Internship Report on General Activities of Rastriya

Banijya Bank Limited

Submitted By

…………….Collage
ID No.: ……….
TU Regd. No: ……….

An Internship Report Submitted to

Office of Dean
Faculty of Management
…….University
In partial fulfillment of the requirements for the degree of
Bachelor of Business Administration (BBA)

Kathmandu
August, 2018
 DECLARATION

This is to certify that I have completed the Internship Report entitled “General Activities of
RastriyaBanijya Bank” under the guidance of Mr. KiranThapain partial fulfillment of the
requirements for the degree of Bachelor of Business Administration at Faculty of
Management, Tribhuvan University. This is my original work and I have not submitted it
earlier elsewhere.

Date: April 6, 2018 Signature:

ii
 ACKNOWLEDGEMENTS

I would like to extend my sincere gratitude to Human Resource Department of

RastriyaBanijya Bank Ltd for providing me with the opportunity to learn and experience
banking in this organization.
I hold my academic supervisor [Link] utmost regard, and thank him for all the
encouragement and guidance from the beginning till the end of this report preparation
without which this entire report would not be meaningful.
First and foremost, I have to thank Asso. Prof. Krishna Prasad Acharya, Campus Chief,
ShankerDev Campus. Without his assistance on creating a sound learning environment in
every step throughout the process, this paper would have never been accomplished.
Furthermore we would also like to acknowledge with much appreciation the crucial role of
Ramesh Kumar Poudel, Acting Director (BBA), ShankerDev Campus, and all other
associates of the campus, who have helped me, pave my academic journey all the way to
the BBA 8th semester in the divine land of ShankerDev Campus.
My great appreciation goes to Mr. Shiva Chalise, the Branch Manager at Suryabinayak
Branch, Mr. Madhu Ram Dhungana, Head at Credit Department, Mrs.
RajyaLaxmiAcharya, Senior Assistant, Mr. ShyamBabuShrestha, Senior Assistant, Mr.
KumaleKhatri, Assistant, Mr. Binesh Ban, Assistant, Mrs. ChandikaShrestha, Assistant,
Mrs. Prajwola Joshi, Assistant at Baneshwor Branch of RastriyaBanijya Bank for all their
support and guidance during my internship [Link] supervision and support given by
them truly helped me to learn and gain valuable knowledge in banking during the
internship program. The co-operation and mentoring at RastriyaBanijya Bank Limited is
much indeed appreciated and honored.
I would like to acknowledge the benefactors and Mr. UdayNiroula, the faculty members of
the campus, for supporting me throughout the completion of the report. I am thankful to
staffs of ShankerDev Campus Library who helped me in furnishing this report by
providing with past theses.
Lastly, I thank my family and friends, on whose constant encouragement and love I have
relied throughout my time at the academy that helped me in finalizing this report within
limited time frame.

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 TABLE OF CONTENTS
CHAPTER I INTRODUCTION ........................................................................................ 1
1.1. Background ................................................................................................................... 1
1.2. Objectives of Internship ............................................................................................... 2
1.3. Methodology .................................................................................................................. 2
1.3.1. Organization Selection ........................................................................................ 2
1.3.2. Placement ............................................................................................................ 2
1.3.3. Duration ............................................................................................................... 3
1.4. Activities done ............................................................................................................... 3
CHAPTER II INTRODUCTION TO THE BANKING INDUSTRY ............................ 5
2.1. Meaning of Bank ..................................................................................................... 5
2.2. Evolution of Banking Industry in World ................................................................ 5
2.3. Evolution of Banking Industry in Nepal ................................................................. 6
2.4. Current Scenario of Banking Industry in Nepal ...................................................... 8
2.5. Challenges of Banking Industry in Nepal ............................................................... 9
2.6. Opportunities of Banking Industry in Nepal ........................................................... 9
CHAPTER III INTRODUCTION TO THE ORGANIZATION .................................. 11
3.1. Introduction to Rastriya Banijya Bank .................................................................. 11
3.2. Mission, Vision and Objectives of RBB ............................................................... 11
3.3. Organization Structure at RBB ............................................................................ 12
3.4. Challenges of RBB................................................................................................ 13
3.5. Opportunities of RBB ........................................................................................... 13
CHAPTER IV ANALYSIS OF ACTIVITIES DONE AND PROBLEM SOLVED ... 14
4.1. Technology Used .................................................................................................. 14
4.2. Credit Department ................................................................................................. 14
4.3. Customer Service Department .............................................................................. 20
4.4. Clearance Department ........................................................................................... 26
4.5. Problem Faced and Solved .................................................................................... 27
CHAPTER V CONCLUSION AND LESSONS LEARNT............................................ 28
5.1. Conclusion ............................................................................................................ 28
5.2. Lessons Learnt ...................................................................................................... 29
BIBLIOGRAPHY .............................................................................................................. 30
APENDIX ........................................................................................................................... 31

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 LIST OF TABLE
Table 1.1 Duration of Internship ---------------------------------------------------- 3
Table 2.1 Financial Institutions in Nepal ---------------------------------------------------- 7
Table 3.1 Regional Offices of RBB ---------------------------------------------------- 12
Table 4.2 Problem and Solution ---------------------------------------------------- 27

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 CHAPTER I
INTRODUCTION

1.1. Background
Internships provide real world experience to those looking to explore or gain the relevant
knowledge and skills required to enter into a particular career field. Internships are
relatively short term in nature with the primary focus on getting some on the job training
and taking what’s learned in the classroom and applying it to the real world.
The Bachelor in Business Administration (BBA) program under the faculty of
management of ……University is a four year semester system program that provides
knowledge in the management field. BBA is the advanced management course with the
objective of preparing students to take up middle level managerial positions in business
sector along with development of entrepreneurial skills. So at our eighth semester, we are
assigned to prepare an internship report by working in any financial institution or corporate
house to get familiar with the real working scenario.
This internship report covers an overview of general banking procedures of one of the
branch of Rastriya Banijya Bank Limited situated at Lagankhel,Lalitpur. Here focus is
made in knowing the framework and guidelines of various departments and their working
procedures. The study is at its layer covering major three departments and they are
Customer Service, Credit/Loan and Clearance department.
During the internship period at RBB, the internee spent more time on Customer Service
and Credit department because these two departments were more active at the branch than
others and interns were not allowed in Cash teller as every bank has their own rule. Credit
department is considered as important because main earning of any bank is interest earning
that will be possible only if quality of lending is made by credit department whereas
customer service is considered as another important department because it reflects overall
image of bank performance. This internship report covers all the activities learnt and
contributed during my 8 weeks internship at RBB at Suryabinayak.

1
1.2. Objectives of Internship
The internship program was conducted as a partial fulfillment of the BBA program under
Tribhuvan University. The main objective of this internship is to gain practical knowledge
and experience in the banking sector. The other general objective is to be familiar about the
various activities of different departments of a bank. Beside these objectives, the internee
had some specific objectives as she was placed in different departments in the bank. Some
points to describe the specific objectives of the internship program are as follows:
1. To learn to provide different banking services to customers.
2. To learn how credit facility is delivered to customers.
3. To gain the knowledge about administrative work in a bank and this includes
cheque clearing process.
4. To learn to handle different types of customer and disseminate information as per
requirement.
1.3. Methodology
The internee’s study is completely based on observation and learning in various
department of RBB for the period 8 weeks. There are several steps to be taken before
starting of internship till the completion of the program. The important steps taken for the
internship are briefly explained below.
1.3.1. Organization Selection
Organizational selection for internship was not an easy task at all. The selection of a
reputed organization is a must in order to secure future career. As finance being my
specialization, the internee approached many financial institutions mainly commercial
banks. The internee submitted my curriculum vitae along with the recommendation letter
provided by the college and a personal application requesting to provide internship
program in different organizations. Finally, the internee got the acceptance letter from
RastriyaBanijya Bank Limited.
1.3.2. Placement
Talking about the placement, the internee was placed in RBB’s Branch office at
Suryabinayak working as an intern for the period of 8 weeks. At the time of internship, the
internee worked in Customer Service Department (CSD), ATM and Clearance, and Credit
Department under the supervision of the department heads and supervisors. The placement
in these departments helped the internee to gain various knowledge about banking sector,
customers of the bank and different working procedures.
2
 1.3.3. Duration
The duration of internship has been defined for minimum of eight weeks. The tenure of
internship was from June 8thto August 10th, 2018 under the supervision of Mr. Binesh Ban,
intern mobilizer at Suryabinayak branch. The interns had to involve in day to day activities
in regular working hours from 10:00AM to 5:00PM. RBB at Suryabinayakcomprises of
Customer Service, Credit, ATM and Clearing, and Cash teller department.
Under various departments at RBB, the internee was assigned to work on three
departments for following duration.
Table 1.1: Duration of Internship
Working Weeks
Departments
1st 2nd 3rd 4th 5th 6th 7th 8th
Customer Service
Department
Clearing and ATM
Department
Credit Department

1.4. Activities done

The whole internship period in RBB has been fruitful as it provided opportunities to
understand the banking activities and develop interpersonal skills. During this internship
period, internee got the opportunity to observe as well as perform various types of
activities in different departments. The activities performed in different departments are
briefly explained below.
A. Credit Department
In this department the internee had to prepare different documents required for
different types of loan such as Personal Loan, Home Loan, Vehicle Loan,
Hypothecation etc. which were of both revolving and long term nature. The internee
prepared necessary documents for new loan, additional loan and renewal of loan for
revolving type of loan. The necessary documents include promissory note, applicants’
information such as income statement etc. The internee also prepared vouchers for loan
charges of the customer.
B. Customer Service Department(CSD)
CSD is the first department where customer comes in contact with the bank. This
department is directly related with the image of the bank because most of the services

3
are delivered to customers through this department. This department has to perform
various activities and the internee had the opportunity to perform following activities
under the supervision of RBB staff.
 Opening new accounts, updating and closing the existing accounts.
 Handle the queries of customers regarding account number and name
conformation, balance amount, fund transfer, interest rates and charges.
 Printing and dispatching account statement to the accountholders.
 Printing cheques, maintaining cheque inventory and delivering cheque books.
 Making online request for debit cards, delivering the debit cards.
 Helping the customers to fill the vouchers.
 Maintaining ledger on different headings such as personal account, corporate
account, KYC update, dispatch of cheque books and debit cards etc.
 Handling phone calls.
C. Clearance Department
At RBB Suryabinayakbranch, they have recently installed the ECC machine for
clearing cheques so all the clearance activities were performed through machine. The
cheque were initially received and the verified whether cheque were mentioned as
“A/C Payee“. After cheque is verified it is scanned through scanner or clearance
machine. Then computer ask some of the information regarding which bank cheque is
to be deposited, date of cheque written, date of clearance, amount to be deposited and
so on. But before sending the cheques they are to be verified. Now the cheques are
sent. Since the clearance time is up to 2pm, one had to wait if the cheque is honored or
rejected. In RBB after cheque were accepted or honored then the next day cheque is
posted to respective account number. However if the cheque is rejected it means some
error has occurred and must be corrected either by calling the person who deposited the
cheque or if error has occurred due to bank mistake they correct and send next day.
Then next day the cheques that are accepted are sent to the account mentioned in the
cheque. For this also necessary requirement like amount, date, name of bank whose
cheque is being deposited and code of RBB is mentioned and then it is posted.

4
 CHAPTER II
INTRODUCTION TO THE BANKING INDUSTRY
2.1. Meaning of Bank
Bank is a financial institution, which deals with money by accepting various types of
deposits, disbursing loan and providing other financial services. It is not safe for the people
to keep their money with themselves and even investing on their own would be risky and
more costly. Therefore the bank collects small amount of money from the general public
and provide some interest in return. The money thus accumulated can be invested in
different sectors such as business, trade, agriculture, industries and social works for which
it charges certain percentage of interest which is higher than the interest they provide to
depositors. We can say that the bank actually acts as mediator between savers and
borrowers as they collect money from savers and provide to the investors or users.
A bank provides easy payment and withdrawal facility to its customers in the form of
cheques and drafts. It also provides various banking facilities to its customers including
general utility services and agency services. A bank is a profit seeking institution having
service oriented approach.
According to the shorter Oxford English dictionary," A bank is an establishment for the
custody of money received from or on behalf of its customer essential duty is to pay draft
on is profit areas from its use of the money left unemployed by them".
According to Nepal Rastra Bank Act 2002, “Bank is a financial institution, which provides
financial services that may be in the form of accepting deposits, advancing loan, providing
necessary technical advice, dealing over foreign currencies, remitting funds, etc.”
2.2. Evolution of Banking Industry in World
The concept of banking is not a modern concept. This concept had started to evolve
immediately after the humans were able to realize and develop money. Money had made
the human life much easier than before in barter system. But along with that money also
had created some complexities in their life. So, in order to overcome these complexities
and the difficulties that were attached with the benefit of money the concept of banking
emerged in the human mind. Earlier the moneylenders and the landlords performed the
banking activities as the informal banks but later the activities of these people were
formalized and the concept of bank as an institution emerged.

5
The term bank is either derived from Old Italian word “Banca” or from a French word
“Banque” which both mean a Bench or money exchange table .In olden days, European
money lenders or money changers used to display coins of different countries in big
quantity on benches or tables for the purpose of lending or exchanging. The Jews of
Lambardy were thought to be the early bankers who transacted third business at the
benches in the marketplace and when they were unable to meet their liabilities, the
depositors used to break their benches and this tradition had given birth to a banking term
“Bankrupt”.The first ancient Bank of the world is supposed to be the Bank of Venice
which was established in 1157 A.D. Following the footsteps of this bank, other two banks
were established in 1401 and 1407 named Bank of Barcelona and Bank of Geneva,
respectively. The crucial breakthrough in the modern banking history was made in 1694
A.D when the first modern bank “The Bank of England” was established. After the
establishment of this first English Bank, Banking sector had experienced various ups and
downs but still they persisted and because of that persistence they are now able to exist in
this 21st century world as one of the essential element of human life.
Nowadays, banking sector acts as the backbone of modern business. Development of any
country mainly depends upon the banking system. Presently, banks are not only the
deposits collecting and loan lending institutions but also the institutions which helps its
customers from various ways as per their convenience and ability with full security. They
had been developed as the essential service providing institutions in this rushing world.
The banks had start affecting the lifestyle of the citizens as well as the economy of the
country as well.
2.3. Evolution of Banking Industry in Nepal
In the ancient period, the concept of bank existed, when goldsmiths and the rich people
used to give money to the common people against their valuable items as collateral and the
depositors would get back their gold and valuables after paying the total amount which
included a small amount for safekeeping and saving. Nepal is no exception as goldsmiths;
landlord and other rich people were the ancient bankers.
The modern banking started in Nepal with the establishment of Nepal Bank Limited in
1937 A.D. It was the first commercial bank established with the motive to develop trade
and industry in the country. It was established with 51% ownership of the government and
49% equity participation from the public. The central bank of the country, Nepal Rastra
Bank was set up in 1956 A.D. with the development of banking sector and to help the

6
government formulate monetary policies. Since then it contributed to the growth of
financial sector. The growth and development of the country is possible only when
competitive banking services reach each and every corner of the country. However, as the
central bank, Nepal Rastra Bank had its own limitations and as a commercial bank it was
not logical for Nepal Bank Limited to go to unprofitable sectors. So, the government
established RastriyaBanijya Bank in 1966 A.D as a fully state owned commercial bank to
eliminate such problem. Later in 1984 A.D, Nepal Arab Bank, the first joint venture bank
of Nepal was established with the aim to provide quality-banking service, enhance the
efficiency and healthy competition. The bank was the outcome of joint venture with Dubai
Bank Limited of United Arab Emirates.
After the restoration of democracy in Nepal there has been tremendous development in
banking sector. The economic and financial reform policies undertaken by the government
have increased both number of banks and the types of services offered. For the purpose of
regulation and control, NRB has divided the depository financial institutions into four
classes on the basis of minimum paid up capital requirement and functions.
This classification is unique feature of Nepalese banking industry only and there is no such
classification globally. The Nepalese version of classification of depository financial
institutions as per paid up capital according to the Nepal Rastra Bank the central bank of
Nepal is shown in table 2.1.
Table 2.1: Financial Institutions in Nepal

Minimum Paid up
Category Type of Financial institution Number
Capital Requirement
A Commercial Banks 8 Billion 28
Development Banks
 National level 250 million 36
B
 4 to 10 district level 120 million
 1 to 3 district level 50 million
Finance Companies
C  National level 80 million 25
 1 to 3 district level 40 million
D Micro Finance Development Banks 2million 58
(Source: [Link])
The above table shows the classification and sub-classification of financial institutions.
The minimum paid up capital mentioned above is the capital that the financial institutions
are maintaining currently.

7
Since the internee had completed the internship in one of the commercial banks of Nepal,
the report is specifically focused on the “A” category depository institutions i.e. the
Commercial [Link] banks are the banks that are classified in category “A” as
per their minimum paid up capital of Rs.8 billion. They provide various services such as
money exchange, accept deposits, grant loans, and offer basic investment products. These
institutions are run to make profit and owned by a group of individuals.
2.4. Current Scenario of Banking Industry in Nepal
As the internee has already mentioned that after the restoration of democracy in Nepal
there has been tremendous development in banking sector. The economic and financial
reform policies undertaken by the government has increased both number of banks and the
types of services offered. Currently the banking sector is evolving to be very competitive
and challenging. The fastest growing and emerging industrial sector today is not other than
banking. It is flourishing and upgrading day by day. Banks are using various new
technological advancements to provide timely, fastest and economical services to the
customers. Banks with the collaboration of other financial institutions, IT’s and other
organizations they always try to attract the customers. The different ages of banking sector
clarifies the improving current scenario of banking. It can be summarized as in following
bullets.
 There is ongoing trend of merger by the banks which are suffering from the
problem of low capital base and limited geographical [Link] of
financial institutions are decreasing though becoming powerful.
 A wave of Initial Public Offerings (IPOs) has started among the new BFIs, but very
few of them have opted for this route.
 The banking industry has been very supportive and doing various activities to help
the victims of earthquake 25th April, 2015 which include collection of disaster
relief fund.
 The central bank has directed the banks and other financial institutions to provide
home loan for reconstruction of houses with different conditions and facilities in
favor of earthquake victims. It has also proposed different conditions and facilities
in favor of existing credit holders who are also the victims without hampering the
profitability of banking and financial institutions.
 Nepal Financial Intelligence Unit (FIU) gained the membership of international
institution Egmont Group of Financial Intelligence Units. The membership would

8
 help to exchange financial intelligence between Nepalese and other international
financial institutions in a secure way using Egmont Secure Web.
 The commercial banks are reducing the interest rate lower than the inflation rate.
The unhealthy competition and low investment against the flows of deposit have
compelled the banks to cut the interest rate.
 The net profit of banking and financial institutions in aggregate also shows
increasing trend.
2.5. Challenges of Banking Industry in Nepal
With the rapid growth in the field of technology, with the growing competition level the
challenges in the banking sectors are also increasing. Some of the challenges are
mentioned below:
 Dealing with aggressive and innovative non-bank competitors.
 Implementing fully digital banking.
 Interactive customization of products and services to meet customer demands.
 To come to a new level of growth and sustainable profitability by developing new
and reliable sources of revenue.
 Rebuilding asset quality and strengthening their capital adequacy as the central
bank has proposed to increase the capital of different class of financial institutions
up to certain limit within 2 years.
 Enriching and increasing the business value of customer relationships, at a time
when customer behaviors and expectations are more demanding.
 There is challenge in managing excess liquidity problem. Due to lack of investment
resulted by the complex investment climate, the investors are not making any
investment.
2.6. Opportunities of Banking Industry in Nepal
With the increase in the urbanization, living standard of people, increase in income, the
concern of people is increasing for the management of their financial activities. Besides the
drastic improvement in the technology which has led to several innovations in the field of
technology has also opened the door for opportunities. Some are listed below:
 By reaching remote locations, BFIs can utilize the funds available and contribute
towards overall development.

9
 Proper availability of remittance services via banking channels all over Nepal,
especially to the remote areas, can prove to be crucial. Since remittance is one of
the mainstays of our economy, it must be given special consideration.
 The industry can customize its product and services for earthquake victims to
project positive image which refers to Corporate Social Responsibility.
 The banking sector also realizes the potential of small and medium sized
enterprises (SMEs) in the rural sector.

10
 CHAPTER III
INTRODUCTION TO THE ORGANIZATION
[Link] to RastriyaBanijya Bank
RastriyaBanijya Bank Ltd. was established on January 23, 1966 A.D (2022 B.S). RBB
limited is fully government owned and the largest commercial bank in Nepal. The bank is
considered synonymous of stable and people's bank in Nepal which is one of the pioneers
Bank in the country with the history of more than a half century. Earlier constituted under
RBB act 2021 with the full ownership of the government of Nepal, the Bank has been
running under Bank and Financial Institute Act (BAFIA) 2073 and Company Act (CA)
2063 at present. The Bank licensed by NRB as an 'A' class commercial Bank of the
country, has grown up as an indispensable component of the Nepalese economy.
RBB has made glorious history of contributing for the monetization of the economy,
eliminating dual currency in the market, initiating preliminary financial literacy; help
flourish industrial, commercial and financial sector of the country. And now it has emerged
as a modern and strong financial institute of the country. The Bank with 2600 hands has
expanded its wings in the most part of the country through multiple distribution outlets of
162 branches, 17 counters, 28 branch less banking (BLB) and 72 ATMs. RBB is the bank
with the highest public confidence which is reflected in the highest deposit base and
growing demand for branch establishment in the various parts of the country.
The Bank with as many as 1.7 million satisfied /direct customers ranging from poor to elite
ones and millions of indirect ones has drawn important imprint in the picture of country's
economy through its significant involvement in the best use of its resources to enhance the
production, income and employment opportunities. The Bank is fully committed to
contribute its best for the socio economic development of the country and people in the
days to come.
[Link], Vision and Objectives of RBB
The mission, vision and objectives of the bank are stated below.
3.2.1. Mission
The mission statement of RBB is, “To provide easy and innovative banking products and
services for our customers by implementing one stop service concept from our wide
network using our modern technology qualified human resources in competitive
environment. We always look for the benefit of the local communities supporting
entrepreneurship, social responsibility and economic prosperity of the nation."
11
3.2.2. Vision
The vision of RBB is, “To provide innovative banking services to everyone, every time
and everywhere for the economic development.”
3.2.3. Objectives
The objectives of RBB are mentioned as follows:
1. Focus on providing innovative financial services.
2. Increase in capital base by meeting the minimum capital requirement.
3. Business growth and increase in market share.
4. Enhance operational efficiency and sustainable increase in profits.
5. Focus on empowerment of deprived class.
[Link] Structure at RBB
The Bank has 4 membered Board of Directors. The Management Committee includes 9
members with a CEO, 2 Acting Deputy CEO, 2 Deputy General Manager, 2 Acting
Deputy General Manager, 2 Dept Chief. The executive power is vested in the Chief
Executive Officer (CEO). The government nominates all board members including the
Chairman. Bank has its Main Branch office at Bishal Bazar, Kathmndu and the Corporate
Head at Shingha Durbar Plaza, Kthmandu.
Table 3.1: Regional Offices of RBB
S.N Regions Branches
1 Kathmandu 40
2 Biratnagar 50
3 Birgunj 28
4 Pokhara 43
5 Nepalgunj 43
(Source: [Link])
1. .It has been actively expanding its branch network and still is the bank with largest
branch network.
2. It has been very much active in CSR activities such as financial literacy campaign,
women entrepreneurship, disaster relief fund etc.
3. It has introduced CDM service, a self-service terminal that lets you make cash
deposits and payments.
4. It has earned net profit of Rs.3.6 billion in the last fiscal year which is the highest
profit ever in banking industry.
5. It has encouraged youths to engage in agriculture by providing agriculture loan at
low interest rate.

12
The bank has 17 departments. Operation division includes financial direction committee,
employee management and service committee, audit committee (internal audit committee)
and risk management committee.
Under CEO, management committee and asset management committee are directly linked.
The bank then has subdivided into banking business department and banking operation
department. Under banking business, there are agriculture and social banking department,
information technology department, law department, compliance department, human
resource, training and development, asset management, general service and risk
management and loan department. Under banking operation the bank has, sectorial credit,
management information system and budget, electronic banking, interbank account
reconciliation, infrastructure development, loan recovery and restructuring, marketing and
investigation and treasury department.
The hierarchical structure has been affixed in appendix 1.
[Link] of RBB
Delivery of effective and efficient services is the greatest challenge for the bank. Some
other challenges are listed below:
1. Retention of customers.
2. Customization of products and services.
3. Minimizing the default risk which may arise due to earthquake.
4. Dealing with private banks in terms of technological enhancement
5. As it has just become 5 years of KYC being mandatory at RBB, updating KYC of
old customers is a challenge.
6. Adopting new technology as the organization lacks skilled manpower.
[Link] of RBB
Wherever there will be a challenge there will be several opportunities. Some opportunities
of RBB are listed below:
1. It can expand its market in remote areas as it can provide service there despite of
poor infrastructural development because it is a government owned bank.
2. It can attract customers by customizing its services as people have more trust.
3. It can provide the service of remittance in difficult geographical location as it has
the most extensive branch network in Nepal.
It can customize its product and services for earthquake victims.

13
 CHAPTER IV
ANALYSIS OF ACTIVITIES DONE AND PROBLEM SOLVED
During my internship at RBB, Suryabinayak, the internee worked in three departments.
They were Credit/Loan, Customer service and Clearing departments. In all the departments
the internee worked sincerely and achieved inevitable knowledge that will be beneficial in
my future. With the keen support of bank staff, the internee was able to use theoretical
knowledge in actual field. As an intern, the internee was able to gain as much as possible
practical experience with the help of staffs. The environment was fully supportive and
realistic view of workplace could be experienced. In every department, way of dealing
with the customer was different. The internee’s contribution and learning while working at
different department are mentioned below.
[Link] Used
RBBL has installed PUMORI Plus-III as banking software throughout the branches to
carry out all the banking activities. PUMORI Plus is an online multi-user; multi-currency
integrated banking system of international standard developed by Mercantile Office
Systems, Nepal. It integrates all functions of front office and back office as one package.
The system runs on Windows NT network and provides adequate security features for
keeping smooth operation of the system.
[Link] Department
Bank provides various loan facilities as per the requirement of customer such as loan
against fixed deposits/government bonds, loan against gold, personal loan etc. that help to
manage personal as well as business needs of the customers. Credit department basically
invests by lending certain amount to customers and charge some fixed rate of interest. The
interest rate is always greater than the interest rate on deposits because it is more risky.
This department is one of the crucial departments for a bank to increase its earning and
project image among people. The decisions in this department should be made very
carefully because there may be chances of default risk, cases of fraud and money
laundering.
4.2.1. Activities Performed in Credit department
The major activities performed by the intern in credit department are discussed as below
1. Updating CIB
KarjaSuchana Kendra Limited is one of the oldest Credit Information Bureau in the
SAARC region and was established in May 1989 with the sole objective of restraining the
14
growth of the Non-Performing Assets of the Banking and Financial sector of the country
that was increasing alarmingly during the period. Later, it got registered as the Company in
2004 under the Company Act 2053 and started its operation as the independent and
autonomous entity from March 2005. It operates through provisions made in NRB Act
2058, Article 88. It is a public limited company with banks and financial institutions
holding majority of equity (90%) while the rest (10%) is held by Nepal Rastra Bank.
KSKL currently has 62 promoter shareholders including 22 commercial Banks, 7
Development Banks, 32 Finance Companies and Nepal Rastra Bank. RBB also is a
member of CIB and has to submit the CIB update weekly and after each loan sanction. The
intern had to update CIB with the following details
a. Client System
The client code had to be inserted. All the list of client codes is available in the credit
facility section of loan. The client code will now be the access codes for the CIB
[Link] access codes are 4-5 alphanumerical codes provide by the bank for all the
customerswhile they open account or use any banking service s from the [Link] internee
had to insert following details of the loan client in the database:
 Name of the firm/ customer
 Type of client (Individual 001 or Joint 002)
 Ownership type (Individual 001 or Joint 002)
 DOB/Date of registration
 Purpose of loan (Individual or Commercial)
 Communication Address, Permanent Address for individual and PAN Details
andCompany Registration Details for commercial
 Loan Limit (Approved Loan Limit)
 Other information like marital status, mother's name, father's, spouses, DOB, ID,
 Introducers
b. Credit Facility System
It is the hub of client's activities and includes all the details regarding the type andpurpose
of credit the client has taken. The internee updated the following information under credit
facility system:
 Purpose (4 digit codes for each objectives of loan like 1002 for residential
 Type of loan (Overdraft, Hypothecation, etc.)

15
  Department under which the company is registered
 Asset classification or Loan Status (Pass Loan, Substandard loan. Watch List,
Loan, Loan Loss)
 Legal Action Taken (Yes or No)
 Security Status (Yes or No)
c. Securities
Under securities, the internee entered the details of securitized land and building (if
any).The valuator's evaluation book and CDT 12 (Site Visit Report) of the bank were
considered to determine estimated value and security value of the collateral
[Link] following information was inserted in the database:
 Type of collateral ( Real Estate and Building mostly)
 Collateral details ( Plot No., Plot Location, Plot Owner’s Name)
 Remarks (Loan Account Number, Loan Title)
 Estimated Collateral Value (Valuation from the Valuation book)
 Security Value (Valuation from CDT 12)
 Insurance: policy no, issue date, maturity date, remarks, amount insured,
premiumamount to be paid, frequency (quarterly, monthly), coverage of security
byinsurance and the name of insurer
 Security linkage: access to security code, reference number for account and
loanaccount held, value of security, effective rate and date for security renewal
 Valuator's link
d. Common Entity Segment and business entity
It is the relation or guarantor's link. It is a relation link to link the loan with the personalor
business guarantors. The proprietor needs to present the guarantors to the bank toguarantee
the repayment of the debt. If the proprietor defaults, the guarantors are liable and indebted
to 100 percent of the loan amount. It includes the data like entity name (thename of
guarantor), client code(the access code of loan for which guarantee has beengiven),
personal information like, DOB, CZ#, gender, 3 generations details
For corporate guarantee info like company registration PAN, guarantee basis is provided.

16
 e. Valuator Link and Subject Link
The valuator of the collateral is further linked with the loan client. The same valuatorcould
be evaluating several loan collaterals and hence could be linked to many loan clients.
Valuator’s name, Valuator’s PAN details, Valuator’s Address
2. Assistance in Loan Department
a. Preparation of CIC
CIC or the Credit Information Cent is the working department of CIB which includes all
the details about the loan client and the guarantors. The intern was not allowed to self-
prepare to document but was allowed to assist the senior staff for the same. CIC (Credit
Information Centre) charge (Rs.450 each for guarantor and the proprietor)
The different information updates in CIC are:-
 Purpose of seeking report ( new loan, renewal of term loan,
restructuringrequirement, rescheduling of EMI (appendix 4), additional)
 Type of loan facilities (personal, land, home, vehicle, agriculture etc.)
 Loan amount disbursed, paid, due
 Credit report of bank(if CFR and other report has been submitted then yes if
notthen no)
 Information about guarantor, client ( name, citizenship/ PAN no, issue date,
issuedistrict/ issue authority, 3 generations detail)
 Occupation of guarantor
b. Preparation of CFR
The intern did not prepare CFR but assisted and learnt about the different
documentationrequired through the senior loan staff and helped in preparation of gross
income sheet
 Affixing field visit and site evaluation report
 Describing the nature of proposal( facilities like Overdraft, class(old or
new),limits(loan limits approved), security margin( usually 40-65% due to
liquiditycrunch, pricing( interest rate, fees)
 Loan pricing (interest rate, fees, prepayment charges, expected interest,processing
charge, renewal charge)all the details regarding interest rate has been affixed in
annex.
 Repayment capacity of borrower:

17
  Gross income sheet
Source of income (rental income, employment income, collateral value- check for
thedocuments verified and access the total and net amount
Calculation of Gross income
Monthly average of Gross income or (GMI)
Charge TDS and Rental Tax (10+2 %)
Calculation of GAI (Gross Annual Income)
Cut expenses (personal expenses, loan from other banks and interest, insurance premium)
Net monthly income calculation (Taxable Income calculation)
Access the Direct Tax to be paid by the client with reference to Income Taxprocedures
Generate Credit Score as per the Income
c. Credit Score Table
A credit score table is prepared for risk grading purposes. It includes the details about the
collateral value, sale ability of collateral, net worth to loan ratio, EMI coverage, nature of
income, and distance from the bank, loan repayment history, banking transaction and credit
committee recommendation. If the weighted score is greater than 3, the investment is
considered to be risky. Hence, the bank only extends credit to the client with a weighted
score of less than 3. The weighted score credit rating table used by RBBL is shown in
appendix 5.
The bank uses 5C Approach: RBBL monitors the investment environment based upon five
components: a. Character b. Capacity c. Collateral d. Conditions e. Capital
d. Preparation of CIC
 The internee had to assist the clients prepare loan files on behalf of clients by filling
upLoan Application Form with the details of clients,
 The internee used Financial Analysis tool of PUMORI system to calculate EMI for
theapproved loan limit.
 RBBL does not sanction full loan amount while investing. Only margin amount of
theapproved loan amount is disbursed initially. However, the interest is charged for
theentire loan limit.
 The revolving natured loan investments need to be renewed every year. In order to
 renew the loan, the proprietor is required to bring necessary documents as
mentionedbelow:
1. Firm Renewal Certificate

18
 2. Tax Clearance Certificate
3. Land and Building Tax Clearance (MalpotTiro)
4. Audit Report of last two fiscal years and projected report of currentfiscal year.
5. Stock Details (For Hypothecation Loan)
The renewal process involved the following charges to be taken from the loan client:
 Interest (Interest and penal rebate was given if the repayment and renewal were
timely)
 CIC (Credit Information Centre) charge (Rs.450 each for guarantor and the
proprietor)
 Renewal fee (0.15 percent up to the loan amount of Rs.2500,000 and 0.10 percent
forloan amount above Rs.30,00,000)
 Only 45-65% of margin of collateral valuated was being sanctioned

3. Gold loan registry

a. Gold loan account opening
After the cashier approves the loan, the loan approval letter has to be verified and
registered in PUMORI VERSION III system.
 Sort the application verification letters in accordance to their serial number
 Open the loan CIB software and follow the procedure
 Account opening (retrieve the access code from the facility system and input inthe
client code bar, assign the gold loan code to the new account number for theclient.
If the KYC has been updated no need to fill the credentials if not thencredentials
have to be filled.
 Account maintenance: rate limit maintenance has to be tabbed. The amount ofloan
sanctioned, the time period of issue and expiry and loan interest rate (13%)has to be
set
 Loan registry: after the rate limit has been affixed the loan has to be
[Link] amount of loan, interest rate and expiry has to be thoroughly
checked. Afterthe registry the loan account will be open for operation.
 Loan disbursement: total amount of the loan sanctioned has to be retyped. Thecash
counter is the nominee for all gold loans, the principal amount and interestwill
begin accruing from the disbursed date.

19
  Loan posting : after the loan has been disbursed the entire operation should
beposted so that the records will gather up in the day's end registry
b. Loan repayment
Under Repayment of Loan segment in PUMORI System, the loanaccount number had to
be inserted and outstanding interest had to be jotted down for theclients. The internee also
prepared voucher for the loan client, who wished to clear theiroutstanding interest. If the
client wished to settle their gold loan, the internee had toprepare voucher consisting the
Interest Outstanding, Principal of the loan and InsuranceFee (1% p.a. of the principal).
4. Informing and Counseling
The intern was given prior information about the types of loan offered by the
bank,documents required to entitle loan amount of specific type. The intern then had to
counselthe new customers about the loan products and the repayment. The internee had to
attendloan clients and entertain them on their queries. The counseling would be helpful
toclients in getting penalty rebate, interest subsidy and overall creditworthiness.
Theinternee also specified necessary conditions that the collateral must meet.
5. Internal Loan Culture
 The collateral (real estate) should not fall under high tension area. There shouldbe
roadway of at least 8 feet connecting the land area. The land and building mustbe
free from any legal up hearing. The property holder must regularly pay Landand
Building Tax on the respective department. The land is categorized into threebelts
as per the distance from the road with 1st being the closest to [Link] fair market
value is calculated as 70% of commercial rate + 30% of government rate. The
distress value is 80% of fair market value. The margin is setas per Fair Market
Value
 EMI schedule: Every loan document has the EMI or EQI schedule on [Link]
VERSION III EMI calculation tool is used to schedule the repayment
 Bad loans were mostly seen on LC
 Ten days to cash (TDTC*) after submission of complete required documents

[Link] Service Department

Customer service department involves more dealing with customer than other department.
For any banks customers are valuable assets so RBB tries to give best to its customers.
This department is the sensitive part of a bank as it interacts directly with the customers.

20
People come for various enquiries about bank, its new services and they come from
different background and age groups. Thus it should be efficiently and effectively handled
by the employees of the bank. This department creates an impression of the bank towards
its customers regarding better services and they will come for the services again and again.
4.3.1. Activities Performed in CSD
a. Opening of Accounts
Account Opening is the initial step in deposit collection. Mainly, Customer open account
for depositing money in the bank for their safety and get some return in the form of
interest. It is one of the crucial functions of the commercial banks. Account can be opened
by individuals and organization.
The customer has to fill up forms for opening of account which is different as per the type
of account such as saving, current and fixed account. The customers need to fill forms for
other services like mobile banking, e-banking and ATM at the time of opening account if
they require. It is the responsibility of CSD employee to explain different type of facilities
that the bank provides. While working on this department, the internee got to guide people
in opening accounts and actually opened some accounts by carrying out the whole process
herself. The customers have to submit documents required for opening of account.
1. Saving Account
With the purpose of developing the saving habits among the individuals this scheme is
provided to customers. RBB requires following documents to open various type of
account:
 Completed Account Opening Form.
 Citizenship/Passport/Voter's ID.
 Power of Attorney (If the account operator is other than the applicant).
 Two Recent Passport Size Photographs of Applicant/Account Operator.
 Beneficiary’s Citizenship Copy.
 Bill of electricity/ telephone/ water or anything that proves the residential location.
 Birth Certificate in case of Minor Account.
2. Current Account
Current account is targeted for the firms/institutions or companies. It includes Limited
Liability Company/Social Organization School or Proprietorship/ Partnership Firm.

21
Limited Liability Company/Social Organization/School
Following documents have to be presented in the bank In order to open an account for
Limited Liability Company/Social Organization School:
 Completed Account Opening Form.
 Board Resolution to Open and Operate the Account.
 Certificate of Registration/Incorporation.
 Articles of Association.
 Memorandum of Association.
 Evidence of Identification of Account Operator (Citizenship/Passport/Driving
License/Voter's ID).
 Two Recent Passport Size Photographs of Account Operator(s).
Proprietorship/ Partnership Firm
Following documents have to be presented in the bank In order to open an account for or
Proprietorship/ Partnership Firm:
 Completed Account Opening Form.
 Certificate of Registration/Incorporation.
 Income Tax Certificate (PAN Card).
 Partnership Deed (in case of partnership firm).
 Evidence of Identification of Account Operator (Citizenship/Passport/Driving
License/Voter's ID).
 Two Recent Passport Size Photographs of Account Operator(s).
3. Fixed Account
Fixed account is opened for the fix period of time ranging from few months to certain
years. Following documents are required:
 Completed Account Opening Form.
 Citizenship/Passport/Driving License/Voter's ID.
 Power of Attorney (If the account operator is other than the applicant).
 Two Recent Passport Size Photographs of Applicant/Account Operator.
 Introduction by an Accountholder of RastriyaBanijya Bank.

22
 4. Pension Account
Pension is a fund provided at the time of retirement to the employee. It provides employee
an option to choose either lump sum amount or monthly amount at retirement. Following
documents are required:
 Completed Account Opening Form.
 Original and a Copy of Citizenship.
 3 Passport Size Photographs.
 Original Patta and Photocopy of the Front Page and Other Pages Showing the
Pension Duration.
Procedures of Opening an account
The customers are asked to fill up the account opening form with signature specimen,
KYC and other requirements and heck if all the required documents are present, verify
them with the original ones and attest them once the form has been filled up by the
customer. Then will be followed by following activities:
 The document is verified and approved by CSD in charge and Branch manager.
 Then, the CSD in charge makes entry of the information of the customer in the
computer in software and account number is assigned.
 The customer is requested to fill the deposit voucher to deposit the minimum
balance for opening account except in case of zero balance in the assigned account
number.
 The customers are informed regarding collection of cheque book, ATM and other
services.
 Then, it is the responsibility of CSD in charge to scan the signature card and
approve the signature specimen in the system
 Lastly, the filled up form and documents are maintained in their respective ledger.

b. Closing of account
Customers can close their account due to any kind of their personal reason. But it is the
task of CSD employee to convince the customer not to close the account. As per the
request of the customer, the department closes the existing account in the bank. For this,
customer has to write an application in standard format requesting to close the a/c and
present it to the branch manager. As per the policy of the bank, certain balance is deducted

23
from the customer account as per the type of account and the remaining amount is
refunded to the customer.
The internee assisted the staff on closing accounts except making entry in the software and
her knowledge regarding closing account is explained below.
Requirements for Closing an Account in RBB
 An application in standard format requesting to close the account addressing to
branch manager.
 Original and a copy of citizenship of the account holder.
 Remaining cheque book.
 ATM card issued by the bank.
Procedures of Closing an Account
The account closing requires certain procedures .they are listed below:
 The customer wanting to close the account should write an application in a standard
format addressing the branch manager with request to close the account.
 Then, the branch manager approves closing of the account by signing on the
application.
 The customer is asked to return the remaining cheque book and ATM card issued
by the bank.
 The employee closes the account in the system after changing the minimum
balance requirement to zero.
 The system automatically shows the amount to be refunded after debiting the
charge for closing of account, tax for interest payment and crediting the accrued
interest till date of closing in the previous balance.
 Then, the customer is given a cheque mentioning the total amount to be refunded
and s/he can withdraw the amount.
 The employee posts the cheque number of the written cheque used for refunding
and rest of the cheques of the account are stopped in the system.
 The returned cheques are punched making them void and the Debit card are also
destroyed and blocked.
c. KYC Updating
KYC is the due diligence and bank regulation that financial institution must perform to
identify their customers. There is likelihood of banks becoming vehicles for money

24
laundering, terrorist financing and other unlawful activities. Hence, banks and financial
should put in place on effective procedure of knowing their customer.
As the internee have already mentioned, RBB is the bank which has been in service for
more than 5 decades, their relationship with the customer is very old as well. People have
more trust in RBB than in any other bank as it is fully owned by government. Therefore,
the bank has been able to retain its old customers very well. Previously, KYC was not
there in the system so bank did not have up to date information about their customers. But
it has become three years since the bank has started to update KYC of their existing
customer and is mandatory for the new customers as well.
As an intern, the internee helped some of the customers to fill up KYC forms and updated
their information in the system in their respective accounts under the guidance of RBB
staff. For KYC updating, customers are required to fill up a KYC form with a passport size
photograph and a copy of citizenship. Then, the document is approved by branch manager
and updated in the software by the CSD employee.
d. Customer Counseling
Customer service is about how an organization delivers its products and services. The
efficiency of the customer service department or an organization is the outcome of the
quality of the customer counseling that it provides. The enquiry about their balance in the
account, bank rules, problems of Debit cards, procedures of opening a new account, fund
transfers, charges for different services were the major queries to be answered. Apart from
face to face interaction, the internee has to receive incoming calls and respond to different
queries of the customers and also maintain good communication and coordination with
them. RBB comprises of customers of different age group and mostly old aged people
were the regular customer. Therefore, the interns had to deal quite differently with them
and help filing vouchers etc. Furthermore, regularity and contacts with customer is
essential to flow important messages such as pending documents yet to be provided,
delivery of cheque book and Debit cards.
e. Distributing Activities
Another activities performed in CSD are distribution of Debit Cards, cheque books,
statements and different forms to the customers as they require. These services are
available upon the request of account holder.

25
Other Activities Performed in CSD
An intern had to perform various activities as a part of being in CSD like performing
balance enquiry, assisting customers in writing application and to fill different forms if in
case they are not able to do it themselves. Some other activities performed are:
 Helped old aged customers in filling the new forms, vouchers.
 Posting the transactions of new account opening, charges for cheque book lost
statement of previous transactions etc.
 Keeping the documents in their respective ledger register such as account opened,
cheque slips, KYC update, ATM request form etc.
[Link] Department
In this department customers bring cheques of different bank and those cheques are
processed in order to deposit the amount to customers account in different other branches
or the same branch. The clearing department is responsible for the clearing of all cheques
that the bank receives daily.
4.4.1. Activities Performed in Clearance Department
The procedures used by Suryabinayak branch for clearing cheques are as follows:
 RBB receives cheques along with the voucher for the same branch and ABBS.
 The customer must sign and write contact number behind the cheque.
 The employee affixes RBB stamp, signs in the voucher and returns a copy of
voucher to the customer.
 An OBC serial number is created from the system on the branch code and written
in the respective cheques and vouchers.
 The details of the cheque such as account number, name of account holder, amount
to be deposited, name & code of the bank drawing cheque and name of person
drawing cheque is posted and approved in the system.
 An OBC letter is printed, which shows the cheque numbers, the branch drawn on
and amount.
 On the basis of the advice, the amounts of realized cheques are posted to the
respective account by employee at the branch.
 If the cheques are not realized then the customers are informed to collect their
cheques along with the reason for cheque being dishonored. They are also asked to
pay charge of Rs 100.

26
 Other Activities Performed in Clearance Department
As an intern there were not much of the activities to be performed, but here are the list of
some crucial activities that has to be handled by an intern. They are listed below:
 Receiving cheques and posting the cheques detail in the system.
 Printing OBC letter.
 Posting the transaction to the respective account after they are cleared.
 Making phone calls to the customers if the details in voucher are incomplete or
mistaken.
[Link] Faced and Solved
In course of conducting day to day activities conducted in the bank, we encountered
several problems like heavy traffic in the bank, customer dissatisfaction caused due to
change in the rules leading into the disputes between the bank and the staffs and many
more. Some problems faced as an internee are as follows along with their solution.
Table 4.2: Problem and Solution

Problem Solution
Not being able to provide the required services to Asked the customers to wait for a while and
the customer due to system failure or heavy inform administration about system failure and if
traffic. case of crowd serves on first come first serve
basis.
Customers’ reaction regarding change in bank rules Speak politely and make them understand about the
and service charge. rules and service charge.
Difficulty in finding the required forms, official letter Arranged those forms, vouchers, files of credit
pad, reference book, vouchers and other office items department and other required documents in a proper
and important files in credit department. place in a proper manner.
Not being able to handle the queries of customers due Asked the employees of the bank about the rules and
to less knowledge about bank rules and procedures other information without hampering their work.
Then, handing the queries of customers became easy
day by day.

27
 CHAPTER V
CONCLUSION AND LESSONS LEARNT
[Link]
This internship program has been very beneficial for me as my educational qualification is
backed by some experience at the real work place. Internship program not only provides an
opportunity to get exposure of real working environment, but also helps to develop
interpersonal skills and gain knowledge on different aspects of finance, accounting and
other topics in an official setting. The program is based on applying theoretical knowledge
in practical field and learning things that cannot be taught in class rooms.
The internee completed my internship tenure of 8 weeks at RBB, Suryabinakbranch. RBB
is one of the active banks in milestone of Nepalese banking history. It has extended its area
of coverage and the type of services to provide along with change in time and demand of
people. It offers wide range of services and people have more trust on this bank than any
other commercial bank as it is fully government owned. RBB Suryabinayakbranch
comprises of five departments and they are Cash teller, Customer Service, Credit/Loan,
Remittance, Administration and Clearance Department. The internee had the opportunity
to work in three departments and they are CSD, Credit and Clearance department.
During internship, the internee was able to understand corporate work culture, environment
through managerial perspective. The internee was also able to cooperate and comprehend
the true concept of working with the people in a team. The internee also came to
understand where she really stands in terms of my knowledge, analytical skills,
communication skills and ability. The internee deliberately learned the majority of
operation of customer service, credit and clearance department including managing
customer’s information system. At first, the internee was quite nervous while performing
the tasks but as days passed the confidence level grew up and it was possible due to
friendly and helpful nature of the RBB [Link] internship added sense of responsibility in
me while performing any task.
The internship program set by Tribhuvan University and the co-operation of RBB has
contributed a lot in my understanding of overall banking functions and its impact on
people from various [Link] was a great experience being an intern in RBB. All in all
internship programs has helped students in many ways and in some respect is preparing
them for the industry.

28
[Link] Learnt
The internship program has been very helpful to the students to learn lessons outside of the
classrooms. The lessons learnt in classrooms are different from the learning in practical
scenario. In classroom, the knowledge is limited in syllabus and books but the knowledge
in practical field is very vast and broad. Therefore, the lessons learnt by the internee during
the internship period are summarized below:
 Internee has learned working under pressure and handling the work at rush hour
along with handling complaints and attempting to resolve them as per the
guidelines established by bank.
 Internee learnt the general banking transaction procedure of different department
such as CSD, and Clearance along with products and services of RBB.
 Developed inter-personal communication skills and interaction ability.
 Internee has learned to use supportive devices like scanner, printer, MICR cheque
printer, statement printer, etc.
 Internee has learned the procedures of record keeping, posting for different type of
transactions in the PUMORI plus software of the bank.
 Internee has learned the importance of discipline, punctuality and regularity which
would be an asset of every staffs.
 Internee has learned the procedures of delivering loan to the customers and to
prepare the required documents for approval of loan.
 Internee has learned to perform balance enquiry and statement printing.

29
 BIBLIOGRAPHY
Books
Saunders, A., & Cornett, M. M. (2007). Financial instutions and markets (3rd ed.). New
Delhi: Tata McGraw-Hill.

Thapa, K., Acharya, R., Kandel, M., & Pathak, D. D. (2017). Financial institutions and
markets. Kathmandu: Khanal Publication Pvt. Ltd.

Gautam, R. R., Pokhrel, J., Kandel, R. P., &Sigdel, S. (2011). Foundations of financial
institutions &markets. Kathmandu: Ayam Publication Pvt. Ltd.

Shrestha, M. K., & Bhandari, D. B. (2007). Financial Markets and

[Link]: Asmita Publication.

Pant, P. R. (2016). Social science research and thesis writing (6th ed.). Kathmandu:
Buddha Publications.

Nepal Rastra Bank. Annual Bank Supervision Report [Link] and Financial Institutions
Regulation Department. Kathmandu: Nepal Rastra Bank.

Paneru, Rajesh (2016)..Loan and Credit Department of RastriyaBanijya Bank Limited

Kathmandu: an unpublished intern report submitted to FoM, T.U.

Nepal Rastra Bank. Monetary Policy (2016/17). Kathmandu: Nepal Rastra Bank.

Nepal Rastra Bank. (2018). Monthly Statistics. Kathmandu: Nepal Rastra Bank.

Rastriya Banijya Bank Limited. (2017). Annual report. Kathmandu: Rastriya Banijya
Bank Limited.

Reeves. C. (2015, July 26). Historyof Banking. Retrieved From:

[Link]

Resa. (2011, April 6). History of Banking in Nepal. Retrieved From:

[Link]
[Link]?m=1

Websites
[Link]
[Link]

30
 APENDIX
Appendix 1: Organizational Structure of RBB

Appendix 2: BASEL III

31
Appendix 3: Credit Score Table
Heads Weight Score Result
Collateral value to total value ratio 0.1
Sale ability of collateral 0.1
Net worth to loan ratio 0.1
EMI coverage ratio 0.2
Nature of income 0.1
Distance from the bank 0.05
Loan repayment history 0.05
Banking transaction history 0.05
Credit committee recommendation 0.15
Total 1
Appendix 4: Financial Statement for Third Quarter
Appendix 5: Rates of Interest from Jestha 1, 2075