Overall Banking System of Social Investment Bank [ Part-2 ]
Banking system of Bangladesh has gone through three phases of development- Nationalization, Privatization, and Lastly Financial Sector Reform. Social Investment Bank Limited has started its journey as a private commercial bank on November 22, 1995.
The whole working process of Principal Branch, SOCIAL INVESTMENT Bank Ltd is divided into 3 sections- (i) General Banking section, (ii) Credit Section, (iii) Foreign Exchange Section. This report has been presented based on observation from each section, which is consisted of various departments. Foremost, I have tried to make acquainted with the bank and branch in this report.
General banking is the starting point of all the banking operations. It is the department, which provides day-to-day services to the customers. It opens new accounts, remit funds, issue bank drafts and pay orders etc. Provide customer through quick and sincere service is the goal of the general banking department.
Foreign exchange department plays significant roles through providing different services for the customers. Letters of credit is the key player in the foreign exchange business. With the globalization of economies, international trade has become quite competitive. Timely payment for exports and quicker delivery of goods is, therefore, a pre-requisite for successful international trade operations. To ensure this purpose SOCIAL INVESTMENT Bank Ltd transmits L/C through SWIFT (Society for Worldwide Inter bank Financial Telecommunication) to the advising bank.
Social Investment Bank
SOCIAL INVESTMENT Bank Limited is providing different sorts LC services like L/C opening, lodgment, BLC (bills under letter of credit), Back to back LC etc. Foreign exchange department also provide foreign remittance lie traveler’s cheque, foreign demand draft, endorsement of US$ in passport etc.
Bank credit is an important catalyst for bringing about economic development in a country. Without adequate finance, there can be no growth or maintenance of a stable economy. SOCIAL INVESTMENT Bank Ltd, being one of the largest private commercial bank of the country, has some prejudice to finance directly on priority basis to agriculture, industry and commerce sector for strengthening the economic base of the country. Hence, it is very clear that, SOCIAL INVESTMENT Bank plays an important role to move the economic wheel of the country. Providing different sorts of credit and schemes like loan against imported merchandise (LIM), Trust Receipt, Bank Guarantee, Industrial Loan, SOD, Consumer Credit scheme, Executives Car Loan, House Finance is the main spring of the credit department.