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Banking

     
 

A known proverb states, "Money makes the world go round." While this may be debatable, the fact remains, that it is our need for money that has given rise to the modern institution of banking.

Banks have not always been around. There were times when people used to store their money, buried deep into the earth. However, many of today’s banking services have been in practice in ancient civilizations; such as those of China, and Greece. Banks play a significant role in contemporary financial systems, forming the backbone of modern economies worldwide.

In Pakistan, around 200,000 people are employed in the banking and finance sector, who are offering their services through out the country, on both junior and senior level positions. These institutions can be divided into two categories,

  • Commercial Banks, and

  • Special Financial Institutions

Commercial banks provide financial support to individuals, small and medium enterprises, and other institutions including, local private banks, nationalized banks, provincial banks, and foreign banks. Normal activities of these banks include, cash handling, loans, insurance products, remittances and credit cards. However, in this age of competition, these banks are concentrating on providing special customer services to their clients.

Development Financial Institutions (DFIs), investment banks, leasing companies and Modarba fall into the category of Special financial Institutions. Their routine operations encompass, leasing, equity portfolio management, underwriting equity and debt issues, and several other services. During the last decade, the level of competition amongst the local and foreign banks increased to a great extent. This fact has had a direct affect on career development in this sector that now entering this profession is not as easy as before. Previously, people entered this profession holding conventional degrees, and with the passage of time, were promoted to senior positions. Now however, young people acquainted to latest trends and techniques are given priority. Bankers play a vital role in a modern economy. Keeping in view the current era, services are being made more speedy and efficient. Many years ago, jobs used to be quite stable and well defined, and the promotion paths were quite clear and secure. However, the sense of competition and latest technology has made this industry a challenging one. If you want to pursue a career in banking, then you should be aware of the tactics required to run a modern business, and how to best utilize up to date technology. Nowadays, the banking sector has scope not only for those having skills of financial analysis, but also for those, possessing capabilities to market products and services.