Project on National Bank of Pakistan

Government College University, Faisalabad
ProgramProgramProgramProgram:::: BBABBABBABBA (Banking & Finance)(Banking & Finance)(Banking & Finance)(Banking & Finance)
6666th Semesterth Semesterth Semesterth Semester
EveEveEveEveningningningning (B)(B)(B)(B)
Submitted ToSubmitted ToSubmitted ToSubmitted To:::: Sir Saleem MiraniSir Saleem MiraniSir Saleem MiraniSir Saleem Mirani
ProjectProjectProjectProject::::
National Bank of PakistanNational Bank of PakistanNational Bank of PakistanNational Bank of Pakistan
Submitted BySubmitted BySubmitted BySubmitted By::::
Mubasher Ali (15518)Mubasher Ali (15518)Mubasher Ali (15518)Mubasher Ali (15518)
Slahudin AyubiSlahudin AyubiSlahudin AyubiSlahudin Ayubi (15516)(15516)(15516)(15516)
Muhammad Asif (15568)Muhammad Asif (15568)Muhammad Asif (15568)Muhammad Asif (15568)

National Bank of Pakistan
Type Government Ownership
Traded as KSE: NBP
Industry
Banking
Capital Markets
Founded 1949
Headquarters Principal Office, Karachi Pakistan
Key people Saeed Ahmad, President
Products Loans, Credit Cards, Savings, Consumer Banking, Corporate Banking, Investment
Banking.
Revenue Rs114.40 billion (US$1.1 billion) – 2016
Net income ₨22.75 billion (US$220 million) - 2016
Owner Government of Pakistan
Website www.NBP.com.pk

Introduction
The National Bank of Pakistan (NBP) is a major Pakistani commercial bank with headquarters
in Karachi. Although state-owned, it operates as commercial bank, while still continuing to act as
trustee of public funds and as the agent to the State Bank of Pakistan in places where SBP does
not have a presence, as SBP is the major shareholder of NBP.
The bank provides both commercial and public sector banking services. It is a lead player in the
debt equity market, corporate investment banking, retail and consumer banking, agricultural
financing, treasury services. As of March 2017 it has 1,450 branches across Pakistan with assets
of approximately USD 17.2 billion. The Bank also operates a network of 21 international branches,
2 international Subsidiaries and 3 international Representative Offices. The Bank also has presence
in the UK through United National Bank Ltd (UNBL), a banking institution incorporated in the
UK.
National Bank of Pakistan has developed a wide range of consumer products, to enhance
business and cater to the different segments of society and meet its social responsibilities. Some
schemes have been specifically designed for the low to middle income segments of the population.
It has implemented special credit schemes like small finance for agriculture, business and
industries, administrator to Qarz-e-Hasna loans to students, self-employment scheme for
unemployed persons, public transport scheme. The Bank has expanded its range of products and
services to include Shariah Compliant Islamic Banking products. It has also put in place
a remittance service for overseas Pakistanis to send their money back to Pakistan.
The bank also runs the Annual Awards for Excellence in Literature that confer awards to the best
books in Urdu and in all prominent regional languages. The Bank is also the largest sponsor of
sports in Pakistan.
Vision
"To be recognized as a leader and a brand synonymous with trust, highest standards of service
quality, international best practices and social responsibility".

Mission
NBP will aspire to the values that make NBP truly the Nation’s Bank by:
• Institutionalizing a merit and performance culture.
• Creating a distinctive brand identity by providing the highest standards of services.
• Adopting the best international management practices.
• Maximizing stakeholder’s value.
• Discharging our responsibility as a good corporate citizen of Pakistan and in countries where we
operate.
Core Values
NBP has following core values:
Highest standards of Integrity.
Institutionalizing a teamwork and performance culture.
Excellence in service.
Advancement of skills for tomorrow’s challenges.
Awareness of social and community responsibility.
Value creation for all stakeholders.
Goals
"To enhance profitability and maximization of NBP share through increasing leverage of existing
customer base and diversified range of products".
History of NBP
• In 1949, National Bank of Pakistan (NBP) was established under the National Bank of
Pakistan Ordinance of 1949 and was government-owned. NBP acted as an agent of the central
bank wherever the State Bank did not have its own branch. It also undertook government
treasury operations. Its first branches were in jute growing areas in East Pakistan. Offices
in Karachi and Lahore followed.

• In 1950, NBP established a branch in Jeddah, Saudi Arabia.
• In 1955, by this time NBP had branches in London and Kolkata.
• In 1957, NBP established a branch in Baghdad, Iraq.
• In 1962, NBP established a branch in Dar es Salaam, Tanganyika.
• In 1964, the Iraqi government nationalized NBP's Baghdad branch.
• In 1965, the Indian government seized the Kolkata branch on the outbreak of hostilities
between India and Pakistan.
• In 1967, the Tanzanian government nationalized the Dar es Salaam branch.
• In 1971, NBP acquired Bank of China's two branches, one in Karachi and one at Chittagong.
At separation of East Pakistan NBP lost its branches there. NBP merged with Eastern
Mercantile Bank and with Eastern Bank Corporation.
• In 1974, the government of Pakistan nationalized NBP. As part of the concomitant
consolidation of the banking sector, NBP acquired Bank of Bahawalpur.
• In 1977, NBP opened an offshore brain Cairo.
• In 1994, NBP amalgamated Mehran Bank.
• In 1997, NBP branch in Ashgabat, Turkmenistan commenced operations.
• In 2000, NBP opened a representative office in Almaty, Kazakhstan.
• In 2001, State Bank of Pakistan and Bank of England agree to allow only 2 Pakistani banks to
operate in the UK. NBP and United Bank agreed to merge their operations to form Pakistan
International Bank, of which NBP would own 45% and United Bank 55%.
• In 2002 Pakistan International Bank renamed itself United National Bank Limited (UNB). The
ownership structure of the UNB remained as before. The only change to the shareholding
structure is that UNB had recently been privatized in Pakistan and was now owned 49% by
the Government of Pakistan and 51% by a joint foreign consortium of Abu Dhabi.
NBP needed to redefine its role and shed the public sector bank image, for a modern commercial
bank. It has offloaded 23.2 percent share in the stock market, and while it has not been completely
privatized like the other three public sector banks, partial privatization has taken place. It is now
listed on the Karachi Stock Exchange.
• In 2003 NBP opened its branch in Kabul, and the first ATM in Afghanistan was installed there.

• In 2005 NBP closed its offshore branch in Cairo.
• In 2010 NBP opened its branch in Karaganda (Kazakhstan).
• In 2011 NBP opened its representative office in Toronto (Canada).
Operations of NBP
A number of initiatives have been taken, in terms of institutional restructuring, changes in the field
structure, in policies and procedures, in internal control systems with special emphasis on
corporate governance, adoption of Capital Adequacy Standards under Basel III framework, in the
up gradation of the IT infrastructure and developing the human resources.
National Bank of Pakistan has built an extensive branch network with 1450 branches in Pakistan
and operates in major business Centre abroad. The Bank has representative offices in Beijing,
Tashkent, Chicago and Toronto. It has agency arrangements with more than 3000 correspondent
banks worldwide.
Map depicting worldwide operations of National Bank of Pakistan. Highlighted countries have
branches, subsidiaries and/or representative offices of the bank. Pakistan is highlighted in dark
green for reference.
The Bank saw significant growth between 2000 and 2006. In 2016, total assets were estimated at
PKR 1,799 billion, with total deposits being PKR 1,657 billion. Pre-tax profit rose to PKR 37.14
billion. Earnings per share have jumped to PKR 10.69. The increase in profit was achieved
through strong growth in core banking income. Gross Interest income increased to PKR 114
billion through growth in the loan portfolio as well as increase in spreads. Gross Advances
increased to PKR 781 billion. It ranges from providing credit to the unbanked market segment
under NBP Karobar, to small and medium enterprises, to agricultural loans, to large corporate
customers.
It has taken various measures to facilitate overseas Pakistanis to send their remittances. In 2002
the Bank signed an agreement with Western Union for expanding the base for documented
remittances.

Subsidiaries
The NBP's subsidiaries are Taurus Securities Ltd, NBP Exchange Company Ltd, NBP Leasing
Ltd, NBP Mudarabah Management Company Ltd, and CJSC Bank, Almaty, Kazakhstan. The
Bank's joint ventures is United National Bank (UK).
International Offices
National Bank of Pakistan branch in Washington, D.C.
NBP also has branches /offices in the United States, UK, Canada, Germany,
France, Bahrain, Egypt, Bangladesh, Hong Kong, Japan, South Korea, The People's Republic of
China,Afghanistan,Turkmenistan, Kyrgyz,Republic, Kazakhstan, Uzbekistan, Azerbaijan and Sa
udi Arabia.
Products and Services
NBP offers following Products & Services:
o Premium Aamdani
o Premium Saver
o Asaan Account
o Banc Assurance
o Saibaan
o Advance Salary
o Cash Card
o Cash in Gold
o Kisan Dost
o Trade Services
NBP Premium Aamdani
Earn up to 7.40 % p.a.
Minimum deposit of Rs. 20,000/- with maximum balance of Rs. 10 million for 5 years.
Free Demand Draft, Pay Order and Cheque Book.
Convenience of NBP online Asaan Banking (for online banking customers).

Free NBP Cash Card (ATM+Debit).
Running finance facility up to 90%.
Profit paid every month as follows:
Year Profit Rates (%)
1st
5.75 p.a.
2nd
6.00 p.a.
3rd
6.25 p.a.
4th
6.80 p.a.
5th
7.40 p.a.
NBP Premium Saver Account
Earn up to 4.75% p.a.
Maximum balance of Rs. 1 million.
Free NBP Cash Card (ATM + Debit).
Convenience of NBP Online Asaan Banking (for online banking customers).
Profit calculated on monthly and paid on half yearly basis.
Earn up to 4.75% p.a. (For amount of 20,000 – 1 Million)
Earn up to 3.75% p.a. (For amount larger than 1 Million)
NBP Asaan Account
Product Name NBP ASAAN ACCOUNT
Product Type Current, Savings Deposit
Product Currency • Pak Rupees
Eligibility • Individual – Single
• Individual – Joint (max. 1)

Product Feature • PLS Saving Accounts rate of profit applicable on Asaan
Savings Account.
• Free Cheque Book on Customer Request
(Initial / One time)
• Free ATM Card (subject to Annual renewal fee)
• Initial Deposit - Rs. 100/- only
• No Monthly Minimum Balance maintenance
requirement.
• Bank Charges as per current tariff.
• No charges on closure of Account.
• Zakat and taxes, as per Law.
• SMS Alert Service (subject to subscription)
Account Opening
• Simplified One Page Paper-based form
• Upon production of Valid Proof of Identity Document
(Original)
• Identified source of fund (As per Declaration on AOF)
Statement of Account • As per current policy for PLS and Current accounts
Account Activation • Within 3 working days – After NADRA Verify
Transactions Limit • Total Debit per Month: Rs. 500,000
• Total Credit Balance Limit: Rs. 500,000
Restrictions • No cross border (outward) remittance transactions
• Personal Appearance for delivery of Cheque book at
Branch.

Basic Banking Accounts • Conversion into Asaan(Current) Account – upon
concurrence of Customer
NBP Banc-Assurance
Banc-Assurance has been specially coined for offering, distributing and selling of various
insurance products of SLIC through NBP branch network, as an additional service to their existing
and potential new customers. NBP has signed a tripartite agreement with State Life Insurance
Corporation (SLIC) and GBA Services (Pvt) Ltd. for launch of a new Banc-Assurance product.
Banc-Assurance includes plans which are high value savings and investments products designed
to provide benefits to the entrepreneurs, businessmen, lawyers, doctors, engineers, service oriented
people, teachers, shopkeepers, factory owners, commission agents, investors and specially those
who need money at some phase of their lives. These plans are as follows;
1. Endowment Plan
2. Sada Bahar Plan
3. 3 Payment Plan
For sale of Banc assurance Product, SLIC has employed Banc assurance Sales Consultants
(BSCs). These BSC’s are duly trained and certified and authorized for the sales of insurance
products in NBP branches.
All NBP Account holders/customers including non- resident Pakistanis (NRPs), Dual/foreign
national maintaining an active PKR current or savings account are eligible for buying an Insurance
product. However, only active accounts can buy the insurance product, provided the customer
account has sufficient funds available or the customer deposits required funds for the recovery of
premium. NBP will debit the customer’s or policy holder’s account vides a premium collection
system mutually agreed between NBP and SLIC.
Customer's age at the time of enrollment should be within the stipulated age limits of 18-65 years
of age. NBP customer having foreign currency account shall have to open a PKR account in order

to buy any Banc assurance policy. NRPs will have to ensure physical presence at the time of
buying any policy.
Disclaimers:
• This product is underwritten by State Life Insurance Corporation of Pakistan. It is not
guaranteed or insured by NBP or its affiliates and it is not a NBP product. NBP is only
working in the capacity of a distributor.
• The past performance of State Life Insurance Corporation of Pakistan is not necessarily a
guide to future performance. Any forecast made is not necessarily indicative of future or
likely performance of the funds and neither State Life Insurance Corporation of Pakistan
nor NBP will incur any liability for the same.
• A personalized illustration of benefits will be provided to you by our staff. Please refer to
the notes in the illustration for detailed understanding of the various terms and conditions.
• Service charges and taxes will be applicable as per the Bank’s “Schedule of Charges” and
taxation laws as stipulated by the relevant authorities.
• A description of how the contract works is given in the policy privileges and conditions.
1. Endowment Plan
Endowment Plan is a high value savings and investment product. Funds accumulated during the
savings term can be utilized for children’s higher education, marriage, house purchase, generating
retirement income or for any other purpose. The plan is flexible enough to respond to most
individuals’ needs. It aims to deliver a substantial sum of money at the end of the savings period.
The additional benefit comes in the form of life insurance cover.
Endowment Plan: Endowment Plan is a unique saving and protection
scheme through which the Policy Holder can get a
particular amount of money at a specific time speculated
on the basis of his/her future requirements. Endowment
Plan is most suitable for people who are farsighted and
want to fulfill their future needs.

Suitable plan: This plan is suitable for entrepreneurs, businessmen,
lawyers, doctors, engineers, service oriented people and
teachers. It is also a viable plan for newly married
couples as well as middle class individuals with limited
income.
Need Fulfillment: For personal and family future needs, funds can be
availed for the following:
• Income generation after retirement
• Establishment and expansion of business
• Children’s education and marriage
• Purchase of land or construction of house
• Loan repayments, etc.
Benefits of the Endowment Plan: • The Plan provides a handsome, lump sum amount at
maturity or (God forbid) at the death of the assured
• Endowment Plan is issued on With-Profit basis. The
Sum Assured and terms of Policy are determined in
accordance with the future needs and paying capacity of
Policy Holder.
Maturity Benefits: Sum Assured plus bonuses are payable by State Life on
completion of Term of Policy. This amount fulfills the
dreams of financial security of the Policy Holder and his
near and dear ones.
Death Benefits: In case of death (God forbid) of the Life Insured during
the Currency of Policy, State Life pays the Sum Assured

plus Accrued Bonuses up till that point in time. This
lump sum payment provides financial security to the
family and dependents, when they need it most.
Riders addition: The attachment of following Supplementary Contracts
to the Plan can substantially increase the Benefits of
Policy.
• Family Income Benefit (FIB) Family Income Benefit can be attached to this Plan on
payment of a nominal additional premium. If this
contract is issued, then on his/her death (God forbid)
during the Term of FIB, in addition to Basic Sum
Assured, a regular annual Family Income Benefit
installment of at least 10% and at most 50% of the Basic
Sum Assured depending on payment of additional
premium becomes payable till the expiry of FIB to the
nominee of the Policy Holder.
• Accidental Death Benefits
(ADB)
If this Supplementary Contract is issued, then on
his/her accidental death (God forbid) during the Term
of Policy, an amount equal to Basic Sum Assured,
becomes payable.
• Accidental Death & Indemnity
Benefit (AIB)
Accidental Death Sum Assured
Loss of two or more limbs by
amputation at or above wrist
or ankle
Sum Assured
Total and irrecoverable loss
of all sight in both eyes
Sum Assured

• Accidental Death & Indemnity
Benefit (AIB)
Total and irrecoverable loss of
all sight in one eye and loss of
one limb by amputation at or
above wrist or ankle:
Sum Assured
Loss of one limb by
amputation at or above the
wrist or ankle joints:
One-half of the Sum
Assured
Total and irrecoverable loss
of sight
in one eye:
One-third of the Sum
Assured
Loss of thumb & index finger
of either hand by amputation
at or above:
One-fourth of the Sum
Assured
On partial disability:
Weekly @ Rs. 5/- per
thousand of the Sum
Assured
On permanent disability:
Annual payment of 10%
of the Sum Assured for a
maximum period of 10
years and waiver of
future premium
• Term Insurance With a nominal addition in premium, Term Insurance
Contract can be added to this Plan. If this Supplementary
Contract is issued, then on his/her death (God forbid)
during the Term of Contract, an amount equal to Basic
Sum Assured, becomes payable.
• Waiver of Premium (WP) This Supplementary Contract provides the Coverage of
Waiver of all future premiums in case the Policy Holder

becomes totally and permanent disabled as a result of
an accident (provided that Policy Holder is unable to
attend his/her business due to permanent and total
disability and income is affected).
Bonuses on this Policy: State Life announces Bonus for every year. 97.5% of
surplus is distributed as bonuses to all With-Profit
policies. The statistics till date reflect the constant
increase in Bonus rate. Resultantly, the value of With-
Profit Plan increases year by year.
Loan Facility: Under this Plan, after completion of two Policy Years, if
the Policy Holder immediately needs money, he/she can
avail a maximum loan of 80% of Net Surrender value of
the Policy.
Disclaimers:

2. Sada Bahar Plan
Sada Bahar Plan is a high value savings and investment product. Funds accumulated during the
Sada Bahar Plan:
Sada Bahar is an anticipated endowment type With-Profits plan that provides a lump sum benefit
at certain stages during the premium paying term or on earlier death. In addition, this plan has a
built in Accidental Death Benefit (ADB) rider so that the Policy Holder gets an additional Sum
Assured in case of death due to an accident. This plan is a safe instrument for cash provision at the
time of need. With this plan, the Policy Holder can secure greater protection and continued
prosperity for the family at an affordable cost.
Admissible Ages and Terms:
This plan is available to all members of the general public aged 20 to 60 years to the nearest
birthday. Both males and females may purchase this plans. Terms offered in this plan are 12, 15,
18, 21, 24, 27 and 30 years
Survival Benefits:
• On completion of one-third of the policy term, 20% of the basic Sum Assured can be taken
by the Policy Holder. Another 20% of the Sum Assured can be taken on completion of
two-thirds of the policy term. The remaining 60% of basic Sum Assured plus accrued
bonuses (if any) shall be payable at the end of the policy term in the event of survival of
the assured.
• If the option to withdraw an installment of 20% of the basic Sum Assured is not exercised
on the due date, or within six months after the due date, a special bonus will automatically
be added to the policy at the end of six months. In this event:

• On death of the assured, while the policy is in-force, this special bonus will be payable in
addition (1) Basic Sum Assured, (2) Other Reversionary Bonuses accrued on the policy
and (3) the amount of any installment left with State Life.
• On the maturity date, the special bonus will be payable together with all the installments
of the Sum Assured remaining with State Life, in addition to regular reversionary bonuses
accrued on the policy.
• So long as the policy remains in-force, the Policy Holder may surrender the unclaimed
installment of Sum Assured together with the related special bonus. The aggregate cash
surrender value of the two shall not be less than the amount of the said unclaimed
installment.
• The reversionary bonuses as per usual practice will continue to be allotted each year on the
basic Sum Assured (if in-force), as and when actuarial surplus is declared. However the
unclaimed installments of the Sum Assured and the related special bonus will not
participate in State Life’s actuarial surplus.
Death Benefits:
The full basic Sum Assured plus accrued bonuses are payable on death of insured anytime while
the policy is in-force. In addition, if death occurs as a result of an accident, an additional amount
equal to one basic Sum Assured subject to a maximum limit will be paid. The usual maximum on
the ADB of Rs. 4 million will apply and premium will be calculated accordingly (see premium
calculation below).
Supplementary Contracts:
Excluding the ADB rider, all supplementary contracts that can be attached to an anticipated
endowment plan are attachable to this plan.
Bonuses:
This policy will participate in State Life’s surplus. Rates of reversionary bonus applicable, other
than any special bonus, will be 25% higher than those applicable on other plans.

Premium:
Level premiums will be payable throughout the term of the policy. Premium rates are dependent
on age and term.
Policy Fee, Extras for Non-Yearly Mode and High Sum Assured Rebate:
The policy fee, extras for non-yearly mode and high Sum Assured rebate will be as applicable to
other plans.
Surrender Value and Loan Value:
Policies issued under this plan will acquire a surrender value after they have been in-force for at
least two full years and no premiums are in default. As with all surrender value products, a policy
loan is also available under this plan. State Life will grant the policy loan against the policy’s
surrender value on the written request of the Policy Holder. The rate of return or profit and other
terms and conditions will be determined by State Life at the time of granting the loan.
Paid-up Values and Non-Forfeiture Options:
The Policy Holder can convert this plan into a paid-up policy by making a written request. The
conditions relating to paid-up conversion are that the policy has been in-force for at least two full
years and no premiums are in default. Once the policy becomes paid up, no further premiums are
payable, the policy’s Sum Assured is accordingly reduced and the policy ceases to participate in
State Life’s surplus. The reduced paid-up Sum Assured will be quoted by State Life upon the
Policy Holder’s written request.
Automatic Non-Forfeiture Options:
The traditional "Automatic Premium Loan" and "Automatic Paid-Up" options are also offered
under this plan. The automatic option activates when the policy has acquired a surrender value and
a premium remains unpaid beyond the grace period.
Disclaimers:

3. 3 Payment Plan
3 Payment Plan is a high value savings and investment product. Funds accumulated during the
3 Payment Plan:
3 Payment Plan is a unique Endowment Assurance as it provides an option to avail the benefit of
25% withdrawal of the Sum Assured on the completion of one-third and two-third term of the
policy. This plan also provides an option for pre-determined, periodic withdrawals during the
Currency of Policy. In case of death (God forbid) during the term of policy, provides a lump sum
payment to the beneficiaries.
Schedule for a 21 years Term Policy:
• After first 7 years, 25% of Sum Assured
• After 14 years, 25% of Sum Assured
• After 21 years, 50% of Sum Assured plus accrued bonuses

Suitable Plan:
Businessmen, shopkeepers, factory owners, commission agents, investors and specially people
who need money at different phases in future.
Need Fulfilment:
To provide financial assistance for:
• Establishment or expansion of business
• Children’s marriages
• Loan repayment
• Hajj or Umrah
• Construction of house
Survival Benefits
On completion of one-third Term of Policy, 25% of the Sum Assured becomes payable. Likewise,
on completion of two-third Term of Policy, another 25% of the Sum Assured is payable. If this
option is not exercised even after the expiry of six months of the due date, State Life allocates a
special bonus on the due installment.
Maturity Benefits:
On completion of term, the 50% balance of the Sum Assured plus Accrued Bonuses are payable.
In case the installment(s) have not been availed, they also become payable plus special bonuses
allocated thereof.
Death Benefits:
In case of Policy Holder’s death (God forbid) during the currency of Policy, State Life pays full
Sum Assured plus accrued bonuses, up till then, irrespective of the periodical payments made.
Besides, if the installments due have not been availed, then the due installments plus special
bonuses are also paid. So long the Policy remains in force, the Policy Holder may surrender the
unclaimed installments plus Special Bonus. The aggregate Cash Surrender Value of the two shall
not be less than the amount of the said unclaimed installment(s).

Rider’s addition:
The attachment of following Supplementary Contracts to the Plan can substantially increase the
benefits of the Policy.
• Family Income Benefit (FIB)
Family Income Benefit contract can be added to this Plan on payment of nominal additional
premium. If this contract is issued on Insured Life, then on his/her death during the Term of FIB
contract, in addition to Basic Sum Assured, a regular annual Family Income Benefit installment at
least 10% and at most 50% of the Basic Sum Assured becomes payable till the expiry of FIB
contract to the heirs of the Policy Holder.
• Accidental Death Benefit (ADB)
If this Supplementary Contract is issued then on accidental death during the term of the Policy, the
amount equal to Basic Sum Assured, becomes payable.
• Accidental Death & Indemnity Benefit (AIB)
Accidental Death Sum Assured
Loss of two or more limbs by amputation at or
above wrist or ankle
Sum Assured
Total and irrecoverable loss of all sight in both eyes Sum Assured
Total and irrecoverable loss of all sight in one eye
and loss of one limb by amputation at or above wrist
or ankle
Sum Assured
Loss of one limb by amputation at or above the wrist
or ankle joints
One-half of the Sum Assured
Total and irrecoverable loss of sight in one eye One-half of the Sum Assured
Loss of thumb & index finger of either hand by
amputation at or above
One-fourth of the Sum Assured

For other injuries, on total disability
Weekly @ Rs. 5/- per thousand of the Sum
Assured
On partial disability
One-fourth of the weekly indemnity @ Rs.
1.25/- per thousand of the Sum Assured
On permanent and total disability
Annual payment of 10% of the Sum
Assured for a maximum period of 10 years
and waiver of future premium
• Term Insurance
With a nominal addition in premium, Term Insurance Contract can be added to this Plan. If this
Supplementary Contract is issued, then on his/her death (God forbid) during the Term of Contract,
an amount equal to Basic Sum Assured, becomes payable.
• Waiver of Premium (WP)
This Supplementary Contract provides the Coverage of Waiver of all future premiums in case the
Policy Holder becomes totally and permanent disabled as a result of an accident (provided that
Policy Holder is unable to attend his/her business due to permanent and total disability and income
is affected).
Bonuses on this Policy:
State Life announces Bonus for every year. 97.5% of surplus is distributed as bonuses to all With-
Profit policies. The statistics till date reflect the constant increase in Bonus rate. Resultantly, the
value of With-Profit Plan increases year by year.
Loan Facility:
Under this Plan, after completion of two Policy Years, if the Policy Holder immediately needs
money, he/she can avail a maximum loan of 80% of Net Surrender value of the Policy.

Disclaimers:
NBP Saibaan (Home Financing)
Product Items
Home Purchase
Home Construction
Home Renovation
Purchase of Land + Construction
Balance Transfer Facility (BTF)
I. Home Purchase (House or Apartment)
Financing Amount Up to 35 Million
Financing Period 3 to 20 Years
Debt to Equity 85:15 (Maximum)
II. Home Construction

III. Home Construction - Product Detail
IV. Home Renovation
V. Purchase of Land and for Construction thereon
VI. Re-Financing (Balance Transfer Facility (BTF))
If you have a Home Finance Facility outstanding with another bank you can have it
transferred to NBP through a hassle-free process.

Variable Rate
Option:
SBP Discount Rate +2% with12 months re-pricing (with
Life Insurance)
SBP Discount Rate +4% with12 months re-pricing
(without Life Insurance)
Processing Fee
Government Employees: Rs. 500/- irrespective of financing amount.
For
Others :
Financing below Rs. 1 Million Rs. 1000
Financing between Rs. 1 to 4 Million Rs. 3000
Financing above Rs. 4 Million Rs. 6000
Other Charges
Income Estimation, Legal and valuation fee will be charged as per actual.
Early Payments: Prepayment of finance account, full or partial, within 5 years will be
subject to early redemption charges @ 2% of the amount being prepaid. In case of beyond
5 years, no early redemption charges will be levied.
Prepayment Option Available
Pre-payment (Complete/Partial option available).
Penalties
In case of late payment, Rs.5/-per day for late/overdue/defaulted installment up to
Rs.10,000/-, Rs.10/- per day if amount overdue from Rs.10,001/- up to Rs.20,000/- and
Rs.15/- per day when overdue amount exceeds Rs.20,000/- and so on.
In case of Returned Cheques, penalty will be as per NBP’s approved tariff. In case of
delay in construction:
Delay of 1 to 89 days No Penalty
Delay of 90 to 119 days 1% of outstanding amount

Delay of 120+ days Recall Finance. (with the prior approval of Head Office)
Repayment Frequency and Mode etc.
Equal Monthly Installment comprising principal and mark-up according to the
amortization schedule based on pricing and tenure. The amortization schedule will be
revised consequent upon review of the floating rate at the specified intervals.
Eligibility
• Must be Pakistani Resident (National)
• Aged between 21 and 65 years at the time of application/disbursement of loan.
• Salaried Person, Self-employed professionals and businessmen.
• Minimum income requirement Rs. 5000 for Govt. Employees, Rs. 10,000 for other
salaried persons and Rs. 15,000 for self-employed and businessmen.
• Property located in NBP approved localities.
• Service duration: Two years for salaried class Three years for self-
employed/business class.
Required Documents with Application Form
Two attested passport size photographs
Two attested copies of your National Identity Card
Cheques for the processing charges
Property Documents:
Any title document available (other documents may be required)
1) For Salaried Persons, Whose Salaries are Disbursed Through NBP Branch
• Employer Undertaking for remittance of salary at relevant NBP branch for credit to customer's
account (to be provided at a later stage, format available at relevant branch)
• Employee ID Copy attested by NBP Branch (where applicable)

• Attested copies of last three (3) months’ salary slips
• Attested copies of last three (3) months bank statements
2) For Salaried Persons Of MNCS And NBP Approved Companies
• Employer Undertaking duly attested by relevant NBP Branch, where applicable (to be provided
at a later stage, format available at relevant branch)
• Attested copies of last three (3) month’s Salary Slips
• Letter of Verification of Employment on Company Letterhead mentioning the date of joining
• Attested copies of last three (3) months bank statements
3) For Other Salaried Persons
• Letter of Verification of Employment on Company Letterhead mentioning the date of joining
• Attested copies of last three (3) month’s Salary Slips
• Attested copies of last twelve (12) months bank statements
• Attested copies of last three (3) months paid bills for electricity and telephone OR copies of last
(12) twelve months credit card bills (whichever is available)
4) For Business Persons
• Bank Certificate stating applicant maintaining Business Account and the date of account
opening
• Attested copy of latest Form 29 in case of Private or Public Limited Company
• Attested copy of Partnership Deed (where applicable)
5) For Self-Employed Persons
• Attested copy of current professional association membership/practicing certificate. Adequate
proof of professional engagement like bank certificates
• Attested copy of Partnership Deed (where applicable)
How to Apply
Instructions for completing the Application Form:
• Fill-in the form completely

• Print the "completely filled" form
• Get it signed by Referees
• Sign it yourself
• Attach the Required Documents
• and submit "In PERSON" to NBP Saibaan Team
SBP Regulations For Housing Finance
Regulation R-15
Banks / DFIs shall determine the housing finance limit, both in urban and rural areas, in
accordance with their internal credit policy, credit worthiness and loan repayment capacity
of the borrowers. At the same time, while determining the credit worthiness and repayment
capacity of the prospective borrower, banks / DFIs shall ensure that the total monthly
amortization payments of consumer loans, inclusive of housing loan, should not exceed 50%
of the net disposable income of the prospective borrower.
Banks / DFIs will not allow housing finance purely for the purchase of land / plots; rather,
such financing would be extended for the purchase of land / plot and construction on it.
Accordingly, the sanctioned loan limit, assessed on the basis of repayment capacity of the
borrower, value of land / plot and cost of construction on it etc., should be disbursed in
tranches, i.e. up to a maximum of 50% of the loan limit can be disbursed for the purchase of
land/ plot, and the remaining amount be disbursed for construction there-upon. Further, the
lending bank / DFI will take a realistic construction schedule from the borrower before
allowing disbursement of the initial loan limit for the purchase of land / plot.
Banks / DFIs may allow housing finance facility for construction of houses against the
security of land / plot already owned by their customers. However, the lending bank / DFI
will ensure that the loan amount is utilized strictly for the construction purpose and loan is
disbursed in tranches as per construction schedule.
Loans against the security of existing land / plot, or for the purchase of new piece of land /
plot, for commercial and industrial purposes may be allowed. But such loans will be treated
as Commercial Loans, which will be covered either under Prudential Regulations for

Corporate / Commercial Banking or Prudential Regulations for SMEs Financing.
Banks / DFIs may allow Housing Loans in the rural areas provided all relevant
guidelines/regulations on the subject are complied with by them.
REGULATION R-16
The housing finance facility shall be provided at a maximum debt-equity ratio of 85:15.
REGULATION R-17
Banks / DFIs are free to extend mortgage loans for housing, for a period not exceeding twenty
years. Banks / DFIs should be mindful of adequate asset liability matching.
REGULATION R-18
The house financed by the bank / DFI shall be mortgaged in bank’s / DFI’s favour by way of
equitable or registered mortgage.
REGULATION R-19
Banks / DFIs shall either engage professional expertise or arrange sufficient training for their
concerned officials to evaluate the property, assess the genuineness and integrity of the title
documents, etc. It may, however, be noted that the requirement of full-scope and desk-top
evaluation, as required under R-8 and R-11 of Prudential Regulations for Corporate /
Commercial Banking and SMEs Financing respectively, will not be applicable on housing
finance.
REGULATION R-20
The bank’s / DFI’s management should put in place a mechanism to monitor conditions in
the real estate market (or other product market) at least on quarterly basis to ensure that its
policies are aligned to current market conditions.

REGULATION R-21
Banks / DFIs are encouraged to develop floating rate products for extending housing finance,
thereby managing interest rate risk to avoid its adverse effects. Banks / DFIs are also
encouraged to develop in-house system to stress test their housing portfolio against adverse
movements in interest rates as also maturity mismatches
REGULATION R-22
The mortgage loans shall be classified and provided for in the following manner:
CLASSIFICATION DETERMINANT
TREATMENT
OF
INCOME
PROVISIONS TO
BE MADE
( 1 ) ( 2 ) ( 3 ) ( 4 )
1. Substandard.
Where markup /
interest or principal
is
overdue by 90 days
or
more from the due
date.
Unrealized
markup /
interest to be
kept in
Memorandum
Account and not
to be credited to
Income Account
except when
realized in cash.
Unrealized
markup / interest
already taken to
income account
to be reversed
and kept in
Provision of 25% of the
difference resulting from
the
outstanding balance of
principal less the amount
of liquid assets
realizable without recourse
to a Court of Law and
Forced Sale
Value (FSV) of mortgaged
properties to the extent of
50% of
such FSV.

Memorandum
Account.
2. Doubtful.
Where markup/
is overdue by
180 days or more
from
the due date.
As above.
the
of
liquid assets realizable
without recourse to a
Court of Law and Forced
Sale Value (FSV) of
mortgaged properties to
the extent of 50% of such
FSV.
3. Loss.
Where markup /
is overdue by
one year or more
from the due date
As above.
the
of liquid assets realizable
without recourse to a
Court of Law and Forced
Sale Value (FSV) of
mortgaged
properties to the extent of
50% of such FSV for first
and second year and 30%
of FSV for third year from
the date of classification.

Benefit of FSV against
NPLs shall not be
available after 3 years
from the date of
classification of loan.
NBP Advance Salary
NBP Advance Salary, the leading personal loan product of the country, is maintaining its
inimitability ever since it was launched. You can avail up to 20 net take home salaries with easy
repayment installments. Its hassle free acquisition with no prior formalities and easy availability
in a short turnaround time are attributed as the most distinguishing features of the product. The
product is offered countrywide.
• Avail financing up to Rs. 1 million against your salary.
• Lowest Mark-up Rate
• Easy installments of up to 60 months at your choice.
• Quick processing and fast disbursement.
• No minimum income, collateral & insurance charges required.
• For permanent employees of Government, Semi Government and autonomous bodies
receiving salaries through NBP.
NBP Cash Card
NBP Cash Card is a 24/7 access ATM/Debit card to your bank account, which is accepted to 4000
POS merchants nationwide where ORIX logo is displayed. Withdraw cash from NBP, 1-Link &
M-Net ATM’s across nationwide. The NBP can enable you to enjoy the convenience of cash–less
purchasing power without the fear of overdrawing your account.

ATM + Debit Card
• Use it as an ATM in any of the ATM’s in Pakistan
• Use it as Debit Card in any of the outlets with ORIX POS machine across nationwide.
• Cash withdrawal up to Rs. 20,000/- per day
• Account Balance Enquiry
• Mini Statement (Only at NBP ATM)
• PIN Change facility (Only at NBP ATM)
Advantages
• You won't need to carry a lot of cash with you every time you go out.
• Secure and Safe transaction.
• Account Information on tips (like: Mini Statement, Balance Inquiry, Utility Bill Payment
etc.)
• Enable To Withdraw Cash From 1-Link ATMs / MNET ATMs.
• Enable to Make Purchases from Around 4000 POS (Merchants) Countrywide including
2500+ POS in Karachi.
• No Card Issuance Fee for first 12 Months.
NBP Cash & Gold
Ready Cash Against Gold:
• Rate of mark-up 13.50% p.a.
• Facility of Rs. 32,000 against each 10 Gms of net contents of gold.
• No minimum income requirement.
• Repayment after one year.
• One year Rollover tenure.
• Only gold ornaments acceptable.
• Weight and quality of gold to be determined by NBP's appointed schroffs.

• No penalty for early repayment.
• For education, marriage, consumer and other domestic needs.
• No maximum limits of cash.
NBP Kisan Dost
Agriculture Farming Program
• Competitive mark-up rate (15.5% per year)
• Quick & easy processing.
• Provision of technical guidance to farmers at their doorstep.
• Wide range of financing schemes for farmers.
• Finance facility is also available for landless farmers.
• Financing available against Pass Book, Residential / Commercial property, Gold
ornaments and paper security.
• Loan facility on revolving basis for three years (renewable on yearly basis without
obtention of fresh documentation and approval).
Trade Services
NBP Financial Institutions & Cash Management Division (FI & CMD) division provides global
trade services & solutions in the major financial hubs; we offer complete solution for importers as
well as exporters.
Letter of Credit
• Advising
• Confirmation
• Negotiation/Discounting
• Reimbursement
Trade Collection Services
• Export Bill Collection Services
• Documentary/Clean Collection

Payment Services
• Electronic Payment / MT103
• Fund Transfer / MT 202
Trade Financing
• Account Receivable Discounting
• Usance Payable at Sight Structure
• LC Discounting
• Trade Payment Guarantees
• LC Refinancing
Structured Trade Finance
• Risk Participation
• FI Syndication
• FI Lending
• Bridge/Project Financing
Services offered for Exporters
NBP finances & manages export receivables and monitor your business worldwide plus ensure
prompt payments and prompt delivery of information.
• Document presentation and payment services: Our team of experts can expedite the
preparation, presentation of documentation & collection of receivables.
• Pre– and post–shipment financing: Sell on both letter of credit and open account
payments; reduce payment cycles; enhance access to liquidity and eliminate routine
inquiries.
• Bank–to–bank reimbursements: We serve as your reimbursing bank under letter of
credits by using your NBP USD, Euro & other major currency nostro accounts to
consolidate your letter of credit payments as well as for your export proceeds. We also
offer competitive rebate structure to our correspondents. You will enjoy consolidated pre–
debit advices, real–time balance, transaction reporting and overnight investment services
for excess balance on your nostro account.
• Export bills collection service: Combine courier delivery of open receivables letters,
payment tracing, tracking, reporting and received funds. Concentrated approach to quickly
deposit the funds due from export receivables into your account while keeping you
informed of paid and open items. Along with fine rebate offers; Export Bills Collection
financing is also available for valued clients.

Services offered for Importers
Companies importing goods need to mitigate cross–border trading risks, increase cash flows and
operating efficiencies. Our experienced & efficient team helps you to compete more effectively
on a worldwide basis with trade finance solutions tailored to your specific needs as an importer.
Import services include:
• Documentary Credits
• Import Finance
• Shipping Guarantees
We also offer traditional trade finance solutions that suits your requirement including private label
letters of credit, import documentary collections, banker's acceptances and standby letter of credits.
SWOT Analysis of NBP
1) STRENGTHS
The followings are the strengths of NBP:
Organization Culture: NBPs organization culture was very friendly and interesting. Employees
has created a very cooperative environment among each other. They have created loyalty toward
the organization by deviating their future efforts and energies. The employees take the
organizational problem personals and try their best for the prosperity of the organization.
Government’s Bank: In commercial banking system NBP is only the government bank. They
make their policies according to the government’s rules and regulations. It enjoys its position in
the market of banking system in Pakistan. Government of Pakistan also facilitating the National
Bank of Pakistan.
Customer Satisfaction: Because of government’s bank, it is enjoying the customer’s satisfaction.
Customers feels secure their money in NBP.
Online Banking: There is also strength of NBP that 130 branches are online. It helps the speedy
services giving to the customers. There is also help in checking the balances and daily transactions
just at one key press.
Industrial Policies: NBP helps the government on the implementation of its industrial policies
with respect to economic growth of the country.

Best Research Appraisal Team: Before the project financing NBP has the research appraisal
team that justifies the economic and financial feasibility of not project in the future. That is the
strength is the scare that it helps the organization from any loss that is to over in the future in case
of failure of the project.
Wide Area of Services: They provide the wide area of services. They offer no. Of services
relating to the banking system like, pension to retired government employees, traffic challan’s,
fees received of AIOU, farms of AIOU, utilities bills, deposits, sales tax , withholding tax, property
tax, and various loan schemes.
Lenient Policy with the Clients: This is one of the best policies of NBP that it does not kept rude
behavior with this client if they make late in their repayment of loan. But it has adopts lenient way
in dealing with them, it helps its customers in the repayment making rescheduling and restructuring
of their loans.
2) WEAKNESSES
The weaknesses of NBP are:
Less Attention to the Rural Development: NBPs portfolio shows that it has made project
financing only in the major cities of Pakistan. But a reasonable attention is needed in the project
financing of the rural based industrial project of the country.
Poor Advertisement: I keenly observe this that as compared to other banks. NBP is very poor in
advertising itself and institution, which works a lot in the development of the country, but
unfortunately in the business community most of the people are in award of it.
Lack of Communication between Employees: During the internship in NBP I found the
problem of lack of communication between the employees and management. They have not very
much understanding with each other and not share the work of each other.
Poor Network: NBP has only 1250 branches all over the Pakistan and in major cities of Pakistan
in which other competitors has their branches NBP don’t have: The formalities involved in getting
loans are time concerning and complicated enough. It is observed that most of the loans, which
have been granted on political basis, are either default or their loans are forcefully written off.
Uncertainly among the employees due to threat of downsizing.
Punishment Is Not Very Strong For Employees: Punishment threat is not very strong for
employees. Some employees are not very professional in their field but top management not takes
the action against such employees.
Public Dealing Is Not Very Effective: Public respect is not very effective in NBP. Employees
are not taking care of the customers, especially in pension and bills department.

Staff Shortage: There is also weak point for NBP that staff is very short and more staff is required
to meet the needs of the branch work. They help from internees.
3) OPPORTUNITIES
The opportunities of NBP are:
Sponsor the I.T Based Projects: This is the best opportunity available to all banks and NBP as
well, to sponsor the IT and computer based projects because the coming century is the century of
information technology as new a days all the business community is diverting its attention towards
this field.
Growing Banking System: Nowadays banking system is growing quickly so NBP have
opportunities to improve the standard and get the more share in the market.
NBP Have Government Back: In growing era there is a chance for NBP to improve itself and
increase the shares in the market because it is most trustable due to government’s bank.
Increase in Economic Activities: The economic activities are increase nowadays, so banks are
contributes more in economic activities. Banks are played role in trade and commerce. So the
business of commercial banks is increase.
4) THREATS
Political Influence And Instability: This is the major threat for any business organization in
Pakistan because the political officials influence NBP in financing those projects which are not
viable or write off those loans which are still able to pay, this political influence cause many
problems in daily business thus profitability of NBP.
Lack of Modern Banking Techniques: NBP is following fifty years old style of banking, in the
computers of NBP symphony word processor is still used. Which is the oldest word processor due
to this the deposits are looking to be corded, because of the provision of credit cards and other
such services by its competitors both local and foreign banks is proving to be limiting factor in the
deposit mobilization efforts.
Increase in No. Of Banks: Increase in no. of banks is a threat for National Bank of Pakistan. No.
of private banks (commercial and private) are operating their business and provide the same
facilities. So increase in no. of banks is a threat for NBP.
The Whole Structure Change to Online: NBP have wide network of branches. Only 130
branches are online, so it is very difficult and time consumed to convert all branches to online
system. So there is also risk involves that if one commuter of one branch suffers in problem, all
system and all commuters of all branches must be turnoff.

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