Program Name

Introduction to Banking

The Banking business first started in the mid ages in Genoa and Venice. Money exchangers at that time used to sit behind small desks (Baco) in the market to exchange currency, by the time the service was extended to provide Discount of Commercial Papers. The workers used to be called “Banquiers”. They further enhanced their business to introduce Pro-Notes to the market for lending purpose and delivery of goods against Pro-Notes. Upon discovery of the new world their services were extended to include money transfers.

Today the banking business has become a complex of services rendered to local and foreign clients, individuals and corporate and in many cases to countries.

Program content:

  • History of Banks.
  • Types of Banks and other Financial Institutions.
  • Definition of Banks.
  • The main responsibility of the banks which is extended to its employees:
    • Staff Liabilities and Legal Bindings toward the Organization.
    • Legal Liabilities and Criminal Offence Before, during and after employment.
    • Privacy.
    • Conflict of Privacy.
  • Business Ethics.
  • Code of Conducts.
  • Help your Organization Fighting Corruption.
  • Understanding and Managing Cultural Differences within the Organization.
  • Money:
    • What is Money History.
    • Type of Money.
  • Central Banks:
    • Relations with Banks.
    • Purpose of Central Banks.
    • Gold and Currency Coverage.
    • Liquidity and its Components.
    • Government Spending in Oil Countries.
    • Financial Institutions.
    • Supervision and Controls.
    • Inspections.
  • Pricing structure.
  • Product Development and life Cycle.
  • Internal Communications.
  • Respect the Organization.
  • Procedures and Policies.
  • Front and Back Offices: Responsibilities and Deliverables.
  • Types Contracts.
  • Payment Systems.
  • RTGS: Real Time Gross Settlement of Funds.
  • Banking Operations.
  • Private Banking.
  • Customer relationship skills:
    • Moment of Truth (handling clients face to face, correspondents and telephone)
    • Using the Telephone and referrals.
    • Customers Visits.
    • Types of Customers and way to handle each Type.
  • Securities and segregations of duties.
  • Authorizations: Risks and Controls.
  • Products and Services (Review the Products and Services provided, Review the liabilities and Responsibilities):
    • Internet Banking.
    • Checking, Currents, Savings, Salary, Fixed deposit and Call accounts.
    • Certificates of Deposits.
    • Types of Consumer (Retail) Loans.
    • Clearing.
    • Travelers Cheques.
    • Cashier’s Order.
    • Demand Drafts.
    • Funds Transfers.
    • Standing Orders.
    • Sweep between the Accounts.
    • Bills Settlements.
    • Cards: ATM, POS, Credit, Smart, Payment and charge.
    • Treasury Payments.
    • FX and MM.
    • Funds.
    • Other types of Accounts.
    • Statement of Accounts.
  • Commercial Papers Parties and Types:
    • Promissory Notes.
    • Drafts or Bills of exchange.
    • Cheques.
    • Cashier’s Cheques.
    • Bank Draft.
    • Certificates of Deposits.
    • Bonds.
    • Other types of related issues: Stale and Certified Cheques, Reasons for Returning Cheques.
  • Systems and Passwords.
  • Banking and Commercial Laws.
  • Archives and Documents Management.
  • Work Flow.
  • Conflict in Management.
  • Credit Facility Contract: Credit Contracts, Documentary Credits, Demand Guarantees, Collections, Loans and Trade refinance such as LCs and Bills, Direct Purchases and Inventory.
  • Interest Calculations, Commission and Charges on each type of product.
  • Corporate & International Loans:
    • Commercial.
    • Financial.
    • Contract.
    • Syndications (loans, Guarantees and LCs).
    • Risk Participations.
  • Trade Finance:
    • International Organizations.
    • LCs.
    • Bills.
    • Inward and Outward Bills for Collections.
    • Guarantees (Foreign and Local).
    • Standby Credits.
  • Risk Management.
    • Pricing Risks.
    • Operational Risks.
    • Reputation Risks.
    • Legal Risks.
    • Knowledge Risks.
    • Processing Risks.
    • Customers Risks.
    • Interest risks.
    • FC Risk.
    • Liquidity Risk.
    • Market Risks.
    • Systems Risks.
    • Procedures Risks.
  • Treasury and Investment: Responsibilities and deliverables.
    • FX and MM: Short, Mid and Long term Risks.
    • Spot and Forward.
    • GAP or Mismatching.
    • Matching.
    • Interest Rate.
    • Maturity Date.
    • Exchange Rate.
    • Spread.
    • Floating Rates.
    • Speculate.
    • Discount Rate.
    • Premium.
    • Value Dates.
    • Inflations.
    • Public Debt Instruments.
    • Dealing Room Structure.
    • Placement Cost Calculation.
    • Forward Transactions.
    • Broken Dates.
    • Cross Rates Calculation.
    • Swaps Transactions.
    • Central Banks and Money Markets.
    • Code of Conducts.
    • Movements of Funds (Accounts Replenishments).
  • Credits and Branches supervision: Responsibilities and deliverables.
  • Other areas such as Information Technology, Audits and Administration.
  • Controls / Complaints / Internal Audits review.
  • Correspondence – Vostro and Nostro.
  • Cost of funds and operating expenses.
  • Communications: Swift, Telex, Others.
  • Safety Deposit and Overnight Deposit Boxes.
  • Forgery and Fraud:
    • Notes and Currency.
    • Banking Instruments.
    • How to Discover the Forged Notes, Currency and Documents.
    • Fraudulent Psychology.
    • Actions to be taken.
    • Report of suspect transactions.
    • Protect the Forged Documents.
    • Spam e-mails.
    • Managing & Dealing with Criminals.
    • Nigerian Cases.
    • Criminology: Criminal Classification of Crime.
  • Protect your Business and Yourself:
    • Buss Words.
    • The Approach.
    • The Myth.
    • The Fraud.
    • Commodity Fraud – Red Flags.
    • Types of High Risks Commodity.

Benefits to you and your organization:

  • Understand how banks operate.
  • Understand the variety of products offered to clients.
  • Understand how each product operate and legal views.
  • Draw the line between clients services and banks interest.
  • Bank Secrecy Act.

Who Should Attend?

New Bankers and others working in other businesses who want to understand the banking business and how liabilities are booked and charges calculated.

Methodology:

Lecture discussion, exercise and cases studies.

Language:

English / Arabic.

Duration:

10 days.