CHAPTER ONEINTRODUCTION 1.1 ORIGIN OF THE REPORT Although total M.B.A. program combines an excellent blend of theoretical and classroom knowledge but aside this internship program facilitates a student to bring light on their theoretical knowledge to apply this in practical ground. I was assigned to Janata Bank, Sonargaon Road Branch, and foreign exchange department for my practical execution. I am required to prepare an internship report under the supervision of our honorable teacher Mohammad Anisur Rahman “Foreign Exchange Management of Janata Bank Limited” to conduct a precision analysis on the typical subject. I have always tried my best to reflect my experience of the practical incidence in this report. 1.2 BACKGROUND OF THE STUDY To supply well-versed graduates Department of MIS is conducting MBA program with excellent reputation. Each of the degree needs practical knowledge of respective field of discipline to be fruitful. To complete MBA program also has an Internship Report, relating to the exchange of theoretical knowledge into the partial fulfillment of the Internship program. During the Internship Program, I am under the supervision and guidance of Mohammad Anisur Rahman assigned to prepare a report about particular topic among some option which should be relevant to my practical knowledge within 90 days MBA program. To fulfillment of the Internship program the report is originated entitled “Foreign Exchange Management Of Janata Bank Limited.” 1.3 OBJECTIVES OF THE REPORT 3.1. BROAD OBJECTIVE This report is prepared primarily to fulfill the Masters of Business Administration (MBA) degree requirement in MBA program of the faculty of business studies, department of management information systems, University of Dhaka. 3.2. SPECIFIC OBJECTIVES The main purpose of the report is to get a clear idea about Foreign Exchange Management of Janata Bank limited To identify the Export procedures To identify the Import Procedures To observe the Foreign Remittance functionality of Janata Bank Ltd. at To get a clear knowledge about SWIFT 1.4 SCOPE OF THE REPORT This study would focus on the following areas of Janata Bank Limited. • Actual Foreign Exchange management of Janata Bank Limited. • Overview the current procedure of export & import and remittance management. • Opening LC and maintenance of other formalities of foreign exchange. • Organizational structures and responsibilities of management. Each of the above areas would be critically analyzed to determine the proper efficiency of Janata Bank’s Foreign Exchange Management system. 1.5 METHODOLOGY OF THE REPORT The study requires a systematic procedure from selection of the topic to final report preparation. To perform the study the data sources are to be identified and collected, they are to be classified, analyzed, interpreted and presented in a systematic manner and key points are to be found out. The over all process of methodology is given in the following page in a form of table that has been followed in the study. 1.5.1 1.5.2 Selection of the topic Identifying data sources i) The primary sources are: ii) The Secondary sources : The topic of the study was assigned by our supervisor. Before assigning the topic it was discussed with me so that a well organized internship report can be prepared. Essential data sources both primary and secondary are identified which will be needed to complete and work out the study.. Face to face conversation with the officers. Practical desk work. Relevant files study as provided by the concerned officers. Annual reports of JBL. Foreign exchange of JBL. Periodic reports of JBL. Annual Reports of Bangladesh Bank (BB). Relevant books, newspapers, journals, etc. Primary data are collected by using interviewing technique. The reports are an exploratory research and for qualitative survey open ended question were ask to the 1.5.4 Sampling Sample:. Classification, analysis, interpretations and 1.5.6 presentation of data: Findings of the study: Bank official. Population: All the Branches of JBL located in everywhere in Bangladesh has been taken into consideration as population. JBL, Main Branch, is the vital sample some arithmetic and graphical tools are used in this report for analyzing the collected data and to classifying those to interpret them clearly. The collected data were scrutinized very well and were pointed out and shown as findings. Few recommendations are also made for improvement of the current 1.5.7 Final report preparation: situation. On the basis of the suggestions of our honorable faculty advisor some corrections were made to present the paper in this form. 1.5.3 Collection of data 1.5.5 6. LIMITATIONS I have faced some limitations, when I was preparing this report which is mentioned below. Secondary source of information was not sufficient for the completion of the report. Limitation of the Scope: Much confidential information was not disclosed by respective personnel of the department. Lack of Secondary Information: The import export data of Bangladesh is not much available over the net. Time limitation It was one of the main constraints that affected covering all aspects of the study. CHAPTER TWO LITERATURE VIEW . and (iii) to furnish facilities for hedging foreign exchange risks . such as telegraphic transfers..e. This transfer of purchasing power is effected through a variety of credit instruments.2. i.transfer function. or the conversion of one currency into another currency.credit function.In performing the transfer function." 2. (ii) to provide credit for foreign trade . Credit Function: .2FUNCTIONS OF THE FOREIGN EXCHANGE MARKET The foreign exchange market performs the following important functions: (i) to effect transfer of purchasing power between countries. analogous to domestic clearings.1 FOREIGN EXCHANGE ITS MEANING AND DEFINITIONS The exchange of one currency for another. to accomplish transfers of purchasing power between two countries. Transfer Function: The basic function of the foreign exchange market is to facilitate the conversion of one currency into another. Foreign exchange also refers to the global market where currencies are traded virtually around-the-clock. the foreign exchange market carries out payments internationally by clearing debts in both directions simultaneously.hedging function. bank drafts and foreign bills. The term foreign exchange is usually abbreviated as "forex" and occasionally as "FX. Hedging Function: A third function of the foreign exchange market is to hedge foreign exchange risks. A forward contract which is normally for three months is a contract to buy or sell foreign exchange against another currency at some fixed date in the future at a price agreed upon now. But the contract makes it possible to ignore any likely changes in exchange rate. Under this condition.e. is required. to promote foreign trade. the price of one currency in terms of another currency. when foreign bills of exchange are used in international payments. Obviously. i. Exchange risk as such should be avoided or reduced. till their maturity.preservearticles.html. 2012) . a person or a firm undertakes a great exchange risk if there are huge amounts of net claims or net liabilities which are to be met in foreign money. (http://www. For this the exchange market provides facilities for hedging anticipated or actual claims or liabilities through forward contracts in exchange. there may be a gain or loss to the party concerned.Another function of the foreign exchange market is to provide credit.com/2012012721683/what-are-the-functions-ofthe-foreign-exchange-market. No money passes at the time of the contract. change. both national and international.. a credit for about 3 months. In a free exchange market when exchange rates. Bangladesh exports most of its readymade garments products to U. . exporters are to make renewal of ERC every year. Most of the exporters who export through Janata Bank Limited foreign exchange Branch are readymade garment exporters. which an exporter has to fulfill before and after shipment of goods. price. the exporter applies to Janata Bank Limited with the trade license. quantity. ERC and the Certificate from the concerned Government Organization to get EXP.3 EXPORT ITS MEANING AND DEFINITIONS: Janata Bank Limited exports a large quantity of goods and services to many countries. arbitration etc.A and European Community (EC) countries. Jute.A. Readymade textile garments (both knitted and woven). Obtaining EXP: After having the registration. frozen shrimps. shipment. Securing the order: After getting ERC. These formalities or procedures are enumerated in brief as follows: Obtaining Export Registration Certificate ERC: No exporter is allowed to export any commodity for export from Bangladesh unless he is registered with Chief Controller of Imports and Exports (CCI & E) and holds valid Export Registration Certificate (ERC).2.S. insurance and mark. Signing of the contract: After communicating with buyer the exporter has to get contracted for exporting exportable items from Bangladesh detailing commodity. an EXP is issued to the exporter. If the bank is satisfied. Garments sector is the largest sector that exports the lion share of the country's export. They open export L/Cs here to export their goods. concerned offices of the Chief Controller of Imports and Exports issues ERC. After applying to the CCI&E in the prescribed from along with the necessary papers. Once registered. Bangladesh exports about 40% of its readymade garments products to U.4 FORMALITIES OF EXPORT PROCEDURE There are a number of formalities. the exporter may proceed to secure the export order. tea. Jute-made products.S. inspection. vegetables are the main goods that Bangladeshi exporters exports to foreign countries. hide and skin. He can do this by contracting the buyers directly through correspondence. which they open against the import L/Cs opened by their foreign importers 2. if satisfied.pdf. certified the EXP. 2012) 2. form with commercial invoice. Quadruplicate: Finally.nfpl. Receiving the Letter of Credit: After getting contract for sale. Endorsement on EXP: Before the exporter with the customs or postal authorities lodges the export forms. Triplicate: On realization of export proceeds the same bank to the same authority reports Triplicate. they should get all the copies endorsed by Janata Bank Limited. exporter should ask the buyer for Letter of Credit clearly stating terms and conditions of export and payment. Duplicate: Negotiating bank reports the Duplicate to Bangladesh Bank in or after negotiation date but not later than 14 days from the date of shipment. Bill of Exchange or Draft Bill of Lading Invoice . the next step for the exporter is to set about the task of procuring or manufacturing the contracted merchandise. Without EXP exporter cannot make shipment.5 DISPOSAL OF EXPORT PROCEDURE • • • Original: Customs authority reports first copy of EXP to Bangladesh Bank after shipment of the goods. Shipment of goods: Exporter makes shipment according to the terms and condition of L/C. Then Janata Bank’s respective officers check it properly. Procuring the materials: After making the deal and on having the L/C opened in his favor. Presentation of export documents for negotiation: After shipment. (http://www. Before shipment. exporter submits EXP. The customer must declare all export goods on the EXP issued by the authorized dealers. the negotiating bank as their office copy retains Quadruplicate.net/pdf/procedure%20for%20import%20and%20export. exporter submits the following documents to Janata bank Limited for negotiation. This is known as Foreign Documentary Bill Purchase (FDBP). certificate Photo Examination of Document: Banks deal with documents only. . not with commodity. Bank officers assigned for examining the export documents may use a checklist for their convenience.S. Negotiation of export documents: Negotiation stands for payment of value to the exporter against the documents stipulated in the L\C. Insurance Policy/Certificate Certificate of origin Inspection Certificate Consular Invoice Packing List Quality Control Certificate G.customer relationship. The bankers are to ascertain that the documents are strictly as per the terms of L/C Before negotiation of the export bill.If the bank is not satisfied with the documents submitted to Janata Bank Limited and gives the exporter reasonable time to remove the discrepancies or sends the documents to L/C opening bank for collection. As the negotiating bank is giving the value before repatriation of the export proceeds it is advisable to scrutinize and examine each and every document with great care whether any discrepancy(s) is observed in the documents. This is known as Foreign Documentary Bill for Collection (FDBC). The customer submits the L/C to Janata Bank Limited along with the documents to negotiate Janata Bank Limited officials scrutinize the documents to ensure the conformity with the terms and conditions.P. The documents are then forwarded to the L/C opening bank. Janata Bank Limited purchases (negotiates) the same on the basis of banker. If documents are in order. Settlement of Local Bills: The settlement of local bills is done in the following ways. machineries.uk/content/exporting-and-other-ways-disposing-inwardprocessing-goods. raw materials of industry.nibusinessinfo.co.7 IMPORT PROCEDURE Authorized Dealer. firms and Government organizations import foreign goods or services to meet their various necessities. The L/C issuing banks gives the acceptance and forwards an acceptance letter. . it always maintains required formalities that are collectively termed as “Import Procedure”. 2. i) At first. which is under Foreign Exchange Department of a bank.6 IMPORT ITS MEANING AND DEFINITIONS Import means purchase of goods or services from abroad. petroleum. Payment is given to the customer on either by collection basis or by purchasing the document. 2012) 2. we can say that import is the flow of goods and services purchased by local agent staying in the country from foreign agent staying abroad. chemicals. Normally consumers. Nationality and Asset Certificate. fertilizer. the importer must obtain Import Registration Certificate (IRC) from the CCI&E submitting the following papers: Up to date Trade License. in brief. cement clinkers etc. banks are always committed to facilitate import of different goods into Bangladesh from the foreign countries. And to serve its parties demand to import goods. So. Main import items are food item. (http://www. edible oil. Import Section. is assigned to perform this job. . iii) When the importer accepts the Proforma Invoice. After receiving payment. local agent of the seller or foreign agent of the buyer makes this communication. he/she makes a purchase exporter detailing the terms and conditions of the import. Purchase Contract contains which payment procedure has to be applied. Bank Solvency Certificate etc. the Documentary Letter of Credit in our country makes import payment. 2012) contract with the 2. Memorandum & Articles of Association and Certificate of Incorporation. importer settles the means of payment with the seller. (http://www. exporter will send the goods and the transport receipt to the importer.8 PAYMENT MODES Cash in advance: Importer pays full.nfpl. • Foreign Missions in Bangladesh. Usually an indenter. • Chamber of Commerce.net/pdf/procedure%20for%20import%20and%20export. MT or TT. iv) After making the purchase contract. In most cases. Collection Method and Documentary Letter of Credit. Beside these other sources are: • Trade fair. Open Account. Importer will take delivery of the goods from the transport company. The possible means are Cash in Advance. An import procedure differs with different means of payment. In case of company. Required amount of registration fee ii) Then the importer has to contact with the seller outside the country to obtain the Proforma Invoice. Income Tax Certificate. partial or progressive payment by a foreign DD.pdf. • Journals etc. 9 OPENING LETTER OF CREDIT (L/C) In global business environment. Acting as an agent of the remitting bank. by applying for the issue of documentary credit. particularly if they are not the sorts of commodity that . the importer requests his/her bank to make a promise of payment to the supplier. Importer will take delivery of the goods and makes payment by foreign DD.nibusinessinfo. So seller generally demands guarantee of payment for his exported goods. Collection Method: Collection methods are either clean collection or documentary collection. Documentary Collection may be Document against Payment (D/P) or Document against Acceptance (D/A). According to the accepted custom as the sole security for the credit. MT.co. buyers and sellers are often unknown to each other. Letter of credit: Letter of credit is the well-accepted and most commonly used means of payment. Again. 2.10 PROCEDURE OF OPENING THE LETTER OF CREDIT (L/C) After receiving the perform invoices from the exporter. or TT at some specified date. The title of goods is released to the importer upon full payment or acceptance of the draft/bill. Obviously. The collection procedure is that the exporter ships the goods and draws a draft/ bill on the buyer. Then the remitting bank sends the draft/bill (with or without documents) and a collection instruction letter to the collecting bank. Thus by letter of credit the contract between importer and exporter find a legal sphere. In this situation bank has an important role. Open Account: Exporter ships the goods and sends transport receipt to the importer. the bank will only agree to this request if bank can rely fully on reimbursement by the applicant. It is an undertaking for payment by the issuing bank to the beneficiary. The exporter submits the draft/bill (only or with documents) to the remitting bank for collection and the bank acknowledges this. Bank gives export guarantee that it will pay for the goods on behalf of the buyer. (http://www. the collecting bank notifies the importer upon receipt of the draft. upon submission of some stipulated documents and fulfilling the terms and conditions mentioned in the letter of credit.uk/content/exporting-andother-ways-disposing-inward-processing-goods. 2012) 2. This guarantee is called “Letter of Credit” or LC. The applicant cannot prevent a bank from honoring the documents on the grounds that the beneficiary has not delivered goods. supporting international and proprietary standards. following documents with the application for opening the L/C • Tax Identification Number (TIN) • Valid trade license • Import registration certificate (IRC) The bank will supply the following documents before opening the L/C • LCA form • IMP form • Necessary charger documents for documentation The importer submit the 2. SWIFT’s offering is more compelling in terms of cost and risk than alternatives. More than 62 high-value payments clearing and settlement systems covering more than 90 countries and carrying more than 240 million payments a year. The applicant must therefore have adequate fund in the bank account or a credit line sufficient to cover the required amount. efficiency to have the right trade-off between risks and cost. Liquidity cost reduction by early finality. Once the bank has issued the credit its obligation to pay is conditional on the presentation of the stipulated documents within the prescribed time limit.11 SWIFT SWIFT Society for the Worldwide Interbank Financial Telecommunication means High-value payment market infrastructures focus primarily on security and resilience to support time-critical payments. efficiency and risk are your key requirements. Because customers are multilateral. rely on SWIFT for secure messaging services and common message standards essential to their smooth operation. easy collateral coverage and better liquidity management through real-time interactive services Balancing cost.can be traded on an organized market. customers need a trusted third party like SWIFT to provide secure. secure and reusable messaging infrastructure. Banks deals with documents and not with goods. value-added services such as FIN Copy. reliable and proven messaging solutions. and SWIFT meets them with a reliable. and . such an agreement would make the bank to bear excessive risk outside its specialized field. thanks to reusability of participants’ existing SWIFT infrastructures. ((http://www. business administration functions.com/jb7.12 THE FUNCTIONS OF SWIFT SOLUTIONS FOR For payments Cash Reporting Supporting your real-time account information needs Payments and cash management Economic changes in the payments landscape have forced the banking community to find new ways to reduce their operational costs.standard support services. mitigate their liquidity risk and increase the revenue and efficiency of their . 2013) 2.htm.janatabank-bd. reporting and generic communication. 2013). cash management. SWIFT solutions for high-value payment clearing systems support the messaging layer for payment transaction processing. ORGANIZATIONAL PROFILE 3. provide a compelling value proposition for corporate or person-to-person retail payments for immigrants (workers’ remittances) – including mobile payments.com/jb7. Under the pressure of regulators. with or without netting.htm.0. SWIFT has developed offerings in payments and cash management to help the banking community meet these urgent challenges: Enhance customer service: automate exceptions and investigations in order to reduce enquiry turn-around time and to provide transparency on enquiry status to your customers. While conforming to regulation is a must. 2013) CHAPTER THREE 3. Increase operational efficiency and save costs: SWIFT’s single window allows you to rationalize your connectivity channels with: 1.core payment products. 2013).1 HISTORICAL BACKGROUND OF THE ORGANIZATION Janata Bank Limited is the 2nd largest state owned commercial bank in Bangladesh. the cash management service offering becomes more transparent to meet new customer expectations. Immediately after the liberation of Bangladesh in 1971. ((http://www. service quality becomes a key differentiator. Retail payments clearing systems using SWIFT’s cost efficient services for retail payments market infrastructures: the services help to clear “batches” of payments prior to settlement at discrete intervals. The established of Janata Bank was happened under the . SWIFT is considering extending its value proposition to include liquidity risk management tools.janatabank-bd. In addition. High value payments clearing and/or settlement systems operating on a real-time gross settlement basis using SWIFT’s secure and reliable FIN domestic services for high value payment market infrastructures 3. the erstwhile United Bank Limited and Union Bank Limited were renamed as Janata Bank. Improve liquidity and risk management: receive end-of-day as well as intra-day cash reports – information vital to get visibility on cash positions across your organization and to improve liquidity management. Correspondent banks for clearing and settlement of domestic or foreign currency payments using SWIFT’s payments clearing messaging services 2. The duty was delegated to the management committee. The Bank has a total asset of Tk. has an authorized capital of Tk. Mid and lower level employees get the direction and instruction from the Board of Directors about the tasks they have to meet. the foremost duty of the top management is to makes all the major decisions of Janata Bank. eleven directors. one of the state owned commercial banks in Bangladesh. 20000 million (approx. 11000. Immediately after the emergence of Bangladesh in 1971. reserve of Tk. US$ 250 million). Janata Bank Limited operates through 889 branches including 4 overseas branches at United Arab Emirates.1. The management consists of one chairman. The board mainly sets the objectives and policies of the bank.17234 million. but it is not a direct concern of the day-day operations of the bank.janatabank-bd.. The boards of directors are being at the topmost level of organizational structure plays an important role in policy formulation and successful execution. On 15 th November.Bangladesh Bank order 1972.com/jb1. It was incorporated as a public Limited Company on 21. The chief . 2013) 3. paid up capital of Tk. (http://www. Janata Bank Limited. It is linked with 1202 foreign correspondents all over the world.2 ORGANIZATIONAL STRUCTURE 13. 508567 million as on 31 st December 2012.htm.00 million. 2007 the bank has been corporatised and renamed as Janata Bank Limited. May 07 vide certificate of incorporation No-C66933(4425)07 in the early era of privatization. MANAGEMENT ASPECT Like every other business organization.2. the erstwhile United Bank Limited and Union Bank Limited were renamed as Janata Bank. one CEO & MD and one company secretary. The Bank employees more than 15(fifteen) thousand persons. but bears the responsibility for determining how tasks and goals are to be attained. (http://www. 2013) 3.com/jb1.janatabank-bd.janatabank-bd.com/jb1.2.1 MISSION: As it is recognized as the leading commercial bank in the aspect of Bangladesh market and it is providing retail and corporate banking services. it is trusted and respected as a partner in the social and economic development program in our country and among our nation.2.htm.executive provides the guideline to the managers and employees.com/jb1.htm. ORGANIZATION MISSION AND VISION 3.htm. 2013) (http://www. (http://www. 2013) 3.2.2 VISION: .janatabank-bd. 2 PAYMENTS MADE ON BEHALF OF GOVT. Under the network of utility services. 3. divorcees and destitute women allowances • Old-age Allowances . Dhaka Electricity Company. Janata Bank Limited offers specialized services to different walks of clients/agencies throughout the country. teacher’s salaries • Providing girl Students scholarship/stipend & Primary Student Stipend.1 BILLS COLLECTION: • Collecting the gas bills of Titas. students. • Municipal holding tax of City Corporation/ Municipalities is collected by JBL. etc are getting essential benefits from the Bank continuously.janatabank-bd. local bodies. Bakhrabad and Jalalabad Gas Transmission and Distribution Companies. • Payment of non. • Collects Water/Sewerage bills of Water and Sewerage Authority. educational institutions. • Regular collection of electricity bills of Dhaka Electricity Supply Authority. organizations. (http://www. corporate bodies. Bangladesh Power Development Board and Rural Electrification Board.Becoming effective largest commercial bank in the perspective of Bangladesh to support socio-economic development of the country and assists go ahead for becoming leading bank in South-Asia. • Provides army pension • Payment of widows.com/jb1. The utility services of Janata Bank Limited's are: 3.htm.3. customers of different govt.3 OFFERED SERVICES BY THE ORGANIZATION Beside regular banking operation. 2013) 3.Govt. • Regularly collects the telephone bills of Telegraph and Telephone Board.3. All foreign branches are situated in United Arab Emirates.htm.htm. There are 851 branches of Janata Bank Limited in home and abroad. (http://www.1List Of Branch Local Office Corporate-1 Branch Corporate-2 Branch Overseas Branch Grade-1 Branch Grade-2 Branch Grade-3 Branch Grade-4 Branch Total Branches : 1 12 40 04 204 209 296 117 883 .janatabank-bd.janatabank-bd. 2013) 3. 1(one) branch in Narayangonj city and 5(five) branches in Chittagong city) are involved to receive all utility bills in a same station from January'04.com/jb9. 46 (Forty Six) branches of JBL(40 branches in Dhaka city. 2013) 3. And all foreign branches are situated in United Arab Emirates. Among them 443 branches are situated in urban areas including four foreign branches and 408branches are in rural areas.4 SERVICES AREAS Branches There are 851 branches of Janata Bank Limited in home and abroad.4. Among them 443 branches are situated in urban areas including four foreign branches and 408branches are in rural areas.• Food procurement Bills As per decision of the govt. (http://www.com/jb8. 2013) CHAPTER FOUR 4.htm. 02.htm. The situation calls for expertise in the field of foreign operations. 04. 03.janatabank-bd.janatabank-bd. the trade among various countries falls for close link between the parties dealing in trade.(http://www.2 Overseas Branch SL.1 FOREIGN EXCHANGE MANAGEMENT OF JBL One of the most important businesses carried out by the commercial bank is foreign trading. 01.4. The .0 FINDINGS 4. 2013) 3. General focusing states that.com/jb9. Name Abu Dhabi Al-Ain Sharjah Dubai Total : 04 Status Foreign Foreign Foreign Foreign (http://www.com/jb9. A. Its remittance earning is increasing but the increase is far below the national remittance increase. Readymade textile garments (both knitted and woven). JBL’s performance is not dissatisfactory but the remittance earning is not increasing as the rising national remittance curve. Most of the exporters who export through .Among these main three are as follows: Export Import and Foreign remittance JBL collects remittances from NRB from different countries and transfers the currency in BDT to the destined location. import and foreign remittance dealings are under the preview of foreign exchange department. Bangladesh exports most of its readymade garments products to U.2 EXPORT Janata Bank Limited exports a large quantity of goods and services to many countries. Jute. This department handles various types of activities. After analyzing the data of JBL’s remittance earnings process this report have suggested that JBL lacks in foreign currency collection structure. hide and skin. I have included the changes made by wired transfer service SWIFT.S. Garments sector is the largest sector that exports the lion share of the country's export. International trade demands a flow of goods from seller to buyer and of payment from buyer to seller. Here I have tried to describe the remittance processing structure of JBL. Bangladesh exports about 40% of its readymade garments products to U. Transactions with overseas countries in respect of export. In this case the bank forms bridge between the buyer and seller. tea. JBL should take up to the mark structural change in service to cope with the national trend and help Bangladesh earn more remittance.A and European Community (EC) countries. In this report I have tried to show the contribution of JBL’s remittance earning on national remittance earning. vegetables are the main goods that Bangladeshi exporters exports to foreign countries. Jute-made products.bank.S. frozen shrimps. 4. Among all departments Foreign exchange department of Janata Bank Limited is one of the most important. is referred to as rending international banking operation which provides such services. Along with. Export Guarantee and bonding facility etc.82% of the target with 29.400.htm. Sight L/C under EDF Exporter's Retention Quota A/C both interest bearing and non-interest bearing..74% growth. Concessional rate of interest for exports Finance..Janata Bank Limited foreign exchange Branch are readymade garment exporters.14. Janata Bank Limited has been providing different kinds of assistance to exporters. Export incentive Program. Banking at Export Processing Zone Scope for establishment of export oriented industry by 100% foreign investment and by joint-venture The sole bank to disburse Government Export Promotion Fund against export of Computer Software & Data Entry Processing. 2013) Janata Bank Limited's Export Performance In 2011 Janata Bank Limited's export target is Tk.375. Some of which are as under: Providing Pre-Shipment and Post-Shipment Finance.. . which they open against the import L/Cs opened by their foreign importers 4.3 Export Finance To boost up country's Export.00 cr and the achievement is Tk. They open export L/Cs here to export their goods.janatabankbd.82 cr what is about 109. (http://www.15.com/jb5. Back to Back L/C under bonded Warehouse facility Sight & Unasked L/C against Firm Contract for import of raw materials. 78 2009 6648.00 5462.48 2006 7000.htm.49 2004 4800.87% +00.80% 85.74% 2002 4000. 2013) Contribution to National Export business of Janata Bank Limited (Million US$) National Export Contribution to National Export of .06% 128.Export growth of Janata Bank Limited (20022011): Year Target Achievement (Taka in Core) Achievement Rate 78.90% +21.00 7089.82 (http://www.00 5839.00 15375.00 11851.janatabank-bd.33 2005 6825. 2013) Export growth of Janata Bank Limited (20022011): (Taka in Core) (http://www.14% 99.52 2011 14000.66 2007 7.janatabank-bd.htm.28% 92.66 8541.46 2003 4000.37% +29.16% 113.38% +24.00 3445.87 109.com/jb5.43% +6.84% 107.40% +27.84% 112.00 4286.com/jb5.28% +38.40% +01.55 2008 8622.38 7185.00 8565.31 2010 10500.82% Growth +6.56% 101.798.35% +18. 05% Contribution to National Export business of Janata Bank Limited (Million US$) (http://www.65 2010-2011 18500.68 9% 1107. 2013) Janata Bank Limited Achievement Percentage 632.11 8.50 8% 1293.02 9.00 22924.19 2009-2010 17600.10% 1057.90 8.00 12187.38 9.38 (http://www.htm.00% 958.htm.78 8655.com/jb5.00 2005-2006 10159.16 2006-2007 12500.00 14111.08 2008-2009 16298.janatabank-bd.80 8.com/jb5.20 10526.janatabank-bd.21 8% 1407.68% 2075. 2013) Commodity-wise Export performance: 2005 to 2011 (Taka in Core) Year RMG Frozen Hide & Raw Jute Vegetable Tea Others Total .21% 692.43 15565.Financial Year Target Achievement 2003-2004 7227.00 16204.70 7603.00 2004-2005 8565.50 2007-2008 14500. 2013) 4.46 11851.09 1796.64 1022.8 2 3540.22 101.16 163.19 7185.70 837.com/jb5.4 7 3549.30 916.60 1032.86 8865.82 1021.31 0.58 544.47 743.28 797.janatabank-bd.80 68.91 74. Normally consumers.53 Skin 615.48 2.20 1804.9 3 4214.55 5.htm.63 211. 2013) (http://www.90 9.64 (http://www.84 75.93 182.79 1354.54 1427.05 644.55 127.66 1.com/jb9.2005 2006 2007 2008 2009 2010 2011 2933.00 1176.78 2.janatabank-bd.76 8541.34 758.15 5839.55 Jute 56.78 521.52 0. firms and Government organizations import foreign goods or services to meet their various necessities.54 162.57 15375.5 IMPORT Import means purchase of goods or services from abroad.74 790.66 780.40 136.68 Goods s 479. Main import items are .5 5 4447.54 1899.8 2 6367.63 674.87 126.2 8 Fish 595.0 7 9597.htm.33 7089.60 817.35 495.42 1318.86 146.20 1996.41 156.94 1420. 4. So. cement clinkers etc. CPO (Crude Palm Olin) Oilseeds. in brief. raw materials of industry. foreign correspondents world wide Janata Bank Limited has been extending full range import and relevant finance facilities.com/jb5.6 Import Finance Through quite a good number of Authorized Dealer Branches and 1198 nos. Petroleum. Import Trend Setting Industrial vision to facilitate optimally. Consumer goods : Food & Food Grains. CDSO (Crude Degummed Soya bean Oil). Construction Materials. bank's involvement has been showing sharp rising trend as under: Year Taka in Million . (http://www. Chemicals and many other goods permissible by Import by Import Policy of the country. Intermediate goods. 2013) Facilities Offered : Opening of L/C at competitive/ reasonable margin and commission Interest at concession rate on import finance to the prime customers & interest rebate facilities. fertilizer.janatabank-bd. Cement Clinker. petroleum. spare parts and equipments. chemicals.food item. Consumer durable. machineries. Fuel & Lubricants. Baby food. edible oil. we can say that import is the flow of goods and services purchased by local agent staying in the country from foreign agent staying abroad. Import Items : Capital Machineries and Industrial raw materials.htm. Fertilizer. 20 128809. up to November 2012 is Tk.40 4.00 84065.htm.7 FOREIGN REMITTANCE Inward foreign remittance through Janata Bank Ltd.2000 2001 2002 2003 2004 2005 2006 2007 (http://www.70 72912.10 60476. 2013) 48004.30 58889.com/jb5.janatabank-bd. 51508. 45924 million in 2011 against Tk.55 million.80 74919. Foreign remittance from NBRs reached record high of Tk.80 54666.36788 . The expatriate Bangladeshis may send their money in BDT (Bangladeshi Taka) through the branches/subsidiaries of Janata Bank Limited and foreign banks/exchange companies. Dubai &Sharjah branch) Foreign Exchange Corporate Branch. Janata Bank Limited has Taka Drawing Arrangement with many banks/exchange companies in different countries. Dhaka). Our worldwide network includes 4 branches in UAE. an NBR branch has been opened to serve exclusively Non-resident Bangladeshis through Speedy Money Remittance System with instant to the beneficiaries. 2 exchange houses in Italy and correspondent relationship with all the major Banks and all important trade centers of the world. Al-Ain. Barisal &Rajshahi Corporate Branch. cost effective and speedy way of remittance for the remitter. Remittance services are available at all branches and foreign remittances may be sent to any branch by the remitters favoring their beneficiaries. Sylhet). Rajshahi are nominated. Inward remittance from Bangladeshi nationals working abroad continued to play an important role in strengthening the current account. For quick payment of TTs issued by 4(Four) UAE branches of Janata Bank Limited ( Abu Dhabi. Sylhet( FECB. Anybody willing to remit foreign currency from any corner of the world can use wide network of the bank. Dhaka( FECB.million in 2010 and continue to play an important supporting role in strengthening the economy of the county Janata Bank ltd. The remittance reaches to the beneficiary within 3 days without charging any commission. Foreign Exchange Corporate Branch. Khulna Corporate Branch. has ensured quick delivery of foreign remittance. has launched its Speedy Foreign Remittance Payment System which enables beneficiaries to receive their money within shortest possible time. The achievement of Janata Bank Ltd. It’s a secured. easy. Khulna. The underlying reason was that Bangladesh Bank has simplified the approval policy of drawing arrangements between foreign exchange houses and domestic bank. by reducing lead-time. Recently Janata Bank Ltd. Laldighi East Corporate Branch. The beneficiary also gets information of remittance through automated SMS. Janata bank Ltd. Chittagong(LDE. Receipts on this sector increased gradually in every year from 2006 to 2009. Remittances are credited to the account of beneficiaries instantly or within shortest possible time. has signed an agreement with Western Union Network to facilitate wide range of remittance of the globe. Janata Bank’s management has taken this opportunity. Barisal Corporate Branch. Both the organizations make it possible to receive the money from about 300. . in attracting foreign remittance as compared to country’s performance is given bellow: COUNTRY WISE REMITTANCE OF JANATA BANK LIMITED To facilitate sending money in Bangladeshi Taka directly. Ctg).000 locations of 200 countries instantly with prevailing mutual mechanism and workforce. 5. 4.00. FECB.00 from AED 30. 8. 2. Commission for issuance of Taka Drafts from our UAE branches has been reduced and refixed from AED 10. 7. except branches under greater Comilla and Noakhali Area. Liquidity cost reduction by early finality.8 SWIFT SWIFT Society for the Worldwide Interbank Financial Telecommunication means High-value payment market infrastructures focus primarily on security and resilience to support time-critical payments. Comilla Corp. 4. efficiency to have the right trade-off between risks and cost.To facilities to its remitters Janata bank Limited has started1. Dhaka will cover whole Dhaka Division. 1% interest above the normal savings deposit rate is offered to SB accounts receiving foreign remittance. FECB. easy collateral coverage and better liquidity management through real-time interactive services . 3. Ctg will cover whole Chittagong Division. Barisal Corporate will cover whole Barisal Division. will cover all branches under greater Comilla district. Sylhet will cover whole Sylhet Division. Noakhali Corp. will cover all branches under greater Noakhali district. 6.00 to AED 4. LDE.00 and commission for issuance of TTs drawn on Bangladesh and payable at any bank branches are re-fixed at AED 12. Commission for issuances of Taka drafts at UAE branches has been reduced irrespective of amount. Khulna Corporate will cover whole Khulna Division. Rajshahi Corporate will cover whole Rajshahi Division. and SWIFT meets them with a reliable. BR Foreign Ex. rely on SWIFT for secure messaging services and common message standards essential to their smooth operation. SWIFT solutions for high-value payment clearing systems support the messaging layer for payment transaction processing. secure and reusable messaging infrastructure. value-added services such as FIN Copy. customers need a trusted third party like SWIFT to provide secure.janatabank-bd. Branch/Office Janata Bank Ltd. 1. reporting and generic communication. 4. BR. Dhaka SWIFT Code JANBBDDH JANBBDDHJBC JANBBDDHJBD JANBBDDHDCB JANBBDDHMCA JANBBDDHFEC . reliable and proven messaging solutions. 3.Balancing cost. ((http://www. BR Local Office. More than 62 high-value payments clearing and settlement systems covering more than 90 countries and carrying more than 240 million payments a year. efficiency and risk are your key requirements. Dhaka Motijheel Corp. cash management. 2013) List of SWIFT Branch/Office SL No. 6. Dhaka Dilkusha Corp. Because customers are multilateral. BR. 2. thanks to reusability of participants’ existing SWIFT infrastructures. Corp. and standard support services. Head Office Janata Bhaban Corp. 5.com/jb7. SWIFT’s offering is more compelling in terms of cost and risk than alternatives. 2013). business administration functions.htm. supporting international and proprietary standards. com/jb7. Ex. 11. BR Laldighi East Corp.7. 2013). N. BR. BR. BR Faridpur Corp.janatabank-bd. BR Ramna Corp. Ctg. BR. Imamgonj Corp. Dhaka Shantinagar Corp. Corp.janatabank-bd. BR JANBBDDHIMA JANBBDDHTKD JANBBDDHKAC JANBBDDHSNB JANBBDDHJRD JANBBDDHBNG JANBBDDHBOG JANBBDDHRNP JANBBDDHJMK JANBBDDHKDA JANBBDDHBSL JANBBDDHFES JANBBDDHCCN JANBBDDHLDE JANBBDDHCDA JANBBDDHSMS JANBBDDHSBB JANBBDDHDNJ JANBBDDHFAR ((http://www. Dhaka B B Road Corp. 22. Foreign Ex. BR. Corp.Gonj Bogra Corp. 2013) CHAPTER FIVE RECOMMENDATION . 12. 14. 24. BR For. BR Kamal Ataturk Corp. Dinajpur Corp. 15. BR. 10. Sadharan Bima Bhaban Corp. BR MK Road Corp. Sylhet Comilla Corp. 19. BR. BR Topkhana Corp. 17. 18. BR. 2013). 16. 2013) Overseas Branches Branch/Office Janata Bank Ltd. BR. 13. 21. BR Barisal Corp. BR Rangpur Corp.htm.com/jb7. Jessore Khulna Corp. SK Mojib road Corp. 9. 25. Ctg. 23. 20. Ctg. 8.htm. UAE Abu Dhabi BR AL-AIN BR DUBAI BR SHARJAH BR SWIFT Code JANBAEAA JANBAEAAAUH JANBAEAAALN JANBAEAADXB JANBAEAASHJ ((http://www. Ctg. For a greater achievement and attain more priority among the customers and clients JBL can walk through the way under some precision direction: JBL should approach more attractive facilities with clear go ahead. With successful promotional programs JBL can attract more people from this particular walk of life. The overall matter of foreign remittance should be driven under a complete computerized system having a main server country wide to keep up a congenial environment.It is clear that the Janata Bank Limited Foreign Exchange department has ensured both quality and services which helps to improve the overall status of the Bank. Insufficient number of exporter and importer is not enough to achieve the goal who operate through this bank. Janata bank Limited has able to achieve second position in country and op position among public banks in export sector in 2013. . Total revival of investment of commodity in commercial sector JBLrequires a very rapid and complete action to provide a more accurate and fast recycling of invest Less interesting export facilities should be proven improved. So JBL should offer more facilities to attract their clients. It is a crying need to provide more quality services to their clients in order to compete in the market. Finding out the newer destination of our export goods and ending up with being adjusted with the newer sector’s customs. To survive in the cut throat competition JBL must step into launching ATM service as well as debit and credit card facilities. That means.’s success. this bank successfully finished last year with an appreciable performance .CONCLUSION Nearly edge is seen while inspecting the Foreign Exchange Department of Janata Bank Ltd. For a greater achievement and attain more priority among the customers and clients JBL can walk through the way under some precision direction: .JBL attained first place in the last year among the government banks fort’s flawless completion of blending of solid quality and sincere service. 02.2012 06.2012 25. Worked in the scroll table.2012 16.01.2012 08. Worked with computer in charge. Worked in the scroll table My duties in these tables Reception Table: Helping the customers to find the appropriate table.2012 Was acquainted with all the employees of the branch.2012 02.02.01.2012 29. Worked with computer in charge. Worked with computer in charge.02. Worked in the reception table.2012 26. Worked in the scroll table Worked in the table of DD entry to the computer Worked in the scroll table Worked in the table of Pay Order writing Worked with the computer in charge.2012 01. Worked with computer in charge.01. Worked in the reception table.01.2012 20.02.2012 09.01.02. Worked in the reception table.2012 13. Worked in the RMS+ table.23.02.01. Account opening .10.02.02. Worked in the Pay Order table.2012 07.2012 24.2012 12.02. Worked in the RMS+ table.2012 19.02.02.2012 15.2012 31.02.2012 30.02. Worked in the reception table Worked in the clearing table.2012 14. Pay Order Table: To help customers to write pay order forms To write pay order serial number. RMS+ table: To see functionality of the online support for DD.. and MT. amount in the scroll. To get the primary knowledge to write the report. . To enroll the printed copy of the order. Computer in charge: Working with him to understand the software functionality. TT.. account no. All the deposit amounts are enlisted here before they are deposited. Clearing table: To receive cross cheques. Giving different forms Scroll Table: To write down serial no. janatabank-bd. 05 05).uk 10.net: ww.janatabank-bd.com: www. http://www.nfpl.net/pdf/procedure%20for%20import%20and%20export.janatabank-bd. (2013.janatabank-bd.janatabank-bd. Retrieved 07 02. from www.net 9. (2013. 2013).co. Retrieved 07 21. (2013. from http://www. 2013.htm .nibusinessinfo.com/jb8.com/jb9.nibusinessinfo. Retrieved 07 01.co.nfpl.janatabank-bd.janatabank-bd. 2013. (2012.nfpl. 02 03).com 2. (2013.com/jb9. 2013.janatabank-bd.com/jb5. 01 10).com 8. from www.janatabank-bd.htm . from www.preservearticles.preservearticles.com: www. 02 10). Retrieved 08 03.htm. (2012.janatabank-bd.html. Retrieved 07 05. http://www. http://www. from www.janatabank-bd. Retrieved 07 25.janatabank-bd. Retrieved 07 22.nibusinessinfo. 2013. 2013. 2013.co. 01 02).com .uk: www.preservearticles. http://www. from www. from www.janatabank-bd.com 5. (2012. http://www. Retrieved 08 06. (http://www.janatabank-bd. (2013.com/2012012721683/what-are-the-functions-ofthe-foreign-exchange-market. http://www.com 4.janatabank-bd.com: www.com/jb1. 2013.com/jb7. 2013. 07 1). from www. (2013.htm .com: www.htm .htm .janatabank-bd. 02 03).janatabank-bd. 2013. http://www.com 6. from ww.com: www.com 3.uk/content/exporting-and-other-ways-disposinginward-processing-goods.com/jb1.janatabank-bd.janatabank-bd.janatabank-bd.com: www. 05 02). (2013.com: http://www. Retrieved 07 22.com: www. 06 01). Retrieved 08 05.janatabank-bd. 05 04). from www. http://www.pdf . To classify the cross cheques whether they are of the Janata Bank or other banks. http://www.htm . REFERENCE 1.com 7. 2013.