Thursday, January 13, 2011

Internship Report Dhaka Bank Ltd. Online Banking Bangladesh: An Exploratory Study on Dhaka Bank Limited

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Online Banking (or Internet Banking) is a form of Electronic Banking (e-banking) where funds are transferred through an exchange of electronic signal between financial institutions, rather than exchange of cash, checks, or other negotiable instruments. Online banking means the automated delivery of new and traditional banking products and services directly to customers through electronic and interactive communication channels. Customers access online banking services using an electronic device, such as a personal computer (PC), personal digital assistant (PDA), or an Automated Teller Machine (ATM). Online banking services may include ATMs, wire transfers, telephone banking, Electronic Funds Transfers (EFT), debit and credit cards.


In Bangladesh, banking industry is mature now to a great extent than earlier period. Online banking is one of the most demanded and latest technologies in banking sector. Despite huge demand from the business community as well as the retail customers particularly the urban customers, online banking in Bangladesh is still at a budding state due mainly to a number of constraints such as inadequacy of reliable and secure information infrastructure especially telecommunication infrastructure; sluggish ICT penetration in banking sector, insufficient legal and regulatory support and so on. In Bangladesh, telephone connectivity is inadequate, cost of personal computers are still beyond purchasing capacity of most people, Internet connection is costly, and IT literacy is yet to reach satisfactory level are prime drawbacks. Despite the constraints, efforts by the Bangladesh Bank in modernizing the country's payment system and commitment by the government in building ‘Digital Bangladesh’ have brought competition among the scheduled banks to improve banking services and rapidly adopt online banking on a wider scale.

In this context, Dhaka Bank Limited is one of the pioneer private banks which introduced online banking along with electronic banking services in Bangladesh realizing the demand of the time. As an integral part of the commitment, “Excellence in Banking”, Dhaka Bank offers the full range of real-time online banking services through its all Branches, ATMs and Internet Banking Channels. The Bank has launched Online Banking service, joined a countrywide shared ATM network and has introduced a co-branded credit card. A process is also underway to provide e-business facility to the bank's clientele through Online and Home banking solutions.


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