Evaluation of Retail Banking Products of Social Islami Bank Limited
To survive in this competitive market every business no matter it is production oriented or service oriented should make broaden their horizons. Their products must be diversified which can respond to the market demand easily. SIBL has a complete assortment of Commercial Corporate and Personal banking service covering all segments of society. SIBL is very different from any other commercial banks and islami banks as well. It was an investment bank earlier so it knows the demand of the market more than other islami banks. This report has been conducted to find out the possibility of ascertain the standard of SIBL in the higher level in terms of retail products.
In this report the total portfolio of SIBL has been shown that indicated a positive growth trend in the retail credit amount disbursed. Nowadays more people are interested in Islamic banking system may be for the religious view. Islamic bank does not have any interest system. They only give profit upon the depository amount and receives profit from the investors by giving loans.
From the comparison with other commercial and Islamic banks, some problems and prospects are found in SIBL. They are offering diversified product portfolio and lowest rates and charges which are their strength to proceed further in the business. Again, SIBL has some problems regarding target clients segments and promotional activities that should be rectified. The products and drawbacks of SIBL are described in the report. Some solutions are also covered in the report which can help the bank to minimize the risk of customer dissatisfaction.
In the modern world, banks are playing a key role for the development of an economy and the banks are no more divergent from any other consumer marketing corporation. The excellent service quality allows a bank to make them diverse from their competitors, provide an endurable competitive advantage, and augment efficiency.
Customer service is the process of ensuring customer satisfaction with a product or service. Customer service takes place due to performing a transaction for the customer, such as making a sale or returning an item. In Banks customer service includes the processing of cheque, cash and direct debit payments and withdrawals, setting up and maintaining customers‟ accounts, selling financial products and services to customers, dealing with enquiries, promoting the products and using a computerized system to update account details, general administration tasks such as maintaining records, sending letters to customers, helping customers with loan and mortgage applications. This internship report restrains the fleeting study on Social Islami Bank Limited
The report is disseminated in many parts according to the structure of supervisor of report. Most of the banks have some distinct business divisions namely
- Corporate & Investment Banking;
- Treasury & Market Risks;
- Retail Banking (including Cards);
- SME Banking
Under a real time online banking platform, these four business divisions are supported at the back by a vigorous service delivery or operations setup and also a smart IT Backbone. Such centralized business segment based business & operating model ensure specialized treatment and services to the bank’s different customer segments.
Social Islami Bank was founded in 1995 as Social Investment Bank Limited and changed its name to the present one on August 2009. Social Islami Bank Limited (SIBL) was incorporated on 5th July, 1995 as a result of dedicated effort of a group of established Bangladeshi entrepreneurs and internationally important personalities. The bank started commercial operation on 22nd November, 1995 with a clear manifesto to demonstrate the operational meaning of particularly economy, banking and financial activities as an integrated part of Islamic code of life. At first, it was known as Social Investment Bank Limited. Social Islami Bank Limited (SIBL) is a fast growing private sector and Islamic bank in Bangladesh. In terms of quality services and value addition to shareholders, Social Islami Bank Limited is already maintaining its position at the top slot. At the end of 2013 SIBL had 96 branches, highest in the private sector commercial bank in the country. Every month some 1,500 new customers begin to Bank with SIBL.
Vision of the Organization
In their journey towards continuous excellence they are striving to become the country’s leading Islamic Bank offering one-step service of an wide range of value added products and services meeting the needs of the customers; conducting their business ethically in accordance with the laws of Shariah while optimizing best utilization of the most modern state-of-the-art technological solutions through creation of pro-active organizational culture based on sound team spirit, fairness, mutual understanding and pragmatic leadership always remaining open to new ideas and adaptable to the best practices in the market ensuring recognition and quality banking experience to our Customers and deliver best value to all our stakeholders as well.
- Formal Sector- Commercial Banking with latest technology: SIBL will ensure to maximize shareholder’s value.
- Non-Formal Sector – Family Empowerment Micro-Credit & Micro-enterprise program:
- Voluntary Sector – Social Capital mobilization through CASH WAQF and others.
Finally, “Reduction of Poverty Level” is our Vision, which is a prime object as stated in Memorandum of Association of the Bank with the commitment “Working Together for a Caring Society”.
Mission of the Organization
The targets that Social Islami Bank wants to achieve in the near future are:
- Achieving the satisfaction of Almighty Allah both here and hereafter
- Fast, Accurate and Satisfactory customer service.
- Proliferation of Shariah based banking practices.
- Introducing innovative Islamic Banking products.
- Attract and retain eminence in human resource.
- To provide excellent quality products and services that will encourage savings.
- Achieving sustainable Participatory economy, Social Security, and peace for the society.
- Transformation into a service-oriented technology-driven profit earning Bank.
- Balanced & sustainable growth strategy.
- Optimum return on shareholder’s equity.
- Empowering real poor families and create local income opportunities.
- Providing support for social benefit organizations by way of mobilizing Funds and social
Values followed by the Organization
As an Islamic bank SIBL follows the values and norms which the other commercial banks may not give emphasize to. The values are:
Products & Services of SIBL
- Depository Products
- Al-Wadiah current deposit
- Mudaraba savings deposit
- Mudaraba term deposit
- Mudaraba Lakhopoti Deposit Scheme
- Mudaraba Double Benefit Deposit Scheme
- Mudaraba Pension Saving Deposit
- Sonali Din (Male)
- Subarna Rekha (Female)
Foreign exchange products
- Export Finance
- Import Finance
- Foreign Remittance
- Online Banking
- ATM 24/7
- Card (Local and Foreign)
- Automated Clearing
Salient Features of Social Islami Bank
The major features of Social Islami Bank are as follows:
- Social Islami Banking activities are regulated according to Islamic Shariah.
- Social Islami Bank is directed by Shariah board, which consists of many brilliant and famous intellectuals, economists, banker and lawyers.
- All economic activities are free from interest.
- It tries to coordinate economic and social development.
- The shareholders and the depositors are the only source of funds for Islamic banks. They do not use borrowing as a source of finance.
- Social Islami bank grants interest free loans to the underprivileged group (poor,m students and needy people.)
- Social Islami bank avoids investment in debentures and bonds because of their fixed rate interest.
Retail banking is a distinctive mass-market banking system in which individual customers use local branches of larger commercial banks. Services offered include savings and current accounts, mortgages, personal loans, debit/credit cards and certificates of deposit. This is a consumer oriented banking system where the organization deals with the customers directly.
Through retail banking customers can get financial services Retail banking is the division of a bank which deals with retail customers which defined as the process of identifying individual needs and satisfying them accordingly.
Objectives of Retail Banking
- To get better living standard certain segments of customer by giving collateral free loan
- To participate in the Scio-economic development of the country
- To ensure the access to credit by mass people
- To diversify loan portfolio to minimize risk
- To maximize bank profit as well as to minimize pressure on liquidity through quicker recycling but higher yielding loan operation
Target Market of Retail Banking
- Confirmed Officers of Government, Non–Government organizations/Institutes, Semi Government, Autonomous bodies & Corporations
- Professionals, Business Executives and Self Employed Persons who have regular monthly income with repayment capacity
- Any other individuals where the monthly installment size shall not exceed one third of their take home income.
Retail Banking Products and Services
Al-Wadiah current account: One of the most significant sources of depository amount is the Al–Wadiah current deposit .It has some similarities with the current account of conventional bank account. The term Al-Wadiah current deposit means deposit of money allowing somebody to sue it. Bank being a trustee preserve and keeps or in safe custody of what is deposited. Depositors feel safe in keeping their money with the bank and take transaction facilities.
Features of this deposit
- Minimum TK 1000 is required to open this account.
- This account is operated under Al-Wadiah principle.
- Without any condition any amount can deposited to this account.
- A cheque book is provided for the account.
- Any amount can be withdrawn at any banking holder
Mudaraba Savings Deposit: Mudaraba savings Deposit (MSD) account is opened by the lower and middle classes people who wish to save a part of their incomes to meet their future intend to earn an income from their savings. It aims at encouraging savings of non-trading person(s), institution(s), society, etc by depositing small amount of money in the bank.
Features of this deposit
- This account is operated under profit sharing principle. Here bank is Mudarib and depositors are Sahib al-mal.
- Cheque books are provided for this account.
- From this account money can be withdrawn four times a month.
- For this account an interim profit is provided in the month of June and December in each year.
- After preparing the final account at the end of each year the final profit is provided to the depositors.
Mudaraba Term Deposit: Mudaraba Term Deposits are opened by the bank with a sum of Tk. 5000 or above any amount from individuals (single and joint), firms (proprietorship/partnership), limited companies etc.
This deposit is accepted by the period of 1, 3, 6, 12, 24 months. This account holder will share the profit of investment with Social Islami Bank Ltd, at the rate declared by the bank from time to time. The Bank reserves the right to invest the funds received in Mudaraba term deposit accounts, in its sole judgment, in any interest-free “Halal” business it deems fit.
Features of this deposit
- Mudaraba Term Deposits are accepted by the bank with a sum of Tk. 10000 or above (multiple of 5000) from individuals (single and joint), firms (proprietorship/partnership), limited companies, autonomous bodies, charitable institutions, association, educational institution, local bodies, trusts, etc, against issuance of non transferable receipts in acknowledgement of MTD account may be opened in the names of minors jointly with
Their guardians, for example:
- Received from Mr. X Guardian of Mister/Miss (Minor)
- The Mudaraba term deposits are accepted for periods of 1, 3,6,12 and 36 months. Weight age on the rate of return is given to deposits of longer maturity.
- The Bank reserves the right to invest the funds received in Mudaraba term deposit accounts, in its sole judgment, in any interest-free “Halal” business it deems fit.
- Mudaraba term deposit account holder will share the profit of investment with Social Islami Bank Ltd, at the rate declared by the bank from time to time.
- The account holder is not allowed to withdraw the amount before maturity date.
- MTD account holder may withdraw the profit amount annually if he so desires on condition the final adjustment.
- If the profit amount is not withdrawn it will automatically be added to the principal amount annually and the entire amount will earn profit/loss.
- The bank retains the right of refusing to accept any deposit from any person in MTD account without assigning any reason.
Mudaraba Scheme Deposit: In SIBL they offer monthly depository scheme. In those account people deposit a certain amount of money every month for a predetermined period of time and gets profit at the current rate of profit. Now there rate is 10% for monthly deposit scheme.
Mudaraba Hajj Saving Deposit: This scheme will be accounted under Mudaraba rules. The Bank as Mudarib and the account holder will be treated as Sahib-e-Mal. The duration of this scheme will be 1 to 20 years. An introducer must be there to open an account. Any installment size can be chosen during the opening of the account In case of closing the account before maturity profit will be given as per rules of Al-Wadiah Current account.
Features of this deposit
- This account shall be called as Hajj/Umrah Savings Scheme.
- Any Muslim Residing in Bangladesh may open an account under this scheme.
- In case of change of address the bank must have to be notified as soon as possible.
- An introducer must be there to open an account.
- In case of closing the account before maturity profit will be given as per rules of Al-Wadiah Current account. No profit will be given in case of closing the account before 6 (Six) months.
- Monthly installment of the account will be deposited within 10th day of each Any advance installment is always appreciable.
- In case of failing of 3 consecutive installments the account will be automatically changed to savings account.
Mudaraba Bashastan Savings scheme: The scheme is provided to facilitate the inhabitant. It helps to fulfill basic needs of housing.
Features of this deposit
- The applicant has to fill the application form duly.
- An amount of Tk. 500/-, 1000/-, 1500/-, 2000/- or any amount multiple can be deposited under this scheme.
- The depositor will enjoy earnings from investments under Islami Shariah based Mudaraba rules.
- As per rules of Islami banking the actual amount may vary from the estimated
- In case of failing of 3 (Three) consecutive installments the account will be closed. In such cases profit will be given as per savings account rate, but no profit will be given if the account is closed within 6(Six) months.
- The account holder may choose any installment size on account opening, which cannot be changed later.
- Installment must be deposited within first 15 day of the month. Any amount deposited as advance installment is always welcome.
Mudaraba Education Deposit: This scheme facilitates the higher study and to continue education.
Features of this deposit
- Any amount of Tk. 25,000/- or multiple is accepted in this scheme.
- After maturity the amount can be cashed at a time or can be taken for the next 6 (Six) years of maturity.
- The depositor will get a receipt on the deposited amount.
- In order to receive the monthly education allowance the depositor will have to submit all the Receipts duly discharged and proper instruction must be provided in writing to nominate a person for receiving the allowance.
- In case of Death of the depositor the amount payable will be paid to the nominee.
Mudaraba Pension Saving Deposit: To create awareness to deposit among income people this scheme is introduced. It facilitates the old aged people.
Features of the deposit
- An amount of taka 100, 200, 300, 400, 500, and 1000 can be installed here.
- Any Bangladeshi person aged above 18 yrs and having sound mental condition can may open this scheme.
- To open this account there must be a signature of a valued introducer.
- Parents or legal guardians can open this scheme in the name of their underage
Mudaraba Millionaire Scheme: Thinking of the income generation of the people, Mudaraba Millionaire scheme is introduced by SIBL.
Features of the deposit
- 550/-, Tk. 1050/- or Tk. 2050/- is taken as monthly installment under Mudaraba principles of Islami Shariah.
- Duration of this scheme will be 5, 10 yrs.
- After starting of operation of this scheme size of installment cannot be changed.
- Any depositor may open one or more account in the same name in the same
- If a depositor fails to deposit 4 consecutive installments then the account will be closed and profit will applied as per rate of Mudaraba Savings Rate. Profit for the first 06 (Six) months shall not be applied.
Mudaraba Monthly Profit scheme: It is a scheme which is introduced by SIBL to facilitate the people at a monthly basis.
Features of this deposit
- The scheme provides monthly profit for service holders who may deposit the pension Tk. 1, 00,000/-, 1, 10,000/-, 1, 20,000/- or 1, 25,000/- or any amount multiple can be deposited under this scheme.
- The duration of the amount should be for Five years.
- The payable profit will become due after 1 month of deposit. But the amount will be deposited to account in the last week of the month.
- Generally, a depositor cannot withdraw the amount before 5 years. But, in unavoidable circumstances the depositor can withdraw the amount and in that case
- The depositor will have to submit the duly filled application form of the scheme.
- The depositor will have to maintain a Mudaraba Savings account in which the profit of the scheme will be deposited.
- In case of change of address the depositor must inform the bank as soon as possible.
- If the scheme is closed before 1 year then no profit will be given.
Mudaraba Lakhopoti Deposit Scheme: This scheme is also provided to the customer for facilitating them.
Features of this deposit
- Any person can open this account by selecting a monthly saving amount of Tk. 470/-, 1280/-, 2380/-, 3830/-.
- The duration of this scheme is 2, 3, 5, 10 years. The instrument cannot be cashed before maturity.
- In case of emergency if the depositor wants to en cash before maturity then the profit will be given as per rules of Mudaraba Saving account but no profit will be given in case of closing the account before 6 (six) months.
- After successful continuation of the scheme for 1 year the depositor may take up to 80% loan of the deposited amount.
Mudaraba Double Benefit Deposit Scheme: It is a kind of scheme where the deposited money remains almost double at the end of fixed maturity.
Features of this deposit
- The bank open this scheme by taking Tk. 10,000 or any multiple amounts from any person or depositor, this scheme will be accounted under Islamic Shariah based Mudaraba rules.
- The instrument cannot be encased before maturity.
- The instrument cannot be cashed before maturity.
- In case of closing the account before maturity profit will be given as per rules of Mudaraba Saving account but no profit will be given in case of closing the account before One year
Issuing cheque books
After opening Al-Wadiah current account or Mudaraba Savings account, customer are provided with a cheque book. Customers can choose the leave limits starting from 25-100.Customers have to fill the requisition form, leave it to the prospective officer and can collect it after four working day. For a new cheque book there is a leave attached inside the cheque book. To collect a new one same procedure is repeated.
Issuing Pay orders
Pay order is an instrument, which is used to remit money with in a city through banking channel; the instruments are generally safe as most of them are crossed. SIBL charges different amount of commotions on the basis of payment order amount.
Providing bank statement
An account statement or a bank statement is a summary of all financial transactions occurring over a given period of time on a deposit account, a credit card, or any other type of account offered by the SIBL. Fixed amount of money is charged for Bank statement.TK 100/- is charged for every single time.
Providing bank solvency certificate
Bank provide bank solvency certificate to a client to declare either the client is financially solvent or not. There are two conditions; bank will issue a solvency certificate either to the amount of balance in the account or on fixed deposit or any other collateral security. Bank charge TK 100/- for this service.
Social Islami Bank Limited (SIBL) provides the Tele Banking Service to its customers. Who lead very busy life or live far from bank or do not want experience crowd by telephone they can gather information what they want to know. They will have the convenience of requesting the services mentioned below-
- Balance Inquiry
- Exchange Rate Inquiry
- Request for Statements
- Information about interest on different types of deposits.
- Balance of the account
- Other Banking Information
Along with the Account opening section I worked at FDR section of General banking department. Both the Account opening section and General banking department helped me to fulfill the requirements to complete my assigned internship report.
According through the 37(2) of Bangladesh Bank Order 1972, which are the member of the clearinghouse, are called as Scheduled Bank. The scheduled banks clear the cheques drawn upon one another through the clearinghouse. Banks for credit of the proceeds to the customer’s account accept cheques and other similar instruments. The banks receive many such instruments during the from account holders.
The Clearing house sits for two times a working day. The members submit the climbable cheque in the respective desks of the banks and vice-versa. Consequently the debit and credit entries are given. Then the banks clear the balances through the cheque of Bangladesh Bank. The dishonored cheque are sorted and returned with return memo.
Clearing process is as under –
- Cheque is collected from customer throughout the day then it is crossed.
- At the end of collection one authorized officer signed on other side of the
- Then the deposit slip is separated from the instruments and has to put input in a register book, manually.
- After that all the instruments are organized as sill
- High value
- Regular value
Finally all the instruments are placed to a scanner and have to give commend on the computer and the scanner starts itself. Then the entire scanned image is to be verified after give input in Bangladesh Bank web side. When the input is finished reports of the input is generated and it is cross checked for any type of mistake. If everything is correct then the task is finished for the day. In the evening every day the returns report of the previous day is generated and it need to be collected and it’s the duty of that officer to inform the party who submitted the instruments.
These are the following responsibilities covered organization wide:
Export Finance: Foreign Exchange Trade of SIBL is dealt with its 9 AD branches out of which 4 branches are in Dhaka and the remaining 5 are in Chittagong, Khulna, Sylhet, Rajshahi and Bogra. As a 21st Century Bank, it is providing the services in foreign trade through import and export finance and also playing significant role in the area of foreign remittance. To facilitate the import obligation of the Bank as well as considering the requirement of foreign currency of the country, potential exporters are encouraged to do their export business with SIBL. Competitive exchange rate is provided for foreign currency to valued exporters. In the last 3 years our export business performance is significant.
Import Finance: SIBL deal with import business and its import business is extended to commercial importers (traders) for import of various Shariah approved items and industrial importers (Users) for import of raw cotton, yarn, clinker, pharmaceutical raw materials, TV parts, Computer parts etc raw materials for their industries
Foreign Remittance: SIBL is playing important role in the Foreign Remittance sector also. It has correspondent relationship with almost all major 122 Banks of 109 countries of the world like Standard Chartered Bank, American Express Bank Limited, HSBC, HBZ Finance, Mashreq Bank PSC, Dresdner Bank AG and with local banks in Pakistan, India, Nepal and Bhutan etc with whom is plays role over advising, reimbursing and add confirming arrangement.
SWIFT: SIBL is the member of SWIFT and have 9 SWIFT workstations in all of 9 AD branches. Beside 96 branches are equipped with online banking. All the SWIFT workstations keep under online system. All correspondences of foreign trade both export and import is communicated through SWIFT. As a result foreign exchange trade becomes expeditious and instant.
Cash Section: Cash section deals with all kind of transaction in cash. This department starts day with cash in vault. This amount is called opening cash balance. Bank makes cash payment and takes cash receipts.net figure of cash receipt and payment added with opening cash balance .this figure is called closing balance. This closing balance is then added to the vault and this is the final cash balance figure for the bank at the end of a day.
Debit and Credit card
SIBL provides Debit card and credit to the customers having savings and current account with them. For debit cards no charge is applied for the first year and from the second year the charge is 450tk. For credit card the client must have the monthly income above 40000 tk.
SIBL Debit Card
It’s a card issued by a bank that combines the functions of an ATM card checks. The debit card can be used to withdraw cash at a bank like an ATM cart, and it can also be used at stores to pay for goods and services in place of a check. Unlike a credit card, a debit card automatically withdraws money from our checking account at the time of the transaction.
SIBL VISA Electron
Visa Electron cards are issued against customers account maintained with any of our branches. Cards are issued against the following accounts:
- Mudaraba Savings Deposit – Staff,Client
- Al-wadiah Current Deposit – Client
- Mudaraba Notice deposit – Client
- Mudaraba Notice deposit – Client
- Round the clock transaction facility
- Directly linked to Cardholders Account at SIBL
- Balance Inquiry
- PIN Change
- Mini statement
- Accepted for purchase at all VISA terminal
- Minimizing risk of carrying cash
SIBL has an array of SME/Agri products- designed to satisfy the diversified financial needs of SME/Agri. clients. They offer both Revolving & Term Investment facilities to the SME/Agri. clients. Small Entrepreneurs, Agri. Clients and Women Entrepreneurs who are properly addressed by the diversified products designed for this purpose.
Challenges and Proposed course of action Identified in the Organization-
The SWOT analysis comprises of the organization’s internal strengths and weaknesses and external opportunities and threats. SWOT analysis helps to identify the current position of the organization.
Drawbacks of the Organization
In spite of the good management system and customer service the organization has lack of performance. There are some areas which require extensive improvement. To remain established in the completive market Social Islami Bank must solve their problems and improve their service. The drawbacks they must work on are:
No enough ATM Booths
Social Islami bank does not have much ATM booths in Dhaka City and outside Dhaka as well. So the customer faces problems for withdrawal of money. Where the other commercial banks have emphasized on the ATM Boot, SIBL is far away from the competition. To ensure the customer satisfaction SIBL must increase the number of ATM booth in whole Bangladesh.
Bad network of ATM Booth
During my internship period I have noticed many times that the customers are complaining about the ATM booths. Sometimes the clients can not withdraw their money from the booth in spite of having balance in the account. Service of ATM booths must be updated.
The debit/credit card of Social Islami Bank Limited is the VISA debit card. So it can be used in other VISA Card booths. But sometimes the card gets captured by those booths. That’s why the client face hassles. They need to give application to recover the captured card. I think this is the responsibility of the card division of SIBL.
No Automatic Transaction Profile
Transaction Profile is the profile of the client of savings and current account in which they mention an approximate amount of money which can take place in every transaction or the total amount of transaction in a certain month. Sometimes the client may violate the Transaction profile where there transactions exceed that certain amount. In SIBL if the TP violates the software does not notify that. So in every month the offices need to check the transaction profile of every client which is very time consuming. To avoid this updated software is required.
No Circular for the changing rates of deposits and loans
The rate of deposits and loans are fluctuating all the time. Whenever the rate changes an updated chart of rate or installment is needed for the customers. For DPS the customers need a chart to know about the installments and profits from the certain period. When the rate changes, the installment amount and maturity changes as well. But there is no updated circular or chart for the depository amount or maturity.
The head office should provide a new chart for the deposits and loans to all the branches. So the customer will not face any confusion.
No updated form
The account opening forms are not updated enough. All the accounts have the same form which is very confusing for the clients and the officials. For better customer service, the forms need to be more updated.
No enough promotional activities
SIBL does not give enough emphasizes to the promotional activities which results less popularity of it. When more people will get to know about the services , more people would like to involve with it.
Less motivational activities
The motivational activities can increase the quality of the performa.nce and can take the organization in the higher position. To get better performance from the employees the motivational activities should be broaden. Such as:
- High-quality work environment
- Standard amount of salary
- Other beneficiary things
- Poor service quality
The customer service quality is not satisfactory enough according to the perceptions of the customers, in terms of responsiveness and assurance of the employees in comparison with other banks. Most of the employees are not aware of the segmentation of the customers, which results into dissatisfaction of those customers.
Lack of waiting place
Compared to the amount of customer the waiting place for them is too little. The branch Manager should pay more attention to the comfort of the customers.
The Banks always contribute towards the economic development of a country. Compared to other Banks SIBL is also playing a leading role in socio-economic development of the country.
The bank is currently doing average. By analyzing its performance it is observed that a potential growth might be accelerated through effective implications of some policy. Being an old generation bank it has an advantage compared to newly established bank in the form of wide range of activities. However policy implication needs to be as fast as possible to grab the early mover advantage. The bank through years has been able to spread operation in mass banking rather than concentrating in niches. It can hedge poor performance of one sector by some other sector for its wide range of offering. Capital market operation has become a great potential for the bank to increase its profitability. SIBL is concentrating to establish new work stations in order to facilitate investor of remote places. The bank has been able to create a multi component portfolio. However none performing are a real challenge to the sound general banking management. Default is increasing for lack of monitoring. The bank is trying to increase its quality by accelerating its recovery policy.