCI.

1992 In Nepal HBL acquired 20% of Himalayan Bank.

1995 HBL established a representative office in Cairo.

1990s HBL established Habib Finance (Australia), and Habib Finance International

Limited, Hong Kong.

2000 HBL established Habib Canadian Bank.

7



2002 On June 13, 2002 Pakistan's Privatization Commission announced that the

Government of Pakistan had granted the Aga Khan Fund for Economic Development

(AKFED), a subsidiary of the Aga Khan Development Network, rights to 51% of the

shareholding in HBL, against an investment of PKR 22.409 billion (USD 389

million).HBL's UK operation came close to being shut down due to regulatory issues

with the Financial Services Authority. The issue was resolved by converting the

operations to a subsidiary.

2003 HBL received permission to open a branch in Afghanistan.

2004 On February 26, the Government of Pakistan handed over management control of

Habib Bank to AKFED. The Board of Directors was reconstituted to have four AKFED

nominees, including the Chairman and the President/CEO and three Government of

Pakistan nominees

2006 HBL sold the operations that it had established in Fiji in 1991 to Bank of SouthPacific.

2009 HBL was granted permission to open Remnibi accounts in China. It already has

training and shareholding arrangements with Urumqi Commercial Bank.

MISSION STATEMEN

To make their customers prosper, their staff excel and Create value for

shareholders

8



VISION STATEMENTTo be the premier organization locally and internationally that provides the complete

range of financial services to all segments under one roof.

OBJECTIVES

Like other business organization the core

desire of Habib Bank is to maximize the profit

9



through saving & loaning money to the life of the common people. The Objectives of the Habib

Bank is given below:

Broad GoalAs a nationalized commercial organization, Habib Bank belongs to the people. It implies that it

stands for meeting the banking needs of the mass people of the society.

Operating GoalIn compliance with the very nature of the organization, the objective in mind the bank aims at

excelling quality and diversified services. To fulfill its mission Habib Bank has its main

objectives as followings:

• To provide banking services to people.

• To earn profit.

• Act as a media of exchange.

• To contribute to gross domestic product (GDP).

• Maintain a satisfactory deposit mix.

• To promote and boost up business sector inside the country.

• To help to grow entrepreneurship.

• Increase loan portfolio diversification and geographical coverage.

• To mitigate unemployment problem.

• Provide finance specialized services to the export.

• To help to boost economic development.

• To help in development and industrialization of the country

10



VALUES OF HBL

HUMANITY

We promote a culture of mutual respect and treat both our team members and Customers with

humility and care.

INTEGRITY

For us, integrity means a synergic approach towards abiding our core values. United with the

force of shared values and integrity, we form a network of a well-integrated team.

MERITOCRACY

At every level, from selection to advancement, we have designed a consistent system of human

resource practices, based on objective criteria throughout all the layers of the organization. Weare, therefore, able to achieve a specific level of performance at every layer of the organization

TEAM WORK

Our team strives to become a cohesive and unified force, to offer you, the customer, and a level

of service beyond your expectations. This force is derived from participative and collective

endeavors, a common set of goals and a spirit to share the glory and the strength to face failures

together.

CULTURE OF INNOVATIONWe aim to be proactively responsive to new ideas, and to respect and reward the agents, leaders

and creators of change

SERVICES OF HBL

11



ATM

Internet Banking

Mobile Banking

Debit Card

Phone Banking

Retail Banking

Commercial Banking

Corporate Banking

International Operations

HBL ATM

Funds Transfer (HBL accounts and third party

account under 1 Link network)

Utility Bill payment - KESC, GEPCO,

LESCO,FESCO, HESCO, IESCO, MEPCO,

PESCO, QESCO, LWASA, PTCL, SNGPL, SSGC

Mobile post pay bill payment and top-up- Warid,

Ufone, Telenor

HBL Credit Card bill payment

Cash withdrawal

Account Balance Enquiry

Mini Statement

ATM PIN change

HBL Internet Banking

Funds Transfer (HBL accounts and third party account

under 1 Link network)

Utility Bills payment - KESC, GEPCO, LESCO, SNGPL,

SSGC

Mobile post paid bills & top-up - Warid, Ufone, Telenor

12



Purchase mobile prepaid vouchers - Mobilink, Ufone, Warid, Telenor, Zong, V-PTCL,and PTCL


Account / Credit Card Balances

Account / Credit card statements

Cheque book Request

Maintain your personal settings

HBL Mobile Banking

Funds Transfer (HBL accounts and third partyaccount under 1 Link network)

Utility Bills payment - KESC, GEPCO, LESCO,

SNGPL, SSGC

Mobile post paid bills & top-up - Warid, Ufone,

Telenor

Purchase mobile prepaid vouchers - Mobilink,

Ufone, Warid, Telenor, Zong,V-PTCL , PTCL


Account / Credit Card Balances

Account / Credit card statements

Maintain your personal settings

Cheque book Request

Debit Card

All services through ATM can be availed using HBL

Debit Card

Up to 20% discount on leading restaurants

13



Phone Banking

Banker's Cheque request

Mobile Prepaid Vouchers - Mobilink,

Ufone, Warid, Telenor, Zong, V-PTCL

Balance inquiry

Account information

Stop cheque payment request

Cheque book request

Debit Card activation & de-activation

Credit Card activation & de-activation

Internet banking support

Account or service settlement request

Retail Banking

The Retail Banking network, with 1425 branches, is the

core strength of Habib Bank. The network provides HBL

with the largest diversified low cost deposit base of any

bank in Pakistan, and forms the basis for many of our

other business lines: corporate and investment banking

and treasury activities. The network provides HBL with

the largest diversified low cost deposit base of any bank

in Pakistan, and forms the basis for many of our other

business lines: corporate and investment banking and

treasury activities

Commercial Banking

Enterprises operating in the middle market contribute significantly to the economy of a country.

During FY-2000 HBL’s management decided to address this issue. On November 1, 2000

Commercial Banking came into being. The objective of setting-up Commercial Banking was

two-fold: The objective of setting-up Commercial Banking was two-fold:

14



Fi t t t th i f k t h i th iddl k t



• First to stop the erosion of market share in the middle market;

• Second, to regain the lost market share Commercial Banking is making headway with

improvement not only in terms of the business figures but also in its ambiance.

Renovation of is being carried out in order to give a professional look to all the

Commercial Banking Centers.

Corporate Banking

The Corporate Banking Group serves large

institutional customers who require sophisticated

products in an environment of intense

competition. HBL Corporate &Investment

Banking Group is now recognized as a market

leader and regularly arranges and participates in

most large structured finance deals

International Operations

HBL’s ability to operate successfully in diversified markets and cultures Isa function of a

long history in international banking – when first international branch was opened in 1951. The

Bank’s branches in financial centers continue to provide efficient trade settlement and

reimbursement services to the entire network and business with other banks

Products of HBL

House Finance

HBL provides the facility of house finance. The

Financing available for:

Purchase of house

Home improvement and renovation

15



Self Construction



Self Construction

Auto Finance

Habib Bank Auto Finance, a lease product, designed to offer you an economical way for owing

the car of your choice. Some characteristics are:

Lowest Down Payment

Lowest monthly rentals

Fixed repayment tenures of 36,48 and 60 months.

Lowest Processing charges

Insurance premium rates as low as 3%

All locally assembled new cars can be financed through this scheme.

HBL Flexi Loan

HBL had introduced a unique loan system for the middle income serving people in various

public sectors. It is basically meant for those in service people who earn more than Rs. 5,000 per month. This loan meets the petty requirements of the salaried class. Since the introduction of

this scheme Rs. 6 billion is advanced throughout the country. The maximum limit of this loan is

Rs. 3,000,000.

Life Style

Habib Bank Lifestyle is an economical financing scheme for Household Appliances and

consumer Electronics. Salient features of HBL LIFESTYLES:

Loans for salaried/ self Employed individuals or business persons

Low Mark-ups leading to affordable monthly installments.

Financing from Rs.10,000 to Rs.500,000

Fed tenures of 6,12,18,24 and 36 months

Low Processing charges

Full credit Life Insurance

Free Doorstep Delivery of items

Available throughout Pakistan from over 330 designated Habib Bank Branches

16



HBL Rescue (Balance Transfer Facility)

HBL provides the facility to transfer your personal loan and credit card liabilities, at the

lowest rates ever.

For Personal Loans

The salient features of HBL Personal Loan are

Maximum loan up to Rs. 1,000,000

Choice of 12,24,36,48 and 60 months for

payback

Lowest Mark- up

Quick processing

Full Credit Life insurance

Available from over 400 designated branches throughout Pakistan.

For Credit Card Payments

Maximum loan up to Rs.1, 000,000

Lowest mark-up-compared to any credit card

Choice of 12,24,36,48 and 60 months for

payback

Quick processing

Full Credit Life insurance

Available from over 400 designated branches throughout Pakistan

Auto Cash (Debit/ ATM Card)

17


http://slidepdf.com/reader/full/hbl-project-5634f8cc29094 34/41Habib BANK icard is used for dual purposes-a debit card and an ATM card and provides

you the direct access to cash in your account



you the direct access to cash in your account.

Habib Bank card as your Debit CardWhen payment is made at any merchant location using the card, exact purchase amount is

deducted from your account.

Convenient, secure, quick and easy payment option

Nationwide acceptability at various merchant locations displaying ORIX Network logo

Free of charge debit card transactions

HBL iCard as your ATM Card

Offer a number of facilities such as cash withdrawal, Funds transfer between accounts,Balance Inquiry, Mini Statement, PIN Change etc.

Accepted at all 1LINK and MNET ATMs across the Country.

HBL Fast Transfer

This service provides a unique solution for overseas Pakistanis to send money back home in a

swift and convenient manner.

Departments of HBL

18


http://slidepdf.com/reader/full/hbl-project-5634f8cc29094 36/41• Account opening department



• Remittance department

• HRM department

• Credit and administrative department

• Marketing department

• Finance/Advance Department

• Agri-Finance Department

• Clearing Department

• Cheque receipts

• Import and export department

Functions and operations of departments

1. Account Opening Department

Account opening department is one of the most important

departments of a bank. It is known as Gateway to the bank as

anyone (any individual, partnership firm or JSC) who wants to

initiate relations or to avail the services of bank has to open an

account. This is why it is known as gateway to the bank. For

opening of account a form is given which includes all necessary

requirements needed for further process. This form also includes

term and conditions of account holders and all details of bank

and customer relationship. (Annexure) Before opening an

account there are certain requirements

TYPES OF ACCOUNT:

CURRENT ACCOUNT:

19



In this type of accounts the client is allowed to deposit or withdraw money as and when he likes.

He may, thus, deposits or withdraws money several times in a day if he likes. There is also no



restriction of amount to be deposited or withdrawn. However, there is requirement of minimum

balance maintenance of Rs.5000/-. Usually this type of account is opened by the businessmen.

No profit is paid by the bank and no service charges are deducted by the bank on current

deposits account.

ELIGIBILITY

i. All Pakistani’s Resident/Non-Resident, Individuals (Single-Jointly) Companies/Firms etc. can

open and operate the Account but he should be a corporate customer.

ii. Any Foreign National Individuals (Single-Jointly) having valid Resident Pakistan

VISA/Work Permit can open and operate the Account.

Requirements for Opening of Account:

• Duly filled prescribed A/C opening FORM.

• Attested photocopy of N.I.C./Passport of Account Holder(s), Proprietor, Partners,

Directors and office Bearers as the case may be.

• Certified true copy of the certificate of incorporation or registration (in case of limited

companies & registered bodies only).

• Certified true copy of the certificate of commencement of business (in case of public

limited companies only).

• Certified true copy of the memorandum and articles of association (in case of limited

companies).

• Certified true copy of rules and regulations or By-Laws (in case of association etc.).

• Certified true copy of the resolution of the Board of Directors/Managing

Committee/Governing Body regarding conduct of the account.

FEATURES

20



• Account can be OPENED with Minimum Balance Rs.1000/- with no maximum limit.

• Checking balance at any time during banking hours.



Checking balance at any time during banking hours.

• No profit is paid.

• Statement of Account dispatched on request letter.

• There is no restriction for withdrawals of amount and number of cheque

PROFIT AND LOSS SHARING SAVINGS

This type of account is for those persons who want to make small savings'. This type

of account is opened with a minimum deposit of Rs.

1000/- or the amount prescribed from time to time.

The profit is paid on these accounts on the minimum balance during a month for the whole of that month.

Zakat & other taxes are deducted as per rules of the

government. The requirements for this account is

duly filled prescribed A/C opening FORM, Photo

Copy of National Identity Card (Resident Pakistani),

two Passport size photographs with

Signatures/Thumb Impression (Resident Pakistani),

Photo copy of Passport with Page bearing Resident

Visa of the Country where Pakistani Residing, two

Passport size photographs and signatures on A/COpening Form for Non-Resident Pakistani with

Signatures/Thumb Impression etc.

FEATURES

• Account can be OPENED with Minimum Balance Rs.1000/- or prescribed limit thatis

announced time to time with no maximum limit.

• Profit is payable at monthly subject to adjustment on deceleration of actual profit rate

declared every half year.

• Profit is calculated on monthly products

• Zakat will be deducted on valuation dates of account.

21

Hbl Project

Documents

Transcript of Hbl Project