Table Of Contents

Acknowledgment Introduction History Vision Mission Core Values Distribution of Branches Board Of Directors Products and Services SWOT Analysis Financial Analysis PEST Analysis Recommendations

Acknowledgment
We are very thankful to our Professor Mr. Riaz Ahmed Mian who guides us and gave us this professional project through which we can understand the products, services and the mission of a professional organization.

Group Members
Irfan Javed Muhammad Yasir Hassan Ghani Mi10MBA065 Mi10MBA033 Mi10MBA023

Introduction
Pioneer in Islamic banking 89 branches 17 major cities

History
Al-Baraka Islamic Bank is the pioneer of Islamic Banking in Pakistan.

The biggest merger in Islamic banks Emirates Global Islamic Bank.

Vision
We believe that society needs a fair and
equitable financial system which

rewards effort and contributes to the

development of the community.

Mission
To meet the financial needs of communities across the world by conducting business ethically in accordance with the Shariaa, practicing the highest professional standards and sharing the mutual benefits with the customers, staff and shareholders who participate in our business success.

Core values
Partnership
Our shared beliefs create strong bonds that form the basis of long term relationships with customers and staff.

Drivens
We have the energy and perservance it will take to make an impact in our customers lives and for the greater good of the society.

Neighbourly
We value and respect the communities we serve. Our doors are always open; our customers always experience a warm-hearted, hospitable welcome and accommodating service.

Peace of mind
Our customers are rest assured that their financial interests are being managed by us to the highest ethical standards

Distribution Of Branches
33

36
Central North South 20

International Branches
Al Baraka Bank (Pakistan) Limited Al Baraka Bank Ltd, South Africa Al Baraka Bank Lebanon, Lebanon Al Baraka Bank Sudan, Sudan Banque Al Baraka D'Algerie, Algeria Al Baraka Bank Syria Al Baraka Turk Participation Bank, Turkey Bank Et-tamweel Al Saudi Al Tunisi, Tunisia Egyptian Saudi Finance Bank, Egypt Jordan Islamic Bank, Jordan The represantative office, Inodonesia

Board of Directors
Shaikh Saleh Abdullah Kamel Chairman Mr. Abdulla A. Saudi Vice Chairman & Member Mr. Abdullah Saleh Kamel Member Mr. Jamal bin Ghalaita Member Mr. Saleh Al Yousef Member Mr. Samer Mohammed Farhoud Member

Board of Directors
Mr. Adnan Ahmed Yousif President and Chief Executive Dr. Anwar Ibrahim Member Mr. Ibrahim Fayez Al Shamsi Member Mr. Abdul Elah Sabbahi Member Mr. Shafqaat Ahmed Member Mr. Yousif Ali Fadil Bin Fadil Member

Shariaa' Advisor
Justice (R) Khalil-ur-Rehman Khan
world renowned Islamic Scholar of Pakistan.

Mufti Abdullah Najeebul Haq Siddiqi

Deputy Shariaa Advisor. Associated with Dar-ul-uloom, Karachi. Specialized in Islamic Fiqh and Fatawa.

Products & Services

Corporate Banking
Import Financing . Export Financing . Working Capital Financing . Infrastructure Financing . Project Financing . Financing for other Business Needs. Murabahah ( Sale/Purchase/Trading). Musharaka (Partnership). Ijarah (similar to Leasing) .

Products & Services

House Financing
Purchase of a house Construction of house on a plot owned by customer Purchase of plot and construction of house Renovation of house, and Assets transfer facility (ATF)

Car Financing
Minimum down payment No upfront insurance and registration charges Swift approval Co-applicant option

ATM Facility
Cash when you need it, 24 hours a day, 7 days a week Available at thousands of ATMs on the 1-Link & M-Net Network throughout Pakistan Very Competitive charges

Products & Services

Takaful
This is a form of Islamic insurance based on the Quranic principle of Ta'awon or mutual assistance.

Products & Services

Debit Cards

Online Banking

Safe Deposit Lockers

Liability Products
Al Baraka Current Account
Available in Pak Rupee, US Dollar, UK Pound and Euro No Minimum balance requirement Free online banking transactions

Al Baraka PLS Saving Account

Riba free Halal Munafa Available in Pak Rupee, US Dollar, UK Pound and Euro No minimum balance requirement Profit distribution on half yearly basis No restriction on withdrawal Fee online banking transactions

Liability Products
Al Baraka Mahana Aamdni Account
Minimum investment Rs. 50,000 No Maximum limit Flexible deposits for 1,2,3,4 or 5 years Competitive profit payment record Monthly profit can be withdrawn from any branch or ATM If needed, withdrawal before maturity is allowed

Al Baraka Incentive Account

Riba free Halal Munafa Available in Pak Rupee Minimum balance of Rs 100,000 Profit distribution on half yearly basis Free online banking transactions

Liability Products
Al Baraka Khazana Account
Riba free Halal Munafa Avaialble in Pak Rupees Minimum Balance of Rs 250,000 Profit distribution on quarterly basis No charges on stop payment and hold mail facility Free online banking transactions

Al Baraka Term Deposit

Riba free Halal Munafa Available in Pak Rupee, US Dollar, UK Pound and Euro Tenor 7 days to 3 years & 5 years Profit on maturity

SWOT Analysis

Strength
Strong financial backing of ABG. Strong brand name Shariaa compliant products. Pioneer of Islamic banking in Pakistan. Extensive expertise in Islamic banking methodologies. Reputed Shariaa advisors headed by Shariaa advisory board. Strong portfolio of Islamic products and services. Strong product development department Capital base to help extend branch network

Weaknesses
Branch network limited to major cities of Pakistan. Difficult to attract and retain specialized human resource Products and services portfolio limited in number because of Shariaa compliance. No or limited resources dedicated for marketing programs. Oracle based operating system

Opportunities
Strong and stable growth in banking sector of Pakistan. Favorable regulatory policies for banking sector. The State Bank of Pakistan has revamped the entire sector. Availability of niche markets. Possible concentration in consumer and commercial banking. Global acceptability of Islamic products and services Opportunity to introduce new products and services in the developing Islamic banking market. Merger with Emirates Global Islamic Bank.

Threats
Limited exposure and acceptability of Islamic products Limited availability of learned and qualified Shariaa scholars Limited availability of qualified and experienced human resource Misperception and lack of understanding in the general public about Islamic banking

Financial Analysis

Total Assets
Rs. In Million (000).
35,000 33,066 30,000 29,304 22,077 20,000 15,000 10,000 5,000 0 Year 2006 24,198

25,000 18,868

Year 2007
Year 2008 Year 2009 Year 2010 (Till June)

Liabilities
Rs. In Million (000).
35,000 30,000 25,000 20,000 19,632 21,832 26,551 30,238

15,000
10,000 5,000 0 Year 2007 Year 2008 Year 2009 Year 2010 (Till June)

BAD DEBTS
Rs. (000).
450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 422,017

141,232 17,277 Year 2007

62,381 Year 2008

Year 2009

Year 2010 (Till June)

Statement Of Comprehensive Income

Rs. (000)
2010 (Till June) Profit /(Loss) Before Taxation Taxation -Current -Prior Years -Deffered _________________________ Net Taxation Profit/(Loss) after Taxation Earning Per Share 93,702 13,538 -12,610 ________ 26,148 67,554 -2009 (380,634) 65,200 -(164,286) ________ (99,086) (281,548) -2008 (78,545) 3,303 -(8,691) ________ (5,388) (73,157) -2007 314,542 2,889 -66,125 _______ 69,014 245,528 --

PEST Analysis
Political
Remotely influenced by political changes in the region.

Economical
Decline inflow of foreign investment. Rising inflation rate. Acute energy crisis. Depletion of foreign exchange reserves.

Social
Trends are shifting towards Islamic banking. Unawareness among people about Islamic financing. Honesty will be highly stressed in all interactions.

Technological
Innovation: AlBaraka will constantly look for ways to innovate and improve. It will embrace change as an opportunity, and recognize technology as the key to success. The spirit of inquiry and strive for ongoing education and development will be a key factor in the work process. Excellence: AlBaraka will have a passion for continuous quality improvement, which will be measured, wherever possible, for subsequent action. Future Focus: AlBaraka will strive to think forward in its planning for change and the future needs of the bank and the community.

Recommendation
Establish marketing department. Expansion in the number of branches. Use of latest technology in working. Public awareness campaigns. Expansion in product line.

Relevant Questions Will be entertained?

36