Analysis of Dhaka Bank PLC and the Private Commercial Banking Industry in Bangladesh: An Internship Experience Perspective

Abstract

One of the most significant sectors to contribute to the economic development of Bangladesh is the banking sector. Private commercial banks have a major role to play in savings promotion, providing credit, assisting the businesses, facilitating international trade and promoting financial inclusion. Over the past few years, banking has grown by a factor of many digital transformations, technological innovations, and customer-centric financial services. But the industry has a number of problems as well, such as growing non-performing loans (NPLs), competition, changing regulations, and economic uncertainty. This internship report has been prepared based on my three-month internship at Dhaka Bank PLC, one of the leading private commercial banks in Bangladesh. The primary aim of my internship was to acquire practical experience in the Banking sector to put theoretical knowledge into practice, which I had gained throughout my Bachelor of Business Administration (BBA) program. My internship was in the General Banking Department, where I was engaged in account opening, customer service, document verification, transaction processing, etc. My work helped me to appreciate the practical side of banking and also develop my communication, analytical, and problem-solving skills. The report has three main components. The first section documents gives an introduction to the background, vision, mission, products, and services of Dhaka Bank PLC. To analyze the financial position and performance of the bank, the other half of the first part is based on financial statement analysis, ratio analysis, trend and growth analysis, DuPont analysis, and SWOT analysis of Dhaka Bank PLC. The second part introduces the private commercial banking industry in Bangladesh, covering its size, trends, and maturity, as well as a SWOT analysis of the industry. The last part is based on the internship experience, the organization's profile, and the intern's daily tasks during the internship. According to the financial analysis, Dhaka Bank PLC sustained a healthy growth trajectory in its assets, deposits, loans, operating profit and digital banking services in 2024. The Bank also continued to enhance customer-friendly services and expand banking activities. The profitability, however, has reduced because of higher loan loss provisions and increased pressure of non-performing loans (NPLs) on important performance indicators, Return on Assets (ROA) and Return on Equity (ROE). These difficulties did not dampen the Bank's financial health, which was bolstered by sound risk management, operational efficiency, and the drive to sustainable business expansion. In conclusion, the internship was a valuable experience that allowed students to apply theoretical knowledge and skills to gain practical experience. It helped me in the better understanding of the working of the banking industries, overall banking activities, financial analysis and functioning of the private commercial banking industry in Bangladesh. The internship will give me the knowledge, skills, and experience that will support my future career in the banking and financial sector.