Foreign Remittance Practices

Abstract

As a part of my BBA program, I have gone through 51 days internship period in Jananta bank Limited- Gonoshasthaya Kendra Branch, Savar, Dhaka - department of Foreign Exchange. The hole working process of Corporate Branch, Janata Bank Ltd. is divided into 3 sections- (i) General Banking section, (ii) Credit/Investment Section, (iii) Foreign Exchange Section. This report has been presented based on observation from foreign exchange section, which is consisted of various functions. Foremost, I have tried to make acquainted with the bank and branch in this report. Therefore, I selected Foreign Remittance as the topic of my internship report. It is mainly a descriptive report and for this I have collected some primary data (observation and questionnaires) as well as some secondary data (annual reports, Bangladesh Bank guidelines etc). I have also searched relevant websites to collect the data needed for the report. Foreign Remittance division assumes critical jobs through giving distinctive administrations to the clients. It is the key player in the outside trade business. With the globalization of economies, universal exchange has turned out to be very focused. Convenient installment for fares and faster conveyance of products is, in this manner, a pre-imperative for effective universal exchange tasks. To guarantee this reason Janata Bank Ltd. transmits L/C through SWIFT (Society for Worldwide Inter bank Financial Telecommunication) to the prompting bank. Janata Bank Limited is giving distinctive sorts of L/C administrations like L/C opening, lodgment, BLC (charges under letter of credit), Back to back LC and so forth. Outside trade office additionally give remote settlement like Travelers Cheque, remote interest draft, support of US$ in international ID and so on. This report mainly comprises of eight chapters. The first chapter represents the objectives, methodology and limitations of the study. The second chapter represents the project profile of the bank. The third chapter represents the introductory materials related to the report topic including literature review, definition and types of Foreign Remittance, Documentary Letter of Credit, operational mechanism of Letter of Credit and mechanism of Export – Import. The fourth, fifth, and sixth chapter represents the functions of the Foreign Remittance department of the bank. And the final chapter includes SWOT analysis, findings, recommendations and conclusion for the bank. Janata Bank Ltd, being one of the largest State Owned commercial bank of the country, has some prejudice to finance directly on priority basis to agriculture, SME, industry and commerce sector for strengthening the economic base of the country. Hence, it is very clear that, Janata Bank Ltd. plays an important role to move the economic wheel of the country