Banking Policy and Practices of IFIC Bank Ltd

Abstract

The principal reason of banks chartered by the government and the central bank is to make loans to their customers. Banks are expected to support their communities with an adequate supply of credit for all legitimate business and financial needs of consumer and to price that credit reasonably in line with competitively determined interest rates. Indeed, making loans is the principal economic function of banks to fund consumption and investment spending by businesses, individuals, and units of government. How well a bank performs its function has a great deal to do with the economic health of any region, because banking performance support the growth of new businesses and jobs within the banks trade territory and promote economic vitality. Moreover, bank loans often seem to convey positive information to the marketplace about a borrower’s credit quality, enabling a borrower to obtain more and perhaps somewhat cheaper funds from other sources. The internship report is a partial requirement for the Master of Business Administration (MBA). As a Chapter of internship program, I was placed at Dinajpur Branch of IFIC Bank Limited. During the 45 days internship program I have learned extensively about commercial banking operation. This report explores IFIC Bank’s activities as one of the leading non-government organization. This report contains information about all commercial activities that the bank deals with. I have mainly focused on General Banking system of IFIC Bank Limited in this report. General banking operation includes all the general activities performed by the bank. I have discussed about different types of account holder and different types of account such as Saving Account, Current Account, Fixed Deposit Rate (FDR), Pension Saving Scheme (PSS) and other existing accounts with their rates and other activities of General Banking in detail.