INTERNSHIP REPORT AT NABIL BANK LIMITED

KANTIPATH BRANCH

By,
Susmita Bhusal

Registration Number: 2017-2-03-0124

Roll Number: 18032495

An intern report submitted to the Pokhara University in partial fulfillment of the requirements
for the degree of

Bachelor of Business Administration (BBA)

At the,
Liberty College
Pokhara University

Anamnagar, Kathmandu

2nd March, 2022

I
 ACKNOWLEDGEMENT

The study entitle” INTERNSHIP REPORT AT NABIL BANK LIMITED” has been
conducted in the partial requirement for the degree of Bachelors of Business
Administration (BBA) of Pokhara University.
The success and final outcome of this report required a lot of guidance and assistance
from many people. I am extremely fortunate to have got this all along, the completion of
my project report I would like to thank you Mr. Manoj Aryal, Branch Manager of
Nabil Bank Ltd for giving me a opportunity to work as intern in the organization. I also
would like to extend my thanks to Liberty College for giving me an opportunity to do the
report on the topic and providing for all support and guidance which helped to complete
the project on time.

I am extremely grateful to all the respondents who participated in the research and
provide me the required information based on which the project report is based upon. I
would also thank to all the supporting persons to complete this project despite their busy
schedule

Lastly, I would also like to thank all my classmates and friends who helped me during
research and while preparing the report in various way. I would also like to thank them
for all the encouragement and their constant motivation.

Thank you everyone!

Susmita Bhusal

BBA 6th Semester

Liberty College

i
 DECLARATION

This internship entitled “INTERNSHIP REPORT AT NABIL BANK LIMITED”

which is submitted by me in partial fulfillment of the requirement for the award of BBA
degree of Pokhara University Comprise only my original work and due
acknowledgement have been made to materials used in the report.

………………………..

Signature

Name: Susmita Bhusal

Date: March 2nd, 2022

ii
 BONAFIDE CERTIFICATE

Certified that this internship report

Internship Report at Nabil Bank Ltd.

is the bonafide work of

Susmita Bhusal

Who carried out the project work under my supervision. This report is forwarded for
examination.

…………………………………..

Mr. Pravek Joshi

BBA Coordinater

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 EXECUTIVE SUMMARY

Nabil Bank, Nepal’s first private commercial bank is a pioneer in introducing many
innovative products and marketing concepts in the Domestic banking sector. It is
established in 1984 AD. It holds a vision of becoming a leading bank of the country
providing the customers with premium services to give substantial return to its
stakeholders. Nabil Bank Limited has a huge base of customer and especially “A rated
clients which are there due to Nabil Bank Limited is long history of customer satisfaction
and innovative services. The internship period was spent into three phase working in the
customer service Department to know the kind of customer and clients the bank has,
Second in the Customer Relation Department to know about how to credit appraisal is
done is done and to learn the other aspects of the department like financial analysis, loan
extension etc. And third is Bills and Remittance Department to know how the foreign
traded are performed. The major function of CRD is the interact eighth loan
applicant/client and discuss the need of credit facility and other carious factors related to
its as well as understanding that there is inherent credit risk in any business proposal in
the banking sector. The main function of CRD is to make through and critical analysis of
the credit analysis of the credit approval package. During the internship, substantial work
was done in the various departments which includes making of Credit Appraisal Package,
group exposure, site visit, making overdraft statement etc. for which the bank showed
almost trust and confidence to give access to confidential information within the vicinity
of the projects.

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 APPREVATION

A/C : Account

ABBS : Any Branch Banking Services

ATM : Automated Teller Machine

BBA : Bachelor of Business Admistration

BOD : Board of Directors

CSD : Customer Services Department

GSD : General Service Department

INR : Indian Rupee

LC : Letter of Credit

NRN : Non- Residential Nepalese

PA : Per Annum

PU : Pokhara University

PIN : Personal Identification Number

NBL : Nabil Bank Limited

SCT : Smart Choice Techonology

SMS : Short Messaging Service

SWIFT : Society for Worldwide Interbank Financial Telecommunication

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 List of Table

Title Page no

Table 1: Tier 1 capital and breakdown of its components……………………….…….7

Table 2: Tier 2 capital and breakdown of its components……………………….…….7

Table 3: Total Qualifying Capital……………………..…………………………..……7

Table 4: Board of Directors…………………………………………………….………8

Table 5: Charges for Closing and Account……………………………………………13

Table 6: Format of Cheque Book Issue Register………………………………………15

Table 7: Formate of ATM Card Issuance Resister……………………………………..17

List of Figure
vi
Title Page no

Figure 1: Organizational structure………………………………………………………..1

Figure 2: Procedure for opening a new account………………….………………………2

Figure 3: Procedure for closing account………………………………………………….3

Figure 4: Procedure for Issuance of Cheque Book……………………………………….4

Table of Content

vii
Acknowledgement………………………………………………………………..…I

Declaration………………………………………………………………………....II

Bonafide Certificate……………………………………………………………….III

Executive Summary………………………………………………………….. ......IV

Abbreviations………………………………………………………………… ..….V

Table of Content………………………………………………………… ………..VI

List of Table…………………………………………………………..…………...VII

List of Figure…………………………………………………………..…………VIII

CHAPETER I: INTRODUCTION………………………………………………..1-8

1.1 Introduction to Himalayan Bank Limited…………………………………….…1

1.2 Mission, Vision and Values………………………………………………….….2
1.2.1 Mission……………………………………………………………………….2
1.2.2 Vision...……………………………………………………….………………2
1.2.3 Values…………………………………………………………….…………..3
1.3 Major Markets and Customers…….………………………………….…………3
1.4 Products and Services Offered by NBL………………………………….……...3
1.5 Organization Design and Structure…………………………………….………..5
1.6 Capital Structure …………………………………………………….…………..7
1.7 Board of Directors………………………………………………….……………8

CHAPTER II: JOB PROFILE AND ACTIVITIES PERFORMED…………...…9-21

2.1 Activities Performed in Nabil Bank Limited…………………………………….9

2.1.1 Customer Service Department……………………………………………….9

2.1.2 Instruments of Bills and Remittance department…………………………...18

2.2 Intern’s Key Observation………………………………………………………..21

viii
CHAPTER III: LESSON LEARNT AND FEEDBACK

3.1 Key Skill and Attitudes Learnt………………………………………………….23

3.2 Feedback to the Organization …………………………………………………..25

3.3 Feedback to the College/ University……………………………………………25

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 CHAPTER I

ORGANIZATION PROFILE

1.1 Introduction to Nabil Bank Limited

Established in 1984 AD, Nabil Bank has carved a cornerstone in the development of the
financial services industry in Nepal. The Bank has always stayed true to its three strong
pillars: Service Excellence, Technology, and Product innovation. This has led to the start
of customer-centric banking culture with the development of innovative services and
products, enriching customers' livelihoods and setting benchmarks in the Domestic
Banking Sector.

Truly a pioneer in the Domestic Banking Sector, Nabil Bank‟s mission is to become the
Bank of 1st choice of all its stakeholders - including all strata of customers of retail,
SME, corporate, state-owned enterprises, non-profit entities, multinational development
agencies, along with the Bank‟s employees and shareholders. The Bank strives to be a
one-stop solutions provider by offering a complete line of commercial banking products
such as branch banking, treasury, trade, cards, remittance, and investment banking. The
expert team of highly skilled professionals provides industry-specific guidance and
advisory for efficient financial management, resulting in higher customer profitability.

Nabil Bank operates through its wide network of 135 branch offices, 183 ATMs,
numerous POS terminals, remittance agents spread across the nation. The Bank also has
over 170 international correspondent banking relationships. The Bank operates its
investment banking arm through its subsidiary Nabil Investment Banking Ltd.

The Bank understands that its role goes beyond just financial transactions and towards
the development of society as well. Hence, the Bank is highly active in creating financial
literacy and providing financial access to a large section of the population across the
country as part of its Corporate Social Responsibility. Extending credit to deprived
sectors of the society through micro-lending and financing priority sectors that include
1
agriculture, renewable energy and tourism are key areas that define the Bank‟s
commitment to the country‟s development initiative. Nabil Bank has also established its
branch offices in multiple rural locations in the western and far-western hills with its
vision to reach the financially under-privileged population and increase financial literacy
therein.

1.2 Mission, Vision and Values

Nabil Bank as an institution is defined by our Vision, Mission and Values. Each member
of Team Nabil, every „Nabilian‟ regardless of what department, branch or unit we are a
part of, or what our designation or rank is, lives our Values in everything we do as we
drive to deliver on our Mission Statement while striving to attain our Bank‟s Vision. The
ethos of what we are individually as Nabilians and collectively as Nabil Bank is thus
defined. For us our Vision, Mission and Values are more than words on a plaque, they are
the threads that woven together make the fabric which is Nabil Bank. Each Nabilian is
committed to work and live our Values as we surge together ahead towards our Mission
and Vision as hereunder:

1.2.1 Mission

As the nation‟s first joint venture Bank, we will consistently surge together ahead
providing the entire gamut of financial services across all demographic strata and
geographic regions of the nation, constantly evolving to better ourselves, so as to always
better serve our stakeholders. From the time we commenced operations in Nepal bringing
with us for the first time customer relationship focused computerized banking, we have
realized our role as pioneers. We are an institution that not only the banking sector but in
many instances the nation looks upon to be leaders. This is a role we cherish and will
work to always build upon.

1.2.2 Vision

To be the 'Bank of 1st Choice' of all our stakeholders.

2
1.2.3 Values

In order to achieve our Mission and consistently move closer to the attainment of our
Vision, each and every member of Team Nabil is committed to work within our set of
Core Values. We are all committed to be C.R.I.S.P. or Customer focused, Result
oriented, Innovative, Synergistic and Professional, every day in everything we do. So
what does it mean to be C.R.I.S.P.

1.3 Major Markets and Customers

Nabil Bank Ltd. works towards maintaining best position and provide excellence service
to its customers by creations mutually beneficial relationship to customers, shareholders,
regulators, community and staffs. Keeping in view the need of the markets and the
convenience of the customers it has opened several branches all across the country. In
comparison with other banks Nabil Bank Limited, has progressively developing high
positions markets and customers.

1.4 Product and Services Offered by NBL

 Current Deposit
 Savings Deposit
 Fixed Deposit
 Loan
 International Banking
 Safe Deposit Locker
 Card Services
 SMS Banking and E-Banking
 Current Deposits

All Current Deposits are called “demand deposits” because the are subject to
immediate withdrawal by cheque. Interest is not given in this account. Each

3
 current account customer is provided with a supply of cheque and deposits tickets.
The deposits tickets are used when the customer wishes to deposits cash and
Cheque to his account.

 Savings Deposits

Savings accounts are suitable for in calculating the habits of saving among
customers. It offers liquidity for the money and also earns interest. Saving account
can be opened in the name of individuals (Single or Joint).

 Smart Fixed Deposits

A smart & easy way to earn more with an attractive interest rate... Nabil Smart
Fixed Deposit account is blended with various smart solutions. There are special
benefits of smart fixed deposits. They are Attractive interest rates, Interest
payment every quarter, Fixed Deposit certificate not required, Online account
statement that is conveniently printable, Transfer of principal amount to
originating account upon maturity, Auto-renewal option upon maturity of Fixed
Deposit and Up to 90% credit facility on fixed deposit amount.
 Loans
Bank extends both Fixed Term Loan and Working Capital Loan. Loan are
provided for the establishment, capacity addition, up graduation of existing
facilities as well as acquisition of existing facilities. The loan is extended to
manufacturing as well as service sector. And if the project is big, Nabil Bank
Limited helps financing needs of the project through consortium lending as the
lead Bank and/ or Co- Lead Bank.

 International Banking
To assist its trading customers, NBL offers Letters of Credit (LC) facilities.
Customers can place their LC application in any of Nabil Bank Limited branches.
The fees/ charges are one of the lowest amongst the commercial banks of a Nepal.
4
 The customers enjoy wide correspondent network of NBL in addition to attractive
rates.

 Safe Deposits Lockers

Looking at the varying needs and wants of the customers, NBL offers locker
facilities of various sizes as per customer‟s preference and convenience of
location. Customers availing of this facility enjoy not only peace of mind in terms
of security of their valuable belongings but also one of the most attractive rates
and ease of location.

 Card Services
Nabil Bank Limited provides various card facilities to the customer can withdraw
cash as well as purchase goods from several merchants. Customers use this card at
any ATM terminal of NBL networks as well as network also. Nabil Bank Limited
provides ATM services to their customer, which is open 24 hours, a bay, 7 days a
week and 365 days a year.

 SMS and E-Banking

SMS Banking allows customers to check their balance, status of cheque (encased
or not),NBL‟s foreign exchange rate and contact numbers of branches. Through
the customer service department customers fill up the application form to apply for
these services. After fulfillment of the application form, the information regarding
customer are sent to the information department for further process.

1.5 Organization Design and Structure

Organization structure is the specified path through which which the formal
command of authority and responsibility flows. The organization Structure of Nabil
Bank Limited is presented in the following diagram.
5
 CHAIRMAN

CHIEF EXECUTIVE
DIRECTOR

DEPUTY GENERAL
MANAGER

ASSISTANT GENERAL
MANAGER

DEPARTMENT HEADS

BRANCH MANAGERS

OFFICER

ASSISTANTS

Figure 1: Organizational Structure

The organization structure of Nabil Bank Limited consists of Chairman at the topmost
position followed by CED who is directly accountable to the Chairman. There are three
Deputy General Managers in the NBL holdings the responsibility of corporate Banking,
Retail Banking and IT, Card, Remittance and Product Development Department. They
6
delegate responsibility to assistant General Managers who also three in number at
different branches of Nabil Bank Limited. AGM again delegate authority to Department
Heads and the hierarchy follows to branche manager to offers to assistants.

1.6 Capital Structure

Table 1: Tier 1 capital and breakdown of its components

Particulars Amount in NPR
Paid up Capital 13,844,451,155
Statutory General Reserves 7,338,913386
Retained Earnings 245,118,329
Un-Audited current year cumulative 4,504,437,392
profit
Other Free Reserve 7,719,156
Core Capital 26,931,897,831

Table 2: Tier 2 capital and breakdown of its components

Particulars Amount in NPR

General loan loss provision 2,027,575,698
Exchange Equalization Reserves 615,900,000
Supplementary Capital 4,668,297,203

Table 3: Total Qualifying Capital

Particulars Amount in NPR

Core Capital 26,931,897,831
Supplementary Capital 4,668,297,203
Total Qualifying Capital 31,600,195,035

7
1.7 Board of Directors

A board of directors (B of D) is an elected group of individuals that represent

shareholders. The board is a governing body that typically meets at regular intervals
to set corporate management and oversight policies.

Table 4: Board of Directors.

1. Mr. Upendra Prasad Poudyal Chairman Represents Promoter
Shareholders
2. Mr. Nirvana Chaudhary Vice Chairman Represents Promoter
Shareholders
3. Mr. Malay Mukherjee Board Member Represents Promoter
Shareholders
4. Mrs. Asha Rana Adhikari Board Member Independent Director
5. Mr. Ananta Poudyal Board Member Represents Public
Shareholders.

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 CHAPTER II

JOB PROFILE AND ACTIVITIES PERFORMED

2.1 Activities Performed in Nabil Bank Limited

This is a great opportunity for every student to experience in banking industry which helps
student in further career development. It provides opportunity to understand how the
knowledge acquired through the lectures, group discussion and formal study is applied in
real working situation.

Through the assigned responsibility during my internship period, it has helped me to enhance
communicative skill and boost up the confidence level as well. It has made me familiar with
the customer service department.

2.1.1 Customer Service Department

As an intern in customer service department, interne was responsible for carrying various
activities that are starting from opening of an account to the value additional process as a part
of after sales service. The product and services dealt by me as an intern are:

A. Dealing with Customers

Customer service is being the front desk of bank, dealing with customers is the
main function. It is the responsibility if intern to provide the information regarding
the bank and its various products and services. The enquiry about bank rules,
problems of ATM cards, procedures of opening a new account, fund transfers
were the major queries to be answered. Apart from face to face interaction, the
intern has to receive incoming calls and respond to different queries of the
customers and also maintaining good communication and coordination with them.
The regular follow up and contacts with customer is essential to flow important
messages such as pending documents yet to be provided, delivery of cheque books
and ATM cards.

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B. Account Opening
Account opening is the initial step in deposit collection. While opening of an
account, the customers are required to fill up the account opening form along with
KYC form. The account opening form contains the accountholder‟s name,
permanent and temporary address, occupation, contact number and signature of
account holder and the type of account preferred to open. Along with an account
opening form, he/she should present three passport size recent photo of own, one
copy of citizenship certificate. That should be verified with original documents.
The customers should also include the name and details of nominee, citizenship
certificate and one copy of recent passport size photo of nominee. If the customer
want debit card application form is filled up. After the form is filled, account
number is given as per register sequence. After this, the customer‟s data are stored
in the computer system (FINACLE) after verification of it by operation in charge.
The account opening form along with other necessary documents is kept in a file
in a serial order as per account number for future reference.
Account opening is the initial step in deposit collection. It is one of the crucial
function of the commercial bank. The bank opens new account in two different
ways:
 Personal Account
Any individual who is capable to enter into the contract can open an account in the
bank. He/she can open the account in all convertible currencies directed by NRB.
Two or more individuals can also open a joint account in their names.
1. The account holder must be present in business desk in the time
of opening an account.
2. Fill up the prescribed application form.
3. Original copy of identification document i.e. citizenship or
passport an photocopy to be attached with the application form.
4. Three passport size photograph of account holder.
5. Nominee form and citizenship of the nominee.
6. One introducer is required for new customer to open an account.
10
 Corporate Account
Any registered firms, organizations and corporations can open corporate account
in the bank for smooth business transactions. Corporate account can be opened in
all the convertible currencies directed by NRB. The firms can open the account by
providing the prescribed documents. All the original documents should be
presented for verification. The basic requirements of opening a corporate account
are:
For Proprietorship Firm
 Declaration of Sole Proprietorship.
 Copy of Firm Registration Certificate.
 Copy of Income Tax Registration Certificate.
 Copy of identification paper of promoter/ account operators.
 Two copies of recent photograph of proprietor should also be
obtained.

For Partnership Firm

 Letter of Partnership duly singed by all partners.

 Copy of Partnership Deed duly attested.
 Certified copy of Partnership Registration.
 Identification papers of all partners and account operators.
 Income tax registration/ renewed certificate.

C. Filling KYC form

Filling KYC form of old customers who hadn‟t filled it before at the time of a/c
opening. KYC is the fundamental principle used in identifying who the customers
are, their background information an monitoring their transactions in order to
mitigate banking risk arising out of these customers. KYC is an effective tool of
countering money laundering and other unlawful activities. To this connection,

11
 provision to introduce KYC guideline was announced in monetary policy issued of
NRB. The four elements for a sound KYC program are listed below:
 Customer acceptance policy;
 Customer identification;
 Ongoing monitoring of higher risk accounts; and
 Risk management

This KYC program has been accepted and widely adopted by various central
banks throughout the world as a benchmark for commercial bank and a good
practice guideline for other categories of FIs.

The following procedure is followed while opening a new account (Saving and
Current)

FORM FILLED UP

CHECK AND VERIFY

DOCUMENTS

PROVIDE ACCOUNT
NUMBER

REQUEST TO FILLUP
DEPOSITS SLIP

SCANNED AND LOADED

SIGNATURE

VERIFY AND APPROVE

ACCOUNT BY IO

12
 Figure 2: Procedure for opening a new account

 Provide the new account opening form to the customers (Individual or

Corporate) along with cheque requisition slip. ATM card requisition, SMS
banking form, online banking forms are provided if necessary.
 After the form has been filled up by the customer, review the form so that all the
required information is provided.
 Check all the essential documents and verify them with original one.
 The customer is requested to fill the deposit slip to deposit the minimum balance
of concerned scheme and charges necessary charge for ATM card and other
services if applicable.
 The details of customer are entered into the bank software (i.e. FINACAL) to get
customer id and account id.
 The authorized signature and stamp are scanned and loaded in the bank software.
 The Operation in charge verify and approve the account.
 The account opening form along with other necessary documents is kept in a file
in a serial order as per account number for future reference.
D. Account Closing
It is another important task done by CSD. I also get chance to know about how to
close the account of customer. People close the account when their purpose of
account is accomplished or if they see better investment opportunities in other area
rather than deposit in bank are by other various reasons.
Table 5: Charges for Closing an Account
Duration Charges (RS.)
Within 6 months of account 500
opening
After 6 months of account 250
opening

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Procedure for closing account in Century Commercial Bank Limited:

Fill up A/C Closing form

Collect unused cheque & ATM

Verify signature and Check all liabilities

Settlement of Balance

Close A/C in System

Destroy cheque and block ATM

Figure 3: Procedure for closing account

 The customer willing to close the account should fill up the account closing form.
 For the closure of accounts following documents should be returned to the bank:
 All the unused cheque should be returned
 The ATM card should also be returned 9if received)
 Before closing any accounts the bank‟s staff verifies the signature, checks all the
liabilities of the customers in the bank.

14
  For the closure of individual account and sole proprietorship account, the account
holder should visit bank himself/herself. Similarly, in case of joint account all the
account holders should be present.
 Settlement of the balance after deducting all the required charges. Ensure that no
balance is left in the customer‟s account.
 Close the account in the banking system.
 The account closing form with all the documents are to be filed in the account
closing file.
 The returned ATM card should be destroyed and blocked.

E. Issuing Cheque Book

Today cheque works as closely as paper money. Cheques are defined as a written
order to someone‟s bank to pay money from his or her account to the person to
whom the cheque is made. It can be taken from one place to another easily. In
NBL cheque book is provided by holding NPR 500 (i.e. his/her min balance
should be NPR 500) if account holder loss the unissued cheque should pay the
extra charge of Rs. 300 to get new cheque book and charge is debited from
customer account.

The bank generally issue cheque book to the customer on the following conditions:

 When new account is opened

 When existing account holder uses all the cheque leaves and requests for new
cheque book
 Cheque book is issued within a day in NBL.

Table 6: format of Cheque Book Issue Register

A/C A/C Cheque Received Date Receiver’s

number signature

15
The above table shows the format of cheque book issue registers which is filled at the
time of cheque book issue and cheque book delivery.

Procedure for issuance of Cheque Book in NBL

Fill up cheque
requisition slip

Cheque print and

binding

Record in cheque
issue register

Make the signature

of customer in
register

Delivery of cheque

Figure 4: Procedure for Issuance of Cheque Book

 For new account, cheque requisition slip which is attached with the account
opening form should be filled up properly.

16
 For existing account, customer needs to fill up the slip which is inside the cheque
book.
 For new account holder only 10 leaves of Cheque are issued and after first
issuance, number of leafs are provided as per the customers demand.
 The account holder should be present while receiving cheque book.
 If account holder is not able to present to collect the cheque s/he can assign the
agent by providing agents name and signature in requisition slip.
 Once cheque book becomes ready need entry in the cheque book issue register.
 Cheque book needs to be finally rechecked at the time of handing over to the
recipient.

F. Issuing of ATM Cards

ATM card today works as digital wallets for the customer. It is a secure means of
money because no one can use it until and unless they know the given pin number
to the account holder. In order to get ATM card customer has to fill the form.
Once form is filled customer are provided ATM card (VISA Network) and pin
code within one week. The request for ATM cards id forwarded to the card
department and card department makes the card and sent to the respective branch
office. Once ATM card along with pin code are received form the card
department, Card number is to be recorded in the bank software as well as in ATM
register and arrange those card number is to be recorded in the bank software as
well as in ATM register and arrange those card serially is vault.

Table 7: Format of ATM Card Issuance Register

A/C Number A/C Name Card Number Delivery Date Receiver‟s
signature

 A/C holder must be present in bank with a/c number for collecting the ATM card.
17
  In the presence of a/c holder, ATM card is taken out form the envelope and card
number is written in the ATM card register.
 The a/c holder must sign in the register. Then the signature is verified with the
signature of card requisition provided during the time of a/c opening.
 After verifying the signature, ATM card along is handed over to the account
holder and inform about the activation of card.

G. Filings and indexing

Finally, account opening form containing al the essential documents are kept in the
file. The forms are placed in chronological order according to ascending account
number. Different files are maintained for current account and saving accounts. In
case of saving account and individual current account a ring file will be maintained.
Relevant documents related to the accounts are filed in the ring file. A separate file is
maintained for individual corporate account.

2.1.2 Instruments of Bills & Remittance Department

The instruments used in bills and remittance department of Nabil Bank Limited are as
follows:

A. Demand Draft (DD):

A demand draft is an instrument, which is drawn by on bank upon another bank for a
specific sum of money payable on demand. It is made by the bank and given to the
purchaser against cash or cheque. If two banks are involved, then one bank sends a DD to
another bank. But in the customer- bank case the customer sends his/her DD to the
receiver.

Basic elements of draft:

Date: date on which draft has been issued.
Drawer: issuing bank

18
 Drawee: bank on whom the draft has been drawn.
Payee: final receipt of the proceeds of the draft.

B. SWIFT transfer:

SWIFT stands for society for worldwide inter-bank Financial Telecommunication, which
was established in 1973 by 239 banks of 15 countries. It is a bank owned cooperative
society for transmitting financial message. SWIFT is a reliable and effective
communication network in terms of speed, accuracy and security. It covers transactions
like customer transfer, documentary letter of credit cards, collection, FOREX
confirmation etc. There is no need of having an account with banks for fund transfers
through SWIFT. Funds can be received and transferred virtually anywhere in the word.
Thus SWIFT can be taken as the modified version of TT messages.

Nabil Bank Limited has established separate department as SWIFT since it has various
purpose in banking business. Bills and Remittance Department has a good co- ordination
with the Swift department.

C. Travelers cheque (TC)

Traveler‟s cheques are used instead of carrying cash. People prefer to carry TC for the
safety reason. Americans express TC is available for sale. TC is in the nature of prepaid
cheques issued by the banks in a designated currency in fixed denomination cashable at a
wide range of location. At the time of encashment, the person has to sigh in encasing
place and fill in the relevant data. Most well- known banks in the word have issued TC in
different currency.

D. Manager’s Cheque (MC)

It is a cheque drawn by Nabil Bank Limited on itself, especially used for payments made
by Nabil Bank Limited itself. Beneficiary can send the cheque on collection and clearing
or can deposit it customer‟s account with Nbail Bank Limited itself. MC is one of the
most secured modes of payment with primary liability being that of issuing bank. It is

19
ideal for making payments within country or simply for transferring fund between the
cities.

E. Collection

Another important instrument of Nabil Bank Limited Bills and Remittance Departments
is collections. Cheques of various international banks are dealt and the process is called
collections. Collections are similar to clearance of cheques. Various cheques of
international banks in various parts of world are difficult for clearance purpose so
collection method is used. In collection, cheques of different foreign banks thoroughly
checked including its amounts, endorsement and stamps. After all required verification
they are sent to their respective banks and amounts are debited or credited accordingly.
The collection of Nabil Bank Limited cheque from various countries is inward collection
and sending cheques of different banks around the world to their respective destination is
called outward collection. It is difficult or nearly impossible to establish clearing house
for collection purpose.

F. Clearance

Modernizing the Banking sector in Nepal is an essential strategic objective that Nepal
Rastra Bank seeks to realize by implementing an advanced cheque clearing solution that
manages the daily cheque clearing cycle electronically.

ECC is the state of the art interbank cheque clearing solution that has replaced the manual
cheque clearing solution in Nepal. It is an image-based, cost-effective, cheque clearing
and settlement solution, where the original paper cheques are transferred to scanned
image in order to be presented electronically through the secured communication
channels from the member in which they are deposited to the member on which they are
drawn resulting in a faster access to funds, lower transportation expenses and increased
cheque trust.

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ECC calculates the multilateral net clearing positions and sends to the Settlement System
of Nepal Rastra Bank for settlement of the net clearing positions of the direct member.
The Central System of the clearing mechanism lies at Nepal Clearing House Limited.

The Clearing House main activities can be summarized as the following:

1. Receiving cheques from presenting members for outward clearing, and

assuring the presented cheques validity.
2. Transmitting cheques to respective Paying members for inward clearing.
3. Receiving replied cheques and rejected cheques from paying members.
4. Transmitting replied cheques and returned cheques to Presenting members.
5. Ending the clearing session of the current business day.
6. Generation the Net Clearing Position (NCP) and submitting the file to NRB for
settlement through the direct members accounts.
7. Starting a new clearing session.

2.2 Intern’s Key Observation

The purposed of this internship program was to enable us to apply our theoretical
knowledge in practical life and gain experience. This internship in Nabil Bank Limited
was undertaken to learn how they perform day to day operations and to experience the
overall bank management process. I also considered this internship program as a way of
developing our personal and professional skills and to be more reasonable towards our
work. After working in Nabil Bank Limited, I discovered that the objectives that I had set
have been adequately met. Previously, I only had knowledge on whatever I learnt in
college but after this internship, I had an opportunity to enhance my personal and
professional skills.

I was placed in the CSD, Bill and Remittance and Trade and Finance at the bank during
my internship period. I got to know how the different level of working for each of the
products and services provided by the bank. I also observed that the working environment
of the bank was very friendly and co-operation process of bank.

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 CHAPTER III

LESSON LEARNT AND FEEDBACK

3.1 Key Skill and Attitudes Learnt

This internship report is based on internship done Nabil Bank Limited, Kantipath Branch
from Nov 28th, 2021 to Jan 31st, 2022 to know the various processes and working
environment of banking in real life I have gained lot of experiences from the internship in
Nabil Bank Limited, which was my first experience in banking sector. This internship
program helps me to learn professional attitude for future prospects and to learn
practically apart from academic courses. During this period, I was able to learn different
services and products that are delivered by bank, organizational culture, nature of
organizational problems, etc.

The lessons learnt are as follows:

 Learnt about general banking operations.

 Learnt overall basic functioning of the bank.
 Learnt to co-operate in work place and to coordinate the efforts of five section of
remittance department.
 Learnt to make good relations with co- workers, seniors, corporate clients and
general customers.
 Learnt to adjust own self in various working environment.
 Learnt to perform various activities assigned.
 Learnt to adjust with the official norms.
 Learnt how professionalism develops.
 Learnt about the inter-relation and integration of various departments in banking
system.
 Learnt general system used in banking information technology.
 Learn basics about NRB directions regarding commercial banks.

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  Learnt about authority and responsibility relationship among various managerial
and subordinate level in the hierarchy of commercial banks.
 Learnt about the overall norms and organizational behavior regarding Nabil Bank
Limited.

An internship course of BBA has its own significance, which makes the students to
complete graduation in real world exposures of theoretical knowledge. Internship
provides the opportunity of gaining the practical knowledge and observing the real
application of theoretical aspects. Some facts about the privacy and systematic approach
of the organization were revealed. Internship has helped to explore the fundamental of
banking system.

Coordination and integration of various departments in banking systems is a must.

Banking organization is divided into various functional areas which are interlinked,
interconnected and interdependent with each other. If there are no team efforts then no
organization can achieve its organizational goals. Therefore, there must be cooperation
and support within the staff of the overall functional areas to be successful.

The bank should value the customer needs and solve the problems as soon as possible as
tight competition between them is taking a massive form. This help to retain and maintain
existing customer by provide service up to their expectations. It should take various
customer feedbacks and provide them prompt and convenient services. These were
observed as an intern in Nabil Bank Limited.

Nabil Bank Limited has been successful to create its own image within the country, and it
is also successful to create the banking relation with the most of the countries of the
world. It is capable to render its services necessary for export and import to any
businessperson of the world. Nabil Bank Limited is playing a leading role in banking
industry through its innovative products and services that match the customer‟
expectations.

3.2 Feedback to the Organization

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During my internship period, I observed many of the errors of that needed to be
mentioned in my repot in order to make sure that the organization improves in the near
future. Feedbacks to the organization that I had observed during my internship are
presented below:

 Make you presentable/groomed.

 Greet each customer as he/she enters your service area.
 Make an eye contact when speaking to customers.
 Be a good listener and show interest in what the customer is saying.
 Don‟t chat with other staff when customer is around.
 The jobs assigned to me did not require much creativity.
 Appreciate/thank the customer for sharing the complaint.
 Intern was not allowed to use system, like Finnacle.

3.3 Feedback to the College/University

Through the internship program I have also acquired some experience that our college
does not have some loopholes. So here I am with some suggestion or recommendation to
college so that it will be beneficial to all student and college in future.

 The subject matter itself is so vast and the internship period is just eight weeks. So
time allocated for internship is not sufficient to gain banking operation in depth
and all the department were not possible to cover.

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 REFERENCES

BOOKS

Shrestha, M.K. & Bhandari, D.B., (2007). Financial Markets and institutions.
Kathmandu: Ashmita Publication
Manandhar, K.D & Pokhrel, S.B. (2007). Marketing Financial Services. Kathmandu:
Buddha Publication
Khanal, (2011). An Internship report on Customer Service Department of Nepal SBI
Bank Limited. Kathmandu: an intern report submitted to FOM, TU.

WEBSITES

www.nabilbank.com

www.nrb.org.np

www.google.com

www.wikipedia.com

ANNUAL REPORTS

Nabil Bank Limited, (2077/78), Annual reports

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