Difference between Islamic & conventional banking sector in Bangladesh with regard to customer satisfaction

Abstract

A Bank is an economic institution whose main aim is to earn profit through exchange of money & credit instruments. It is a service oriented as well as profits oriented organization. The internship report has been prepared on “difference between Islamic banking and conventional banking”. As Social Islami Bank (SIBL) is an Islamic bank. So, it is easy for me to find the difference between the Islamic banking system and conventional banking system. SIBL was introduced in Bangladesh on 22nd November 1995 as a conventional bank. As in Islam interest is prohibited that is why Shariah rule introduces profit sharing system. The motto of Islamic banking is profit sharing and loss bearing. The main objective of Islamic banking is as same as conventional banking system which is profit making. To follow the shariah system Islamic banks actually follow certain terms which is known as Mudharabah, Wadiah, Musharakah, Murabahah, Ijar. SIBL actually divides their whole work into 3parts which is General banking, investment and foreign exchange. In this report I try to show that how the Islamic banking system differ from conventional banking system. Where in conventional bank we get fixed amount of interest which is also known as RIBA, there in Islamic bank we get a certain share of banks total profit. Moreover, in this report I also included my job description which I did to complete my internship.