Overview of Shahajalal Islami Bank Ltd

Overview of Shahajalal Islami Bank Ltd.

 Shahajalal Islami Bank Limited:

Shahjalal Islami Bank Limited is based on Islamic Shariah. Shahjalal Islami Bank Limited is named after the name of a saint Hajrat Shahjalal (R) who dedicated his life for the cause of peace in this world and hereafter and served the humanity. Shahjalal Islami Bank Limited (SJIBL) commenced its commercial operation in accordance with principle of Islamic Shariah on the 10th May 2001 under the Bank Companies Act, 1991. It started its Banking operation on May 10, with the 1st branch (main branch) opened at 58, dilkusha C/A, Dhaka obtaining the license of Bangladesh Bank, for enlistment of economic condition of its customers as well as to contribute sustainable economic growth and development in trade and industry of the country. Its corporate head quarter is situated at Uday Sanz, Plot No.SE(A)2/B Gulshan South Avenue, Gulshan – 1, Dhaka-1212. Now it has 63 branches, 35 branches are in Dhaka, 13 branches are in Chittagong, 5 branches are in Sylhet, 3 branch is in Khulna, 6 branch is in Rajshahi, 1 branch is in Barisal  and 1 Offshore Banking Unit (OBU) . The sponsors of Shahjalal Islami Bank Limited are leading business personalities and renowned industrialist of the country. During last eight years SJIBL has diversified its service coverage by opening new branches at different strategically important locations across the country offering various service products both investment & deposit. Islamic Banking, in essence, is not only INTEREST-FREE banking business, it carries deal wise business product thereby generating real income and thus boosting GDP of the economy. Board of Directors enjoys high credential in the business arena of the country, Management Team is strong and supportive equipped with excellent professional knowledge under leadership of a veteran Banker Alhaj Mohammed Solaiman.  Now this bank has paid up capital – Tk. Tk. 3425.12 million and No. of Directors -22 (source Internet).

SJIBL Foreign Exchange Branch:

The  Keraniganj  Branch  of  Shahjalal  Islami  Bank  Limited  started  its  journey  at  17thSeptember, 2008. Though a there were initiatives to measure the customer satisfaction at  the  branch  a  year  ago,  that  was  in  its  very  beginning  period  and  the  Customer Satisfaction  Index  was  not  measured.  And  as  the  satisfaction  level  of  customers’ changes, this report on the level of customers’ satisfaction will provide an option to compare the level of satisfaction now with that of a year earlier.

Objectives:

        To provide banking service to the people within the commanding area.

        To expand business based on Islami Sharia.

        To keep position in the competitive market.

        To contribute in profitability of SJIBL.

Department of the Branch:

        Account opening Department

        Cash Department

        Remittance Department

        Accounts Department

        Investment Department.

        Foreign Exchange Department.

        Administration Department

Objectives of Shahjalal Islami Bank Ltd.:

The prime objective of Shahjalal Islami Bank Limited is to promote, faster and develop the application of Islamic principles, law and tradition to the transaction of financial, I and related business affairs. It has also been looking forward to promote Investments Companies, Enterprise and other related concerns engaged in such business that is acceptable and consistent with Islamic principles, law and tradition. The objective of Shahjalal Islamic Bank Limited in the context of its role in the economy may be enumerated as follows:

        To offer contemporary financial services in conformity with Islamic Shariah.

        To contribute towards economic development and prosperity within the principles of Islamic Justice.

        To facilitate efficient allocation of resources.

        To help achieving stability in the economy.

       To strive for customers best satisfaction & earn their confidence.

       To manage & operate the Bank in the most effective manner.

       To identify customers needs & monitor their perception towards meeting those requirements.

       To review & updates policies, procedures & practices to enhance the ability to extend better services to the customers.

       To train & develop all employees & provide them adequate resources so that the customer’s needs are reasonably addressed.

       To promote organizational efficiency by communicating company plans, polices & procedures openly to the employees in a timely fashion.

       To cultivate a congenial working environment.

Vision, Mission & Motto:

Vision:

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

Mission:

      To ensure sustainable growth in business.

      To ensure maximization of Shareholders’ wealth.

      To extend our customers innovative services acquiring state-of-the-art technology blended with Islamic principles.

      To ensure human resource development

      to meet the challenges of the time.

      To provide quality services to customers.

      To set high standards of integrity.

      To make quality investment.

Motto:

Committed to Cordial Service.

Corporate Profile:

  Shariah Council:

Shariah Council of the Bank is playing a vital role in guiding and supervising the implementation and compliance of Islamic Shariah principles in all activities of the Bank. Since its very inception, The Council, which enjoys a high status in the structure of the Bank, consists of prominent ulema, reputed banker, renowned lawyer and eminent economist.

Members of the Shariah Council meet frequently and deliberate on different issues confronting the Bank on Shariah matters. They also conduct Shariah inspection of branches regularly so as to ensure that the Shariah principles are implemented and complied with meticulously by the branches of the Bank.

Chairman –

Alhaj Mohammed Solaiman  Founder Director

Islamic Research Centre Bangladesh

 Organizational Structure:

 There are five different wings to consist the organizational structure of SJIBL. They are,

       Board of Directors

       Board Committees

       Executive Committee

       Policy Committee

       Management Team

Board of Directors:

There are 22 Board of Directors members. The Board of Directors is the apex body of the Bank.

Board Committees:

The Board of Directors also decided the composition of each committee and determines responsibilities of each committee.

Executive Committee:

All routine matters beyond delegated powers of management are decided upon by or routed through executive Committee, subject to notification by the board of directors.

 Online Banking:

The main features of Shahjalal Islami Bank Limited online Banking are as follows:

       Centralized Database

       Platform Independent

       Real time any branch banking

       Internet banking interface

       ATM interface

       Corporate MIS facility

hours banking ATM:                                                                     

By the grace of Almighty Allah, Shahjalal Islami Bank Limited has started commercial operation of fully Shariah based VISA Islamic Card (Local, International & Dual Currency). This is the first Islamic electronic product for any Islamic bank in Bangladesh. The main features of the card are:

       Sense of satisfaction of having an International brand

       Anywhere anytime banking

       24 hours and 7 days a week banking

       Directly linked to Cardholders Account at SJIBL (AWCD/MSD/MSND)

       Convenient Cash Withdrawal at ATMs

       Accepted at all VISA terminals locally & globally

       Local & International transactions with the same card (for Dual Cards)

       Balance Inquiry

       PIN Change

       Avoid pressure at counters of bank

       Minimizing risk of carrying cash

       No Cash Advance Fee at SJIBL ATMs

       1 (one) free supplementary card.

       Account is not required for Prepaid cards

       SMS Notification Service

 Prevention of Money Laundering:

In line with the provisions of Money Laundering Prevention Act 2002 and Bangladesh Bank instruction and guidance Shahjalal Islami Bank Limited has strengthen Anti Money, Laundering activities, Besides creating awareness among the valued customer, the Bank also conducted a number of Training Programs for its officials. A good number of officials of the Bank participated in training programs/workshops.

Outlook:

They expect to continue their endeavor for a strong asset base and automated banking in the years ahead. Through their personalized services to the valued clients and integrated approach the Bank aims to maintain a strong presence in the banking sector of Bangladesh. They also plan to focus on customers’ satisfaction as the highest priority and on managing the core assets and cost controls to maximize the shareholders’ value; in this competitive market environment Shahjalal Islami Bank Limited is confident to make increased gains in revenue, income and return on capital.

Internal Control and Monitoring:

The Bank gives utmost importance to supervision and monitoring of banking activities. The Bank branches are subjects to following Audit and inspections every year.

1. I.       Bangladesh Bank inspection;
2. II.    Internal audit and inspection;

III. External Audit; and

IV.  Audit Committee’s Audit & Inspection.

During the year 2010, the branches have been audited & inspection several times. This has improved the working norms & procedures of the Bank to a great extent.

Conclusion:

From the practical implementation of customer dealing producers during the whole period of my practical orientation in Shahjalal Islami Bank Limited, I have reached a firm and concrete conclusion in a very confident way. I believe that my realization will be in harmony with most of the banking thinkers. It is quite evident that to build up an effective and efficient considered as soon as possible. Besides, every bank has to survive amidst of a large number of banks including local and foreign. That’s why to keep with expected profit margin of the time being and for the future every bank should try heart and soul to please the customers in a smart and trusty way. But quit regretful to mention that most of our bank face decreasing profit trend due to switch over of their present customers to those foreign with higher customer service facilities. So, timely decision for introducing sophisticated banking instruments should be taken as early as possible. After taking effective and time defeating measures regarding efficient employees and instruments will help the local office of Shahjalai Islami Bank Limited to reach the pinnacle of success with high profit and productivity. A new- bank they should be in financial side because there is too much competition and new banks are growing up. If Shahjalal Islami Bank adopts professionalism within the framework of Shariah, they will be able to earn handsome “Halal” profit and pay higher return to the depositors and share holders. Ultimately, public will get more confidence on this type of banking.