WELCOME TO MY PRESENTATION

TOPIC

A study of the foreign exchange operation of FSIBL

Profile of FSIBL
The First Security Bank is national banking group that is incorporated on the 29th August, 1999 as a consequence of relentless and decided efforts of a group of entrepreneurs having excellence of experience exposure in the different fields of industry, trade and commerce of the country. It started operation as a commercial bank on the 25th October 1999 with a branch at Dilkusha C/A.. At present the bank has 97 branches spread over the country. It renders all types of commercial banking services to the customers of all strata in the society within the stipulations laid down the bank company act 1991 and rules and regulations formed by Bangladesh Bank from time to time. Diversification of products and services and innovation of products suited to the needs of the customers in keeping with relevant rules and laws have made it different from other commercial banks of the country.

Vision
To be the unique modern Islamic Bank in Bangladesh and to make significant contribution to the national economy and enhance customers trust and wealth, quality investment, employees value and rapid growth in shareholders equity.

Mission
To be the most caring and customer friendly and service oriented bank. To create a technology based most efficient banking environment for its customers.

To ensure ethics and transparency in all levels.

To ensure sustainable growth and establish full value of the honorable shareholders and Above all, to add effective contribution to the national economy.

Data collection
Primary Data: Data has been collected primarily through correspondence with the personnel working in different desks. Secondary data: Secondary sources consist of several reading materials such as circulars, journals, brochures, and annual reports.

Foreign Exchange Business

Over the years, foreign trade operations of bank played a pivotal role in the overall business development of the bank. The bank established relationship with many as 110 new foreign correspondents abroad thereby raising the total number of correspondents to 350. The Banks foreign exchange business relating to import into Bangladesh increased by 8.29% to tk. 7153 million at the end of December 2006from tk. 6605.40 million a year ago. The total export business handled by the bank during the year was Tk. 2960.80 million during 2006. The bank has also entered into remittance arrangements with several banks and exchange houses and experts to handle increased volume of remittance business over the near future.

 Import:
The Banks foreign exchange business relating to import was Tk. 16101.17 million at the end of December 2009 against tk.9287 million a year ago. Increase up by 73.37%. Customer mainly focuses on Textile Accessories for Importing.

Exports:
The Banks foreign exchange business relating to export was Tk. 3549.00 million during 2009 against Tk. 4145.00 million during 2008 which is less by 14.37%

Fundamentals of Foreign exchange

There are 3 fundamental aspects of the general mechanism of foreign exchange Every country has its own currency legal tender distinctive unit of account. The conversion of one currency into another is effected by banks by book keeping entry carried out in the two centers concerned. There exchanges are affected by means of credit instruments like Draft, Mail transfer, Telegraphic Transfer etc

Foreign Exchange Regulations

Local regulations.

International Regulations.

Foreign Exchange Departments (FED)

Foreign exchange department deals with foreign currency. This department is also called international Division. This is needed by a senior executive of the bank having deep knowledge of the rules and regulations of foreign exchange business in particular and banking in general and a high level of awareness of the happenings in the international economic and political fields.

Major jobs of FED

The major jobs of this department areLetter of credit (for export and import). Dollar/ Travelers checks Endorsement. Foreign Remittance. Foreign currency account.

Types of remittance
1) Outward remittance.

2) Inward remittance.

SWOT analysis of FSIBL

Strength. Weakness. Opportunities. Threats.

Findings regarding foreign exchange

The officers of the bank are very helpful to the business man. Some of their clients do not know exactly the procedure of banking like opening L/C, opening A/C etc. The officers of FSBL help them to executer their business.

Conclusion