Citizens United V. Federal Election Comission

Resolved: On balance, the Supreme Court decision in Citizens United v. Federal Election Commission harms the election process. My partner and I stand in firm negation of today’s resolution. If my partner and I uphold that the Citizens United decision does not directly harm our election process, then we win today’s round. Contention 1: Citizens United has negligible effect on public participation in elections. In fact, the decision actually supports voter turnout. Many would argue that a bombardment of ads and excessive spending discourage voters, but this is not the case.In fact, there aren’t any studies that back up this claim sufficiently. There are many studies however, that say that ads pique the interest of voters and encourage them to educate themselves about the candidates. The Journal of Politics reports that respondents in 2000 were as much as 10 percentage points more likely to vote if they watched much television (particularly daily news shows) in medi a markets that were bombarded with presidential ads. Exposure to the ads increased intentions to vote by 18 percentage points.Clearly, campaign ads are very helpful when it comes to voter turnout, and after the case, there was a major increase in the amount of ads aired during a campaign according to a Wesleyan study. We have seen a 40% increase in ads since 2008. In addition, the number of ads only increased by 10,000 from 2004-2008 compared to the 300,000 increase from 2008-2012. Allowing corporations to fund ads and Political Action Committees raises awareness for elections, and potentially increase voter turnout. Contention 2: The decision by the court actually prevents corruption.Matthew Melone, a professor from Depaul University, notes that, â€Å"To believe that corporate advocacy will distort the political process and lead to public lack of confidence in the system is to miss the point that influence will continue to be sought by other means. As long as elected officials of fer themselves up for sale there will be buyers. Even if one believes that corporate express advocacy will become a currency for influence peddling, it is less objectionable than other forms of currying political favors: at least corporate advocacy is transparent. Indeed, the type of fairly easily monitored campaign contributions that Citizens United has legalized are the most transparent, least corrupt way for corporations to exert their influence. As a result, according to the Sustainable Investment Institute, 84 percent of large corporations now acknowledge and report their campaign contribution (up from 78 percent before Citizens United). In short, corporations have been given a legitimate, non-corrupt means of contributing to political campaigns and they are taking that opportunity instead of relying on back-door deals and other illegal methods.In fact, transparency after Citizens United was increased. The New York Times says, â€Å"An often-overlooked part of the Citizens Uni ted decision actually upheld disclosure requirements, saying that ‘transparency enables the electorate to make informed decisions and give proper weight to different speakers and messages. ’ Lower courts have embraced the ruling, relying on Citizens United to reject challenges to disclosure laws, often in cases involving political spending related to social issues. † So Citizens United actually made it easier for courts to reject challenges to disclosure laws, and thus creates more transparency.The New York Times also said, â€Å"None of this means that existing disclosure laws are necessarily adequate. But if they are not, the fault lies with Congress and state legislatures, not the Supreme Court. † What many people fail to realize, is that these transparency issues we currently have were around long before the Citizens United decision. Citizens United is not to blame when it comes to corruption, because it actually helps keep corruption out of the electio n process. Contention 3: Our democratic approach in elections is upheld through the decision.The court decision also better upholds the democratic ideals our election process is based on. Our 1st amendment rights give us the freedom of speech. This right does not only apply to individuals, but corporations as well. This is supported by the Supreme Court in such cases as Santa Clara County v. Southern Pacific Railroad Company which dictates that the term person, in the equal protection clause of the 14th amendment, applies to corporations as well as people. In addition, the Supreme Court also ruled in Buckley v.Valeo that money to influence elections is a form of constitutionally protected free speech. So BCRA denying corporations their constitutional rights to donate and spend on elections harms democracy, and goes against our election process. Further, government regulation would inhibit the flow of information from corporations. Justice Kennedy upheld in the decision that â€Å"b y definition, an independent expenditure is political speech presented to the electorate that is not coordinated with a candidate. † It is for the aforementioned reasons that my partner and I urge a con ballot. Thank you.

Internship Report on Banking Business Activities of Mercantile Bank Limited, Satmasjid Road Branch Dhaka.

Internship Report On BANKING BUSINESS ACTIVITIES OF MERCANTILE BANK LIMITED, SATMASJID ROAD BRANCH DHAKA. [pic] Submission Date: 15th November, 2009 Prepared for: Prof. Md. Ashraf Hossain Dean, School Of Business Asian University of Bangladesh Dhanmondi Complex House 36, Road 27 (Old), 16 (New) Dhanmondi R/A, Dhaka-1209 [pic] Prepared By: JOBYDA JESMIN ID: 200521050 Batch: 24th Section: Finance Program: BBA Dhanmondi Complex Asian University of Bangladesh Letter of Transmittal 15th November, 2009 Prof. Md. Ashraf Hossain Dean, School of Business Asian University of Bangladesh Subject: Submission of Internship Report. Sir, It’s my great pleasure to submit the Internship report titled â€Å"Banking Business Activities of Mercantile Bank Limited† that you have asked me to prepare as a partial fulfillment of my graduation. I have tried my best during three months working period to follow the instruction of you in preparing this report. Throughout the report I tried to demonstrate the available services matter of this branch of Mercantile Bank Limited. Finally, I would like to thank you for your valuable guidance and advice for preparing this report. I thereby strongly hope and believe that you would be kind enough to accept this report and give me a pleasure to be obliged. Thanking for your time and reviews. Sincerely Yours, JOBYDA JESMIN ID: 200521050 Batch: 24th Section: Finance Program: BBA Dhanmondi Complex Asian University of Bangladesh Acknowledgement First of all I would like to express my deep gratitude to the almighty Allah for preparing this internship report successfully. Internship is the part of the Bachelor of Business Administration (B. B. A. ) program that provides on the job experience for the students. The students get chance to work closely with the people of the organization and learn about the functions, responsibility and the environment of the organization. The internship program enables a student to develop their analytical skills and scholastic aptitudes and to have a real-life orientation of the academic knowledge. I express my deep gratefulness to Mr. Md. Sadruzzaman, Executive Vice President, for his kind permission to allow me for three months practical orientation in Mercantile Bank. My special gratitude goes to Mr. Shamim Ahmed, Senior Vice-President & Manager of Mercantile Bank Ltd, Satmasjid Road Branch, for his modern outlook and meticulous supervision to carry out the job perfectly. I am very grateful to Mr. Mamun Hossain, Executive Officer, for helping me a lot. Moreover I am very much thankful to my internship in-charge in various departments and all the officers of Mercantile Bank Ltd of Satmasjid Road Branch for helping me very much although having their busyness. Without their help and friendly cooperation it could be very much difficult for me to complete the report in time. So again I want to express my gratitude to all of them. Acronyms |MBL |= |Mercantile Bank Ltd. | |AD |= |Authorize Dealer | |PO |= |Pay Order | |A/C |= |Account | |CDS |= |Central Depository System | |DD |= |Demand Draft |ERC |= |Export Registration Certificate | |FDBC |= |Foreign Documentary Bills For Collection | |OBC |= |Outward Bills for collection | |IBC |= |Inward Bills for Collection | |GDP |= |Gross Domestic Product | |TT |= |Telegraphy Transfer | |L/C |= |Letter Of Credit | |BR |= |Bankers Report | |IBCA |= |Inter branch credit advice | |IBDA |= |Inter Branch Debit Advice | |IMF |= |International Monitory Fund | |IRC |= |Import Registration Certificate | |KYC |= |Know Your Customer | |CCI & E |= |Chief Controller Of Import & Export | |LDBP |= |Local Documentary Bills Purchases | |FC |= |Foreign Currency | |TIN |= |Tax Identification Number | |LCAF |= |Letter of Credit Authorization Form | |BTB |= |Back to Back | |FDBC |= |Foreign Document Bill Collection | |SWIFT | = |Society For Worldwide Inter Bank Financial Telecommunication | |FDBP |= |Foreign Documentary Bill Purchased | Executive Summery This is an internship report based on the internship program took place in Mercantile Bank Ltd, Satmasjid Road Branch, The main objective of this report is to analyze the Banking Business Activities and performance of Mercantile Bank Ltd. I got only three months to gather practical knowledge from this branch, although it was too difficult to gather maximum and proper knowledge within this short range of time. There is a great supportive role of banking system in human society. It plays a vital role for the economic development of a country. Banks are financial-service firms, producing and selling professional management of the public's funds as well as performing many other roles in the economy. The study was to analyze Banking Business Activities of Mercantile Bank Ltd, Satmasjid Road Branch especially: ? General banking ? Foreign Exchange and remittance Credit & Advance department Firstly, I worked for one month in General Banking. During this period I tried my best to cover most o f the basic stuffs. Clearing section was important part to focus on. There were other sections such as Account opening section, Computer section, Cash counter section. Second month I worked in the Loan and Advance sector. And I tried my best to understand what to deal about, what to think about when approaching for any loan proposal. In the final days, I was in Foreign Exchange department. There I was involved in learning the Import LC, Export LC, the operation of back to back LC, Lodgment & settlement of LC, IBP & FBP etc. Most of all I tried heart & soul to present all that I have learnt & thought to be comprehensive to me. Though a short time I got to be introduced with all the activities of bank but I tried my best to give full of me in the practical orientation in bank as well as in the report writing. TABLE OF CONTENTS Chapter One Introduction Page No. 1. 1 Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 11 1. 2 Background of the Study†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦.. 12 1. 3 Rational of the Report†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦. 12 1. 4 Object ives of the Report †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦13 1. 5 Methodology †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 14 1. 6 Scope of the report †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 15 1. 7 Limitations of the Study†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 5 Chapter Two Overview of Mercantile Bank Ltd. 2. 1 Banking sector in Bangladesh †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦17 2. 2 Historical background of MBL †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 18 2. 3 Vision Mission & objectives of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦20 2. 4 Core values†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 21 2. 5 Management aspect of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 22 2. 6 Divisional aspect of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 23 2. 7 Branch Network†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 24 2. 8 Information about the Satmasjid Road Branch†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 26 2. 9 Financial Performance of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 27 2. 10 Nature of Business†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦28 2. 1 Financial Products and Services of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢ € ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 29 2. 12 Credit Policy of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 33 Chapter Three General Banking Activities 3. 1 Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 35 3. 2 Account Opening†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 36 3. 3 Different Types of Scheme and Features†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 39 3. 4 Cash Department†¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦45 3. 5 Clearing House†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 46 3. 6 Issuing PO, DD, TT †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 47 3. 7 Dispatch†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 7 3. 8 Issuing Cheque†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 48 3. 9 Closing of an Account†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦49 Chapter Four Foreign Exchange Department 4. 1 Introduction †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 52 4. 3 Letter of Credit (L/C) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 53 4. 4 Parties to Letter of Credit†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 54 4. 5 Import Procedures†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 57 4. 6 Requirements of an importer to open an L/C †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 58 4. 7 Lodgment of Import Document†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 62 4. 8 Export Section†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 65 4. Back to Back L/C †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â ‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 66 4. 10 Documents required for opening a Back to back L/C†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 66 4. 11 Foreign Remittance†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 67 4. 12 Foreign Correspondent Bank†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 68 TABLE OF CONTENTS Chapter Five Credit DepartmentPage No. 5. 1 Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 72 5. 2 Importance of Credit†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦.. 73 5. 3 Forms of Advances†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦ 74 5. 4 Process of loan sanction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 75 5. 5 Different types of loan and interest rates†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦.. 78 5. 6 Types of Credit Scheme made by the MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦.. 79 5. Loan categori es and their Features†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦.. 83 . 5. 8 Credit Policy of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦94 5. 9 Credit Risk Management of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦. 95 5. 10 Credit Risk Grading†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦Ã¢â‚¬ ¦97 5. 11 Mechanism of Credit Distribution of the MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 101 5. 12 Necessary Documents for Loan Settlement†¦Ã¢â ‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 103 5. 13 Credit Recovery of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 104 Chapter Six Others Services of MBL 6. 1 Cards of MBL†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦108 6. 2 Online Banking†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦109 6. 3 SMS Banking services†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. .. 110 6. 4 SME Service Centre†¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦ 10 6. 5 MBL Brokerage House†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦111 Chapter Seven Conclusion 7. 1 Findings†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦ 113 7. 2 Recommendation†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦ 114 7. 3 Conclusion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â ‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦119 7. 4 Bibliography†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. †¦ 120 [pic] Chapter: 01 INTRODUCTION 1. 1 Introduction 1. 2 Background of the study 1. 3 Rationale of the report: 1. 4Objectives of the Report 1. 5Methodology 1. 6Scope of the report 1. 7Limitations of the study 1. 1: Introduction Internship is a temporary work program in which a student can gain supervised practical experience in a particular professional field. It is the period of time during which a novice in a field serves in a subordinate capacity and continues to gain experience; the learning period before one becomes an expert. Practical Knowledge is highly needed to match with the theoretical idea and knowledge. Banking industries are the best organization to practice the theoretical knowledge. This sector plays very important role in the economic life of the nation. The health of the economy is closely related to the soundness of its banking system. Although banks create no new wealth but their borrowing, lending and related activities facilitate the process of production, distribution, exchange and consumption of wealth. In this way they become very effective partners in the process of economic development. Within our country there are government banks, semi government banks, private sector commercial banks of Bangladesh and also it is the second-generation private bank in Bangladesh. It started its important moment when Bangladesh economy was undergoing through massive economy reforms and pursing unilateral and multilateral trade liberalization with the backdrop of the World Bank made international Monitory Fund *IMF* recommendation. This Mercantile Bank Ltd with its 42 Branches in Manipulate location of the country providing the best quality services to the clients and customers. For the duration of my 3 months internship period from 1st July to 8th October , 2009 in Mercantile Bank Ltd. Those types of experiences I have acquired these are bring together to formulate this report. 1. 2. Background of the study: Banks play an important role in the business sector and promoting industrialization and economic development of a country. Banks provide necessary funds for executing various programs underway in the process of economic development. This paper is entitled â€Å"Overall Banking Activities of Mercantile Bank Limited† originated from the fulfillment of the internship program. I have selected this topic to have insight knowledge about the Activities of Mercantile Bank Limited and to get an idea about the various types of deposit, loan which are mostly provided. This study will also give me a vague idea about the rules and regulations of providing loan, loan recovery and overall lending functions of a commercial bank. After three months of internship period I am supposed to prepare this report revealing findings, knowledge as well as experience gathered during internship period. 1. 3. Rationale of the report: Knowledge and learning become perfect when it is associated with theory and practice. Theoretical knowledge gets its perfection with practical application. As our educational system predominantly text based, inclusion practical orientation program, as an academic component is as exception to the norm. As the parties, educational institution and the organization substantially benefit from such a program, it seems a â€Å"win-win situation†. It establishes contracts and networking contracts. Contracts may help to get a job. That is, students can train and prepare themselves for the job market. A poor country like Bangladesh has an overwhelming number of unemployed educated graduates. As they have no internship experience they have not been able to gain normal professional experience of establish networking system, which is important in getting a job. Recognizing the importance of practical experience, an opportunity is offered by Asian University of Bangladesh for ts potential business graduates to get three months practical experience, which is known is as â€Å"Internship Program†. For the competition of this internship program, the author of the study was placed in a bank namely, â€Å"Mercantile Bank Limited†. Internship Program brings a student closer to th e real life situation and thereby helps to launch a career with some prior experience. 1. 4. Objectives of the Report: ? Broad Objective The study was conducted to make a review and analysis of the activities of MBL which include General banking, Credit Department and Foreign Exchange Sector. This paper attempts to discuss overall activities of MBL prescribed so far by Bangladesh Bank with a view to ensuring financial soundness of the banking sector. The purpose was also to make recommendations for improving the quality and soundness of those processes for consideration of the bank management. ? Specific Objectives: The specific objectives of this study are as follows: †¢ To present an over view of MBL. †¢ To know about the area of general Banking. †¢ To analysis the Lending procedures maintained by MBL. †¢ To observe principal Lending activities of MBL. †¢ To evaluate Lending performance of MBL. †¢ To know Foreign Exchange operations of MBL. †¢ To recommend suggestions for the successful Banking Operations of MBL. 1. 5. Methodology: For teaming up the data & information collected through primary & secondary sources, I have used both qualitative & quantitative method. During my study I followed some methodology to find out the fact & feature of the Bank which are given as follows: (A) Area of study: My project is the overall activities of MBL with reference to Saatmasjid Road Branch, Dhaka. In order to carry out the research work, I focused on taking the interviews of the Personnel involved in the different departments, Manager and Senior Level Employees, Business Clients and Account Holders and Particular departmental heads. (B) Sources of data/information: I have collected my information/data from the following sources, which helped me to make this report. The source has divided by two parts. Such as, 01. Primary source 02. Secondary source Primary sources: Many of the data and information were collected from my practical experience and queries from the executives and from related instruments while doing my internship at MBL. Secondary sources: Secondary data are collected basically from observation & collection from Journals, Brochures, Annual Reports, Paper, Magazines, Publications, Books and others form of publications as well as websites. Different statistical tools like mean, frequency distribution, tabular and graphical presentation are used to analyze data. 1. 6. Scope of the report: In this report I tried to describe overall banking performance. This report is a descriptive study which tries to focus on the theories and practices of banking activities in the context of the financial institutions in Bangladesh. It will not focus on the comparable practices of other banks. The study has covered a curtail idea on MBL, operational scenario of three departments of Mercantile Bank Limited, Saatmasjid Road Branch. Mentioning that, operations of three departments are closely related to each department’s activity as well. This will eventually refer that how the bank help the customers securing their cash and assets, getting credit facility, repaying loan amount and bank’s regulatory compliance ,lending policy etc. Overall banking system for gathering experience, my scheduled time was divided in various departments, such as: Department |Days | |General Banking |25 | |Clearing |15 | |Investment & Credit |25 | |Foreign Exchange Division |25 | 1. 7. Limitations of the study: In conducting the study, some problems were cre ated which may be termed as limitations of the study. They are as follows: †¢ The study does not cover critical analysis and implementations of comparative study in an intensive manner. †¢ During my internship program up to date information was not published. †¢ Relevant papers and documents were not available sufficiently. The time of this study was very inadequate to obtain depth knowledge in every department. †¢ The bank officials though helpful in every respect do not have much time to explain the internal procedures. †¢ Another limitation of this report is Bank’s policy of not disclosing some data and information for obvious reason, which could be very much useful. †¢ This study completely depended on official records and annual reports. †¢ Sufficient record, publications, facts and figures were not available, these constraints narrowed the scope of accurate analysis. †¢ This report is restricted only to Mercantile Bank Ltd. [pic] Chapter: 02 Overview of Mercantile Bank Ltd. 2. 1. Banking sector in Bangladesh 2. 2. Historical Background of MBL: 2. 3. Vision, Mission and objectives of the bank: 2. 4. Core values 2. 5. Management aspect of MBL 2. 6. Divisional aspect of MBL: 2. 7. Branch Network 2. 8: Information about the Satmasjid Road Branch. 2. 9:Financial Performance of MBL 2. 10Nature of Business 2. 11. Financial products and services of MBL: 2. 12 Credit Policy of MBL 2. 1. Banking sector in Bangladesh: Banking system occupies an important place in an economy. A banking institution is indispensable in modern society. It plays a liberalization of economics policies in Bangladesh. Certainly banks can be identified by the functions they perform in the economy. Banks act as financial intermediary by transferring funds from savers to borrowers and in paying for goods and services. In 1971, Bangladesh, was East Pakistan, emerged as an independent country. In immediately nationalized the entire Banks expanding 3 Foreign Banks, six Nationalize Banks were thus formed. In 1983 a new policy was implemented allowing private sector participation in the industrialization. As a part of this process, two national commercial Banks were against denationalization and a number of Private Commercial Banks were allowed to operate. Among these Pubali Bank and Uttara Bank were the first to be decentralized. |Particulars Number of Banks | |Nationalized commercial Bank |04 | |Privatized commercial Bank |30 | |Specialize Bank |05 | |Foreign Bank |10 | |Co- Operative Bank |01 | |Grameen Bank |01 | |Total = |51 | Table 1: Schedule Banks in Bangladesh. 2. 2. Historical Background of MBL: Mercantile Bank Limited emerged as a new commercial bank to provide efficie nt banking services and to contribute socio-economic development of the country. The Bank commenced its operation on June 2, 1999. The Bank provides a broad range of financial services to its customers and corporate clients. The Board of Directors consists of eminent personalities from the realm of commerce and industries of the country. Mercantile Bank Ltd (MBL) was incorporated in Bangladesh as a Public Company, Limited by shares under the Companies Act 1994 as on May 20, 1999 and subsequently obtained Banking Operation License from Bangladesh Bank under the Bank Companies Act 1991 and commenced commercial operation on 02 June 1999 to provide efficient banking services and to contribute socio-economic development of the country. The bank has 42 branches and 3 SME service center. It has listed in the Stock Exchanges at Dhaka and Chittagong in 2003 and 2004 respectively. The Founder of MBL is committed to make it a little more different and a bit special qualitatively. This bank has new vision to fulfill and a new goal to achieve. The bank has been manned with talented and experienced personnel equipped with most modern technology so as to make it most efficient to meet the needs of 21st century. The Head Office of the Bank situated at 61, Dilkusha commercial Area, Dhaka. The Board of Directors consists of eminent personalities from the realm of commerce and industries of the country. The Authorized Capital of the Bank is Tk. 3000 million and the Paid -up Capital is Tk. 1798. 68 million. The Bank provides a broad range of financial services to its customers and corporate clients It has a large asset position comprising of Tk. 55928. 72 million in December 2008. [pic] 2. 3. Vision, Mission and objectives of the bank: Vision Would make finest corporate citizen Mission: Will become most caring, focused for equitable growth based on diversified deployment of resources, and nevertheless would remain healthy and gainfully profitable Bank. Objectives of Mercantile Bank: The objective of MBL is not only to earn profit but also to keep the social commitment and to ensure its co-operation to the persons of all level, to the businessman, industrialist – specially whom are engages in establishing large scale industry by consortium and the agro based export oriented medium and small scale industries by self inspiration. Strategic Objective: ? To achieve Economic Value Added (EVA) each year. ? To be market leader in product innovation. ? To be one of the top three financial institutions in Bangladesh in terms of cost efficiency. ? To be one of the top five financial institutions in Bangladesh in terms of market share in all significant market segments that the bank serve. Financial Objective: To achieve a return on shareholder’s equity of 20% or more, on average. 2. 4. Core values: For the Customers: providing with the caring services by being innovation in the development of new banking products and services. For the Shareholders: maximizing wealth of the bank. For The Employees: respecting worth dignity of individual employees devoting their energies for the progress of the bank. For the Community: strengthening the corporate values and taking environment and social risks and reward into account. INVESTORS INFORMATION: Investor can be informed about any information from Dhaka Stock Exchange Website and Bank’s website: †¢ www. dsebd. org †¢ www. mblbd. com 2. 5. Management aspect of MBL: The Board of Directors being at the highest level of organizational structure plays an important role on the policy formulation. The Board of Directors is not directly concern with day-to-day operation of Bank. They had delegated their authority to the Managing Director and CEO to look after the day-to-day affairs of the Bank. The Bank is running by an excellent management team under the direct supervision of a competent Board of Directors. The Board of Directors comprises total thirteen members, which is within the maximum limit as imposed by BPRD circular-12, dated April 26,2003of Bangladesh Bank, headed by the Chairman. Md. Abdul Jalil, is the present Chairman of the Board. The Managing Director (MD) and CEO head management team. Mr. Dewan Mujibur Rahman is the present Managing Director and CEO of MBL. The management hierarchy of Mercantile Bank Limited is given below: | Board of Directors | | Managing Director | | Additional Managing Director | | Deputy Managing Director | | Senior Executive Vice President | Executive Vice President | | Senior Vice President | | Vice President | | First Vice President | | Asst. Vice President | | First Asst. Vice President | |Senior Principal Officer | | Principal Officer | | Senior Officer | Officer | | Junior Officer | | Assistant Officer | Figure: The management hierarchy of MBL 2. 6. Divisional aspect of MBL: There are total fourteen divisions in the Head Office of MBL. List of various divisions of MBL is given below: | Audit and Inspection division | | Central Accounts Division | | | Credit Division | | Marketing, Development Banking Division | | General Services Division | |Human Resources Division | | International Division | | Information Technology Division | | Research Division | | Treasury Market Division | | Board Secretariat& Share Dept. | | Cost Control Dept. | Law & Recovery Dept. | | Card Cell | Fig: Divisions of MBL 2. 7. Branch Network: MBL is one of the 3rd generation commercial Bank in private sector of Bangladesh. The Bank within stipulation lay down by the Bank Company Act 1991 and directives as received from Bangladesh Bank from time to time provide all types of commercial Banking services. It has 42 branches all over the country and also enlisted the Dhaka and Chittagong stock exchange as publicly quoted company for its general class of share. |Bank's Name |Name of Region/Zone |No. f Branches | | |Dhaka |19 | | | | | | | | | | | | | |MERCANTILE BANK LIMITED | | | | |Gazipur |02 | | |Chittagong |06 | | |Sylhet |02 | | |Moulvibazar |01 | |Comilla |01 | | |Noakhali |01 | | |Bogra |01 | | |Rajshahi | 01 | | |Rangp ur |01 | | |Barisal |01 | | |Khulna |01 | | |Naogaon |02 | | |Cox’sbazar |01 | | |Feni |01 | | |Shariatpur |01 | | |Total Branches |42 | Table: Branches of MBL [pic] 2. 8: Information about the Satmasjid Road Branch: Address of Branch: Satmasjid Road Branch House: 735(old), 82/A (New) Road: 8/A (New), Satmasjid Road Dhanmondi, Dhaka-1205 e-mail:[email  protected] com Phone: 9139183, PABX: 8112463-4, 9141148 Fax: +88029139183 SWIFT: MBLB BD DH Opening Date: 1st November, 2004 as 22nd Branch of MBL. Number of Employees: 22 Name of Manager: Shamim Ahmed, Vice President & Head of Branch. Mercantile Bank has purchased the land and building of this Branch Last month where it operates. 2. 9: FINANCIAL PERFORMANCE OF MERCANTILE BANK LIMITED: (BDT in million) MERCANTILE BANK LIMITED AT A GLANCE: Particulars |2005 |2006 |2007 |2008 | |Authorized Capital |1,200. 00 |3,000. 00 |3,000. 00 |3,000. 00 | |Paid-up Capital |999. 27 |1,199. 12 |1,498. 90 |1,798. 68 | |Total Assets |28,890. 48 |37,159. 65 |44,940. 54 |55,928. 72 | |Deposits |25,087. 43 |33,332. 65 |39,348. 00 |49,538. 36 | |Loan & Advances |21,857. 05 |26,842. 14 |31,8 77. 86 |41,993. 5 | |Import |33,271. 90 |42,442. 80 |40,380. 10 |56,528. 80 | |Export |24,108. 57 |34,592. 10 |32,670. 10 |43,108. 50 | |Remittance |679. 10 |2,989. 10 |3,510. 40 |4,722. 90 | |Profit after tax |386. 83 |494. 22 |540. 50 |615. 88 | |No. Of Branches |28 |35 |41 |42 | |No. Of Employees |663 |879 |945 |1115 | |No. Of Foreign Correspondents |266 |306 |584 |586 | 2. 10. Nature of Business: The Bank engaged in all types of commercial Banking services within the stipulations laid down by Bank Companies Act 1991 and directives as received from Bangladesh Bank from time to time. All types of Commercial Banking Services are provided by the Bank within the stipulations laid down by Bank Companies Act. 1991 and directives as received from Bangladesh Bank from time to time. Commercial Banking is the core activity of Mercantile Bank Limited. The bank serves all type customers ranging from individuals to corporate bodies, both private and public. Mainly MBL collects deposit from the people at lower rate and invests the same to the people again at higher rate. And difference between lower rate of deposit and higher rate of investment is the earnings of the Bank. MBL mainly invests in industrial sector like short term, Middle term as well as long term for import of capital machineries, establish new industry and working capital assistances with this Bank play’s a significant role in Bangladesh economy. The functions of commercial banks are now wide and varied. However the unctions of commercial banks may broadly be classified into the following three categories: 1. General Banking 2. Credit and investment 3. Foreign Trade (Import, Export & Remittance) 2. 11. Financial products and services of MBL: The bank has launched a number of financial products and services since its inception. Among them the followings have attained wide acceptance among the people ? Various Deposit Schemes : ? Double Benefit Deposit Scheme (DBDS) ? Family Maintenance Deposit (FMD) ? Mashik Sanchaya Prokalpa (MSK) Or Monthly Savings Scheme (MSS) ? Quarterly Benefit Deposit Scheme ? 1. 5 Times Benefit Deposit Scheme ? Advance Benefit Deposit Scheme (ABDS) Or Agrim Munafa Amanat Prokolpo (AMAP). Deposit Schemes : Monthly Saving Scheme The prime objective of this scheme is to encourage the people to develop their habit of saving. Under this scheme, one can save a fixed amount of return every month and get a lucrative amount of return after five, eight or ten years. Family Maintenance Deposit Scheme Under this scheme, one can deposit a certain amount of money for five years and in return he/she will receive benefits on monthly basis. Benefit start right from the first month of opening an account under the scheme and continue up to five years. On maturity the principal amount will be paid back. Double Benefit Deposit Scheme Under this scheme, one can deposit a certain amount of money for a six year period. After six years, the deposit amount will be doubled. Quarterly Benefit Deposit Scheme Under the Quarterly Benefit Deposit Scheme, one can deposit for a period of three years and in return depositor will receive benefits on quarterly basis. Benefit starts right from the first quarter of opening an account under the scheme and continues up to three years. On maturity the principal amount will be paid back. 1. 5 Time Benefit Deposit Scheme Under the 1. 5 Times Benefit Deposit Scheme, one can deposit a certain amount of money for 42 months or three and half years. On maturity, the depositor will receive 1. 5 time of the deposited amount. Advance Benefit Deposit Scheme Under this Scheme, one can deposit a certain amount of money for two years. The depositor will receive the benefit on yearly basis. The benefit amount of first year will be received in advance at the time of deposit. On maturity, the depositor will get back the principal amount with the benefit amount of second year. ? Various Credit Schemes : ? Consumers Credit Scheme (CCS) ? Car Loan Scheme ? Doctors Credit Scheme ? Rural Development Scheme ? Lease Financing ? Personal Loan ? Small Loan Loan Products: Consumer Credit Scheme Consumers' Credit Scheme is one of the popular areas of collateral-free finance of the Bank. People with limited income can avail of credit facility to buy household goods including computer and other consumer durables. Small Loan Scheme This scheme has been designed especially for the businessmen who need credit facility for their business and can't provide tangible securities. Lease Finance This scheme has been designed to assist and encourage the genuine and capable entrepreneurs and professionals for acquiring capital machineries, medical equipments, computers, vehicle and other items. Flexibility and easier terms and conditions of this scheme have attracted the potential entrepreneurs to acquire equipments of production and services and repay gradually from earnings on the basis of ‘Pay as you earn'. Doctors' Credit Scheme Doctors' Credit Scheme is designed to facilitate financing to fresh medical graduates and established physicians to acquire medical equipments and set up clinics and hospitals. Rural Development Scheme Rural Development Scheme targeted for the rural people of the country to make them self-employed through financing various income-generating projects. This scheme is operated on group basis. Woman Entrepreneurs Development Scheme Women Entrepreneurs Development Scheme has been introduced to encourage women in doing business. Under this scheme, the Bank finances the small and cottage industry projects sponsored by women. SME Loan Scheme Small and Medium Enterprise (SME) Loan Scheme has been introduced to provide financial assistance to new or experienced entrepreneurs to invest in small and medium scale industries with a comparatively low rate of interest as the same is assisted by the Bangladesh Bank with refinancing facilities. Personal Loan Scheme Personal Loan Scheme has been introduced to extend credit facilities to cater the needs of low and middle-income group for any purpose. Government and semi-government officials, employees of autonomous bodies, banks and other financial organizations, multinational companies, reputed private organizations and teachers of recognized public and private schools, colleges and universities are eligible for this loan. Car Loan Scheme Car Loan Scheme has been introduced to enable middle-income people to purchase Cars/SUVs/Jeeps. Government and semi-government officials, employees of autonomous bodies, banks and other financial organizations, multinational companies, reputed private organizations, teachers of recognized public and private universities and businessmen are eligible for this loan. Home Loan Scheme To meet the growing need of housing for middle and lower-middle income people, MBL has introduced Home Loan Scheme. We also support the Bangladesh Bank's Home Loan Refinance Scheme. The Scheme boosts up the growth of housing sector. Such loan shall be available for purchase or construction of new apartments for self-residing purpose. Overseas Employment Loan Scheme Overseas Employment Loan Scheme is designed to facilitate the Bangladeshi youths seeking employment aboard but who are unable to meet the expenses to reach the workplace from their own sources. The ultimate objectives of the scheme is to promote skilled / semi-skilled manpower to different countries across the world as well as to provide support to Government Policy considering priority of this sector. By availing loan under this scheme, the active youths of middle and lower middle class can get overseas employment by avoiding borrowing from the illustrious class or village ‘mohajon' at a very high cost or selling their paternal properties. The scheme helps fetching foreign currency for the country as well as fulfill the Bank's commitment to encourage micro-lending for poverty alleviation, improve the quality of life and thereby contribute to socio-economic development of the country. ? Foreign Exchange Services: ? Export Finance ? Import Finance ? Inward Remittance ? Issue L/C ? Shipping Guarantee 2. 12. Credit Policy of MBL: MBL credit policy contains the views of total macro-economic development of the county as a whole by way of providing financial support to the Trade, Commerce and Industry. Throughout its credit operation Mercantile Bank Limited goes to very possible corners of the society. They are financing large and medium scale business house and industry. At the same time they also takes care entrepreneurs through its operation of lease financing and some micro credit, Small Loan scheme etc. As a part of its Credit Policy MBL through its credit operation maintains commitment for social welfare. The bank is coming up with a scheme where the under privileged children will be given financial support for education and self-employment. From operational aspects it is observed that as a matter of policy. i. Mercantile Bank Limited put emphasis on the customer i. e. the ‘Man’ and the Business not on the Security in selecting borrowers. ii. It takes of diversity in credit portfolio. iii. It takes care maintaining proper Mix of short, medium and ling term finance in its credit portfolio usually they do not go for long term Finance for a period not exceeding 5 years. iv. Charging of interest is flexible depending on insisting of the proposal and the customer [pic] Chapter: 03 General Banking Activities: 3. 1: Introduction 3. 2: Account Opening 3. 3: Different Types of Scheme and Features 3. : Cash Department 3. 5: Clearing House 3. 6: Issuing PO, DD, TT 3. 7: Dispatch 3. 8: Issuing cheque 3. 9: Closing of an Account 3. 1: Introduction: All business concerns earn a profit through selling either a product or service. A bank does not produce any tangible product to sell but does offer a variety of financial ser vices to customers. General banking is the starting point of all the banking operations. It is the department, which provides day-to- day services to the customers. Everyday it receives deposits from the customers and meets their demand for cash by honoring cheque. It opens new accounts, remit funds, issue bank draft and pay orders etc. Since bank is confined to provide the service everyday, general banking is also known as retail banking. This section provides the following services: †¢ Primary Information †¢ Account Opening †¢ Cheque Issuing †¢ Pay order Issuing †¢ Issuing Telegraphic Transfer (TT) †¢ Issuing Demand Draft (DD) †¢ Dispatch patch †¢ Clearing †¢ Cash department PRIMARY INFORMATION Customer gets primary information about the bank’s services from this section. Then they are sent the other section under their demanding services. 3. 2: ACCOUNT OPENING: There are different types of account as offered by MBL: i. Savings Account ii. Current account iii. STD (Short term deposit) iv. FDR (Fixed deposit receipt) v. MSS (Monthly saving scheme) SAVINGS ACCOUNT This account is basically offered those customers who want to save money at any time. Customer can save his/ her money according to his/ her declaration. The minimum amount of opening charge of savings ac count is TK. 1,000. But it should be mentioned that when customer want to close the tax is deducted from the interest and have to pay closing charge TK. 100. If want to transfer customer have to pay TK. 200 for transfer charge. †¢ Requirements: †¢ Form must be properly filled up †¢ Have a introducer who introduce the account holder †¢ Two copies of passport size photograph of account holder †¢ One copy of passport size photograph of nominee Have to fill up declaration form where must mention amount of each transaction and annual turnover †¢ Have to fill KYC (Know Your Customer) form, †¢ Have to submit National ID Card ( for all customer) †¢ Have to submit student ID Card (for student) †¢ Have to submit trade license (for business) †¢ Deed (for partnership) †¢ Have to submit TIN number †¢ Have to submit photocopy of passport. ? CURRENT ACCOUNT Current account mainly opened for the Companies and partnership firm. The amount o f this account’s transaction would be big. The requirements of opening this account are given below. †¢ Requirements: For Individual / Joint Account †¢ Two photographs of account holder. †¢ Identity (copy of passport, National ID card, Commissioner Certificate). †¢ Joint Declaration Form (For joint a/c only). Employee’s Certificate (in case of service holder). †¢ One photographs of nominee. For Limited Company: †¢ Copy of valid trade license. †¢ Copy of certificate of incorporation. †¢ Certified Copy of Memorandum of Associations and Articles of Associations. †¢ Up to Date List of Directors. †¢ Board Resolution Regarding Opening and Operations of Bank Account With Mercantile Bank Limited †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Branch. †¢ (Resolution should be in accordance with the provision of Articles of Association of the Company. †¢ Copy of Certificate of Commencement of Business- for Public Limited Company Only. For Partnership Firms: †¢ Copy of valid trade license. †¢ Copy of Partnership Deed. Letter of Account Agreement (Partnership) Duly Signed by all The Partners in Their Personal Capacity. †¢ Letter of Partnership Duly Signed by All the Partners in Their Personal Capacity. Club / societies account †¢ Two photographs of each account holder. †¢ Board Resolution for Opening A/C duly certified by President/ Secretary. †¢ List of Existing Managing Committee. †¢ Registration (if any). †¢ Rubber Stamp. †¢ Permission letter from Bureau of N. G. O. (In case of N. G. O. A/C). ? SHORT TERM DEPOSIT(STD) This account is basically offered those customers who want to save money/ make transaction of a big amount at any time. The businessmen are mainly the customer of this account who makes huge amount transaction in a month. Customer can save his/ her money according to his/ her declaration. The minimum amount of opening charge of savings account is TK. 100,000. But it should be mentioned that when customer want to close, the tax is deducted from the interest and have to pay closing charge TK. 100. If want to transfer customer have to pay TK. 200 for transfer charge. Requirements: †¢ Form must be properly filled up †¢ Have a introducer who introduce the account holder †¢ Two copies of passport size photograph of account holder †¢ One copy of passport size photograph of nominee †¢ Have to fill up declaration form where must mention amount of each transaction and annual turnover †¢ Have to fill KYC (Know Your Customer) form, Have to submit National ID Card ( for all customer) †¢ Have to submit student ID Card (for student) †¢ Have to submit trade license (for business) †¢ Deed (for partnership) †¢ Have to submit TIN number †¢ Have to submit photocopy o f passport 3. 3:Different Types of Scheme and Features: ? MASHIK SHANCHOY SCHEME: The money is fixed up to a certain months or year. Bank gives them interest against this money. If customer doesn’t encashment his/ her fixed deposit at a time the amount is auto renewed and the interest is applied automatically at the account. |Amount |TK. 500 |TK. 1000 |TK. 1500 |TK. 2500 |TK. 000 | |Years | | | | | | |5 years |38250 |76500 |114750 |191250 |382500 | |8 years |71500 |143000 |214500 |357500 |715000 | |10 years |100000 |200000 |300000 |500000 |1000000 | ? DOUBLE BENEFIT SCHEME: Objectives: ? Give maximum benefit. ? Help in meeting specific needs like education, marriage etc. Deposit becomes double in seven and half years. Mode: Tenure of the deposit is 7. 5 years. Amount of DepositPeriod Amount Payable 1, 00,000 7. 5 Years 2, 00,000 Other Features: ? The Minimum amount of deposit is BDT 50,000. 00(Fifty thousand) or its multiples. ? All taxes/duty/levy and /or any other surcharge s presently in force or that may be imposed by the Government of Bangladesh (GOB) from time to time will be deducted/ recovered from the deposit account under this scheme. ? In case of premature encashment interest will be paid on Saving A/C Rate. ? Loan may be granted up to maximum 80% of the deposited amount but minimum principle amount must be BDT 20,000. 00. Loan processing fee be realized BDT 50. 00 only and usual stamp costs also be realized. For example: Initial amount is TK. 1000,000 The bank give interest TK. 100,000 against TK. 100,000 deposit Customer gets TK. 190,000 (200,000-100,[email  protected]% tax = TK. 190,000) Requirements: Form must be properly filled up, One copy of passport size photograph of account holder, One copy of passport size photograph of nominee, ? ADVANCED DEPOSIT SCHEME: Objectives: ? Get Extra benefit from Minimum Deposit. Mode: Maintained for a period of 2 (Two) years. Minimum deposit amount 1,00,000(One Lac) only. Interest Rate Per BDT One Lac : BDT 1 Lac (One Lac) , Tk. 9,500. 00 for first year Tk. ,09,250. 00 for second year. Other Features o All taxes/duty/levy and/or any other surcharges presently in force or that may be imposed by the government of Bangladesh from time to time in Deposit Accounts will also be applicable for the account for the account opened under this scheme and such taxes/duty/levy and/or any other surcharges shall be deducted/ recovered from the deposit account under this schemes. o Loan may be granted up to maximum 70% of deposit. ? Times Benefit Deposit Scheme Under the ‘1. 5 Times Benefit Deposit Scheme’ a deposit of minimum BDT 50,000. 00 (fifty thousand) or its multiples will be received for a period of 4. 2 years. On maturity, 1. 5 times of the deposited amount will be paid back to the account holder as per example given below: Example: Initial Deposit (BDT)50,000. 001, 00,000. 005, 00,000. 00 Return after 4. 2 years (BDT) 75,000. 00150000. 00 750000. 00 Other Features: ? All taxes/duty/levy and /or any other surcharges presently in force or that may be imposed by the Government of Bangladesh (GOB) from time to time will be deducted/ recovered from the deposit account under this scheme. ? In case of premature encashment interest will be paid on Saving A/C Rate. However, no interest shall be paid if premature encashment take place before expiry of 1 (one) year. In the event of death of the depositor before the maturity, the deposit account may be encased (premature) as per rule or may be continued up to maturity on written approach by the nominee(s). ? Loan may be granted up to maximum 80% of the deposited amount but minimum principle amount must be BDT 20,000. 00. ? Loan processing fee be real ized BDT 50. 00 only and usual stamp costs also be realized. ? FAMILY MAINTENANCE SCHEME Objectives: ? Help the retired persons for investing their retirement benefits. ? Create investment opportunities for Non-Resident Bangladeshi. ? Explore investment opportunities for school, college, university etc. ? Give investment opportunities for Trust; Foundation etc. Mode: Deposit a fixed amount of money for 05 (Five) years. Depositor will get a certain sum of money in each month proportion to his/her deposit during the entire tenure. Benefits: Tenure of deposit is 05 (Five) years. Minimum amount of required deposit is TK. 50,000. 00 or its multiple DepositMonthly Benefit (Amount in TK. ) 1, 00,000800 2, 00,0001, 600 3, 00,0002, 400 Other Features o The Minimum amount of deposit is BDT 50,000. 00 (Fifty thousand) or its multiples. o All taxes/duty/levy and /or any other surcharges persently in force or that may be imposed by the Government of Bangladesh (GOB) from time to time will be deducted/ recovered from the deposit account under this scheme. o In case of premature encashment interest will be paid on Saving A/C Rate. A saving account will be needed to be maintained to receive quarterly benefit payment. o Loan may be granted up to maximum 80% of the forced encashment value on the date of loan processing. During the period of continuation of loan, monthly benefits of FMD account will be credited only to loan account. o Loan processing fee be realized BDT 50. 00 only and stamp costs also be realized. ? QUARTERLY BENEFIT SCHEME The ‘Quarterly Benefit Deposit Scheme' will be maintained for a period of 3 (three) years and the minimum amount of deposit is BDT 50,000. 00 (fifty thousand) or its multiples. Interest will be paid on quarterly basis as per example given below. On maturity the principal amount will be paid back. Initial Deposit (BDT)TermQuarterly Benefit Payable (BDT) 50,000 3 Years 1,200 100,000 3 Years 2,400 200,000 3 Years 3,600 Other Features: ? All taxes/duty/levy and /or any other surcharges presently in force or that may be imposed by the Government of Bangladesh (GOB) from time to time will be deducted/ recovered from the deposit account under this scheme. ? Loan may be granted up to maximum 80% of the forced encashment value on the date of loan processing. During the period of continuation of loan, quarterly benefits will be credited only to loan account. ? Loan processing fee be realized BDT 50. 00 only and usual stamp costs also be realized. FIXED DEPOSIT: The money is fixed up to a certain months or year. Bank gives them interest against this money. If customer doesn’t encashment his/ her fixed deposit at a time the amount is auto renewed and the interest is applied automatically at the account. |Amount |Months/ Year |Interest | |TK. 10,000< |1 month/ 2 months/ 3 months |8. 5% | |TK. 10,000< |3 months< |11. 50% | o Form must be properly filled up One copy of passport size photograph of account holder o One copy of passport size photograph of nominee 3. 4: Cash Department: Opening of Cash: Beginning balance is used to start daily transaction & maintenance of Receipt and Payment Registers while receiving & paying different amount of cash. Previously issued cheque will be paid if issued 6 months before. Advance issued cheque cannot be made payment even one day before. Evening Banking: Can only receive cash. No payment can be made except some special cases. Issue Note: Notes issued by the bank & accepted by the people, fresh notes . Non-issue Note: Notes cannot be issued for public like torn, mutilated notes Soiled Notes etc. 3. 5: Clearing House: Functions of Clearing Clearing stands for mutual settlement of claims made in among member banks at an agreed time and place in respect of instruments drawn on each other. †¢ Clearing house is an arrangement under which member banks agree to meet, through their representative, at the appointed time and place to deliver instruments drawn on them. †¢ The net amount payable or receivable as the case may be, is settled through an account kept with the controlling bank (Bangladesh Bank). [pic] Types of clearing †¢ Outward clearing †¢ Inward clearing Types of returns †¢ Outward return †¢ Inward return Clearing (Outward) process: tier First tier: Collection Branch Second tier: Principal Branch/local office Third tier: Clearing house (Bangladesh Bank) Clearing (Inward) process: tier First tier: Clearing house (Bangladesh Bank) Second tier: Principal Branch/ Main Branch Third tier: Paying Branch 3. 6: ISSUEING PO, DD, TT: ? Pay Order: This is one type of security. This can not be transferred. Anyone can draw a pay order. The pay order can be encashment from any bank. |Amount |Commission |Vat | |1>10,000 |25 |4 | |10,000< 1,000,000 |50 |8 | |100,000

Gsm Call Flow

GSM Call Flow (GSM Originating Call) Cell Mobile Station User Mobile Mobile Network Base Stations NSS BSS MSC VLR Fixed Network PSTN PSTN EventStudio System Designer 4. 0 13-Sep-08 21:38 (Page 1) LEG: GSM Mobile Originated Call This sequence diagram was generated with EventStudio System Designer 4. 0 (http://www. EventHelix. com/EventStudio). Copyright  © 2008 EventHelix. com Inc. All Rights Reserved. The EventStudio source files for this document can be downloaded from http://www. eventhelix. com/call-flow/gsm-call-setup. zip. This scenario describes the call setup for a GSM originating call.A mobile user calling a land line subscriber is covered here. Copyright  © 2000-2008 EventHelix. com Inc. All Rights Reserved. The user keys in the phone number for the landline subscriber and .. .. presses the Send button Dial the called person's number Send Button Begin RR Connection Establishment Call related information needs to be transported from the mobile phone to the Mobile Switchin g Center (MSC). This requires the establishment of a Radio Resource (RR) connection to MSC. The first phase of the call setup just sets up this RR connection. RR CHANNEL REQUEST RACH RR connection establishment is triggered by sending the ChannelRequest message. This message requests the Base Station System (BSS) for allocation for radio resources for the RR connection setup. The mobile now waits for an assignment on the Access Grant Channel (AGCH). At this point the mobile is listening to the AGCH for a reply. Note: The RR CHANNEL REQUEST is sent on a Random Access Channel (RACH). This is a slotted aloha channel that can be used at random, without any coordination between the mobiles. Any mobile can transmit on this channel whenever it wishes. If two mobiles transmit on the channel at the same time, their messages will be lost in a collision.The mobiles will detect the collision via a timeout and retransmit the message after a random back off. allocate TCH RR IMMEDIATE ASSIGNMENT A GCH, Radio_Resource = (TCH, Frequency, Timeslot), Time Correction, Frequency Correction Apply the time and frequency corrections Tune to the frequency and timeslot RR SABM + MM CM SERVICE REQUEST TCH, SAPI = 0 The BSS allocates a Traffic Channel (TCH) to the mobile. The TCH allocation assigns a specifies a frequency and a timeslot on that frequency. After the mobile receives this message, the mobile shall only use the specified resources for communication with the mobile network.The BSS transmits the radio resource assignment to the Mobile via the AGCH channel. The message also contains the time and frequency corrections. The time corrections allow the mobile to time it's transmissions so that they reach the BSS only in the specified slot. The frequency corrections correct for the Doppler shift caused by the mobile's motion. Adjust the frequency and timing based on the advice from the BSS. This step is required so that transmissions from the mobile reach the base station at the prec ise time and with the correct frequency. The mobile detunes from the AGCH and tunes to the specified radio channel.This is the first message that is sent after tuning to the channel. The Mobile initiates a LAPm connection with the BSC by sending a Set Asynchronous Balanced Mode (SABM) message. The service request message meant for the MSC is also sent in this message. GSM Call Flow (GSM Originating Call) Cell Mobile Network Mobile Station Base Stations NSS User Mobile BSS MSC VLR RR UA Fixed Network PSTN PSTN TCH, SAPI = 0 SCCP CONNECTION REQUEST + MM CM SERVICE REQUEST SS7 Check subscriber authentication EventStudio System Designer 4. 0 13-Sep-08 21:38 (Page 2) The BSS replies with Unnumbered Acknowledge (UA) to complete theLAPm setup handshake The BSS receives the CM Service Request message from the mobile and forms a â€Å"BSSMAP COMPLETE LAYER 3 INFORMATION†. The BSS then piggy backs the message on the SCCP connection request message. LEG: Skip Authentication Procedure MS C checks if the subscriber has been authenticated. In this case, the subscriber has already been authenticated, so the authentication procedure is skipped. Enable Ciphering BSSMAP CIPHER MODE COMMAND Expect ciphered data from the mobile RR CIPHERING MODE COMMAND mode = CLEAR Enable ciphering for received and transmitted data RR CIPHERING MODE COMPLETE mode = CIPHEREDEnable ciphering of data transmitted to the mobile BSSMAP CIPHER MODE COMPLETE Since the subscriber has been successfully authenticated, the MSC initiates ciphering of the data being sent on the channel. The channel is ciphered so as so protect the call from eavesdropping. Ciphering on the radio link is enabled in three steps. As a first step, the BSS starts expecting ciphered data from the mobile but continues to send data in clear. Since the mobile has not been informed about the ciphering, all data received from the mobile will be in error. The BSS sends the CIPHERING MODE COMMAND to the mobile. The mobile ill be able to receive this message as the transmission from the BSS is still in clear. As a second step, the Mobile receives the message and enables ciphering in transmit and receive directions. This action will result in all BSS data being received in error. (The BSS is still transmitting data in clear. ) Ciphering has already been enabled, so this message is transmitted with ciphering. The BSS will receive this message as it is already expecting ciphered data in the receive direction. The third and final step in the ciphering handshake. The BSS enables the ciphering in transmit direction. From this oint on ciphering is enabled in both directions. BSS replies back to the MSC, indicating that ciphering has been successfully enabled. RR Connection Establishment Completed At this point a connection has been setup between the Mobile and the MSC. From this point onward, the BSS is just acting as a conduit for transporting the signaling messages between the Mobile and the MSC. Call Setup CC SETUP Dialed Digits The Mobile sends the setup message to establish a voice call. The message contains the dialed digits and other information needed for call GSM Call Flow (GSM Originating Call) Cell Mobile StationUser Mobile Mobile Network Base Stations NSS BSS MSC VLR Fixed Network PSTN PSTN EventStudio System Designer 4. 0 13-Sep-08 21:38 (Page 3) establishment. The mobile is informed that the call setup is in progress. At this point, the mobile phone displays a message on the screen to indicate that call setup is being attempted. CC CALL PROCEEDING Connecting†¦ Mode Modify allocate Voice circuit towards BSS BSSMAP ASSIGNMENT REQUEST Voice circuit RR CHANNEL MODE MODIFY RR CHANNEL MODE MODIFY ACKNOWLEDGE BSSMAP ASSIGNMENT COMPLETE The BSS responds back to the MSC. ISUP INITIAL ADDRESS MESSAGE SS7, Dialed DigitsCC ALERTING The MSC allocates a voice circuit on one the digital trunks between the MSC and the BSS. MSC informs the BSS about the allocated voice circuit. The call is also switched from signaling to voice. The BSS notifies the Mobile about the changeover to voice mode. Mobile acknowledges. The MSC routes the call and sends the call towards the called subscriber ISUP ADDRESS COMPLETE MESSAGE The PSTN indicates to the MSC that it has received all the digits and the called SS7 subscriber is being rung. The MSC informs the mobile that the called subscriber is being alerted via a ring Alerting Tone ISUP ANSWERThe called subscriber answers the call. SS7 CC CONNECT The MSC informs the mobile that the call has been answered. Acknowledge the recipt of CC CONNECT. CC CONNECT ACKNOWLEDGE Connected Display that the call has been connected. Conversation Speech The call has entered the conversation phase. The speech path has been setup between the mobile subscriber and the land-line subscriber. Call Release End Button CC DISCONNECT ISUP RELEASE SS7 Disconnect Voice Path LEG: Mobile initiates call release The mobile subscriber hits End to clear the call. The mobile sends the disconnect message to the MSC. The MSC initiates release on the PSTN ide. The MSC disconnects the voice path and also releases the voice circuit between the BSS and the MSC. free Voice circuit towards BSS CC RELEASE The MSC informs the Mobile that it has initiated call release GSM Call Flow (GSM Originating Call) Cell Mobile Station User Mobile Mobile Network Fixed Network Base Stations NSS PSTN BSS MSC VLR PSTN ISUP RELEASED SS7 ISUP RELEASE COMPLETE SS7 CC RELEASE COMPLETE EventStudio System Designer 4. 0 13-Sep-08 21:38 (Page 4) The MSC informs the PSTN that the call release has been completed. The PSTN informs that call release has been completed at its end.Mobile indicates that the call has been released. RR Connection Release BSSMAP CLEAR COMMAND RR CHANNEL RELEASE BSSMAP CLEAR COMPLETE RR DISC RR UA free TCH Call Released Indication Call release has been completed, now the RR connection is released by the MSC. The BSS initiates RR release with the mobile. The BSS i nforms the the MSC that the RR connection has been released. The mobile sends a disconnect message to release the LAPm connection. The BSS replies with an Unnumbered Acknowledge message. The BSS releases the TCH channel. Mobile goes back to the default display to indicate that call has been completely released.

Discussion question Essay Example | Topics and Well Written Essays - 500 words - 7

Discussion question - Essay Example While this is true however, education does not necessarily translate into economic growth of a country, it is only a single factor to the various reasons for economic growth. Education has faced a significant expansion in the last decades across the world, with countries registering double-digit growth patterns. In the 1990s, the world, according to Easterly (73), had 99 percent enrollment for primary education. Education investment has brought little or no impact in the world economy and especially for the countries themselves. Growth of human capital in a country does not necessarily mean that their contribution to the growth of a country. If the argument that education brings growth to a country, fresh graduates should be entitled to higher salaries than experienced workers should. However, salary increment is based on the years of experience, making this belief to be untrue. In fact, Easterner (77) is of the opinion that, the contribution of education growth and growth of a worker’s output is negligible, stating that in some African countries, this growth is actually negative. The Gross Domestic Product per worker in is just a small percentage in most Eastern Europe and the Soviet Union countries. With time, the median growth rate of poor countries in the world has kept a declining trend overtime, indicating a poor education contribution to growth, yet education received a massive growth. Due to in direct effects of human capital, countries with higher initial human capital are likely to have a faster growth than those with low initial human capital.in case the level of human capital and physical capital are both high, there will be high returns on physical capital investment until there is a balance between the two(76-77). In all nations worldwide, variations in the country’s growth have little contributions from variations in growth of the human capital, rising more serious concerns regarding initial schooling and

The expert system of Knowledge Management Assignment - 1

The expert system of Knowledge Management - Assignment Example First, they are prone to human errors, the people who compile the information may not have been accurate in that field, and this means that application of that knowledge will tend to be misleading. For this case, human beings are designing expert based technologies in different fields. This technology is expected to provide intelligence to human beings in solving challenges in the different areas. As a consultant I would advocate for the use of experts systems over knowledge based systems. The process of solving a problem starts with application of facts which are known and proceeding to complex ones in the specific field (Maher, 1986). This path of search has to move from the real problem to the solution or objective in question. The expert system is however challenged by a few rules that govern it. First, it should be understood that the experts system has to rely on human knowledge. The system acquires this knowledge though practice over time. Each information is fed into the syst em to make it effective. Human beings have the mandate of collecting the small pieces of information and accumulating it in a knowledge base. Expert systems may not be resourceful in reasoning about the processes which are involved. This implies that for an expert system to be effective, a human expert must feed information into it (Szakwani, 2007). One of the main advantages with an expert system is that it is able to make solutions to problems that would rather have involved a specialized expert, who in this case is a human being.

REDD+ Article Example | Topics and Well Written Essays - 1250 words

REDD+ - Article Example The REDD+ (Reducing Emissions from Deforestation and Forest Degradation and + refers to conservation and enhancement of carbon stocks) program has been created to reduce carbon emissions from forest lands and to contribute towards sustainable management of the forest ecosystems. Carbon emissions resulting from degradation of forest lands and deforestation carried out for agricultural purposes, infrastructure development, and creation of pasture lands and emissions resulting from forest fires, all contribute about 20% greenhouse gas emissions. It has been well documented that such emissions will have a major impact on the global average temperature. Concrete steps need to be taken to stabilize the average temperature within two degree Celsius and the REDD program has been created with this vision. Through the program developing countries are provided results-based incentives and support for capacity building to reduce the green house gas emissions and implement strategies to conserve the natural ecosystems and more specifically the forest carbon stocks as these have the potential to reduce climatic changes (http://www.un-redd.org; The UN-REDD Programme, n.d; Vhugen, Aguilar & Miner, 2012). In order to further assist developing countries to reduce forest carbon emissions a collaborative program with the UN was launched in the year 2008. The program was initiated with nine pilot countries from 3 continents: Democratic Republic of Congo, Tanzania and Zambia from Africa; Indonesia, Papua New Guinea and Vietnam from Asia-Pacific; Bolivia, Panama and Paraguay from the Latin America and the Caribbean. This program now supports operations in 44 partner countries in designing and implementing the REDD program. Additionally it also helps the participating counties to develop strategies, monitor the system effectively and provides methods, data and tools for the implementation of the program. The program is implemented country-wise and with the feedback given by other coun tries it supports the conservation of forest lands and reduces deforestation. There has been a gradual rise in the funding for the program as more countries have expressed interest in the program. In addition to the programs formulated for specific countries, the UN-REDD also supports REDD+ readiness through a Global Program in which policies and strategies are commonly developed to help countries in their REDD+ readiness efforts. The UN-REDD program also receives expertise on various issues related to conservation from three other participating organizations namely the Food and Agricultural Organization (FAO), United Nations Development Program (UNDP) and the United Nations Environment Program (UNEP). (The UN-REDD Programme, n.d). Members of the REDD+ program recently recognized the increasing responsibilities of legislators in passing laws and preparing budgets and in order to strengthen the parliamentary role in reducing emissions it has introduced a Globe Legislature Forest Init iative. Through this program legislators can help in reducing deforestation and emissions by providing governmental support, law enforcement, financial scrutiny and accountability. Through this initiative legislation and policies could be shared between nations and thereby contribute to the success of the program.

Ancient European Civilization Compared to Ancient China Essay

Ancient European Civilization Compared to Ancient China - Essay Example The other similarity is that both civilizations were ruled by selfish leaders who did not care about others but only about satisfying their goals. This therefore contributed to the numerous wars and change of leadership that was experienced by these two civilizations (Hause and Maltby, 2004). Despite the similarities, there were numerous differences between the two civilizations in discussion. The Chinese for example concentrated more on art and culture while the Europeans concentrated more on trade and religion. The Chinese lacked concentration in trade and religion because they had not started developing industries, the dynasties were very different and would not unite and hence development like that in Europe was not present (Schirokauer and Brown, 2012). As a result of concentration in trade and religion, European civilization had no time for art and this came to develop later on. The other difference is that the different dynasties ruling China were concentrating on inventions and hence many inventions were developed during Chinese civilization. In Europe, development of different classes brought about competition and migration to other areas and hence inventions were not there but there was development of telecommunication systems to serve the different classes (Einsenstadt,

Accounting and Society(The Minerals Resource Rent Tax) Essay

Accounting and Society(The Minerals Resource Rent Tax) - Essay Example Australian government collects huge revenue from the taxes paid by the mining industries in the country. The various new features of MRRT have been included in this study. Moreover the potential impacts of the introduction of MRRT on the accounting policies followed by the mining companies have also been studied. Mineral Industry of Australia has been reviewed and its inherent potential and its industry structure have been studied in this report. Australia is well known for its varied natural resources. Both metallic and non-metallic minerals are widely found in Australia. It is rich in fuel minerals too. Commodity exports from Australia in the form of minerals and energy constitutes a significant portion of Australian economy. Earnings from commodity exports are expected to rise on a continuous basis for Australia because of rising demand of mineral resources worldwide. Global Financial Crisis (GFC) had an adverse effect on the mineral industry in Australia. The rise in the producti on of commodities like iron ore, copper, bauxite, natural gas, etc. have slowed down in the recent years. However, the country has a huge potential of mineral production and several investment projects are expected to come up or are already going on. Western Australia is the leading state of the country in terms of exports of metallic minerals. Major areas of coal exports in the country are Queensland and New South Wales. However to have a sustainable growth in mineral exports Australia needs a significant improvement and expansion in its infrastructural facilities. Australia falls amongst the top 10 mineral exporting countries in the world. There has been a significant increase in the spending in terms of mineral explorations in the country. Mining industry of Australia also forms a significant component of the GDP of the country. Many people get employment opportunity in the mining sector as well. Hence mineral industry is expected to contribute to Australian economic development in a significant way in future (IBP USA, 2005, p.48). 2.1.2 Industry Structure The mine industry in Australia follows a free enterprise system. Private companies of the country take part in all the mining activities like exploration, production, development and marketing of minerals. Significant numbers of mineral companies in Australia are subsidiaries of companies in US or Europe. It controls a major part of the refining and mining sector in Australia. Relevant State Governments hold the ownership rights of mineral exploration in Australia. Ownership of minerals in Australia is divided amongst State and Commonwealth ownership in onshore and offshore areas of the country. The mineral industries in each areas of the country are administered by the government authorities in Territories and States, depending on the region in which they fall. The administering process by the Government includes activities like land registration, issuing exploration permits, ensuring the compliance of g overnment regulations related to safety, health and environmental matters, levying taxes and royalties, etc. Hence, government has an effective control over the production of most of the minerals

Modern American History Essay Example | Topics and Well Written Essays - 1500 words

Modern American History - Essay Example Thus, the advent of nuclear weapons has created profound difficulties to the very spirit of liberal democracy; and the tension between nuclear weapons secrecy and the values of liberal democracy is not new now. During the Cold War, the U.S. intelligence community had maintained maddening level of secrecy, especially on matters of defense and to question it was to run the risk of being accused of lack of patriotism, which became the defense mechanism of the McCarthy era. Is it any different now Can we anymore defend our human rights without appearing to be being "for" the terrorists The answer lies somewhere else. Since Machiavelli, secrecy has been seen as a way of the Republic, which must exercise bureaucratic power by governing through such means that must not be concealed. Such intrigue is the first step towards attaining a stronghold into affairs that is free of public scrutiny and thus becomes rigid, canonical and powerful. The present state has become a panopticon who must gaze into the public and private affairs of its people with distinct "mistrust" and hence raise an air of constant alarm. Woodrow Wilson's Woodrow anti-secrecy assertion during the 1912-election campaign held the view that "Government ought to be all outside and no inside," he said, and "there ought to be no place where anything can be done that everybody does not know aboutcorruption thrives in secret places, and we believe it a fair presumption that secrecy means impropriety."1 However, what actually tilted the balance beam towards governmental secrecy were the Atomic Energy Act of 1 946 and the National Security Act of 1947 just during the Cold War era, which established this determined requirement for secrecy beyond the public's eye and beyond their acquiescence. Political theorist Robert Dahl observes this phenomenon of a sudden urge for nuclear secrecy and comments that such requirements are "a tragic paradox" since "these decisions have largely escaped the control of democratic process."2 Secrecy and its norms have largely become effectively dogmatic after September 11. The whole world has really changed forever but not for good. The government terms this as moral obligation to protect secret and balance it constantly against the public's right to access in a culture of openness. Thus is the question is not secrecy oppressive On the contrary, even in the face of such turbulence one can draw the example of the European Convention of Human Rights. The Rights of people, as per ECHR (European Convention of Human Rights) are put above the rights of states out of a realization, borne out of harsh reality, that states acted in self-interest to the detriment of humanity throughout history. From time immemorial, the concept of States always shares a sense of being threatened (especially superpowers like us Americans): a cause and effect relation of dominating and trying to offer resistance. It is generally believed that though there are peaceful and controlled environments exi sting within states, the international arena is anarchical and prone to uncontrollable violence. What these motifs do is put the focus of national security on the protection of one's territorial boundaries and sovereignty. Power comes to be measured through military capability, where everybody starts sharing a sense of being marginalized. The world begins to have an absurd dynamism and begins to operate on a zero-sum game in which, according to

Sports drink market in India Essay Example for Free

Sports drink market in India Essay With the changing trends in society and globalization Energy drinks market in India may show a rapid growth in coming years but for now it is at a nascent stage. Through various studies and research on Indian and British sports and energy drinks market we found out that Red Bull has the most share in this market. Through studies it has been found out that consuming energy drinks can have physical as well as psychological effects on the human body. Studies show that it can have positive effects like improvement in mental and congenital abilities and increased subjective awareness. Excess consumption can lead to various problems like insomnia, agitation, anxiety, irritability. Our objective through this assignment is to successfully launch a sports drink in the Indian market and market it using our knowledge gained from the market study and our own intellect. In this project are lay down different marketing strategies by how we can promote our product and stand against our competitors. SPORTS ENERGY DRINK MARKET IN INDIA MARKET FOR SPORTS DRINK IN INDIA TRENDS. According to the value calculated in 2012, sports and energy drink market in India grew by 17% whereas in 2011 it grew by 18%. The main reason to this decline was increasing awarness about the side effects of sports drinks. In june 2012 FSSAI (Food Safety and Standards Authority of India) announced that sports drinks will be renamed as â€Å"cafifeinated bevergaes†. Burn and Red Bull surpass the max. limit of caffein to be present in carbonated beverage hence they were put under the category of caffeinated beverages. COMPETITIVE LANDSCAPE. Red Bull is the leading seller having 72% off-trade share within energy and sports drinks in 2012. Second place goes to pepsico having an 11% off-trade value share. However Red Bull was not allowed to be sold in Tamil Nadu due to regulatory changes in sports and energy drinks in 2012. PROSPECTUS Sports drinks in India is still at a nascent stage but might become a part of the changing trends of society and urbanization. However, sales of these drinks could be negatively impacted by regulations and enforcement of statutory warnings. The Food Safety and Standards Authority of India (FSSAI) announcement that these products should be renamed as caffeinated beverages may lead to decline in sales of brands such as Red Bull and Burn. (Source : http://www. euromonitor. com/sports-and-energy-drinks-in-india/report) COCA-COLA TO LAUNCH A SPORTS DRINK IN INDIAN MARKET The world leaders of beverage drinks Coca-Cola are eager to launch their new product in the Indian Market. The America based company has come up with a sports drink named Godzilla which is to be launched in the market by end of November 2013. It is being manufactured by Hindustan Coca-Cola Pvt. Ltd. Which has it’s plant in Okhla Industrial Area, U. P. M. S. Dhoni, the Indian prodigy will be the brand ambassador for Godzilla and will be used in promotional Activities and advertisements. TARGET MARKET AND MARKETING STATERGY The research indicated that people in India do not prefer to have energy drink. Only 23% of the population prefers to consume the brand. The most important factors affection the buying decision were found to be health safety, price, lack of awareness and preference of other beverages. It was also found that 1. 66% of the energy market consists of male consumers. 2. 20-30 age group people was found to be growing rapidly and turning out to be potential buyers having an average income of 3-5 lacs. 3. The awareness about the energy drink among people is average 60-67% except age group 25-30 having an average income of more than 5 lacs (Awareness 80%). 4. People prefer to have energy occasionally (parties, social gathering etc) with soft drink or neat Sunadulterated. 5. People like to drink mostly in home or restaurants and 44% of the respondents feel that in the future energy drinks can compete with popular beverages like soft drinks, juices and other non-alcoholic beverages. (Source: http://www. technopak. com/Files/Energy_Drinks. pdf) MARKET OF ENERGY DRINKS IN U. K. RESEARCH METHADOLOGY LOCATION FREQUENCY PERCENT CUMILATIVE % RETAIL STORES 5 16% 94% GYMS 3 6% 66% CLUBS 3 10% 60% JOGGERS PARK 1 3% 69% RESTAURANTS 4 15% 91% SPORTS CLUB 3 9% 100% CAFE 2 7% 76% TOTAL 29 100%. The survey indicates that people prefer having sports drink in home and sports club Which leads to the possibility of the brand being promoted in the friend circle and family. This will be our target market. VALUE FOR MONEY (Indian Customers) VALUE FOR MONEY FREQUENCY PERCENT Yes 6 21% No 12 40% Can’t Say 11 39% TOTAL 29 100% The Indian customers are very price sensitive and look for value for money when they purchase a product. The high price of energy drinks is the main drawback in promoting and positioning this brand in India.

Sustainable Living In The 21st Century Environmental Sciences Essay

Sustainable Living In The 21st Century Environmental Sciences Essay Sustainable living is about a lifestyle that reduces an individuals or societys use of global natural resources (Ainoa et al. 2009). For sustainable living, we should conduct our lives in ways that are consistent with the core principles of sustainability, in natural balance and respectful of humanitys symbiotic relationship with the Earths natural ecology and biological cycles (CELL, 2010?). Such a living style requires that we make serious attempts to reduce our carbon footprint by altering diet, energy consumption and transportation methods (Winter, 2007). Brown () has described sustainable living in the 21st century as shifting to a renewable energy-based, reuse/recycle economy with a diversified transport system. It is generally recognized that education is the most important factor in improving the quality of life and for enhancing opportunities for individual development. However, it has only recently been realized that education is the decisive factor in addressing the present crisis related to environmental instability. The extent of the global environmental degradation crisis has only come into focus because of the multiple and repeated alarms being raised over the effects of climate change. However, addressing the multiple threats to the sustainability of humanity within the 21st century is an enormous challenge involving educating and re-educating people on a multitude of complex and inter-related concepts. Education must have a dominant role in moving towards sustainable living since it is the single most important factor in improving the quality of life. Science education is essential in achieving social development through environmental awareness. Education must be the advocate for environmental sustainability being a moral obligation for all. Moving towards environmental sustainability involves educating communities on the intensity of present environmental degradation and motivating them to reduce their ecological footprint based on acquired knowledge and experience. Higher education is particularly relevant to solving the crisis of climate change (Hales, 2008). It is timely that higher education should focus on science and engineering for the development of new technologies for conservation of water and energy supplied and teach communities how to live and work sustainably. Specially structured educational programs are needed. These should be multidisciplinary to cover all aspects that relate to sustainable living, must holistically address the total energy, water and carbon footprints of lifestyle choices, and explain how these choices, decisions and behaviours affect natural resources, social equity and economic development. Further, extension programs mu st act as models for others to follow and help communities walk the talk (Crosby et al., 2008). This chapter is an attempt to emphasize the most significant aspects of education associated with moving toward sustainability. What is sustainability? Sustainability has different meanings for different people and has only recently come into sharp focus following concerns on climate change and the consequences for sustainability of humanity. Unfortunately, the climate change debate has overshadowed the more important debate on the sustainability of the environment. Over the last two centuries, the environment has been seen as self-sustaining and a resource to be exploited and consumed. Only in recent decades has the environment been acknowledged as being seriously stressed and threatened, and in urgent need for conservation and regeneration. Despite the present widespread recognition of global environmental degradation being caused by human neglect, there is intense debate on how environmental conservation and regeneration can be achieved both now and in the future. This debate is frustrated by a lack of a pragmatic definition of sustainability, particularly in relation to sustainable environmental development. The much quoted Brundtlund Report definition published in 1987 was the first to link sustainable development to social responsibility: sustainable development means maintaining the needs of the present generation without compromising the ability of future generations to meet their needs. However, the needs of the present generation are many and diverse and include food, water, energy and money among others. These needs have already exceeded the resources on which they depend and so the ability of future generations to meet their needs is already compromised. Following such a loose definition of sustainability, there has been continuing alarm on the disparity of the needs of the rich compared to those of the poor and on what should be sustained and priorities of sustaining. The reality is that present population growth, exotic lifestyles and excessive consumption of resources are not sustainable but to create sustainability remains an elusive objective. It is obvious that there is an urgent need to move towards sustainability based on major changes to the present dominant social and community values. The extreme dedication of communities to consume resources must change to conservation of resources coupled with wealth accumulation changing to wealth distribution to assist in closing the gap between the haves and have-nots. Hence, sustainability should be driven by people power. Sustainability also implies changes of attitude and emphasis on perceptions of the meaning of economic growth. This has long been associated with increased trade and industrial development which have produced a downward spiral of increased poverty and progressive environmental degradation. Economic growth has to be measured in terms of meeting the essential needs of humanity without enhancing environmental degradation together with greater equity in the distribution of economic benefits. Social justice is a crucial component of sustainability. Sustainability is primarily dependent on the preservation of the diverse and complex ecosystems which make up the global ecosphere. These fragile systems are under unprecedented stress as a consequence of the relentless demands for cleared land for housing and industry, the increasing demands for fossil fuels for energy generation and the burgeoning demand for food from grain crops and for fish from the oceans. It is only because of the comparatively recent alarm bells sounded by the onslaught of climate change that irreversible environmental degradation has been fully recognized and appreciated but alas, not fully understood. In order to emphasize the scale of degradation and its correlation with human impact, a new jargon has emerged that of ecological footprint which is a measure of the ecological capacity of individuals. At present, even the crudest estimates of ecological footprints indicate that the developed nations of the world are living beyond their ecological capacity and are thus living on borrowed time. Sustainability inevitably involves government at all levels and requires democratic revitalization to produce sustainable, accountable and equitable forms of capitalism which activate social reforms and promote ecological awareness. There is a common perception that technology will solve the sustainability issue but this is a misconception since although technology can assist moving towards sustainability, it is not the unilateral antidote. Further, achieving sustainability is not a quick fix phenomenon but a prolonged and uncertain journey involving dedicated commitment of people and resources. It is already clear that the rate of technological development in mitigating climate change is not consistent with the magnitude of problem. Put simply, to reduce carbon emissions means capturing carbon dioxide and diverting it from the atmosphere. These two operations need to be both technologically and economically feasible and require time consuming research coupled with innovative strategies to commercialize new scientific discoveries. Although a tangible definition of sustainability is elusive, it does have many facets all related to sustaining the environment as the top priority.   Thus, education for moving toward sustainability also has many facets which are best illustrated by the cluster chart shown in Figure 1 and a brief discussion of each component of this cluster follows. Fig. 1 Cluster diagram to describe the components of education associated with sustainability. Education for sustainable environments Sustaining humanity in the 21st century depends on sustaining the environment as the top priority so as to preserve its resources. In simple terms, preserving these resources means that sustainable consumable yields are provided but that the consumption rate does not exceed the regeneration rate. Similarly, non-renewable resources must be preserved which means that the consumption rate is balanced by the production rate of renewable resources. In conjunction with these balancing strategies, it is necessary to ensure that waste generation does not exceed the assimilation rate of the environment. Clearly the present crisis of acute and widespread environmental degradation is the result of these three factors being ignored over many decades. The environment in all its dimensions is degrading globally. Atmospheric pollution has been of major concern for many decades but has now reached new heights of concern following the widespread concern on the effects of climate change. The main cause of climate change is believed to be due to the excessive build up of carbon dioxide in the lower atmosphere caused mainly by the excessive combustion of fossil fuels for the production of energy. However, carbon dioxide is not the only known greenhouse gas, methane is also a potent heat storage gas along with water vapor. This fact alone is sufficient for much complacency within the climate change debate and poses additional challenges for climate change educators. Whether or not climate change is a reality is irrelevant in the context of environmental sustainability since all factors which disturb the equilibrium of the environment which has been established over millennia have to be considered and addressed. Loss of biodiversity from the land arises largely from habitat loss and fragmentation produced by overuse of land for development, forestry and agriculture. This is blatant conversion of natural capital to investment capital and although there has been widespread condemnation of destruction of the rain-forests of the world for decades,   the realities of such devastation are only now becoming fully apparent as are the effects of intensive agriculture which reduces soil quality at alarming rates. It is ironic that forests conserve biodiversity, preserve water and soil quality, provide a wide variety of products and, above all, produce atmospheric oxygen by photosynthesis and yet these provisions still have no tangible market value as compared with the economic benefits of logging and land clearing which directly increase atmospheric carbon dioxide concentrations.   Such are the challenges for sustainability education, since the mindsets of developers and economists clearly have to change and natural resources need to be priced sufficiently high to ensure their preservation. Similarly, water resources globally are at crisis point. Freshwater is essential for human life but at best, it is less than 5% of the global resource. Excessive use of freshwater supplies for irrigation has markedly affected the health of river systems mainly by reducing flow rates which in turn places stress on wetland systems. Further, natural flooding of river flood plains has been curtailed by the construction of dams and weirs which further control river flow rates and hence place severe stress on vital river ecosystem resources. It is again ironic that many of these aquatic ecosystems have been studied in detail over several decades but it is only comparatively recently that inter-dependence of these ecosystems has been appreciated and value of biodiversity as a realistic measure of environmental health realized. Further, the marine environment is also undergoing rapid degradation which is most apparent from the decline in the number of fish species as a result of over-fishing with the advent of trawl technology and unsustainable fishing practices. Although the recent increase in success of aquaculture has and will continue to address this imbalance, it is clear that more severe international statutory controls on fishing are required together with the implementation of sustainable fishing practices- both of which depend on international agreements and treaties which are difficult to achieve and implement. Education for sustainable economies The supreme challenge for sustainable living in the 21st century is to curb excessive consumption in the developed world whilst raising living standards in the developing world without a net increase in consumption of natural resources and environmental impact. Historically, living standards have correlated with economic growth and environmental degradation, and so moving towards sustainable living is at best challenging and at worst, impossible. Again, education is required to change the mindset on what constitutes a sustainable economy, firstly by understanding why present national economies are not sustainable. Contemporary economics is based on economic growth and efficient allocation of resources, and multiple strategies are put in place to achieve pre-determined economic objectives upon which the wealth of nations is based. Conversely, the so-called new economics or ecological economics is based on sustainable growth and fair and efficient distribution of resources. The first time that the latter became a reality rather than a theory was at the 2009 Copenhagen Climate Change summit when developing world nations argued very convincingly that the developed world should financially assist the developing world in reducing global green house gas emissions. The failure of the summit to reach a unilateral agreement on greenhouse gas emissions was largely due to a lack of agreement on the basic principle of wealth distribution which underwrites ecological economics. Conventional economics puts a price on natural resources such as fossil fuels, minerals, water and foodstuffs and these are regarded as the main drivers of national economies. However, equally important natural resources such as national parks, marine parks, wetlands, coral reefs, mangrove swamps and many others are regarded as economic externalities which need not be priced and therefore are ripe for exploitation, particularly through tourism. Ecological economics is based on realistic pricing of all natural resources which are subject to consumption by humans, either directly or indirectly and in addition, is committed to the belief that sustainable economics is based on a unilateral greening of industry such that manufacturing processes are energy and waste efficient, consume less resources and provide clean, safe working environments. Ecological economics is the fundamental platform of the emerging carbon economy. However, it is already evident that there is much opposition to a carbon tax and skepticism of the effectiveness of carbon emission trading schemes in reducing greenhouse gas emissions, so public education on the basic science and economics underpinning these schemes is obviously urgently required. Education for sustainable communities There is no doubt that the overwhelming threat to sustainability of humanity in the 21st century is that the present global population of about 6.8 billion is consuming 40% more resources that the Earth is producing per annum and so with a projected global population of 9 billion by 2050, 5.4 Earths worth of resources will be required to achieve human sustainability. Even to move towards sustainability on such a scale obviously requires a massive psyche change of humanity and   Ã‚  extreme urgency in the implementation of sustainable living practices. Building sustainable communities essentially involves people power but communities require educating in order to develop the knowledge, values and skills required for informed decision-making that will improve quality of life now without damaging the environment in the future. Achieving sustainable living is a journey of indefinite duration but with a clearly defined destination. It is a journey taken both by individuals and by communities simultaneously to the benefit of all. The foundation of sustainable communities is the development of sustainability literacy within communities which involves an understanding of the present imbalance between consumption and regeneration of essential natural resources energy, water and food. It is somewhat ironic and humbling to witness that the indigenous communities of the world have been far more sustainability literate over the last two centuries than the so-called modern communities over the last two decades. Sustainable communities are resilient communities which have changed life-style behavior and habits which depend on excessive consumerism to those which embrace waste reduction, reuse and recycle strategies all of which harmonize living standards with environmental demands. These changes take time to implement but result in community social well-being, strong economies and flourishing environments, the benefits of which become obvious to all. Sustainable communities vary enormously with respect to size and character but traditionally form two groups urban and rural. In the past, it has been much more difficult to sustain rural communities due largely to the one-way migration from country to town/city to obtain employment. However, this trend can be at least partially reversed with the wider implementation of eco-development which has been responsible for the so-called new urbanism philosophy but is only just becoming apparent in rural and regional centre infrastructure planning. Eco-development is based on a clean, green living philosophy which incorporates consumption of renewable energies, conservation of water and living off the land using smart ways to grow food. Sustainable literacy only becomes effective when communities understand and appreciate that sustainable living not only gives rise to better, healthier lifestyles but also is cost effective both in the short and long terms. By virtue of their sustainable lif e-styles, sustainable communities are resilient to the effects of climate change and are well suited to benefit from future carbon-based economies. Education for sustainable energy supplies Sustaining humanity in the 21st century requires sustaining energy resources and supplies which creates the dilemma which has become known as the global energy crisis. Coal, oil and natural gas combined provide about 80% of global energy needs mainly in the form of electricity and transport fuels but at the same time produce the bulk of greenhouse gas emissions which are believed to be responsible for global warming. It is estimated that global energy demand could jump by 50% by 2030, consistent with a global population increase of 1.5 billion over the next two decades and this translates to a global warming estimate of the order of 6oC if fossil fuels continue to be the primary energy resource.    An increase of 6oC corresponds to about 3 times the global warming which has occurred over the last century and would have catastrophic environmental, economic and social effects. It is this type of horror scenario which is driving the so-called global energy revolution which dictates that there has to be a move away from fossil fuels as the primary energy resource towards the use of clean green renewable energy resources. These are receiving increasing attention but all have significant technological, development, economic and ethical problems associated with them. The dilemma is that at present, all known renewable energy resources combined including nuclear, solar, wind and biofuels account for less than 10% of global energy requirements and although considerable technological advances are occurring with respect to the commercial development of renewable energy resources, this situation is unlikely to change significantly within the next decade. Similarly, efforts to reduce greenh ouse gas emissions from existing coal-fired power stations, collectively known as clean coal technology, are at least 10 -15 years away from commercial reality. It is conservatively estimated that fossil fuels will remain as the primary global energy resource for at least the next 30 50 years and that phasing out of existing coal-fired power stations will take at least 10 15 years. Thus, the energy crisis is essentially how are sustainable energy supplies to be provided exclusively from renewable energy resources over the next half century? Although, it is generally agreed that the transition to renewable energy resources is inevitable, the time scale for such a transition is very unclear since there are not only major technological problems to be overcome but also major social and economic issues to be addressed along the way which involve significant educational strategies to be unilaterally implemented. Given that it is already abundantly clear that we live by an energy economy it is unlikely that the extra costs associated with abatement of greenhouse gas emissions from fossil fuel combustion coupled with the costs of developing alternatives to fossil fuels will be readily accepted by communities, given that the present escalating costs of electricity and transport fuels are a source of despair globally. Then there are ethical issues to be resolved in the transition to clean energy resources. It has been extensively argued that nuclear power is the only realistic alternative to coal and oil as a primary energy resource but the general population is very concerned about the degree of fail-safe operation of nuclear power stations and is very concerned about safe disposal of nuclear waste. Similarly, biofuels which rely on food crops such as corn products as the primary energy resource are competing with the desperate need to increase grain production globally to address malnutrition in some 23% of the global population. It is clear that the global energy revolution will only succeed if viable education strategies are introduced and available to the general population which address the widespread lack of understanding of climate change and, in particular, its causes and also address the pros and cons of renewable energy resources. The immediate future has to involve a blend of old and new energy generation technologies coupled with a widespread recognition that energy has to be conserved and not wasted. It is practical education programs which will promote this ethic at all levels within communities. Education for sustainable water supplies Sustainable living also means having access to sustainable water supplies. At present, it is estimated that some 15% of the global population do not have access to safe water and the majority of these are in developing countries. It is well-known that many of the life threatening diseases, so common in the developing world, are spread by drinking contaminated water. Further, it is estimated that agricultural irrigation consumes some 65% of global freshwater supplies and already many countries and regions are experiencing water scarcity at alarming levels due to prolonged periods of drought. Droughts are predicted to become more prolonged as a result of the consequences of climate change and so demand for freshwater will inevitably rise predicted to be by some 30% over the next two decades and thus it is clear that urgent strategies are necessary to educate communities to use less water more efficiently. Unfortunately, increase in freshwater use is driven by numerous factors which are difficult to assess and control. These factors include population increase and distribution, lifestyles, economies and, most particularly, by increasing demands for food which drives increases in irrigated agriculture. There is also a political factor which influences freshwater usage in that many of the worlds major freshwater resources are shared since major rivers often flow through several countries. For example, the Danube passes through 12 countries that use its water and the Nile flows through 9 countries which are totally dependent on its waters. Agreement between countries that share freshwater resources can be difficult to achieve and sustain but are generally associated with demands for more effective water usage and strict management programs. Since freshwater is such a valuable resource, water pricing is a highly contentious issue at all levels domestic, industrial and agricultural. Agriculture is linked directly to food production and hence farmers believe that they have the right to sufficient water to produce sufficient crops to provide a sustainable income for themselves and their families. Some governments however believe that such water rights should be controlled by license in view of the scarcity of the commodity and this explains the conflict that is evident between primary producers and water licensing authorities. It is inevitable that sustainable agriculture depends on a major reduction in water used for irrigation by progressive use of drip-irrigation technology in conjunction with installation of improved drainage and recycling systems. Also, during the so-called Green Revolution of the 1960s, new strains of many species of crops resulted in large increases in productivity and this technology is now focused on strains of grain crops which require less irrigation. At the industrial level and as a major part of industrial greening strategies, industry is adopting water recycling initiatives which may include partial treatment of waste water. These initiatives are complementary to the energy consumption reduction strategies and are consistent with the 3Rs of clean, green industry reuse, recycle, reduce. At the domestic level, a user pays system is usually applied to water consumption and during periods of drought, restrictions are placed on water usage which are enforced by water management authorities. It is becoming increasingly apparent that due to the escalating cost of water, communities and individuals are becoming more aware of the need for water conservation and are taking appropriate steps to initiate the 3R rule both individually and collectively. These initiatives include the installation of water tanks in homes to collect rain water and the recycling of non-sewage waste water for external use. No longer can it be taken for granted that the right to water means simply turning a tap on. Education for sustainable food supplies Food security, in conjunction with sustainable energy and water supplies, are the essential components of sustaining humanity. At present, food security is not a reality since at least 15% of the global population is undernourished and with a projected surging population increase, it is a daunting challenge to reduce world hunger, especially since this is directly linked with poverty and exacerbated by global warming. The Green Revolution, which partially achieved food security over the period 1960 to mid-1980, was the dawn of intensive agriculture which has resulted in serious environmental problems. Widespread deep tilling of land together with excessive use of fertilizers and pesticides coupled with intensive irrigation has caused degradation of soil quality and texture in addition to dry land salinity. The additional threat of climate change will inevitably further threaten the achievement of food security in coming decades unless urgent steps are taken now to move towards sustainable agriculture. Science, technology and innovation are essential drivers of sustainable agriculture and hence food security. Improved mechanization of agriculture using efficient harvesting machines which reduce soil compaction are already increasing productivity and use of geographical positioning system (GPS) technology to monitor and control the position of such machinery enables precisely measured amounts of seed, fertilizer and pesticides in addition to the determination of soil and plant quality, which enables early detection of diseases. Further, development of improved crop varieties and marker assisted plant breeding combine to reduce losses due to pests and diseases. These biotechnologies lead to strains which are tolerant of drought, heat and saline conditions in addition to improved pest and disease resistance. Further, drip irrigation coupled with micro-nutrient addition is becoming increasingly effective in increasing production of staple crops such as sweet potato. In the quest to find alternative, clean, green energy resources, bio-fuels have come into prominence.   Biofuels are currently produced from starch, sugar cane, wheat, maize and palm oil. Biofuel production is currently somewhat controversial since the required raw material is derived from land that should be used for food production. In addition, sugar cane and palm oil plantations contribute to deforestation of tropical rain forests.   Second   generation   biofuels are currently being investigated which use crop residues, grasses and willows as base materials and these have much promise as future commercial biofuels and are free of the food related controversies. The last decade has seen massive exploitation of marine resources in the quest to achieve food security. The application of modern technology to commercialization of fishing operations has led to a global overfishing crisis such that sustainable fisheries thresholds have been exceeded. Many of the coastal commercial fisheries have collapsed as a result of declining catches and the global industry is facing further threats from seawater warming and increasing acidification caused by climate change. Thus, the seafood industry is not sustainable. The solution involves harvesting methods that capture fish selectively and within specified limits so as to allow regeneration. However, such strategies are difficult to implement on an international scale. Aquaculture is becoming increasingly important in addressing the challenge of food security. Total fish capture in 2010 amounted to some 145 million tonnes of which aquaculture contributed 54 million tonnes representing an increase of some 20 million tonnes compared to a decade ago. Aquaculture meets at least three objectives: provides seafood and hence income for coastal communities, reduces fishing pressure on wild populations and maintains fish supply to sustain commercial, subsistence and recreational demands. Aquaculture can be sustainable provided that quality seawater, dependable supplies of seed and feed-stocks are available together with application of strategies to ensure disease free hatcheries and grow-out systems.   The next generation of aquaculture may involve introduction of genetically modified organisms (GMOs). GMOs have already been introduced into agriculture and genetically modified crop strains have been shown to give higher yields with lower fertilizer suppo rt. The transgenic animal products are controversial and early attempts to market GMO salmon have faced stiff resistance. However, the potential for GMOs to be a force in combating food shortages is significant and cannot be overlooked. Food security is clearly based on a combination of sustainable agriculture, sustainable fisheries and sustainable aquaculture together with a paradigm shift in the extent to which natural food resources are exploited. Fundamentally, more food has to be produced with less energy, less water, less chemicals and by methods which allow environmental regeneration. Education in sustainability science and technology Sustainability science is the science associated wi