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RESEARCH PROJECT REPORT

On
(COMPARATIVE STUDY OF PUBLIC AND PRIVIATE BANKS)
(ICICI & SBI)

KCC Institute of Management, Greater Noida

Submitted for the partial fulfillment of degree of
Master of Business Administration

Submitted by
Student Name:-ABHA RANJAN
Roll No1366370001.
Batch: 2013-15
Submitted to
Concern faculty member
Prof. / Dr. SHAKTI PRAKASH

Department of Management

KCC Institute of Management

2B-2C, Knowledge Park-III, Greater Noida, UP

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CONTENTS
1. DECLARATION

2. CERTIFICATE

3.

ACKNOWLEDGEMENT

5
4. INTRODUTION

INDUSTRY PROFILE

COMPANY PROFILE

22

PRODUCT PROFILE

45

4. OBJECTIVE OF THE RESEARCH

53

5. SCOPE OF STUDY

55

6. DATA ANALYSIS

75

7. INTERPRETATION

91

8. SWOT ANALYSIS

93

9. RECOMMENDATIONS

95

10. LIMITATIONS

96

11. CONCLUSION

97

12. BIBLIOGRAPHY

98

13. ANNEXURE
99

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DECLARATION

I hereby, declare that myself, ABHA RANJAN, has made project report on

(COMPARATIVE STUDY OF PUBLIC AND PRIVIATE BANKS)

For HCL Infosystem Limited, I further declare that my report is an original work and
is not duplicate of any other project.

Abha ranjan

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CERTIFICATE

This is to certify that the RESEARCH REPORT entitled COMPARATIVE

ANALYSIS OF PUBLIC & PRIVATE BANKS (ICICI & SBI) being submitted
by ABHA RANJAN fulfillment of the requirement of U.P.Technical University is a
record of an independent work done by his under my guidance and supervision.

Dr. SHAKTI PRAKASH

ABHA RANJAN

Director-MBA

1366370001

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PREFACE

The course of Business Studies requires any professional to undergo Summer Training for Six to
eight weeks. In any Manufacturing/Service/Banking industry or company. During this period one get
practical knowledge about organization & its working in different sector.
The purpose of this training is to study, analyze & compare PUBLIC SECTOR & PRIVATE
SECTOR BANK (ICICI&ABI),on there working & financial positions, in GHAZIABAD.
During training I collected & interpret data related to my working on full faith.
I shall always be obliged to everybody who gives their valuable suggestions & comments during
completion of this project report.

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ACKNOWLEDGEMENT

It is my opportunity to work on HDFC BANK, which is a leading Bank of country, on my research

report. My topic for the research purpose is COMPARITIVE ANALYSIS OF PRIVATE
&PUBLIC SECTOR BANK (ICICI & SBI).
I would like to express my sincere thanks to, for providing me an opportunity to undertake my
project.
I have no word to express my gratitude towards our Director Sir, Dr.SHAKTI PRAKASH & my
project mentor allso for their valuable contribution during completion of this report.
.

Abha ranjan
MBA- IV SEM.
ROLL NO.-1366370001

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INTRODUCTION

BANKING IN INDIA

With the onset of the worldwide depression in the early 1930s, banks took a hard hit, which led to
Congress creation of federal deposit insurance. President Franklin D. Roosevelt oversaw the
implementation of laws aimed at limiting risks to banks and restoring Americans confidence in the
banking system.
Since then, banking has undergone a revolution with technology transforming the way Americans
bank. First telephone banking, and then ATMs, debit and credit cards, have lead the way to new
innovations. Today, online banking and electronic money are evolving. Banks strive to serve the
greater public in a competitive market that ensures a safe and sound banking system. From religious
temples and Italian desks to coffee houses and the Industrial Revolution, banking has forever
changed the way we live.

Banks plays very useful and dynamic role in the economic life of every modern state. Banks are the
pivot of modern commerce. A commercial bank is a profit seeking business firm, dealing in money
or rather dealing in claims to money. It is a financial institution that creates demand deposits, that is,
deposit accounts which are subject to transfer to a third party by mean of a cheque. The deposits in a
commercial bank circulate as money, while deposits in other financial institution do not. The Oxford

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Dictionary defines a Banks as an establishment for the custody of money which it pays out on a
customers order. This however, is not a very satisfaction definition, since it ignores the most
important function of the bank, which of creating money or creating credit. Most commonly, then
banks have been defined as dealers in debt. Sayers more clearly states: - we can define bank as an
institution whose debt are widely accepted in settlement of other peoples debts to each other.
A banking company in India has been define in banking companies Act 1949 as one which
transacts the business of banking which means the accepting, for the purpose of leading or
investment, of deposits of money from the public, repayable on demand or otherwise withdrawal by
cheque, draft, pay order or otherwise.
A bank is an important constituent of the money market, and their demand deposits serve as money
in the modern community. Thus, they have control over a considerable part of the stock market or
stock of money.
Industrial innovation and business expansion become possible through finance provided by banks.
Capital is the main factor of modern production and entrepreneurs are helpful without adequate
funds. Banks help them. Banks mobilize the dormant capital of the country for productive purpose.
A study of the economic history of Weston countries shows that without the evolution of commercial
banks in the 18th&19th centuries, the industrial revolution would not have taken place in Europe. In
fact, the present rate of economic advancement in the develop countries is sustained & enhanced by
the banks. It goes without saying that in the absence of sound commercial banking, under developed
countries of today cannot hop to join the ranks of the advanced countries.
The present work is a comparative study of two kinds of banks viz. Public Sector & Private Sector,
in relation to the services offered by them to the customers. We have public sector banks on one

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extreme, owned fully or partly by the govt. & on the other extreme the banks owned by private
owners called private sector banks.
The public sector banks are said to be slow and inefficient in offering the services. While on the
other hand private banks are set to be more prompt & efficient. But making such kind of statements
becomes vague and biased unless we do a comparative study on both kind of banks.
Thus the present study hade put some light on the quality of services as perceived by the customers
in both kinds of banks. In todays era customer is considered to be the king of the market, the
marketers are designing their campaigns as per customers requirements, so that the customer could
draw as much satisfaction.
By customer satisfaction we mean the delight that a customer gets by using a certain kinds of
product. Banks have varied range of products (an offering) to serve and success of which depends
upon customers satisfaction with that product.
But serving a product to a customer doesnt put an end to the responsibility of the organization
the services provided with the product are very important. No organization can survive without
offering good services besides the products. Infect offering good services provides a platform to the
organization for seller customer relationship.

With years, banks are also adding services to their customers. The Indian banking industry is passing
through a phase of customers market. The customers have more choices in choosing their banks. A
competition has been established within the banks operating in India.

With stiff competition and advancement of technology, the services provided by banks has become
more easy and convenient. The past days are witness to an hour wait before withdrawing cash from

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accounts or a cheque from north of the country being cleared in one month in the south.

OBJECTIVES

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OBJECTIVE OF THE PROJECT

. Objectives:
(1) To do comparison between ICICI Bank and SBIin the prospects of Services .
(2) To analyse the financial performance of banks.
(3) To know the working of Public and Private Banks
(4) To evaluate the Banking policies.
(5) To know the market condition of banks.

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Financial and Banking Sector Reforms

The last decade witnessed the maturity of India's financial markets. Since 1991, every governments
of India took major steps in reforming the financial sector of the country. The important
achievements in the following fields are discussed under serparate heads:

Financial markets

Regulators

The banking system

Non-banking finance companies

The capital market

Mutual funds

Overall approach to reforms

Deregulation of banking system

Capital market developments

Consolidation imperative

Now let us discuss each segment separately.

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Financial Markets

In the last decade, Private Sector Institutions played an important role. They grew rapidly in
commercial banking and asset management business. With the openings in the insurance sector for
these institutions, they started making debt in the market.

Competition among financial intermediaries gradually helped the interest rates to decline.
Deregulation added to it. The real interest rate was maintained. The borrowers did not pay high price
while depositors had incentives to save. It was something between the nominal rate of interest and
the expected rate of inflation.

Regulators

The Finance Ministry continuously formulated major policies in the field of financial sector of the
country. The Government accepted the important role of regulators. The Reserve Bank of India
(RBI) has become more independant. Securities and Exchange Board of India (SEBI) and the
Insurance Regulatory and Development Authority (IRDA) became important institutions. Opinions
are also there that there should be a super-regulator for the financial services sector instead of
multiplicity of regulators.

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The banking system

Almost 80% of the business are still controlled by Public Sector Banks (PSBs). PSBs are still
dominating the commercial banking system. Shares of the leading PSBs are already listed on the
stock exchanges.

The RBI has given licenses to new private sector banks as part of the liberalization process. The RBI
has also been granting licenses to industrial houses. Many banks are successfully running in the
retail and consumer segments but are yet to deliver services to industrial finance, retail trade, small
business and agricultural finance.

The PSBs will play an important role in the industry due to its number of branches and foreign banks
facing the constraint of limited number of branches. Hence, in order to achieve an efficient banking
system, the onus is on the Government to encourage the PSBs to be run on professional lines.

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Development finance institutions

FIs's access to SLR funds reduced. Now they have to approach the capital market for debt and equity
funds.

Convertibility clause no longer obligatory for assistance to corporates sanctioned by termlendinginstitutions.

Capital adequacy norms extended to financial institutions.

DFIs such as IDBI and ICICI have entered other segments of financial services such as commercial
banking, asset management and insurance through separate ventures. The move to universal banking
has started.

Non-banking finance companies

In the case of new NBFCs seeking registration with the RBI, the requirement of minimum net owned
funds, has been raised to Rs.2 crores.

Until recently, the money market in India was narrow and circumscribed by tight regulations over
interest rates and participants. The secondary market was underdeveloped and lacked liquidity.
Several measures have been initiated and include new money market instruments, strengthening of

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existing instruments and setting up of the Discount and Finance House of India (DFHI).

The RBI conducts its sales of dated securities and treasury bills through its open market operations
(OMO) window. Primary dealers bid for these securities and also trade in them. The DFHI is the
principal agency for developing a secondary market for money market instruments and Government
of India treasury bills. The RBI has introduced a liquidity adjustment facility (LAF) in which
liquidity is injected through reverse repo auctions and liquidity is sucked out through repo auctions.

On account of the substantial issue of government debt, the gilt- edged market occupies an important
position in the financial set- up. The Securities Trading Corporation of India (STCI), which started
operations in June 1994 has a mandate to develop the secondary market in government securities.

Long-term debt market: The development of a long-term debt market is crucial to the financing of
infrastructure. After bringing some order to the equity market, the SEBI has now decided
toconcentrate on the development of the debt market. Stamp duty is being withdrawn at the time of
dematerialization of debt instruments in order to encourage paperless trading.

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The capital market

The number of shareholders in India is estimated at 25 million. However, only an estimated two lakh
persons actively trade in stocks. There has been a dramatic improvement in the country's stock
market trading infrastructure during the last few years attractive potential

Mutual funds
The mutual funds industry is now regulated under the SEBI (Mutual Funds) Regulations, 1996 and
amendments thereto. With the issuance of SEBI guidelines, the industry had a framework for the
establishment of many more players, both Indian and foreign players.

The Unit Trust of India remains easily the biggest mutual fund controlling a corpus of nearly
Rs.70,000crores, but its share is going down. The biggest shock to the mutual fund industry during
recent times was the insecurity generated in the minds of investors regarding the US 64 scheme.
With the growth in the securities markets and tax advantages granted for investment in mutual fund
units, mutual funds started becoming popular.

The foreign owned AMCs are the ones which are now setting the pace for the industry. They are
introducing new products, setting new standards of customer service, improving disclosure standards
and experimenting with new types of distribution.

The insurance industry is the latest to be thrown open to competition from the private sector
including foreign players. Foreign companies can only enter joint ventures with Indian companies,
with participation restricted to 26 per cent of equity. It is too early to conclude whether the erstwhile

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public sector monopolies will successfully be able to face up to the competition posed by the new
players, but it can be expected that the customer will gain from improved service.

Overall approach to reforms

The last ten years have seen major improvements in the working of various financial market
participants. The government and the regulatory authorities have followed a step-by-step approach,
not a big bang one. The entry of foreign players has assisted in the introduction of international
practices and systems. Technology developments have improved customer service. Some gaps
however remain (for example: lack of an inter-bank interest rate benchmark, an active corporate debt
market and a developed derivatives market). On the whole, the cumulative effect of the
developments since 1991 has been quite encouraging. An indication of the strength of the reformed
Indian financial system can be seen from the way India was not affected by the Southeast Asian
crisis.

However, financial liberalization alone will not ensure stable economic growth. Some tough
decisions still need to be taken. Without fiscal control, financial stability cannot be ensured. The fate
of the Fiscal Responsibility Bill remains unknown and high fiscal deficits continue. In the case of
financial institutions, the political and legal structures hve to ensure that borrowers repay on time the
loans they have taken. The phenomenon of rich industrialists and bankrupt companies continues.
Further, frauds cannot be totally prevented, even with the best of regulation. However, punishment
has to follow crime, which is often not the case in India.

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Deregulation of banking system

Prudential norms were introduced for income recognition, asset classification, provisioning for
delinquent loans and for capital adequacy. In order to reach the stipulated capital adequacy norms,
substantial capital were provided by the Government to PSBs.

Government pre-emption of banks' resources through statutory liquidity ratio (SLR) and cash reserve
ratio (CRR) brought down in steps. Interest rates on the deposits and lending sides almost entirely
were deregulated.

New private sector banks allowed to promote and encourage competition. PSBs were encouraged to
approach the public for raising resources. Recovery of debts due to banks and the Financial
Institutions Act, 1993 was passed, and special recovery tribunals set up to facilitate quicker recovery
of loan arrears.

Bank lending norms liberalised and a loan system to ensure better control over credit introduced.
Banks asked to set up asset liability management (ALM) systems. RBI guidelines issued for risk
management systems in banks encompassing credit, market and operational risks.

Capital market developments

The Capital Issues (Control) Act, 1947, repealed, office of the Controller of Capital Issues were
abolished and the initial share pricing were decontrolled. SEBI, the capital market regulator was
established in 1992.

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Foreign institutional investors (FIIs) were allowed to invest in Indian capital markets after
registration with the SEBI. Indian companies were permitted to access international capital
marketsthrough euro issues.

The National Stock Exchange (NSE), with nationwide stock trading and electronic display, clearing
and settlement facilities was established. Several local stock exchanges changed over from floor
based trading to screen based trading.

Private mutual funds permitted

The Depositories Act had given a legal framework for the establishment of depositories to record
ownership deals in book entry form. Dematerialization of stocks encouraged paperless trading.
Companies were required to disclose all material facts and specific risk factors associated with their
projects while making public issues.

To reduce the cost of issue, underwriting by the issuer were made optional, subject to conditions.
The practice of making preferential allotment of shares at prices unrelated to the prevailing market
prices stopped and fresh guidelines were issued by SEBI.

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Buy back of shares allowed

The SEBI started insisting on greater corporate disclosures. Steps were taken to improve corporate
governance based on the report of a committee.

SEBI issued detailed employee stock option scheme and employee stock purchase scheme for listed
companies.

Standard denomination for equity shares of Rs. 10 and Rs. 100 were abolished. Companies given the
freedom to issue dematerialized shares in any denomination.

Derivatives trading starts with index options and futures. A system of rolling settlements introduced.
SEBI empowered to register and regulate venture capital funds.

Consolidation mperative
Another aspect of the financial sector reforms in India is the consolidation of existing institutions
which is especially applicable to the commercial banks. In India the banks are in huge quantity. First,
there is no need for 27 PSBs with branches all over India. A number of them can be merged. The
merger of Punjab National Bank and New Bank of India was a difficult one, but the situation is
different now. No one expected so many employees to take voluntary retirement from PSBs, which
at one time were much sought after jobs. Private sector banks will be self consolidated while cooperative and rural banks will be encouraged for consolidation, and anyway play only a niche role.

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In the case of insurance, the Life Insurance Corporation of India is a behemoth, while the four public
sector general insurance companies will probably move towards consolidation with a bit of nudging.
The UTI is yet again a big institution, even though facing difficult times, and most other public
sector players are already exiting the mutual fund business. There are a number of small mutual fund
players in the private sector, but the business being comparatively new for the private players, it will
take some time.

We finally come to convergence in the financial sector, the new buzzword internationally. Hi-tech
and the need to meet increasing consumer needs is encouraging convergence, even though it has not
always been a success till date. In India organizations such as IDBI, ICICI, HDFC and SBI are
already trying to offer various services to the customer under one umbrella. This phenomenon is
expected to grow rapidly in the coming years. Where mergers may not be possible, alliances between
organizations may be effective.

Reserve Bank of India (RBI)

Reserve Bank of India (RBI) is the central bank of the country and is different from Central Bank of
India.

Functions of Reserve Bank of India

The Reserve Bank of India Act of 1934 entrust all the important functions of a central bank the
Reserve Bank of India.

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Bank of Issue
Under Section 22 of the Reserve Bank of India Act, the Bank has the sole right to issue bank notes of
all denominations. The distribution of one rupee notes and coins and small coins all over the country
is undertaken by the Reserve Bank as agent of the Government. The Reserve Bank has a separate
Issue Department which is entrusted with the issue of currency notes. The assets and liabilities of the
Issue Department are kept separate from those of the Banking Department. Originally, the assets of
the Issue Department were to consist of not less than two-fifths of gold coin, gold bullion or sterling
securities provided the amount of gold was not less than Rs. 40 crores in value. The remaining threefifths of the assets might be held in rupee coins, Government of India rupee securities, eligible bills
of exchange and promissory notes payable in India. Due to the exigencies of the Second World War
and the post-was period, these provisions were considerably modified. Since 1957, the Reserve Bank
of India is required to maintain gold and foreign exchange reserves of Ra. 200 crores, of which at
least Rs. 115 crores should be in gold. The system as it exists today is known as the minimum
reserve system.

Controller of Credit
The Reserve Bank of India is the controller of credit i.e. it has the power to influence the volume of
credit created by banks in India. It can do so through changing the Bank rate or through open market
operations. According to the Banking Regulation Act of 1949, the Reserve Bank of India can ask any
particular bank or the whole banking system not to lend to particular groups or persons on the basis
of certain types of securities. Since 1956, selective controls of credit are increasingly being used by
the Reserve Bank.

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The Reserve Bank of India is armed with many more powers to control the Indian money market.
Every bank has to get a license from the Reserve Bank of India to do banking business within India,
the license can be cancelled by the Reserve Bank of certain stipulated conditions are not fulfilled.
Every bank will have to get the permission of the Reserve Bank before it can open a new branch.
Each scheduled bank must send a weekly return to the Reserve Bank showing, in detail, its assets
and liabilities. This power of the Bank to call for information is also intended to give it effective
control of the credit system. The Reserve Bank has also the power to inspect the accounts of any
commercial bank.

As supreme banking authority in the country, the Reserve Bank of India, therefore, has the following
powers:
(a) It holds the cash reserves of all the scheduled banks.

(b) It controls the credit operations of banks through quantitative and qualitative controls.

(c) It controls the banking system through the system of licensing, inspection and calling for
information.

(d) It acts as the lender of the last resort by providing rediscount facilities to scheduled banks.

Custodian of Foreign Reserves

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The Reserve Bank of India has the responsibility to maintain the official rate of exchange. According
to the Reserve Bank of India Act of 1934, the Bank was required to buy and sell at fixed rates any
amount of sterling in lots of not less than Rs. 10,000. The rate of exchange fixed was Re. 1 = sh. 6d.
Since 1935 the Bank was able to maintain the exchange rate fixed at lsh.6d. though there were
periods of extreme pressure in favor of or against
the rupee. After India became a member of the International Monetary Fund in 1946, the Reserve
Bank has the responsibility of maintaining fixed exchange rates with all other member countries of
the I.M.F.
Besides maintaining the rate of exchange of the rupee, the Reserve Bank has to act as the custodian
of India's reserve of international currencies. The vast sterling balances were acquired and managed
by the Bank. Further, the RBI has the responsibility of administering the exchange controls of the
country.

Supervisory functions
In addition to its traditional central banking functions, the Reserve bank has certain non-monetary
functions of the nature of supervision of banks and promotion of sound banking in India. The
Reserve Bank Act, 1934, and the Banking Regulation Act, 1949 have given the RBI wide powers of
supervision and control over commercial and co-operative banks, relating to licensing and
establishments, branch expansion, liquidity of their assets, management and methods of working,
amalgamation, reconstruction, and liquidation. The RBI is authorized to carry out periodical
inspections of the banks and to call for returns and necessary information from them. The
nationalization of 14 major Indian scheduled banks in July 1969 has imposed new responsibilities on
the RBI for directing the growth of banking and credit policies towards more rapid development of
the economy and realization of certain desired social objectives. The supervisory functions of the
RBI have helped a great deal in improving the standard of banking in India to develop on sound
lines and to improve the methods of their operation.

Promotional functions

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With economic growth assuming a new urgency since Independence, the range of the Reserve
Bank's functions has steadily widened. The Bank now performs a variety of developmental and
promotional functions, which, at one time, were regarded as outside the normal scope of central
banking. The Reserve Bank was asked to promote banking habit, extend banking facilities to rural
and semi-urban areas, and establish and promote new specialized financing agencies. Accordingly,
the Reserve Bank has helped in the setting up of the IFCI and the SFC; it set up the Deposit
Insurance Corporation in 1962, the Unit Trust of India in 1964, the Industrial Development Bank of
India also in 1964, the Agricultural Refinance Corporation of India in 1963 and the Industrial
Reconstruction Corporation of India in 1972. These institutions were set up directly or indirectly by
the Reserve Bank to promote saving habit and to mobilize savings, and to provide industrial finance
as well as agricultural finance. As far back as 1935, the Reserve Bank of India set up the Agricultural
Credit Department to provide agricultural credit. But only since 1951 the Bank's role in this field has
become extremely important. The Bank has developed the co-operative credit movement to
encourage saving, to eliminate moneylenders from the villages and to route its short term credit to
agriculture. The RBI has set up the Agricultural Refinance and Development Corporation to provide
long-term finance to farmers.

Classification of RBIs functions

The monetary functions also known as the central banking functions of the RBI are related to control
and regulation of money and credit, i.e., issue of currency, control of bank credit, control of foreign

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exchange operations, banker to the Government and to the money market. Monetary functions of the
RBI are significant as they control and regulate the volume of money and credit in the country.

Equally important, however, are the non-monetary functions of the RBI in the context of India's
economic backwardness. The supervisory function of the RBI may be regarded as a nonmonetaryfunction (though many consider this a monetary function). The promotion of sound
banking in India is an important goal of the RBI, the RBI has been given wide and drastic powers,
under the Banking Regulation Act of 1949 - these powers relate to licensing of banks, branch
expansion, liquidity of their assets, management and methods of working, inspection, amalgamation,
reconstruction and liquidation. Under the RBI's supervision and inspection, the working of banks has
greatly improved. Commercial banks have developed into financially and operationally sound and
viable units. The RBI's powers of supervision have now been extended to non-banking financial
intermediaries. Since independence, particularly after its nationalization 1949, the RBI has followed
the promotional functions vigorously and has been responsible for strong financial support to
industrial and agricultural development in the country.

Easy Banking
This section is fully dedicated to the Tech Banking. A decade before, it was tough to belief that
banking sector will be at a finger tip. Now its possible. A mobile hand set with a connection is the

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only instrument needed to make a gateway to your banking transaction, the latest innovation of
technology.

Apart from the Mobile Banking, including of SMS Banking, Net Banking and ATMs are the major
steps taken by the banks in India towards modernization. With all these devises and systems, there is
a complete freedom to experience.

Check your account, transfer your fund, make payments and what more, do anything of everything
what has been followed in physical banking since ages. But this time no standing for hours in front
of cash counter and no time foundation in withdrawing your own money.

Automated Teller Machine (ATM)

The first bank to introduce the ATM concept in India was the Hongkong and Shanghai Banking
Corporation (HSBC). It was in the year 1987. Now, almost every commercial banks gives ATM
facilities to its customers.

The first bank to cross 1,000 marks in installing ATMs in India is ICICI. SBI is following the
concept of 'ATMs in Quantity'. But Private Sector Banks have taken the lead. ICICI, UTI, HDFC and
IDBI counts more than 50% of the total ATMs in India.
Public Sector Banks are also taking the installation of ATMs seriously for Indian market. They are
either setting up their own ATM centres or entering into tie-ups with other banks. The Corporation
Bank has the second largest network of ATMs amongst the Public Sector Banks in India.

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The Indian banks have also come up with a 'Swathed' scheme. Under this scheme, the banks can
useeach other's ATM at a cost, usually Rs. 35 extra from their customers. The main feature of
'Swathed Card' are as follows:

No exchange fee charged to change an old ATM card for a Swathed card.

Rs. 3,000 fixed as the ceiling on withdrawal.

Exception made for select customers who can withdraw up to Rs10,000. Still, this is lower
than the average withdrawal of Rs15,000 by regular ATMs.

IBA gives banks the discretion to decide a higher maximum amount for withdrawal.

Mobile Banking
"The account that travels with you". This is needed in today's fast business environment with
unending deadlines for fulfillment and loads of appointments to meed and meetings to attend. With
mobile banking facilities, one can bank from anywhere, at anytime and in any condition or anyhow.
The system is either through SMS or through WAP. (Check out for SMS Banking under different
head)
Mobile Banking is the hottest area of development in the banking sector and is expected to replace
the credit/debit card system in future. In past two years, mobile banking users has increased three
times if we compare the use of either debit card or credit card. Moreover 85-90% mobile users do
not own credit cards.
Mobile banking uses the same infrastructure like the ATM solution. But it is extremely easy and
inexpensive to implement. It reduces the cost of operation for bankers in comparison to the use of
ATMs.

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Using compact HTML and WAP technologies, the following operations can be conducted through
advanced mobile phones which can is further viewed on channels such as the Internet via the
Channel Manager.

Bill payments

Fund transfers

SMS Banking
Businesses are in move. So is to be your money. You may have to thank the banks which are
providing banking at the send-of-your-sms. The technology is at its highest level to move your
money while you are on the move. If you are having non-WAP enabled mobile handset, you can use
the facility of SMS services. The following operations can be easily used by the service provider:

Balance enquiry

Last three transactions

Cheque payment status

Cheque book request

Statement request

Demat - Free Balance Holding

Demat - Last two Transactions

Bill Payment

The SMS facility brings peace of mind to customers and opens doors to many more technological
possibilities and innovative services. It is very similar to how an ATM works.

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To use ATM, a card is necessary and to use SMS service, a mobile phone is needed. In both the
cases, secret number is necessary to access.

SMS banking is also very much safe. First, one authenticates the mobile number with
theauthentications key.
A new concept has been developed by Bank of Punjab Ltd. They call it "Mobile Wallet". With the
support of this technology, a customer can make payment and receive payment of account of buy/sell
(merchants) through SMS.

In this system, a buyer sends a message for buying and the bank in return sends a message
confirming the purchase both to the merchant as well as to the buyer. Debit card number is the key
field which is used for the authenticity of the customer.

Net Banking
Net Banking is conducting ones banking or bank account online through a computer and a net
connection. The system is updated immediately after every transaction automatically. In other words
it is said that it is updated 'on-line, real time'. Through net banking one can check the status of
his/her account, place queries and also can be facilitated with a wide range of transactions
simultaneously.

In India, the regulatory body has not yet sanctioned virtual bank, in abroad there are banks like EGG

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Bank or NET Bank, which only have a virtual presence without any physical branches.

Net Banking has three basic features. They are as follows:

The banks offer only relevant informations about their products and services to the mass.

Few banks provide interaction facility between the banks and its customers.

Banks are coming up with arrangements of utility payments, like telephone bills, electricity
bills, etc.

Top Banks in India

With the advancement of technology and the birth of competition, banks are in the race of becoming
the best in the country. With an eye upon customer satisfaction policy they are providing best of the
best services with the minimum hazards.
Banks like ABN AMRO introduced banking with a coffee. It made a tie-up with one of the best
coffee bar in the country, Barista and remained open till late evening for customers with a setup of a
coffee bar in the premises.
Few banks have introduced world ATM card to make travelers across the globe more safe and
secure. What else. Internet and Phone Banking is the call of the day for banks.
In this race towards the best, we have selected top 20 banks in the country from all segment. It is not
the ranking of banks but only for general information about the top banks in India.

PUBLIC sector banks have long been chastised as the black sheep of the financial sector. But while a
lot of experts might deride these institutions for their non-performing assets and lower productivity,

Page 33 of 108

at the end of the day, public sector banks have far happier customers compared to their counterparts
in the private sector. According to Reserve Bank of Indias (RBI's) latest report, Trend and Progress
of Banking in India, public sector banks rule the roost in customer satisfaction.
The report should make those singing hosannas for private sector banks sit up. It shows that the State
Bank of India (SBI) recorded 0.1 complaints per branch while the corresponding figure for ICICI
was 1.39more than 10 times that of SBI

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COMPANY PROFILE

Page 35 of 108

INTRODUCTION TO ICICI BANK

ICICI Bank is India's second-largest bank with total assets of about Rs.1,67,659 crore at
March 31, 2005 and profit after tax of Rs. 2,005 crore for the year ended March 31, 2005 (Rs. 1,637
crore in fiscal 2004). ICICI Bank has a network of about 560 branches and extension counters and
over 1,900 ATMs. ICICI Bank offers a wide range of banking products and financial services to
corporate and retail customers through a variety of delivery channels and through its specialized
subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture
capital and asset management. ICICI Bank set up its international banking group in fiscal 2002 to
cater to the cross border needs of clients and leverage on its domestic banking strengths to offer
products internationally. ICICI Bank currently has subsidiaries in the United Kingdom, Canada and

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Russia, branches in Singapore and Bahrain and representative offices in the United States, China,
United Arab Emirates, Bangladesh and South Africa.
ICICI Bank's equity shares are listed in India on the Stock Exchange, Mumbai and the National
Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the
New York Stock Exchange (NYSE).
As required by the stock exchanges, ICICI Bank has formulated a Code of Business Conduct and
Ethics for its directors and employees.
At April 4, 2005, ICICI Bank, with free float market capitalization* of about Rs. 308.00 billion (US$
7.00 billion) ranked third amongst all the companies listed on the Indian stock exchanges.
ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution, and
was its wholly-owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46% through a
public offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed on the
NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of Madura Limited in an all-stock
amalgamation in fiscal 2001, and secondary market sales by ICICI to institutional investors in fiscal
2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of the World Bank, the Government
of India and representatives of Indian industry. The principal objective was to create a development
financial institution for providing medium-term and long-term project financing to Indian
businesses. In the 1990s, ICICI transformed its business from a development financial
institutionoffering only project finance to a diversified financial services group offering a wide
variety of products and services, both directly and through a number of subsidiaries and affiliates

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like ICICI Bank. In 1999, ICICI become the first Indian company and the first bank or financial
institution from non-Japan Asia to be listed on the NYSE.
After consideration of various corporate structuring alternatives in the context of the emerging
competitive scenario in the Indian banking industry, and the move towards universal banking, the
managements of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI Bank
would be the optimal strategic alternative for both entities, and would create the optimal legal
structure for the ICICI group's universal banking strategy. The merger would enhance value for
ICICI shareholders through the merged entity's access to low-cost deposits, greater opportunities for
earning fee-based income and the ability to participate in the payments system and provide
transaction-banking services. The merger would enhance value for ICICI Bank shareholders through
a large capital base and scale of operations, seamless access to ICICI's strong corporate relationships
built up over five decades, entry into new business segments, higher market share in various
business segments, particularly fee-based services, and access to the vast talent pool of ICICI and its
subsidiaries.

ICICI Bank Products &Featurs

Savings Account

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Debit-cum-ATM card

Auto Invest Account

Internet Banking

Phone Banking

Anywhere Banking

Standing instructions

Nomination facility

Doorstep service

Features

The ICICI Bank Ncash debit card is a debit-cum-ATM card providing you with the
convenience of acceptance at merchant establishments and cash withdrawals at ATMs

Auto Invest Account

Internet Banking is offered free of cost.

Anywhere Banking - This facility entitles the account holder to withdraw or deposit cash up
to a limit of Rs.50,000 across all ICICI Bank branches.

You can give us various types of standing instructions like transferring to fixed deposit
accounts at regular intervals.

An average quarterly balance of Rs 5,000 only.

Nomination facility is available.

Interest is payable half-yearly.

Page 39 of 108

To open an account online.

Minimum Balance
Type of Account

Balance

Savings Account

Rs 5,000

Non-maintenance of the minimum average quarterly balance attracts a fee of Rs 750 per
quarter.
Nomination

The facility of Nomination is available for relationships in the names of individuals. Unless
otherwise specifically, given in writing by depositors, nomination in deposit accounts will be
at Customer ID level

A depositor(s) however has / have the right to specify different nominations at account level
by completing the appropriate forms.

Further, the applicant(s) is / are at liberty to change the nominee during the currency of the
relationship accounts with the Bank through declaration to that effect in the appropriate form

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Conduct of Account
When a customer wants his/her operative account at one branch to be transferred to another
branch, he/she has to give his/her request in writing along with, ATM/Debit card, unused
cheque books. The bank will close the account and arrange to open a new account at the
other branch and will issue new cheque book, new ATM/debit card, etc.
Transactions are entertained normally during banking hours at the branch where the
Relationship is maintained or at any other ICICI Bank Branches under Any Where Banking
(AWB). Bank will not be liable for any delay on any account of failure of connectivity. Also
this service (AWB) will not be available on the day(s) when the branch where the account
holder has his/her Relationship, is closed.
If a cheque issued by a customer is required to be returned for insufficient balance in the
account or for being in excess of arrangements, a penalty/charge is levied. Similarly, if any
cheque deposited by the customer is returned unpaid, service charge is recovered.

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No overdrawing is permissible in accounts.

instructionsStanding are accepted free of charge for transferring funds from Savings account
to fixed deposit or Recurring deposit accounts. Other standing instructions are subject to
service charges.

Collection facility
Cheques, drafts, bills, dividend / interest warrants and other instruments issued in favors of
customers are accepted for collection on account holders behalf. Collection of outstation
instruments entails collection charges. The Bank does not accept any responsibility for loss,
delay, mutilation or interception of the instruments in postal or courier transit. The Bank
does not accept or share any responsibility for realization of such instruments or for the
genuineness, validity or correctness of the signatures or endorsements thereon. Drawls
against such instruments are permissible only on realization by the Bank.

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The Bank has the authority to debit the accounts to recover any amount credited erroneously.

Local cheques, etc., may be tendered for collection sufficiently early in the day as required
vis--vis the local clearing house timings. Drawls against clearing cheques will be normally
permitted only against cleared balances as per clearing house rules.

Closure of Account
The Bank reserves the right to close Relationship or account(s), which according to the
Bank, is/are not conducted satisfactorily, after due notice to the customers without assigning
any reasons thereof.

Rules
The Bank reserves to itself the right to alter, delete or add any of these rules at any time
without prior intimation to individual customers or to refuse to open an account or to close
any account.

Saving Account Rules

Natural guardian (father or widowed mother or Court appointed Guardian) can open a Savings
account on behalf of a minor with moneys belonging to the natural guardian. In special cases the
Bank reserves the right to open Savings Bank account on behalf of a minor by the mother.

Page 43 of 108

Savings account cannot be opened for business purposes.

Number of withdrawals in Savings account is restricted to 150 per annum.

Statement of Account
Depositors are advised to keep the cheque books / statement of accounts in a place of safety
to ensure against misuse, contributing to negligence.
Duplicate statements are issued at the request of the customer for a fee. Ordinarily, duplicate
statements are issued only for a period not exceeding 36 months prior to date of request.

Payment of Interest
Interest is paid on the minimum credit balance maintained between the 10th day and last day
of each calendar month in Savings accounts at the rate in force in accordance with RBI
directives. Interest so calculated is rounded off to the nearest rupee, ignoring fractions of a
rupee. Interest is paid every half year in September and March.
No interest is currently payable on the balance maintained in a current account in acceptance
with RBI directives.

I. Fixed Deposits

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1. Date of Fixed Deposit

1.1 The effective date of Fixed Deposit shall be the date on which the bank gets funds to its account.
No Fixed Deposit Receipt is issued in anticipation of realization of the cheque.
2. Auto Renewal
2.1 Fixed deposits are accepted with auto-renewal facility at periodicity as opted by the depositors.
3. Fixed Deposit Receipt / Memorandum of Deposit
3.1 Fixed Deposit Receipt or Memorandum of Deposit will be issued to account holder as may be
decided by the Bank from time to time for customer convenience.
4. Tax Deducted at Source
4.1 Tax at source is deducted as applicable from the interest on fixed deposit, as per Income Tax Act,
1961.
5. Payment of Interest on Fixed Deposit
5.1 Interest on fixed deposits is reckoned/pai
6. Premature closure of Fixed Deposits....
6.1 In the event of the Fixed Deposit being closed before completing the original term of deposit,
interest will be paid at the rate applicable on the date of deposit for the period for which the deposit

Page 45 of 108

has remained with the Bank. The deposit may be subject to penal rate of interest as prescribed by the
Bank on the date of deposit.
B) Easy Fixed Deposit
1. Easy Fixed Deposit is an ICICI Bank deposit scheme (the ''Deposit scheme'') having benefits
as provided herein and is governed by the terms and conditions as specified herein.
2. The entities eligible for the Deposit scheme are resident Indians and a deposit can be opened
in the names of an individual a. In his or her individual capacity, or
b. In individual capacity on joint basis, or
c. In individual capacity on anyone or survivor basis, or
d. On behalf of a minor as father/mother/legal guardian
e. Hindu Undivided Family & Trust, Associations, Societies and Clubs as per
resolutions passed.
3. The depositors shall under this Deposit Scheme have the following options namely, Easy
Withdrawal and Easy Loan (''the options'').
a. Easy Withdrawal option: deposits under the Deposit Scheme shall be linked to the
operative account of the depositor as established pursuant to the application for the
Deposit scheme. The operative account can only be used for withdrawal of the
deposit and cannot be used for any other kind of transactions. The depositors cannot
deposit/transfer cash or write cheques from this operative account. No interest shall
be payable on amount/s that lie in the operative account for any reason/s.
b. Easy Loan option: The depositors shall be provided with an overdraft facility against
the deposit under the Deposit Scheme. The depositor shall be required to execute
facility documentation as specified by ICICI Bank for these purposes. The Loan
account under this option shall be in the nature of a current account having loan
limits. Chequebook will be issued to deposit holder under this option

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4. Depositor can chose only one of the options for a particular deposit.
5. The minimum period of deposits will be 1 year.
6. All deposits under this Deposit Scheme will be cumulative in nature.
7. The depositors shall be provided with a "Debit cum ATM Card" (''the Card'') for transactions
allowed in terms of the Easy Withdrawal and Easy Loans options and usage of the said Card
shall be governed its terms and conditions. The Card will be issued in the name of primary
depositor. No separate card will be issued to joint applicant/s.
8. Under the Easy Withdrawal option the interests accrued on the withdrawn amount will be
credited to the operative account of the depositor at the time of withdrawal.
9. The rate of interest payable on the deposits shall be as specified by ICICI Bank from time to
time. Interest on the deposits shall be paid at quarterly intervals, at the rates applicable.
10. If the deposits are prematurely withdrawn, the interest rate for the period for which deposit
was with the ICICI Bank at prevailing at date of deposit shall be payable.
11. Minimum deposit amount under the Deposit Scheme is Rs.45,000 and additionally deposits
may be made in multiples of Rs.5,000. There is no restriction on maximum amount of
deposits that may be made.
12. The effective date of the deposit shall be the date on which the monies deposited are credited
to ICICI Bank.
13. The deposit shall be automatically and compulsorily renewed on maturity for a period equal
to original tenure of stipulated for the matured deposit, unless instructions to the contrary are
received from the depositor. The interest payable on such renewed deposits will be at the rate
applicable on such deposits of ICICI Bank, for the respective period, prevailing as on the
date of such renewal. ICICI Bank shall renew the deposit with interest subject to tax
deducted at source (TDS) as may be applicable.

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14. If the depositor makes more than multiple deposits on the same having the Easy Withdrawal
Option, the last deposit made under the Deposit scheme will be used first (LIFO) to clear the
cheques and if this is not adequate, the deposit/s made prior to the last deposit will be used, in
that sequence.
15. The Deposit holder(s) shall intimate ICICI Bank in writing of any change in address and
residential status of the Depositor.
16. ICICI Bank may levy service charges as may be applicable on the deposit from time to time

ICICI Bank's 24 Hour ATM network is one of the largest and most widespread ATM Network in
India. Our ATMs are located in commercial areas, residential localities, major petrol pumps, airports,
near railway stations and other places which are conveniently accessible to our customers.
ICICI Bank ATMs features user-friendly graphic screens with easy to follow instructions. We have
introduced ATMs which interact with customers in their local language for increased convenience.
Following are the features available on our ATMs, which can be accessed from anywhere at anytime.

Page 48 of 108

Cash Withdrawal: Withdraw uptoRs. 25,000/- per day from your account (50,000 for HNI's).
Fast Cash option provides the facility of withdrawing prefixed amounts. Ultra Fast Cash
option allows you to withdraw Rs.3000/- in one shot.
Balance Enquiry : Know your ledger balance and available balance.

Mini Statement : Get a printout of your last 8 transactions and your current balance.

Deposit Cash / Cheques : Available at all full function ATMs, Customers can deposit both
cash and cheques. Cash deposited in ATMs will be credited to the account on the same day
(provided cash is deposited before the clearing) and cheques are sent for clearing on the next
working day.
Funds Transfer: Transfer funds from one account to another linked account in the same
branch.
PIN Change : Change the Personal Identification Number (PIN) of ATM or Debit card.

Corporate Profile
ICICI Bank is India's second-largest bank with total assets of Rs. 4,062.34 billion (US$ 91 billion) at
March 31, 2011 and profit after tax Rs. 51.51 billion (US$ 1,155 million) for the year ended March
31, 2011. The Bank has a network of 2,538 branches and about 6,810 ATMs in India, and has a
presencein19countries,includingIndia.
ICICI Bank offers a wide range of banking products and financial services to corporate and retail

Page 49 of 108

customers through a variety of delivery channels and through its specialized subsidiaries in the areas
of investment banking, life and non-life insurance, venture capital and asset management.
The Bank currently has subsidiaries in the United Kingdom, Russia and Canada, branches in United
States, Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar and Dubai International Finance Centre
and representative offices in United Arab Emirates, China, South Africa, Bangladesh, Thailand,
Malaysia and Indonesia. Our UK subsidiary has established branches in Belgium and Germany.
ICICI Bank's equity shares are listed in India on Bombay Stock Exchange and the National Stock
Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York
Stock Exchange (NYSE).

Board Members
Mr. K. V. Kamath, Chairman

Mr. SridarIyengar

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Mr. Homi R. Khusrokhan

Mr. Arvind Kumar

Mr. M.S. Ramachandran

Dr. Tushaar Shah

Mr. V. Sridar

Ms. ChandaKochhar,
Managing Director & CEO

Mr. N. S. Kannan,
Executive Director & CFO

ICICI Group Companies

ICICI Group
http://www.icicigroupcompanies.com

Page 51 of 108

ICICI Prudential Life Insurance Company

http://www.iciciprulife.com/public/default.htm

ICICI Securities
http://www.icicisecurities.com/

ICICI Lombard General Insurance Company

http://www.icicilombard.com/

ICICI Prudential AMC & Trust

http://www.icicipruamc.com/

ICICI Venture
http://www.iciciventure.com/

ICICI Direct
http://www.icicidirect.com

ICICI Foundation
http://www.icicifoundation.org

ICICI Bank

Ms. Chandakochhar ,managing DIRECTOR & CEO was th e first woman to be named as the
business leader of the ear b, THE ECONOMICS TIME

Ms.ChandaKochhar, Managing Director & CEO was ranked 5th in the International list of
"50 Most Powerful Women In Business", by Fortune. She was ranked 10th in 2010.

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ICICI Bank tops the list of "Most Trusted Private Sector Bank" and ranks 10th in the list of
"India's Most Trusted Service Brands" by Brand Equity, Most Trusted Brands 2011.

Ms. ChandaKochhar, Managing Director & CEO, was named among the 50 most influential
in global finance by Bloomberg Markets magazine

Ms. ChandaKochhar, Managing Director & CEO, featured in the Hall Of Fame of Most
Powerful Women in Indian business by Business Today

Ms. ChandaKochhar, Managing Director & CEO, was ranked 43rd in the Forbes list of Most
Powerful Woman in the world

ICICI Bank received the Best Manpower Efficient Award amongst private sector banks by
FICCI IBA

ICICI Bank won the Best Local Bank Gold by Trade and Forfaiting Awards, UK

ICICI Bank was awarded The Asset Triple A Awards, Hongkong for:

Best Domestic Transaction Bank (India)

For 6th consecutive year won the Best Domestic Trade Finance Bank (India)

Best Domestic Cash Management Bank (India)

Best e-Commerce Bank (India)

Best SME Bank (India)

Ms. ChandaKochhar, Managing Director & CEO, received the Global Leadership Award for
her contribution to the US India commercial relationship

Ms. ChandaKochhar, Managing Director & CEO, was named as one of the two best Indian
CEOs in an annual poll conducted by Finance Asia magazine.

ICICI Bank is the only Indian brand to figure in the BrandZ Top 100 Most Valuable Global
Brands Report 2011, second year in a row.

ICICI Bank ranked 5th in the list of "57 Indian Companies", and 288 th in World Rankings in
Forbes Global 2000 list

Ms. ChandaKochhar Managing Director & CEO, was conferred with the Transformational
Business Leader of the Year , by All India Management Association (AIMA)

Page 53 of 108

Ms. ChandaKochhar, Managing Director & CEO, was ranked 17th in Fortune's 25 Most
Powerful CEOs in Asia.

Ms. ChandaKochhar, Managing Director & CEO, was ranked as the 5th most recognized and
respected company leaders by American research firm, Penn Schoen Berland (PSB). The survey was
conducted among 600 respondents from US, EU, Asia-Pacific and India in March

Ms. ChandaKochhar Managing Director & CEO ranks 41 in the "50 Power List 2011", by
India Today

Ms. ChandaKochhar, Managing Director & CEO, awarded the Skoch Challenger Awards
2011, for Banking. The Skoch awards recognizes best practices in people, projects and institutions for
inclusive growth

Ms. ChandaKochhar, Managing Director & CEO, in the list of 25 most powerful professional
women of the country , by India Today

ICICI Bank has won the "Banking Technology Awards 2010" at The Indian Banks
Association in the following categories:

"Best Financial Inclusion Initiative" (first prize)

"Best Online Bank" ( runner up)

"Best use of Business Intelligence" ( runner up)

"Technology Bank of the year" ( runner up)

ICICI Bank was recognized for its Special Citation of the Fully Electronic Branch Service
Channel, first set up at Hiranandani Estate, Thane, at the Financial Insights Innovation Awards held in
conjunction with Asian Financial Services Congress

For the second year in a row, ICICI Bank was ranked 70th in the Brandirectory league tables
of the worlds most valuable brands by ,The BrandFinance Banking 500.

ICICI Bank UK, HiSAVE product range has been awarded the Consumer Money facts
Awards 2011 for the 'Best Online Savings Provider'

ICICI Bank ranked second in the financial services sector in Business Worlds, Most
Respected Company Awards 2011"

ICICI Bank was ranked 1st in the Banking and Finance category and 9th in the "2010 Best
Companies To Work For" by Business Today

Page 54 of 108

Ms. ChandaKochhar, Managing Director & CEO, ICICI Bank conferred with "Padma Bhushan

SBI

Page 55 of 108

INTRODUCTION TO SBI

State Bank of India has an extensive administrative structure to oversee the large network of
branches in India and abroad. The Corporate Centre is in Mumbai and 14 Local Head Offices and 57
Zonal Offices are located at important cities spread throughout the country. The Corporate Centre
has several other establishments in and outside Mumbai, designated to cater to various functions.
Our Colleges/Institutes/Training Centres are the seats of learning and research and development to
spread the wings of knowledge not only to our employees but also other banks/establishments in
India and abroad.
The Corporate Accounts Group is a Strategic Business Unit of the Bank set up exclusively to fulfil
the specialized banking needs of top corporate in the country.
State Bank of India has 52 foreign offices in 34 countries across the globe.

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State Bank of India invites you to take a journey to understand the potential of not just a large but
truly global organization

EVOLUTION OF SBI

The origin of the State Bank of India goes back to the first decade of the nineteenth century with
the establishment of the Bank of Calcutta in Calcutta on 2 June 1806. Three years later the bank
received its charter and was re-designed as the Bank of Bengal (2 January 1809). A unique
institution, it was the first joint-stock bank of British India sponsored by the Government of Bengal.
The Bank of Bombay (15 April 1840) and the Bank of Madras (1 July 1843) followed the Bank of
Bengal. These three banks remained at the apex of modern banking in India till their amalgamation
as the Imperial Bank of India on 27 January 1921.
Primarily Anglo-Indian creations, the three presidency banks came into existence either as a result of
the compulsions of imperial finance or by the felt needs of local European commerce and were not
imposed from outside in an arbitrary manner to modernize India's economy. Their evolution was,
however, shaped by ideas culled from similar developments in Europe and England, and was

Page 57 of 108

influenced by changes occurring in the structure of both the local trading environment and those in
the relations of the Indian economy to the economy of Europe and the global economic framework.

The State Bank of India was thus born with a new sense of social purpose aided by the 480 offices
comprising branches, sub offices and three Local Head Offices inherited from the Imperial Bank.
The concept of banking as mere repositories of the community's savings and lenders to creditworthy
parties was soon to give way to the concept of purposeful banking sub serving the growing and
diversified financial needs of planned economic development. The State Bank of India was destined
to act as the pacesetter in this respect and lead the Indian banking system into the exciting field of
national development.

TECHNOLOGY UPGRADATION
SBIs Information Technology Programme aims at achieving efficiency in operations, meeting
customer and market expectations and facing competition. Our achievements are summarized
below:

FULL BRANCH COMPUTERISATION (FCBs):

All the branches of the Bank are now fully computerised.This strategy has contributed to
improvement in customer service.

ATM SERVICES
There are 5290 ATMs on the ATM Network. These ATMs are located in 1721 centres spread across
the length and breadth of the country, thereby creating a truly national network of ATMs with an

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unparalleled reach. Value added services like ATM locator, payment of fees for college students,
multilingual screens, voice over and drawl of cash advance by SBI credit card holders have been
introduced.

INTERNET BANKING (INB)

This on-line channel enables customers to access their account information and initiate transactions
on a 24x7, boundary less basis. 2225 branches, covering 555 centers are extending INB service to
their customers. All functionalities other than Cash and Clearing have been extended to individual
retail customers. A separate Internet Banking Module for Corporate customers has been launched
and available at 1305 branches.

GOVT. BUSINESS
Software has been developed and rolled out at 7785 fully computerized branches. Electronic
generation of all reports for reporting, settlement and reconciliation of Govt. funds is available.

STEPS: Under STEPS, the bank's electronic funds transfer system, the Products offered are
eTransfer (eT), eRealisation (eR), eDebit (CMP) and ATM reconciliation. A STEP handles payment
messages and reconciliation simultaneously.

SEFT: SBI has launched the Special Electronic Fund Transfer (SEFT) Scheme of RBI, to facilitate
efficient and expeditious Inter-bank transfer of funds. 241 branches of our Bank in various LHO
Centres are participating in the scheme. Security of message transmission has been enhanced.

MICR Centres: MICR Cheque Processing systems are operational at 16 centres viz. Mumbai,
New Delhi, Chennai, Kolkata, Vadodara, Surat, Patna, Jabalpur, Gwalior, Jodhpur, Trichur, Calicut,
Nasik, Raipur, Bhubaneswar and Dehradun.

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Core Banking: The Core Banking Solution provides the state-of-the-art anywhere anytime
banking for our customers. The facility is available at 1012 branches.

Trade Finance: The solution has been implemented, providing efficiency in handling Trade
Finance transactions with Internet access to customers and greatly enhances the bank's services to
Corporate and Commercial Network branches. This new Trade Finance solution, EXIMBILLS, will
be implemented at all domestic branches as well as at Foreign offices engaged in trade finance
business during the year.

WAN : The bank has set up a Wide Area Network, known as SBI connect, which provides
connectivity to 4819 branches/offices of SBI Group across 385 cities as at 31st March 2005.

BANKING SUBSIDIARIES
ASSOCIATE BANKS
State Bank of India has the following seven Associate Banks (ABs) with controlling interest
ranging from 75% to 100%.
1. State Bank of Bikaner and Jaipur (SBBJ)
2. State Bank of Hyderabad (SBH)
3. State Bank of Indore (SBIr)
4. State Bank of Mysore (SBM)
5. State Bank of Patiala (SBP)
6. State Bank of Saurashtra (SBS)
7. State Bank of Travancore (SBT)
The seven ABs have a combined network of 4596 branches in India which are fully computerized
and 1070 ATMs networked with SBI ATMs, providing value added services to clientele.
The ABs recorded an impressive performance during 2007-08. The combined net profit of these
banks increased by 38% over the previous year to reach Rs.1938 crores. Deposits and advances grew

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by 20% and 22%, respectively, during the year. Three of the ABs viz. SBIr, SBP and SBS achieved
NIL Net NPA status while the combined Net NPA ratio of all ABs was at 0.84% as on 31st March
2008.The highlights of performance of the seven ABs for the year 2007-08 are as follows:
(Rs. In crores)
Deposits

114272

Loans

62582

Investments

62097

Total Assets

141441

Return on Assets

1.37%

No. of Branches

4599

SBICI Bank Ltd (Banking Subsidiary, fully owned by SBI):

SBICI Bank Ltd has two branches, fully computerised, operating in Mumbai. during 2003-04.
Deposits, Loans and Investments were at Rs.373.33 crores, Rs.120.56 crores and Rs.143.04 crores,
respectively, as at 31st March 2004.
For more details please visit the website detailed as under:-

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SBI International (Mauritius) Ltd.,

Offshore Bank
(A subsidiary of State Bank of India)
State bank of India International (Mauritius) Ltd is one of the first offshore banks to be established in
Mauritius in 1990, with a paid up capital of USD 10 Million. The Bank has had a consistent record
of having earned profits since its very first year of operations.
SBIIML, with the expertise of its management and personnel, is customer focussed, and offers to all
its clients, all over the world, high quality, cost effective professional services and innovative
products. The Bank lays emphasis on technology, which is an integral part of its operations having a
significant impact on services rendered. It has, presently, clients spread over 40 countries.
The principal activities include:

Acceptance of deposits in foreign currencies mainly US Dollar, Pound Sterling, Euro and
also other currencies. Attractive rates of interest are offered.

International remittances in all major currencies through SWIFT, quickly and effectively.

Loans/syndications in major currencies, like Euro/Dollar/Japanese Yen.

Trade Services, including issuance of/negotiations under documentary letters of credits and
issuance of bank guarantees.

Hedging of exchange and interest rate risks on behalf of customers.

Sales and Purchases of foreign currencies in the Spot and Forward Market.

Rendering custodial services for offshore funds registered in Mauritius.

Page 62 of 108

JOINT VENTURES
SBI Life Insurance Company Ltd (SBI LIFE)
SBI LIFE undertakes the business of life insurance and annuity in relation to all or any kinds of
assurance.
The year 2003-04 was the 2nd full year of operations for the Company. As at end-March 2004, SBI
LIFE covered nearly 14 lakh lives. It emerged as the top private insurer in terms of number of lives
covered with a market share of about 14%. It received a premium income of Rs.225 crores for the
year 2003-04 as against the premium receipt of Rs.73 crores during the last financial year, recording
a 200% premium growth
SBI LIFE leveraged the strength of its parent bank and its group. SBI and its Associate Banks
became the Corporate Agents of SBI LIFE. SBI LIFE is now selling its insurance products through
2,400 branches of SBI Group. SBI LIFE has also been slowly and steadily strengthening alternate
channels including Agency channel.
The Bank holds equity of Rs.129.50 crores in SBI LIFE, being 74% of their share capital.

PERSONAL BANKING

State Bank of India offers a wide range of services in the Personal Banking Segment which are
indexed here.
Click on each of them to access the details. Our products are designed with flexibility to suit your
personal requirements. Enjoy 24 hour facility through our ATMs - growing speedily it has crossed
the 5000 mark Watch this space for more details.

Page 63 of 108

SBI Term Deposits

SBI Loan For Pensioners

SBI Recurring Deposits

Loan Against Mortgage Of Property

SBI Housing Loan

Loan Against Shares & Debentures

SBI Car Loan

Rent Plus Scheme

SBI Educational Loan

Medi-Plus Scheme

SBI Personal Loan

Rates Of Interest

Experience a whole new world of banking at our newly opened Personal Banking Branches (PBBs)often dubbed boutique branches by others. Customer friendly knowledgeable staff will cater to your
financial requirements with speed and efficiency. Do visit one and find out for yourself. Click here
for addresses of our PBBs.

DEPOSIT SCHEMES

Whatever your needs- an investment for your surplus funds or a loan- you will find a product just
right for you, delivered at a branch very close to you.
Open an account with any of our branches, all of them are fully computerized, and realize the
advantage of our vast network. Earn high interest on fixed deposits, putting your money to work for
you with confidence and security. Place funds in SBI MODS, a fixed deposit which is not fixed at all
- with a unique break up facility which permits you full liquidity with the assurance of the highest
rates of returns, merely by issuing a cheque on your savings bank account. Alternately, keep your
SBIMODS intact and with an automatic overdraft facility, enjoy high returns with the comfort of
assured cheque payments.

Page 64 of 108

CURRENT ACCOUNT
We understand that every business requires a transparent and efficient banking services support to
meet its day to day financial requirements. SBI thus offers to serve your financial requirements
giving you maximum financial leverage for your money and saving on your time and cost. While we
take care of your financial needs, you take care of your customer. Keeping the value of your time
and money in mind, our SBI Current Account is designed to give you the very best of services.

Benefits of SBI Current Account

Card Convenience
Get your Free ATM cum/Debit Card and get access to the widest network of over 5000 ATMs across
the country to withdraw cash, enquire about your balance etc. You can also avail of our International
Debit Card which can be used domestically as well as outside India

Easy and Wide Accessibility of Money

Transact at your convenience, saving time and cost through the largest distribution network
in India of more than 5000 SBI ATMs . or through SBI Internet Banking

You can now also withdraw cash from our Maestro endorsed ATMs and ATMs of HDFC Bank /UTI
Bank for which some fee is payable.

Monitoring Your Account

Monitor and control your savings through SBI Internet Banking or SBI Passbook facility.

Alternatively, access your account by downloading instantsbi.com on your computer.

Page 65 of 108

Sweep-In Account

Now for immediate cash requirements transfer funds from your Fixed Deposits to your
Current Account whenever needed. For more details refer to SBI Multi Options Deposit

Transaction Ease

Unlimited credits allowed in all your accounts

Unlimited number of payments

You can also enjoy the security of a check payment guarantee, should your balance in the
account be insufficient for the payment of a cheque, through a pre-arranged limit.

Make payments by giving us standing instructions

Order Demand Drafts and Payorders on over 9000 locations

Transfer funds from any part of the country

Upcountry Cheque Collection

Free Cheque book of 50 leaves every year

Facility of a safe deposit locker for the safety of your important documents and valuables

Efficient Foreign Exchange Services Money Multipliers

Link your Current Account to your Deposit Account and earn additional interest on your
surplus money. Also get rid of the problem of bounced cheques forever. All this and more
through SBI MOD

Other Benefits

Free Account Transfer between our wide network of branches

Nomination Facility available

Page 66 of 108

Facility to open your Current Account in Single or Joint Names

Very Low Minimum Balance Requirements

Full Security of your money at all times

SAVINGS BANK ACCOUNT

We understand that everyone wants to save for something in the future. We also realize that
everyone wants their savings to be safe and accessible anytime, anyplace to help meet their needs.
So we bring to you the SBI Savings Account, which helps you plan and save for your future
financial requirements. Your savings are completely liquid, and earn competitive interest in our
safety.
State Bank offers two different kinds of Savings accounts- Savings account and Savings account
plus

SAVINGS PLUS ACCOUNT

We all want the best of everything in life and so do you. Have you ever desired an account which
gives you high liquidity coupled with high interest rates? If so, we have the perfect product for you.
The SBI Savings Plus Account brings to you the best of both Savings and Term Deposit Account.
SBI Savings Plus Account gives you the ease of access and liquidity of a Savings Bank Account and
the high rate of return of Term Deposits.

Page 67 of 108

The Bank is actively involved since 1973 in non-profit activity called Community Services Banking.
All our branches and administrative offices throughout the country sponsor and participate in large
number of welfare activities and social causes. Our business is more than banking because we touch
the lives of people anywhere in many ways.
Our commitment to nation-building is complete & comprehensive.

BOARD OF DIRECTORS

List of Directors on the Central Board of

State Bank of India
(As on 4th August 2011)
Sr.
No
.

Name

Designation

Under Section
of SBI Act
1955

ShriPratipChaudhuri

Chairman

19 (a)

ShriHemant G.
Contractor

Managing Director

19 (b)

ShriDiwakar Gupta

Managing Director

19 (b)

Page 68 of 108

Shri A. Krishna Kumar

Managing Director

19 (b)

ShriDileep C. Choksi

Director

19 (c)

Shri S. Venkatachalam

Director

19 (c)

Shri D. Sundaram

Director

19 (c)

ShriParthasarathyIyenga
Director
r

19 (c)

Shri G. D. Nadaf

Officer Employee
Director

19 (cb)

10

ShriRashpalMalhotra

Director

19 (d)

11

Shri D. K. Mittal

Director

19 (E)

12

Dr. Subir V. Gokarn

Director

19 (f)

Page 69 of 108

TRANSFORMATION JOURNEY IN STATE BANK OF INDIA

The State Bank of India, the countrys oldest Bank and a premier in terms of balance sheet size,
number of branches, market capitalization and profits is today going through a momentous phase of
Change and Transformation the two hundred year old Public sector behemoth is today stirring out
of its Public Sector legacy and moving with an agility to give the Private and Foreign Banks a run
for their money.
The bank is entering into many new businesses with strategic tie ups Pension Funds, General
Insurance, Custodial Services, Private Equity, Mobile Banking, Point of Sale Merchant Acquisition,
Advisory Services, structured products etc each one of these initiatives having a huge potential for
growth.
The Bank is forging ahead with cutting edge technology and innovative new banking models, to
expand its Rural Banking base, looking at the vast untapped potential in the hinterland and proposes
to cover 100,000 villages in the next two years.
It is also focusing at the top end of the market, on whole sale banking capabilities to provide Indias
growing mid / large Corporate with a complete array of products and services. It is consolidating its
global treasury operations and entering into structured products and derivative instruments. Today,
the Bank is the largest provider of infrastructure debt and the largest arranger of external commercial
borrowings in the country. It is the only Indian bank to feature in the Fortune 500 list.
The Bank is changing outdated front and back end processes to modern customer friendly processes
to help improve the total customer experience. With about 8500 of its own 10000 branches and
another 5100 branches of its Associate Banks already networked, today it offers the largest banking
network to the Indian customer. The Bank is also in the process of providing complete payment
solution to its clientele with its over 21000 ATMs, and other electronic channels such as Internet
banking, debit cards, mobile banking, etc.
With four national level Apex Training Colleges and 54 learning Centres spread all over the country
the Bank is continuously engaged in skill enhancement of its employees. Some of the training
programes are attended by bankers from banks in other countries.
The bank is also looking at opportunities to grow in size inIndia as well as Internationally. It
presently has 82 foreign offices in 32 countries across the globe. It has also 7 Subsidiaries in India
SBI Capital Markets, SBICAP Securities, SBI DFHI, SBI Factors, SBI Life and SBI Cards - forming
a formidable group in the Indian Banking scenario. It is in the process of raising capital for its
growth and also consolidating its various holdings.

Page 70 of 108

Imperial Bank
The Imperial Bank during the three and a half decades of its existence recorded an impressive
growth in terms of offices, reserves, deposits, investments and advances, thin creases in some cases
amounting to more than six-fold. The financial status and security inherited from its forerunners no
doubt provided a firm and durable platform. But the lofty traditions of banking which the Imperial
Bank consistently maintained and the high standard of integrity it observed in its operations inspired
confidence in its depositors that no other bank in India could perhaps then equal. All these enabled
the Imperial Bank to acquire a pre-eminent position in the Indian banking industry and also secure a
vital place in the country's economic life.

Stamp of Imperial Bank of India

When India attained freedom, the Imperial Bank had a capital base (including reserves) of Rs.11.85
crores, deposits and advances of Rs.275.14 crores and Rs.72.94 crores respectively and a network of
172 branches and more than 200 sub offices extending all over the country.

Page 71 of 108

First Five Year Plan

In 1951, when the First Five Year Plan was launched, the development of rural India was given the
highest priority. The commercial banks of the country including the Imperial Bank of India had till
then confined their operations to the urban sector and were not equipped to respond to the emergent
needs of economic regeneration of the rural areas. In order, therefore, to serve the economy in
general and the rural sector in particular, the All India Rural Credit Survey Committee recommended
the creation of a state-partnered and state-sponsored bank by taking over the Imperial Bank of India,
and integrating with it, the former state-owned or state-associate banks. An act was accordingly
passed in Parliament in May 1955 and the State Bank of India was constituted on 1 July 1955. More
than a quarter of the resources of the Indian banking system thus passed under the direct control of
the State. Later, the State Bank of India (Subsidiary Banks) Act was passed in 1959, enabling the
State Bank of India to take over eight former State-associated banks as its subsidiaries (later named
Associates).
The State Bank of India was thus born with a new sense of social purpose aided by the 480 offices
comprising branches, sub offices and three Local Head Offices inherited from the Imperial Bank.
The concept of banking as mere repositories of the community's savings and lenders to creditworthy
parties was soon to give way to the concept of purposeful banking subserving the growing and
diversified financial needs of planned economic development. The State Bank of India was destined
to act as the pacesetter in this respect and lead the Indian banking system into the exciting field of
national development.

Page 72 of 108

Page 73 of 108

Page 74 of 108

Best Executive Award to the Chairman by Asia Money.

State Bank of India also improved its ranking in Fortune 500 Global List,
Forbes list of 2000 largest companies in the world, Banker list of top
1000 world banks, Brand Finance Global 500 Financial Brand recognition,
to name a few.
Most Admired Infrastructure Financier Award by KPMG,
Top Public Sector Bank under SME Financing by Dun and
Bradstreet
The Bank was voted, for the third year in a row, as the Most Preferred
Housing Loan and Most Preferred Bank in the CNBC AWAAZ Consumer
Awards in a survey conducted by CNBC TV18 in association with AG Nielsen &
Company.
The Bank was also awarded the Best Home Loan Provider as well as
The Best Bank by Outlook Money Awards, 2008.
SBI has been rated as the Best Public Sector Bank for Rural Reach by
Dun & Bradstreet.
The Bank has won awards for topping SHG-Bank Credit linkage in Orissa,
Jharkhand, Maharashtra, Uttarakhand, Tamil Nadu and Uttar Pradesh.
The Bank was awarded Readers Digest Pegasus Corporate Social
Responsibility Award 2007 in recognition of its contribution towards Rural
Community Development.
The Bank was conferred the following National awards by the Government of
India (GOI), Ministry of Micro Small and Medium Enterprises for the FY 2007(i) First under "National Awards for excellence in lending to
Micro Enterprises".
(ii)Second under "National Awards for Excellence in MSE Lending".
(iii) The Bank was also presented an award for outstanding
performance in the area of finance to SMEs by Dun & Bradstreet.
State Bank of India Voted THE BEST

Page 75 of 108

FINANCIAL RESULTS

TABLE I
STATE BANK OF INDIA -FINANCIAL HIGHLIGHTS-2005-2009
FY 2006

FY2005

Deposits

3670.48 3800.46 4355.21 5374.05 7420.73

Advances

2023.74 2618.01 3373.36 4168.95 5425.03

Investments

1970.98 1625.34 1491.49 1895.01 2759.54

Total Assets

4598.83 4940.29 5665.65 7215.26 9644.32

Interest Income

324.28

359.80

Interest Expenses

184.83

203.90

Net Interest Income

Non-Interest Income

FY2007

FY 2008 FY 2009

Rs. in Billion

489.50

637.88

234.37

319.29

429.15

139.45

155.89 160.54

170.21

208.73

71.20

74.35 57.69

86.95

126.91

210.65

230.24 218.23

257.16

335.64

Staff Expenses

69.07

81.23 79.33

77.86

97.47

Overhead Expenses

31.67

36.02 38.91

48.23

59.01

Total Operating Income

394.91

Page 76 of 108

Total Operating
Expenses

100.74

117.25 118.24

126.09

156.49

Operating Profit

109.91

112.99

100.00

131.07

179.15

Total Provisions

66.86

68.93

54.59

63.78

87.94

Net Profit

43.05

44.07

67.29

91.21

45.41

Page 77 of 108

TABLE II
STATE BANK OF INDIA -FINANCIAL HIGHLIGHTS-2005-2009 (IN US $)
FY2005

FY2006 FY2007

FY
2008

FY
2009

Deposits

83.91

85.18 100.19 133.95 146.31

Advances

46.26

58.68 77.60

103.88 106.96

Investments

45.06

36.43 34.31

47.23 54.41

Total Assets

105.13 110.73 130.33 179.84 190.15

Interest Income

7.41

8.06 9.08

12.20 12.58

Page 78 of 108

Interest Expenses

Net Interest Income

Non-Interest Income

Total Operating Income

4.23
3.1
8
1.6
3
4.8
1
1.5

Staff Expenses

Overhead Expenses

Total Operating Expenses

Operating Profit

Total Provisions

0.7
2
2.3
0
2.5
1
1.5
3

4.57 5.39

7.96

8.46

3.49 3.69

4.24

4.12

1.66 1.33

2.17

2.50

5.15 5.02

6.41

6.62

1.82 1.82

1.94

1.92

0.81 0.90

1.2

1.17

2.63 2.72

3.14

3.09

2.52 2.30

3.27

3.53

1.54 1.26

1.59

1.73

SUMMARY OF STATE BANK OF INDIAS BALANCE SHEET

(Rs. in billion)

MARCH
2005

MARCH
2006

MARCH
2007

MARCH
2008

MARCH
2009

CAPITAL & LIABILITIES

Capital
Reserves & Surplus

5.26

5.26

5.26

235.46

271.18

307.72

6.31
484.01

6.35
573.13

Page 79 of 108

Deposits

3670.48

3800.46

4355.21

Borrowings

191.84

306.41

397.03

517.27

537.14

Other Liabilities & Provisions

495.79

556.98

600.42

833.62

1106.97

4598.83

4940.29

5665.65

7215.26

9644.32

Total

5374.04

7420.73

ASSETS
Cash & balances with
Reserve Bank of India

168.10

216.53

290.76

515.35

555.46

Balances with banks and

money at call & short notice

225.12

229.07

228.92

159.32

488.58

Investments

1970.98

1625.34

1491.49

1895.01

2759.54

Advances

2023.74

2618.01

3373.36

4167.68

5425.03

Fixed Assets

26.98

27.53

28.19

Other Assets

183.91

223.81

252.92

Total

4598.83

4940.29

5665.65

7215.26

9644.32

Contingent Liabilities

1593.97

2288.51

3065.90

8107.96

7237

167.77

205.93

233.68

Bills for Collection

33.73
444.17

189.47

38.38
377.33

438.70

STATE BANK OF INDIA MARKET RELATED RATIOS

MARKET RELATED RATIOS

MAR 05

MAR 06

MAR 07

MAR 08

MAR 09

Page 80 of 108

Market Price (Rs)

(as on last day of the
year/quarter)

657

968

Price to Book Ratio (%)

1.44

1.84

Market Capitalization
(Rs in Billion)
Earning Per Share
( Rs)

P/E Ratio (%)

993

1.64

522.56

1599

1067

2.06

1.17

974.12

677.13

345.75

509.48

81.79

83.73

86.29 126.62

8.03

10.40

11.51

12.63

143.77

7.42

Page 81 of 108

RESEARCH
METHODOLOGY

Page 82 of 108

RESEARCH METHODOLOGY

The project that was assigned to me was very extensive in nature. I have to
undertake market research in a big way to order to reach correct figures.

1-Collection of Primary Data- As a part of market research I obtained that desired

information from 100 people by designing the questionnaire, which is attached with this report. It
was one of the most uphill tasks as interviewee of each person for about 15 to 20 minutes and
obtained the information according to questionnaire. The information obtained, was compiled in
terms of charts, which is also attached for references.
2. Collection of Secondary Data- Apart from the primary data sources of the
Secondary data were also collected from taken from Bank brochures.
3.Computed of Collected Data- Data collected from both primary and secondary

sources

were compiled in the form of chart and various pictorial representations like bar charts and pie
diagrams.
4. Sample size

100 People.

Page 83 of 108

FINDINGS
& INTERPRETATION

Page 84 of 108

FINDINGS & INTERPRETATION

1.

Do you know about Retail Banking?

Yes

60%

No

40%

Retail Banking

yes
no

Page 85 of 108

This figure shows that maximum number of people know about Retail Banking.2.
Have you taken any personal loan from Private Sector Bank?
Yes

30%

No

70%

Personal loan

Yes
No

Page 86 of 108

This figure identifies the minimum number of people take the personal loan because
ICICI Bank is a new Bank. 3.

Have you taken any current account from ICICI

Bank?
Yes

40%

No

60%

Current Account

Yes
No

Page 87 of 108

A 40% person prefers current account of ICICI Bank because other banks are not
providing best services to its customers.

4.

How did you come to know about SBI and ICICI Bank?
(a) Advertisement

50%

(b) Word of Mouth

30%

(c) Referred by your

20%

company / Friend

Information

Advertisement
Word of Mouth
Reference

Page 88 of 108

Page 89 of 108

Advertisement is necessary for any bank to selling its product and should provide best
services to customers for word of mouth. Word of mouths impacts on advertising of
any product.5.

What make you to select a particular bank for the Retail

Banking?
(a) Service

40%

(b) Brand name

25%

(c) Facilities

20%

(d) Policies

15%

Selection

Service
Brand name
Facilities
Policies

Page 90 of 108

Brand name of any bank with best services than a person will choose that particular
bank.6.

How do you like the Retail Banking of SBI Bank from other Banks?
(a) Good

40%

(b) Average

50%

Bad

10%

Liking

Good
Average
Bad

Retail Banking of SBI is average, 50% person shows that they are offering average
product and services and 40%person says it is good.

Page 91 of 108

7. Do you like the products & services of SBI?

(a) Yes

40%

(b) No

60%

(a) Yes
(b) No

Page 92 of 108

A 40% customers like the product & services of SBI because they all are the old
customers of the bank.8.

Which bank would you prefer if you have never applied

for Retail Banking?

SBI

25%

PNB

20%

HDFC BANK

10%

ICICI BANK

20%

CITI BANK

5%

KOTAK MAHINDRA BANK

10%

HSBC BANK

10%

Prefrence
SBI
PNB
HDFC
ICICI
KOTAK MAHINDRA
HSBC

Page 93 of 108

Government Sector Banks are on the top but in private sector ICICI Bank is taking as
a leading bank in front of State Bank of India
9.Which Bank satisfies you more from its services& working?
ICICI

60%

SBI

40%

Satisfaction

ICICI
SBI

This is because of the fast working & the dedicated staff of Private sector Banks.

Page 94 of 108

SUGGESTIONS

Page 95 of 108

SUGGESTIONS

In view of the weakness of financial system of ICICI Bank and findings from the study following
suggestions can be given.

a. ICICI has to provide some risky finance to sheen the financial position of priority
sector and for their growth because every person cannot mortgage their land and
building for getting loan lower the trend of such finance should be estimated.
b. ICICI

should provide some liberalized and adequate finance for

marketing

activities. So that solvency position of priority sector could be increased.

c. State Bank of Inida has to improve their customer service by which customer feel
satisfy.
d. ICICI Bank should open the saving account at 1000 rupees also.
e. Bank also increases their branches so that they cover all type of customers.
f. ICICI should give the advertisements because of this customer will know more about
ICICI.
g. SBI should provide best facilities to its customers.
h. SBI should provide new schemes to its customers.

Page 96 of 108

RECOMMENDATION

Page 97 of 108

RECOMMENDATION

ICICI BANK:

OBSERVATION

CONCLUSION

RECOMMENDATION

Page 98 of 108

Product offers

Does

not

provide Should provide education loan

education loan
Quota setting

No set type of quota

Use particular type of quota

Planning style for budget

Top down

Apply feed back from bottom

also

STATE BANK OF INDIA

OBSERVATION

CONCLUSION

RECOMMENDATION

Quota setting

Budget and activity quota

Sales volume quota

Territory allocation

Geographically

See market and product also

Sources of sales force Within the break

Take outside also for new

recruit

ideas and concept

Page 99 of 108

CONCLUSION

Page 100 of 108

CONCLUSION
There is a very important role-play by the ICICI Banks in the present time. They provide a better
quality product to their customer and they also try to provide a high return to their investment. By
which they satisfy their customer and improve their business in the market.

Conclusion related to financial poison of ICICI Banks

ICICI Banks is the growing private bank in India in terms of profits, assets deposits, branches and
employees.
a) About 12% of domestic deposits of ICICI Banks are in the form of interest free current
account and about 27% are in the form of low interest saving account.

Page 101 of 108

b) ICICI Banks . has been authorized to under take primary dealer business with effect from
March 20, 2007
c) SBI has more customers in front of ICICI Bank.
d) SBI and ICICI Bank both provide best product and facilities to its customer.

Page 102 of 108

QUESTIONNAIRE

Page 103 of 108

QUESTIONNAIRE

Name:

Age:

Occupation:

Gender:

Contact no.-

Income:

Questionnaire for customers:

1.

Do you know about Retail Banking?

Yes
No

2.

Have you taken any personal loan from ICICI Bank?

Yes
No

3.

Have you taken any current account from ICICI Bank ?

Yes
No

4.

How did you come to know about SBI and

Page 104 of 108

ICICI Bank?
(a) Advertisement

(b) Word of Mouth

(c) Referred by your company
/ Friend

5.

What make you to select a particular bank for the Retail Banking?
(a) Service
(b) Brand name
(c) Facilities
(d) Policies

6.

How do you like the Retail Banking of ICICI Bank from other Banks?
(a) Good
(b) Average
Bad

7. Do you like the products & services of ICICI Bank?

(a) Yes
(b) No

Page 105 of 108

8.

Which bank would you prefer if you have never applied for Retail Banking?
SBI
PNB
HDFC BANK
ICICI BANK
CITI BANK
KOTAK MAHINDRA BANK
HSBC BANK

9.Which Bank satisfies you more from its services & working?
ICICI

60%

SBI

40%

Page 106 of 108

BIBLIOGRAPHY

Page 107 of 108

BIBLIOGRAPHY

WEBSITES:

www.icicibank.com

www.sbionline.com

www.google.com

Page 108 of 108

Annual report of the SBI and ICICI Bank (2007-2008).

Brochures of both the banks.