AN INTERNSHIP REPORT

ON

“MACHHAPUCHCHHRE BANK LIMITED” HEAD OFFICE, LAZIMPAT,

NEPAL

Submitted By:

Pratima Ojha

Exam Roll No: 21221099 P.U. Reg. No: 2021-2-22-0337

Submitted To:

Ace Institute of Management Pokhara University

In partial fulfillment of the requirements for the degree of

Master of Business Administration

Kathmandu, Nepal

November 2023
 DECLARATION

I hereby declare that this research report is my own work and that it contains no
materials previously published. I have not used its materials for the award of any
kind and any other works. Where other authors' sources of information have been
used, they have been acknowledged. Ideas/Views expressed in this report not
necessarily represent the views of School of Business.

Signature:

Name of student: Pratima Ojha

Date: 3rd November 2023

II
INTERNSHIP CERTIFICATE ISSUED BY THE ORGANIZATION

III
 ACKNOWLEDGEMENTS

I would like to extend my heartfelt appreciation to all the individuals who played a
crucial role in the completion of this dissertation. I am profoundly thankful to
Pokhara University for providing an invaluable internship program that afforded me
the opportunity to gain real-world work experience. I am equally grateful to Ace
Institute of Management and all the dedicated lecturers who equipped me with the
essential theoretical and practical knowledge relevant to my internship, inspiring me
to pursue my objectives.

My sincere gratitude goes out to Machhapuchchhre Bank Limited for granting me

the privilege of interning with them, enabling me to enhance my knowledge, skills,
and capabilities. I am deeply thankful to everyone who offered their assistance in
bringing this project to fruition.

I want to express my utmost appreciation and extend special thanks to Mr. Alok
Man Shrestha, the Head of the Digital Banking Department at Machhapuchchhre
Bank Limited. Despite his busy schedule, he took the time to listen, guide, motivate,
and support me throughout my internship. I also want to acknowledge and thank my
internship supervisors, Ms. Liza Bajracharya and Mr. Utsab Pokhrel, for
assigning various tasks and showing their unwavering support during this period.

I would also like to convey my gratitude to the entire team in the Digital Banking
Department for their warm and welcoming demeanor and for generously dedicating
their time to explain various activities and terminologies. Their responsiveness has
provided me with a comprehensive understanding of the department's operations.

Yours

Sincerely,

Pratima

Ojha

IV
 EXECUTIVE SUMMARY

Internships play a vital role in bridging the gap between theoretical knowledge and
practical application in the corporate world. This internship report, titled "An Internship
Report on Machhapuchchhre Bank Limited," is the completion of an eight-week
internship at Machhapuchchhre Bank Limited's Head Office in Lazimpat, completed as
part of the MBA program at Pokhara University.

During my internship, I had the opportunity to work in the Digital Banking Department,
which oversees all of the bank's digital products and services such as POS Terminals,
Credit Cards, FoneLoan, QR Payments (Fonepay, Nepalpay, MOCO, and Wechat pay),
Instapay, Corporate pay, MBL M-Smart, website management, and more. My role
primarily involved providing customer support, assisting in document filing, and ensuring
timely responses to customer inquiries. Throughout the internship period, I made several
key observations about the organization's operational procedures, distribution of authority
and responsibility, customer interaction process, level of cooperation and coordination
among employees, and corporate culture. These observations offered valuable insights and
imparted essential lessons that will undoubtedly enhance my future performance. Some of
the key lessons I learned and developed include the importance of interpersonal
communication skills, handling pressure, prioritizing customer service, effective time
management, teamwork, confidence, punctuality, multitasking, and more.

The approach used for compiling this report involved both primary and secondary data
collection methods. The study predominantly takes a descriptive nature, systematically
presenting facts and figures. The initial chapter provides an introduction, outlines the
objectives, and highlights the products offered by Machhapuchchhre Bank Limited. The
second and third chapters detail the activities I undertook as an intern, the problems I
resolved, and the key observations made during the internship, as well as the dynamics of
the workplace relationships. Finally, the report concludes by sharing valuable lessons
learned and a few recommendations that I believe will benefit the bank.

V
 Table of Contents

DECLARATION..................................................................................................................II

INTERNSHIP CERTIFICATE ISSUED BY THE ORGANIZATION........................III

ACKNOWLEDGEMENTS................................................................................................IV

EXECUTIVE SUMMARY..................................................................................................V

LIST OF TABLES AND FIGURES.................................................................................XI

LIST OF TABLES...............................................................................................................XI

LIST OF FIGURES.............................................................................................................XI

ABBREVIATIONS AND ACRONYMS..........................................................................XII

CHAPTER I...........................................................................................................................1

INTRODUCTION.................................................................................................................1

1.1 Background......................................................................................................................1

1.2 Objective of the Internship..............................................................................................2

1.3 Details of Internship at Machhapuchchhre Bank Limited...............................................3

1.3.1 Methodology of the Study.........................................................................................3
1.3.2 Selection of Organization..........................................................................................3

1.4 Organization Profile of Machhapuchchhre Bank Limited...............................................4

1.5 Organization's Vision, Mission, Core Values and Objectives.........................................5

1.5.1 Vision........................................................................................................................5
1.5.2 Mission......................................................................................................................5
1.5.3 Core Values of the Bank...........................................................................................5
1.5.4 Objectives of the MBL..............................................................................................5

1.6 Major Markets and Customers.........................................................................................6

1.7 Products and Services of MBL........................................................................................6

1.7.1 Digital Products and Service provided DBD............................................................6
1.7.2 Types of Cards..........................................................................................................9
1.7.3 MBL Remit.............................................................................................................10

VI
 1.7.4 SWIFT Transfers.....................................................................................................10

1.8 Organization Design and Structure................................................................................10

1.8.1 Board of Directors of MBL.....................................................................................11
1.8.2 Management Team of MBL....................................................................................11

1.9 Capital Structure............................................................................................................12

1.10 Organizational Performance........................................................................................12

CHAPTER II........................................................................................................................14

JOB PROFILE AND ACTIVITIES PERFORMED........................................................14

2.1 Digital Banking Department..........................................................................................14

2.2 Assigned Role and Activities.........................................................................................15

2.3 Performed Activities and Procedures.............................................................................16

2.3.1 Enrollment of QR merchants in Bulk.....................................................................16
2.3.2 QR Stand Request for Printing................................................................................17
2.3.3 Providing knowledge to the branches about digital products campaign.................17
2.3.4 Delivering the QR Standee.....................................................................................17
2.3.5 Sending mails to the Branches................................................................................17
2.3.6 Verifying the payment details.................................................................................17
2.3.7 Verifying POS Settlements.....................................................................................18
2.3.8 Looking monthly report of POS reconciliation.......................................................18
2.3.9 Website Management..............................................................................................18
2.3.10 Generating report of branch wise..........................................................................19

2.4 Problem Faced during Internship...................................................................................19

2.5 Problem and Challenges Solved in Internship...............................................................20

2.6 Intern’s Key Observation and Analyses........................................................................21

2.7 Learning Aand Findings................................................................................................23

CHAPTER III......................................................................................................................24

LESSONS LEARNT AND FEEDBACK...........................................................................24

3.1 Key Skills and Attitude Learnt.......................................................................................24

3.2 Feedback to MBL..........................................................................................................26

3.3 Feedback to AIM...........................................................................................................26

3.4 Feedback to Future Interns............................................................................................27

VI
I
REFERENCES.....................................................................................................................28

APPENDICES......................................................................................................................29

VI
II
 LIST OF TABLES AND FIGURES

LIST OF TABLES
Table 1: Details of Internship at Machhapuchchhre Bank Limited.....................................3
Table 2: Transaction Limit of M-Smart...............................................................................7
Table 3: Board of Directors...............................................................................................11
Table 4: Management Team..............................................................................................12
Table 5: Capital Structure of MBL....................................................................................12

LIST OF FIGURES
Figure 1: Organizational Structure of MBL......................................................................11
Figure 2: Digital Transaction of MBL...............................................................................12

XI
 ABBREVIATIONS AND ACRONYMS

AGM Annual General Meeting

AIM Ace Institute of Management
BLB Branchless Banking
BM Branch Manager
DBD Digital Banking Department
EMI Equated Monthly Installment
GCM Google Cloud Messaging
HOD Head of Department
HR Human Resource
MBA Masters of Business Administration
MBL Machhapuchchhre Bank Limited
NCHL Nepal Clearing House Limited
PM Province Manager
POS Point of Sale
QR Quick Response
SWIFT Society for Worldwide Interbank Financial Telecommunication

XII
 CHAPTER I

INTRODUCTION

1.1 Background
Internships are a fundamental component of the MBA program, providing students
with short-term training opportunities in reputable organizations as part of their
MBA curriculum. These internships typically occur during the fifth trimester,
aligning with students' chosen specializations. During this period, students function
as trainees, immersing themselves in practical knowledge relevant to the
organization's operations. They actively participate as temporary staff members,
gaining insight into various aspects of the organization's functions. Conducted
through the educational institution, internships distinguish students from their peers
by allowing them to engage with real-world corporate activities. As an integral part
of this program, each student is required to complete an eight- week internship
within an industry related to their specialized subject.

One significant advantage of completing an internship during the fifth trimester is

the opportunity for students to apply the skills acquired in previous academic terms
to the tasks assigned in the workplace. Internships offer insights into the business
world and introduce interns to the corporate culture of their host organizations.
Furthermore, they help enhance interpersonal and communication skills, which are
essential for thriving in the competitive corporate landscape. Internships are an
invaluable platform for understanding critical management and interpersonal skills,
making them an excellent way to gain practical work experience.

The MBA program has evolved significantly to meet the high standards of
businesses that emphasize core aspects of both business management and human
resource management. This transformation underscores the critical importance of
internship experiences. These internships entail a comprehensive exploration of
various facets of business and operational processes. Students enrolling in an MBA
program have the opportunity to specialize in a range of significant fields, including

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marketing, human resources management, and finance, reflecting the program's
adaptability to meet the diverse demands of the business world.

This opportunity provided an exceptional platform to acquire genuine banking

experience and apply theoretical knowledge within a specific professional domain.
The following report encompasses details of my work experience during an eight-
week internship at Machhapuchchhre Bank Limited, spanning from August 24 to
October 20, 2023. The report is a product of dedicated effort and extensive research
into the bank's operational processes observed during the internship. I must
commend the MBL community for their unwavering support and assistance. The
bank's staff members have proven to be remarkably helpful, efficient, and well-
versed in their roles, contributing significantly to my learning experience.

1.1 Objective of the Internship

The primary objectives of the internship is to provide an immersive real-world
business experience while facilitating a deeper understanding of organizational
structures and work environments. I completed an eight-week internship at
Machhapuchchhre Bank Limited in order to meet the requirements of my MBA
program at Pokhara University. Within this framework, the central objectives of this
internship can be outlined as follows:

 To acquire a comprehensive understanding of the bank's everyday operational

procedures.

 To observe and participate in a professional work situation, working

environment, social and cultural behavior.
 To gain a professional experience as an employee and develop managerial and
interpersonal skill.
 To establish a bridge between academic knowledge gained in the classroom
and practical insights acquired on the job.
 To understand the ethical and accepted standards of practice within an
organization.

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1.2 Details of Internship at Machhapuchchhre Bank Limited

Machhapuchchhre Bank Limited

Name of the Organization (MBL)
Address Lazimpat, Kathmandu
Department Digital Banking Department
Working Duration 24th August-2023 to 20th October-2023
Work Hours 8 hours

Name & Designation of Alok Man Shrestha

Internship Supervisor Head of Department
Table 1: Details of Internship at Machhapuchchhre Bank Limited

1.3.1 Methodology of the Study

The research methodology serves as a systematic approach to resolving research
problems, ensuring the credibility and viability of the research work. This section
outlines the methods employed for data collection and analysis in the course of the
study, which is based on an eight-week internship at Machhapuchchhre Bank
Limited, Head Office, Lazimpat.

Data for the internship were sourced from both primary and secondary channels to
facilitate a comprehensive analysis and report generation. Different methods such as
direct personal observation and informal interviews have been employed for the
primary data collection. Secondary data was collected by a variety of sources, such
as MBL websites, annual reports, journals and reviews, etc.

1.3.2 Selection of Organization

Being a management student with a specialization in "Finance," I had a keen interest
in the banking industry. Therefore, I chose to undertake my internship in a bank.
Specifically, I selected Machhapuchchhre Bank Limited for my internship report.
This decision was based on the bank's prominent position as one of the leading
financial institutions in both national and international markets. My placement was at
the Head Office of Machhapuchchhre Bank, and I was assigned to work in the Digital
Banking Department.

3
The Digital Banking Department focuses on managing various digital products
offered by MBL, including QR code services, POS terminals, credit cards, debit
cards, and more. I embarked on this internship with the objective of gaining insights
into the bank's organizational culture, work environment, and operational procedures.
Additionally, I aimed to expand my knowledge by learning from the experiences and
external expertise available within the bank.

1.3 Organization Profile of Machhapuchchhre Bank Limited

Machhapuchchhre Bank Limited registered in 1998 as the first regional commercial
bank from the western region of Nepal. The 'A' class commercial bank started its
banking operations from its own head office located in the foothills of
Machhapuchchhre Mountain peak in the picturesque town of Pokhara since year
2000.

The bank is committed to meeting its customers' diverse needs by offering top-notch
services paired with cutting-edge technology and sound international practices. The
bank is the pioneer in introducing the latest technology in the banking industry in the
country. It is the first bank to introduce centralized banking software, GLOBUS
BANKING SYSTEM of Temenos NV, Switzerland. In line with its commitment to
innovation and customer convenience, the bank provides a range of modern banking
facilities, including Any Branch Banking, Internet Banking, Mobile Banking, Safe
Deposit Locker services, MBL Remit, Utility Bill payments (telephone and mobile),
and ATM services (featuring VISA Debit Cards and Debit cards associated with
SCT Network). Furthermore, the bank offers 365- day banking services and evening
counter services, accessible through many of its branches.

The Bank has been promoted by highly renowned non-residential Nepalese,

prominent business man and industrialists with a vision and dedication to provide
the best financial products and services in the most efficient and professional
manner. Now with a paid up capital of 10,25,71,55,600, 165 Branch Offices, 130
Branchless Banking Units, 12 Extension Counter and 203 ATMs spread all across
the country, it is one of the full-fledged commercial banks operating in Nepal.

4
It’s Head and Corporate Office is located in Lazimpat, Kathmandu.
Machhapuchchhre Bank Limited is serving its customers in many ways that’s why it
has many satisfied customers. Machhapuchchhre Bank Limited has its own
remittance called “MBL Remit
from where customers can send their money to their desired person on any branches
of Machhapuchchhre Bank Limited. Furthermore, it is also coordinating with IME
so that customers who has difficulty to go to Machhapuchchhre Bank for withdrawal
can send their money through IME. For the customers who are in abroad can send
the fund through SWIFT. (Machhapuchchhre Bank Limited, 2023)

1.5 Organization's Vision, Mission, Core Values and Objectives

1.5.1 Vision
MBL runs with the vision to become the bank of the first choice of the people.

1.5.2 Mission
To be one of the most preferred banks in Nepal, easily recognized as the bank which
satisfies and cares for its customers through quality service, innovative products,
professionalism and wide branch network, offering full array of financial services
using modern technology and with good corporate governance practices.

1.5.3 Core Values of the Bank

With the objective of supporting the transition from rule based to attitude based
behavior, the Bank is functioning with the following five core values:

 Integrity
Highest level of integrity / absolute honesty in all the business conduct and
dealings with customers, staff, regulators, and other stakeholders.
 Accessibility
Easy accessibility through traditional as well as modern means of communication.
 Value Creation
For shareholders, customers, employees and the nation.
• Quality Service

5
Through unmatched professionalism and excellent customer care.

• Stewardship of Resources

With the feeling of ownership and accountability

1.5.4 Objectives of the MBL

• To use the latest banking technology to provide better, reliable and efficient
services at reasonable cost.

 To contribute in the sustainable development of nation by mobilizing domestic

saving and channeling them to productive area.
 To contribute to the social development of Nepal.
 To identify and capitalize on financial opportunities by integrating technology
into products and services for customers, the community, and the nation.
 To serve the society through corporate social responsibility.

1.6 Major Markets and Customers

In response to the unique economic conditions, the bank devised a dynamic plan to
expand its market. Throughout the year, it focused on growing its business,
improving its products, cutting costs, and embracing digitalization. They were open to
changing their strategy as needed. The bank particularly emphasized growing in
digital banking, aiming to become a key digital player as "The Smart Bank."
Additionally, the bank worked on enhancing its services to make customers happier.
Their goal is to be the first choice for customers by providing top-notch service both
externally and internally. They're committed to significantly improving the quality
and professionalism of customer service.
MBL serves a wide range of customers, including the general public, businesses,
hotels, restaurants, and industries. They accept various types of deposits, like savings,
recurring, and fixed deposits. They also offer loans in various forms, including
overdrafts, cash credits, and bill discounting.
Their customers include individuals, institutions, finance companies, restaurants,
schools, colleges, and students who contribute to fund mobilization. Depositors with
demand deposits, savings deposits, and fixed deposits are their main funding sources.

6
1.7 Products and Services of MBL
Some of the product and services cater by MBL are as follow:

1.7.1 Digital Products and Service provided DBD

Following are the various digital products and services provided by MBL:

1.7.1.1 MBL ATMs

Machhapuchchhre Bank’s widespread network of ATMs makes it easy and

convenient for customers to bank 24 hours a day. With MBL ATMs spread all over
Nepal, we ensure that you can easily transact from our ATM network. User-friendly
graphic screens and easy to

follow instructions in both English and Nepali language of your choice makes our
ATM Banking a smooth experience. Debit card issued by Visa and Union Pay are
accepted at all ATM points of Machhapuchchhre Bank Limited.

1.7.1.2 MBL M-Smart

MBL M-Smart is a mobile application designed to provide convenience to customers

for various financial and non-financial transactions. Users can check their account
information, including balances and transaction history, as well as access loan and
credit card statements. The app enables fund transfers, both within the bank and to
other banks, and handles micro- payments. Online payments are simplified for
services like airlines, internet, utilities, and more. QR code payments, wallet loading,
and mobile top-ups are also supported. Users can access support services, request
loans and guarantees, and access a range of content, including weather updates and
banking information. Additionally, it facilitates opening fixed deposits and offers
other banking services, making it a versatile tool for customers.

7
Transaction Limit:

Types of Transaction Per Transaction Per Day Per Month

Fund transfer/ QR code NPR 200,000 NPR 300,000 NPR 1,000,000

payment

Wallet Load NPR 50,000 NPR 200,000 NPR 1,000,000

Table 2: Transaction Limit of M-Smart

1.7.1.3 FonePay
QR payments are a handy way for customers to pay merchants or transfer money to
someone using a special two-dimensional code. Merchants, with the help of MBL, can
sign up for QR payment services from Fonepay and WeChat Pay to facilitate
transactions. These QR codes are becoming increasingly popular and are expected to
be widely used in the future. With MBL's Fonepay QR Codes, merchants can accept
payments from various sources, including eSewa and mobile banking apps. In simpler
terms, QR payments are a convenient way for businesses to receive money, and MBL
offers services to help them do that with different QR code options, catering to both
local and international transactions.
Merchants have the option to apply for a merchant account using either their PAN
(Permanent Account Number) or their mobile number. However, there are different
daily transaction limits associated with these two methods:
1. Applying Through PAN Number: If a merchant applies for an account using
their PAN number, they typically have the benefit of unlimited daily transaction
limits. This means they can process transactions without a specific upper cap on
the amount they can handle in a day.

2. Applying Through Mobile Number: On the other hand, if a merchant chooses to

apply using their mobile number, they are subject to a daily transaction limit. In
this case, the daily transaction limit is set at a maximum of Rs.5000. This means
that the total value of transactions they can process in a single day should not
exceed Rs.5000.

8
Features

• Auto settlement on a daily basis (8hrs-8hrs-8hrs)

• Fast and convenient payment method.

• Merchants can instantly transfer funds to their bank accounts.

• Widely accepted, with access to over 50 banks and financial institutions.

 Merchant can apply NEPALPAY only through pan number.

1.7.1.4 FoneLoan through MBL M-Smart

MBL involves short term loan without any types of collateral via MBL M-Smart that
includes Decision Analytics Model.
Loan Amount and Tenure:
 For 1-month model: Minimum loan amount is NPR 5,000, and the maximum is
NPR 200,000.

 For EMI model: Minimum loan amount is NPR 5,000, and the maximum is
NPR 200,000.

 Loan limits are determined by the bank's analytics software and cannot exceed
the assigned limit.

1.7.1.5 POS (Point of Sale)

A Point of Sale refers to the point or location where the transaction takes place. It is
also the point where a customer makes payment to the merchant in exchange for
goods or services. MBL offers merchant acquiring services for different business
units. MBL provides a POS device to the merchants to perform electronic
transactions within the understanding of both buyer and seller. Machhapuchchhre
Bank has launched a FinPOS machine to facilitate online payment at petrol
pumps (fuel stations). The private bank cooperated with Citytech, F1Soft
International, and Nepal Clearing House Limited (NCHL) to bring its latest

9
electronic payment solution.

1.7.1.6 BLB (Branchless Banking)

The bank had established BLBs at strategically viable locations enhancing the already
established wide area of network all over the country.

New BLB units into operations: 14 in Jhapa and Morang district of Province 1.

Total BLB unit: 130 out of which 97 currently working

1.7.7 Types of Cards

 MBL Smart Dollar Card
 MBL Credit Card
 Prepaid Dollar Card/ Travel Card
 Debit Card
 International Dollar Credit Card
 MBL Student Credit Card
 MBL Priority Pass

1.7.2 MBL Remit

Machhapuchchhre Bank Limited (MBL) has operated online web based remittance
system, where by money can be sent to Nepal from Worldwide. MBL have always
been of importance of Remittance Business and have played a pivotal role in this
line with the help of both domestic and foreign counter parties. With a view to cater
to the changing needs of the customers, the bank has initiated its own remittance
product and started with the domestic remittance business in the name of MBL
REMIT. MBL REMIT is an online, real- time remittance processing system that is
accessed through the Internet and is offered as an application service.

1.7.3 SWIFT Transfers

SWIFT stands for Society for Worldwide Interbank Financial Telecommunications.
Swift is one of the most reliable widely used fastest means of international financial
telecommunication. Funds can be transferred to and from the bank in most of the
major currencies throughour Correspondent Banks, Financial Institutions in Middle

10
East, Europe and East Asia and also from other Bank.
Other Services
 Connect IPS
 Insta Pay (EMI Facility)
 Remitap Nepal
 Online Account Opening
 QR Sound Box

1.8 Organization Design and Structure

To ensure the smooth and efficient daily operations of the bank, the organization is
structured into various departments, branches, and sub-branches. Each section is
staffed differently to carry out tasks in a systematic manner to achieve optimal results.
Therefore, a thoughtfully planned and effective organizational structure is essential
for a business institution to facilitate systematic functioning, delegation of authority,
and defining the degree of responsibility for each function.

11
Figure 1: Organizational Structure of MBL

1.8.1 Board of Directors of MBL

Name Designation
Dr. Uprendra Mahato Chairman
Mr. Roshan KC Promoter Director
Mr. Mukunda Mahat Independent Director
Mr. Jaya Mukunda Khanal Public Director
Mr. Bishow prakash Gautam Public Director
Mr. Haribhakta Sigdel Promoter Director
Ms. Bandana Karki Public Director
Table 3: Board of Directors

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1.8.2 Management Team of MBL

Name Designation
Mr. Santosh Koirala Chief Executive Officer
Mr. Sarju Kumar Thapa Deputy Chief Executive Officer
Mr. Bishwambhar Neupane Deputy Chief Executive Officer
Mr. Prasidha Raj Aryal Deputy General Manager
Mr. Suvash JamarKattel AGM- Operations

Table 4: Management Team

1.9 Capital Structure

The authorized capital, issued capital and paid up capital of MBL are listed below:

Authorized Capital NPR 1500,00,00,000

Issued Capital NPR 10,25,71,55,600
Paid Up Capital NPR 10,25,71,55,600
Table 5: Capital Structure of MBL

1.10 Organizational Performance

MBL made significant progress in its digitization efforts in 2023. Machhapuchchhre
Bank Limited (MBL) had a successful 2023, achieving strong business growth,
making significant progress in digitization, and continuing to contribute to the social
and economic development of Nepal. MBL achieved around NPR 4,464,244.27 and
NPR 154,179,631.82 in business volume (Loan & Deposit) with satisfactory growth
in other product activities in 2023.

13
Figure 2: Digital Transaction of MBL

In 16th October 2023, Total Transactions: 215,548

Transactions handled by Digital Banking Department: 86.81% of total i.e.
187,117.22 Remaining portion labeled by "Other Transactions" (13.19%),
representing transactions handled by other departments or methods.
MBL achieved 100 million per day transaction on 16 th October 2023, also on that day
MBL received an appreciation from NCHL for supporting them in achieving Nrs.1
Billion monthly transaction and 4.25 Lakh QR merchants

The Bank seeks to meet the various demands of the widely dispersed Nepalese
living and working abroad through business tie ups with various correspondent
banks and exchange house / agents. The key strategies include expansion of
remittance network (both MBL Remit and other remits) as well as enhancement of
the online platform for remittance services ‘Remitap’. Furthermore, the Bank had
established branches, ATMs, POS and BLBs at strategically viable locations
enhancing the already established wide area of network all over the country. MBL is
constantly innovating to improve its products and services and to stay ahead of the
competition. This commitment is evident in the bank's partnership with fintech
companies and its launch of new products and services such as MBL M-Smart.
These digitization efforts helped to improve customer convenience and efficiency,
and to attract new customers. MBL's focus on digitization is also in line with the

14
growing trend of digital banking in Nepal.

MBL is committed to providing its customers with the best possible service. This
commitment is evident in the bank's focus on digitization and its focus on
developing new products and services that meet the needs of its customers. MBL is
committed to contributing to the social and economic development of Nepal. This
commitment is evident in the bank's CSR initiatives, which focus on education,
health, and disaster relief.

MBL's organizational performance in 2023 was positive and reflects the bank's
commitment to growth, innovation, and social responsibility. The bank's key
successes in 2023 were driven by its strong focus on customer satisfaction, its
commitment to innovation, and its strong social responsibility.

15
 CHAPTER II

JOB PROFILE AND ACTIVITIES PERFORMED

2.1 Digital Banking Department

Machhapuchchhre Bank Limited (MBL) is dedicated to expanding its digital
banking presence in the upcoming fiscal year. While the bank has already made
substantial progress in this realm, it aims to redouble its efforts to become a key
player in the digital banking industry and uphold its reputation as "The Smart Bank."
Digital banking entails the automation of traditional banking services, offering
customers increased convenience, efficiency, and security. In the rapidly evolving
Nepalese market, digital banking is assuming a pivotal role within the banking
system. MBL recognizes the necessity of transcending traditional banking
boundaries to compete and collaborate with emerging financial entities. The bank is
actively developing and forging partnerships to introduce innovative digital credit,
deposit, treasury, remittance, and other products and services.

MBL's strategy centers on delivering top-notch digital banking products, features,

and services, either through in-house development or by collaborating with
emerging financial players. This approach provides customers with a diverse range
of payment channels and fosters enhanced customer loyalty. In essence, MBL is
committed to leading the digital banking frontier in Nepal. The bank has already
made significant strides in this arena and intends to intensify its efforts in the coming
year. To meet market demands and effectively compete with new financial entrants,
MBL is in the process of developing and forming partnerships to offer innovative
digital financial products and services. The bank's strategic focus is on delivering the
finest digital banking solutions, be it through internal development or alliances with
emerging financial entities. The following advantages of online banking that MBL
aims to provide to its customers:

 Enabling customers to conduct banking tasks from the convenience of their

16
 homes, whether they be a senior citizen who is tired of standing in line, a
working-class professional who is swamped with work, or an ordinary
person who does not want to visit the bank's office to run a single errand.
Also included is convenience.
 Allowing the consumers to make payments for typical utility bills, including
phone, gas, and credit card bills.

 Speaking more specifically about the convenience provided, digital banking

enables a user access to banking functions around-the-clock.
As, Digital Banking Department assumes responsibility for overseeing all of
Machhapuchchhre Bank Limited's digital products and services, encompassing
mobile banking, online banking, internet banking, ATM services, and more.
Additionally, the department is instrumental in devising new digital offerings tailored
to meet the bank's customer requirements. The Digital Banking Department plays a
pivotal role in the overall operations of the bank by affording customers convenient
and efficient means to manage their finances. Moreover, its ongoing efforts in
developing innovative digital products and services position the bank at the forefront
of the competition.

2.2 Assigned Role and Activities

Following are the roles and duties that I performed in the department as an intern of
the Digital department:

 Enrollment of bulk QR merchants of Fonepay, Nepalpay and WeChat pay as

per the details generated from the customer’s account.

 Providing information to various MBL branches through call about Nepalpay

product.

 Mailing various POS settlement monthly data to various merchant.

 Attend various presentation regarding digital product & noting all the question
asked by branches during presentation.

 Identification of potential merchants and convincing them for QR enrollment

in order to improve QR merchant base.

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  Process all QR documents and get it approved from concerned authority.

 Mailing concerned branches to provide correct customer’s detail for enrollment.

 Further forward the document to E-banking Department for deployment.

 Informing various merchant and customer for wining digital product through
Q&A session as well as maintaining those reports.

 Branch communication and support to push up the product.

 Collect Nepalpay standee, listing them in excel sheet and further providing
information to various branches.

 Collect QR standee from Fonepay and deliver it to related branches.

 Generate branch wise report on monthly Basis.

 Process Memo for reimbursement used during tie-up with various companies.

 Follow up and supports in recovery process of credit cards.

 Looking monthly report of POS reconciliation and verifying it.

 Ensure that all QR enrollment related to routine activities are responded to

within time frames pre-specified.

 Updating website of Machhapuchchhre Bank and sending GCM to MBL customers.

 Providing branches about digital product and services campaign.

2.3 Performed Activities and Procedures

2.3.1 Enrollment of QR merchants in Bulk
The bulk enrollment process for QR merchants in Fonepay, Nepalpay, and WeChat
Pay involves using the maker portal of the respective QR portals. Details are provided
by the branches, along with account information available in the bank's CBS, and the
following necessary documents are required for these enrollments:

 Account Name

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  Account Number
 Scan Pan of individual or of business
 Business Registration no. (If private limited)
 Mobile no.
 Email address
 Branch Name

2.3.2 QR Stand Request for Printing

Once the QR has been enrolled through the maker portal, it undergoes an approval
process by the operation department. Following approval, QR standee requests are
sent to the relevant payment providers. For instance, Fonepay QR standee requests
are directed to the Fonepay team, WeChat standee requests go to Firstpay, and
Nepalpay standee requests are forwarded to NCHL. The QR standee, along with a
soft copy of the QR code, is sent to the respective branch and the corresponding
merchants via email, as well as through other platforms such as Viber and WhatsApp.

2.3.3 Providing knowledge to the branches about digital products campaign

This includes the process of informing branch staff about digital product campaigns.
It involves informing them about the specifics of ongoing or upcoming digital product
campaigns, their objectives, and how they can effectively promote these products to
customers. Branch staff are informed through email about the campaign details,
including any special offers, features, or incentives to encourage customers to adopt
digital products.

2.3.4 Delivering the QR Standee

Once the printing is done, the Fonepay team, NCHL and the Firstpay team
dispatches the QR Standees to the DBD team. Then with the help of interns the
sorting of QR is done on the basis of branch, all the received QR Standees are
recorded and the packaged and delivered to respective branches through courier
service. After this the respective branches delivers the standees to the merchants.

2.3.5 Sending mails to the Branches

After dispatching the QR standees, emails are sent to the branches, accompanied by a

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list of merchants for whom the standees are being delivered. This proactive
communication ensures clarity and avoids any potential confusion between the
branches and the department. Subsequently, the branches are requested to
acknowledge the receipt of the email once the courier has been received. They are
also asked to verify whether any of the standees are missing.

2.3.6 Verifying the payment details

As per the request of the respective branches and merchant’s verify the payment
details of the merchants. And also providing the statements to the merchant as per
their requirement. Settling the timeout transactions of the merchants if there is any
with collaboration with e- banking operation team.

2.3.7 Verifying POS Settlements

This process involves a monthly review of the Point of Sale (POS) reports through
POS last settlement report. The objective is to verify the accuracy and completeness
of the data within these reports. After thorough verification, the next step is to
distribute the monthly POS settlement data to various merchants.
The verification process is crucial as it ensures that the data in the POS reports aligns
with the transactions and settlements made during that specific month. Once the
verification is complete, the verified data is then compiled and sent to the respective
merchants via email or other communication channels. This distribution of settlement
data serves as a transparent record of transactions, allowing merchants to reconcile
their accounts and track their financial activities.

2.3.8 Looking monthly report of POS reconciliation

The "POS Report Reconciliation" process encompasses three essential stages: the
creation of a monthly report detailing Point of Sale (POS) transactions, the validation
of this report to ensure data accuracy, and a thorough cross-verification of the report
with the actual transaction data. During the internship, the primary focus is on
verifying payment details for various merchants. The initial step involves confirming
the correctness of each merchant's name. In cases where discrepancies are detected,
the intern rectifies the name based on the provided data. Additionally, the intern

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reviews the provided payment details and cross- references them with running data to
guarantee the accuracy and consistency of the respective merchant's information. This
careful procedure is designed to maintain precise and dependable transaction records,
ensuring that payment details correspond with the correct merchants.

2.3.9 Website Management

The Digital Banking Department at MBL also manages the bank's website, a
responsibility that entails keeping it up-to-date with the latest information. This
includes updating the most recent interest rates, showcasing new MBL products,
highlighting collaborations that provide exclusive discounts to MBL customers, and
keeping track of various information such as holiday and evening counters, ATMs,
new branches, and branchless banking services. Furthermore, the department is
responsible for managing GCM (Google Cloud Messaging) push notifications on the
MBL mobile banking app. These notifications inform customers about new offers
from MBL within the MBL M-Smart app, keeping them updated on the bank's new
products, offers, and discounts through various tie-ups. As part of the intern's
responsibilities, they are tasked with sending out a GCM push notification each day.

2.3.10 Generating report of branch wise

Generating branch-wise reports is a crucial aspect of the digital banking department's
responsibilities. Specifically, reports related to Fonepay and Nepalpay for all 165
branches are compiled and generated. Subsequently, these reports are distributed to
the respective branches via email. These reports serve a valuable purpose in
identifying and addressing inactive merchants. The branches are then requested to
take action and engage with the bank to enhance their merchant activities. These
reports play a pivotal role in assessing the effectiveness of the implemented planning
and strategies, ensuring that they yield positive and fruitful results.

2.4 Problem Faced during Internship

As an intern, I encountered various issues when completing the work set by the
supervisor. The list are as follows:

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 Encouraging inactive merchants to engage more with the bank and promote
digital transactions was a challenging task. Some merchants were resistant to
change or faced difficulties in adopting new technology.

 Coordinating tasks and activities within the department, such as generating

reports, updating the website, and sending notifications, required careful
planning and time management to ensure everything ran smoothly.

 Some customers refused to pay the charges of various services/products used

by them such as late credit card payment fee, annual charges of mobile
banking and so on and they argued about it for a long period. As a result,
persuading them of the bank's charges becomes tough.

 Problem faced during enrolling merchants in bulk. The main issue arose from
branches not providing complete and accurate merchant details. For instance,
problems occurred when merchant account numbers were invalid or when
essential information like the merchant's business name was missing. These
incomplete or erroneous details hindered the smooth enrollment process,
requiring additional time and effort to rectify and ensure accurate merchant
enrollment.

One of the major issues encountered related to the reconciliation process for
POS transactions was the high incidence of merchant duplication. This led to
confusion about which merchant corresponded to which business. To
overcome this, meticulous attention to detail was necessary to segregate
merchants based on their payment details and maintain accurate records,
ensuring each merchant was correctly linked to their respective businesses.

 Process required obtaining branch codes and checking the bank's system,
which could be time-consuming and prone to errors. Checking the system for
branch codes each time before sending reports could lead to delays and
increase the likelihood of mistakes.

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2.5 Problem and Challenges Solved in Internship
During my internship following are the problems and challenges that I had faced and
solved in this department:
 The most valuable asset is the customer, and bank employees often face
customers with diverse backgrounds and unique problems. Effectively
managing these interactions and providing individualized solutions can be
demanding. I learned to adapt to different customer behaviors and provide
solutions while remaining patient and composed.
 In Nepal, where digital banking was a new concept for many people,
customers understandably had concerns about the security of their digital
transactions. Therefore, one of the significant challenges was to reassure
them that their digital payments were safe. Additionally, when customers
faced issues such as not receiving money in their mobile wallets, dealing
with their concerns and resolving these matters required careful
communication and support.
 Another major role as well as challenge was to educate the customers of
different age group about how the various digital products works and guiding
then the step by step procedures to use the different portals of online
payments.
 When mailing reports to branches, I had to verify branch codes in the bank's
system, which could be time-consuming and error-prone. I addressed this
challenge by meticulously checking branch codes to avoid delays and
mistakes.
 Understanding the need of the customers, handling the customers
complain solving their issues were some major roles during the internship.
 Understanding the wide range of products and services offered by the bank
presented a significant challenge. It was important to make sure that
merchants were well-informed about new digital offerings. Making
merchant understand the overall process with patience and persistence.

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2.6 Intern’s Key Observation and Analyses
During my internship, I noticed that the bank offers a wide variety of products and
services to its customers. Understanding all these offerings and how they function
can be challenging. As, it offers many different products and services, and it's hard
for one person to know everything about them. But everyone should know what
their own department does and how it works with other departments. This way, all
employees can answer customer questions quickly and accurately, no matter what
department they're in.

Bank employees also have to deal with a lot of different people every day, and
everyone has their own unique needs and problems. Employees need to be able to
handle each customer differently, based on how they're acting, and stay calm and
collected the whole time. Some of the further observation and Analyses has been
done with the help of SWOT Analysis:

Strength:

 MBL boasts top-notch infrastructure and utilizes cutting-edge technology to

provide efficient services.

 The bank is managed by a team of well-qualified and professional individuals

who contribute to its success through effective leadership and decision-
making.
 Customers are offered a wide range of products and services.

 A sufficient number of branches across Nepal.

 Well-qualified and competent management team.

 MBL offers a positive and conducive working environment for its employees,
promoting productivity and job satisfaction.

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Weaknesses:

 The bank makes plans to grow, but it takes too long to put those plans into action.
This has made the bank less competitive.

 Inability to handle proper customer grievance.

 The bank offers a wide range of products and services, but its marketing
efforts for these products and services are inadequate.

 The department is unable to operate at a high level of efficiency.

 Improved human resource planning is essential.

Opportunities:

 It can add value to its current customers and attracts more customers by online
banking, credit cards, insurance skills etc.
 It can give better training to its staff so that they can adapt to new technologies.
 MBL can introduce new schemes targeting not only to general public but
specifically targeting the student segment business bachelor for and deprived
sector.

 MBL has also an opportunity to use more advanced technology so that it can
satisfy the needs and desire of its customers more easily. It can provide
specialized product and services to its clients with the help of advanced
technology.

 It may form partnerships with international banks to provide more services.

Threats:

 Ongoing reduction in the number of commercial banks due to mergers and

acquisitions.
 Challenging task of catering to well-informed customers with high service
expectations.

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  Impact of the global economic downturn.

 The government/NRB has implemented many strict rules and regulations.

 Unfavorable socioeconomic conditions in the country.

2.7 Learnings and Findings

During my internship at MBL, I had the opportunity to learn a great deal about the
banking industry and work in a structured environment. I acquired the following
skills and knowledge:

 Gained insights into the importance of building and maintaining relationships

within the banking industry.

 Improvement of my social skills.

 Acquired the skills to effectively engage with clients and offer them pertinent
information.

 Recognized the significance of fostering positive relationships within the

banking sector.

 Learned how to respond to the questions of consumers and give them the
pertinent information

 Learned about the product and services that Digital Service Department offers.

 Appreciated the impact of a positive organizational culture on the professional

workplace, emphasizing the importance of social and professional
interactions, efficient communication, teamwork, and courteous behavior.

 Acknowledged that customers are the lifeblood of any business, highlighting

the need to retain existing clients while also attracting new ones.

 Understood the hierarchical structure of authority and responsibility across

various management and subordinate levels in the commercial bank hierarchy.

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 CHAPTER III

LESSONS LEARNT AND FEEDBACK

3.1 Key Skills and Attitude Learnt
My eight-week internship at MBL provided me with valuable insights into the banking
industry and helped me develop essential skills and attitudes necessary for a
successful career. I gained a deep understanding of how financial institutions
function within a complex and dynamic business environment, while collaborating
with a diverse group of professionals expanded my knowledge and offered a holistic
view of the banking sector.

This experience transformed my theoretical knowledge into practical experience, as I

applied what I had learned about customer relations to real-world situations. It also
underscored the importance of acquiring a wide range of skills, including strong
communication abilities, effective leadership skills, technical proficiency, and a
commitment to workplace ethics.

Even though, the eight weeks was not enough to gain a full understanding of the overall
procedures and core activities, the experiences still gave me brief understanding of
how and what activities are conducted by digital banking department. Overall, my
internship at MBL was an invaluable experience that prepared me for a successful
career in the banking industry. Following are the details of theoretical skills which I
was able to uplift practically through this internship:

 Organizational Behavioral skill

During my internship at MBL, I observed a variety of organizational behavioral

concepts in action. I witnessed employees from diverse backgrounds working
together effectively, resolving conflicts through communication, and supporting
each other in a positive workplace environment. I also learned valuable stress
management and time management techniques, and gained a deeper understanding
of individual differences in attitudes, preferences, perceptions, and learning

27
 capacities. Additionally, I observed a team-based work environment with a
participative leadership style, which provided me with a better understanding of
problem-solving. This experience deepened my understanding of individual
differences in attitudes, preferences, perceptions, and learning capacities, all within
the context of MBL's corporate culture.

 Develop team work skill

During my internship, I acquired a valuable perspective on the significance of teamwork
and its role in enhancing overall productivity and individual performance. I
recognized that within a professional setting, each team member carries specific
responsibilities and that effective collaboration leads to improved outcomes. This
experience taught me how to function both as part of a team and as an individual
contributor, depending on the task at hand. I learned that successful teamwork not
only facilitates the accomplishment of assigned duties but also cultivates a supportive
and harmonious work environment. This approach, where team members collaborate
seamlessly while embracing their individual roles, results in enhanced productivity
and performance.

 Managerial Communication Skill

Effective communication is crucial, especially when dealing with customers from diverse
backgrounds. Clear communication ensures an efficient response to customer
inquiries and concerns. This training allowed me to communicate effectively with
both colleagues and customers. I could maintain composure and remain calm even
when faced with challenging or impatient clients, thanks to the communication skills
I learned in the classroom. It also enabled me to engage in meaningful conversations
with regular customers and coordinate with my supervisors. Communication is vital
for information sharing, and I saw the importance of this at MBL.

 Handle pressure and develop self-confidence

The experience of handling work under pressure significantly boosted my self-confidence
throughout the internship. Being able to make swift decisions and resolve customer
issues independently, without constant supervision, played a pivotal role in enhancing

28
 my confidence. This newfound confidence stemmed from successfully addressing
challenges and resolving issues in a high-pressure environment.

 Marketing Skill:

Marketing is a critical aspect of facilitating interaction between businesses and

customers. The marketing management course emphasized the significant role that
marketing plays in business development. I gained a strong understanding of core
marketing concepts and how to apply them in practice. This knowledge was
invaluable while working in the digital department, where I needed to promote
various MBL digital products, such as QRs, POS, and credit cards. I learned the
importance of understanding the target audience when creating successful marketing
campaigns. Analyzing customer pain points and buying patterns can influence
product strategies, helping identify areas for improvement and optimization.

Some other key skills that I learnt during this internship program are stated below:

 Understood how customers should be treated with care, recognizing their unique
nature.

 Practical problem-solving skills were developed during the internship.

 Skills related to handling customer complaints requires attention and resolution

for customer retention.

 Improving problem-solving and critical skills.

 Punctuality and responsibility were emphasized during the internship.

 Learnt the importance of coordination and cooperation in an organization.

3.2 Feedback to MBL

There are a few things I'd like to suggest MBL should be doing to improve productivity
and performance. These recommendations are as follows:

 The bank needs to prioritize excellent service over aggressive marketing to retain
clients.

29
  Employee retention is a concern as many leave for better opportunities.

 Providing recreational activities for employees can reduce workplace stress and
increase productivity.

 Routine equipment maintenance is essential to avoid operational breakdowns.

 The digital banking department should take the lead in new product development
for effective digitization and globalization.

 Hiring in-house specialists for branding and digital marketing would likely yield
better results and target achievements.

3.3 Feedback to AIM

Internships are incredibly important for students and individuals to gain hands-on
experience and learn about their future careers. They allow students to apply what
they've learned in a real work environment. To make internships better, I have some
suggestions
for Pokhara University and AIM College as below:

 Students should be taught about the working environment of organizations, either

by creating a familiar environment or through seminars to help them learn.

 Supervisors should consider making regular visits to students' host organizations to

ensure strict adherence to internship terms.

 Establishing partnerships with organizations willing to actively mentor and engage

with students could significantly enhance the learning experience.

 Regular interaction sessions, such as idea-sharing classes, conducted during the

weekends, could help students understand the core objectives of their internships
and provide guidance during the report-writing phase.

 To maintain the confidentiality of evaluations, the college could request the final
assessment directly from the organization or through the company's official
communication.

30
  Enhancing the course curriculum by incorporating more practical activities that
apply theoretical knowledge in real-world contexts.

3.4 Feedback to Future Interns

Following are some of the feedbacks that I would like to provide to the future interns:

 Select organizations based on your interests rather than following group preferences.

 Prioritize practical experience when choosing an organization for your internship.

 Consider interning at an organization where you might want to work after

completing your MBA program.

 Focus on developing skill-based knowledge and improving your communication

skills during the internship.

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 REFERENCES

Machhapuchchhre Bank Limited. (2023). Retrieved from https://www.machbank.com/

Machhapuchchhre Bank Limited. (2023). Annual Report 2023. Retrieved

from https://www.machbank.com/annual-report

https://account.machbank.com/branches
Brochures of Machhapuchchhre Bank
Limited

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APPENDICES

33