52 pages
Word Count
12453 words
Course Code


September 8, 2013
Instructed by:
Mr. Naveed Ahmed
Comsats Institute of Information Technology
Presented by:
Muhammad Hussain
Roll No.65
Semester 3
I dedicate whole of my education along with my life to my beloved parents and respected
teachers, who were always kind to me.
May God Bless Them (Aamin).
Muhammad Hussain
1. Preface
2. Introduction Of Bank
3. Types of Bank
4. Executive Summary of MCB
5. History of MCB
6. Vision & Mission Statement of MCB
7. Commercial Bank
8. Branches & ATMs 19
9. Product & Services21
10. Department in MCB25
11. Management Hierarchy28
12. Investment Banking
13. Know Your Customer
14. Remittance Department
15. Financial Statements
16. SWOT analysis
17. Work Performed By Me
18. Findings
19. Recommandations
Banking sector owes a pivotal importance in the economy of any country through its
variant functions. This basic motivator that stressed me to join any bank for Internship
Training. Moreover, the experience and practice learned during this tenure also prove very
helpful and facilitating in the forthcoming professional life.
This report is the result of two months Internship will, Muslim Commercial bank, Kot
Fareed, Sahiwal. The motive behind selecting this bank is that it is one of the Top 10 Asia,
Banks. The fact remains that Muslim Commercial bank, posses an excel/cut and historical
importance being the most senior and leading in terms fluids and services to Pakistan at all
ages of life.
I had with the strong belief that this report will guide and facilitate the readers to
understand the functioning of banking system and more importantly have good knowledge
about Muslim Commercial bank. My utmost efforts to elaborate this report wit, material
read, listened and observed. Yet, I feel that this period was not long enough to learn and
understand the complex and widespread functioning of banking sector.
I am really thankful to the entire staff members of the aforesaid branch for the friendly and
cooperative behavior during my internship.
Muhammad Hussain
Roll No.65
ell-developed banking setup plays very significant role in the economic development of a
country. Banking sector is precondition for the development of any country. The banking
sector helps in proper utilization of resources of the country by financing the less
developed sector. It also helps to keep cumulative demand in proper balance with the
supply of those resources, which are responsive to monetary demand.
A bank is an institution, which deals in money.
Banks draw surplus money from the people who are not using it at that time, and lend to
those who are in a position to use it for productive purposes.
Bank also accepts the deposits from public repayable on demand or otherwise and
withdrawal by cheques. Drafts order and include any post office saving bank.
The word bank is said to have been derived from the Italian words Bancus or Banque. The
History of banking is transacted to be as early as 200 B.C.
no one anybody. Corporate or otherwise can be a banker who does not:
I Open current account
2 Pay cheques drawn on him
3 Collect cheques for his customers.
A hanker is one who is in the ordinary course of his business, honors cheques drawn upon
his by persons from and for whom he receives money on current account.
Banker means a person transacting the business of accepting, for the purpose of lending or
investment, of deposits from the public, and withdrawal by cheques, drafts, order of
otherwise, and inclined any post office saving banks.
Banks play very important role in the economic life of a nation. The growth of the
economy is dependent upon the soundness of its banking system. Although banks so not
create new wealth but borrow, exchange and consume. These make generation of wealth.
In this way. They become most effective partners in the development of that country. To
encourage the habit of saving and to mobilize these savings is its basic purpose. Banks
deposit surplus from the public and then advances the surpluses in the form of loans to the
industrialists, agriculturists, businessmen and unemployed people under different schemes
so that they setup their own business. Thus banks help in capital formation
if there are no banks, and then there would be concentration of wealth in few hands great
portion of wealth of a country would be idle. In the fewer developing countries rate of
saving is very low and due to this rate of investment and rate of growth is very low. We
can take hank just like a heart in the economic structure and capital provided by it is like
blood in it. As long as the blood is in circulation, the organs will remain sound and healthy.
If the blood is not provided to any organ then the organ would become useless. So if the
finance is not provided to agriculture sector or to industrial sector, it wills he destroyed.
Loan facility provided by bank works as an incentive to the producer to increase
production. Banks provide transfer of payment facility, which is cheaper, quicker and safe.
Many difficulties in the international payment have been overcome and volume of
transactions has been increased. These facilities are very much helpful for the development
of trade and commerce.
The Indian society was quite familiar with the banking, right for the beginning. There is
also sufficient evidence to show that during 51h century people were accustomed to use
1-lounds as a credit investment. Loans were given to the people against personal and other
Securities such as ornaments, goods and other immovable properties.
Following is the list of various types of banks:
Central Bank
Commercial Bank
Exchange Bank
Industrial Bank
Agriculture Bank
The banks in any country speeded over with an objective to get the excessive money Form
the public in the form of deposits and providing finance to the investors. These Banks are
in the ground for profit earning motive and in competition with each other. These banks
are providing the basic services to the customers in the form of deposits, Advances,
remittances and others.
Commercial Banking Scenario In Pakistan:
At the time of Independence in 1947.ther were 38 scheduled banks with 195 offices in
Pakistan. But by December 3l, 1973 there were 14 scheduled Pakistani Commercial Banks
with 3233 Branches in Pakistan and 74 Branches in the Foreign Countries Nationalization
of banks was done on 1st January 1974 under the Nationalization Ac 1 947 due to certain
objectives. But it had negative effects on the efficiency of the banking sector. Afterwards, a
Privatization Commission was set upon January 22nd, 1991. The Commission transferred
many banks to the private sector, i.e., Muslim commercial Bank and Allied Bank Limited.
The Govt. approved and permitted the establishment of 1 0 new private banks in August
Functions of commercial Banks:
I borrowing of money from customers in shape of term deposits (PLS Saving Current
Deposits and Notice Deposits).
2 Lending of money to borrowers in shape of finances, short-term finances, and long-term
finances under various names such as Demand Finance, Small
Finance, Cash Finance.
3 Agency services.
4 Remittance of money.
5 Foreign exchange business, foreign currency deposits. LCS, Imports and exports etc.
Banks play an important role in the economic development of a country. If the banking
system is unorganized and inefficient, it creates market adjustments and impediments in
the process of development. In Pakistan, the banking system is organized in well manner.
The State Bank of Pakistan since July 1st. 1984 stands at the apex and is responsible of the
operation of the banking system. The other bands, which form the banking structure in
Pakistan, are playing role in h\the economic development of the country.
The role of the commercial bank in the growth and development of the economy on sound
and steady footings is discussed briefly as follows:
Mobilization of Resources:
The commercial banks are the most efficient organization of the economy in the
mobilization the resources and making a profitable pool of these resources. Taking the
Money from the savers and lending it to the investors is the most prominent job of the
Financing Development Projects:
The banks and other financial institutions advance loans for the development projects that
enhance the pace of overall development of the country. These advances are made in both
public and private sectors for the purpose of achieving a good and strong economic field to
catty on the other activities of trade and business.
Creating Climate For Capital Formation:
Capital formation is done by the act of accepting peoples money and putting into
Profitable ventures. This money so accumulated, make possible the availability of the
needed capital by the investors. The investors on the other hand are able to get the needed
funds that shortfall their requirements.
Planned Development:
With the help of well-organized banking sector the government is able to make good
Implementation of its economic planning and can execute developmental activities for the
welfare of the society.
Promotion of Saving Habit:
There are persons who have money but cannot put them in profitable use. The banks
attract these persons by offering a variety of accounts. They provide them not only the
safety of the funds but also higher returns on them. The banks, in this way, promote the
habit of saving among the people.
Effective Implementation of Monetary Policy:

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