INTERNSHIP REPORT
ZARAI TARAQIATI BANK LIMITED BOONI
SUBMITTED BY:
SYED SHAH SAWAR
BBS-IV
SESSION: 2017-2019
SUPERVISED BY:
MR. NOMAN SHAFI
QUAID-I-AZAM SCHOOL OF MANAGEMENT SCIENCES,
QUAID-I-AZAM UNIVERSITY, ISLAMABAD
I
II
III
AKNOWLEDGMENT
First of all I am thankful to ALLAH for providing me strength to done my internship
report. I want to say thanks to my parents for their prayers and encouragement. I would
also like to say thanks to my respected supervisor of my internship MR. NOMAN SHAFI
for giving me guideline regarding my internship. I am also thankful to the management of
ZTBL for their permission to do my internship there. I also express my profound
gratitude to the MR.SYED NIZAR SHAH (AVP/branch manager ZTBL Booni branch)
for his help in getting the approval of internship in his branch and for his supervision
during my internship. I am thankful to MR. ZAFAR ALI KHAN (AVP/ Branch operation
manager) and MR. JAVED (Assistant operation Manager) for helping me in to learn
different thing in operation department. I am thankful to MR. NASIR UL HAQ (OG1/MCO) and MR.ASIF MUJTABA (OG-III/MCO) for helping me in learning thing in
credit department and I n field work. I am also thankful to NAZIR WALI SHAH
(Assistant/SRC) for helping learning about SAM recovery process. At last I would like to
say thanks to all my friends who guided me during my internship.
IV
Table of Contents
EXECUTIVE SUMMARY ........................................................................................................... 1
CHAPTER ONE# INTRODUCTION ......................................................................................... 2
Corporate Vision of ZTBL........................................................................................................... 2
Corporate Mission of ZTBL ........................................................................................................ 2
Corporate Objectives ................................................................................................................... 2
Core Values.................................................................................................................................. 3
OPERATION DEPARTMENT ................................................................................................... 4
Account Opening Process ........................................................................................................ 4
Cheque Clearing .......................................................................................................................... 4
Inland Remittance ........................................................................................................................ 5
Daily Operation Report ................................................................................................................ 5
Cash Handling.............................................................................................................................. 5
TDR (term deposit receipt) .......................................................................................................... 6
TYPES OF CHEQUES ................................................................................................................ 6
CREDIT DEPARTMENT ........................................................................................................... 7
Credit Recovery Process .............................................................................................................. 7
PRODUCTS & SERVICES OF ZTBL........................................................................................ 9
SOFRTWARE LIST .................................................................................................................. 10
CHAPTER TWO# PERSONAL WORKING & LEARNING EXPERIENCE ..................... 11
First, second and third week activates: ...................................................................................... 11
Writing of vouchers: .............................................................................................................. 11
Debit voucher ......................................................................................................................... 11
Credit Voucher ....................................................................................................................... 12
Transfer Voucher ................................................................................................................... 12
ACCOUNT OPENING .......................................................................................................... 12
Procedure for Opening of Accounts: ..................................................................................... 13
Application Form: .................................................................................................................. 13
Specimen Signature: .............................................................................................................. 13
Initial Deposit: ....................................................................................................................... 13
Operating the Account: .......................................................................................................... 14
V
Acknowledgement form for issuance of cheque Book: ......................................................... 14
Letter of thanks to the Account Holder:................................................................................. 14
Fourth, fifth and sixth week’s activities:.................................................................................... 15
CHAPTER THREE# SWOT ANALYSIS ................................................................................. 16
STRENTHS ............................................................................................................................... 17
Clients of ZTBL ..................................................................................................................... 17
Competent Staff ..................................................................................................................... 17
Good Employee relation ........................................................................................................ 17
Less Competitors ................................................................................................................... 17
WEAKNESSES ......................................................................................................................... 18
Communication with client .................................................................................................... 18
Poor Physical Structure .......................................................................................................... 18
No ATM card facility............................................................................................................. 18
OPPORTUNITIES ..................................................................................................................... 18
Business expansion opportunity............................................................................................. 18
Opportunity for investment .................................................................................................... 18
Fewer competitors.................................................................................................................. 19
Making New Clients .............................................................................................................. 19
THREATS ................................................................................................................................. 19
Entry of new competitors ....................................................................................................... 19
Decrease in the agriculture crop............................................................................................. 19
Probability of Flood ............................................................................................................... 19
CHAPTER FOUR# RECOMMENDATION & CONCLUSION ............................................ 20
RECOMMENDATIONS ........................................................................................................... 20
CONCLUSION .......................................................................................................................... 21
Annexure....................................................................................................................................... 22
References ..................................................................................................................................... 23
VI
LIST OF ABBREVIATION
Serial #
Abbreviations
Full Form
1
ZTBL
Zarai Taraqiati Bank Limited
2
SBP
State Bank of Pakistan
3
CBAS
Centralized Branch Automation System
4
CDMS
Centralized Deposit Management System
5
BMVS
Bio Metric Verification System
6
CA
Current Account
7
PLS
Profit & Loss Sharing
8
BDA
Business Deposit Account
9
RBA
Rozana Bachat Account
10
TDR
Term Deposit Receipt
11
NADRA
National Data Base and Registration Authority
12
MCO
Mobile Credit Officer
13
LC
Loan Case
14
BBA
Basic Banking Account
VII
EXECUTIVE SUMMARY
This report is consisting of all the activities I have done during my internship at the
ZTBL Booni Branch in six weeks internship period. During my internship I learned a lot
in various department of the bank. The major departments were I worked as internee was
the operation department and credit department. During first and second week worked at
the operation department. Major activities take place at operation department are the
account opening process. Second major activity of operation department are cash
handling, cash counting, and sort making, and identifying the soiled/cut notes. Third
major activity is Cheque clearing process. Fourth major activity of operation department
is maintaining daily operation reports and maintaining cash register and balance sheet.
Fifth activity of the operation department is dealing with the remittances and online
transactions. Last activity of operation department is dealing the term deposit receipt
(TDR) and sharing the terms and conditions of the TDR with clients.
In the last three weeks I worked in the credit department. The major activities of credit
department are verification of credit documents and approval, and the field work during
the documentation and verification of the data collected in documentation process.
SWOT Analysis is in third chapter it is the most important part of the report, because it
depends on my personal observation. Only a good, keen and comprehensive analysis
leads to good have observed many things and I have analyzed them to the best of my
efforts & knowledge. In the end of my internship report, I have suggested my
Recommendation and Conclusion for the Zarai Taraqiati Bank Booni.
1
CHAPTER ONE# INTRODUCTION
Corporate Vision of ZTBL
Dedicated to serve the needs of the farming community, by delivering financial products
and technical services on a competitive and sustainable basis, in a convenient, efficient
and professional manner, leading to success of the Bank and the farmers (Official
website, n.d.)
Corporate Mission of ZTBL
To play effective role in the promotion of economic growth, by enhancing the availability
of credit to the agriculture sector, through reliable access to sustainable financing, special
lending programs, technical assistance, and other products & services, and to promote
career development opportunities for increasing professionalism and technical
proficiencies of employees. (Official website, n.d.)
Corporate Objectives
 Develop and operate as a financially and operationally sustainable R.F.I of the
country.

Assist rural community, particularly the small farmers, in raising their productivity
and income levels through timely delivery of credit, advisory and ancillary services.
2

Build ZTBL's image as a proactive, client friendly, financially & operationally
sustainable with indigenous product deployment.

Establish and provide backward and forward linkages to strengthen agri. value
added Commodity chains.

Engage in public - private and wholesale - retail partnership to deepen outreach and
reduce operating cost.
 To function as a rural commercial bank to mobilize rural capital formation and to
commercialize the agri. sector by delivering the true value of credit to the client.
Provide a wide range of risk insurance products to its clients.

Open up its venues of operation to Domestic & International Banking Industry to
avail comparative advantages (Official website, n.d.)
Core Values

Loyalty To ZTBL Mission & Vision

Integrity Of Meritocracy

Quality & Efficiency

Well trained Human Resource

Credit With Technology
3
OPERATION DEPARTMENT
Account Opening Process
Many people come for the opening account according to their own choice. The following
procedure is used for opening a new account, Account opening process start with the
verification of CNIC of account opener from NADRA. A complete data form filled by
the officer and filled all the boxes required in the bio data form. A copy of CNIC and
passport size photograph attached with the form. Officer will ask the account holder to
deposit initial cash in that account number by filling cash pay in slip. The account will be
alphanumeric/ numeric as the cash may be. All the entries are to be initialed authenticated
and the instructions which are no longer valid must be crossed through in red ink. The
date and authority of cancellation noted the deletion must be initialed by the branch
manager. Account must be open through cash to establish customer/banker relation,
account must not be opened through/ clearance entries.
Cheque Clearing
Two major things in Cheque clearing are OBC and IBC. OBC (outward bills for
collection) is for the cross Cheque received. These Cheque are sent by post office to
relevant Branch for realization. IBC (inward bills for collection) if the cheque are
received from others banks for realization they are realized in the bank and resend to the
concerned banks. If any open cheque is received that can be cashed by the check holder
or anyone else balance is checked and that is verified by the BOI and then the person can
4
withdraw the cash. For deposit through cheque the cheque is also verified by the BOI and
then the cheque is deposited by cashier or teller.
Inland Remittance
The term Inland Remittance means transfer of funds from one Branch to another
within the country through following Banking Instruments:
i) Demand Drafts (DDs)
ii) Telegraphic/Telex Transfers/Fax Press (TTs)
iii) Mail Transfers (MTs)
iv) Pay Orders
Daily Operation Report
Client utility is run and employees log in to their account and start the daily operations
serial number is written on the cheque, vouchers, and disbursement slips and record is
kept in the bank. At the end of the day the accounts are closed and balance sheet is
prepared. The reports and balance sheet are prepared on daily basis.
Cash Handling
The record of cash is kept on daily basis. Cash is carefully handled at time of cash
received and cash paid. If the cash is received or paid in access or less than will create
difference while making balance sheet. Sorts of cash is made which is composite of 100
5
notes which make ease in counting. Sort is stamped and the unsorted money is also
stamped. The cut and soiled notes are separated during counting.
TDR (term deposit receipt)
Customer can deposit their money on 1, 2, 3 and 6 month and 1 year under the term
deposit policy. The rate of interest is depends on the duration of term deposit.
TYPES OF CHEQUES

Open cheque: any person can cash it

Cross check: the cheque is not cashed at the time it is send for verification

Postdated cheque: the cheque dated on the day next to come it cannot be cashed.

Pre dated cheque: the cheque dated before present date.

Special cross cheque: the cheque with special cross.
If order is written instead of bearer then only cheque holder can cash it.
6
CREDIT DEPARTMENT
Credit Disbursement Process
At the initial stage of loan processing CNIC of the client is verified. Secondly it is also
verified from the state bank of Pakistan that the person has already taken a loan are filled.
Than the loan documents are verification by visiting the home of the person who applied
for the loan. MCO prepared/ filled the loan case file issued by the branch and present to
the branch manager. Branch manager carefully study the file and sanction the loan for the
person.
Credit Recovery Process
Recovery Schedule
• Recovery plan for each instance of credit according to terms of endorse of advance is
settled and imparted to the borrowers after payment of advance.
• If there should arise an occurrence of default of disappointment in reimbursement of
any portion on due date the markup will keep on being charged and portion because of
This may contrast from the measure of portion settled at the season of dispensing.
.Issuance of Notices
• Demand see issued before the due date of each portion.
• A lawful notice is issued multi month after the due date illuminating the borrower that if
the sum isn't reimbursed inside the following multi month, encourage legitimate move
will be made to recoup the levy.
7
Legitimate Action
• Legal activity can be started against the defaulter if credit isn't reimbursed even after of
legitimate see period.
• Where the court is bank's support has announced a case, sum is to be settled by
recuperation of sum from the activity of them or labeled property.
• The bank may buy the sold property if consider achievable to dismiss it off later on
without intercession of court under monetary organizations (recuperation of fund)
mandate 2001. Rescheduling of advance reimbursement office. .Rescheduling of Loan
Repayment Facility
• ZTBL enables rescheduling of reimbursement of portion to its borrowers with the end
goal to keep up credit discipline and to moderate their honest to goodness issues in
Genuine hardship cases furthermore, in zones announced as cataclysm hit by the separate
commonplace governments.
• The rescheduling office is to be considered by bank on the off chance that to case
premise and is to be permitted on borrower's demand as it were.
• The unwinding in recuperation period will not be permitted past one year regardless.
• The borrower will need to execute a beneficial advance concurrence on one legal.
• Stamp paper of fitting an incentive to give lawful cover to expanded period.
8
• The borrower will need to pay the arrival of expanded period. (Account Operation
Manual, 2018)
Production loan is recovered lam sup on yearly basis with the markup rate of
14%.Development loan is recovered within five years in half yearly installment with the
markup rate of 14.80%.
PRODUCTS & SERVICES OF ZTBL
 BANK ACCOUNTS:
 Current Account

PLS- Saving Account
 Business Deposit Account (Special Deposit A/C
 Rozana Bachat Account (Special Deposit A/C)
 Basic Banking Account
 PLS- Term Deposit
 Zarai Munafa Term Deposit Certificate (ZMTDC)
 Musaqbil Mahfouz
 Zarai Term Deposit Certificate (ZTDC)
 MINFA Revolving Fund Deposit A/C (MRFDA)
9
 MINFA Special Saving Deposit A/C (MSSDA)
 ZTBL Junior Account (ZJA)
 ZTBL Senior Citizen's Account (ZSCA)
(Account Operation Manual, 2018)
SOFRTWARE LIST
Official Software list

CBAS ; Centralized branch automation system

CDMS: centralized deposit management system

BMVS: Bio metric Verification system
10
CHAPTER TWO# PERSONAL WORKING & LEARNING EXPERIENCE
During my six weeks of internship at the Zarai Taraqiati Bank Booni I worked in
different departments.
First, second and third week activates:
During my first and second week I worked at the operation and Account department.
Writing of vouchers:
Writing voucher is necessary for every cash related transaction within bank. It is the most
important part of account department of ZTBL banks. Every cash related transaction need
a voucher is basic requirement.
There are three types of Vouchers.
1. Debit voucher
2. Credit Voucher
3. Transfer voucher
Debit voucher
When bank receives cash from its customers then debit voucher is filled for
complete the transaction. E.g. payment of loans by customer.
11
Credit Voucher
When bank pays cash to its customer credit voucher is used. Payment of cheque
etc.
Transfer Voucher
Transfer voucher is required when amount is transfer from one account to
another.
In Operation Department I learned about the account opening process. In account
opening process I was guided by assistant operation manager. I learned about filling the
account opening form and the policies regarding account opening. I learned about cash
handling. In cash handling I learned about cash counting, sort making and identifying the
soiled/cut notes. I learned about cheque clearing process. I learned about online cash
transfer and deposits.
ACCOUNT OPENING
There is one supervisor who will open the accounts of different types and different nature
of accounts. When customer opens the account, he will first fill the application in which
date, account number, branch number, Reference, who should have account in ZTBL,
administrator, addresses of (Reference and administrator) and copies of NIC and one
12
picture of customer With this the applicant required that he should take a stamp paper to
avoid ZAKAT. The voucher and a signature card (SC) is also attached to application, the
SC contain a signature of customer if joint account the signatures of both the partners.
This card is then used when the customer want to withdraw the money.
For the saving account (PLS) customers should deposit at least Rs.500/= and also for the
current account (CA) then Bank will be able to take their service charges from the
account holder. In (CA) ZAKAT is not deducted. Current account also not entertains
profit. Government, loan, salary and pension account have no service charges.
Procedure for Opening of Accounts:
For the opening of new account the following formalities are to be required.
Application Form:
It is a form filled with the detailed information about the customer for opening new
account in the bank.
Specimen Signature:
When the officer satisfied and fills the form, he obtains the specimen signature of the
customer on the form and card.
Initial Deposit:
In ZTBL current account and PLS saving account can be opened with a minimum of RS
500.
13
Operating the Account:
Pay-in-slip book
Cheque book
Cheque book issue
The customer fulfills the requirements for account opening then the Bank issue a cheque
book to customer. If customer wants to issue a new cheque book then he will have the
requisition slip or page. Without authority and requisition slip of the customer new
cheque book can’t be issued. In case, if there is no acknowledgment from account holder
the cheque book will be no longer valid. Cheque book is issued in serial wise then we
know that there is no cheque book missed.
Acknowledgement form for issuance of cheque Book:
In case the account holder not visited the ZTBL Branch personally for obtaining his
cheque book then the Branch sent the acknowledgment form along with cheque book
and the account holder return back the acknowledgement form after putting his
signature/thumb impression to Branch.
Letter of thanks to the Account Holder:
A letter of thanks is issued to the account holder after opening of the account. The
purpose of this letter is to check personal data and address that is mentioned in the
account opening form.
14
Fourth, fifth and sixth week’s activities:
In the last three weeks of my internship I worked in the credit department. In the credit
department I learned about credit documentation and credit term and conditions.
I
learned about the policies and recovery process. I learned the documentation of credit
documents, verification of the documents and credit disbursement process. I also
experienced field work during the documentation and verification of the data collected in
documentation process. Although the duration was very short but I learned a lot of things
in this short duration. With confidence I can say that I learned almost 70% work done in
the whole organization. During my internship program my schedule was set in a manner
that I spent a great time in each department of the bank. Under the supervision of the
Branch manager and the employees I experience different works of each department.
During internship I also experience the field work of the bank. The field work is for
Documentation of loan, verification of loan documents and recovery of loan. During the
internship I tried my level best to identify the application of the theories which I have
read during my studies at Quaid i Azam University Islamabad. I used my skills which I
have built here in Quaid-e-Azam University Islamabad. My Experience was good
because I learned a lot of things during my internship and this internship enabled me to
know the practical application of the theory. I learned about the professional life and
challenges in the professional life. I tried my level best to show a good image of myself
and my University.
15
CHAPTER THREE# SWOT ANALYSIS
Strength
Weaknesses
 Clients Of ZTBL
 Communication with Clients
 Competent Staff
 Poor Physical Structure
 Good Employee Relations
 No ATM Facility
 Less Competitors
Opportunities
 Opportunity for expanding the
Business through new branches
at different places
 Opportunity for investment
Threats
 Entry of New Competitors
 Decrease
Crops
in
the
agricultural
 Probability of Flood
 Less Competitors
 Making New clients
.Every organization has some strong points, some weak points, opportunities and threats.
The strength and weaknesses are due to the internal structure of the organization and
opportunities and threats are from external environment. Likewise the SWOT analysis of
ZTBL gives an image of all its strength, weaknesses, opportunities and threats.
16
STRENTHS
Clients of ZTBL
Customers of the ZTBL are strength of the organization. The more number of clients the
more strong the bank will be. ZTBL has huge number of clients due to which it is more
productive and financially strong than its competitors.
Competent Staff
ZTBL hire its staff totally on merit basis due to this reason the staff of ZTBL are
competent and more productive.
Good Employee relation
Employee relation is very good due to which there are no conflict in the bank and the
employees focus on the team work and mutual benefit and mutual understanding.
Less Competitors
ZTBL is situated in the remote area of Chitral due to which there are fewer competitors
which is an important strength of ZTBL.
17
WEAKNESSES
Communication with client
The transport and telecommunication system is not good and active due to the geography
of the Area where the bank is located. Due to this reason communication with clients is
very difficult.
Poor Physical Structure
The physical structure of the bank is not of the standard. There is no proper ventilation
System and the size is less so it’s very congested.
No ATM card facility
The bank is not providing the ATM facility. Due to this the transaction are mostly done
in the branch.
OPPORTUNITIES
Business expansion opportunity
ZTBL has a good opportunity to expand its business by opening new branches in
different areas of the region. Most of the people have no access to the bank due to the
distance and location of the bank; if the bank opens its branches at different locations it
can generate good revenue.
Opportunity for investment
As mentioned above that there is less competition in the area due to this there are good
opportunities for investment.
18
Fewer competitors
The area is less developed and backward so there is less organization dealing in the same
business that ZTBL is doing. This is an important opportunity for the bank.
Making New Clients
As there are fewer competitors so it is good opportunity to increase the number of the
clients before entry of new competitors.
THREATS
Entry of new competitors
With the development of the area there is more probability of the entry of new
competitors. This can be a serious threat for the organization. So the bank can minimize
the influences of the competitors by increasing the customer loyalty.
Decrease in the agriculture crop
Decreasing in agriculture in crop year by year, this is worried situation.
Probability of Flood
Due to geographical nature of the area the chance of flood that affect the land and
agriculture crops.
19
CHAPTER FOUR# RECOMMENDATION & CONCLUSION
RECOMMENDATIONS

ATM Facility: Bank should provide the facility of ATM card and ATM Machine
in branch for the convenience of the clients.

Physical Structure: The physical structure of the bank is not good which creates
problems in dealing the clients. So there is need of improvement in bank’s
physical structure.

Banking sector is the fast growing sector in this era but in Booni branch there is
still manual system for many processes so the branch should start the online
system to satisfy their customers.

More Staff is required: there is a shortage in the branch especially deposits and in
cheque posting section.

Secrecy measures must be maintained: the branch must maintain the secrecy of its
customer, s account especially when the bank is asked on telephone to tell about
the financial standing and balance in the account.

Motivation of Employees: the staff should be motivated especially the lower staff
of the branch. They are dissatisfied with the performance appraisal system of the
bank. The branch manager should establish a systematic an efficient appraisal
system to overcome the de-motivation and dissatisfaction of the employees.
20
CONCLUSION
This report comprises the detail of my internship which I have done during my summer
vacation. The duration of internship was six weeks. I did my internship Zarai Taraqiati
Bank Limited Booni District Chitral. During my internship I worked in different
departments of the bank; the operation department, The Account department and credit
department. I experienced the way of operation done in all departments. The employees
of the Zarai Taraqiati Bank Booni helped me and co-operated me a lot during my
internship and I learned a lot of things in this short period of time. This internship helped
me a lot to know about the professional life and how to do practical work. The human
nature is based on the fact that who can learn a thing them after who use it in his practical
life, as we do in our internship.
This internship helped me to know the application of the theory in different
organizational operations. I am pretty sure that this internship will help me a lot in my
professional life.
21
Annexure
22
References
Account Operation Manual. (2018). central account department finance & Account
Division Head Office Islamabad, 2018.
Account Operation Manual.(2018) central account department finance & Account
Division Head Office Islamabad,2018
Official website. (n.d.). zarai taraqiati bank limited. Retrieved from zarai taraqiati bank
limited: https://www.ztbl.com.pk/about/
23