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Letter of Transmittal

Date: 11th DEcember 2011

Quazi Sagota Samina

Senior Lecturer

Department of Business Administration

Subject: Submission of Assignment on is call money rate affected by bank deposit and loan.

madam,

Its my pleasure to submit the assignment on is call money rate affected by bank deposit and

loan, which has been prepared as a partial requirement for Management of commercial banks

Finance (Fin-380) course of BBA program.

Utmost effort has been made is the assignment to give proper findings & to maintain clarity.

We enjoyed the assignment & learned many things during the whole period. While preparing

this assignment, we tried to make it as thorough & comprehensive as possible by covering allthe relevant issues.

Still, if there is any room for further clarification or improvement, we will be glad to attend it.

Thanking you.

Sincerely yours

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ACKNOWLEDGEMENT

The hardest steel goes through the hottest furnace.

The same was the case with us. We faced many problems when we started the work on report but

we are greatly thankful to Almighty Allah for enabling us to get successfully through our

responsibilities.

Very warm and special thanks to our respected course instructor Quazi Sagota Saminawhose real

dedication and devotion kindled in our hope and light. Madam we thank your ability of extracting

the very best out of us, for your patience and perseverance, and also for acknowledging the efforts

made by us during the whole semester.

We would like to give thanks especially to our friends and group members, for their enthusiastic

encouragements and helps during the preparation of this term paper by sharing ideas regarding

this subject and for their assistance in typing and proof reading this manuscript.

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content

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Introduction:

OBJECTIVE OF STUDY:

To analyze is the call money rate affected by bank deposit and loan or not. By this we can

understand the factors related to call money rate and average bank deposit and average loans.

SOURCES OF DATA:The main elements of our assignment were last 5 years financial reports of Rupali bank

limited,national Credit and Commerce bank limited,Prime bank limited,southeast bank limited.

After analysis balance sheet, cash flow we conclude our decision.

METHODOLOGY:This report has been prepared by utilizing information gathered from secondary sources that

were accessed through the internet. We also use the annual reports of last five years. Some data

were collected from the homepage of Rupali bank limited, national Credit and Commerce banklimited,Prime bank limited, southeast bank limited. Besides, the course instructor Quazi Sagota

Samina, has always helped us by providing information and vital guidance.

LIMITATION:

The Holding Period Limitation of the shareholder A bond covenants that restricts in some way the firm's ability to pay cash dividends The Taxable Income Limitation - The dividends received deduction is limited with

regards to the corporate shareholders taxable income.

Debt-financed Dividends Received Limitation Lack of primary data Time constraint, Costly and also some regulation of the bank for confidential data.

http://financial-dictionary.thefreedictionary.com/Bond+covenanthttp://financial-dictionary.thefreedictionary.com/Firmhttp://financial-dictionary.thefreedictionary.com/Cash+dividendhttp://financial-dictionary.thefreedictionary.com/Cash+dividendhttp://financial-dictionary.thefreedictionary.com/Firmhttp://financial-dictionary.thefreedictionary.com/Bond+covenant

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Short profile of sample banks:

Rupali Bank Limited

Rupali Bank Ltd. was made up with the merger of three former commercial banks i.e. Muslim

Commercial Bank Ltd., Australasia Bank Ltd. and Standard Bank Ltd. which operated in the

then Pakistan on March 26, 1972 under the Bangladesh Banks (Nationalization) Order 1972,

with all their assets, benefits, rights, powers, authorities, privileges, liabilities, borrowings and

obligations. Rupali Bank worked as a nationalized commercial bank till December13, 1986.

Rupali Bank Ltd. emerged as the largest Public Limited Banking Company of the country on

December 14, 1986.

Vision and Mission: Their vision is to expand our loyal customer base known as the financial

partner of choice constantly exceeds customer expectations. The missions of Rupali bank are

1. Develop long term relationship that help the customer achieve financial success2. Offer rewarding career opportunities and cultivate staff commitment3. Upholds ethical values and meet its customer needs in the fastest and most appropriate

way and continue innovative work in order to achieve human resources with superior

quality, technological infrastructure and service packages.

Rupali Bank operates through 492 branches. It is linked to its foreign correspondents all over the

world. They provide ATM, ancillary services, utility service, locker, western union money

transfer and many more. They also provide foreign remittance services of UK, USA, and Middle

East. Their reserve & retained earnings Tk. 420 Crore.

National Credit and Commerce Bank Ltd (NCC Bank)

National Credit and Commerce Bank Ltd. puts up with a distinctive history of its own. The

organization started its journey as an investment company back in 1985. The target of thecompany was to mobilize resources from within and invest them in such way so as to develop

country's Industrial and Trade Sector and playing as medium in the formation of capital market

as well. The Bank has set up a new standard in financing in the Industrial, Trade and Foreign

exchange business. Its various deposit & credit products have also attracted the clients-both

corporate and individuals who feel comfort in doing business with the Bank.

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The bank operated up to 1992 with 16 branches and thereafter with the permission of the Central

Bank converted in to a fully fledged private commercial Bank in 1993 with paid up capital of Tk.

39.00 corore to serve the nation from a broader platform.

Since its inception NCC Bank Ltd. has acquired commendable reputation by providing sincere

personalized service to its customers in a technology based environment.

Mission and Vision

Their mission is to mobilize financial resources from within and abroad to contribute to

Agriculture's, Industry & Socio-economic development of the country and to play a catalytic role

in the formation of capital market.

Their target is also to become the Bank of choice in serving the Nation as a progressive and

Socially Responsible financial institution by bringing credit & commerce together for profit and

sustainable growth.

Products and Services: Their products include deposit products, loan and advances product,

cards, remittance products. They also provide some services such as, treasury services, brokerage

house, remittance services, and schedule of charges.

A Bank with Vision is the slogan of Southeast Bank Limited through a contemplation of assuring

A professional term of Bankers is running the day-to-day operation of the Bank. Southeast Bank

Limited is a scheduled Commercial Bank established under the Bank Companies Act, 1991, which

obtained license from Bangladesh Bank on March 12, 1995 and incorporated as a public limited

company. It started its first commercial banking operation from May 25, 1995. There are fifteen

sponsors involved in creating SEBL and these sponsors are the leading business personalities and

eminent industrialists of Bangladesh, having stakes in various segments of national economy. They

are highly regarded for their entrepreneurial competence. Besides, the board of directors of this bank

consists of eminent personalities from the realm of commerce and industries of the country.

Southeast Bank Limited:

Southeast Bank Limited was established in 1995 with a dream and a vision to become a pioneerbanking institution of the country and contribute significantly to the growth of the national

economy. The Bank was established by leading business personalities and eminent industrialists

of the country with stakes in various segments of the national economy. The incumbentChairman of the Bank is Mr. Alamgir Kabir, FCA, a professional Chartered Accountant. Mr. M.

A. Kashem a member of the Board and Mr. Yussuf Abdullah Harun were past Presidents of the

Federation of Bangladesh Chamber of Commerce and Industries (FBCCI).

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Southeast Bank is run by a team of efficient professionals. They create and generate an

environment of trust and discipline that encourages and motivates everyone in the Bank to worktogether for achieving the objectives of the Bank. The culture of maintaining congenial work -

environment in the Bank has further enabled the staff to benchmark themselves better against

management expectations. A commitment to quality and excellence in service is the hallmark of

their identity. Southeast Bank takes pride for bringing women into the banking profession in asignificant number for gender equality. At present, 32% of SEBL's employees are women that

will rise to 45% over the next five years.

Highlights of the Bank:

T h e B a n k c o m m e n c e d i t s b u s i n e s s o n M a y 2 5 , 1 9 9 5 a n d h a s

a l r e a d y completed successful 7 years of operation.

The Bank has been l i s t ed wi th the Dhaka S tock Exchange L imi ted

a nd Chittagong Stock Exchange Limited since 1999.T h e a u t h o r i z e d c a p i t a l o f t h e B a n k i s T K . 5 0 0 . 0 0 m i l l i o n a n d

p a i d u p capital is TK. 363.00 Million as on 30

th

June 2002.The Bank has been paying reasonabl e dividend to the shareholders every year.

T h e B a n k h a s b e e n m a i n t a i n i n g a d e q u a t e p r o v i s i o n a g a i n s t i t s

n o n - performing assets.

Mission of SBL:After doubling itself in size and soundness Southeast Bank Limited has

b e e n c o n s o l i d a t i n g i t s p o s i t i o n a n d p r e p a r i n g i t s e l f f o r t h e

n e w m i l l e n n i u m b y u p g r a d i n g t e c h n o l o g y , t r a i n i n g i t s w o r k

f o r c e , restructuring organizationally and creating a new work culture.

High quality financial services with state of the art technology

Fast customer service

Sustainable growth strategy

Follow ethical standards in business

Steady return on shareholders equity2

Innovative banking at a competitive price

Attract and retain quality human resource

Commitment to Corporate Social Responsibility

Prime Bank Ltd:

Prime Bank Ltd. was created and commencement of business started on 17th April 1995. Thesponsors are reputed personalities in the field of trade and commerce and their stake ranges from

shipping to textile and finance to energy etc.

As a fully licensed commercial bank, Prime Bank Ltd. is being managed by a highly

professional and dedicated team with long experience in banking. They constantly focus on

understanding and anticipating customer needs. As the banking scenario undergoes changes so isthe bank and it repositions itself in the changed market condition.

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Prime Bank Ltd. has already made significant progress within a very short period of its

existence. The bank has been graded as a top class bank in the country through internationallyaccepted CAMEL rating. The bank has already occupied an enviable position among its

competitors after achieving success in all areas of business operation.

Prime Bank Ltd. offers all kinds of Commercial Corporate and Personal Banking servicescovering all segments of society within the framework of Banking Company Act and rules and

regulations laid down by our central bank. Diversification of products and services includeCorporate Banking, Retail Banking and Consumer Banking right from industry to agriculture,

and real state to software.

The bank has consistently turned over good returns on Assets and Capital. During the year 2005,

the bank has posted an operating profit of Tk.1520.34 million and its capital funds stood at

Tk.3177.32 million. Out of this, Tk.1400 million consists of paid up capital by shareholders and

Tk.1777.32 million represents reserves and retained earnings. The banks current capitaladequacy ratio of 9.96% is in the market. In spite of complex business environment and default

culture, quantum of classified loan in the bank is very insignificant and stood at less than 0.96%.

Prime Bank Ltd., since its beginning has attached more importance in technology integration.

In order to retain competitive edge, investment in technology is always a top agenda and under

constant focus. Keeping the network within a reasonable limit, our strategy is to serve thecustomers through capacity building across multi delivery channels. Our past performance gives

an indication of our strength. We are better placed and poised to take our customers through fast

changing times and enable them compete more effectively in the market they operate.

Prime Bank Products

Banking Services, Retail Banking, Corporate Banking, Investment Banking, Islami Banking,ATM Services

Vision

To be the best Private Commercial Bank in Bangladesh in terms of efficiency, capital adequacy,

asset quality, sound management and profitability having strong liquidity.

MissionTo build Prime Bank Limited into an efficient, market-driven, customer focused institution withgood corporate governance structure.

Continuous improvement of our business policies, procedure and efficiency through integrationof technology at all levels.Corporate PhilosophyFor our Customers

To provide the most courteous and efficient service in every aspect of its business. To be

innovative in the development of new banking products and services.

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For our Employees

By promoting their well-being through attractive remuneration and fringe benefits.By promoting good staff morale through proper staff training and development, and provision of

opportunities for career development.

For our Shareholders

By forging ahead and consolidating its position as a stable and progressive financial institution.

By generating profits and fair return on their investment.

For our CommunityBy assuming our role as a socially responsible corporate citizen in a tangible manner By

adhering closely to national policies and objectives thereby contributing towards the progress of

the nation.

By upholding ethical values and best practices.

Constantly seeking to improve performance by aligning our goals with stakeholders expectations

because we value them.

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