An Internship Report on the Core Operations, Financial Performance, and Customer Experience of Retail Banking at Shahjalal Islami Bank Limited

Abstract

This study presents an extensive examination of the main aspects of the retail banking business, profits, and customer satisfaction, conducted during an internship attachment at one of the corporate branches of Shahjalal Islami Bank Limited. The paper aims to investigate the implementation of theoretical knowledge about Islamic banking practice into the real business model and analyze the retail banks’ peculiarities, products, and performance to identify the corporation’s competitiveness level. Financial analysis using standardized regulatory rating models indicates that the bank is in an excellent position. It has a high level of capitalization and good quality assets since the problem investments are significantly below the industry average. The second strength is prudently managed expenses with significant reinvestment in the company, which ensures stability and generates profits to withstand market fluctuations. The analysis of operational and customer service aspects reveals that most of the bank’s deposits are concentrated in two popular Shariah savings and current accounts. At the same time, the research results demonstrate that despite the customers’ satisfaction with the availability of ATMs and mobile banking, there are several critical issues that can be considered as red flags. These include long queues at the branches, a lack of infrastructure, and excessively high maintenance fees. To address the identified issues and improve the bank’s performance in terms of brand loyalty, the study suggests several recommendations. The bank should consider improving the branch’s technology in order to make transactions faster and more reliable, developing the online platform to ensure its stability and multiple functionalities, as well as investing in branch network development. By focusing on the customers’ needs and not neglecting the already functioning opportunities, the bank will be able to significantly increase its performance as an Islamic financial institution.