Table of Contents

Acknowledgement.......................................................................................................i
Executive Summary....................................................................................................ii
Introduction................................................................................................................1
Significance................................................................................................................1
Aims and Objectives...................................................................................................2
Company profile.........................................................................................................2
Products and Services................................................................................................2
Present IT System of NBP...........................................................................................3
Cams.......................................................................................................................3
NADRA Verisys........................................................................................................3
SWIFT......................................................................................................................4
Payroll.....................................................................................................................4
Core Banking...........................................................................................................4
Investment Schemes...............................................................................................4
Other loans..............................................................................................................5
Internet Banking......................................................................................................5
NBP’s IT center...........................................................................................................6
Endnote....................................................................................................................10
Conclusion................................................................................................................11
References...............................................................................................................12
Business Cards.........................................................................................................13
Business Cards

1
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

Introduction
This report is about how e-business is being done in the corporate world of today.
An industrial visit to National Bank of Pakistan was conducted in which the IT center
located in Islamabad was visited. The informing officers during the visit were Mr.
Shafiq A. Humayun, Mr. Ch. Ikram and Ms. Sara. The purpose of this visit was to get
in depth knowledge about how National Bank of Pakistan is conducting their online
activities involving E-Business. In this report, the main emphasis was on how IT was
inculcated in National Bank of Pakistan and how the role of IT played an important
role in the progression of the banking activities of NBP. Factors affecting the
operation of IT activities of NBP were highlighted. The technology and instruments
used for their IT operations were also discussed during the visit. There were
different instruments present in their operation room on which their whole IT center
is dependent on. How IT has affected their work environment and their banking
activities were also examined.
The IT center of NBP started out in early 1980’s. At that time their main goal was to
centralize all the branches so that the flow of information between branches could
be conveniently done. From 2005 and onwards, National Bank started giving their
online banking services, which made banking a lot easier for the employees of NBP
as well as the customers and how electronic medium helped NBP in moving ahead.

Significance
This activity is all about getting firsthand knowledge from the corporate world about
E-business and its applications. The different variables affecting the IT world of
today and how E-Business, which is totally a new concept in Pakistan, is growing.
Through this activity, information about various changes that have occurred since IT
was introduced into the corporate world was highlighted. Students were able to
understand what awaits them in the corporate world of today, and how they can
prepare themselves for availing the different opportunities presented in front of
them once they enter the corporate world.

1
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

Aims and Objectives

• The basic aim of this visit was to get firsthand knowledge about the practical
use of E-business in corporate sector.
• To determine how online activities has made banking activities convenient for
both the customers and employees.
• To determine how IT has played an important role in centralizing and
connecting organizations.
• To got a better understanding of the information technology reshaping the
corporate world.
• To provide insight to students about how this field is affecting the operations
of banking sector.
Company profile
National Bank of Pakistan is the largest commercial bank operating in Pakistan. Its
balance sheet size surpasses that of any of the other banks functioning locally. It
has redefined its role and has moved from a public sector organization into a
modern commercial bank. The Bank's services are available to individuals,
corporate entities and government. While it continues to act as trustee of public
funds and as the agent to the State Bank of Pakistan (in places where SBP does not
have a presence) it has diversified its business portfolio and is today a major lead
player in the debt equity market, corporate investment banking, retail and
consumer banking, agricultural financing, treasury services and is showing growing
interest in promoting and developing the country's small and medium enterprises
and at the same time fulfilling its social responsibilities, as a corporate citizen.
The National Bank of Pakistan has its headquarters in Karachi, Pakistan. It has over
1,200 branches throughout Pakistan. The bank provides both commercial and public
sector banking services. It has assets worth USD 12.293 billion in 2007. Its
subsidiaries include NBP Capital, NBP Modaraba Management Company, NBP
Exchange Company, Taurus Securities, and NBP Almaty et al. As of 2007, its
chairman and president is Syed Ali Raza.
Products and Services
Various products and services are offered by NBP which includes International
Banking, Demand Drafts, Mail Transfer, Letter of Credit, Pay Oder, Travelers
Cheques , Commercial Finance, Foreign Remittances, Swift System, Short Term
Investments, National Income Daily Account (NIDA), Trade Finance other Business
Loans, Home Finance and online banking.
Main emphasis in this report is on online banking conducted by NBP.
Present IT System of NBP
The present services offered by the IT system of NBP are:
• Cams ( Saibaan , Karobar)
• NADRA Verisys
• Swift
• Payroll
1
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

• Core Banking
• Investment schemes
• Other Loans
• Internet Banking
Cams
The two products offered under cams are Saiban and Karobar. Saibaan is the home
loan offered to individuals in order to purchase, build or renovate their homes
Karobar is a type of loan offered to a person who wants to start his own business.
Karobar is also a loan that provides an incentive to people who have the ability to
do something but due to financial problems, they cannot start any business. This
product of NBP is a platform for such people to do something productive and
improve their worth.

NADRA Verisys
This is the facility provided by NADRA that help bank to check the authenticity of an
individual who opens an account with the bank or who wishes to get loan from the
bank. This facility helps reduce the processing time and facilitate customers by
completing the work more efficiently.
SWIFT
SWIFT is an abbreviation used for Society for Worldwide Interbank Financial
Telecommunication. The basic purpose of this system is to introduce speedy
services in the area of home remittance. The system has built-in features of
computerized test keys, which eliminates the manual application of tests that often
cause delay in the payment of home remittances.
The SWIFT Center is operational at National Bank of Pakistan with a universal access
number NBP-PKKA. All NBP overseas branches and overseas correspondents (over
450) are drawing remittances through SWIFT.
Using the NBP network of branches, you can safely and speedily transfer money for
our business and personal needs.
Payroll
Not only customers, NBP also facilitate its employees by providing them an easy
medium to check their payrolls online any time. It helps employees keep the track

1
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

of their account balances and see the history of transactions. This facility is
provided in 51 branches of NBP.
Core Banking
Core banking refers to the business conducted by a banking institution with its retail
and small business customers. Many banks treat the retail customers as their core
banking customers, and have a small line of business to manage small businesses.
Larger businesses are managed via the corporate banking division of the institution.
Core banking is basically depositing and lending of money. Any centralized
computer driven application, which process, controls input, generate outputs,
provide product configuration and real time processing options and above all
develop centralized data base for generating different types of MIS for financial,
management and strategic decisions making. In other words, Core banking helps
banks achieve a centralized processing mechanism and in turn provide an anytime
anywhere service to their customers.
Investment Schemes
Different investment schemes are offered by NBP like Premium Ammdani and
Premium Saver so that customers can earn more than their actual salary and spend
a better life.
Other loans
Beside all these services, NBP offers different loans to facilitate every type of
customer. This includes: Advance Salary, Cash Card, Kisan Dost, Kisan Taqat and
protection shield.
Internet Banking
The National Bank of Pakistan is among one of those bank in Pakistan that has
introduced internet banking. Additionally, they have recently set up the Financial
Institution Wing, which is placed under the Risk Management Group. The role of the
Financial Institution Wing is:
• To effectively manage NBP’s exposure to foreign and domestic
correspondence
• Manage the monetary aspect of NBP’s relationship with the correspondents
to support trade, treasury and other key business areas, thereby contributing
to the bank’s profitability
• Generation of incremental trade-finance business and revenues

2
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

NBP’s IT center
All the braches all over Pakistan send all their data to Karachi. The online branches
have to send their data to Karachi headquarter at the fixed time communicated to
everyone, every day except on Sunday. The data goes through networks in the
evenings to the head quarters and in night the backup of that data is During these
critical times NBP makes sure that their data is in safe custody and is kept
secretive.
There are three mega IT centre’s that come under three regions
• North, under which Islamabad comes.
• South, under which Karachi comes.
• East, under which Lahore comes.
ATMS of NBP serve customers free of cost. NBP is the first bank in Pakistan to
provide the biggest number of ATMS in Islamabad and Rawalpindi i.e. 27 ATMS and
the ATM transactions are taking place round the clock. Fiber, radio and wireless are
the modes used for communications and networking.
To deal with any uncertainty or unfavorable circumstances, NBP has a wireless
system as a backup for any uncertain situation, if there’s. The wireless satellite is
with Karachi. This enables the branch to continue its functioning even if one link
goes down. The critical branches of NBP have wireless and radio systems for which
the provider is Word call and the fiber system is from Nayatel. Now a day, they are
working on making voice demo application through which they will be able to talk
via online with the HQ in Karachi.
When NBP shifted from manual to total online, transition to automated, NBP have
28 online branches, the people from the head office had a backup trainers and
people came from Karachi to train the people, apart from that people who were
previously working there sensed the transition and started changing themselves
accordingly, and also people with computer sciences based education from NUST,
GIK etc were hired, but also due to the practical exposure employees started
changing according to the requirements. For big projects like core banking training
is given to the employees, and trainers come from Karachi HQ to do that.
Software’s are updated by the software team in Karachi and they are updated to all
the IT centers. From time to time, the software changes in a sense that there are
additions and deletions and everything is updated by headquarter.
In the IT centers within the offices, all the communication is done via e-main expect
for warnings and memos. In every department within the IT centre duties and
orders are given through e-mails.
National bank communicates which their customers directly through phone calls,
they don’t have any online services to get feedback from their customers and are in
direct contact with them. Their website is to provide information and is only as a
source of information for their customers and is not an interactive website
As mentioned earlier the head office of Karachi is centralized, the IT centre’s don’t
take any decision regarding any matter individually as the final decisions regarding
any matter are taken in Karachi, so the IT centers implement the solutions and
supports the decisions that are made by the Head Office in Karachi.

2
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

All the ATMS of National Bank of Pakistan are insured so in case of any damages to
them due to the instability these days is all the losses are covered by the insurance
company. Most of the assets and property coming under NBP is insured. That is why
national bank does not have any problems during the unstable times.
Due to the transition from manual to automated, applications like signature and
customer verification have made banking a lot easier for the employees and the
customers. Now it is very easy to make an account and can be made in a couple of
hours as the employees can contact NADRA online and verify the person that has
come to open an account and also due to this risks of fraud have also lessened.
With the benefits come some disadvantages too, because if the system breaks
down, then the efficiency is affected because the backup link will exceed the
amount of work done from 10 to 25 minutes more. Also the branches have to send
their data daily to the head office and if the connection is down or there is a
connection breakup, then it takes a lot of time to send data and incase of disaster,
there is a need of paper backup. Even after automation, paper backup will always
be there at the backend. It is something that is always be needed. But due to their
effective system, there are hardly any serious problems for them.
NBP has also provided their employees with computer based short courses and
training as they know the ability of their employees. That’s why the old employees
who are present in NBP were resisting the change from manual to automate as they
consider it a threat because a computer can do the work of 10 people alone. That’s
why they had to provide trainings to their employees but it was a tough task to
employees. That is why NBP is behind other banks regarding the matter of
automation. As NBP has no firing policy, they train their employees a little bit so
they could make themselves comfortable with the change and also the transition.
If there is any problem, then the IT center contacts the head office and proceeds
accordingly to the orders given by head office. Softwares are developed and
updated by the head office and they are sent t mega IT centers who further send
them to other zones.
Mr. Chaudry Ikram, Grade officer, talked about the current situation of NBP, how
they deal with the customers and the facilities provided to them, the existing
applications and the future applications that will soon be installed in the system to
make it more efficient and effective.
Online customers are only provided with the facility of ATMS. Branches which are
not online use Bank Branch Software (BBS) which helps them communicate
within the branch. NBP doesn’t provide the trading facility in such branches. But
their major branches like Rawalpindi branch, Lahore branch and Karachi branch
they are online. This enables the flow of information between the major branches
much easier and smoother.
To cope up with the fast changing trend, they are in the process of buying new
application. One such application which they have purchased is PROFILE. They have
not yet installed this application. Currently they are working on Gap Analysis. The
main purpose of this analysis is to highlight different issues and critical areas that
need more attention once they are done with the installation of the application. The
old manual system lacked innovative ideas. The new market trends and the
development in the banking sector were ignored in that system. To overcome all

1
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

the problems, NBP decided to purchase the core banking application as well. Core
banking refers to any centralized computer driven
application, which process, controls input, generate output, provide product
configuration, and real time processing options and above all develop centralized
data base for generating different types of MIS for financial, management and
strategic decision making. This will help NBP’s customers to use their ATMs, credit
card, visa card, debit card etc all over the world. Core banking provides the
individuals to use their cards throughout the world. Instead of carrying the money,
they can use the card to make transactions, deposit money. To use these products,
the bank has to make an agreement with the respective country’s bank, and then
only these products can be used elsewhere. For example, visa card is a third party
product. In order for visa card to be used outside, the company will have an
agreement and regular connection with the outside banks. HBL is using MISYS and
currently its 600 branches are online. MCB and UBL have installed SYMBOL. Many
other banks are using such systems in order to compete in the market. There are
two types of cards that a bank provides: Credit Card and Debit card. Credit cards
allow its customers to take loan from bank up to a certain amount. This facility is
provided by bank to its customers. With core banking application, even the ATMs
can be used anywhere. Other is debit card that is deposit based. A person with the
account, deposits some money in that he can use later whenever he wants.
Different types of accounts are provided which have different returns. The return is
dependent on the type of account the accountholder has. For example, no deposit is
given for current account, for saving account there some return depending upon the
rate defined by SBP and the bank’s policy. Premier accounts have higher rates then
saving accounts. Moreover different types of loans are available for new businesses
and also already existing businesses.
Two types of financing are made: consumer financing and corporate financing.
Consumer financing is for general people and small level businesses whereas
corporate financing is for big fishes in the market. Rules and regulations are
different for consumer and corporate financing. Banking environment determines
how to deal a particular client.

2
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

Endnote
When you are done with your degree, one should remain calm when applying for
jobs. The CV should be up to the standard. As it gives the first impression of the
candidate, it must look professional and mature. Once you enter an organization, in
professional life, one should keep his emotions in control and keep the mind calm.
Adopt the culture and environment. Try to fit in the organization’s culture instead of
developing some negative feelings about your peers; you should learn a way to
handle the situations. Do not panic. Wait for an opportunity to come. Take every
chance as an opportunity to learn something new and advance. Be positive in every
approach. If you are not, then as an individual, you cannot grow, and as an
employee you will not be productive for the organization.

2
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

Conclusion
This activity provided individuals with an insight of different trends in the market. It
was useful in giving students the practical exposure of banking sector by explaining
how different factors are reshaping individual’s psyche and way of doing things.
This effect is not on individuals, but it has also changed working style of large
corporations. It was an informative session for the students that helped them
develop some technical skills and knowhow that how banks work and particularly
NBP. It highlighted the importance of electronic medium used in National Bank of
Pakistan and the increased development of technologies affecting the business
operations and day to day activities.

1
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

References
http://www.nbp.com.pk/index.htm

http://en.wikipedia.org/wiki/National_Bank_of_Pakistan

http://www.absoluteastronomy.com/topics/National_Bank_of_Pakistan

3
 VISIT REPORT OF NATIONAL BANK OF PAKISTAN

Business Cards
Name:
Mr. Syed Hameed Tariq
Designation:
Officer
Contact no.:
0300-5226463, 0331-5237868
Name:
Ms. Sara Naeem
Designation;
Officer (grade II)
Contact no:
051-9209724, 0334-5000898
Name:
Ch. Ikram
Designation:
Officer
Contact no.:
0332-5132414