HBL SWOT ANALYSIS

HBL

SWOT ANALYSIS

STRENGTH

                    H.B.L. has very effective Network of branches all over the country. Every 10^th Pakistani is A/C holder of H.B.L. has made huge investment in almost all the important economic sectors of Pakistan. H.B.L. not only has made investment in industry but also in small scale industry as well. H.B.L. has efficient  & less bureaucratic set up H.B.L. has introduced monthly income scheme that provides almost highest interest rate  .A.T.M. Was introduced in Pak. By  H. B. L.  master card facilities is also available to the clients.

 

 

WEAKNESS

                     No consumer banking has offered by the H.B.L. to its clients like phone banking evening banking etc.

-       Bed Debt rate is very high no special effort has been made to recover the bed amounts.

-       No marketing set up or structure is there. Most of people do not know how they have to promote their activities.

 

OPPORTUNITIES

                 H.B.L. is oldest bank in the country people do rely on this bank with some additional efforts bank can attract high deposit from Pakistan and overseas.

Instead of emphasizing on big & long term projects bank should concentrate on small scale investments heaving small maturity period.

Now-a-days H.B.L. has been investing almost 18% of its total investment on cotton business, along with investment in cotton it should invest in other cash crops, i.e. Rice, Sugar Cane, Tobacco, Wheat etc and there related agro based industry.

 

THREATS

                 First threat that bank has to face is the Privatization, down sizing & restructuring these changes could make drastic effects as well.

                 New incoming local & specialy foreign banks those are main cause of stiff competition in the market

                 DFI’s are going very well in financial set up of Pakistan. So, these are also effecting on the operations of bank. Along with other threats the threat of corruption has vital importance.

CONCLUSION

Habib Bank limited was rated among first 500 banks of the world but now it is in among 1000 banks in the world, H.B.L. is not progressing due to political influence, in efficient management & corruption. If these draw backs have removed then bank will not only join its previous position rather we hope it will be rated among world top ten bank

MODERN BANKING:

§  Master Card

§  ATM

MASTER CARD:

Habib bank is providing many latest and modern facilities to Its customers. Master Card is one of them, which is given by HABIB BANK LIMITED.  Master Card is having following benefits & privileges.

è  HABIB BANK LIMITED master car is accepted at over 12 Million establishments worldwide.

è  Free air travel accident insurance is provide.

è  This is the card having a photograph & signature of the car holder, which gives the security against misuse.

è  On this card cash withdrawals are available over 29000 outlets all over the world.

 

AUTO TELLER MACHINE:

Now a days bank are going to inter in the world of computer & technology, each & every mark which was one by the men is being one through computer.

HABIB BANK LIMITED is innovator to introduce A.T.M. facility to its customer first time in Pakistan. A.T.M machine basically provide 24 hours cash service to its customer you just have to enter your code & amount requirement you could get it whenever you want in throughout 24hours. A.T.M car facility can be given to all those who are the customer of the Bank but having certain average balance.

In Habib Bank cantt. Branch A.T.M Dept. is supervised by experienced & well educated, with reference to business, Mrs. Farhat. For getting A.T.M car simple procedure is adopted:

n  Filling of Application for A.T.M. Card

n  Attested from two bankers.

n  All kinds of necessary & related documents

TERMS & CONITIONS:

§  The card can be used to individuals on their request having current /PLS saving Accounts.

§  The card must be signed by the cardholder immediately upon receipt.

§  The card is not transferable & shall be use exclusively by the car holder name.

§  All possible steps shall be taken to safe guar the card

§  The card holder irrevocably an unconditionally authorises the bank to debt his her accounts with the amount of withdrawals   purchases effected through the use of his/her card

§  Making the position cash & balancing on daily bases.

§  Posting of vouchers an balancing in the A.T.M ledger on daily bases.

§  Preparation of Cash position statement on daily bases.

WITH DRAWL OF CASH:

§  On daily bases Rs.2000/-

§  On weekly bases Rs.9000/- can be drawn.

§  Normally on deposit of 25000/- the limit of with drawl on deposit is Rs.3000/-per 30 days.

§  It is limited on the city only car of one city cannot be use in other city.

There are total 20 A.T.M machines working in Pakistan,

Karachi                        8                                              Lahore             4

Islamabad                    3                                              Mulatto             1

Faisalabad                   1                                              Peshawar                     1

Quetta              1                                              A.J.K                            1

As far as the world bank concerned , it is not yet decided how it was concerned there are various opinions regarding the organization of world  bank .

One  view is that word is derived from words because banque which mean a bank.

Another options is that the world bank is derived from the German word back which means first of funds.

History of Banking

It is believed that Babylonians were first to develop system as early as 2000 b.c. King hammurabi , the founder of the Babylonian empire drew up a code where in the laid down standards rules and procedures for banking operations which deal with all aspects of loan interest fledges guarantees natural accidents loss and theft , etc. Later on Simerians and Hellities  standardize the value of goods and silver cooper and bronze.

In Greece temples of Ephusis and Delphi were biggest banks of their time where the people deposited their money and other valuables for safty and security as also too first financial agents.

Interest seeing great the great demand, these money lenders started organization themselves and banks started coming up at the principal as ports in Southern Europe soon Venus and southern Euro Genoa become the most important of the items and banks flourishes.

Modern Banking

Banking in its modern form started in Britain when many of the Lombardy merchant came to England in the 14 century. They deal not only keeping the money in safe custody but also changed the money for the travelers for the merchants in foreign trade. Later on the business was taken over Gold smith. The introduced necessary facilities of safe keeping of the valuable and the cash for their customers. These were Gold simth notes.

Development of Modern Banking

In 1854 the Govt. stock companies opened an era of corporation and the limited liability act 1855 restricted the liability of share holders of a limited company to the amount of successfully paid up value of the share held by them in the successive year of private banks amongst the joint stock bank of today effect of this historical developments of banking in England has been fairly wide firstly emergence of small number of large banks with wide net word of branches increase unpopularity of bank account and large false use of cheques.

Banking in Pakistan

At the time of independence there were 487 offices of schedules banks if Pakistan. However the banks including those having their registered offices in Pakistan , transferred them to India. By  30^th time June 1948 the no offices of scheduled banks in Pakistan declined from 487 to only 195

There were 19 non Indian foreign banks with the status of small branches office while there were only 2 Pakistan bank  i.e. Habib Bank and Australian Bank

Organization Banking in Pakistan.

At present the banking structure in Pakistan comprise of following

I-State Bank of Pakistan

This is the central bank of Pakistan. State bank charged with the monetary and credit system of Pakistan.

Function

1-   It has the sole authority f the issue of the bank notes.

2-   It acts as banker to the government.

3-   It acts as an advisor and agent to the govt. On order to fulfill this obligation the state bank has established the necessary machinery to keep the related statistical and other information availbale.

4-   It is also the banker’s bank and the lender of the last resort.

5-   It has the liability to control the credit and bank rate.

6-   Exchanger. The authority to control the foreign exchange is also related with  the state bank.

7-    

Commercial Banking

Presently commercial banking is operating in nationalized and private sector both.  So for twelve banks have been established in private sector.

According to provision of the bank nationalization act 1974 all the commercial banks were recognized and merged into the following five banks

1-   Habib Bank Limited

2-   United Bank Limited

3-   National Bank of Pakistan .

4-   Muslim Commercial Bank Limited

5-   Allied Bank of Pakistan.

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