Organizational Behavior

Internship Report on City Bank Limited

Internship Report on City Bank Limited

About City Bank:
City Bank is one of the oldest private Commercial Banks operating in Bangladesh. It is a top bank among the oldest five Commercial Banks in the country which started their operations in 1983. The Bank started its journey on 27th March 1983 through opening its first branch at B. B. Avenue Branch in the capital, Dhaka city. It was the visionary entrepreneurship of around 13 local businessmen who braved the immense uncertainties and risks with courage and zeal that made the establishment & forward march of the bank possible. Those sponsor directors commenced the journey with only Taka 3.4 crore worth of Capital, which now is a respectable Taka 330.77 crore as capital & reserve.
City Bank is among the very few local banks which do not follow the traditional, decentralized, geographically managed, branch based business or profit model. Instead the bank manages its business and operation vertically from the head office through 4 distinct business divisions namely

1. Corporate & Investment Banking;
2. Retail Banking (including Cards);
3. SME Banking; &
4. Treasury & Market Risks.

Under a real-time online banking platform, these 4 business divisions are supported at the back by a robust service delivery or operations setup and also a smart IT Backbone. Such centralized business segment based business & operating model ensure specialized treatment and services to the bank’s different customer segments.
The bank currently has 83 online branches spread across the length & breadth of the country that include a full fledged Islami Banking branch. Besides these traditional delivery points, the bank is also very active in the alternative delivery area. It currently has 25 ATMs of its own; and ATM sharing arrangement with a partner bank that has 225 ATMs in place; SMS Banking; Interest Banking and so on. Soon its Customer Call Center is going to start operation. The bank has a plan to end the current year with 50 own ATMs.
City Bank is the first bank in Bangladesh to have issued Dual Currency Credit Card. The bank is a principal member of VISA international and it issues both Local Currency (Taka) & Foreign Currency (US Dollar) card limits in a single plastic. VISA Debit Card is another popular product which the bank is pushing hard in order to ease out the queues at the branch created by its astounding base of some 400,000 retail customers. The launch of VISA Prepaid Card for the travel sector is currently underway.
City Bank prides itself in offering a very personalized and friendly customer service. It has in place a customized service excellence model called GAP (Graceful-Appropriate-Pleasing) that focuses on ensuring happy customers through setting benchmarks for the bank’s employees’ attitude, behavior, readiness level, accuracy and timelines of service quality.
City Bank is one of the largest corporate banks in the country with a current business model that heavily encourages and supports the growth of the bank in Retail and SME Banking. The bank is very much on its way to opening many independent SME centers across the country within a short time. The bank is also very active in the workers’ foreign remittance business. It has strong tie-ups with major exchange companies in the Middle East, Europe, Far East & USA, from where thousands of individual remittances come to the country every month for disbursements through the bank’s large network of 83 online branches.
The current senior management leaders of the bank consist of mostly people form the multinational banks with superior management skills and knowledge in their respective “specialized” areas. The bank this year, is celebrating its 25th year of journey with the clear ambition of becoming the no.1 private commercial bank in the country in 3 years time. The newly launched logo and the pay-off line of the bank are just one initial step towards reaching that point.

Welcome to the newly launched website of City Bank –

In celebration of the Silver Jubilee of the bank, which started its operation a long 25 years ago as the first private commercial bank in the country, we have just launched our new band identity, our new corporate logo and our new company pay-off line “Making sense of money”. The pay-off line and the logo aim at capturing the essence of the transformation the bank is currently undertaking, which is to change the positioning from a traditionally run, large wholesale bank to a modern, progressive, techno-savvy institution that appreciates the changing global economic climate and the demands of the 21st century.
The change is taking place at every corner of City Bank starting from the skill set development of its employees to the operating and business model of the bank. Our primary aim is to cease to be a more commercial bank and to begin operating as a “financial supermarket” instead. We want all our customer groups – Corporate, Retail, SME & Institutional Clientele alike – to feel that their desired financial needs and aspirations are met with a broad smile by way of making available to them all sorts of products and services nicely packaged and ready for sale at the shelves of the bank’s shop-floors.
At City Bank, we are even mindful that our performance and reputation stem from our devotion and determination to achieve service excellence in all of our activities. From our retail sales teams to our SME or Corporate Relationship Managers – we strive for the highest possible levels of satisfaction for our three sets of stakeholders namely our shareholders, customers and employees.
The launch of this new website of the bank is only a basic first step to present ourselves to you as a bank that not only creates customers and enhances its business bottom-lines but also generates transactional values for you. As our valued customers and business partners, we want you to perceive us as a friend in need, as some entity that creates and distributes happiness to the millions of business houses and family households in the country.
We have a serious commitment to stand by your side always. This new website, I hope, will usher in that bonding between us and you – a bonding for which our skilled employees are ready to take the hardest of steps imaginable.
Enjoy our new website. Enjoy banking with City Bank. And enjoy the over friendly company that we offer with an open heart full of warmth and good intention.
Please do let us know how we can possibly further improve this site.

Retail Banking:

One of the most remarkable success stories of last 50 years’ banking industry globally has been the conceptualization and innovative execution of banking with individual customers, their friends & families. The industry has termed it as Retail Banking or Personal Banking or Consumer Banking; and it has now – at a very rapid pace – become the major revenue line for most of the top banks in the world.

City Bank, too, recently has started its journey in Retail Banking.

“City Retail – add a little city to your life” is the new brand-mantra, the pay-off line for City Retail.

Our aim is clear. We want City Bank to become the most preferred bank to all individual clientele of the country, at least of the cities and towns where we operate. We want to provide our customers the best-in-class services, innovative products and financial solutions from smart outlets – all with a big smile that conveys and generates happiness all the way !

Corporate Banking

City Bank is a major player in Bangladesh wholesale banking industry to offer the full scope of innovative, customized solutions and services. We offer service at the highest level. Our focus is not on short-term profit, but on building long-term relationships and standing by our clients whenever they need us.
We have a unique business focus on enabling project financing, trade, investment and supply chain financing for clients. We aim to be a one-stop gateway for corporate and financial institutions looking to extend their business. And we are committed to using our country wide network to facilitate our clients’ growing trade and investment flows and supply chain financing needs across our business footprint.
We focus exclusively on corporate and institutional clients domiciled or conducting business in our footprint, offering clients access to our extensive branch network and award-winning suite of state of the art services.
City Bank fully understands the importance of time, convenience and efficiency to the success of your business. We make easy the complex financial world for you and help you maximize every opportunity.

A convenient and flexible form of short-term financing for routine operating expenses and overheads of your company.
Guarantees and Bonds:
City Bank issues a full range of Performance Guarantees, Advance Payment Guarantees, Financial Guarantees and Bid bonds for supporting the underlying business of our customers.

Trade Finance:
City Bank�s trade finance is tailored to meet the individual needs of your business. We can help even if your company has limited unstructured credit lines, due to reasons such as limited financial resources or sudden spike requirements. That�s because our risk evaluation focuses more on your performance track record, existing performance and collateral valuation.


Letter of Credit:
When buying goods from overseas suppliers, you will wish to receive the goods as ordered in the right quantity, on time and at the designated place. You will also wish to make payments only after receipt of the required documents including the title of goods.
We can solve your needs by issuing a documentary credit on your behalf. A documentary credit is our Bank’s guarantee of payment for a shipment of goods against specific documents as stipulated on it.
By using a Letter of Credit, we will only make payment after receipt of titles and other documents that should fully comply with the terms of the credit. You can enjoy a safer and cheaper alternative to making advance payment or deposits.
Back-To-Back Letter of Credit:
If you are an intermediary and your supplier wants to sell on documentary credit term only, you may apply for the issuance of a Back-to-Back Letter of Credit from us against the export Letter of Credit.
A Back-to-Back Letter of Credit is issued against the export credit (the master credit), but the terms and conditions may not the same as the export credit. You must submit your own draft and invoice, together with the other shipping documents presented by your supplier to secure payment under the export credit. After processing, you will have the export proceeds to pay your supplier and the balance credited to your account.

Deferred Letter of Credit:
A DC which allows the nomination of a bank, or the issuing bank to effect payment against stipulated documents at a maturity date as specified or determinable from the wording of the credit. With this you are able to receive the goods now and pay later.
Import bills for collection:
By informing your supplier to send their shipping documents to City Bank, you will enjoy prompt advice upon our receipt of documents and efficient payment according to your instructions.
Shipping Guarantee:
To operate your business efficiently, it is vital your goods be cleared expeditiously. By issuing a shipping guarantee in the shipper s favour, City Bank facilitates prompt clearance of goods until bills or lading is received.
Import Financing:
City Bank will be able to provide financing solutions to pay for the supplier s documents under letter of credit or import collections. Open account invoice financing is also available.
Performance bonds and other guarantees:
City Bank offers tailored solutions to meet all your performance bond and guarantee needs.
If you are in the export business, we can help you with Export L/C advising, L/C Safekeeping, L/C Confirmation, L/C Checking and Negotiation. For financing solutions, tap on to Pre-shipment Export Finance, Export Bills for Collections, Invoice Financing. Outsource your administrative functions to City Bank�s document preparation service.
Export letter of credit advising:
Benefit from prompt advising of export letter of credit from a wide international network through City Bank.
Export letter of credit safekeeping:
Rather than be inconvenienced by having to come to the bank to collect your export letter of credit, City Bank will safe keep your original and send you a working copy to facilitate the preparation of documents.
Export letter of credit confirmation:
Exporters may deal not only with unknown foreign buyers, but also with their banks which are less well known institutions and whose letter of credit (LC) may not be sufficient comfort. By requesting City Bank to confirm your export LCs, you obtain our guarantee of payment for document presented in compliance with the credit.
Pre-shipment export financing:
We provide pre-shipment finance against irrevocable letters of credit from or purchase orders in a number of currencies to allow you to trade with confidence. If you need to fulfill a sales contract but need funds to purchase raw materials or process goods for export, City Bank offers you pre-shipment export financing in a variety of currencies.
Letter of credit checking and negotiation:
City Bank�s thorough checking standards will reduce the chances that your documents will be rejected. Strict service standards are applied to ensure that your documents are negotiated and dispatched quickly.
Export bills for collection:
Simplify dispatch tracking of payment and reconciliation of your export collections when you choose City Bank�s documents against acceptance, documents against payment or clean collections. Discounting of export collections is also available.
Export invoice financing:
To tide over any cash flow problems arising from credit terms to the buyers, the exporter may obtain invoice financing pending buyers� payment.
Document preparation:
Benefit from lower costs, faster processing and fewer errors – outsource to City Bank the paperwork and administrative functions related to your export activities based on your letter of credit or purchase order.

Short / Midterm Financing:

Short Term Financing:
As the responsive player in market, you may anytime need fund to utilize for a very short time due to either emergency or short term projects.
In such case, City Bank is there to facilitate you. This can be a Short Term Loan or a Short Term Revolving Loan. You can get it either for your inland business or cross-border payment in foreign trade.

Mid Term Financing:
City Bank can also equip you the required fund for a longer period. If you worry about fund requirement for a bit longer, �City Bank Term Loan� will make you feel confident that, you got a friend for this.

Project Finance

City Bank has been very active in the
Our project financing solutions:

mitigate sponsor exposure to project risk

enhance use of leverage to increase project returns by lowering the weighted average cost of capital

provide access to significantly longer tenor debt financings

create optimum financing structures (source of debt, currency, derivatives) that take into account your company�s particular capital needs as well as industry specific issues.

Lease and Long Term Loans:
We can customize a Term Loan or Lease to finance the fixed assets that your business needs (such as land, new premises, equipment and machinery). It may be a greenfield project or an expansion of an existing plant, that may be financed at competitive floating rate of interest.

Islamic Finance
With over 1.5 billion Muslims in the world, the global Islamic funds market is currently valued at USD 750 billion and is expected to grow exponentially every year.
Innovative Shariah compliant banking solutions:
At City Bank our dedicated Islamic Banking team combines Shariah expertise with strong business acumen to offer customers the best of both worlds – comprehensive international banking services and a wide range of Shariah compliant financial products based on Islamic values.
At City Bank, we’ve blended Shariah principles with our rich banking heritage of more than 150 years to provide banking services that support your business while respecting your beliefs.
Our diverse range of Islamic Banking products are designed to give you greater flexibility while conducting business through Shariah-compliant process.
Our Products Bai Muajjal:
For financing procurement of raw material where goods are kept under customer�s custody.
Bai Murabaha:
For financing procurement of raw material where goods are kept under bank�s custody
Hire Purchase under Shirkatul Melk:
For financing procurement of capital machinery
Bai Salam:
For financing pre-shipment expenses by purchasing exportable goods in advance

Structured Finance

A leading provider of cost-efficient, lease-based and asset-based financing solutions to businesses in Bangladesh, we can create and tailor the right structured solutions for your business needs in order to enhance shareholders� wealth and your market competitiveness.
These solutions include:
Structured financing solutions:
Principal to principal structured capital market transactions optimizes investment returns and reduces effective funding costs.
This normally involves getting a group of banks together (forming a syndicate) to provide the loan amount required by the customer under a set of common terms and conditions laid down in a loan agreement.
Choose City Bank and you gain access to full loan origination, distribution and trading capabilities, together with an unrivalled ability to match lenders and borrowers. Our leadership position and world class distribution capability result from the team�s ability to read the market, and to provide superb sell down coverage.
Local know-how:
Our intimate knowledge of the diverse industries as well as understanding and working with regulatory bodies, means we can provide you with a solution designed solely to meet your needs.
We also partner our clients to arrange syndicated loan facilities for project finance, aircraft finance, structured trade and acquisition financing including leveraged buy-outs.
We have been successful in loan capital raisings for financial institutions, real estate development, hotels, telecoms, institutional banking and finance, public utility, oil and petroleum, light manufacturing and food sectors.
Your partner for success:
We have a proven track record in devising innovative capital-raising structures that exceed our clients’ expectations. Our tailored solution for your business could include:

Working capital and corporate funding

Commodity and trade finance

Islamic structures

Project finance

Structured, complex and tax-efficient capital raisings

Investment Banking

We are a market leader across our footprint in innovative, landmark deals, multi-jurisdiction solutions and sophisticated product structuring for corporate and institutional clients.
We hold leading positions in fixed income local currencies and loan syndications. Our in-depth understanding of the local regulatory framework in the domestic debt and loan markets, product expertise and wide geographic reach, help you achieve your financing and investment objectives.

Debt Capital Markets
Our proven knowledge, product capabilities and global reach make us well-suited to matching investors� needs with the funding requirements of international and domestic issuers.
Asset Backed Securities
We structure, arrange and distribute asset-backed and future flow transactions for clients and our track record of innovative deals puts us at the forefront of developing securitization markets in our footprint.
Credit Derivatives
We offer investment tools and a range of local currencies to provide structured asset solutions to meet specific investment needs, achieve target yields on your portfolio and manage risk exposure.
Convertible Bonds / Equity Derivatives
Our convertible bonds and equity derivatives teams open avenues of financing and investing linked to the equity asset class – all underpinned by local market knowledge, deep client relationships and innovation

SME Banking of City Bank is assuming a new and modern dimension. It is entering in to a wider horizon. The philosophy of extending banking services to SME’s of the country is to meaningfully push every one of them up to the next level of respective business operations. The upward push would be meaningful as they would be business wise competitive for a sustainable future. It is therefore would be turning in to an abode of SME’s to grow to the next level. Hence, the bank has named it City Business – for taking SME’s to the next level.

For the first time in the history of CityBank, SME Banking business processes are going to be driven thru a centralized platform model. This is a fundamental move away from a 25 years legacy system of decentralized geography based branch banking model. We all know this transformation process and momentum is already in place. This would be completed by 2008.

City Bank Treasury & Market Risk Division
City Bank Ltd. has a dedicated Treasury team who is capable of providing all treasury Solutions. Through our foreign correspondent business partners CBL is providing a wide range of Treasury products. In CBL Treasury, there are four teams who are specialized in their own area to ensure the best possible solution to our customer requirement. CBL has following teams in the Treasury:
01. Foreign Exchange ( Local & G7)

02. Money Market

03. Corporate Sales

04. ALM & Market Research
Each team is dedicated to provide best solutions to their respective areas. Through our four dedicated team we provide the following services:
01. Client Solution & Risk Management

Hedging solutions against adverse market movements

Advice on efficient hedging policy

Structured products to match customers’ needs

Corporate Advisory Services
02. Product Range

Foreign Exchange

i. Local Currency spot & Forward*

ii. G7 Spot & Forward

Money Market

i. Call Money

ii. Term Deposits

iii. Securities ( T-Bills, T-Bonds)

iv. Repo & Reverse Repo

Foreign Exchange & FC Interest Rate SWAP

Foreign Currency & Commodity Derivatives
03. Market Information & News Update

Economic Research & Technical Analysis

Market Report ( Daily, Quarterly & Half Yearly)

Other Products:

City SMS gives you 24-hour access to the key financial information of your City Bank Account. It is the simplest way of finding out your account’s daily/month-end balance. With City SMS you neither have to wait for your statement to arrive through mail nor have or call up branches to inquire about your balance and last few transaction. Once you become a member of SMS Banking you will have 24-hour access ti the key financial information.
Through City SMS Banking you will be able to access your account information like balance, transaction and a range of other financial information by typing a predefined letter with 4 digits PIN (Personal Identification Number). Presently following functionalities are available through City SMS Banking:

Balance Inquiry

Transaction Inquiry

PIN Change
All account holder of the City Bank Limited Having account in Online Branches are eligible to apply for SMS Banking Service. See the list of our online branches overleaf.

New Products:

Owning a car is no longer a luxury. Car for your family is now a matter of fulfilling a necessity. Appreciating that basic need, City Bank introduces City Drive, a tailor-made auto loan scheme for individuals.

Credit Card

Variable Interest Rate is the application of different interest rate based on the transaction volumes done through your CBL credit card. The more you do transact with CBL credit card, the less interest rate you are charged on your transaction amount.
In Bangladesh, we are the first bank to care for your volume of transactions you do with your credit card.
Program Dynamics:
We are offering below two types of interest rates for our cardholders:

Premium Rate

Standard Rate
Each and every transaction you do with your credit card, we give you this flexibility of paying less interest. It may be a purchase, a cash withdrawal, a balance transfer, a card cheque transaction (upcoming) or an installment payment.


City Bank is the first private sector bank in Bangladesh offering world-class challenging career opportunities. Our people-management philosophy is to develop, recognize and reward performance. A robust and transparent process of assessment, coaching, training and reward, which enables individuals to realize their full potential in line with their career aspirations, supports the bank’s management style.
What City Bank offers you?
City Bank offers a competitive compensation package and social benefits in line with City Bank’s commitment to high standards. In addition, the organization offers progressive development through on-going training throughout your career. The Organization offers an international and multicultural working climate which is conducive to creativity, innovation and the development of personality and which gives new employees responsibility at an early stage of their career, and opportunities of fast development of high performers.