CHAPTER I

ORGANIZATION PROFILE
1.1 Introduction of Fewa Bikas Bank Limited
Fewa Bikas Bank Limited (FBBL) is a National Level Development Bank formed in
2072 B.S. After the successful merger of former Bishow Bikas Bank Limited and
Fewa Finance Limited, a new National Level financially stronger B class bank was
formed with name Fewa Bikas Bank Limited. It has been registered under Company
Act 2063(B.S.) as a limited company with a mandate to operate as a Development
Bank within the framework of Bank & Financial Institution Act 2063. The head and
corporate office of the bank is situated at Chipledhunga, Pokhara, Kaski, Nepal. It is
established with the aim of collecting idle sources of funds and lending it to
productive sector by providing employment opportunity for overall economic
development of the country through effortless reliable and quality banking services.
Groups of successful entrepreneurs and professionals such as industrialists,
academicians, businessmen, ex-servicemen, bankers, etc, are the promoters of FBBL.
Fewa Bikas Bank has 28 branches operating its services throughout the Central,
Western and Eastern region of the country. In the midst of cutthroat competition
FBBL provides top notch services whether it comes to financial needs or different
product or services. It has total authorized capital of Rs. 1 Arab, issued capital Rs.
81.62 crores and paid up capital Rs. 81.20 crores. FBBL through its operation acts as
a mediator between surplus units and deficit units to provide flow of funds that
generates profits for self existence. Thus, it promotes the flow of money from those
who have surplus to those who need.
1.2 Vision, Mission and Objectives of Fewa Bikas Bank
Vision
To established by proving prompt, easy banking services.
Mission
To provide related people as in text of time, the prompt, easy, quality, security and
reliable bank as their own bank.

Objectives
Providing quality or reliable financial services to general people.
To develop in industrial trade and agriculture sector.
To eradicate poverty by mobilizing skilled labour and capital.
To create productive and employment business.
To help in strengthen well improve of nations economic.
To provide easy and finance services by corporate investment.
1.3 Major Markets and Customers
Fewa Bikas Bank has 28 branches spreading over 13 districts of Central, Western and
Eastern development region of the country. It has 7 branches in Kaski district
including the head office. The major market of FBBL is Western Development
Region. All the people who have financial needs are the target customers of FBBL.
The major focus of FBBL is urban areas of Nepal. It has designed its product and
services from minors to Old age people for providing its services. It has offers all
banking services from its existing branches. Its aim is to extent its market coverage by
adding new branches in new market.
FBBL has both corporate and individual as their customers. An individual can operate
both single as well as joint account. Customers are facilitating to operate saving
account for minor below age 16 years by their parents through Bal Balika Bachat
Khata. Elderly people are also focused through different saving head for account
operation such as Jestha Nagarik Bachat Khata. An organization can also operate
different account under heading call account, saving account and current account.
Individual linked with organization are the key operator of the account.
1.4 Products and Services
Fewa Bikas Bank is established with the aims of mobilizing idle resources in
productive areas after collecting from different scattered sources. It has offered
different types of banking products and services to the people to fulfill their financial
needs. The different types of products and services are Deposit, Loan and Advances,
Locker Service, ABBS Service, SMS banking, ATM Service and Bank Guarantee.
They are explained below in detail:
1.4.1 Deposit
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Deposit is the collection/saving of funds from consumers. FBBL facilitate deposit of

funds from any branches of FBBL for immediate credit to account as per banks rules
and regulations. It offers four types of deposit services. They are
i.

Current Account
Current account is used for operating loan and advance payment of transactions. It
doesnt provide interest to the consumers. The amount deposit in current account is
used for reimbursement of loan schedules payment and exceeding amount can be
withdraw as per requirement of the customers. Current account can be opened in the
name of individual (single or joint) and corporate house or business or organization.

ii.

Saving Accounts
Saving accounts are suitable for inculcating the habit of saving among customers.
FBBL offers liquidity for money and also earns interest. The interest is calculated on
daily basis but interests are posted on quarterly basis. It provides free cheque book
and ATM card facility (with service charge for card) for maintaining saving
accounts. Saving accounts can be opened both in local and foreign currencies. Saving
account can be opened in the name of individual (single or joint), minors (Children
below 16 years) and corporate house or business or not for organization. The types of
saving account facilities and the interest rates are given below:

Table 1.1 Saving Deposits Interest Rates

(Source: www.fewabank.com.np)
iii.

Fixed Deposit
Fixed deposit refers to a saving account or certificate of deposit that pays a fixed
interest rate until the given maturity period. The amount deposit under fixed deposit
cannot be withdraw prior to the maturity or if it is withdraw then interest is charged
against customers as penalty for access. For fixed deposit a customer must open
fixed deposit account apart from normal saving account. The interest rates vary with
maturity of the deposit amount. The details of interest rates are given below for fixed
deposit:

Table 1.2 Fixed Deposits Interest Rates

(Source: www.fewabank.com.np)
iv.

Call Account
Call account refers to saving account that can be called any time. The amount can be
deposited and withdrawn at calls. There is no provision of interest on this type of
deposits.

1.4.2 Loan Schemes

Fewa Bikas Bank Limited provides various loans and advance facility to the
customers. It is designed to provide fund credit services to entrepreneurs,
businessmen, industrialists and individuals. There are overdraft, term, easy, housing,
personal, hire purchase, auto, education, agriculture, foreign employee, gold, SME,
real estate, deprived sector, loan against FDR and loan against share as different types
of loan offered by FBBL. For loan schemes, customers need income details and
collateral for security purposes as per the types and nature of the loan. The details of
interest rates under different heading of loans are given below:

Table 1.3 Loan Interest Rates

(Source: www.fewabank.com.np)
1.4.3 Locker Service
Fewa Bikas Bank Limited provides locker facility to individual and institutional
customers who prefer to safe deposit valuable ornaments as well as important
documents to evade the probability of theft, burglary and fire. The Locker has been
safest custody of the valuable goods with flexibility of time to store and take away
when required. The cost details for locker services are given below
Security Deposit: Rs. 10000.00 (refundable)
Locker Size

Annual Cost (Rs.)

Small

2000.00

Medium

2500.00

Large

3000.00
Table 1.4 Annual Cost detail of locker service
(Source: www.fewabank.com.np)
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Notes:

Depositors above Rs. 10 lakhs will get 50% discount on annual locker fee with
no security deposit.

Structured Saving Depositors will also get 25% discount on annual locker fee
with no security deposit.

1.4.4 ABBS Service

All the branches of Fewa Bikas Bank Limited are interconnected and are capable to
provide online, real-time transactions to its customers. Customers can make deposits
and withdraw from any branches of FBBL by issuing cheques.
1.4.5 SMS Banking
SMS banking is the modern service of Fewa Bikas Bank Limited. It provides
information and notification about transactions with FBBL of the customers through
messaging to their mobile phone. It allows customers to access their account
information at their convenience simply through mobile phone. Customers can get
information about their account by sending message to 5152. The service is currently
available for NTC users only and notification about transaction is given only for
transaction above Rs. 25000. Customers are charged for this services and need to
activate service by filling form from the account holding branch.
1.4.6 ATM Service
ATM card is the alternative to withdraw cash from teller machine. FBBL provides
ATM debit card that can be used at any SCT network ATMs to withdraw cash and
also for payment at POS terminals in shopping more convenient. With ATM cards
customers can access their account 24 hours a day and enjoy greater convenience to
facilitate banking and financial needs. There are 13 ATM Terminals of FBBL located
over Nepal. A customer can withdraw minimum amount of Rs. 500 to maximum of
Rs.16000 per transaction. Also, a customer is allow to withdraw maximum amount of
Rs. 50000 per day and 20 times of transaction per day.
1.4.7 Bank Guarantee
A bank Guarantee allow customers to offer customers, supplier and third parties a
guarantee of payment to secure or leasing agreements without tying up working
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capital or affecting your other business activities. FBBL provides bank guarantee
service to its valued customers.
1.5 Organization Design and Structure
Organization Design and Structure refers to the hierarchy and the framework around
which the group is organized, the underpinnings which keep the coalition functioning.
Its the operation manual of how the people within organization are put together for
work. It provides the detail of structure and describes the authority, responsibility,
duties and power of members along with leadership and decisions. Fewa Bikas Bank
Limited has its own organization design & structure with Board of members at top of
the hierarchy to other staffs at the bottom of hierarchy along with their specified
responsibility, authority and duties. The detail of FBBL organization is given below

Board of Directors (7)

Chief Executive Officer

(1)

Regional
Director(3)

Chief Loan
Officer (1)

Chief
Account
Officer(1)

HR Manager
(1)

Loan Officer

Information
Technology
Officer

Accountant
officer

Operation
Officer

Asst.
Manager (3)

Microfinance
Dept Officer

Branch Manager (28)

Front Office

Customer
Service
Dept.

Back Office

Teller

Remittance

Dept.

Dept.

Credit
Dept.

System
Dept.

Fig1: Organization Structure of FBBL

1.6 Financial Structure
The major financial structures of Fewa Bikas Bank Limited are describe below:
Capital Structure of FBBL
Share Capital

Amount

Authorized Capital

Rs. 100,000,000

Issued Capital

Rs. 816,215,400

Paid up Capital

Rs. 816,215,400

Table 1.5 Share Capital details

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Deposit Structure of FBBL

Deposit Structure
Current Deposit
1%

Call Deposite
22%
Saving Depsoit
40%
Fixed Deposit
37%

Fig 2: Deposit Structure of FBBL

Loan Structure of FBBL

Loan Structure

Real Estate
8%

Other Loan
33%

Personal Home
Loan
19%
Deprived Loan
3%

Hire Purchase
13%

Overdraft loan
20%

Fig 3:Loan Structure of FBBL

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Agriculture
Loan
Term
1%
Loan
3%

Income Structure of FBBL

Income Structure
Other Incomes
Commission
& Discount 7%
1%

Interest Income
92%

Fig 4: Income Structure of FBBL

Expense Structure of FBBL

Expense Structure
Other
Operating
Expenses
13%
Employee
Expenses
12%

Interest
Expenses
75%

Fig 5: Expense Structure of FBBL

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Total Deposit & Loan Structure for last five years

937

1000
900
800
700
600
500
400
300
200
100
0

811

379
311
177 157
0

227

265

317

192

Year

2067/68

2068/69

Total Deposite (in crores)

2069/70

2070/71

2071/72

Total Loan (in crores)

Fig 6: Total Deposit& Loan Structure of FBBL

Operating Profit for last five years

Operating Profit
3500

Operating
Profit, 3300

Amount in Lakh

3000
2500
2000
1500
1000
500
0
Year

2067/68

2068/69

6069/70

2070/71

2071/72

Fig 7: Operating Profit of FBBL

1.7 Organization Performance
Fewa Bikas Bank Limited has been recently formed after successful merger of
Bishwo Bikas Bank and Fewa Finance Limited. It is on starting phase of being class
B national level development bank. But their past history shows that they have good
financial position as well as market share in Western Development region. After
mergering, the share capital has increased by 21.90%, and increase in net profit by
26.62%. the earning per share was increased to 21.87 per share. It provides all the
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banking services provided by other development banks of Nepal. It has operated

special Gold/Silver loan department to facilitate customer with service of loan against
gold and silver. It has introduced SMS banking, locker service, bank guarantee,
ABBS and ATM service beside the core banking services.
FBBL is bridging the flow of funds from surplus unit to deficit unit for investment in
different sectors of business, tourism, hydropower, real estates, agriculture, industries,
etc. It is creating its own core value of banking among the customers through its
services. The overall performance of FBBL is being good after merger as their market
coverage has increased with increased branch number and facility. Therefore,
although it is in starting phase of banking as Class B bank, they have proved
themselves as best banking service provider while operating individually.

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CHAPTER II
JOB PROFILE AND ACTIVITIES PERFORMED
2.1 Activities Performed in the Organization
Fewa Bikas Bank Ltd provides its banking services through operating from various
departments such as Customer Service Department (CSD), Teller Department, Credit
Department, Gold & Loan Department and Remittance Department. All these
departments perform their services in coordination and as a whole contribute overall
performance of the bank.
During my internship period, I was posted in Customer Service and Remittance
Department. So, I worked within these two departments from the front desk. In
Dulegaunda branch of Fewa Bikas Bank Ltd, the front desk provides the services of
both CSD and Remittance Department. My internship period was passed in learning
skills and activities to be performed in these departments. The details of activities
performed in each department are given below:
2.1.1 Customer Service Department
CSD is the service desk where customers get contact to get general information about
product & services of bank, their accounts and others. It is the point to provide help to
customers through different activities. It provide the services of account
opening/closing, ATM service operation, SMS service operation, account
maintenance and information about interest rates on different account headings. It
further provides the services of filling up deposit voucher, issuing and filling up
cheques, provide the statement of customer transactions and fixed deposit services.
The following activities are performed within this department:
Opening and maintaining record of new accounts
Providing information about account product and services of the bank
Issuing a Cheque book to customers
Making approval of Cheque from Managers desk
Providing information regarding interest rates
Filling up deposit vouchers and cheques of customers
Providing information about the account balance

 Processing for ATM service operation to existing and new customers

Processing for SMS service operation to existing and new customers
Issuing ATM cards and processing for ATM renewal
Providing account statement of banking transactions
Keeping record of Opening/closing of account, Cheque issuances, ATM issuances
and Statement issuances in respective
Handling telephone calls and enquiries of customers
Solving problems related to accounts, ATM and Cheques
Closing of accounts
2.1.2 Remittance Department
This department is responsible for payment processing of received remit and transfer
processing of sending money within and outside the country. This department
provides the services of transferring and receiving funds through web remit such as
IME, Prabhu Money Transfer, Reliable Remit, Western Union, City Express, Himal
Remit, Nabil Remit, Prithivi Express, Money Gram and more.
The activities performed in this department are given below:
Preparing schedules and journals for outward remittance
Checking the secret keys brought by customers for remitted money
Collecting and verifying required information of the customer through
citizenship/License/Passport
Processing the payment/transfering through web form filling
Printing the processed data and verifying it for payment/collection of amount from
Teller department
Keeping record of remitted transactions on registers
Filing of remitted and customer documents
After working in the front desk for CSD and Remittance department, I have
experienced the real banking activities which build up confidence in dealing and
handling customers that has developed good interpersonal skill, patience, emotion
handling and relationship with customers. The basic learning after working in front
desk are:
Filling up the form of new bank account
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 Making new account entry in the system

Printing Cheques and Statements of banking transactions
Account enquiry in the system
Process of remitting money through web
Filling up the forms in web for remittance
2.2 Problems Solved
During my intern at Fewa Bikas Bank Limited, I was posted to Customer Service
Department and Remittance Department that provide service through front desk.
Customer service department has key role of handling customers and their problems.
Customers comes with problem of account related problem such as cheque writing
mistakes, ATM card lost, ATM pin lost/forget, Dormant account, cheque lost, wrong
secret pin number of remittance, ATM transaction error and other transaction related
problems. Customer Service department is responsible to handle these problems.
Being intern I was supposed to assist CSD officer to solve these problems. I was
supposed to write new cheques, correcting the mistakes on cheques, making signature
of customers and giving instruction of handling cheques. For ATM related problem, I
was supposed to fill up forms for new ATM card, new pin number and helping
customers to change pin number of customers through ATM Machine. For remittance
related problems, helping customer to take and give correct secret number from
remitter. I was supposed to fill up form for dormant account and make customer
verification. I was supposed to help CSD officer to reduce burden and solve customer
problems for delivery of quality service to the customers
2.3 Interns Key Observation
My internship period was a key opportunity to learn and observe all the banking
activities. It was an opportunity to observe how we need to dealt with people to satisfy
their need with our services. The important observation was related to behavior
required to behave with customers through sincerity in work, respect to other,
working under organization policy and remain in discipline for ethical corporate
behaviour. Some of the key observations are:
Role of different department in overall organization performance.
Employee behavior and customer response and reaction towards employee action.
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 Customer handling as service encounter affects the perception toward bank and
fulfilling their financial needs with proper financial services.
Customer satisfaction and loyalty toward banking services.
Employee motivation and their commitment toward achieving organization goals.
Key factors of organization success like employee behaviour, customer
satisfaction, delivering quality services, etc.
Understanding the difference between the class room theoretical learning and the
real working experiences.

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CHAPTER III
LESSONS LEARNT AND FEEDBACK
3.1 Key Skills and Attitudes Learnt
My internship of eight weeks period was really a good opportunity to learn a lot of
skills. It has provided the difference of theoretical knowledge and the real life
working environment. I was able to materialize my theoretical knowledge in the real
working environment. It has provided me different experiences of working in real
environment and opportunity of learning different skills. The experiences of working
in a team help me to understand how an organization can be handled by corporation
and coordination of the team members. I understand the essential to be peace, hard
working, patience, cool, innovative and adaptability are for successful handling of
customers and their problems. I also understand the importance of technical skills,
interpersonal skills, communication skill, logical skill and diagnostic skill in
performing jobs and interacting with customers. The key skills and attitudes that I
learned during my intern are:
Interpersonal and Communication Skills:
To work inside an organization, interpersonal and communication skill is must,
employee need to communicate with each other and with customers for delivery
of services and complete the tasks. So, during my internship I was able to learn
such skill about how to communicate with customers and coworkers.
Technical Skills:
I have learned how to use the system software of FBBL i.e. Pumori IV. The
process of preparing cheque preparing stacks of transaction and recording files.
To work in a team in order to accomplish task through coordination and
cooperation.
Coordination and cooperation between departments for better organization
performance.
Customer satisfaction and retention through delivery of quality services is
essential for organization success.
Employee performance, patience, behavior and their motivation factors affect
overall organization performance.
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3.2 Feedback to the Organization

Based on my working experience in FBBL and its financial activities, I would like to
provide the following feedback:
There is intense competition for providing similar service in banking sectors of
Nepal, FBBL should make much more effort to bring new ideas, schemes, plans,
latest technology, skilled personnel and excellent management team.
FBBL should focus on service encounter and customer expectation from bank and
employees as service encounter that moment of truth that determine customer
level of satisfaction to the employee reaction and behaviors towards customers.
FBBL should adapt latest technology for delivery of fast and reliable quality
services to its customers. The current technology and software are outdated and
should use proper security software for the customer databases.
FBBL should add more facilities to its existing services like online banking
transactions, sms banking should be extended through more telecommunication
network.
FBBL should focus on proper promotion of the bank through advertising
campaign, publicity and public relation.
FBBL should focus on Corporate Social Responsibility activities.
FBBl should focus on employee development program and motivation programs.
FBBL should increase its market coverage through adding new branches to new
market.
3.3 Feedback to the College/University
I would like to provide following feedback to the college.
The college needs to supervise the student during the internship period by
visiting the organization.
College should make association with organizations that allow students for
internship and provide opportunity to gain real working experiences.
Student should be provided proper guidance and instruction for internship
program relating to types of organization to choose.
The college should provide flexible schedule for students to go for internship
program.
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