5715067945 Essays - Economy, Finance, Financial Services

5715067945Chapter OneIntroduction 0Chapter OneIntroduction 1.1 Introduction:Bangladesh is one of the largest Muslim countries in the world. The people of this country are deeply committed to Islamic way of life as enshrined in the Holy Qur'an and the Sunnah. Naturally, it remains a deep city in their heart to fashion and design their economic lives in accordance with the precepts of Islam. The establishment ofIslamibank Bangladesh limited on March 13, 1983, is the true reflection of this inner urge of its people, which started functioning with effect from march 30, 1983.This bank is the first of its kind in southeast Asia. It is committed to conduct all banking and investment activities on the basis of interest free profit- loss sharing system. In doing so, it has unveiled a new horizon and ushered in a new silver lining of hope towards materializing a long cherished dream of people of Bangladesh for doing their banking transactions in line with what is prescribed by Islam. With the active co-operation and participation of Islamic developmen t bank (IDB) and some other Islamic banks, financial institutions, government bodies and eminent personalities of Middle East and the gulf counties, Islamic bank Bangladesh limited has by now earned the unique position of a leading private commercial bank in Bangladesh.As the competition of the business world become more and more severe, businessman had no alternative banking premises and many of them were getting involved in the traditional banking. But the tradition banking is based on interest, which is fully prohibited in Islam. To overcome this problem, Muslim scholars, philosophers, economistsetc, were thinking to establish a newinterest free banking structure right from the 1940s. At last they succeeded to formulate an appropriate Islamic Banking structure. Islamic bank does not give more importance only on earning profit but also try to ensure social welfare in term of its activities.This report has shown that theIslamiBank Bangladesh Limited is pioneer in introducingshari'a hbased interest free banking in Bangladesh with a mission to establish welfare oriented banking system and to ensure equity and justice in the field of all economic activities. This report mostly focuses on foreign exchange activities of IBBL. 1.2 Background of Study:After the completion of theoretical courses of Bachelor of Business Administration (BBA), each student is required to do internship in different organizations to have some practical knowledge and experience of the job exposure and to be familiar with the official environment thereof.Thereport wasprepared based on an internship program. This is a requirement of the internship programarranged by Department of Finance, Faculty of Business,Northern University Bangladesh. Each intern must carry out a specific report, which was assigned by the supervisor approved by the department of finance, faculty of Business Studies,Northern University Bangladesh.As I hadbeen selected for theIslamiBank Bangladesh Limited by the Bank Ista rted my realistic orientation program in New Market branch of IBBL. 1.3 Objective of the Study:The internship onIslamiBank Bangladesh Limited. Study on New Market Branch has prepared to fulfill the particular requirement of the internship program as 3 credit of the BBA program of the university and to explore Islamicshariahaspects and financing modes regarding Foreign exchange activities. The Main Objectives:The first objective of thereportfulfilling the partial requirements of the BBA program. Theprimary objective of this reportisto measure the Foreign Exchange activities of IBBL in New Market Branch.The specific objectives can be stated as under:To know LC.To understanding the procedure of opening LC.To know the Foreign Exchange Activities.To know the exchange rate.How to fix the exchange rate?To know different currency.To know the procedure of Import and Export.To know the importance of LC.To know the exchange rate risk.To know the overall activities of Foreign Exchange Division of IBBL. 1.4 Significance of the Study:The programhelpedme to understand the organization norms, corporate culture, investment decision and customer satisfaction of an organization. The topicwasveryquietinteresting this will encourage me to put my effort to analyze