Uniglobe College, Pokhara University, Kathmandu, Nepal MBA- V Trimester

1. PRESENTATION
ON
INTERNSHIP REPORT
NEPAL RASTRA BANK
PRESENTED BY:
PAWAN KAWAN
MBA - V TRIMESTER, Pokhara University
UNIGLOBE COLLEGE

2. CHAPTER I:
ORGANIZATIONAL PROFILE

3. Central Bank


A central bank is a public institution that manages
a state’s currency, money supply, and interest rates.
The primary function of a central bank is to
manage the nation's money supply, through active
duties such as managing interest rates, setting
the reserve requirement, and acting as a lender of
last resort to the banking sector during times of
bank insolvency or financial crisis.

4. Nepal Rastra Bank




NRB, the central bank of Nepal, established in
1956 under the Nepal Rastra Bank Act 1955.
It has seven offices located at Biratnagar, Janakpur,
Birgunj, Pokhara, Siddharthanagar, Nepalgunj and
Dhangadi.
It supervises the financial institutions in Nepal and
formulate monetary policy.
Nepal Rastra Bank also oversees foreign exchange
rates and the country’s foreign exchange reserve.

5. Vision
To become “A modern, dynamic, credible and
effective Central Bank”

Mission
To maintain macro-economic stability through sound
and effective monetary, foreign exchange and
financial sector policies.


6. Lists of governors of NRB
since its inception
S.N. Name of Governor
Term of office
1.
Mr. Himalaya Shumsher J.B. Rana
April 26, 1956 – February 7, 1961
2.
Mr. Laxmi Nath Gautam
February 8, l961 – June 17, l965
3.
Mr. Pradyuma Lal Rajbhandari
June l8, l965 – August 13, l966
4.
Dr. Bhekh Bahadur Thapa
August 14, l966 – July 26, l967
5.
Dr. Yadav Prasad Pant
April 24, l968 – April 28, l973
6.
Mr. Kul Shekhar Sharma
April 29, l973 – December 12, l978
7.
Mr. Kalyana Bikram Adhikary
June 13, l979 – December 8, l984
8.
Mr. Ganesh Bahadur Thapa
March 25, l985 – May 22, l990
9.
Mr. Hari Shankar Tripathi
August 10, l990 – January 17, l995
10.
Mr. Satyendra Pyara Shrestha
January l8, l995 – January l7, 2000
11.
Dr. Tilak Bahadur Rawal
January l8, 2000 - January l7, 2005
12.
Mr. Deependra Purush Dhakal
August 29, 2000 – April 27, 2001
13.
Mr. Bijaya Nath Bhattarai
January 31, 2005 –January 30, 2010
14.
Mr. Deependra Bahadur Kshetry
January 15, 2009 – July 26, 2009
15.
Dr. Yuba Raj Khatiwada
March 22, 2010 – Present

7. Major Markets and Customers




Government of Nepal
Banks and Financial Institutions
Corporations or the firms
Investors

8. List of Banks and Financial Institutions,
As of Mid October, 2013(NRB)
Commercial
Development
Finance
Micro-
Saving
Banks
Banks
Companies
finance
& NGOs (Financial
Credit
Intermediaries)
Development Cooperatives
Banks
Limited
Banking
Activities)
31
87
59
35
15
31

9. Growth of BFIs

10. Products and Services
Products:
 Treasury Bills (T-Bills)
 Repo and Reverse Repo
 Outright Purchase/Sell
 Bank Rate
 Standing Liquid Facility (SLF)
 Treasury Bonds like Development Bonds, Special
Bonds, National Saving Bonds, and Citizen Saving
Bonds.
 Loans against Treasury Securities

11. Services Provided By NRB







Bank of Note Issue
Banker, Agent and Adviser to the Government
Bankers' Bank
Lender of Last Resort
Clearing Agent
Credit control
Collection of Data

12. Organization Design and Structure
Board of Directors
S.N
Members
Name
Position
1.
Governor
Dr. Yuba Raj Khatiwada
Chairperson
2.
Secretary, Ministry of Finance
Mr. Shanta Raj Subedi
Member
3.
Two Deputy Governors
1.
Member
Mr. Gopal Prasad
Kaphle
2.
Mr. Maha Prasad
Adhikari
4.
Three Directors appointed by the
Government of Nepal from amongst the
persons renowned in the fields of
Economic, Monitory, Banking, Finance
and Commercial Law
1.
Dr. Sri Ram Poudyal
2.
Dr. Ramhari Aryal
3.
Mr. Bal Krishna Man
Singh
Member

13. Organizational structure of Nepal Rastra Bank

14. Financial Structure


Total assets in the fiscal year 2068 and 2069 is
320,811,794,892 and 453,847,106,065 and total
liabilities and equity in the fiscal year 2068 and
2069 is 320,811,794,892 and 453,847,106,065.
The total profit for the year 2068 is 7,146,944,785
and in 2069 are 37,748,073,230.

15. Organizational Performance








Issuance of monetary policies
Issuance of notes
Controlling other financial institutions
Debt manager of the government
Economic advisory to the government
Lender of the Last Resort (LOLR)
Foreign currency exchange
Enhance payment and clearing system

16. CHAPTER II:
JOB PROFILE
AND
ACTIVITIES PERFORMED

17. Activities Performed In The Organization
Durations:
S.N
Job Title
Section
weeks
1
General Ledger
Reconciliation
3
2
Pay Order
Reconciliation
6
3
Pension
Pension
3
Total Durations
12

18. Sections in FMD
Internal
Administrative
Section
Reconciliation
section
Pension Section
FMD
Balance Sheet
Section
Salary Section
Retirement Fund
Section
Bill Section

19. OLYMPIC BANKING SYSTEM


The Finance Department of Nepal Rastra Bank
uses OLYPIC Banking Software to carry out day to
day financial activities from Baisakh 2070.
The OLYMPIC Banking System is one of the most
comprehensive and modern solutions to support all
aspects of modern and sophisticated private
banking.

20. Gateway for OLYMPIC Banking System
The address of the system is
http://192.168.160.21:9081/PROD/Olympic.do.
And the old code for the Departments is listed below:
Old General Account Code
Place
Old General Account code
FMD
1100000-038-000-524
KBO
1200000-038-000-524
CMD
1300000-038-000-524
BRT
1500000-038-000-524
JNP
1600000-038-000-524
BRG
1700000-038-000-524
PKR
1800000-038-000-524
SID
1900000-038-000-524
NEP
2100000-038-000-524
DHN
2200000-038-000-524

21. New Code for G.L Posting
Place
New Code for G.L Posting
FMD
1109901-011-000-524
KBO
1209901-011-000-524
CMD
1309901-011-000-524
BRT
1509901-011-000-524
JNP
1609901-011-000-524
BRG
1709901-011-000-524
PKR
1809901-011-000-524
SID
1909901-011-000-524
NEP
2109901-011-000-524
DHN
2209901-011-000-524

22. Pay Order

A bank pay order is a document that gives
instructions to a bank to give out or pay some
specified amount of cash to a third party. Such
orders are generally recognized by the bank which
guarantees that the payment will be made.

The Code for Pay order is 1100000-014-000-524

23. Steps to reconcile the Pay Order










Go to http://192.168.160.21:9081/PROD/Olympic.do
Click Equity
Click Client
Type pay order code: 1100000-014-000-524
Click Ok
Account Movements found
Right click on Account
Bank reconciliation (Status option)
Click unreconciled movements
Match debit and credit items.

27. Activities performed at Reconciliation Section



Using Olympic Banking System for reconciliation.
Matching debit and credit items.
Whenever the debit item is not matched with
existing credit item then it is informed to
Supervisor.

28. Activities performed at Reconciliation Section
Cont…



Visited the Bill Section and Salary Section for
finding the pay order which is not matched with
debit items.
Teach the new Intern about the reconciliation
process and other problem solving technique.
Making the letter to different section whenever the
credit item was not found in the system.

29. Activities Perform at Pension Section





A pension is a contract for a fixed sum to be paid
regularly to a person who get retirement from
service.
At present there are 2214 persons who take pension
at Nepal Rastra Bank.
70 years and more = 10 % more pension
80 years and more = 20% more pension
Calculation:
Pension =

30. Activities Perform
at Pension Section Cont…





Recording the increased pension of 2068 and 2070 in the
pension book manually.
Corrected the record whenever the past records are
incorrect.
Sometime the total pension in the book was not matched
with the present pension sheet, then that must be corrected.
Employees age above 70 are given 10% more pension and
20% more to age above 80 but these amount must be
separately given and should not recorded with present
pension. Thus Internee found out and corrected different
such cases where 10% and 20% pension are added to
pension.
Incorrect transaction are recorded in separate sheet and
provided to supervisor.

31. Problem Solved






During reconciliation, sometime debit item does not matched with
credit item then such transaction must be inform to supervisor.
When debit item did not match with credit item during
reconciliation then Internee visited Bill Section and Salary Section
for finding the credit item.
If there are many items that are not matched then letter must be
typed and sent to concern section to solve the problem.
Record regarding increase pension are not recorded in pension book
since 2068, thus Internee recorded all those records.
Internee found out and corrected different cases regarding 10% and
20% more pension added to net pension which should not be added.
Incorrect and hard problem are recorded in separate sheet and
provided to concern supervisor.

32. Intern’s Key Observation









The electronic equipments like computer and its peripherals were
mostly out of proper working conditions.
There is proper coordination between the staffs.
No proper managed infrastructure.
Staffs have problems with computers and its applications.
The working system of the department is systematic and rigid.
The concept of transfer, rotation and promotion of employees cause
several problems.
All employees must do attendance through electronically which
avoids staffs delay in bank.
There are four employees Unions at NRB to protect the right of
employees.
All staffs are polite and kind to the interns.

33. CHAPTER III:
LESSON LEARNT AND
FEEDBACK

34. Key Skills and Attitudes Learnt
Communication Skills
Teamwork Skills
Computer & Technical Skills
Initiative
Interpersonal Skills
Problem-Solving Skills
Analytical Skills
Flexibility / Adaptability
Organizational Skills
Leadership Skills
Self-Confidence
Self – Motivation

35. Feedback to Organization





New and effective means of technology should be used
for providing service to the customer.
Re-structure and re-organize the job and
responsibilities so that there is efficiency in job
completion.
Proper maintenance of computers and other devices
should be ensured timely for effectiveness.
Staffs should be familiar with IT and technologies.
Staffs should be provided adequate training on use of
computers and other devices.

36. Feedback to College/University






The college/university should prepare a fixed framework of
internship activities to be carried out by students during internship.
College should send the supervisor to the organization before, after
and during the internship program.
The interaction class must be provided by the college at every
weekend.
MBA students and BBA students did the same level of work during
the internship period, so college should refer to the organization to
give the task to the interns according to their qualification.
College should be in touch with the organization where students did
their internship so that the college can get timely feedback about the
intern.
The internship program should be kept on the last trimester which
gives chance to get the job within the same organization of
internship.

37. With Assistant Director Mr. Bilash Chandra Rai

38. Special Thanks to:
 Prof Dr. Radhe Shyam Pradhan
 Program Director Mr. Dipkar Thapa
 Act. Director Mr. Naresh Shakya
 Deputy Director Mr. Bijaya kumar Shrestha
 Deputy Director Mr. Kishor Kumar Dhakal
 Assistant Director Mr. Bilash Chandra Rai
 Judges and Friends…

39. THANK YOU