SUMMER INTERNSHIP PRESENTATION

ON

FOREIGN REMITTANCE
UNDERTAKEN AT

IRASTRIYA BANIJYA BANK LIMITED

KATHMANDU,NEPAL.
Presented To:

Presented By:

Prof. Rajesh Mehrotra

(Director SBM)

Adhikari Prajwal
MBA Finance
IIIrd sem. (pass)

CONTENTS
A) ABBREVIATIONS USED
B) INTRODUCTION TO RASTRIYA BANIJYA BANK
C) PRODUCTS AND SERVICES OF RBB
D) INTRODUCTION TO FOREIGN REMITTANCE
E) REMITTANCE FLOWS IN NEPAL
F) RBB REMIT
G) MY WORK AT RBB
H) CONCLUSION

ABBREVIATIONS USED
AFX Al Fardan Exchange
ANB Arab National Bank.
ATM Automated Teller Machine.
CAD Central Accounts Department.
DD Demand Draft.
TD. Treasury department
DFID Department For International Development
EFT Electronic Fund Transfer
FE Federal Exchange.
FOTC Fiber Optic Transmission Capacity.
FRD Foreign Remittance Department.
F.R.P.P Foreign Remittance Payment Project.
GDP Gross Domestic Products.
IBTA Inter Bank Transaction Account.
IBCA Inter Bank Credit Advice.
ID International Division
MG Money Gram International.

ABBREVIATIONS USED
MIS Management Information System
MTO Money Transfer Organization.
RBBL Rastriya Banijya Bank Limited.
POS Point of Sales.
RPCF Remittance Payment and Challenge Fund
RPP Remittance Payment partnership.
SME Small and Medium Enterprises.
SP Spot Cash.
SWIFT Society for Worldwide Interbank Financial
Telecommunication. .
TSMT Three Star Money Transfer.
TT Telegraphic Transfer.
UBS Universal Banking Software.
WSEC Wall Street Exchange Center.
RBB- Rastriya Banijya Bank
NRB-Nepal Rastra Bank

Brief introduction to Rastriya

Banijya Bank(RBB)

RBB Ltd. - established on January 23, 1966

( 2022 Magh 10 ) - a synonymous of stable
and people's bank in Nepal - is one of the
pioneer Bank in the country with the history
of nearly a half century. Earlier constituted
under RBB act 2021 with the full ownership
of the government of Nepal , the Bank has
been running under Bank and Financial
Institute Act ( BAFIA ) and Company Act (CA)
2063 at present. The Bank licensed by NRB
as a 'A' class commercial Bank of the country,
has grown up as an indispensable component
of the Nepalese economy.

RBBL which has made glorious history of

contributing for the monetization of the
economy ,eliminating dual currency in the
market , initiating preliminary financial
literacy, help flourish industrial ,commercial
and financial sector of the country has now
emerged as a modern and strong financial
institute of the country. The Bank with 2600
hands has expanded its wings in the most
part of the country through multiple
distribution outlets of 167branches ,17
counters,28 branch less banking (BLB) and
72 ATMs. The Bank with the highest public
confidence- reflected in the highest deposit
base and growing demand for branch

The Bank with as many as 1.7 millions

satisfied /direct customers ranging from
poor to elite ones and millions of indirect
ones, has drawn important imprint in the
picture of country's economy through its
significant involvement in the best use of its
resources to enhance the production,income
and employment opportunities. The Bank is
fully committed to contribute its best for the
socio economic development of the country
and people in the days to come.

SOME OTHER PRODUCTS AND

SERVICES PROVIDED BY RBB

Business loan
1. Funded Loan
Overdraft Loan
Pledge Loan
Term Loan
Project Loan
Trust Receipt Loan
Export Loan
Bills Purchase (Clean bill)
Loan for Infrastructure based Industries
Consortium Loan
2. Non-Funded Loan
Letter of Credit
Bank Guarantee

Retail loan]
Housing Loan
Vehicle Loan
Hire Purchase Loan
Educational loan
Apartment Loan
Loan Against Gold
Loan against fixed deposit receipt
Loan against the government bond
Loan against shares
Loan against the first class bank guarantee
Rastra Sewak Loan
Teachers Loan
Personal Loan

INTRODUCTION TO FOREIGN
REMITTANCE

A remittance is the funds

anexpatriatesends to their country of
origin via wire, mail, or online transfer.
These peer to peer transfers of funds
across borders are economically
significant for many countries that receive
them. Aremittanceis atransfer of
moneyby aforeign workerto an individual
in his or her home country.

Remittance flows in Nepal

As a share of its GDP, Nepal was the third

largest recipient of remittances in 2014.
Remittance inflows to Nepal amounted
29.2 percent of GDP in 2014. Tajikistan
and Kyrgyz Republic received remittances
amounting to 36.6 percent of GDP and
30.3 percent of GDP, respectively. In 2015,
remittance inflows to Tajikistan and Kyrgyz
Republic was $2.6 billion and $1.7 billion,
respectively. In Nepal, it is estimated to be
about $7 billion.

Remittance flows in Nepal

In 2015, Nepal received remittances from around 35

countries. The highest bilateral remittance inflows was
from Qatar ($2.02 billion), followed by Saudi Arabia
($1.8 billion), India ($1 billion), UAE ($803 million) and
the United States ($332 million). Qatar and Saudi
Arabia absorbed about 124,368 and 98,246 migrants
respectively in 2015. Malaysia was the most popular
destination with 202,828 migrants in 2015, but the
remittance inflows from Malaysia are lower than from
other destination ($185 million). Most of the countries
waived remittance costs immediately after the
earthquake, leading to a surge in inflows.

Remittance flows in Nepal

Remittance flows in Nepal

RBB Remit

Rastriya Banijya Bank (RBB) has operated

online web based remittance system, where by
money can be sent to Nepal from Worldwide.
Payments can be collected from more than163
branch officesof the RBB. RBB has made
association with various foreign agencies for
direct Remittance through RBB Remit where by
Nepali citizens & other people at Qatar, UAE
and Dubai can send money to Nepal instantly.
Rbb currently charges NRP100 or 0.1% of a
transaction(whichever is more) for each
transaction.

RBB remit

Apart from RBBRemit, RBB provided online foreign

remittance through the following international
services:
Western Union Money Transfer-Worldwide Service
Instant Cash Global Money Transfer-Worldwide
Service
Express Money Services Limited-Worldwide Service
Ez Remit-Worldwide Service
C.G. Money Remit-Malaysia, UK, USA, Japan, UAE
Service
International Money Express-Worldwide Service
Prabhu Money Transfer-Worldwide Service

RBB remit

My work at RBB

My task at RBB was to check the validity of the

transactions received via RBB remit or other
associated companies and credit the amount into
the respective accounts of home network or other
banks.
I was also responsible with the reconcilalition work.
This means I was to determine and file the amount
of money given by each branches of RBB to
customers in a day and calculate the commisons
thus received.
Also, I briefly worked in the SWIFT or LC divison of
the Treasury Department and monitor the
transactions are comlying with the anti money
laundering acts.

CONCLUSION

Hence we can conlude that RBB plays a vital

role in the remittance market of Nepal. As
Nepal is an underdeveloped country, a lot of
the population prefer to work outside the
country and send their money via various
remittance companies. Even now about 40-50%
of the remittance is via illegel channels such as
Hundi. During my internship I found out that
RBB plays a vital role in legalising the
remittance market and ensuring proper
payment complying with all the money
laundering acts and US regulations.

THANK YOU.