Internship Report On UBL

CHAPTER – 1
EVOLUTION OF BANKING
1.1 INTRODUCTION
The word bank is derived from Latin word “Bancs” or
“Banque”, which means a bench. The explanation of this origin is
attributed to the fact that the Jews in Lombardy transected the
business of money exchange on benches in the market place. When
the business failed, the people destroy the bench.
Incidentally the word bankrupt is said to have been evolved from this
practice.
The opponents of this opinion argue that if it was so, then

how is it that the Italian money changers were never called
Banchierei in the middle ages
Other authorities hold the opinion that Bank is derived from

German word back which mean joint stock fund. Later on, when the
German occupied major part of Italy, the Back was italicized into
Bank.
1.2 DEVELOPMENT OF MODERN BANKING

Despite the classical origin, banking in its modern form and
structure started in Britain when many of the Lambordary merchants
came to England in the fourteen century and settled in the part of the
London now called Lombard street.
They were so resourceful that even the kings had to depend on

them for loans despite the fact that the church was firmly against
usury. They dealt with not only keeping the money in safe custody
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but also changed money for the travelers or merchants engaged in
foreign trade.
The business of changing money was so lucrative that King

Edward III established the office of Royal Exchanger for changing
foreign money at a profit for the benefit of the crown.
The discovery of America brought riches to England and gave

a tremendous boost to foreign trade. The merchants now began to
hold part of their riches in cash. These transactions, however,
received a big setback in 1640, when King Charles I seized 130,000
Pounds and bullion left for safe custody with the city merchants at
the Royal Mint.
This shook the confidence of the merchants in the Royal

Exchanger and Royal Mint. Consequently this business was taken
over by the gold smiths, who, up to that time, were dealing only in
gold and silver. Since these gold smiths required strong safes for the
purpose of their own business, they introduce necessary facilities of
safe keeping of the valuables and the cash of their customers. These
goldsmiths issued receipts or note to their depositors in respect of the
cash or articles left with them. These were called gold smith notes,
and carried an undertaking to return the money and articles to
depositors or bearers on demand. There were a considerable number
of such notes on circulation among various classes of merchants and
thus they can be aptly called Bank Notes in their earliest form.
Over a period of time, these goldsmiths discovered that large

sums of money were left in their custody for long periods. Therefore,
they started the use of this cash to advance loans to other persons for
a fixed period of time and at considerably at a higher rate of interest.
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Moreover they further encourage cash deposits by their customers by
offering them a part of their profit earned on the money. Thus began
the issue and deposit banking of modern times. Some of the
enterprise goldsmiths issued checkbooks for the attraction of their
customers; and thus another important step in the evolution of
banking was taken.
In 1672, however, English banking faced a great crisis when

Charles II borrowed huge sum of money from the goldsmith bankers
formed themselves into a Corporation in 1695, known as the Bank of
England. This bank lent 1,200,000 pounds at 8% interest to William
III, who in return, allowed a number of privileges to the bank,
specially the right to issue Notes payable to bearer on demand unto
the amount of this loan. This was known as fiduciary issue, not
covered by gold. This new bank became a very serious competitor to
the comparatively smaller private banks run by the London
goldsmiths.
By the year 1700, the Bank of England was not only issuing
Notes but also conducting accounts for customers. Being a joint
stock bank by charter, its directors were conducting the business like
that of limited companies. The Bank of England was the only joint
stock company which was given the monopoly of issuing the Bank
Notes.
In 1708 the privilege to issue Notes in England was

withdrawn from joint stock banks and confined to the private banks
with not more then 6 partners.
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Up to 1813 or there about in England, the main profit of
banks was derived from the circulation of notes and for many years
after that, deposits were treated as very minor matters
1.3 GROWTHS AND HISTORY OF UBL

Commercial banks play a role of vital importance in the
economic growth of a country. Banks mobilize idle savings of public
and provide finance to various sectors of economy. In spite of vital
importance, there was shortage of branches of commercial banks in
the areas of sub-continents, which now constitute Pakistan. When
Pakistan got independence, there were only 487 branches of
commercial banks, which were further reduced to 195 as at 30/09/47
due to shifting of a number of branches to India or U.K. The Reserve
Bank of India, which was made responsible to exercise control over
banking sector in both the dominions, did not perform its duties
properly in Pakistan. The State Bank of Pakistan was established on
01/07/1948. After the establishment of State Bank of Pakistan,
banking expansion got momentum but real progress was not
achieved until 1959, when a dynamic banker Mr. Agha Hassan
Abedi conceived the idea of opening a bank different from others.
His dream was translated into reality on November 07/1959 when
first branch of UBL was opened at McLeod Road Karachi (now
known as I.I. Chundrigar Road).
This achievement was secured after passing through many

problems and after completion of a lot of legal formalities. UBL was
established on 24-07-59 as a public limited company with registered
office at I.I. Chandrigar road Karachi. The authorized capital was
RS. 20,000,000 issued, subscribed and paid up capital was. RS.
10,000,000 divided into 1,000,000 shares of RS. 10each.
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I. LOCATION
WITH an integrated network of over 1000 branches in
Pakistan as well as 15 overseas branches, UBL gives you direct
access to a comprehensive range of better banking facilities to help
you monitor your business locally as well as internationally.
II. TREASURY
The UBL Treasury & Capital Markets (TCM) has developed a
reputation as a proven market leader in converting innovative ideas
into profitable ventures for the bank and for its customers. Today the
UBL TCM is a frontrunner in providing:
 The narrowest bid/ask spreads and the fastest quotes

 Dynamic risk-reducing hedging strategies for its customers
The best relationships with institutional, corporate and retail

clients Year 2007 was a highly lucrative year for the bank with net
profits in excess of PKR 4 billion. Treasury and Capital Markets
contributed to over 65% of UBL’s total returns. This was due to
Government Bond Trading, Equity Trading, Structured
Products/Financial Engineering, Corporate Debt trading, and double-
Count of revenues.
Under the new management, the TCM expedited the launch of

Pakistan’s first derivative money market product-the FRA (forward
rate agreement) with Quetta Textile Mills Ltd. in August 2007, and
has further closed several similar transactions thereafter.
UBL TCM is a market maker in both the domestic money

market as well as the foreign exchange market. Being one of 11
primary dealers (PD), UBL has one of the largest balance sheets
amongst banks in Pakistan, and hence our Foreign Exchange
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Exposure Limit (FEEL), as imposed by the State Bank of Pakistan, is
the highest in the industry.
UBL was the first local bank to establish a Corporate

Treasury team in the Treasury dealing room. The Global Corporate
Treasury Business is globally responsible for sales of all structured
and derivative products for UBL. The bank’s trade volumes and
revenues have grown significantly since the introduction of the
corporate treasury business.
Equities are responsible for managing the bank’s trading and

badla portfolio, and to eventually develop a global equity trading
activity for UBL. Structured Products is responsible for developing
and packaging plain vanilla derivatives as well as more exotic
customer specific products, and pipeline products.
The Strategic Planning and Balance Sheet Management

responsibilities include:
Liquidity Management for the domestic balance sheet - This

unit is the focal point for all branch-related liquidity issues and will
also be responsible for day-to-day management of liquidity for UBL.
 Overseas Branches Treasury and Capital Markets - we plan to

integrate the treasury activities for all overseas branches, to
develop synergies amongst our various treasuries. As our core
business in these markets continues to develop, we expect
significant opportunities to arise in the trading, funding and
gapping areas.
 Research - providing market research for internal and external

clients in order to support the sales and trading effort.
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1.4 THE FIRST BOARD OF GOVERNORS OF UBL
CONSISTED OF THE FOLLOWING MEMBERS
Table – 1.1
1 Mr. Ismail Ibrahim Chandrighar Chairman

2 Mr. Muhammad Shafiq Saigol Managing Director
3 Mr. Muhammad Rafiq Saigol Director
4 Mr. M.Bashir saigol Director
5 Mr. A. Razaq Dada Director
6 Mr. Mian M.Yahya Director
7 Mr. M. Saeed Saigol Director
8 Mr. Agha Hassan Abidi Director and General Manager
Source: Rahman ullah, Internship Report on UBL, (2007-2009).
Presently UBL is managed by a board of directors including

one president, 4 directors from UBL, 1 from Pakistan Banking
Council and one from ministry of finance.
The names and designations of present top management include;
Table – 1.2
1 Mr. Shaikh Nahayan Mubarak Al Nahayan Chairman
2 Mr. Mohammed Anwar Pervez OBE Deputy Chairman
3 Mr. Atif R. Bokhari President & CEO
4 Mr. Omar Ziad Jaafar Al Askari Director
5 Mr. Zameer Mohammed Choudrey Director
6 Mr. Ahmad Waqar Director
7 Mr. Abdul Rauf Malik Director
8 Dr. Ashfaque Hasan Khan Director
Source: www.ubl.com.pk
Since inception, UBL provides personalized, efficient and

courteous services to its customers and has achieved dynamic
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progress in a short span of time. UBL has achieved the distinction of
earning profit in very first year of its operation. UBL also introduced
many remunerative schemes for its depositors and introduced
computer services for the first time in the banking history of
Pakistan. UBL gives advance finances to small, medium and large
industries, commercial establishments, agriculturists, construction
companies and other needy persons. UBL offers computerized
services to intending Hajis free of cost. UBL collects Electricity, Gas
and Telephone bills from public and issues TV licenses on behalf of
Pakistan Television Corporation. It also offers evening banking and
lockers facilities at its selected branches. Over 100 branches deal in
foreign exchange where facilities to importers, exporters, travelers
and other persons are being given.
UBL arranges prompt payment of inward remittances.

Similarly for issues of outward remittances minimum time is taken.
Other auxiliary services such as unicorn, inland traveler’s checks,
school banking and collection of checks and other documentary bills
drawn on its station drawees are offered.
“The names and tenure of various presidents of UBL after

nationalization are given here under.”1
Table – 1.3
S.No. Name of President From To
1 Mr. Mushtaq Ahmad Khan Yousafi 01/01/74 31/12/76
2 Mr. Kh. Zai Ud Din 01/01/77 31/12/79
3 Mr. Sami 01/01/80 01/02/82
4 Mr. M. Sadiq Dar (Acting president) 04/02/82 31/12/82
5 Mr. Tajammal Husain 01/01/83 15/07/88
6 Mr. Amjad Ali 16/07/88 04/02/89
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7 Mr. Maqbool A Soomro 7/02/89 18/07/89
8 Mr. Salim Malik 19/07/89 01/08/90
9 Mr. Maqbool A Soomro 01/08/90 15/05/93
10 Mr. Aziz ullah Mamon 15/05/93 4/08/96
11 Mr. Shafi Arshad 4/08/96 14/07/97
12 Mr. Zubayr A Soomro 14/07/97 15/01/00
13 Mr. Amar Zafar Khan 15/01/00
1.5 NUMBER OF BRANCHES

UBL has a large network of branches, which extends to the
remotest areas of the country. In December 1983, there were 1417
branches whereas in 1974 it had only 1238 branches and in
December 1999 there were 1623 branches and in December 2007
there were 1821 branches. Presently there are 1056 domestic
branches and 15 overseas branches.
I. OVERSEAS BRANCHES
UBL, with an integrated network of over 1000 branches
globally, with 15 overseas locations, gives their customers
direct access to a comprehensive range of better banking
facilities to help them monitor their business internationally.
They have branches in:
 United States of America

 Qatar
 UAE
 United Kingdom
 Bahrain
 Republic of Yemen
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 Zurich
 Off Shore banking Unit
II. SUBSIDIARIES
UBL has two subsidiaries, namely,
 United Bank of Lebanon & Pakistan

 United bank A. G. Zurich.
United bank of Lebanon and Pakistan was established in

1968, 1st had a paid up capital of dollars 379,000, deposits of
dollars 125,978, advances of dollars 1983,313 and six
branches as on December 31, 1983.
United Bank A.G. Zurich also was established in 1968 and

had a paid –up capital of dollars 2722 thousand, deposits of
dollars 5827 thousand and advances of dollars 5538 thousand
as on December 31, 1962.
1.6 JOINT VENTURE

UBL has two ventures, Commercial Bank of Oman limited,
established in 1975. It had a paid up capital of dollars 8,700 million,
deposits of dollars 7,333 million, advances of dollars 73.993 million
and 11 branches as on December 31, 1962. And United Saudi
Commercial Bank Limited (Saudi Arabia), established in 1982.
1.7 ROLE OF UBL IN N.W.F.P.

The role of UBL has developed largely; through out the
country in very short period of forty seven years. The bank is
operating in the entire country and has branches all over the country
and overseas. In N.W.F.P, UBL is operating successfully. The
number of branches of UBL in Peshawar region is 156 up to
10
dec.2001 i.e. there are total 14 Hub Branches in Peshawar region and
under these Hub branches, there are 142 spokes branches. These 156
branches come under the Peshawar Region, for which there is a
Regional head Quarter (RHQ) in Peshawar.
The list of hub branches come under the Peshawar Region is

as under.
1. Peshawar 6. Haripur 11. Mardan
2. Bannu 7. D.I. Khan 12. Swabi
3. Mansehra 8. Mingora 13. Kohat
4. Timergara 9. Nowshera 14. Abbotabad
5. Hangu 10. Bathela
1.8 MISSION STATEMENT OF UBL

“We shall dominate Pakistan’s financial markets and be the
leading bank of Pakistan in term of quality of customer services,
assets, profits and reserves. We shall consistently try to be among
banks in the Pakistan. Comparing over selves to international
standards. We shall be a modern universal bank. Our employees will
be efficient, motivated and have corporate pride”
1.9 OBJECTIVES OF UBL

Objectives mean the end towards which an activity is aimed.
An organization without objective is like a person who is wandering
with no purpose. All the activities of an organization are due to its
objectives and goals. And for the attainment of those objectives,
various types of financial products and plans are developed. UBL
has also some objectives, which are as under.
 To ensure growth and development of the bank.

 To use resources of the bank efficiently.
 To get more deposits.
 To participate in development of the country.
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 Paying special attention to the areas, which are under
developed.
 To develop SME’S.
 To increase industrialization in the country.
 To provide financial help to the farmers.
 To provide employment opportunities.
 To make people more of mind to have saving habits.
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CHAPTER – 2
SERVICES OFFERED BY UNITED BANK

LIMITED
2.1 CONSUMER BANKING

United Bank limited aspires to be the leading provider of
consumer baking services in the country besides the fact that UBL
was the Last entrant in the consumer products of the new age but Not
The Least. The bank’s operating strategy in this regard has been
aligned with the core customer needs of highest value and expert
services. The bankers in general are facing challenging time today as
bankers; as they should be more than just custodians of client’s
funds. Rather they should devise safe and prudent methods of
maximizing the returns on hard earned savings and investments of
their customers. These corporate values are evident in United Bank’s
diversified product portfolio which includes Current a/c, Pls saving,
Business Partner a/c, Term Finance Certificate, UBL Profit
certificate of deposit, Monthly income, Foreign currency a/c, Rupee
travelers’ check, Money gram, Safe deposits, Car finance, Credit
card, Personal loans, Housing finance, Business Loans and Running
Finance.
In the arena of consumer banking the bank has carved a niche

in the market place, with products like car finance, rupee travelers’
checks homes and car loans for U.A.E based non-resident Pakistanis.
It has set up strong internal control mechanisms to monitor and
measure risks arising out of consumer banking products. The bank is
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developing electronic, automated and computerized environment to
give impetus to their efforts in consumer banking area.
2.2 CORPORATE BANKING

Systems and operations have to be aligned so that they
support the performance of the Organization’s product offering.
Consequently, business process re-engineering and quality control
are on the main maxims of corporate philosophy. United Bank
Limited has the Corporate Banking Group (CBG) which enhanced
the image of UBL in the corporate world and also increased the
advances, revenues and profit of the bank to the new heights.
United Bank’s product line-up fulfills and satisfies the

banking requirements of not just the conventional consumer, but the
demanding financial needs of the corporate sector as well. Corporate
product includes current deposits, foreign deposits, over draft, term
loans, project financing etc. The bank is continuously setting new
standards of services in the industry and is becoming reliable
financial ally of all the customers.
2.3 INVESTMENT BANKING

Investment Banking Group of UBL (IBG) continues its
leadership position in providing innovative and unique financial
solution to its clients by anticipating their changing requirements and
developing new products & services.
IBG concludes more transactions, both number and volume

than any other local and foreign financial institution, including
banks, investment banks, and brokerage houses.
More specifically, while IBG maintained its leading status in

the traditional business of loan syndication and debt capital markets,
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major strides were achieved in the newer value-added business areas
of projects and structured finance, equity & advisory services and
private equity solutions.
Nowadays IBG is focusing on the fast emerging Technology,

Media and Telecom sector where it concluded several unique high-
profile transactions. Most significantly UBL is the only major
financial institution based in Pakistan to be engaged by a reputable
local group to act as financial advisor for the cellular license auction
bidding in April 2008.
2.4 AUTOMATED BANKING

Technology and automation play a pivotal role in the
progressive development of any organization. It has become
impossible to control the operations of a bank effectively in real time
situation without the latest technology. The bank continues to invest
heavily into the progressive automation and computerization of all
banking activities. Its aim is to achieve total connectivity between
branches. The objectives are to achieve efficiency in services and to
control costs. UBL has recently installed the New-state-of-the-art
ATM machines in UAE.
United Bank Ltd provides:

 ATM/ UBL Wallet Debit Card
 Online Banking/ Uni Remote
 Telephone banking
 UBL Business Partner ( In 500 branches and 250 cities)
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2.5 ISLAMIC BANKING
UBL has played an important role in Islamic banking and
successful operation of Non- interest based system of banking.
The interest free banking system was introduced on January I,

1981. Since then, UBL has played an important role in the successful
operation of this system. For this purpose, it has established a special
division, “The Islamic Banking Cell”.
The sincere efforts of UBL as making Islamic Banking

successful is proved by the fact that it declared the highest rates of
profit for PLS deposits for the first half year of 1983. This has been
due to a sound planning of all its Islamic Banking efforts.
The bank has provided capital to businessmen and

industrialists on the basis of “Mudaraba and Musharika”.
Additionally the bank has started interest- free hire purchase and
lease schemes for financing purchase of buses, trucks and industrial
machinery on installments. The bank also provides “Qarz-e-Hasna”
to needy and deserving students.
2.6 AGRICULTURE
UBL has contributed in full measures to the development of
agriculture. It has always exceeded, by a considerable margin, the
targets given by the State Bank of Pakistan. UBL has also provided
loans for a variety of agricultural activities including tractors, tube-
wells, fertilizers, insecticides, poultry farming, bio-gas plants etc.
The bank officers who are qualified agricultural graduates not only
provide loans at the doorsteps of the farmers, but also render
technical assistance to them. To maintain constant liaison with the
farmers, the bank officers have been provided with motorcycles.
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Financing of Small Business to meet the goals of social
justice, the bank has zealously participated in the small loans
scheme. It has always tried to exceed the targets fixed by the state
Bank. A full- fledged department catering to the needs of small
businessmen is functioning. To improve its operations, the bank has
made arrangements for overseas training of its staff.
The bank is also participating in the dollars 30 million IDA

credit, which will be provided to small industrialists.
For training its staff, a staff collage was established at Karachi

in 1994. Now there are three such colleges at Karachi, Lahore and
Rawalpindi, where the officers and staff are provided extensive
training. Furthermore for training senior officers, a UBL school of
Banking has been set up at Karachi. Senior bankers and management
experts provide training to the executives and senior officers of the
bank.
2.7 RESEARCH DEPARTMENT

UBL was the first commercial bank in the private sector to
establish a full- fledged Research Department. Prominent economists
of the country have been acclaimed both at home and abroad. Not
only does this research provides useful and cogent studies of
economic development in Pakistan and abroad, it also assists in the
managerial decision making process.
The Research Department is publishing “Economic Matters”

every month since 1967. It was recently upgraded to “UBL
Economic Journal”. In addition, the department also brings out the
“UBL Home Journal”.
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2.8 COMPUTER SERVICES
UBL was the first bank to introduce computers. The
Computer Division was established in 1968. Presently, UBL has
Computer Department at Karachi, Lahore and Rawalpindi. Many
branches have been fully equipped with computers. The Computer
Division prepares weekly, monthly, quarterly, bi- annual and annual
reports for top services to many Government, Semi Government and
private institutions.
2.9 SERVICE TO HAJJIS

For providing prompt and efficient services to the intending
Hajjis who come to UBL every year, the bank has introduced the
most modern system of electronic banking which permits all
formalities to be completed within a short time. This year 2009, UBL
received the greatest number of applications from customers for
Hajj, which shows the customers faith in UBL.
2.10 AUXILIARY BANKING SERVICE

Bank provides a number of auxiliary services such as credit
cards, traveler’s checks and school banking.
2.11 COLLECTION OF UTILITY BILLS

UBL also collects electricity, gas, and telephone bills from the
public on behalf of the respective organizations. The bank also
introduced the bills collection facilities in selected branches in the
evening hours for the convenience of general public. And now
selected UBL branches are collecting the utility bills through online
banking.
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2.12 ISSUANCE OF TV LICENSE
UBL also collects TV License fee on behalf of Pakistan
Television Corporation and issues TV Licenses to the general public.
Sports
UBL was one of the first banks to patronize sports. Senior
executives at the highest level supervise the sports activities.
The bank has established a special department to organize its

various sports activities. It has provided patronage to leading
sportsmen. Many outstanding players and national players
have been included in its teams. The bank has won United
States of America trophies in hockey, cricket, badminton,
table tennis, rifle shooting, etc.
Development of Data Base Management System (DBMS)

United bank is the only bank in Pakistan, which is making use
of its own data base management system (DBMS) since 1971.
The VIS was used in the three main branches of Karachi.
After years of deducted efforts on its work, it succeeded in
loping UNI Bank Plus.
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CHAPTER – 3
ORGANIZATIONAL STRUCTURE
Organizational structure of a firm provides boundaries for

authority of persons and clarifies individual responsibility and
authority. It shows who is responsible to whom, and who has the
authority to give orders to someone. An organization having dual
authority or vague structure would not have clear direction and will
face hurdles in getting its goals and objectives. Therefore, it is very
important for any organization to have a well-established structure of
responsibility and authority. An organization structure should be so
designated to clarify the environment so that everyone knows his
duty and who is responsible for what. It results to remove obstacle to
performance caused by confusion and uncertainty of tasks and to
furnish a decision making communication network reflecting and
supporting enterprise objectives.
3.1 UBL ORGANIZATIONAL STRUCTURE:

UBL also has a well defined formal organizational structure.
UBL is a very vast organization. In the organization set up of

UBL, the highest authority rests with Board of Directors which
consists of Chairman, Deputy Chairman, President & CEO and the
directors. In which four directors are from UBL, one from Pakistan
Banking Council, one from Ministry of Finance and one who is also
the secretary of the board. So the Board of Directors is an eight
member team, and is responsible for policy formulation and making
important strategic decisions.
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THE NAMES OF THE BOARD OF DIRECTORS ARE AS
FOLLOWS:
Chairman
H.H Sheikh Nahayan Mabarak Al Nahayan
Deputy Chairman
Mr. Muhammad Anwar Pervez, OBE, HPK
President & CEO

Atif R. Bokhari
Director
Zameer M. Choudrey
Director
Omar Z. Al Askari
Director
Muhammad Tehsin Khan Iqbal
Director
Ahmad Waqar
 Director
Javed Sadiq Malik
The authority, which is second highest, lies with executive

committee. It consists of seven members, including the president and
secretaries are in charge of divisions. The members are Senior
Executive Vice President (SEVP) of UBL. There are twenty
divisions, which have their own Senior Executive Vice President
(SEVT). Executive Vice President (EVP), or Senior Vice President
(SVP), the
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SEVP to international divisions manages the operations of
foreign countries branches. The rest of the divisions work along their
functional lines as shown in the organizational chart.
At the National level, UBL has a network of branches spread

allover the country and its field operations are one of the most
extensive among the leading banks in Pakistan. At provincial level
the bank is managed by SEVP, who is assisted by General Manager
(OM), who is EVP or SEVP. The OM is responsible for either a
number of regional areas or in charge of various provincial
departments such as Administration, General Recovery, Loans,
Inspection, etc. The complexity and extensiveness of the operations
in a given province determine the number of OMs. OMs are assisted
by circles executives who are of the rank of SEVP or VP.
The entire country is divided into Circles which are further

divided into Zones.
The circles are administered by circle executive. Each zone is

comprised of a number of branches, which are managed by branch
managers who are mostly Grade I or Grade II officers. Some large
sized branches are also managed by AVPs.
3.2 CONCEPT OF HUB AND SPOKES BRANCHES:

The concept of HUB and Spoke branches was introduced by
ANZ Grind lays Bank (now renamed Standard Chattered Bank). The
bank couldn’t get the deMr.ed benefits and withdrew form it.
Another bank which adopted the concept was National Bank of
Pakistan (NBP), which also couldn’t get the deMr.ed results so both
the banks disbanded it. Recently UBL has implemented this scheme
with high hopes. Under the concept big branches of a zone are given
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the status of Hub branches. The Hub branches monitor the activities
of spokes branches. The number of branches under a Hub branch
depends upon the resources of Hub branch and the location of the
spokes branches e.g. in Peshawar there are two hub branches one is
Peshawar Cantt branch and the other one is Khyber Bazaar branch.
All the spoke and Hub branches work under the concerned area
manager. He is responsible for the performance of these branches.
He sits in the Hub branch and is assisted by a Vice President. In
UBL this new concept of banking has shown tremendous results and
is quite successful here. Unlike ANZ and NBP, UBL is getting
benefits from it, and has improved its performance quite well.
3.3 DIVISION OF UBL’S OFFICE

Basically there are two types of offices in UBL
1. Head Office
2. Regional Head quarters
1. Head Office
Head office of UBL is in Karachi. It exercises overall control

over the bank. The head office (HQ) has various functions.
 It formulates polices and ensures its implementation.
 To supervise and control the operations of the regional

offices.
 To formulate policies and ensure its implementation by the

field offices.
 To deal/liaison with foreign donors like IBRD (World Bank),

Asian
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 Development Bank, Islamic Development Bank, KFW
(German Bank),
 FMO Netherlands etc.
 To deal with Ministry of Finance.
 To supervise RHQs.
 To sanction loan applications received from the branches.
 To deal with ministry of finance.
2. Regional Head Quarters

There are Eleven Regional Offices of UBL which fully
cooperate with the Head Office. UBL Regional Offices
performance with reference to sanctions, disbursement,
recoveries, and deposit mobilization is of vital importance to
the bank operations. The functions are as follows:
 To implement the policies formulated by the Head Office.
 To extend the credit facilities by keeping in view all the

prescribed conditions.
 To recover/collect the existing long-term credits extended by

the bank as per schedule.
 To assist customers in the process of development by

advancing loans for viable financial projects.
All the 1056 UBL branches are the representatives of the

bank. These branches provide commercial as well as non-
commercial banking facilities. Various structures involved in the
organization of UBL are given below.
24
3.4 CONCEPT OF CONSUMER ASSETS CENTERS:
As the UBL was privatized the management started thinking
about the consumer products as well the commercial products. For
this purpose the management started hiring from all over the world
in order to collect the cream, and make a world class team without
any doubt.
The management took the consumer head from the bank

which is consider as the pioneer in the consumer sector “City Bank”,
and then he joined hands management and made all the possible
ways to make UBL a World Class Bank on the Consumer Side as
well in the Commercial Sector. They made collectively the plans to
make Consumer Assets Centers in all over the country which was
introduced first time in Pakistan.
The UBL’s Consumer Assets Centers are the state-of-the-art

in the main cities like Karachi, Lahore, Islamabad and Peshawar.
The Consumer Assets Centers are divided in main Head Office,
Regional Centers and New Cities. At the time of launch the regions
were 10 in the country but now it has been increased to 14.
In Consumer Assets centers the products are divided in to two

types: The Secured, and Un-secured Products. The Secured include
UBL Autos, UBL Address, and Credit Card while the UBL Money
and UBL Cashline comes under the canopy of Un-secured Products.
There is a Group Executive, a Global Sales Head, Head

Secured Financing, Head Un-secured Financing, National Sales
Managers, Regional Sales Managers, Relationship Managers and the
Relationship Officers.
25
3.5 TOP MANAGEMENT AT THE HEAD OFFICE:
I. Board of Directors
The executive authority for the general direction and
supervision of the Bank operations or the conduct of business
of UBL vests in Board of Directors. The board consists of a
Chairman and seven other Directors.
The chairman of the Board of Directors is the “Managing

Director”. All the members of the Board of Directors, as well
as the Managing Directors are appointed by the government
of Pakistan.
II. Executive Committee

Executive committee of UBL consists of seven members.
With the expectation of the president, and secretary all other
members serves as In charge of many divisions. These
members are Senior Executive Vice President (SEVP), or
consultants hired on contract basis. The Division Heads that
work under SEVP or consultants are either Senior Vice
President (SVP), Executive Vice President (EVP) or Vice
President (VP). The members of the executive committee
other than the M.D. shall hold office for such period as may
be determined by the Board. The decisions of the executive
committee, other than those, which relate to matters specified
by the board in this behalf, shall be laid before the board
Functions of Executive Committee
 The members of the executive committee other than the M.D.

shall hold office for such period as may be determined by the
Board of Directors.
26
 The decisions of the executive committee, other than those,
which relate to matters specified by the board in this behalf,
shall be laid before the board for approval.
 Subject to the general or special direction of the board, The

Executive Committee may deal with any matter within the
competence of the board.
Managing Director
 The Managing Director is responsible for the efficient
working of the organization. He performs his duty according
to the policies formulated by the Board of Directors and is
directly answerable to it.
 The Federal Government on such salary and on terms and

conditions shall appoint the MD as it might deem fit.
 The MD shall hold office for term of three years, which the
government may extend from time to time.
 The MD shall be the Chief Executive of the organization and

shall perform such functions as required by the Ordinance and
the rules and regulations made for the past.
27
ORGANIZATIONAL HIERARCHY CHART
Board of Directors
Executive Committee
President/CEO
SEVP
EVP
SVP
VP
AVP
Office Grade 1
Officer Grade Officer Grade

Non Clerical Staff Clerical Staff
III II
28
ORGANIZATIONAL HIERARCHY CHART OF
CONSUMER SECTOR IN UBL
Board of Directors
Executive Committee
President/CEO
Group Executive
Global Sales Head
Head Un-secured
Head Secured Financing
Financing
National Sales Manager
Senior Sales Manager
Regional Sales Manager
Relationship
Manager
Relationship
Non-Clerical Staff Processors
officers
29
LOCATION MAP
WITH an integrated network of over 1000 branches in
Pakistan as well as Overseas, UBL gives you direct access to a
comprehensive range of better banking facilities to help you monitor
your business locally as well as internationally.
www.ubl.com.pk
30
CHAPTER – 4
DEPARTMENTATION
4.1 ACCOUNTS DEPARTMENT
This department deals with the internal accounts of the bank.

The only Book maintained here is the cashbook. The summary book
and main ledger are maintained.
The function of cashbook is to balance the daily transactions.

At the end of the day this department receives cash position from the
cashier. This position shows opening and closing balance.
TYPES OF ACCOUNTS
There are three types of accounts:
 Current Accounts
 Saving Accounts
 Fixed Accounts
4.2 REMITTANCES DEPARTMENT

This dept is concerned with transfer of money from one place
to another place. Remittance can take place in three different ways.
I. Mail Transfer
When a customer requests the bank to transfer his money
from this bank to any other bank or the branch of the same
bank in the city/ outside the city or outside the country, the
first thing he has to do is to fill an application form in which
he states that I want to transfer the money from this bank to
another bank. If the customer is the account bolder of bank,
31
then the bank will debit his account. The concerned office will
fill the different forms to make the mail transfer complete.
Three forms used for this purpose are listed below;
 Debit voucher
 Credit voucher
 Mail transfer register
If the customer is not the account holder of bank, then firstly
he has to deposit the money and then the above said procedure
will be adopted to transfer his money.
II. Telegraphic Transfer
This type of transfer is simple. After filling the application

form, the concerned officer fills the telegraphic form. This
telegram is sent to the required bank. Which on receiving it
immediately makes the payment to the customer and
afterwards the vouchers are sent to the bank by ordinary mail.
III. Demand Draft
DD is just a check and is issued when the customer wants to

take the draft personally. The idea behind it is that as the cash
is not safe to be kept along and a check in the shape of a draft
is safer and one can easily get cash by presenting it in the
bank, on whose favor it has been made.
Draft is only issued when the customer is known to the bank

and the bank has the confidence that the customer will not do
anything wrong with the draft. For the preparation of a draft,
first of all customer has to fill an application form, then the
concerned officer fills the following before delivering the
32
draft to the customer. The forms filled for this purpose are as
follows;
 Demand draft register

 Credit vouchers
4.3 DEPOSITS DEPARTMENT

The main economic function of the commercial bank is to
receive surplus balances of individuals, firms, public institutions and
to honor check drawn up to it. The funds deposited with the
commercial banks are classified under four main heads.
I. Current or Demand Deposits

In this type of deposits, the depositor at any time by presenting a
check can draw his money from the bank. People keep some of their
deposits in current account in order to have ready command over
money. No interest is given on current deposits, because it is subject
to transfer or cashing by check at sight. The bank charges
commission on the account, which is called bank charges.
II. Saving Deposits

This deposit refers to the deposits, which are kept to meet the
customer and unexpected outlay or to safeguard financial
respectability. The bank undertakes to repay the money on demand
up to a certain limit fixed by the rules of the bank. The bank pays
interest to the customers on saving deposits. The customer has to
give a notice to the bank about two weeks in advance for withdrawal
of large amounts.
33
III. Fixed Deposits
Fixed deposits are those, which are repayable only after the expiry of
the stipulated period i.e. from three months up to sixty months. The
rate of interest depends upon the length of the period. The rate of
interest on fixed deposits is higher than saving account, because the
bank can safely utilize these deposits for a certain period. Customer
is allowed to borrow the required amount, which should not exceed
his fixed deposit. The bank charges one or two percent higher rate of
interest than the profit allowed to him at his fixed deposit. The bank
issues a receipt against the fixed disposition stating the amount and
the time of expiry to the customer. There is no paying book or
passbook or checkbook issued to the depositor.
Call Deposits
It is a type of bank guarantee on behalf of the depositor given at call.
In this case, Security Deposit Receipt (SDR) is issued by the bank at
the instructions of the depositor, confirming that amount of the SDR
is held by the bank, to be paid whenever called upon to do so by the
beneficiary named in the SDR.
4.4 ADVANCES DEPARTMENT

It is the loan function, which produces the major portion of
banks’ income, and as such it is one of the major areas of
professional bankers’ concerns and attention.
A bank generally deals in following areas;
 Agricultural finance
 Commercial finance
 Industrial finance
 Export finance
34
 Import finance
In addition to the above-mentioned broad areas, there are

loans available to small size businessmen, construction
companies etc.
In UBL, advances department is responsible to deal with

following cases;
1. Handle all the cases of short and long term loans.

2. To process all the cases concerned.
3. To forward the cases for approval and consideration to the
higher authorities.
4. To deal with the borrower directly.
5. To implement the disbursement of the loan.
6. To give feed back to higher authorities in advance.
UBL advances loans in the following manners:
I. By Cash Credit
In this form of lending, the bank lends money to the borrower
against a tangible security. The total amount of the loan, which is
given, is not paid in one installment. The borrower has to pay interest
on the amount borrowed. Cash credit is the favorite loan for large
commercial and industrial concerns, on account that the customers
need not to borrow at once the whole amount he is likely to require,
but can draw such amount as and when required.
II. By Discounting Bills of Exchange

It is another method of advancing loans to borrowers. The holder of
bills is paid an amount equal to the face value of the bill after
deducting interest at the market rate for the period the bill has to
mature. Interest in this type of loan can be charged as running
finance and demand finance.
35
III. By Over Drafting
This facility is given to regular, reliable and well- established

customers. The bank charges interest on the extra money, which the
borrower takes.
When a customer requires temporary accommodation, he may

be allowed to overdraw his current account usually against collateral
security. From the customers point of view this agreement like cash
credit is advantageous, as he is required to pay interest on the
amount actually used by him.
4.5 FOREIGN EXCHANGE DEPARTMENT

In modern banking system, foreign exchange department
plays very crucial and important role from every aspect. It is parallel
banking with general banking with an additional function of import
and export business controlled by State Bank of Pakistan. Rules and
regulations are framed by state Bank of Pakistan in the form of
manuals. Foreign exchange department under SBP regulations also
carries out international banking of UBL. Foreign exchange is being
controlled by SBP. No transaction can be affected without
permission of SBP, under foreign exchange regulations Act 1947 and
notification issued there under. Exchange control department of State
Bank of Pakistan is responsible for day-to-day administration of
exchange control.
All the transactions shall be done at rate authorized by SBP.

For this purpose, US dollar has been fixed by SBP and the rates of
other currencies are calculated in accordance with the formula
approved by SBP and as published daily by the Foreign Exchange
Rate Committee in Karachi. Head office ensures that the branches
36
receive the rates published by Foreign Exchange Rate Committee on
the same day.
The foreign exchange department provides the following

services;
1. Foreign Currency Accounts
Foreign currency in UBL can be opened in 4 major currencies of the

world i.e. US dollar $, Japanese Yen, German Mark, DM and Pound
Sterling. Only authorized branches of UBL can deal in foreign
currency account.
Pakistani citizens and foreigners both can open foreign currency

account by introduction and following the procedure required for
general accounts with one exception for foreigners that they will
have to submit a copy of their passport. The account may be personal
or joint.
Amount deposited in foreign currency account must be in four

currencies, which were mentioned earlier. When the customer will
withdraw the money he will receive the amount in the same foreign
currency. Profit will also be in the same currency. There are two
types of foreign currency account;
a. Current account
b. Saving account
I. Current Account
On current account, no profit is given to the account holder. This
account is exempted from zakat, income tax and wealth tax.
Worldwide remittances (inside and outside) facility is given to
customer. Cash travel checks, foreign exchange bearer certificate,
and coming for customer can be deposited in his account.
37
Similarly account holder can shift the amount or any part thereof to
foreign countries through exchange remittances service.
II. Saving Account

On saving account, a handsome profit is paid to the account holder.
On saving account, profit is paid to the customer in the same
currency in which he had opened the account. This account is also
exempted from zakat, income tax and wealth tax etc.
Saving account can be opened with an amount of $ 100 equivalent in

other three currencies. The facility of inward and outward remittance
is also granted to the customer. Profit is paid on monthly product
basis.
2. Sale and Purchase of Foreign Currency

UBL is an authorized dealer of State Bank of Pakistan. It can sell and
purchase foreign currency. UBL usually involves sale and purchase
of US dollars, Japanese yen, Pound Sterling, German Mark, Saudi
Riyal, and UAE Durham.
Daily exchange rate by SBP from ANZ Grind lays Bank Karachi is
sent to all the branches authorized in foreign exchange. Daily sale
and purchase of foreign currencies is done according to that rate
sheet issued by SBP on daily basis. Sale and purchase rates of
foreign currency are different.
The purchase of coins is avoided, only notes are purchased. Only

those foreign currencies are purchased for which resale to
customer is possible. And only those persons, who have
passport, can sell and purchase foreign currency to or from UBL.
Foreigners can also sell foreign currencies by showing their
passport.
38
There are 5 rates of foreign currencies:
1. For import
2. Cash purchase
3. Cash sale
4. Travel check purchases
5. Foreign currency
It is the policy of UBL to involve only in the sale of hard

currencies i.e. those, which are easily accepted. Head office of UBL
has given certain limits to each authorized branch about the custody
of foreign currency. If the amount exceeds this limit, the branch must
transfer the cash to feeding branch or SBP.
All the authorized branches of UBL must submit following

reports about foreign exchange business;
1. Report to general manager office

2. Monthly business report to SBP
3. Monthly report to head office
3. Remittances in Foreign Exchange

As we know that the money of one country is not legal tender
in other countries. The monetary device, which has been evolved, for
all international payments is the foreign exchange from the exporter
and others who have it for sale and sell foreign currency to importers
and others who need it in their own countries. A transfer from a bank
account in the debtor’s country to the creditor’s country affects the
international payments.
Two branches of the same bank or of different banks involve

in foreign remittance. One is called remitting branch or bank and the
other is called receiving branch or bank. In foreign currency, SBP
39
has given general permission to authorized dealers in foreign
exchange including UBL to affect remittances for specific purposes
without referring it to (SBP) for approval i.e. remittance on account
of education subscription, books and periodical of technical nature.
Remittance can be done in following ways;
1. Telegraphic Transfer (TT)

2. Mail Transfer (MT)
3. Foreign Demand Draft (FD
40
CHAPTER – 5
BANKING EFFORTS
5.1 COMMERCIAL BANKING

If you have a small or medium-sized business, UBL can assist
you with the right mix of banking services that will help you manage
and grow your business. Our experts will facilitate you in the varied
financial situations that you come across. We will respond to your
needs promptly because we understand how many your customers,
your employees and you depend on us.
5.2 CONSUMER BANKING

You as an individual can gain and benefit the most through
UBL Consumer Banking. In UBL you get friendly, efficient and
attentive personalized banking services - a unique banking
relationship experienced by each UBL client. You can utilize the
following services
 UBL Cash line

 UBL Address
 UBL Drive
 PLS Term Deposits
 PLS Savings Accounts
 Uni-Saver
 Remittances
41
5.3 CORPORATE BANKING
Our mission is to serve all your corporate needs and ensure
your full satisfaction through product innovation, personalized
banking, and top notch service.
The CBG department of UBL defines corporate banking in

Pakistan. Amongst the local banks UBL CBG is the pioneer in
providing innovative solutions to its diversified and satisfied
customer base. UBL CBG is considered to be a major player in the
financial market of Pakistan.
The Corporate Banking Group focuses on attracting and

servicing large portfolio customers. Our effort is providing
exemplary customer service using the "Single Window" concept and
product superiority. The Relationship Management team managed by
highly qualified individuals from the industry has steadily expanded
our customer base and continues to enhance our cordial relations
with our esteemed clients.
Despite the sluggish economic growth in recent years, UBL

outperformed all the other local banks in the corporate banking
sector primarily due to CBG's emphasis on establishing and
enhancing relationships with foreign/local blue chip and middle
market customer’s thereby capturing significant market share.
UBL's appetite for large exposures coupled with dedicated

Structured Finance Unit, and an innovative team of professionals
having extensive experience of Corporate Banking gives it the right
platform to succeed in todays competitive and a demanding
environment.
42
The success of CBG has been established from the fact that
UBL received the 'No.1Euromoney 2000' Best Local Bank award
and recognized it to have out performed all other banks. In year
2000, UBL was also voted as the best Corporate Bank by the
customers of a major foreign bank in a survey. Aggressive marketing
combined with professionalism has led to an increase in UBL's
market share with top corporate customers and in some cases
replacing Foreign Banks.
FINANCIAL PRODUCTS
5.4 UNI CASH

Nowadays carrying cash while going out of your home is very
risky. Every body wants maximum security while keeping his money
in his pocket. People make use of TC and various credit cards for
this purpose. UBL provides such facility through UNI CASH. The
management of UNI CASH is carried out in the following way.
I. Personal Identification Number

When a Uni-Cash card is issued to a customer, a unique number
known as Personal Identification Number (PIN) is also allotted to
him/her. This is 4 digits confidential number which when used in
conjunction with the Uni-Cash card enables the customer to avail the
cash point service. To keep it secret even from the bank staff, the
PIN is generated and printed in a special manner by the computer on
pre-sealed, tamper proof PIN millers. These PIN millers are designed
in such a way that the PIN is only visible after the envelope is
opened by the customer.
43
II. Card serial number
The customer will notice that some numbers and alphabets are
embossed on his Uni-Cash card. The first line obtains UNICASH
CARD SERIAL NUMBER while the other line has customer’s
name, account number and card expiry Month/ Year.
III. Weekly withdrawal limits
The Uni-Cash card issued to customer carries a weekly withdrawal

limit, which applies to cash withdrawal, made from any of the cash
point. This limit is equal to initial amount deposited by him at the
time of applying for his card.
IV. Cash points

For customer’s convenience, a number of cash points are available in
the country. These machines are at customer’s service round the
clock on all days of the year. Uni-Cash card can be used in these
machines. Besides cash withdrawal, cash points would provide the
following facilities;
 Balance Inquiry Mini Statement
 Pin Change
V. Card Captures
Cash points will automatically capture card that have been duly
reported as lost or have been cancelled or have expired. Similarly if
one fails to key-in his correct PIN, in three repeated attempts, the
card will be captured.
VI. Loss of Card

In case, customer loses his UNI CASH card or the card is stolen, the
matter should invariably be brought to the notice of the bank
personnel.
44
5.5 UNI SONA
This product has been designed to attract more and more
savings. As inflation in Pakistan is at a very high rate, due to which
money has very limited value.
The features of Uni-Sona are the following;
 The amount deposited in the bank becomes triple after seven

years.
 If person withdraws his money after five years he will get

double amount as compared to its initial deposits.
There is also a facility for partial withdrawal from principle

amount. For example, if a person has deposited Rs.50, 000,000 in
January 1993 and he withdraws Rs.20, 000,000 in January 1995. In
1996 the person has Rs. 30,000,000. This amount will receive the
same interest rate and would be doubled (Rs. 60,000,000) in January
98 and triple (RS. 90,000,000) in January 2000.
5.6 UNIZAR
It is a special type of foreign currency account and can be

opened in two currencies i.e. US $ and Pound Sterling. Minimum
amount required for opening of this account is 750 pounds or $ 1000.
Profit is paid in the currency in which the account is opened. Rate of
return of 2.25% is paid to the depositor.
A special feature of this account is that withdrawal from the

deposits can be made anywhere in the world in the UBL branch.
45
5.7 UNISAVER
It is a special type of account designed for corporate savers.
This account can be opened with Rs.1 m up to Rs. 10 m. The
minimum profit rate is 4% while maximum limit is 8%. Profit is
paid on daily product basis. Any one can open this account.
46
CHAPTER – 6
FINANCIAL ANALYSIS
Financial analysis is performed in order to determine whether
the business organization is performing satisfactorily or not in
respect to other competitive organizations.
Financial analysis is the process of identifying the financial
strengths and weaknesses of the firm by properly establishing
relationships between the items of balance sheet and profit and loss
account. Financial analysis can be undertaken by management of the
firm or by parties’ outsides the firm viz. owners, creditors, investors
and others. The nature of the analysis depends on the purpose of the
analyst.
Trade creditors are interest in firm’s ability to meet their
claims over a very short period of time. Their analysis will,
therefore, confine to the evaluation of the firm’s liquidity position.
Suppliers of long term debt on the other hand are concerned
with the firm’s long term solvency and survival. They analyze the
firm’s profitability over time, its ability to generate cash to be able to
pay interest and repay principal and the relationship between various
sources of funds (capital structure relationship). Long term creditors
do analyze the historical financial statements but they place more
emphasis on the firm’s projected financial statements to make
analysis about its future solvency and profitability.
Investors, who have invested their money in the firm’s share,
are most concerned about the firm’s steady growth in earnings. As
such, they concentrate on the analysis of the firm’s present and
future profitability. They are also interested in the firm’s financial
47
structure to the extent it influences the firm’s earnings ability and
risk.
Management of the firm is interested in every aspect of the
financial analysis. It is their overall responsibility to see that the
resources of the firm are used most effectively and efficiently and
that the firm’s financial condition is sound.
UNITED BANK LIMITED
RECASTED BALANCE SHEET
AS AT DEC, 31, 2009
(Rupees in 000)
Assets 2009 2008 2007
Cash and balances with treasury banks 34,062,679 23,844,435 17,274,461
Balances with other banks 12,729,207 17,699,334 11,366,434
Lending to financial institutions 17,867,552 18,360,633 23,096,028
Investments 63,026,944 54,953,728 56,516,760
Advances
Performing 201,152,095 139,699,440 92,513,736
Non-performing 3,658,375 4,481,615 3,611,442
Other assets 7,829,770 4,439,580 3,001,793
Total current Assets 340,326,622 263,448,765 96,125,178
Fixed assets 4,449,324 3,969,006 3,754,236
Deferred tax asset-net 2,273,005 5,194,892 5,486,357
Total Assets 347,048,951 272,612,663 216,621,247
Liabilities
Bills payables 4,159,964 3,811,284 2,975,910
Borrowing from financial institutions 21,790,480 11,975,684 7,710,375
Deposits and other accounts 289,226,299 230,256,627 185,071,502
Subordinated loans 3,999,192 3,500,000 ---
Liabilities against assets subject to --- 288 39,995
finance lease
Other liabilities 6,204,746 5,704,749 4,541,704
Total liabilities 325,380,681 225,248,632 200,339,486
Net Assets 21,668,270 17,364,031 16,281,761
Owner’s Equity
Share capital 5,180,000 5,180,000 5,180,000
Reserves 6,225,461 5,915,928 4,678,317
Inappropriate profit 7,250,813 3,274,439 1,384,490
18,756,274 14,370,367 11,242,807
Surplus on revaluation of assets 2,911,996 2,993,664 5 ,038,954
Total owner’s equity 21,668,270 17,364,031 16,281,761
Total liabilities and owner’s equity 347,048951 272,612,663 216,621,247
Source: UBL Annual Report 2007, 2008, 2009
48
UNITED BANK LIMITED
RECASTED INCOME STATEMENT
FOR THE YEAR ENDED DEC, 31,2009
(Rupees in 000)
2009 2008 2007
Markup/return/interest earned 20,158,860 9,233,881 8,944,260
Markup/return/interest expensed 6,045,848 1,732,760 1,888,349
Net markup/interest income 14,112,912 7,501,121 7,055,911
Provision against loans and advances-net 1,277,002 435,414 444,871
Provision (reversal) for diminution in value of 112,666 (100,381) 104,285
investment-net
Bed debts written off-directly 38,140 3,841 12,897
1,427,808 338,874 562,053
Net markup/return/interest income after 12,685,104 7,162,247 6,493,858
provision
Net markup/interest income
Fee, commission and brokerage income 2,543,739 1,654,475 1,442,642
Dividend income/ gain on sale of investments 583,982 1,102,510 2,057,314
Income from dealing in foreign currencies 675,109 668,085 436,656
Other income 1,210,202 1,072,750 607,500
Total non-markup/return/interest income 5,013,032 4,497,826 4,544,112
EBIT 17,698,138 11,660,073 11,037,970
Non markup /interest Expense
Administrative expenses 7,874,013 6,794,311 6,153,913
Other provision /write offs/(reversals) 335,409 (34,422) 551,840
Other charges 7,066 10,456 5,501
Total non markup/interest expenses 8,216,488 6,770,345 6,711,254
Extraordinary items ---- --- ---
Profit before Taxation 4,889,728 4,326,716 4,889,728
Taxes 498,748 283,083 193,050
Net Profit 4,606,645 4,043,633 3,614,750
Source: UBL Annual Report 2007, 2008, 2009
49
6.1 RATIO ANALYSIS
Ratio analysis is a powerful tool of financial analysis. A ratio
is defined as “the quotient of two mathematical expression” and as
“the relationship between two or more things”. In financial ratio
analysis a ratio is used as benchmark for evaluation the financial
position and performance of a firm.
STANDARD OF COMPARISON
The ratio analysis involves comparison for a useful
interpretation of financial statements. A single ratio is itself does not
indicate favorable or unfavorable condition. It should be compared
with some standard. Standard of comparison may consist of:
Past Ratios
Ratio calculated from the past financial statements of the
same firm.
Competitors Ratios
Ratios of some selected firms, especially the most progressive
and successful competitors at the same point in time.
Industry Ratios
Ratios of the industry to which the firm belongs.
Projected Ratios
Ratios developed using he projected, or Performa, financial
statements of the same firm.
Table No. 6.1 Financial Ratio’s at a glance 2007, 2008, and 2009
Years 2007 2008 2009
Gross profit margin 78.8% 81.23% 70%
Net Profit Margin 40.41% 43.79% 22.85%
Return on Assets 1.67% 1.47% 1.33%
Return on Equity 22.20% 23.29% 21.26%
Current ratio 0.48 1.17 1.05
Cash ratio 0.14 0.18 0.14
Debt to Equity Ratio 12.30 12.97 15.02
Total Debt to total Assets 0.92 0.83 0.94
50
Current Asset Turn Over Ratio 3.76 1.53 1.35
Taxation to Total Income 5.34 7.00 10.83
Assets Turnover Ratio 0.023 0.023 0.013
Fixed Asset Turnover Ratio 0.96 1.02 1.03
Interest Coverage Ratio 1.64 1.72 2.15
Interest Expense to Deposit 3.63 2.94 2.84
6.2 RATIO ANALYSIS DETAILED
I. Profitability Ratios
The objective of any firm is to increase the wealth of
shareholders. So profitability ratio is calculated in order to determine
how much increase or decrease has occurred in the wealth of
shareholders of a business.
II. Gross Profit Margin

This ratio tells us the profit of the firm related to sales after
deducting the cost of producing the goods or ini other words an
indication of the total margin available to cover operating expense
and yield a profit.
Formula: {Gross Profit / Net Sales} x 100
Gross Profit Margin (2007) = {7,055,911 / 8,944,260} x 100
51
Year 2007 2008 2009
Gross Profit Margin 78.8% 81.23% 70%
Graph 6.1 Gross Profit Margin
82
80
78
76
74
Gross profit
72
ratio
70
68
66
64
2007 2008 2009
Years
The Gross Profit of the bank in 2007 was 78.8%, which

increased to 81.23% and then decreased to 70%. The gross
profit decreased in 2009 because of increase in cost of goods
sold.
52
III. Net Profit Margin
The net profit margin is a measure through which the fir’s
profitability is measured. It tells about the firm’s net income per
dollar of sales.
Formula: {Net Income / Net Sales} x 100

Net Profit margin (2007) = {3,614,750 / 8,944,260} x 100
Net Profit margin (2008} = {4,043,633 / 9,233,881} x 100
Net Profit margin (2009} = {4,606,645 / 20,158,860} x 100
Year 2007 2008 2009

Net Profit Margin 40.41% 43.79% 22.85%
Graph 6.2 Net Profit Margin
45
40
35
30
25
20 Net profit margin
15
10
5
0
2007 2008 2009
Years
The net profit ratio shows that net profit increased from 2007
to 2008.But decreased in 2009, which is partially because of
increase in expenses and cost of goods sold.
53
IV. Return on Assets
It is the ratio that explains that how efficiently the assets are
being utilized. The high return on assets means efficient utilization
of the assets.
Formula: {Net Income / Total Assets} x 100

Return on Assets (2007) = {3,614,750 / 216,621,247} x 100
P11 2007 2008 2009

Return on Assets 1.67% 1.47% 1.33%
Graph 6.3 Returns on Assets
1.8
1.6
1.4
1.2
1
Return on
0.8
Asset
0.6
0.4
0.2
0
2007 2008 2009
Years
The return on assets decreases gradually as can be seen from
the above table. It shows that the assets are not utilized efficiently.
This should be controlled in order to improve the bank financial
position and attract more deposits.
54
V. Return on Equity
This ratio tells us the earning power on shareholders’ book
value investment and is frequently used in comparing two or more
firms in an industry. A high return on equity often reflects the firms’
acceptance of strong investment opportunities and effective expense
management.
Formula: {Net Income / Equity} x 100

Return on Equity (2007) = {3,614,750 / 16,281,761} x 100
Year 2007 2008 2009

Return on Equity 22.20% 23.29% 21.26%
Graph 6.4: Return on Equity
23.5
23
22.5
22
21.5 Return on Equity
21
20.5
20
2007 2008 2009
Years
The return on equity has increased from 2007 to 2008 by
1.09%. But has decreased from 2008 to 2009 by -2.03% which
shows rise in liabilities, inefficient management. This situation
should be improved so as to bring something to equity holders.
55
VI. Liquidity Ratios
Liquidity ratios show that how efficient management is to
meet its current liabilities from it current assets.
i. Current Ratio
Current ratio indicates the extent to which the claims of the
short term creditors are covered by assets that are expected to be
converted into cash a period roughly corresponding to the maturity
of the liabilities.
Formula: Current Assets / Current Liabilities

Current Ratio (2007) = {96,125,178 / 200,339,486}
Current Ratio (2008) = {263,448,765 / 225,248,632}
Current Ratio (2009) = {340,326,622 / 325,380,681}
Years 2007 2008 2009

Current Ratio 0.48 1.17 1.05
Graph 6.5: Current Ratio
1.2
0.8
0.6
West
0.4
0.2
0
2007 2008 2009
Years
The current ratio shows increase from 2007 to 2008, which is
encouraging. But decreased in 2009. This is because of increase in
56
liabilities. But still it shows that current assets are more than current
liabilities, which is sufficient to meet current liabilities.
ii. Cash Ratio

This is a relationship between cash in hand and current
liabilities. It indicates the extent to which cash covers the claims of
short-term creditors in hand.
Formula: {Cash / Current Liabilities}

Cash Ratio (2007) = {28640895 / 200,339,486}
Cash Ratio (2008) = {41543769 / 225,248,632}
Cash Ratio (2009) = {46791886 / 325,380,681}
Year 2007 2008 2009

Cash Ratio 0.14 0.18 0.14
Graph 6.6: Cash Ratio
0.18
0.16
0.14
0.12
0.1
0.08 Cash Ratio
0.06
0.04
0.02
0
2007 2008 2009
Years
From the cash ratio we see that this ratio has increased from
2007 to 2008. But decreased in 2009 by –0.04, which came to the
57
2007 position which is not too big decrease. Overall cash position is
satisfactory.
VII. Leverage Ratios

Leverage means using borrowed money to earn a return
greater than the cost of borrowing, increasing net income and the
return on common stockholders’ equity.
i. Debt to Equity Ratio

This is a ratio that shows the share of owners and outsiders in
the business. It explains the extent to which the bank is financed by
the owners and debtors.
Formula: {Total Debt / Owner’s Equity}
Debt to Equity Ratio (2007) = {200,339,486 / 16,281,761}
Debt to Equity Ratio (2008) = {225,248,632 / 17,364,031}
Debt to Equity Ratio (2009 = {325,380,681 / 21,668,270}
Year 2007 2008 2009

Debt to Equity Ratio 12.30 12.97 15.02
Graph 6.7: Debt to Equity Ratio
16
14
12
10
8 Debt to Equity
6 Raio
4
2
0
2007 2008 2009
Years
58
The debt to equity ratio has increased continuously from 2007
and onward. But increase in 2009 is more than increase in 2008. This
shows that business has financed by debtors more than the owners.
And this ratio has risen in 2009. But anyhow the trend is improving.
ii. Total Debt to Total Assets Ratio

This ratio highlights the relative importance of debt financing
to the firm by showing the percentage of the firm’s assets that is
supported by debt financing. The greater this ratio the greater will be
the protection for creditor.
Formula: {Total Debt / Total Assets}

Total Debt to Total Assets Ratio (2007 = {200,339,486 /
216,621,247}
Total Debt to Total Assets Ratio (2008 = {225,248,632 /
272,612,663}
Total Debt to Total Assets Ratio (2009) = {325,380,681 /
347,048,951}
Year 2007 2008 2009

Debt to Total Assets 0.92 0.83 0.94
Graph 6.8: Debt to Total Assets Ratio
0.94
0.92
0.9
0.88
0.86
Debt to total
0.84
ratio
0.82
0.8
0.78
0.76
2007 2008 2009
Years
59
The above ratio shows a satisfactory picture of the bank.
Although the ratio decreased in 2008 but it then increased in 2009.
This means that the bank is becoming safer for the investors. Which
will further lead to the increase in the per value share of the bank.
6.3 ACTIVITY RATIOS
Activity ratios also known as Efficiency or turnover ratios,
measure how effectively the firm is using its assets.
I. Current Asset Turnover Ratio
It shows the relationship between revenue and current assets,
a measure of the revenue productivity and utilization of current
assets.
Formula: {Net Revenue / Current Asset} x 100
Current Asset Turnover Ratio (2007) = {3,614,750 /
96,125,178} x 100
263,448,765} x 100
340,326,622} x 100
60
Year 2007 2008 2009
Current Asset Turnover Ratio 3.76 1.53 1.35
Graph 6.9: Current Asset Turnover Ratio
4
3.5
3
2.5
2 Current Asset
1.5 Turnover Ratio
1
0.5
0
2007 2008 2009
Years
The current asset turnover ratio is decreasing from 2007 to
2009. This tells us that the current assets are not utilized efficiently
because of management ineffectiveness.
II. Taxation to Total Income
This ratio shows the percentage of tax that is applied to total

net income.
Formula: {Tax / Total Income} x 100

Taxation to Total Income ratio (2007) = {193,050 /
3,614,750} x 100
4,043,633} x 100
4,606,645} x 100
61
Year 2007 2008 2009
Taxation to Total Income Ratio 5.34 7.00 10.83
Graph 6.10: Taxation to Total Income Ratio
12
10
8
6 Taxation to total
Income Ratio
4
0
2007 2008 2009
Years
This ratio shows continuous increase. Because the profit of

the bank is also increasing.
III. Assets Turnover Ratio

The asset turnover ratio is the ratio that explains the
relationship between the Net sales and the total Assets. That how
much efficiently the assets are being turnover into sales.
Formula: {Net Revenue / total Assets}
Assets Turnover Ratio (2007) = {3,614,750 / 216,621,247}
62
Year 2007 2008 2009
Assets Turnover Ratio 0.023 0.023 0.013
Graph 6.11: Assets Turnover Ratio
0.025
0.02
0.015
Asset
Turnover
0.01
Ratio
0.005
0
2007 2008 2009
Years
The ratio indicates that the asset turnover remained the same
in both 2007 and 2008. But decreased in the year 2009. This means
that the bank does not efficiently utilize the assets in the year 2009.
IV. Fixed Assets Turnover Ratio

This ratio explains the relationship between the fixed assets
and Net Revenues. That how efficiently the fixed Assets contribute
to the Net Revenues.
Formula: {Net Revenue / Total Fixed Assets}
Fixed Assets Turnover Ratio (2007) = {3,614,750 / 3754236}
Fixed Assets Turnover Ratio (2008) = {4043633 / 3969006}
Fixed Assets Turnover Ratio (2009) = {4,606,645 / 4449324}
63
Year 2007 2008 2009
Fixed Assets Turnover Ratio 0.96 1.02 1.03
Graph 6.12: Fixed Assets Turnover Ratio
1.04
1.02
0.98 Fixed Assets

Turnover Ratio
0.96
0.94
0.92
2007 2008 2009
Years
The contribution of fixed asset to generating Revenue is

shown in the above graph. In the year 2007 the ratio is low. But
increased in the years 2008 and 2009, which is encouraging. Also
this ratio tells us that these fixed assets are utilized efficiently.
6.4 COVERAGE RATIOS
Coverage ratios are designed to relate the financial charges of

a firm to its ability to service, or cover, them. In other words this
ratio help us to determine that how much of the interest expenses are
covered out of the revenue generated.
I. Interest Coverage Ratio

This ratio serves as one measure o the firm’s ability to meet
its interest payments and thus avoids bankruptcy. In general the
64
higher the ratio, the greater the likelihood that the company could
cover its interest payments without difficulty.
Formula: {Earning Before Interest and Taxes/Interest

Expenses}
Interest Coverage Ratio (2007) = {11,037,970 / 6711254}
Interest Coverage Ratio (2008) = {11660073 / 6770345}
Interest Coverage Ratio (2009) = {17698138 / 8216488}
Years 2007 2008 2009

Interest Coverage Ratio 1.64 1.72 2.15
Graph 6.13: Interest Coverage Ratio
2.5
1.5
Interest
Coverage
1
Ratio
0.5
0
2007 2008 2009
Years
The increase in the Ratio indicates that the bank has enough
profit to pay its interest expenses.
II. Interest Expense to Deposit
The ratio reflects the rate at which the bank has honored the
depositors.
Formula: {Interest Expense / Deposit} x 100
65
Interest Expense to Deposit (2007) = {6711254 / 185071502}
x 100
x 100
x 100
Year 2007 2008 2009

Interest Expense to Deposit 3.63 2.94 2.84
Graph 6.14: Interest Expense to Deposit Ratio
4
3.5
3
2.5
Interest
2
Expense to
1.5 Deposit Ratio
1
0.5
0
2007 2008 2009
Years
The interest rats offered to the public are getting decreased.

This is not beneficial for the bank. But as the policy of the
government, the bank has to keep the interest rates as lower as
possible in order to encourage the investment.
66
CHAPTER – 7
FINDINGS AND RECOMMENDATIONS
Recommendations are based on the previous sections of a

report and are suggestions that the analyst feels are required to be
implemented in order to improve further the standing and position of
the firm in the financial world. These are thus based on the findings
and shortcomings noted in an organization while working with it and
then writing on it. Opinions of various capable individuals are sought
who through their real life experiences and deep insight are better
able to judge whether the course of action adopted by the
organization is going to prove fruitful or does it require further
improvement in the form of changes in its strategies.
Following are the findings and recommendations for various

Departments that were felt are required while consulting the staff
members of UBL.
7.1 DEPOSITS DEPARTMENT

The comparative analyses reveal that UBL has the lowest
share of Deposits out of the total in the market. Since deposits are the
lifeblood of a bank, it should attract more customers and expand its
deposit base in the following manner
I. Simplification of Procedures
The procedure of opening an account should be simplified.
The account opening form should be self-explanatory and include
translations in Urdu for those customers who are not well read, since
67
the fact cannot be ignored that many people do not have a good
understanding of English.
II. No Duplication of Activities

Once the account opening form is filled there should be no
reason to submit a written application for opening an account, since
it not only is a wasteful and time consuming exercise on the part of
the customer but also makes filing lengthy.
III. Incentives for Depositors

Those who deposit large amounts of money or are old
customers of the bank should be given free credit lines up to a
certain limit. Besides, financial advice should be provided to
customers in case there is a change in the market trend before they
seek for it.
IV. Integrated Marketing Approach

All the officers in Deposits Department should be involved in
marketing and not just opening accounts and maintaining their
records. This can be done through improving their personnel
relations’ skills and applying the Uni-Service concept of visiting the
potential customers at their offices and homes.
V. Performance Appraisal
UBL should follow the performance evaluation policy strictly
and award those who bring in deposits and help it increase its market
share. Unfortunately, this has been stated in the bank’s policy but is
not being implemented.
7.2 REMITTANCES DEPARTMENT

The Remittances Department at the Branch is divided into
Inland Remittances and Foreign Remittances.
68
Both these are dealt by separate officers and involve using
specific stationary and procedures. The following recommendations
are made for this very important Department of the bank
I. Organizing the Department

The Department is spread over the entire bank with no
specific person or desk for the purpose. Usually drafts and
telegraphic transfers are made in the cash counter that results in
hassle for the other customers. A senior officer detached from the
other officers performing inland remittance transactions handles the
foreign remittances. It would be better for them to sit together so that
they can benefit from his experience and know how.
II. Centralized Money gram Services

The customers receiving funds from abroad have to wait quite
long in order to get their money as the branch sends the application
form through fax to the City Branch from where it is confirmed
whether the amount has been credited to the Branch or not. This
confirmation takes long at times and there is always a fear of the
bank losing its goodwill in case of lengthy delays. The service
should thus be decentralized and the Hub Branch having the
authority of directly confirming the amount.
7.3 CASH DEPARTMENT

The following recommendations are made for the Cash
Department.
I. Expansion of the Cash Counter

The Cash Department at the Branch needs special attention in
the sense that the cash counter is small and becomes crowded when
there are more than five to six customers to attend. Customers
69
purchase drafts and other instruments from the very same counter
where utility bills are collected and cash is deposited and withdrawn.
Hence, if a new counter cannot be built due to certain limitations the
utility bills should be collected through a window so that the regular
customers do not face any problems.
II. Extended timings for Cash

In order for the bank to progress and compete with the others
in the market, it should extend the time for accepting and
withdrawing cash. The customers face great hardship especially
when they come from far off places and find that the cash counter is
closed for the daily transactions.
7.4 BILLS AND CLEARING DEPARTMENT

The following suggestions are made for this Department
keeping in view the problems noted in it.
I. Career Development
It has been noted that the officers taking bills for clearing do
not involve themselves much with the other operations of the bank
and thus remain on the very same post and seat throughout their
banking career. This is against the modern day policies of
organizations giving their employees conducive, rewarding and
equal opportunities of prospering and growing with it. Thus, the
Human Resource Department at the Head Office should prepare a
plan that shows the future growth potential of the employees based
on their job performance and evaluation and make it known to all.
II. Job Rotation

There should be job rotation of employees especially in this
department as it was felt that the employees here know quite less as
70
compared to the others. This will enhance their capabilities and help
them break the monotony making them find their work more
interesting.
7.5 ADVANCES DEPARTMENT

There were certain drawbacks in the application and
processing for the loan requests that were observed at the branch.
The findings and the recommendations are as under
I. Proper Documentation
If valid documents are not obtained before sanctioning the
loan limit, it becomes irrecoverable in case of default by the
borrower. It has been noted that at times the related officers oblige
the customer by letting him submit the documents later and
approving the limit by getting the Disbursement Authorization
Certificate from the Credit Committee. It proves to be very time and
resource consuming afterwards tracing the borrower to bring in the
documents. Therefore, correct and complete documents should be
attained before the amount is sanctioned and no leniency shown in
any case.
II. Computerized Record

All the sanctioned cases should have record on the computer
as it is easy to access and does not involve the hassles of maintaining
and retrieving large and old files. For this purpose, training programs
should be organized for the Relationship Managers to enable them to
have a basic computer know how. Through this, they would also be
able to assess the financial position of the prospective borrower in
minutes by using related financial software.
71
III. Verification of Security
Physical verification of the security tendered is a must rather
than to merely rely on the documents. It had been noted that where
the property to be hypothecated/ mortgaged lay in remote areas such
as the regular physical visits are avoided by the officers. This and the
above factors result in an increase in the non-performing loans of the
bank and as result UBL had more debts turned bad as compared to
the other banks. For this purpose, regular physical verification must
be conducted of securities pledged and hypothecated.
7.6 OTHER FINDINGS AND RECOMMENDATIONS

The following recommendations are for the bank as a whole
I. Development of Managerial Leadership

Good managerial skills make positive contribution towards
higher effective results. UBL should focus on the effective utilization
of its human resource by applying the modern style of management.
This can only be possible if political interferences are discouraged
especially when hiring and placing personnel and the recruitment
policies are changed to give preference to BBA students.
II. Tests for Promotions

A sizeable portion of the officers at UBL is promoted without
conducting any tests and interviews. This results in undeserving
people sitting on the managerial posts and steering the organization
away from its goals and objectives in the long run.
72
III. Training for Credit Management
Special trainings on credit management should be imparted to
the staff dealing in financing activities of the bank. This is very
important in light of current loan default scenario in the economy.
IV. Delegation of Powers

Delegating powers to the Department in-charges up to the
greater possible extent will most certainly reduce the workload on
the managers and they would be able to perform well by taking quick
remedial actions where necessary. Besides, the spare time will be
spent dealing with matters of more important nature.
V. Research and Development Department

A Research and Development Department in UBL will help it
to adopt new procedures and modern techniques that will help the
bank to compete with the others. An R&DD should be maintained at
all the Hub Branches that would define the target market for the bank
in that particular area and through its findings suggest measures to
improve the performance of branches there.
73
BIBLIOGRAPHY
 Block Stanley B & Hirt Geoffrey A. (1998) Fundamentals of

Financial Management.
 Earl, K Bowen. (1999). Basic Statistics for Business and

Economics. International Edition, (Pvt.) Ltd.
 Edwin B Fillip (1998) Principles of Personnel Management,

McGraw Hill Inc.
 Koontz, Harold. (1993). Management. Tenth Edition.

Singapore McGraw Hill.
 Management. Seventh Edition, Richard. O Erwin Inc.
 Memorial C.B. (1987). Personnel Management. New Delhi,

Himalayand
 NaMr. M Saeed. (1993). Banking Currency and Finance.

Lahore: Ilmi Kutab Khana.
 Philip Kotler. (1991). Marketing Management. New Jersey,

Ninth Edition, Prentice Hall International Inc., Publishing
House.
74
 Reece, Barry L. (1987). Business. Houghton Mifflin
Company.
 Siddiqui Asrar H. (1993). Practice and Law of Banking in

Pakistan. Karachi, Royal Book Company.
 Simons, Harry. (1964). Intermediate Accounting. Forth

editions USA: Southwestern publishing company.
 Van Horane, James C. (1998). Fundamentals of Financial

Management. Tenth Editions. New Jersey: Prentice Hall.
75

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CHAPTER – 1

The opponents of this opinion argue that if it was so, then

Other authorities hold the opinion that Bank is derived from

1.2 DEVELOPMENT OF MODERN BANKING

They were so resourceful that even the kings had to depend on

The business of changing money was so lucrative that King

The discovery of America brought riches to England and gave

This shook the confidence of the merchants in the Royal

Over a period of time, these goldsmiths discovered that large

In 1672, however, English banking faced a great crisis when

In 1708 the privilege to issue Notes in England was

1.3 GROWTHS AND HISTORY OF UBL

This achievement was secured after passing through many

 The narrowest bid/ask spreads and the fastest quotes

The best relationships with institutional, corporate and retail

Under the new management, the TCM expedited the launch of

UBL TCM is a market maker in both the domestic money

UBL was the first local bank to establish a Corporate

Equities are responsible for managing the bank’s trading and

The Strategic Planning and Balance Sheet Management

Liquidity Management for the domestic balance sheet - This

 Overseas Branches Treasury and Capital Markets - we plan to

 Research - providing market research for internal and external

1 Mr. Ismail Ibrahim Chandrighar Chairman

Presently UBL is managed by a board of directors including

The names and designations of present top management include;

Since inception, UBL provides personalized, efficient and

UBL arranges prompt payment of inward remittances.

“The names and tenure of various presidents of UBL after

1.5 NUMBER OF BRANCHES

They have branches in:

 United States of America

 United Bank of Lebanon & Pakistan

United bank of Lebanon and Pakistan was established in

United Bank A.G. Zurich also was established in 1968 and

1.6 JOINT VENTURE

1.7 ROLE OF UBL IN N.W.F.P.

The list of hub branches come under the Peshawar Region is

1.8 MISSION STATEMENT OF UBL

1.9 OBJECTIVES OF UBL

 To ensure growth and development of the bank.

 To increase industrialization in the country.

 To provide financial help to the farmers.

 To provide employment opportunities.

 To make people more of mind to have saving habits.

SERVICES OFFERED BY UNITED BANK

2.1 CONSUMER BANKING

In the arena of consumer banking the bank has carved a niche

2.2 CORPORATE BANKING

United Bank’s product line-up fulfills and satisfies the

2.3 INVESTMENT BANKING

IBG concludes more transactions, both number and volume

More specifically, while IBG maintained its leading status in

Nowadays IBG is focusing on the fast emerging Technology,

2.4 AUTOMATED BANKING

United Bank Ltd provides:

 Online Banking/ Uni Remote

 UBL Business Partner ( In 500 branches and 250 cities)

The interest free banking system was introduced on January I,