University of Education

Lower Mall Campus, Lahore

Department of Economics and Business Administration

INTERNSHIP REPORT
BANK OF PUNJAB SHAHBAZ KHAN ROAD, KASUR

A REPORT SUBMITTED TO THE DEPARTMENT OF ECONOMICS AND BUSINESS

ADMINISTRATION, UNIVERSITY OF EDUCATION, LOWER MALL CAMPUS,
LAHORE IN THE PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE
DEGREE OF MASTER IN BUSINESS ADMINISTRATION (MBA 3.5 YEARS).

Submitted By:
MCF1701929
MUHAMMAD IRFAN
Fall (2017-2021)
12th february2021

University of Education
Lower Mall Campus, Lahore
Department of Economics and Business Administration

1
 LETTER OF UNDERTAKING

This internship report was submitted by Muhammad Irfan S/o Muhammad

Anwar Roll No. MCF1701929 for the partial fulfillment of the requirements for the degree of

MBA (3.5 years)

Session (2017-2021)
With specialization in
FINANCE

And is hereby accepted by the evaluation committee.

Internship Supervisor ________________________

HOD / Coordinator ________________________

External Examiner ________________________

Principal ________________________

Department of Economics and Business Administration.

2
DEDICATION
3
At first dedicating this work to Almighty Allah, without his mercy and sympathy I was
not able to accomplish this work, Almighty Allah gave me power and strength to
complete my internship and The Holy Prophet HAZRAT MUHAMMAD (PEACE
BE UPON HIM) who is a light for humanity. I also dedicate this work to my lovely
parents and family whose love and prayers have always been a source of strength for
me. I dedicate this report to my loving BM, BOM and bank officer and friends without
whose help and encourager it would not have been possible. For me accomplish this task
within the specific time limit. I was provided with every facility by my mother who was
necessary in order to complete this challenge assignment.

ACKNOWLEDGEMENT
4
I am very to “Almighty Allah’’ the most beneficent, the most mercy full who has given
the strength to complete this task. I am also thankful to branch manager (MR.HAFIZ
M.SHAHZAD) and operational manager (MR.KAHLIL AHMED) respectively of the
bank of the Punjab near to shahbaz khan road, kasur. Without whose guidance and
support it would not have been possible for me to accomplish this assignment.
Furthermore, I am indebted to the staff of the staff of the bank of Punjab. Shahbaz khan
road, kasur. Without whose well in time support and guidance it would be much
difficult for me to achieve this task successfully. I would like to thank to all the staff of
BANK OF PUNJAB, particularly to Branch manager Hafiz M.SHAHZAD for the
interaction, cooperation and professionalism that I received from him. I submit my sober thanks
to my affectionate parents, who always remains at my back to support me, I can never give the
return of their untried struggle for me, but I can only prove myself as they expect from me. I am
also grateful to all other family members and all my friends for their moral boosting and support
during my study and especially in this internship program.

Special thanks
With due respect I would like to thanks the following staff member whose kind
supervision and humble mentoring made it possible to accomplish my internship
purposefully.

Mr. HAFIZ M. SHAHZAD Branch Manager

Mr. KHALIL AHMED Operation Manager
Miss. NUREEN CSO
Mr. NADEEM ASHRAF Relationship manager
Miss. KOMAL SHAHZADI Relationship manager
Miss. AMINA Cash Officer
Mr. M.ASAD Casher
Mr. ILYAS ANAJM Casher

5
 EXECUTIVE SUMMARY

The bank of Punjab (POB) establishment in 1989 and got the status of scheduled bank in
1994. The bank of Punjab offer number of product in their customer. There are 587
branches of BOP in the whole country. Functionally the bank of Punjab is divided in the
division and each division is headed by the general manager.
The government of the Punjab holds the majority of the shares in BOP. It is doing
business in commercial banking and the retail banking. Corporate banking treasury and
investment and trade finance. The shares of BOP are traded in all three stock exchange
of the Pakistan
Internship is an important part of MBA (Finance) program and provides opportunity to all
students to learn about the partial working of organization and improves their personal skills,
Business problems are becoming more complex with the passage of time due to the
achievement in world. Students really get many benefits through this practical knowledge
during studies. This internship is not only helpful for making this report but this education gives
a general knowledge about the business, decisions and policies. In this way I personally feel
that your mind start thinking innovatively, broadly and dynamically. Facing challenges of day to
day life is not a difficult task to handle for individual. Internship training at the bank of Punjab
is aimed at providing the students a major unique opportunity to learn what bank is all about.

I try my level best to produce a most comprehensive internship report to bank of Punjab by
compiling all Practical learning in a systematic way, hence making report unique. All
information’s this effort and my interest in internship can evaluate me in true prospective.

At the end the conclusion and the recommendation are the part of the report.
Bibliography is the part, which contain all the references from I, obtained data to
prepare this report.

6
 TABLE OF CONENTS

12
1. Brief Introduction to the Industry

2. Overview of the Organization 13

2.1.History

2.2. Vision, Mission and Core value Statement

2.3.Introduction of organization

2.4. Corporate Objectives

2.5. Market standing

2.6. Policy of the Organization

2.7.Competitors

2.8.Business Volume

2.9.Product Line

3. Organizational Structure 29
3.1. Organizational Hierarchy chart
3.2. Campus Wise Hierarchy
3.3. Number of employees
3.4. Main Offices
3.5. Brief Introduction of all the Departments
3.6. Comments on Organization Structure

4. Internship Plan 37

4.1. Introduction of the Branch

4.2. Starting and ending dates

4.3. Name of training department and duration

5. Training Program 38
5.1. First day BOP
5.2. Remittance Department
5.3. Clearing Department
7
6. Structure of your concerned specialization department Finance 41
6.1. Department hierarchy
8
 1. Brief Introduction to the Industry

Type: Public
Industry: Banking, insurance
Founded: 1989; 31 years ago
Headquarters: Lahore , Pakistan
Products:
Credit cards, consumer banking, corporate banking, finance and insurance ,investment
banking, mortgage loans, private banking, private equity, wealth management .The bank
was established in 1989, pursuant to The Bank of Punjab Act 1989, and was given the
status of a retail bank in 1994. It is the seventh largest commercial bank of the Country.
Website: www.bop.com.pk

9
Banking plays a major role in a country’s economy. After partition of India and Pakistan

British government’s commission distribute the reserves between Pakistan and India.
In august 1947, various banks transferred their headquarters and fund to India. Before
partition of Pak-o-Hind, some banks were operated which were Chartered Bank, Grind-
lays Bank, and Imperial bank of India, Australasia bank and Habib bank. After the
independence of Pakistan. Muslim commercial bank limited, bank of Bahawalpur
limited, Punjab national bank and national bank of Pakistan were providing banking
facilities to general public.
The state bank of Pakistan was inaugurated by our great leader Muhammad Ali Jinnah.
On 1st July 1948. Australasia bank and Habib bank were providing facilities to the
Pakistan’s nation. After some period, Australasia bank limited was converted into Allied
bank of Pakistan.
State bank of Pakistan is a central bank of Pakistan. Other bank are commercial banks,
specialized bank and investment banks.
Established in 1989, in pursuance of The Bank of Punjab Act 1989 and was given
the status of scheduled bank in 1994. The Bank of Punjab is working as a scheduled
10
commercial bank with its network of 273 branches at all major business centers in
the country. The Bank provides all types of banking services such as Deposit in
Local Currency, Client Deposit in Foreign Currency, Remittances, Advances to
Business, Trade, Industry and Agriculture A wholly owned subsidiary of BOP First
Punjab MODARABA (FPM) was established in 1992 and is being managed by
Punjab MODARABA Services (PVT) Ltd.( 272 branches).
Now a day in Pakistan, fifty four banks are operated with thousands of branches.
Banks are providing banking facilities to their customers and clients by offering
different services and packages.
Pakistan’s banking sector consisting of Islamic banks, Private sector banks, and
Micro Finance banks. These banks are doing corporate banking trade financing,
lease financing and some banks are providing online banking facilities. ATM
facility and money transfer facilities also.
Banking sector is a back bone of our economy. If this sector is making progress than
whole economy is also growing a lot. Our agricultural sector, industrial sector,
mining sector, export sector all depend on the banking industry because banks
provide long term funds as well as short term funds to all these sectors to meet out
their short term as well as long term requirement. Hence, banking progress in
necessary indeed.

1.1. Background of study:

In the University of Education required for the students to do an internship for at
least six week period of six weeks period of time in any business organization. So
for my internship reports I choose the bank of Punjab KASUR campus in my
district. The bank of Punjab is very emerging bank in our city and it will be good
for me to gain some practical knowledge in that kind of field of life.

1.2. Purpose:
The purpose of this internship report is to learn the organization skill. When you
are doing internship in an organization, you will learn different kind of skills like
accounting, reporting, communication and managerial skills. So on six week
period the purpose will be to enhance the level of learning in business
organization.

1.3. Organization:
The bank of Punjab is becoming one of the most emerging banks. BOP
introducing a lot of new schemes to their customers and also it will a good
experience for to choose the BOP, because some of friends did their internship in
this bank they find it very good for learning.

1.4. Research Methodology:

There are two ways to collect the data

 Primary data

11
  Secondary data
Primary data based on the observation, knowledge gathered from questionnaires
and interviews.
Secondary data contains material with the help of internet articles and with
courtesy of the employees of BOP.

1.5. Summary:
I am student of university of education and doing MBA and my specification is in
finance. As our university required doing internship in any Organization for the
practical knowledge, I choose the BOP ramtalai branch of the internship of six
weeks. The objective of my internship is to enhance my professional managerial
skills in that field and also enter in practical life.

2. Overview of the Organization

2.1. History:
The bank of Punjab started functioning with the inauguration of its first branch of 7-
Egerton road, Lahore on November 16, 1989. The founder of the bank Mr. NAWAS
SHARIF performed the inauguration.
The bank of Punjab Is working as a scheduled bank with its 617 branches in all major
cities of the country. The bank provide all types of banking services such as Deposit in
local currency. The bank provide all types of banking services such as deposit in local
currency. Client deposits in foreign currency, Remittances and advance to businesses,
trade, industry and agriculture. The bank of Punjab entered into a new era of science to
the nation under the experienced and professional hands of its management.
The BOP has played a vital role in the national economy through mobilization of
untapped local resources, promoting savings and providing funds for investment.
The BOP has played a vital role in the economy through mobilization of untapped local
resources, promoting savings and providing funds of investment.
The Bank of Punjab has the privilege to discharge its responsibilities towards national
prosperity and progress. Within the couple of years of its scheduling, the bank has not
only carved out for itself prominent niche in the mainstream banking of the country but
in certain areas it has the distinction of taking the lead. In short span of time the Bank
has been able to evolve a distinct corporate culture through of its owned-based policies,
which are realistic and are on highly professional footings.

2.1.2 Nationalization Act:

Commercial banking was at peak in the late sixties and early seventies until the
time our Government declared the nationalization policy in 1974 with the policy

12
thirteen banks were taken into the possession of Government and then merged into
six banks.

2.1.2. Privatizations:
In 1991, the nationalization act was ended and then again 23 banks were
established, Muslim commercial bank was privatized in 1991 and the management
of Allied bank of Pakistan took most of ownership. After that many banks
established and by the end of 1997 there were 21 domestic banks and 27 foreign
banks.

2.1.3. Nature of business:

One of the most important businesses in the world is banking. In our country banks
plays vital role in the national economy. Banks are like backbone of our country they
provide money for different sectors of economy keeping our economy progress. They
provide finance to the agriculture sectors which is vital to our economy so they are
mobilizing our resources indirectly or directly

2.2. VISION, MISSION AND CORE VALUE

2.2.1. Vision Statement:

“To be customer focused bank with service Excellence”

2.2.2. Mission Statement:

“To exceed the expectation of our stakeholders by leveraging our relationship with the
government of Punjab and delivering a complete range of professional solution with a
focus on program driven products and service in the agriculture and middle markets
through a motivated team”

2.2.3. Core Value:

These are the values we celebrate:
 Our customers are our first priority.
 Profitability for the prosperity of our stake holders that allow as
to constantly investing, improve and succeed.
 Corporate social responsibility is to enrich the lives of community where we
operate.
 Recognition and Reward is for the talented and performing employees
Excellence in everything we do.
 Integrity is in all our dealing.
 Respect for our customer and each.

13
 2.3. Introduction of Organization
The bank of Punjab (BOP) the main branch of NEAR KASHMIR CHOWK SHAHBAZ
KHAN ROAD 0016, KASUR. All branch bop in kasur districts in briefly introduction.

 KASUR CITY BRANCH:

BRANCH CODE: 0016
BRANCH: KASUR
ADRESS: NEAR KASHMIR CHOWK, SHAHBAZ KAHAN ROAD, KASUR
PHONE NO.: 049-2765700, 049-2760167-8
EMAIL: BOP0016@BOP.COM.PK
FAX: 049-9250098
CITY: KASUR

 TAHSIL ROAD, KASUR:

BRANCH CODE: 0341
PHONE NO.: 049-2760042, 049-2760043
ADRESS: KHASRA 7520, 7521, 8068, OPOSITE RESCUE 1122 NEAR
KUTCHERY CHOWK, TAHIL KASUR.

 KOT RADHA KISHAN KASUR BRANCH:

BRANCH CODE: 0301
ADRESS:KHATOONI 438, KHEWAT 303, MAIN AZAMBAD ROAD, NEAR
GHALLA MANDI, KOT RADHA KISHAN, DISTRICT KASUR
PHONE NO.:049-2382123, 049-2385754, 049-2385755

 PHOOL NAGAR BRANCH:

BRANCH CODE: 0393
PHONE NO.: 049-4511145, 049-4511147, 049-4511148, and 049-4511145
ADRESS: PATTOKI ROAD, PHOOL NAGAR, DISTRICT KASUR.

Total number of employees in SHAHBAZ KHAN Road branch is one. The branch was
handled branch manager Mr. Hafiz Muhammad shahbaz. The flow chart of
responsibilities and designation are shown in management hierarchy.
The top most authority in a branch is the branch manager the rest of staff comes
under

Branch
14
Manger
 Operation
Manger

Credit Remittals Advance Foreign Account

Trade Opening

His span of control. Then comes the operational manager then operational
grade 1, operational grade 2, operational grade 3 and then clerical staff like
cash officer junior cash officer.

The hierarchy according to the

Short Termresponsibilities performed
Import is also classified as
follows. The services in bank of Punjab are classified in different categories.

…………… Keepers
Assistant vice
Category A Category B Category C Category D
president (AVP) ………………. .................. Tea Boys
.

Mortgage Export

Weekly Timetable:
Weekly details of my internship according to date and day are as under:
through the strategies. The board guidelines laid down by the SBP are strictly
followed by BOP.

15
 1st Week:

Remittances 1st Week Department: Internship Activity

Date Day Monday Introduction of Remittance
14.12.2020 Tuesday Western Union, Foreign Remittance
15.12.2020 Foreign exchange dealings
Wednesday
16.01.2020 Thursday Cash Deposits Receipts, Cheque
17.01.2020 Deposits Receipts
Data Recorded for Internship Report

18.12.2020 Friday

2nd Week:

2nd Week Department: Operations

Date Day Internship Activity
21.12.2020 Monday Introduction of Operations
22.12.2020 Tuesday Supervision of clearing
23.12.2020 Wednesday Online Transfer of Funds
24.12.2020 Thursday Demand Draft, Cashier Cheque
26.12.2020 Friday Data Recorded for Internship
Report

3rd Week:
3rd Week Department: Operations
Date Day Internship Activity
28.12.2020 Monday Check deposits
29.12.2020 Tuesday Inter City Clearing, Outward Clearing
30.12.2020 Wednesday Inward Clearing, Outward Clearing
31.12.2020 Thursday Data Recorded for Internship Report

4th Week Department: Cash

Date Day 16Internship Activity
01.01.2021 Friday Cheque collection, verification & payments
02.01.2021 Monday Data recorded for internship Report
 4th Week:

5th Week:

5th Week Department: Cash

Date Day Internship Activity
04.01.2021 Monday Cash received, cash payments & management
05.01.2021 Tuesday Order objection, voucher & ATM problems
06.01.2021 Wednesday Foreign remittance payments and deposit
receipts
6th Week:

6th Week Department: Account

08.01.2021 Friday Internship Activity
11.01.2021 Monday Account Opening Procedure
12.01.2021 Tuesday account types and risky account opening
13.01.2021 Wednesday Accounts filled
14.01.2021 Thursday Minor account opening forms filled &
stamped
15.01.2021 Friday Data recorded for internship report

2.4. CORPORATE OBJECTIVES

While achieving the objective of financial inclusion through its presence in remote and
unbanked areas of the country, the Bank is playing its due role in the economic growth of
the country through its various specially tailored and designed lending products.

 Objective:
We have to make groups and every group consist five members and we are required to take
an organizational structure of any organization by taking hand to hand information or
collect information from internet about your selected organization and make a good effort
and present in a class.

 Working:
17
 Our group have selected organizational structure of BOP(Bank Of Punjab).We have arrange
meeting with manager of BOP of (MAIN BRANCH KASUR) branch and grap information
about their organization and make notes of that. and then we have divided Presentation in
five parts and every group member select their part in presentation accordingly to
their choice .HAFIZ M.SHAHZAD (group-member) selected intro and ASAD ALI (group-
member) selected planning part of Presentation .NUREEN (group-member) and KHALIL
AHMED (group-member) selected leading and controlling part of presentation and I have
selected the Organizing .and now we are ready for presentation.

 Presentation:

1. Introduction:
The Bank of Punjab (BOP) head quartered in BOP tower, Main BOP BRANCH KASUR is
one of the prominent financial institution of the country with PACRA (Pakistan Credit
Rating Agency Limited).
Bank of Punjab to be a customer focused bank with service excellence.

Awards and Rewards.

 Excellence Award by the Central Board of Revenue
 3rd KISSAN Time Awards
 Best Corporate Report Award
 16th Bolan Excellence Award
 Achievement Award

2. Planning:
The process of making plans to achieve any goal. Goal is an idea of the future that a person
of group of person envisions, plans and commits to achieve (profit).Planning consist of
following factors:
 What to achieve
 How to achieve
 Resource allocation
These factor essential for planning.

This is how BOP plans to achieve their goal. The goal of BOP is to increase in profit.
 Motivate people
 Ensure security
 Insurance policies
 Quality services
 Online banking
 Other facilities

3. Organizing:
18
 Organizing involves developing an organizational structure and allocating human resource
to ensure the accomplishment of objectives. Organizational structure also defines the duties
and responsibilities of human capital.

This is the organizational structure of BOP:

I. CRO (Customer Representative Officer):

19
 A bank customer service representative is someone whose role is to provide information
regarding to the bank’s product and services to their customers. And also handles
responsibilities of handling any inquiries and resolving customer complaints.
II. RO (Remittance Officer):
In general remittance is the act of sending money to pay for something. Remittance is a
transfer of money by a foreign workers to an individual in their country. RO deal every
aspect of remittance.

III. CO (Cash Officer):

CO receive payment by cash, CHEQUE, credit cards and vouchers etc. Cash Office
Associates are in charge with managing cash transactions in a company. Essential job duties
seen on a Cash Office Associate resume sample are executing transactions, making cash
deposits, delivering reports to managers, developing more effective methods of accounting
for company cash, and making sure each transaction has been put into the daily log.
IV. CM (Cash Manager):
CM responsible for all the aspect of cash management function, effective collection of
revenues and payment of obligations. It also includes daily cash administration,
management of current account and bank relation.
V. RM (Relation Manager):
Relation Manager would deal with individual customers and advise them on various
banking and financial products and services offered by bank.

VI. SM (Sales Manager):

Sales Manager manages the achieving growth and hitting sales target by successfully
managing the sales team.

VII. RO (Responsible Officer):

A bank compliance officer researches, implements, and manages the areas of banking
regulations and laws, banking policies and procedures, consumer protection, and public
interest laws. They may work closely with the Chief Operating Officer (COO) in overseeing
compliance procedures and might also advise on risk management.

VIII. RM (Relation Manager):

Relation Manager would deal with individual customers and advise them on various
banking and financial products and services offered by bank.

4. Leading:
Leaders are needed for boosting morale, creating enthusiasm and moving the team mentally
to the “next level.” Leaders open office meetings with inspiring stories while managers give
product details and operational updates.
Leaders and managers of organizations have different viewpoints on how a company runs.
20
According to an article by “Entrepreneur” magazine, leaders are the heart of a business
while managers are the brains. Leaders have a people-oriented viewpoints while managers
have a business-based thought process. Managers view work in terms of goals like, “We
must produce 50 widgets by Friday.” A leader’s viewpoint provides the organization
direction that takes the workers to the goal of producing 50 widgets by Friday.
Many successful businessmen are a combination of both manager and leader. They step in
with clear direction and practical steps as a manager. When they put on their leadership hat,
they give shape to the future and promote a can-do attitude. If possible, the best choice is to
find a leader who has the capability of fulfilling a manager role and who can tell when each
role is needed. If your organization has a clear plan, you need a manager. If the company is
too focused on daily operations and has lost sight of the dream, the best choice is a leader.

5. Controlling:
A process of monitoring, comparing, correcting performance and taking action to ensure
desired results.
Organizational control includes developing rules, guidelines, procedures, limits or other
protocols for directing the work and processes of employees and departments. These
controls can include setting rules or procedures for financial transactions, employee
behavior and specific practices for all or individual departments. A control can depend on
an individual employee following the guideline, or require multiple parties to agree on an
action.

2.5. Market standing

The bank of Punjab (BOP) is the marketing standing is relate the other banks price.
Last trade on Feb 04, 2021 Day's range Rs 9.35 - 9.50
Change Rs -0.08 52 week range Rs 7.01 - 13.24
Open Rs 9.43 Volume 3,603,500
Close Rs 9.38 Previous Close Rs 9.46
 
Recent Quarterly Financials
Quarter [ hidden ] O/S Shares [ hidden ]
Net Profit [ hidden ] Market Cap [ hidden ]
EPS [ hidden ] Earnings Yield [ hidden ]
EPS (ttm) [ hidden ] P/E (ttm) [ hidden ]
Dividend [ hidden ] ROE [ hidden ]
 
Latest Annual Financials
Financial Year [ hidden ] O/S Shares [ hidden ]
Net Profit [ hidden ] Market cap [ hidden ]
EPS [ hidden ] P/E [ hidden ]
Par Value [ hidden ] Book value [ hidden ]
Net Worth [ hidden ] P/BV [ hidden ]
Dividend [ hidden ] ROE [ hidden ]
Dividend Yield [ hidden ] Dividend Payout [ hidden ]
Earnings Yield [ hidden ] Sharia? [ hidden ]
 

21
For volume charts, charts over longer periods, interactive charts,
and high/low spread charts.

2.6. Policy of the Organization (BOP)

2.6.1. Program Statements:

o Community Corrections
o Financial Management and Budgeting
o General Administration and Management
o Federal Prison Industries
o Inmate and Custody Management
o Medical, Dental, and Health
o Personnel/Staff Management
o Support Services and Logistics

2.6.2. Related Documents:

o Operations Memoranda
o Spanish Translations
o Technical Reference Manual

2.6.3. Business owner’s policy

A business owner’s policy (BOP) is defined as the combination of two important
forms of insurance – commercial property and general liability – into one convenient
package. Business owner’s policies usually cost less than buying the two coverage
separately.

2.6.3.1. How a BOP protects your business

22
 A business owner’s policy combines general liability and commercial
property insurance coverage to protect you against lawsuits and damages.
In one convenient package, it covers several major lawsuit risks your small
business could face, including those resulting from:

 Third-party bodily injuries

 Third-party property damage
 Product liability incidents
 Advertising injuries
Business owner’s policies also provide financial support when you’re building or
commercial property (also called business personal property) is damaged by an
incident the policy covers, typically:

o Fire
o Theft
o Vandalism
o Some weather-related events
In addition to providing a financial backstop for your small business, a BOP also
gives you greater leverage with property managers and major customers. In many
cases, both parties want reassurance that a lawsuit won’t put you out of business.
Showing them your business owner’s policy certificate of insurance will give
them greater confidence in your staying power.

Let’s look more closely at how a business owner’s policy can protect your
business finances and property. 

1. Third-party bodily injuries. If your business is open to the public, you

are liable if they fall or get injured while on your property. A business
owner’s policy will cover legal and other expenses relating to the lawsuits
injured parties file against you.
2. Third-party property damage. If you or one of your employees damages
someone else’s property, you are responsible for the cost of repairing or
replacing that item. A business owner’s policy covers that cost for you.
3. Product liability lawsuits. If you manufacture products, your business
could be legally liable for any injuries they cause to third parties or to
someone else’s property. A business owner’s policy provides a financial
safety net.
4. Advertising injuries. If you or an employee commit libel, slander a third
party, or infringe on a firm’s copyright, you may be subject to legal action.
Your business owner’s policy will pay for your legal counsel and also
court settlements or judgments.
5. Business property damage. Most small businesses are exposed to fire,
theft, and weather-related damage risks. Without a business owner’s
policy, you would have to cover these losses yourself. With insurance,
your policy will provide funds to make repairs, replace damaged items,
and help your business recover

2.7. Competitors

23
 The competitors of the bank of Punjab are the other commercial bank in Pakistan such
as:
 Muslim commercial bank limited
 SONERI bank limited
 United bank limited
 Allied bank limited
 ASKARI bank limited
 Faisal bank limited
 Standard chartered bank limited
 Habib bank limited
 Habib metropolitan bank limited
 Bank al-HABIB limited

2.7.1. Top Competitors of the Bank of Punjab:

o BANK OF KHYBER. 1,411. $103 MILLION. ...
o ASKARI BANK. 4,981. $259 MILLION. ...
o KASB BANK. 111. $21 MILLION.
o BANK ISLAMI PAKISTAN. 2,640. $52 MILLION.
o DUBAI ISLAMIC BANK PAKISTAN. 732. $143 MILLION.
o JS BANK. 1,223. $184 MILLION.
o DHAKA BANK. 2,210. $225 MILLION.
o VENTURE BANK. 122. $33 MILLION.

2.8. Business Volume

Business Volume in terms of Investment, Current & Fixed Assets, Share Capital, Revenues,
Deposits, Advances, Income, and EPS for the last 5 years is as under:

2016 2017 2018 2019 2020

Total assets RS (M) 43,621 66,320 111,154 164,855 234,974
Revenue RS (M) 3,675 5,488 10,912 18,603 26562
Shareholder's
Equity RS (M) 3052 4,420 6,777 10,659 15,110
Investment RS (M) 11,458 16,198 18,026 28,233 73,462
Deposits RS (M) 34,938 54,724 88,465 137,728 191,968
Advances (net) RS (M) 18,344 39,439 63,624 101,320 133,894
Income RS (M) 831 1,368 2,353 3,804 4,446
EPS (Rs/share) Rs 6.86 9.08 10.01 13.14 10.51
ROI % 7 8 13 13 6

The Bank of Punjab is engaged in providing commercial banking and related services. The
Company's segments are Trading and sales, which includes fixed income, equity, foreign
exchanges, commodities, credit, funding, own position securities, lending and repos, and
brokerage debt; Retail banking, which includes retail lending and deposits, banking services,
private lending and deposits, trust and estates investment advice, merchant / commercial and
private labels and retail; Commercial banking, which includes project finance, real estate
24
finance, export finance, trade finance, lending, guarantees, bills of exchange and deposits;
Payment and settlement, which includes payments and collections, funds transfer, clearing and
settlement, and Agency service, which includes depository receipts, securities lending
(customers), issuer and paying agents. The Bank has over 400 branches, including a sub branch
and approximately 50 Islamic banking branches in Pakistan and Azad Jammu and Kashmir.

Number of employees: 9 681 people.

Sales per Business
2020
PKR (in Million) %
Retail Banking 57,694 68%
Corporate Banking 11,056 13%
Treasury 6,991 8.2%
Islamic 4,908 5.8%
Others 2,238 2.6%
Retail Finance Lending 2,037 2.4%
Sales per region
2019 2020 Delta
PKR (in Million) % PKR (in Million) %
Pakistan 50,658 100% 84,924 100.1% +67.64%
Managers and Directors
Name AgeSince Title
Zafar Masud 49 - President, Chief Executive Officer &
Director
Khawaja Farooq Saeed - - Chairman
NADEEM Amir - 1991 Chief Financial Officer
IMTIAZ Ahmad Sheikh - - Chief Information Officer
Saeed Anwar - 2013 Independent Director
Muhammad JEHANZEB Khan - - Non-Executive Director
Muhammad AMJAD SAQIB, Dr. - - Non-Executive Director
Muhammad Abdullah Khan - 2019 Director
SUMBAL
SHAHARYAR Ahmad - 2019 Director
GHAZANFAR Abbas JILANI - - Director
Equities

Quantity Free-Float Company-owned shares Total Float

Vote 

25
Stock A 1 2,643,692,380 2,643,692,380 100.0% 0 0.0% 100.0%
Shareholders
Name Equities %
State of Punjab (Pakistan) 1,519,404,845 57.5%
ADAMJEE Insurance Company Limited 16,976,500 0.64%
LAKSON Investments Ltd. 16,661,373 0.63%
HBL Asset Management Ltd. 15,524,500 0.59%
NBP Fund Management Ltd. 12,689,000 0.48%
MCB-ARIF Habib Savings & Investments Ltd. (INVT MGMT) 11,830,000 0.45%
ABL Asset Management Co., Ltd. 9,973,500 0.38%
ALFALAH GHP Investment Management Ltd. 9,484,000 0.36%
State Life Insurance Corp. of Pakistan 8,928,383 0.34%
Atlas Asset Management Ltd. 8,230,000 0.31%

2.9. Product Line:

1) Deposits Products:
 Current Deposit Account (CD)
 Salary Plus Account (SPA)
 Business TIJARAT Account (BTA)
 Life Current Account (LCA)
 ASAAN Current Account (ACA)
 KISSAN DOSAT Current (KDS)

2) Profit Loss Sharing Term Account:

Profit and Loss sharing Term Accounts offered by Bank of Punjab are!
 PLS Saving Account
 ASAAN Saving Account (ASA)
 Young Loin Saving Account ( New Product 2010 )
 Senior Citizen Account
 BAISHOMAR MUNAFA ACCOUNT
 ZIADA MUNAFA SAVING Account
 PLS-Saving Profit plus Account
 Corporate Premium Account
 Supreme Saving Account (PLS)
 Supreme Saving Account (FCY)
 Corporate Premium Account

3) Consumer Finance:

26
Types of consumer finance offered by Bank of Punjab are:
 AASAIH Loan
 Quick Cash
 Car Loan
 House Loan
 Small Cash Personal Loan
 BOP Motorcycle Loan

4) Commercial Finance:
The Bank of Punjab offers following Commercial Financing Loans:
 Running Finance
 Auto Lease Financing Scheme
 Car Lease Financing Scheme
 APNA GHAR Scheme
 Tractor Lease Scheme
 KISSAN Financing Scheme

5) Electronic Banking:
Electronic Banking provides non-stop banking convenience, twenty four hours a day, seven
days a week.
 Master Debit Card
 Internet Banking
 SMS Banking
 ATM Network
 BOP Quick pay
 Call Center

6) Services:
The Bank of Punjab is dedicate in its efforts to provide a quality banking experience to our
customer via a range of unique Banking Services
 Commercial Banking
 Online Banking
 Cash Management Services
 Utility Bills
 Lockers
 Treasury
 Western union Money Transfer

7) Agriculture Credit:
Agriculture credit is provided to the farmers and livestock organizations. Bank of Punjab
provides following agriculture loans with a specific markup rate:

27
 Green Tractor Lease Finance
 AGRI Finance Branch
 AGRI Finance Scheme
 KISSAN Dost Finance Scheme
 Second Hand Tractor Lease Finance Scheme
 KISSAN Dost AABIARI Scheme
 KISSAN Dost Mechanization Support Scheme
 KISSAN Dost Farm transport Scheme
 KISSAN ESLAHI-E-ERAZI Scheme
 KISSAN Dost Live Stock Development Scheme
 Livestock Breed Improvement Trough VVW
 KISSAN Dost Commercial Agro Services
 KISSAN Dost AGRI Mall Finance Scheme
 Corporate Farming Finance Scheme
 Commercial Lease Finances Tractor Scheme
 Demand Finance Sheds Construction and Civil Work
 Lease Finance Facility for Milked Animals
 Running finance livestock poultry
 KISSAN Dost modal dairy farms (PDDC)
 KISSAN Dost modal MALIK center (PDDC)
 KISSAN Dost green house finance facility
 KISSAN Dost cold storage finance facility
 Scheme for controlled shed
 Lease finance facility for installation of Bio-gas Plant
 Group finance to small farmers
 Clean credit facility through Syngenta franchises
 ZARKAASHAT Drip irrigation system
 Markup of schemes
8) Trade Finance:
Trade finance is a loan provided to the importers and exporters to make their transaction
effective. This enhances the global business. The bank of Punjab makes some trade
processing centers to cooperate the exporters and also to the importers in different cities of
Pakistan such as Lahore, Islamabad, Rawalpindi and Karachi.

28
 3. Organization structure
3.1. Organizational Hierarchy chart:

Chairman &
President

Board of
Directors
President’s
Secretariat

Secretary Board
of Directors

Corporate & Credit Management Audit & Inspection Compliance Group

Investment Banking Group Group
Group

HRM & Operation Commercial & Treasury

Administration Retail Banking Management Group
Group
Group Group

Special Assets Overseas I.T. Group

Management Group Management Group

29
BOP Head Office:

30
 Branches Network:

Branches Network –regions

 Lahore central-I Region
 Multan Region
 Lahore Central-II Region
 Faisalabad Region
 Lahore north Region
 Gujranwala Region
 Lahore south Region
 GUJRAT Region
 Peshawar Region
 Bahawalpur Region
 Islamabad Region
 D.G.KHAN ] Region
 Rawalpindi Region
 Jhelum Region
 Sialkot Region
 SHEIKHUPURA Region
 BAHAWALNAGAR Region
 SAHIWAL Region
 JHANG Region
 KHUSHAB Region

31
 Name Designation

Mr. Abdul GhafoorMirza Chairman

Mr. Farooq Ahmed Awan Director

Mr. Junaid Ashraf Khawaja Director

Mr. Muhammad NaveedMasud Director

Mr. RizwanUllah Khan Director

Mr. ShafqatMahmood Director

Mr. Tariq Bajwa Director

Mr. Tariq Mahmood Pasha Director

Mr. Naeemuddin Khan President

Mr. RazaSaeed Secretary to the

Board

Bop Management

Sr. No Designation Name

President Secretariat
1 President Mr. Naeemuddin Khan
2 Deputy CEO Mr. Khalid
SiddiqTirmizey

Audit & Risk Asset Review

1 Group Head Audit & Risk Asset Mr.
Review IjazurRehmanQureshi
2 Head RAR & BASEL Mr. Mansoor Akbar
3 Head MS & IS Audit Mr. Imran Bashir

Commercial & Retail Finance

Group
1 Group Head Commercial Banking & Mr. Liaquat Ali
Retail Finance

Business Planning & Development

Department
1 Head Business Planning & Mr. Salman Saeed
32
 Development Department

Retail Finance Division

1 Head Retail Finance Division Mr. S.M. Atif

Credit Administration
1 Head Credit Administration Division Mian Muhammad Sharif
2 Deputy Head Credit Administration Mr. ShahnawazSaeed
Division Khan

Compliance & Internal Control

1 Head Compliance & Internal Control Mr. Irfanuddin
2 Head Compliance & Internal Control Mr. Hafeezud Din

Corporate & Investment Banking

1 Head Corporate & Investment Mr. Khalid Qaiyum
Banking
Group-I
2 Head Corporate & Investment Mr. Asim Jahangir Seth
Banking
Group-II

Agriculture Credit
1 Head Agriculture Credit Mr. Abdul
QayyumSukhera

Finance
1 Chief Financial Officer Mr. Nadeem Amir
2 Deputy Head Finance Mr. Muhammad
IqbalShahzad

Human Resource
1 Group Head Mr. MoghisBokhari
2 Deputy Head (Acting) Mr. SohaibQureshi
3 Head / Principal Officer's Training Syed Zaki Ahmad
Institute
4 Head Security / Transport Lt. Col. (Retd.) Sajid Ali
Khan

Legal
1 Head Legal Syed
MudassarHussainNaqvi

Retail Banking
1 Group Head Retail Banking Mr.
ShahidWaqarMahmood
2 Head Media & Advertising Mr. Ahmed RaziGhazali
& R.C Lahore South
3 Regional General Manager North Mr. AmerMumtaz
4 Regional General Manager Center Mr. Amir Hassan
33
 Risk Management
1 Chief Risk Officer Mr. Tariq Maqbool

Operations, I.T & General

Services
1 Group Head Operations, I.T & GSD Mr. Faqir Syed Azm Ali
2 Head Information Technology Mr.
AzharHussainDilawari
3 Head Administration Mr. Muhammad
Nauman
4 Head General Services Col. (R) Tenwirul
Hassan

Special Projects
1 Group Head Special Projects Mr. SajjadHussain

Special Assets Management

1 Head Special Asset Management- Mr. Aamir Malik
Commercial
2 Head Special Asset Management Mr. Mahboobul Hassan
Transaction Banking
1 Group Head Transaction Banking Mr. Mustafa Hamdani
Group & Equity Capital Market

Treasury
1 Head Treasury Mr. KhawarShahid
Ansari

3.2. Campus Wise Hierarchy:

34
3.3. Number of employees:

The bank of Punjab is the total employees 23 in the main branch of the kasur city

Area manager = 01

Branch manager=01

Operation manager=01

Personal banking=02

Customer service officer=01

Cash officer=05

Casher =05

Other employee=07

35
 DESIGNATION NO OF EMPLOYEES
President 1
Senior Executive vice president 1
Executive vice president 1
Vice president 1
Assistant vice president 1
Branch Manager 36
Manager Operations 36
Credit Manager 36
Manager Finance 15
Manager Marketing 36
Manager Foreign Exchange 20
Manager Consumer Finance 15
Legal Advisor 36
IT Officer 80
Cash Officer 75
Accounts Officer 50
Clearing Officer 68
BDO 94
Teller 95
TOTAL 722

3.4. MAIN OFFICE:

1) Main office bank of Punjab:

Head office/ registered address (BOP)

BOP tower, 10-B, Block E-II, Main Boulevard Gullberg III Lahore
UAN: 111-200-100
TEL: (042) 35783700-10
FAX: (042) 35783713-35783975

2) MAIN BRANCH LAHORE:

CHIEF MANAGER
TEL: (042) 99200419-99200187
FAX: (042) 99200351

3) BRANCHLESS BANKING:

KHIDMAT CARD
TEL: 042-111-333-267

4) LEARNING AND DEVELOPMENT CENTRE:

2ND FLOOR, BACHS BUILDING, BEDIAN ROAD, LAHORE CNTT.

TEL: (042) 37167782

36
 5) RETAIL FINANCE DIVISION:

TEL: (042) 99268090

6) PEP (POLITICAL EXPOSE PERSON):

NAME OF DESIGNATIVE PERSON: RAQIA MANSOOR MALIK

3.5. Brief Introduction of all the Departments

The department and division of bank of Punjab are as follow:

 Retail banking division:

Retail banking division of the bank deals with the customer and executes
their transaction directly. It provides the service of saving account,
mortgage loans, personal loans, debit cards, accounts checking, credit
cards, ATM cards.

 Special assets management division:

The bank will invest on behalf of its clients and give them access to a
wide range o traditional and alternative product offerings that would not
be to the average investor. It includes the automatic sweep of each
balances into a money market fund, as well as brokerage service.

 Credit administration division:

In this division, banks deals with the credit, banks give loans to
individuals and to the corporations.

 Human resource division:

This division performs the duty of hiring the employees, training the
employees as well as retaining the employees and if necessary, firing the
employees.

 Finance division:
This division controls the overall activities relating to finance i.e.
monitoring the investment activities, financing activities, debit and credit
of fund and reasons thereof with proofs.

 Information technology division:

This department controls and record the data related with the bank. The
backup of all branches is sent to IT department on daily basis.

 Operation division:
This division controls the whole operation of all the branches and
controls the cash activities, cheques, account opining and other things
about operations.

37
 Credit risk management division:
 Corporate banking division:
 Control and compliance division
 Training, research, communication and public division:
This division conducts research on new products. Trains newly hired
employees, train old employees on new and innovative circulars in
banking sector. It also provide training on customer relation
management.

 Consumer banking division

 Audit and inspection division:

This department of bank includes the audit of all the branches: they do
audit of the branches and give some opinions to execute their
transactions.

 Law division:
In this division of BOP, lawyers are employees to solve the cases of the
bank.

3.6. Comments on Organization Structure BOP:

a) Division of labor:

The structure of the bank of Punjab is division into division and these divisions
are further division into departments. This type of structure helps the
management in controlling the operations of the bank effectively. Each division
is responsible for its respective duties.

b) Span of control:

Span of control among hierarchical structure is clearly defined. Each department

reports to the central department and then central department report to the head
office.

c) Communication:

Communication among the organizational departments is easy. Horizontal and

vertical communication among departments is very effective.

4. Internship Plan:

38
 4.1. Introduction Branch:

BANK OF PUNJAB NEAR KASHMIR CHOWK, SHAHBAZ KHAN ROAD,

KASUR.

Bank of Punjab opened its branch near Kashmir chowk, shahbaz khan road, kasur in
2000. The code of branch is 0016.

Operation of the branch are controlled by branch manager and operation manager.
Staff of the branch is consist on branch system administrator, operation staff
(including officer, Grade ll officer, Grade lll officer and two cash officers).

4.2. Starting and ending dates of internship:

I started internship on 16th December, 2020 which ended on 26th January, 2021

4.3. Name of training department and duration:

The duration of the internship program was six week. The staff of the branch was
much cooperative. They imparted me training in all department of the branch i.e.
account opening, account department, remittance department, clearing department,
bills / collection, credit and advance.

5. Training Program:

5.1. First Day in Bank of Punjab:

I started my internship program on 16th December, 2020 which ended

th
on 26 January, 2021. On first day of my program I was briefed by the branch
manager about different branches of the bank I was also old the major rules and
regulations which were being observed by the management of the bank I was also
giving some briefing by the Manager Operation which proved as a miles stone
during my internship program. Then I started my working in accounting opening
department.

5.1.1. Account Opening Department:

In this department, I worked for the period from 16th December, 2021 which
ended on 26th January, 2021.

5.1.1.1. Account Opening Procedure:

A. Account Opening Form:

39
 Customer approach to bank and an account opening is given to him for
competing and signed by the account holder at different places of the form.

B. Completion of the Form:

Account form is completed in all respect and checked by the bank officer and is
duly signed by the customer which is also verified by the Operation Manager.

C. Specimen Signature Card (SSC):

Signature specimen card is compulsory for opening an account in the bank.

Without getting signature of customer you cannot open the account.

D. Signature Difference Form:

Client signature differs from the CNIC, the signature of the client is taken on a
signature difference form.

E. Computerized Checking:

The bank officer connected via internet to the NADRA website checks the
record of his customer's social life. If the record of the person is ok, then the
officer of the bank authenticates the record under his signature and stamp and
send it to the Branch Manager.

F. Account Number:

Account number is written on the CHEQUE book requisition. After completion

of all procedures, the bank prepares a letter and sends it to the client at his postal
address to pay gratitude to the customer.

G. CHEQUE Book Issuance:

The first CHEQUE book consists of 25 leaves and no charges are deducted from
the account the account of client. There after bank sends a recommendation for
25, 50 and 100 leaves with different prices and charges are deducted from the
account of clients.

H. Procedure for Closing of an account:

If customer wants to close the account, he fills up an account closing form and
signs there in. Account balance should be zero, approval is taken from the
Branch Manager Specimen card is taken back and is attached with the form and
account is closed.

40
I. Procedure of issuance of Bank Statement:

A Requisition slip is taken from the customer duly signed and the period from
which the customer wants to take the statement. After verification of signature
Bank Statement is issue to the customer.

J. Procedure for ATM/PIN Issuance:

Bank of Punjab provides the ATM facility to its Customers and they can
withdraw their amount at any time through ATM. For issuance of AIM,
customer has to sign an ATM form and Bank office make an entry in the system
and within 15 days bank receives ATM card from Head Office which is given to
the customer.

5.1.1.2. Account department:

When I complete my training in account opening department, the branch

manager sent me to account department. I worked in account department from
on 16th December, 2020 which ended on 26th January, 2021.

Account department is responsible for budgeting keeping record of the revenue

and expenses all transaction that are take place in the bank and their physical
prove (voucher) are come to the account department next day these voucher are
also posted to computer and the computer generated report of daily transaction is
created in IT department and then they send to the account department to match
or tell to computer generated report and their voucher of daily transaction and
save it as a physical record that these transaction are take place in the bank at
following date. The report generated by the account department on a daily,
weekly, monthly, bi-yearly and yearly is written in a proper format. It is neither
necessary nor possible to get acquainted by all of these report in a short period of
time.

Some of the common report are: monthly assets & liabilities, monthly budget
review report, monthly monitory statement, monthly performance review report
and monthly fixed investment. For these statement, five report carry extreme
important. The five report are: daily position of advance and deposit, statement
of affairs, daily exchange position report, fixed assets statement and monthly
review of performance.

The account department of BOP has to record even the minor expenses of the
branch like tea for staff, stationary for the branch.

5.2. Remittance Department:

I worked in Remittance Department from on 16th December, 2020 which ended
on 26th January, 2021. Remittance department transfers the fund form one back

41
 to another hank and one place to another place. In this department collection take
place. The bank of Punjab makes payment of only open CHEQUE on the
counter and prohibits the payment of crossed CHEQUE. Bank of Punjab transfer
money from one place to another place by way of payment order, demand draft,
inward collection, outward collection.

5.2.1. Demand draft:

An order to pay money to the payee who is residing outside the city, Demand
draft can be for a customer who may or may not have and account in the bank
but the other person's account must be maintained with the bonk for which the
payer has demanded the demand draft.

5.2.2. Payment order:

Pay order is order money but this payment is to be made within city. In other
words it can be said that the payee should be in one city. In pay order payment
can be made in cash, clearing and transfer.

5.3. Clearing Department:

I worked in clearing department from on 16th December, 2020 which ended on
26th January, 2021 learnt their about clearing of different CHEQUES and
remittance handling. I was told there the main objects of clearing.

I received all the clearing CHEQUES and made a schedule of these CHEQUES
after making entries in outward and inward clearing registers and sent the same
to main branch where at all the cheques were sent to NIFT(National Institutional
Facilitation Technology).

5.3.1. NIFT:
NIFT stand for National Institutional Facilitation Technologies. Clearing house
of SBP has shifted a part of its work to private institution names NIFT. NIFT
collets CHEQUES, demand draft. Pay order, traveler’s cheques ete. From all
branches of different banks within city through its carriers and send those to the
branches on which these are drawn for clearing. NIFT prepare a sheet for each
branch and send it to each branch as well as to State Bank of Pakistan where
accounts of Banks are settled.

Types of clearing:
 Inward clearing:

When CHEQUES of other Banks are deposited in our bank, after clearing these
CHEQUES through NIFT by the other Banks on which these are down.
Accounts of customers are credited.

 Outward clearing:

42
 When CHEQUES of our bank are deposited in other Banks and these
CHEQUES are sent to us for verification, we debit the client after verification
their account.

5.3.2. Bill for Collection Department:

I worked in Bill for Collection from on 16th December, 2020 which ended on 26th
January, 2021. Bill for collection is the clearing procedure for CHEQUE, draft,
bill of exchange, and promissory note in case that a collection branch and a
paying branch are located in different clearing areas.

Bill of collection provides service to their customer to get payment from the
nearer bank at nominal charge.

5.3.3. Advance and Credit Department:

I was worked in advance and credit department from on 16th December, 2020
which.ended.aon.26th January, 2021. Advances and credit department is the most
important department in the bank in this department advances are giving to the
business man, exporter etc. before giving advance, credit worthiness of the
borrower is taken into account i.e. character, capacity, collateral, credit terms etc.
advances are also given to different hanks.

6. Structure of your concerned specialization department

Finance:

6.1. Department hierarchy:

Bank of Punjab department hierarchy.

43
 Branch
Manager

Deposits E- Clearance Advances HR Pension Cash

Dept Remittances Dept Dept Dept Dept Dept

Account Bills
Opening Section

6.2. Number of employees working under Finance:

The bank of Punjab is the number of employees working under finance department
is the main branch is the maximum five employees is the finance working. For
example is the casher, etc.

6.3. Mention any sub-department if exists under Finance:

The bank of Punjab is the sub department if exists under finance

Operation manager is the work of the cash operation. Casher, Amount depositor,
amount withdraw, sale person, etc.

7. Marketing Functions

7.1. Briefly discuss about the 4P’s of the organization:

This chapter concerns the four P‘s of marketing. The marketing mix framework of the
four
P‘s is used as a device and tool for data gathering in every case study. The four Ps are
also
later used to analyze the cases, this is where the four P‘s develop into the four A‘s of the

44
 BOP. The four P‘s will now be explained in depth, so that the data gathering and
development
Of the cases is easier.

The marketing mix has its origins in the 60's. Neil Borden (1964) identified twelve
Controllable marketing factors that could if properly managed result into a "profitable
business
Operation". Later Jerome McCarthy (1964) reduced Borden's factors to a simple four-
element framework: Product, Price, Promotion and Place. This framework was and still
is embraced by marketing managers and academics as an essential element of marketing
theory and operational marketing management (Constantine’s, 2006).and by identifying
the four P‘s as the controllable parameters likely to influence the consumer buying
process and decisions (Constantine’s, 2006), could be the first steps to further
development of a BOP marketing strategy.

45
 A marketing strategy specifies a target market and a related marketing mix, and thereby
the consumer. It is the big picture of a company objective in some market. Moreover a
marketing strategy can have some different changes, because managers who embrace
the marketing concept realize that they cannot just define their line of business in terms
of the products they produce or sell. They have to think about the basic consumer needs
they serve, how those needs may change in the future and how they can improve the
value they offer to consumers. Marketing oriented managers are always looking for
attractive opportunities (Perreault, Cannon, & McCarthy, 2010).
7.2. Target market:

Product: Promotion: Price: Place:

- Physical good - Objectives - Objectives - Objectives
- Service - Promotion blend - Flexibility - Channel type
- Features - Salespeople: - Level over product - Market exposure
- Design Kind, life cycle - Kinds of
- Benefits number, - Geographic terms intermediaries
- Quality Selection, - Discounts - Kinds of locations
- Accessories Training, - Allowances of stores
- Installation motivation - How to handle
- Instructions - Advertising: transporting and
- Warranty - targets, storing
- Product lines kinds of ads, - Service levels
- Packaging media type, - Recruiting
- Branding copy thrust, intermediaries
prepared by - Managing channels
- Sales promotion
- Publicity

8. Human Resource Management

VIII.1. Briefly discuss about the HR practices of the

organization:
Function of HR Department Human resource planning and forecasting BOP use the
following methods for forecasting Zero base forecasting in this method BOP use present
level of employment as the starting point for determining the future staff needs in
BANK OF PUNJAB. Bottom up approach by using this method BOP start with the
lowest and forecast its employee requirements in order to ultimately provide and
aggregate for caste of employment requirements. Use of mathematical models BOP also
use this method to determine its HR requirements. This method is use to determine the

46
relationship between the demand and supply of the employee available. Simulation is
used for experimenting with real world situation through a mathematical model
representing that situation.

VIII.2. Employee’s recruitment and selection:

Employees Recruitment and Selection Sources of candidates Internal sources and
External sources Internal sources Job posting/transfer Promotion for employees
External sources by advertising vacant post in Electronic and print media.

 Employment Selection Process Advertisement in Media Application, CV’s of

Candidates Short listing at HR group, Head office Lahore Call Letter for Written tests
Short listing and Call letter for Interviews Selection of Candidates from Interviews Job
offer letters, Orientation and Training of Successful Candidates.

VIII.3. Training & development:

Training & Development Training Need Assessment Identify performance requirements
Fulfilling the organizational goals and objectives Employees behavior Employee
Development Up grading the employee’s skills Enables the employees to excel and
grow in highly congenial employment condition and culture.

VIII.4. Performance management:

The performance of the branch has improved to a great extent; this is can be by the
number of deposit and degree of satisfaction of customer.

VIII.4.1. Performance is the term of customer satisfaction:

The customer are much satisfied as I observed during my internship; there is a good
relationship between customer and clients. The staff is the branch is very quickly to
respond the queries of customer.

VIII.4.2. Performance is the term of number of deported:

The performance of the branch can be measured from the number of deposits. Currently
the performance of the branch is very good. The number of deposits is increasing. The
average number of new account opened in a day are 5 to 6. This is very good
performance of the branch.

VIII.5. Compensation policy:

47
 Employees Compensation & Benefits BOP provide the following compensation and
benefits to its employees Provident fund and pension funds Annual increment in pay
Promotions Sick leave Medical insurance Overtime pay Bonuses on EID-UL-FITAR
and EID- UL-AZHA Performance base award Specific quota has also been allocated to
employee the children of retired NBP Staff Hajj facility for regular and retired
employees

Organizational Career Management Job changes within the Organization Promotion

Transfer Demotion Separation Layoff Termination Resignation Retirement

Labor management relations Arrange variety of shows for the employee’s families
Provide educational funds Instant aid to any accident Incentives to on the job deceased

9. FINANCIAL ANALYSIS
(FINANCE SPECIALIZATION)
Five Year Balance Sheet
2015 2016 2018 2019
2020

(Rupees in 000)

ASSETS
Cash & balances with treasury 19,708,518 banks

Balances with other banks 3,183,957

Lending to financial institutions -
Investments 35,503,196
Advances 83,931,400
Fixed assets 4,280,504
Deferred tax assets -
Other assets 3,226,959

154,834,534 248,313,793 275,685,541 328,895,152

2,233,671

12,723,830
LIABILITIE 129,714,891
Bills Payable 1,899,480

- 48
275,834
2,275,344
 Borrowings

Deposits & other accounts

Sub- Ordinated loans

Lia against asset subj to finance lease

Deferred tax liabilities

Other liabilities

149,655,669 240,849,667 263,443,596 312,675,308 331,946,025

NET ASSETS 5,261,484 7,464,126 12,241,945 16,219,844 17,044,739

PRESENTED BY

Share capital 2,500,000

Reserve 1,008,772
Un appropriated profit 860,300

6,387,372
Surplus on revaluation of assets-net of 4,369,072 Tax

12241945 7,464,126 12,241,945 16,219,844 17,044,739

(Data Source: BOP Financial Statements)

Structure Of Finance & Accounts Department:

Accounts department is a backend department at BANK OF PUNJAB KASUR performs the
following Accounting Operation:
Reports
It generates reports like Statement of Account Activity (a report on the activity of all accounts),
Statement of Affairs (a report on the assets and liabilities), Statement of Foreign Exchange (a
report on the foreign exchange currencies at the bank) and Statement of Profit and Loss (a
report on the income and expenditures of BOP KASUR0016 These reports can be generated at
daily, weekly, monthly, quarterly or yearly basis as required by the bank.
Income and Expense
The department also needs to calculate the revenues and expenses, control expenditure and
forecast profits every month.
Budget

49
 Formulation of yearly budgets & targets in consultation with the branch manager is also done
by the accounts department.
20,947,333 33,633,735 43,788,628 50,569,481 60,940,798
Activity Checking
Daily activity checking and monitoring is 6,559,398 10,321,768 13,634,912 16,940,011 23,884,768
done by the accounts department of the 14,387,935 23,311,967 30153,716 33,629,470 37,058,030
whole bank.
Storage of Records 1,515,354 2,446,739 3,075,723 4,723,084 10,590,565
Accounts Department also has the duty to 185,707 (245,881) (709,461) (40,248) 373,249
store vouchers and system generated
reports. 14,297 - - - 4,000
Payments 32,807 23,069 5,284 39,899 ____-___
The accounts department is responsible to
pay vendors on behalf of the bank with 1,748,165 2,223,927 2,371546 4,722,735 10,970,814
authorization from the branch manager. It 12,639,77 21,088,040 27,782,170 28,906,735 26,087,216
also has to amortize large payments and 0
calculate depreciation of branch assets. 4,926,604 6,144,628 6,781,683 7,925,370
5,099,195
1,718,478 2,891,755 3,263,246 2,878,932
1,273,863
1,205,638 1,333,840 1,042,827 3,969,057
1,008,988
- 1,169,515 2,341,690 395,427
-
-
-
- (4,464) (31,964) 1,707
-
1,573,905 627,618 147,363 1,245,369
FIVE YEAR PROFIT AND 875,113
9,424,625 13,544,845 16,415,862
12,162,892
LOSS STATEMENT 8,257,159
30,512,665 39,945,062 42,451,580 42,503,078
20,896,92
11,195,133 13,443,441 14,205,911 18,171,198
9
2016 2017 2018 2019 198,298 (17,283) 168,027
2020 747,521
8,878,801
63,206 208,327 17,141 583,361
32,243
(Rupees in 000)
11,456,637 13,634,485 14,391,079 19,502,080
8,284_
19,056,028 26,310,577 28,060,501 23,000,998
8,919,328
Mark-up / return / interest earned
- - - -
Mark-up / return / interest expensed
11,977,60
1 19,056,028 26,310,577 28,060,501 23,000,998
Net mark-up / return / interest income
- 7,154,002 8,695,598 8,311,500 11,762,650
Provision against non-performing advances
11,977,60 (1,098,709) 530,652 391,497 -
Provision for / diminution in the value of Investments 1
291,291 61,981 323,731 (4,220,240)
Provision against off balance sheet obligations 4,950,000
6,346,584 9,288,231 9,026,728 7,542,408
Bad debts written off directly 847,958
12,709,444 17,022,346 19,033,773 15,458,590
Net mark-up /interest income after provisions (15,729)
9,161,747 19,372,523 32,074,677 45,344,188
Non mark-up / interest income 5,782,229 43,221 ---------- 39,007 130,456
Fee, commission and brokerage income 21,914,412 51,147,457 60,933,234
36,394,869
6,195,372 21.51 23.34 17.48
Dividend income 20.88
5,892,902
50
45,496
12,133,77
0
10,48
Income from dealing in foreign currencies

Gain on sale of securities-net

Unrealized gain/(loss) on revaluation of investments

Classified as held for trading

Other income

Total non-markup / interest income

Non mark-up / interest expense

Administrative expenses

Other provisions / write offs

Other charges

Total non-markup / interest expenses

Extra ordinary / unusual items

Profit before taxation

Taxation - Current

- Prior years

- Deferred

Profit after taxation

Unappropriated profit brought forward

Transferred from surplus on revaluation of

Fixed assets on account of incremental depreciation

Profit available for appropriation
Basic and diluted earnings per share-after tax

(Data Source: BOP Financial Statements)

9.1. RATIO ANALYSIS

Ratios provide the means of showing the relationship, which exists between, figures of the
Balance Sheets and Income Statements. The analysis is undertaken to assess important
characteristics of business like liquidity, solvency and profitability. A study of these aspects
enables drawing conclusions as to financial requirements and capabilities of business units.
Ratios may be classified in a number of ways to suit any particular purpose. Different kinds of
ratios are selected for different types of situations. Some of the ratios calculated for BOP are
given below.
9.1.1. LIQUIDITY RATIO:

51
Comparison gives an indication of the short-term debt paying ability of an entity. Since a bank
is also a business firm so to maintain adequate liquidity is also crucial to carry out business
activity.
Current Ratio
It is used to measure the ability of an enterprise to meet its current liabilities out of current
assets.

Current Ratio = Current Assets / Current Liabilities

(Rupees in’000)
2016 2017 2018 2019 2020
Current Assets 340,134 7,550,223 19,425,608 29,526,710 33,228,530

Current liabilities 119,340 4,903,849 16,952,908 26,983,946 29,328,629

Current Ratio 2.85 1.54 1.15 1.09 1.13

CURRENT RATIO

2.5

1.5 North

0.5

0
2005 2006 2007 2008 2009

INTERPRETATION

The current ratio of BOP, for the year 2020, is 1.13 times of current liabilities. It is good to
meet the short-term obligations, when compared with the current ratio 2008, which is 1.09

52
times of current liabilities. The company should maintain minimum limit of current ratio for
Bank i.e.1.

9.1.2. Net Working Capital

Working capital compares current assets to current liabilities, and serves as the liquid reserve
available to satisfy contingencies and uncertainties. A high working capital balance is mandated
if the entity is unable to borrow on short notice. The ratio indicates the short-term liquidity of a
business and in determining if a firm can pay its current liabilities when due.

Net Working Capital = Current Assets – Current Liabilities

(Rupees in ‘000)
2016 2017 2018 2019 2020
Current Assets 340,134 7,550,223 19,425,608 29,526,710 33,228,530

Current liabilities 119,340 4,903,849 16,952,908 26,983,946 29,328,629

Net Working 220,794 2,646,374 2,472,700 2,542,764 3,899,901

Capital

NET WORKING CAPITAL

4000000
3500000
3000000
2500000
2000000 North
1500000
1000000
500000
0
2005 2006 2007 2008 2009

INTERPRETATION

Net working capital of 2020 increases from year 2019. This is safety cushion to creditors. The
volume of net working capital is showing positive trends.

53
9.1.3. DEBT RATIOS / SOLVENCY RATIONS
Solvency is a company’s ability to meet its long-term obligations as they become due. An
analysis of solvency concentrates on the long-term financial and operating structure of the
business.
Debt to Asset / Debt Ratio

Provides information about the company's ability to absorb asset reductions arising from losses
without endangering the interest of creditors.

Debt Ratio = Total Liabilities / Total Assets

(Rupees in ‘000)
2016 2017 2018 2019 2020
Total Assets 497,393 8,434,280 21,308,247 32050073 35,368,894

Total liabilities 119,340 4,903,849 16,952,908 26,983,946 29,328,629

Debt Ratio 0.2399 0.5814 0.7956 0.8419 0.8292

DEBT RATIO

0.880

0.660

North

0.440

0.220
2005 2006 2007 2008 2009

INTERPRETATION

Creditors prefer low debt ratio, debt ratio shows that how much asset the company has to honor
their obligations. This ratio is increased from 0.8419 to 0.8292. This is a good for the company
because the company has 1 asset to pay 0.8292 debts.

54
9.1.4. Debt to Equity Ratio
Indicates how well creditors are protected in case of the company's insolvency. The debt to
equity is a significant measure of solvency since a high degree of debt in a capital structure may
make it difficult for the company to meet interest chargers and principal payments at maturity.

Debt to Equity Ratio = Total Debt / Total Stockholder’s Equity

(Rupees in ‘000)
2016 2017 2018 2019 2020
Total Debt 119,340 4,903,849 16,952,908 26,983,946 29,328,629

Total Equity 418,185 3,917,480 5,126,230 6,017,780 6,776,030

Debt to Equity 0.285 1.252 3.307 4.484 4.328

Ratio

DEBT TO EQUITY RATIO

2 North

-1
2005 2006 2007 2008 2009

INTERPRETATION

Debt to equity ratio is the relationship borrowed funds and owner’s capital and equity multiplier
is the relationship between total assets and total equity. But it is good that the ratio is decreasing
in 2020 than 2019. The overall leverage position is showing better trend as compare to previous
years.

55
9.1.5. PROFITABILITY RATIOS
This ratio shows that what percentage of net profit to the total income is.

Net Profit Margin

This ratio measures the firm’s profitability of sales/ interest earned after taking account of all expenses
and income taxes. This ratio can be calculated as:

Net Profit Margin = Net Profit / Revenue *100

(Rupees in ‘000)
2016 2017 2018 2019 2020
Net Profit 619,537 1,270,944 1,702,234 1,903,377 1,545,859

Revenue 2,094,733 3,363,373 4,378,862 5,056,948 6,094,079

Net Profit 29.57% 37.79% 38.87% 37.64% 25.37%

Margin

NET PROFIT MARGIN

40.00%
35.00%
30.00%
25.00%
20.00% North
15.00%
10.00%
5.00%
0.00%
2005 2006 2007 2008 2009

INTERPRETATION

From the calculation it is very much clear that the performance of BOP is very good still to 20018. And
the trend is upward. It tells us a firm’s net income per rupee of revenue. As the trend is upward it shows

56
the high profits in revenue per rupee in case of BOP. It is because of high advances the BOP has given
to the people but in 2019 the ratio trend is downward which not good for BOP.

9.1.6. Return on Equity

Measures the income earned on the shareholder's investment in the business.
Return on Equity = Net Income / Average Total Equity

(Rupees in ‘000)
2016 2017 2018 2019 2020
Net Profit 619,537 1,270,944 1,702,234 1,903,377 1,545,859
(After Tax Profit)
Total Equity 2,489,976 3,615,847 5,304,464 6,927,063 8,136,700

Return on Equity 24.88% 35.15% 32.09% 27.48% 18.99%

RETURN ON EQUITY

40.00%
35.00%
30.00%
25.00%
20.00% North
15.00%
10.00%
5.00%
0.00%
2005 2006 2007 2008 2009

INTERPRETATION

It is decreasing every year with different rate. This condition is not good for BOP because every
investor want to earn high income on his investment.

9.1.7. Return on Total Assets

Measures the company's ability to utilize its assets to create profits.

Return of Total Assets = Net Income / Average Total Assets *100

57
 (Rupees in ‘000)
2016 2017 2018 2019 2020
Net Profit 619,537 1,270,944 1,702,234 1,903,377 1,545,859
(After Tax Profit)
Total Assets 55,323,146 57,771,911 63,513,271 76,219,359 81,775,832

Return on Total 1.12% 2.20% 2.68% 2.50% 1.89%

Assets

RETURN ON TOTAL ASSETS

3.00%

2.50%

2.00%

1.50% North

1.00%

0.50%

0.00%
2005 2006 2007 2008 2009

INTERPRETATION

The results show that the Return on Asset are decreased which show that the BOP Assets are
not properly utilize in 2020 or maybe there are no proper environment for Banking sector
because in 2019 Pakistan face the economic crisis.

9.1.8. BANK SPECIAL RATIO

Investment to Asset Ratio
Investment to Total Assets = Investment / Total Assets

(Rupees in ‘000)
2016 2017 2018 2019 2020
Investment 113,930 832,925 2,974,087 3,019,266 2,822,723

Total Assets 497,393 8,434,280 21,308,247 32,050,073 35,368,894

58
 Investment to 0.22 0.10 0.14 0.09 0.08
Total Assets

INVESTMENT TO ASSET RATIO

0.3
0.25
0.2
0.15 North
0.1
0.05
0
2005 2006 2007 2008 2009

INTERPRETATION
This ratio indicates that out of total asset how much bank utilize its asset for further
investing. This ratio in decrease in 2020, which is not useful for the bank to enhance its
revenues.

9.1.9. Advances to Deposit Ratio

Advances to Deposit Ratio = Total Advances / Total Deposit

(Rupees in ‘000)
2016 2017 2018 2019 2020
Total Advances 3,195,575 3,273,957 11,347,979 18,073,501 20,589,613
Total Deposit 4,655,717 4,322,621 16,114,461 25,458,910 27,980,906
Advances to 68.64% 75.74% 70.42% 70.99% 73.58%
Deposit Ratio

ADVANCES TO DEPOSIT RATIO

80.00%
70.00%
60.00%
50.00%
40.00% North
30.00%
20.00%
10.00%
0.00%
2005 2006 2007 2008 2009

INTERPRETATION

59
Loans or advances are the major assets of a bank while deposits are major liabilities of a bank.
Higher ratio shows the better solvency of bank.

9.1.10. Cash to Deposit Ratio

Cash to Deposit Ratio = Cash / Deposit

(Rupees in ‘000)
2016 2017 2018 2019 2020
Cash 944,465 719,833 1,992,425 2,691,572 2,932,264

Total Deposit 4,655,717 4,322,621 16,114,461 25,458,910 25,980,906

Cash to Deposit 20.29% 16.65% 12.36% 10.57% 11.29%

Ratio

CASH TO DEPOSIT RATIO

20.00%

15.00%

10.00% North

5.00%

0.00%
2005 2006 2007 2008 2009

INTERPRETATION

This ratio shows that how much cash you have to pay the liabilities (deposits). As this ratio
show that company has fewer amounts of cash than deposits. It also indicates that bank is
investing so the bank is enhancing its business. But at the same time it could be risk for bank
for liquidation.

9.1.11. Equity to Assets

Equity to Assets = Equity / Total Assets

(Rupees in ‘000)

60
 2016 2017 2018 2019 2020
Equity 418,185 3,917,480 5,126,230 6,017,780 8,136,700

Total Assets 497,393 8,434,280 21,308,247 32,050,073 35,368,894

Equity to Total 47.50% 46.45% 24.06% 18.78% 19.16%

Assets

EQUITY TO ASSETS

50.00%

40.00%

30.00%
North
20.00%

10.00%

0.00%
2005 2006 2007 2008 2009

INTERPRETATION

This ratio shows the position of equity in total assets of business. This ratio is in increasing
trend. But the bank should increase its equity by increasing the wealth of shareholders.

9.1.12. Equity to Deposits

Equity to Deposit = Equity / Deposits

(Rupees in ‘000)
2016 2017 2018 2019 2020
Equity 248,997 3,917,480 5,126,230 6,017,780 8,136,700

Total Deposits 655,717 8,322,621 16,114,461 25,458,910 25,980,906

Equity to Total 37.97% 47.07% 31.81% 23.64% 31.32%

Deposits

EQUITY TO DEPOSITS

61
 60.00%

45.00%

30.00% North

15.00%

0.00%
2005 2006 2007 2008 2009

INTERPRETATION

This ratio shows that how much equity part is there in total structure. The capital advocacy
requirement is 28%. The bank was not fulfilling the requirement in 2016 & 2017 but now bank
has 31.32%, which is good.

9.1.13. Earnings per Share

Earnings per Share = Net Income / No of Ordinary Shares

(Rupees in ‘000)
2016 2017 2018 2019 2020
Net Profit 619,537 1,270,944 1,702,234 1,903,377 1,545,859
(After Tax Profit)
No of Ordinary 49,241,062 59,089,274 70,907,129 81,543,198 89,697,510
Shares
Earning Per 12.58 21.51 24 23.34 17.23
Share (EPS)

EARNING PER SHARE

62
 24

20

16

12 North

0
2005 2006 2007 2008 2009

INTERPRETATION

As their earnings per common share is good year by year it mean that results of the ratio
indicate that firm has paid a handsome return on investment showing the profit generations.
Because the company’s net income is increasing gradually. As shown above the bank basic
earnings per share is increasing due to increase in net income. This shows how much profit each
share has earned in any particular year. It is most important ratio for peoples who decide about
investing their money. Although it decreased in 2020 but the overall performance is good.

9.1.14. Return on Total Investment

Measures the income earned on the shareholder's investment in the business.

Return on Investment = Net Income / Total Investment

(Rupees in ‘000)
2016 2017 2018 2019 2020
Net Profit 619,537 1,270,944 1,702,234 1,903,377 1,545,859
(After Tax Profit)
Total Investment 2,489,976 3,615,847 5,304,464 6,927,063 8,136,700

Return on 24.88% 35.15% 32.09% 27.48% 18.99%

Investment

RETURN ON INVESTMENT

63
 40.00%
35.00%
30.00%
25.00%
20.00% North
15.00%
10.00%
5.00%
0.00%
2005 2006 2007 2008 2009

INTERPRETATION

It is decreasing every year with different rate. This condition is not good for BOP because every
investor want to earn high income on his investment.

9.1.15. Return on Fixed Assets

Measures the company's ability to utilize its fixed assets to create profits.

Return on Fixed Assets = Net Income / Average Fixed Assets *100

(Rupees in ‘000)
2016 2017 2018 2019 2020
Net Profit 619,537 1,270,944 1,702,234 1,903,377 1,545,859
(After Tax Profit)
Total Fixed 55,323,146 57,771,911 63,513,271 76,219,359 81,775,832
Assets
Return on Fixed 1.12% 2.20% 2.68% 2.50% 1.89%
Assets

RETURN ON FIXED ASSETS

64
 3.00%

2.50%

2.00%

1.50% North

1.00%

0.50%

0.00%
2005 2006 2007 2008 2009

INTERPRETATION

The results show that the Return on Asset are decreased which show that the BOP Assets are
not properly utilize in 2020 or maybe there are no proper environment for Banking sector
because in 2019 Pakistan face the economic crisis its assets to create profits.

9.2. VERTICAL ANALYSIS

In vertical analysis a significant item of a financial statement is used as a base value, and all other items
of the financial statement are compared to it. In balance sheet, total assets are assigned 100%. Each asset
account is expressed as a percentage of total assets. Total liabilities and stockholder’s equity is also
assigned 100%. Each liability and equity account is then net income is given the value of 100% and all
other amounts are evaluated in comparison to net sales. The resulting figures are then given a common
size statement.

Bank of Punjab Pakistan Ltd.

Balance Sheet
Vertical Analysis (Rs 000)
For the year ended Dec 31, 2020…
2016 2017 2018 2019 2020

ASSETS % % % % %

65
Cash & balances with treasury banks 17.08 12.32 12.38 12.45 13.03
Balances with other banks 9.00 5.56 6.40 4.92 4.69
Investments-net 26.99 27.17 22.03 27.70 20.89
Lending to financial institutions 1.90 2.82 3.62 2.82 2.09
Advances- net 39.92 46.43 49.77 44.65 50.50
Operating Fixed assets 3.45 4.10 1.52 3.40 2.96
Deferred Tax Assets 1.66 1.60 - - 0.39
Other assets-net - 4.27 4.07 5.45

Total Assets 100 100 100 100 100

LIABILITIES
Bills Payable 1.42 0.35 1.92 1.09 1.45

Borrowings 2.19 1.72 2.12 1.68 5.65

Deposits & other accounts 91.84 92.06 90.2 91.65 87.36

Liabilities against asset subject to finance lease 0.003 0.003 .002 0.005 .003

Deferred tax liabilities-net 0.006 0.89 0.43 0.78 0.00

4.55 4.96 5.80 4.79 5.54
Total liabilities 100 100 100 100 100

NET ASSETS PRESENTED BY

Share capital 10.65 7.95 8.65 7.00 8.75

Reserve 23.38 18.20 16.94 13.56 19.46

Unappropriated profit 19.81 22.48 39.14 38.98 51.19

53.84 48.63 64.73 59.55 79.40
46.16 51.37 35.27 40.46 20.60
Total Liabilities and Equity 100 100 100 100 100

Bank of Punjab Pakistan Ltd.

Profit & Loss Account
Vertical Analysis (Rs 000)
For the year ended Dec 31, 2020…
2016 2017 2018 2019 2020
% % % % %
Mark-up / return / interest earned 100 100 100 100 100
Mark-up / return / interest expensed 31.31 30.69 31.63 33.50 39.19

Net mark-up / return / interest income 68.6 69.3 68.3 66.50 60.81

66
 Provision against non-performing advances 7.23 7.27 6.97 9.34 6.98
Provision for diminution in the value of Investment 0.89 (0.73 (1.61 (0.08) 0.61
) )
Provision against off balance sheet obligations 0.068 - 0.006
- -
Bad debts written off directly 0.16 0.08 -
Net mark-up /interest income after provisions 60.3 62.3 63.0 57.16 52.85
Non mark-up interest income
Fee, commission and brokerage income 24.34 14.65 13.93 13.41 13.21
Dividend income 6.08 5.11 6.56 6.45 3.16
Income from dealing in foreign currencies 4.81 3.58 3.02 2.06 6.64
Gain on sale of securities-net - 2.58 2.65 4.67 1.04
Unrealized gain/(loss) on revaluation of investments

99.7 92.9 90.5 83.95 70.64

Non mark-up / interest expense
Administrative expenses
42.38 33.29 30.48 28.09 26.21
Other provisions / write offs
0.15 0.59 (0.04 0.33 0.41
Other charges )
0.04 0.19 0.03 0.85
Total non-markup / interest expenses 0.47
42.57 34.06 28.46 31.73
30.92

Profit before Taxation 57.1 58.8 59.6 55.49 38.91

Taxation – Current 23.63 21.21 19.72 16.44 19.03
- Prior years 4.04 (3.27 1.20 0.77 -
27.60 )
18.87 21.06 17.85 12.11
- Deferred
Profit After Taxation 29.4 40.0 38.6 37.64 26.68
Unappropriated profit brought forward 3
28.13 1
27.24 0
44.24 63.42 74.40
Transferred from surplus on revaluation of fixed assets 0.22 0.13 - 0.08 0.21
on account of incremental depreciation
Profit available for appropriation 57.7 67.3 82.8 101.1 101.2
8 8 4 4 9

In balance sheet of bank the most important item is earning assets. There are four earning
assets. Bank has strong earning assets like advances investments and lending to financial
institutions has major percentage in of assets of bank. In liability and equity analysis the
borrowing from financial institutions and deposits have major portion and reserve and share
capital has major portion in equity. Out of the three earning assets (lending to financial
institutions, advances and investments) only advances have recorded a growth while Lending’s
to financial institutions and Investments fell respectively.

Vertical analysis of profit and loss shows increase or decrease in each item as a percentage of
sales means that sales are chosen as key figure. As we have seen in the table the interest
expense is increasing with the turnover so the bank is more utilizing on expenses. Net Interest
income was 10% higher this year to Rs 37.058 billion owing to volume growth. The interest
67
 earned in the 12 months of 2019 is 21% higher than that of 2019 but it was matched by more
than proportionate increase in the interest expenses, which rose by 41%. So in vertical analysis
the net interest income is decreased in 2020 as compare to 2019.

BOP directors give some of reasons in increasing in interest expenses.

 Firstly, the banks have been imposed a minimum of 5% deposit rate on all the savings schemes.
This had previously been left at the banks' discretion as to how much they have to pay. A few
of the banks have also been penalized by the SBP for acting like cartel in deposits.
 Secondly, there has been other attractive scheme from the National Savings, which offered
better rates and drained the liquidity from banking sector.
 Furthermore, the economy was going through high inflation, so the people were not too
optimistic about saving in banks as the money was losing its value very fast.
Administrative expenses shows decreasing trend also the profit after tax is in decreasing position during
last two years, that position in not good for the company. Only profit available for appropriation is
increasing as compare to previous years, which is 101.29% in 2020.

9.3. HORIZONTAL ANALYSIS

In horizontal analysis different period’s data is compared and in one year item is selected and item is
compared with the same category of item of next period. In this analysis the year should be consecutive
for the analysis and then percentage difference is taken to see the performance over the period of time.
This analysis is used to evaluate the trend in the accounts over the year.

Bank of Punjab Pakistan Ltd.

Balance Sheet
Horizontal Analysis (Rs 000)
For the year ended Dec 31, 2020…
2016 2017 2018 2019 2020
Base 2016 Base Base 2016 Base Base
ASSETS 2016 2016 2016
Cash & balances with treasury banks 100 10.43 20.67 12.26 11.35

Balances with other banks 100 31.02 (7.80) 2.32 20.41

Lending to financial institutions 100 41.33 (6.73) (20.02) (40.25)

Investments-net 100 (10.85) 50.87 (19.09) (15.50)

Advances- net 100 17.58 7.65 21.35 15.55

Total Assets 100.0 9.94 20.01 7.29 23.37

68
 LIABILITIES
509.2 44.71 24.60
Bills Payable 100 (33.41) 274.09
Borrowings 100 33.66 (6.99) (90.90)
6.24
Deposits & other accounts 100 8.30 17.94 25.17
(24.67)
Liabilities against asset subject to finance 100 (20.41) 153.52 (32.15)
(100)
Total liabilities 100.0 9.89 16.75 10.75 (24.69)
NET ASSETS PRESENTED BY
20.00 15.00 19.35
Share capital 100 2.54 10.00 30.22
100 91.91 13.64 26.43
Reserve 46.7 16.35
100 41.37 15.68
Unappropriated profit (24.29)
25.35
30.59 17.46
100.0 10.24 62.81
41.95 (55.18)
(11.93) 49.38
Total Liabilities and Equity

Bank of Punjab Pakistan Ltd.

Profit & Loss Account
Horizontal Analysis (Rs 000)
For the year ended Dec 31, 2020
2016 2017 2018 2019 2020
Base20 Base20 Base201 Base20 Base201
16 16 6 16 6
Mark-up / return / interest earned 100 31.12 14.67 20.93 35.23
Mark-up / return / interest expensed 100 35.12 21.46 40.96 22.48

Net mark-up / return / interest 29.35 11.53 10.84 30.15

Provision against non-performing 100
100.0 25.70 53.56 124.23 46.25
advances
100 188.54 -94.33 - 175.25
Provision for diminution in the value of 265.22
100 25.71 53.56 40.35
Investment
-92.13
Net mark-up /interest income after 100
100.0 -77.09
31.74 655.09
4.05 -9.14 -35.45
40.75
provisions
Non mark-up interest income
10.37
Fee, commission and brokerage income 100 24.72 17.75 20.89
12.85
Dividend income 100 68.27 (36.04) 64.23
(21.82) 236.25
Income from dealing in foreign currencies 100 10.63 285.6
100.23 (75.16)
Gain on sale of securities-net 100 (14.37) (83.04)
Unrealized gain/(loss) on revaluation of
investments 100.0 30.91 616.04
6.27 0.12 (302)
27.26

69
 Non mark-up / interest expense
Administrative expenses 100 20.08 5.67 29.27 24.25
Other provisions / write offs 100 (108.7 1072.21 344.88 362.21
Other charges 2)
100 (91.77) 347.19 204.10
Profit before Taxation 100.0 58.88 55.49 35.51 70.29

Taxation – Current 100 21.55 (4.42) 41.95 40.36

- Prior years 100 (148.3 (26.22) (100) 90.25
Profit After Taxation 100.0 0)
33.93 11.82 (18.73) 52.45
Unappropriated profit b/f transferred 100 111.45 65.57 41.37 100.45
Trans from surplus on revaluation of fixed assets
on account of incremental depreciation
Profit available for appropriation 100.0 66.07 40.38 19.13 72.65

The horizontal analysis of the balance sheet of the bank shows that current assets increases over
the period of time, the increase in cash and decrease in loan shows that company wants to have
more cash in hand rather than lending it to others and losing the return on that investment. as for
as the fixed assets of company are concern they are showing increasing trend and same is case
with the current and long term liabilities but the increasing trend in assets is lower than the
increasing trend in liabilities which in not a good position for the bank .as shown in the table
borrowing are more increase in 2020.

The horizontal analysis of Profit & Loss account of years 2018-2020 shows a continuous
decrease in mark up, non-mark up and also there is a rapid and huge decrease in the profits in
2019. The administrative expenses have been decrease in 2019 but again it will increase in
2020.
The income after tax is decrease, which was 19% lower than the income earned in 2019. The
bank profits before tax are increasing trend, which is 18% higher than the previous year of
2019. The management of the bank gives many reasons of the radical change in profitability.
First of all, adverse economic conditions domestically, the law and order, power shortages,
record high inflation, liquidity in the banking system, steep rise in interest rates, increase in
government borrowing from the central bank, rising import bill and resulting growth in fiscal
deficit.
The interest expense is also increase in 2019-2020. The management give different reasons that
the banks have been imposed a minimum of 5% deposit rate on all the savings schemes. This
had previously been left at the banks' discretion as to how much they have to pay. A few of the
banks have also been penalized by the SBP for acting like association in deposits. Secondly,
there has been other attractive scheme from the Savings, which offered better rates and drained
the liquidity from banking sector. Furthermore, the economy was going through high inflation,
so people were not too optimistic about saving in banks as the money was losing is value very
fast. The provisions against non-performing loans were 124% higher as compared to 2018. The
advances recorded an increase because the bank was lending though very prudently due to
increasing NPLs (Non-performing loans). Along with the increase in Advances, the
composition has also changed a bit. A shift from long-term to short-term loans is observed.

70
9.4. Organizational Analysis With Reference To the Competitors In
Terms Of Total Assets, Total Liabilities and Total Revenue:
BOP is one of the leading Mudaraba Banks with compliant products. It has earned a good
market share in a very short span of time due to its efficient and effective management and
proactive market approach. There are a lot of its competitors in market trying to dominate its
market strength and share. Here BOP is compared with NBP and BAF in terms of its total
assets, total liabilities and total revenue etc.

Total Assets Total Liabilities Total Revenue

Rupees in Millions
Banks 2020 2019 2020 2019 2020 2019
NBP 40,354 32,585 19,393 14,687 25,368 20,587
BAF 262693423964
21,937 17,858 15,365 12,324 2536542,
21,854 18,574

DIBPL 17,781 12,565 15323

10,362 8,542 43,971
15,368 12,654

(Source: Annual reports of various banks)

As per the table, the total assets of NBP are 40354 million in 2020 which are maximum in
volume as compared to BAL and BOP. In 2020, the total assets of BOP are 17781 which show
a positive trend as compare to 2019. Similarly the trends of all banks from 2019 to 2020 are
positive and show a good change in terms of quantity.
The volume of liabilities of NBP is higher as compared to other banks due to its extensive
branching and networking. The volume of all the banks shows positive trends from 2019 to
2020. This is because of new projects, increase in short term and long term liabilities.
The volume of NBP is high as compared to other banks like BAL and BOP in terms of quantity
due to its extensive products networking and the other reason is that because it plays the
functions as an agent of the government. BOPs volume of revenue is comparatively lower as
compared lower than its competitors. Because BOP has recently established in 2016 that’s the
reason its volume of revenue is lower.

9.5. FUTURE PROSPECTS OF BOP

71
BOP remains committed to the interest of all stake holders including its employees, owners,
regulators and Pakistani nation. BOP has defined strategy on where and how want to proceed in
the years to come. With the implementation of the new ‘Core Banking Package’, BOP will
completely automate its functions which in turn will appreciably enhance work efficiency. BOP
will continue to diversify customer segments thereby increasing product offering. BOP
committed towards the employee’s empowerment / development will continue BOP believe that
a motivated and well trained work force is necessary to ensure sustenance and growth. On the
business side its main focus would be to reduce non-performing loans and increase deposits.
BOP remain committed to its Vision, Mission & core values and its strategy for the future
includes recovery efforts and revival of non-performing loans, deposit mobilization,
consolidation of loans, expense management and tapping into untapped markets by increasing
our network both domestically and internationally. Customer service will remain its main focus
of Operations management.
Finally BOP extend its appreciation to the bank’s staff for their commitment, dedication and
hard work in achieving these excellent results. BOP would like to express its sincere reverence
to the Board members whose valuable guidance has always enlightened in decision making.
Finally BOP would like to express its appreciation to stakeholders, regulators and its valued
customers for their support and continued confidence in BOP.
(Source BOP annual report 2020)

10. Organization SWOT Analysis

SWOT analysis is one of the most important steps in formulating strategy using the
organization mission as a context; managers assess internal strengths distinctive
competencies and weakness and external opportunities and threats. The goal is to
then develop good strategies and exploit opportunities and strengths neutralize
threats and avoid weaknesses.
SWOT analysis is an acronym that stands for strengths, weakness, opportunities, and threats
SWOT analysis is careful evaluation of an organization’s internal strengths and weakness as
well as its environment opportunities and threats.
“SWOT analysis is a situational which includes strengths, weaknesses,
opportunities and threats that affect organizational performance.”
In SWOT analysis the best strategies accomplish an organization’s mission by:
Exploiting an organizations opportunities and strength.
Neutralizing it threats.
Avoiding or correcting its weakness.

72
 10.1. INTERNAL ASSESSMENT
10.1.2. STRENGTH:
 The Bank of Punjab has lack of staff members than the required staff
level but its performance level is high as compared with its staff level.
 As a result of the compassionate and personalized services of the officers, the
clients’ perception for BOP is very high. They have trust and feel themselves to
be secure while dealing with BOP.
 BOP has opened all its branches at commercial areas so that the
 Customers or clients face no problems in reaching to the bank
 The Bank of Punjab T.T.Singh branch is one of the busy branches in
the Deist.
 The Bank of Punjab is 4 th largest branch in region according to
investment (more than 600 Million) as there are 46 branches in region.
 The BOP T.T.Singh Branch is the Ist largest branch in the District as
there are four branches in the Distt.
 One employee in the bank performs many duties.
 All staff members are well educated i.e. they hold master’s degree
e.g.
 M.com, MBA etc.
 There is also improvement in corporate loans and consumer loans.
 All staff members treat their account holders/general public with well
behavior.
 Punjab bank T.T.Singh Branch is business wise best branch
 Bank has higher level of deposits if we compare with other
banks.
 Deposit wise its number is 6th in Pakistani Industry.
 As it is business wise busy branch so its profit after tax has become
17% higher than previous year.
 In Punjab bank, there is computerized system so performance
automatically has been increased having better results.
 Compliance all risk mitigation policies and procedures. The bank’s
management realizes the necessity of existence of effective internal
controls to ensure smooth operations in current technical and swift
business environment.
 The management feels confident that all internal controls procedures
are adequate to effectively and efficiently meet the operational
requirements.
 Comprehensive risk management policies for credit, operational and
market risks are being implemented. Necessary steps have been taken
to ensure effective monitoring of risks and to observe compliance all
risk mitigation policies and procedures.
 The Bank officers of BOP are considered as one of the most able
professionals in the banking world (some belong to BCCI). However,
they have added some local flavor in accordance with their targeted
segmented. In my observation that they interact with their clients as if
they are their personal friends and discuss about their problems as
their own.
Good security system, diversification of investments, foreign reserves.
Not excellent but good facilities are given to employees.
73
 10.1.2. WEAKNESS:
 Level of bad debts is improving at higher level.
 There is yet no ATM machine in Punjab bank T.T.Singh Branch.
 There is also lack of workplace in the Bank.
 Lack of proper internal controls is one of the major weakness of BOP. It is also
pointed by the auditor in his review.
 BOP has formulized a lot of products and services for its customers, even more than
other
 Commercial banks, but any advertisement on electronic media has not been seen.
 I observed during my internship that some of the employees were burdened with over
work. So I think that the work should be distributed according to their post and
capabilities.
 As each staff member performs many duties in one time so this
 Capture extra time which can slows down the performance.
 Due to lack of workplace, staff members as well as the general public
face disturbance in the bank.
 There is no corporate credit department in the T.T.Singh branch.
 Biased selection of employees.

10.2. EXTERNAL ASSESSMENT

10.2.1. OPPORTUNITY:
 The Bank of Punjab compete its competitors by encouraging agriculture
loans. So in such a way it plays an important role for promotion of
agriculture sector.
 All the opportunities of the 21st century are to be availed in the information
technology. Information technology is the future of this dynamic world. Therefore
BOP should emphasize much on IT, especially on E-Banking. Bank can design a
universal account like other foreign banks, to enhance online facilities.
 Bank also encourages industrial sector. So in such a way most of
industrialists deal with Punjab Bank as a result Bank maintains large size
of deposits.
 However the year 2019 will prove to be another challenging year for the
bank with scattered opportunities and tough competition. Diversification,
innovation and mission driven approach are the key to success.
 Management of the bank is committed to continue its efforts for
outstanding performance. Improvement in stakeholders’ value shall be
ensured through progressive but cautious business expansion with

74
 strategic branch network extension and introduction of innovative
products in all areas of business.
 BOP has introduced a number of financial schemes including special ‘Deposit
Accounts’. These accounts have their unique features. During the last three years,
BOP deposits have been increasing @ 40%, which is a very healthy sign. Therefore,
with the commencement of new schemes there can even be a greater increase in its
deposits.
 Great opportunity of starting Islamic banking system.

10.2.2. THREAT:
 Currently The Bank of Punjab is facing major threat in Pakistan that is
private businessmen do not prefer the Bank of Punjab due to the standard
as compare to private bank.
 BOP is facing a strong competition by its competitors, Business of all
these Banks are growing at very high pace.
 Despite the difficult circumstances that confronted the banking sector in particular
and the country in general, BOP has been still highly profitable. But, the facts can’t
be denied.
 And there might be an adverse impact of such situation. In recent Hamish Khan
(Previous President Fraud) is an example.
 Low security, economic and political instability.

11. CONCLUSION
While making an analysis of The Bank of Punjab, as a financial institution, we
find that this institution came into existence in pursuance of Bank of Punjab
Act, 1989 passed in the legislative Assembly of Province of Punjab. In the
short span of about 15 years, it becomes the fifth largest bank in the county
with 272Branches network all over the country. I have suggested some
recommendations in the light of ratios and SWOT analysis. BOP has negative
working capital in all the three years so it is essential to increase current assets
and reduce investment in fixed assets.

While having an opportunity to go for internship at the branch, I have observed

the following reservations:-
The Branch is housed in small a banking premises which does not suffice the
requirements of visiting clientele as well as corporate clients of the Bank. By having a
glance over the current business of the branch, the same should immediately be shifted

75
to some spacious building so that best banking services can be offered to the bank
customers. Moreover, though the branch is automated yet required number of PCs etc.
has not been provided resultantly, the staff has to wait their turn to accomplish their
daily job. Finally there is a immediate need for ATM Machine at present

12. RECOMMENDATIONS AND SUGGESTIONS

Here I am giving some suggestions, which in my view can add some input for efficiency
and better performance of BOP as an organization in general and main Branch in
Particular

The recommendations are as follows:

 In my opinion the process of a transaction should be short in order in save time for both
customers and the bank.
 Staff strength should be enhanced and professional qualified persons should be
recruited.
 It is recommended that proper training be provided to the staff members that will
ultimately increase the performance of Bank over all.
 It is suggested that promotion be given to the staff in due time and on the basis of
performance to provide job satisfaction.
 The bank should spend more on renovation of the branches to improve environment and
atmosphere to attract the customers.
 Sitting arrangement, air conditioning and new furniture should be facilitated
 The Bank should introduce the computers software to cope the heavy load of work and
better control.
 Extra counters should be established in order to facilitate during the rush days the
difficulties faced by the bank staff as well as the customers.
 All Branches of the Bank must be online.
 All the departments should be established separately.
 Bank can increase its profit ratio by reducing extra expenditures and to enhance the
volume of advanced especially retail loans.
 I done internship, I recommend that security level in the bank should be enhanced
especially where I got internship and operation of Mobile phones must not be allowed
inside the Bank.

76
 Bank should take step to establish separate counters for the old age employees and
pensioners.
 The Bank should locate new market for its operational activities in the country as well
as abroad.
 The Bank should increase profit rate on deposits and saving schemes especially for
pensioners and old age citizens.
 For improvement of internal control and system the compliance wing and surprise
inspection system should work more effectively.
 To avoid complaints and leaving the bank job number of staff should be enhanced and
their salaries should be leveled to the private/multinational banks.
 Double shift system should be introduced to improve attitude and behavior of the
employees.
 Payment of salaries should be made separately to accommodate the valued customers
and depositors.
 For collection of utility bills i.e. Electricity bills, Telephone bills, Water and Gas bills
separate cash receipt counter must be established.
 Procedure of receiving loans should be easy and short time to facilitate the borrowers
and enhance the profitability of the Bank

13. Abbreviation BOP

AM (AREA MANAGER)

ATM (AUTOMATIC TELLER MACINE)

BOP (BANK OF PUNJAB)

BM (BRACH MANAGER)

BOM (BRANCH OPERATION MANAGER)

BOD (BOARD OF DIRECTORS)

CO (CASH OFFICER)

CSO (CUSTOMER SERVICE OFFICER)

CP (CHAIRMAN PRESIDENT)

HBL (HABIB BANK LIMITIED)

HRM (HUMAN RESOUR MANAGEMENT)

77
KYC (KNOW YOUR CUSTOMER)

IT (INFORMATION TECHNOLGY)

PBO (PERSONAL BANKING OFFICER)

PC (PERSONAL COMPUTER)

RM (Relationship Manager)

RAM (RANDAM ACCESS MEMORY)

ROM (READ ONLY MEMORY)

14. Reference and Sources Used

Web Sites:
www.bop.org..com

www.bop.org.pk

www.google.com

www.scribd.com

www.pba.com.pk

www.brecorder.com.pk‘Economic review of

Pakistan’

http://en.wikipedia.org/wiki/Bank_of_punjab

www.bop.com/prducts/48

78
 www.bop.com/products/35(https://www.bop.com.pk/i

ndex.php

https://www.bop.com.pk/Financial/AnnualAccounts.

aspx www.sbp.com.pk

www.bop.com.pk

http://www.antiessays.com/free-essays/74909.html

15. ANNEXES
15.1. Financial statements:
Rupees “0000”
September 30,2020 December31,2019

ASSETS:
Cash and balances with treasury banks 46,318,475 43,589,007
Balances with other banks 9,126,968 5,802,312
Landings to financial institutions 4,048,336
Investments – net 362,510,562 27,843,153
Advances – net 371,614,379 210,071,483
Fixed assets 14,314,194 381,877,256
Intangible assets 830,674 8,787,928
Deferred tax assets – net 7,048,271 891,489
Other assets – net 28,317,497 7,965,267
27,551,697
844,129,356 714,379,592

79
LIABILITIES:
LIABILITIES 3,250,988 3,577,677
Borrowings 114,466,651 41,793,201
Deposits and other accounts 640,524,645 595,581,962
Liabilities against assets to finance lease ------ -------
Subordinated debts 8,795,780 8,797,140
Deferred tax liabilities -------- --------
Other liabilities 34,509,434 26,909,321

NET ASSESTS

801,547,498 676,659,301

42,581,858 37,720,291

15.2. PROFIT AND LOSS ACCOUNT

For the year ended December 31, 2020

Rupees in ‘000’

80
Mark-up / return / interest earned 46,893,398 34,668,327
Mark-up / return / interest expensed 26,840,110 19,094,699
Net mark-up / interest income 20,053,288 15,573,628

NON MARK-UP / INTEREST INCOME

Fee and commission income 3,245,309 2,806,780
Dividend income 81,661 90,939
Foreign exchange income 226,675 109,173
Income / (loss) from derivatives ---- -----
Gain on securities - net 27,767 1,315,868
Other income – net 91,518 268,514
Total non-markup / interest income 3,672,930 4,591,274
Total income 23,726,218 20,164,902

NON MARK-UP / INTEREST EXPENSES

Operating expenses 12,612,663 10,089,062
Workers welfare fund - - --------- ---------
Other charges 53,565 43,003
Total non-markup / interest expenses 12,666,228 10,132,065
Profit before provisions 11,059,990 10,032,837
(Reversals) / provisions and write offs – net (1,148,365) 14,730,779
Extra ordinary / unusual items - - ----- ------

PROFIT / (LOSS) BEFORE TAXATION 12,208,355 (4,697,942)

Taxation – net 4,644,662 (1,375,887)

PROFIT / (LOSS) AFTER TAXATION 7,563,693 (3,322,055)

Basic earnings / (loss) per share 2.86 (1.62)

Diluted earnings / (loss) per share 2.86 (1.62)

2020 2019

15.3. INCOME
For the year ended December 31, 2020
2020 2019

81
Profit / (loss) after taxation for the year 7,563,693 (3,322,055)

Other comprehensive income:

Items that will not be reclassified to profit and loss

account in subsequent periods:

Remeasurement loss on defined benefit obligations (172,731) (82,051)

Movement in surplus on revaluation of non-banking

assets - net of tax

509,790
326,747

337,059 244,696

7,900,752 (3,077,359)

Items that may be reclassified to profit and loss

account in subsequent periods:
Movement in surplus / (deficit) on revaluation of
investments - net of tax 42,130 (895,122)

Total comprehensive income / (loss) 7,942,882 (3,972,481)

82