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On CENTRAL BANK OF INDIA Submitted By RAULO RAVIKUMAR (Roll No: 35) SEM V, T.Y.B.B.I. Under The Guidance Of Dr Mrs. MEETA PATHADE Submitted To University Of Mumbai in Partial Fulfilment of the Requirements for the Award of Degree Of BACHELOR OF BANKING & INSURANCE
PATUCK GALA COLLEGE OF COMMERCE AND MANAGEMENT SANTACRUZ (E), MUMBAI – 400055 2012-2013
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This is to certify that the project that the project entitled “Facilities provide by bank to import and export bank” is a true and satisfactory work done by Mr. RAULO RAVI KUMAR, T.Y.B.B.I., Roll No. 35. The project report submitted to university of Mumbai in partial fulfillment for the requirements of the award of the degree of “Bachelor of Banking & Insurance” for the academic year 2012-2013.
Signature of Project Guide
Signature of External Examiner
Signature of the Coordinator
Signature of the Principal
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I, RAULO RAVIKUMAR, student of Patuck- gala college of Commerce & management, T.Y.B.B.I. (Sem V) hereby declare that I have completed the project on comparison on public sector banks vs private sector banks in India in the academic year 2012-2013.
The subject matter contained in this project is research work and most of the work carried out is original and was done under the guidance of my project guide Mrs. MEETA PATHADE
The information submitted is true and original to the best of my knowledge.
--------------------------------(RAULO RAVIKUMAR) (Roll No. 35)
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Finally. I thank all the staff members and my friends for their valuable support and contribution to my project. Principal for having given me a chance to undergo the project work. I have had considerable help to advice ate very outset of this project. It is my pleasure to acknowledge the help and guidance that I had received from those personnel and to thank them individually. (Mrs. required suggestions and encouragement for refining this project study. I am deeply grateful to my project guide Mrs.ACKNOWLEDGEMENT It is my earnest and sincere desire and ambition to acquire profound knowledge in the study of management studies. First of all. Secondly. I convey my sincere thanks to the course coordinator Ms. I express my sincere thanks to Dr. Meeta Pathade for her valuable ideas. Byshi Panikar for her valuable suggestions and co-operation which helped me to complete the project guide. Page | 4 .
CENTRAL BANK OF INDIA Page | 5 .
These new banks have brought in state-of-the-art technology and aggressively marketed their products. Today.BANKING STRUCTURE IN INDIA Scheduled banks in India (A) Scheduled commercial banks Public sector banks Private sector banks Foreign banks in India (28) Nationalized bank Other public sector bank (IDBI) SBI and its associates (27) Old private banks New private banks (29) (102) Regional rural bank (B)Scheduled co-operative banks Scheduled urban co-operative banks (55) Scheduled state co-operative banks (31) Here we more concerned about public sector banks and competition among them. Page | 6 . The Public sector banks are facing a stiff competition from the new private sector banks. there are 28 public sector banks in the banking sector: 19 old private sector banks and 8 new private sector banks.
Doha. This is the first time the bank is venturing an independent overseas foray after the Page | 7 . Central Bank of India. will convert an amount of crore out of its 800 1. The increase in CAR of the banks will also enable them to lend more money. 671. It will shore up the balance-sheet of the bank and enable it to raise capital from the markets. The infusion of funds will improve the financial health of the banks as their capital adequacy ratio (CAR) will be raised more than desired level of 12 percent. Prior to his appointment as Chairman & Managing Director.V TANKSALE has been appointed as Chairman & Managing Director. Central Bank of India with effect from June 29. Central Bank of India Shri Tanksale was the Executive Director. It is based in Mumbai. Chairman & Managing Director. NII was 544. M. The wholly owned public sector bank.Singapore. For financial year 2008-2009. is one of the oldest and largest commercial banks in India. London and Hong Kong. The bank has 3. Punjab National Bank since March 2009. Mr.85 crore (YoY). Central bank of India is one of 18 Public Sector banks in India to get recapitalisation finance from the government over the next 24 months. which would be benchmarked to 100 basis points above the repo rate. based in Mumbai. Central Bank of India's Q3 standalone net profit went up at 353. Central Bank of India has handed over the Dividend Cheque of 192. The bank's standalone net interest income. one of the leading Public Sector Banks in the country has paid a Dividend of 192.124.563 branches and 270 extension counters across 27 Indian states and three Union Territories.66 crore to (Centre) Hon‟ble Union Finance Minister Shri Pranab Mukherjee on 19/08/2011 at New Delhi. 2011. Dubai. Shri M V Tanksale.01 crore (YoY).14-crore total equity capital into perpetual non-cumulative preference shares.26 crore from up at 201.66 crore to the Government of India for the Financial Year 2010-11.94 crore versus Central Bank of India has approached the Reserve Bank of India (RBI) for permission to open representative offices in five locations .INTRODUCTION Central Bank of India. The preference shares would carry an annual floating coupon rate of eight per cent. a government-owned bank. The CAR of Central Bank of India was less than 12 percent as on 30 June 2006.
Exim Bills Trade Finance software from China Systems and treasury from TCS. who was so happy and excited about the project that he reportedly termed the Central Bank of India as “property of the nation and the country‟s asset”. The solution set to be implemented will include B@NCS from Sydney-based Financial Network Solutions (FNS).868. who had always dreamt of establishing a thoroughly Indian bank. The bank entered a partnership with Kotak Mahindra Assets Management Company in December 2008.Sethia scam in the 1970s forced the bank to close down its London office.33 crore. Sir Sorabji Pockhanawala was the founder of the bank. As on 31 March 2011. 09. The bank had a staff HISTORY OF THE BANK Central Bank of India is one of the oldest commercial banks of India. a yet another Indian enthusiast. Page | 8 . to close down. In the year 1969 the bank was nationalized by the Government of India. RBI had then asked the other two banks.241 as on Nov 2006. the bank's reserves and surplus stood at business at the end of the last fiscal amounted to strength of 37.85 crore. under which all the Kotak Mutual Fund products will be made available through Central Bank of India branches. who had operations in London. The first Chairman of the bank was Sir Pherozesha Mehta. Key Attributes Central Bank of India claims to be the first bank to be conferred with the National Award for Excellence in Micro and Small Enterprises (MSE) Lending for the year 2007-08. Central Bank of India partnered with TCS [Tata Consultancy Services] for its Core Banking Solution. Its total 2. 6. With all of its branches in the core banking system (CBS). and reportedly is the first truly Indian bank which was totally owned and established by Indian without any foreign help. 757.
The headquarters of the bank are located in Mumbai.Products and Services Central Bank of India offers a host of banking services to its customers including Regular Banking Services such as Deposits and Loans. Presence in India Central Bank of India has a strong presence in the country with over 3000 branches and more than 250 extension counters nationwide as of April 2009. Mumbai Metro Zonal Office. and other services including Central card Electronic Cards. International Banking Services. along with 16 other zonal offices established in different cities of the nation. Chennai. Patna. Chandigarh. Pune and Raipur Page | 9 . Bhopal. Ahmadabad. Debit Cards. Kolkata. No-Frills Savings Deposit Account under the name Cent Bachat Khata. and Finance options for domestic and international tours under the name Cent Safar. Hyderabad. Nagpur. Lucknow. including Agra. Guwahati. Muzaffarpur. New Delhi. the financial capital of India.
In fact. Subsequently. Central Bank continued to introduce a number of innovative banking services as under: 1976 The Merchant Banking Cell was established.OVERVIEW OF THE BANK Established in 1911. founder of the Bank. He also added that 'Central Bank of India lives on people's faith and regards itself as the people's own bank'. Page | 10 . 1962 Recurring Deposit Scheme. Central Bank of India was the first Indian commercial bank which was wholly owned and managed by Indians. 1929 Setting up of the Executor and Trustee Department. 1926 Safe Deposit Locker facility and Rupee Travellers' Cheques. such was the extent of pride felt by Sir Sorabji Pochkhanawala that he proclaimed Central Bank of India as the 'property of the nation and the country's asset'. 1924 An Exclusive Ladies Department to cater to the Bank's women clientele. The Bank could successfully transform every threat into business opportunity and excelled over its peers in the Banking industry. The establishment of the Bank was the ultimate realisation of the dream of Sir Sorabji Pochkhanawala. During the past 99 years of history the Bank has weathered many storms and faced many challenges. even after the nationalisation of the Bank in the year 1969. 1932 Deposit Insurance Benefit Scheme. A number of innovative and unique banking activities have been launched by Central Bank of India and a brief mention of some of its pioneering services are as under: 1921 Introduction to the Home Savings Safe Deposit Schemeto build saving/thrift habits in all sections of the society. Sir Pherozesha Mehta was the first Chairman of a truly 'Swadeshi Bank'.
Among the Public Sector Banks. Page | 11 . Further in line with the guidelines from Reserve Bank of India as also the Government of India. 1994 Quick Cheque Collection Service (QCC) & Express Service was set up to enable speedy collection of outstation cheques. LIC. Central Bank of India can be truly described as an All India Bank. small scale industries as also medium and large industries. The Bank also introduced a number of Self Employment Schemes to promote employment among the educated youth. due to distribution of its large network in 27 out of 29 States as also in 3 out of 7 Union Territories in India. Central Bank of India holds a very prominent place among the Public Sector Banks on account of its network of 3967 branches and 27 extension counters at various centres throughout the length and breadth of the country. UTI. the credit card of the Bank was introduced. Central Bank has been playing an increasingly active role in promoting the key thrust areas of agriculture.1980 Central card. was started with its headquarters at Bhopal in Madhya Pradesh. HDFC as also almost all major corporate houses in the country. IDBI. 1989 The housing subsidiary Cent Bank Home Finance Ltd. Customers' confidence in Central Bank of India's wide ranging services can very well be judged from the list of major corporate clients such as ICICI. 1986 'Platinum Jubilee Money Back Deposit Scheme' was launched.
Play a proactive role in the full realisation of India‟s potential. Contribute positively to the various countries and markets in which we operate. Mission We will leverage our people. Create value for our stakeholders Page | 12 . Maintain high standards of governance and ethics. Maintain a healthy financial profile and diversify our earnings across businesses and geographies. speed and financial capital to: Be the banker of first choice for our customers by delivering high quality. Expand the frontiers of our business globally. world-class products and services. technology.VISION AND MISSION Vision To be the leading provider of financial services in India A major global bank.
3% in 2010 and expected to further fall to 3.5% as per revised estimates of CSO against 8.5% in 2012 as per the International Monetary Fund‟s (IMF) April2012 update of the World Economic Outlook (WEO).2% in 2010-11 reflecting the down-turn in construction growth. Page | 13 . The growth has been disappointing on account of current uncertain global conditions and one of the worst performances in domestic industrial sector. industry and services slowed down in 201112. despite a record food grain production of 250 million tons in 201112.2% in 2011 compared to 7. The Economic growth moderated to6. DOMESTIC ECONOMY Indian Economy in 2011-12 was surrounded by concerns of high inflation. bourgeoning fiscal deficit and pronouncing current account deficit.8% against a high achievement of 7% in2010-11. The global economy grew by 3. agriculture. The growth in services sector including construction sector is estimated to grow at 8.4% seen in 2010-11.5 % in 2011-12 as against 9.9% in 2011 against 5.5 % in 2010 and likely to fall to 5.6 % in 2011 compared to 3. that has a share in employment as high as 55%. The recovery process which started since then is beginning to freeze and the sovereign debt crisis in the euro zone area has started threatening the very survival of the Euro Zone.7% in 2012.Agriculture and allied agriculture growth fell to 2. Gross domestic product (GDP) growth in advanced economies declined to 1.2 % in 2010 and again expected to fall to 1.4% in 2012.Thecontribution of agriculture and allied activities to GDP is only 14% but slow-down in agriculture growth has severe impact on the employment in this sector. All the three sectors viz. Similar trend is seen in emerging economies as they slowed to 6.ECONOMIC SCENARIO OF THE BANK TO EXPAND OVERSEAS GLOBAL DEVELOPMENTS The after effects of the financial crisis of the 2008 have continued to impact global economy.
6 billion (3.68/$ in December11rose moderately to Rs. the main focus of Monetary Policy was to curb inflation and anchoring inflationary expectation.This is on account of slow recovery in the US and Europe and due to tight monetary policy affecting the overall investors‟ confidence. The credit growth was 19.4 Lakh croreduring February 2012 and further to Rs. steel. thereby surpassing the indicative target of $300 billion set for the year. This has been primarily because of the large current account deficit and balance of payments deficit.0% of GDP) from US$ 39.3 % of GDP) in April-December 2010.37 /$ fell to Rs. the credit growth has slowed in comparison to last year due to slowdown in economic growth and battered sector of industries like textile. 52. However. infrastructure etc. Average net injection of liquidity under the daily liquidity adjustment facility (LAF) surged from a low Rs. Coal. 50 thousand crore in September 2011 to around Rs. 1. The imports however too increased by 32% amounting to $488 billion resulting in trade deficit of $184 billion. The Rupee against dollar has fallen sharply during the year. The month-wise growth inIIP exhibited high volatility on account of fluctuation in growth of capital goods.The growth in Index of eight core industries viz. The growth in capital goods declined from 37% in June 2011 to negative 25% in October 2011. the RBI conducted BANKING The Aggregate deposit growth for the financial year has been 17. mining. In beginning of the financial year the exchange rate was at Rs. 44. the merchandise exports in 2011-12 has increased by 21% amounting to$304 billion.6 Lakh crore during March 2012. 1.contributing 38% to the IIP has also fell to 4. On external front. The overall liquidity position during the year has remained in a squeezed mode. Crude oil. The main reasons behind the slow deposits growth were high inflation and depositors moving their funds to better avenues like goldand real estate. 4000 crore at the beginning of financial year to Rs.3% during April-March 2011-12 compared to6.76 /$ in March12.7billion (4.4% that surpassed the indicative target of 16 %( revised downward from 18% set earlier in the year). Natural gas etc. To ease liquidity deficit.4% that is marginally above the 17% indicative target set by the RBI.6% during the corresponding period of the previous year.51. Page | 14 . This has widened current account deficit (CAD) to US$ 53. MONETARY DEVELOPMENTS For the FY 2011-12.
The share of CASA deposits to total deposits was 33. 346898 crore. The Bank has posted net profit of Rs. the total business of the Bank was Rs. OVER ALL PERFORMANCE OF THE BANK IN INDIA BUSINESS As on 31st March 2012. Iron & Steel. Savings Bank Deposits increased to Rs. 47645 crore in last year. Banks have to maintain a minimum overall capital adequacy of 11. 130898 crore with y-o-growth of 12. marking a growth of 8. 1252 crore in previous year. Term Deposits increased to Rs.38 % over previous year. in crore Page | 15 .27 per cent. The operating profit reached to Rs. 52595 crore in2011-12 from Rs.The RBI has unveiled the guidelines on Basel III . 2018.63% from the previous year figure of Rs. 2013 in a phased manner and will be fully implemented by March31. As per these guidelines. Current Deposits declined from Rs. Other Textiles etc. 2591 crore. 310763 crore.65%. 131407 crore in the previous year. 12680 crore in 2011-12. 196173 crore. 2815 crore from previous year figure of Rs. registering a growth rate of 9. 116280 crore in 2010-11. RESOURCE MOBILISATION The total deposits as on March 31.5% (against the current 9%) by March 31.70%. 533 crore in 2011-12 as against Rs. 2012 stood at Rs. registering a growth of 11. CREDIT As of 31. 15431 crore in 2010-11 to Rs. Retail lending and Corporate Credit have registered sizable growth as under: Rs. All Engineering. 2018. the gross credit of the Bank stood at Rs.57 per cent from Rs. registering y-o-y growth of 14.03. The growth in credit is diversified in all segments with higher growth in retail lending and industries viz.These guidelines would become effective from January 1. 150725 crore as against Rs.2012.
• The Bank is also implementing Centralized Loan Appraisal System &Supervision (CLASS) software for monitoring Corporate.f. Early Warning Signals.e.2011 Corporate Credit Retail Lending Priority Sector Credit 84995 12522 37467 As on 31. Monitoring & Follow-up Measures and Reporting System.2012 106758 17496 40749 Growth (%) 25.72 8. The policy will be reviewed annually.03. • The Bank has also submitted point-wise compliance to all the earlier Annual Financial Inspection (AFI) Reports and the AFI Reports up to 2010 are closed and all the observations of AFI 2011 have been replied to. SME.61 39.As on 31. • The policy was approved by the Board in May 2011 and implemented across the Bank with effect from 1st July 2011. • As per Monitoring Policy guidelines.03. Monitoring Committee is formed at Central Office level as well as at the field level to review and monitor SMA accounts periodically. • Meetings were also conducted at different locations at Regional Offices andZonal Offices to have one-to-one interaction with the SMA borrowers to chalk out strategies for recovery/upgradation of the accounts.76 CREDIT MONITORING DEPARTMENT • Bank has introduced a well-defined Monitoring Policy. Page | 16 . • An independent vertical under an independent charge of Chief General Manager has-been created for Credit Monitoring w. Retail and Priority Sector advances on real-time basis. containing detailed guidelines on SMA (Special Mention Accounts) Management which encompasses all areas of Mismanagement. 1st August 2011.
04 18950 14. & other 22.PRIORITY SECTOR CREDIT The credit deployed under priority sector increased form Rs.70 * Negative due to change in classification norms Page | 17 .83 40749 31.90 32. incrore S No. March 2011 AFI corrected figures March 2012 Growth (%) Particulars Adjusted Net Bank Credit (ANBC) 1 Priority Sector Advance Percent to ANBC 2 Total Agriculture Advance Percent to ANBC 3 Direct Agriculture Advances Percent to ANBC 4 106146 131277 37467 35.crore in 2011-12.18 20.60 Indirect Agricultural Advances 5984 Percent to ANBC 5.60% over 2010-11. 37467 crore toRs40749.90 13518 2058 8.76% Out of this.64 8 269 216 -19.95 7 6106 6006 -1. The performance recorded by the Bank under various segments of priority sector as on 31.30 18545 17.00 lacks) Micro Cr.43 15148 11.2012 is as under:Rs.46* 5 6 Micro & Small Enterprises Education Loan Housing Loan (up to Rs. the direct Agriculture advance has record a growth of 20. 25.64 10999 1548 -36. recording a y-o-y growth of 8.03.54 3802 2.76 2.47 12561 11.
AGRICULTURE Total Agriculture credit increased by 2.18% from a level of Rs. 18545 crore as on31.3.2011 to Rs. 18950 crore as on 31.03.2012. The share to adjusted net bank credit (ANBC) stood at 14.43%. AGRI BANKING PORTAL It is started in the Bank‟s website incorporating all our agricultural lending schemes and simplified Common Application Forms. MICRO CREDIT The Bank has extended credit of Rs. 216 crore to beneficiaries where the loan amount does not exceed Rs. 50000 per borrower.
MICRO & SMALL ENTERPRISES (MSE) - ONLY PRIORITY SECTOR PORTFOLIO The advances to MSE increased to Rs. 13518 crore at the end of the current year fromRs. 10999 crore as on 31.03.2011. 202 branches have been identified for focused attention on MSE credit. Extensive training has been provided to Branch Managers of these branches at our Apex Training Institute in Mumbai. These branches are now adopting cluster-based approach for accelerated growth under the MSE. Further, the Bank is extending collateral free loans up to Rs.100 lakhs for setting up units under Micro & Small Enterprises sector, which are also eligible for cover under CGTMSE scheme. Bank has organized 9Entrepreneurship Development Programmes and 12 symposiums across the country, for new, young and budding MSE entrepreneurs. MSE PORTAL Started on the Bank‟s website incorporating all our lending schemes and simplified Common Application Forms. SELF HELP GROUPS During the year 13256 groups were formed under the scheme by the Bank. Out of which6797 groups have been credit-linked. Since inception of the scheme the Bank has formed152190
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SHGs out of which 95128 groups are credit-linked with outstanding balance of Rs. 766.57 crore at the end of the year. Out of the credit-linked groups, 76953 are women SHGswith total sanctioned limits of Rs. 603.26 crore which comes to 80.90% of total credit linked groups.
PERFORMANCE UNDER LEAD BANK: Our Bank is shouldering the responsibility of Lead Bank in 48 districts of the country. Our Lead Bank officers are coordinating with other banks in the district. Particularly in matters like branch expansion and credit planning. They are also coordinating with Govt.offices.
AGRICULTURAL DEBT WAIVER AND DEBT RELIEF SCHEME 2008 Bank has lodged the claim under Debt Waiver and Debt Relief scheme 2008 separately withRBI for their reimbursement, the position is as under:Rs. in crore Debt Waiver scheme A/cs 447000 Amount 978.54 Debt Relief Scheme A/cs 67072 Amount 147.77 Total A/c 514072 Amount 1126.31
RBI/Government of India reimbursed the full amount of Rs. 1126.31 crore to Bank.
STATE LEVEL BANKER’S COMMITTEE (SLBC) Bank is convener of SLBC in the state of Madhya Pradesh. During the year 2011-12, fourSLBC meetings were held to review and monitor the progress made in the State under various parameters including Government sponsored programmes by different development agencies.
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GOVERNMENT SPONSORED PROGRAMME (2011-12) During the year, the Bank has sanctioned loan under different Government sponsored programme as under: Rs. in crore Sr.No. Scheme Disbursement during 2011-12 A/c. 1 2 3 SGSY SJSRY PMEGP 13525 4137 6244 Amount 134.18 26.01 185.97
ADVANCES TO WEAKER SECTIONS During the year, the Bank has extended loans of Rs. 13214.22 crore to various categories of weaker sections which constitutes 10.07% of ANBC, which is above the target(10%) envisaged by Government.
ADVANCE TO MINORITY COMMUNITIES Govt. of India in its new Prime Minister‟s 15 point programme for welfare of Minorities has envisaged a target of 15% of priority sector lending to minority communities. Bank has extended various loan facilities amounting to Rs. 6179.54 crore to541224 beneficiaries, belonging to different Minority communities which accounts for15.16% of Priority Sector lending as on 31.03.2012.
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DIFFERENTIAL RATE OF INTEREST (DRI) Advances under DRI scheme were Rs. has improved over the past year resulting the outstanding credit to women as on 31st March 2012 at Rs. oilseeds in the notified states / areas.ADVANCES TO WOMEN BENEFICIARIES Credit disbursement to women beneficiaries. Bank has already covered 21267 women beneficiaries with premium amounting to Rs. RASHTRIYA KRISHI BIMA YOJANA Under the scheme. amounting toRs.05 Crore. 3. who are below or marginally above the poverty line and who are members of credit linked women SHGs of our Bank. This is 5. 34.18 crore on 31st March 2012. cover is extended to the farmers for the losses due to on-preventable risks like natural calamities etc. JANSHREE BIMA YOJANA The scheme is operated in association with LIC of India to provide life insurance cover to rural and urban poor women.02 % of ANBC as against the stipulated RBI norms of 5% of ANBC. CENTRAL KISAN CREDIT CARD (CKCC) Bank has issued Kisan Credit Cards to 1369858 beneficiaries till 31st March2012. Page | 21 . 8428. 2. 35.75 crore to beneficiaries residing in the rural and semi urban areas to meet their requirements. 21.14 crore. CENT JANATA CREDIT CARDS (CJCC) Bank has issued 34261 cards (including Overdraft accounts) amounting to Rs.26 lakhs during the year 2011-12. 6585. The above scheme is available throughout the country for cereals. SOCIAL SECURITY SCHEMES 1.
5. Under this 715 training programmes conducted and 23289 candidates were trained. 6. This does not include advance against warehouse receipts. All the accounts have been migrated to Our CBS. irrespective of clientele.15 lakh to 509 beneficiaries under the scheme for construction of dwelling units. RURAL GODOWNS AND WAREHOUSES / COLD STORAGES Bank has extended advances for construction of rural god owns and warehouses / cold storages to 362 accounts amount is Rs. 3629 villages have been covered through Business Correspondent model and 96villages have been covered through brick and mortar branches. FINANCIAL INCLUSION 3725 villages having population more than 2000 have been allotted to the Bank to cover under Financial Inclusion Plan by March 2012. We have issued 30. 101. A total of 8012 villages. have been covered under financial inclusion and 4701 Business Correspondents were appointed.78 crore so that farmers are not compelled to make distress sale of their produce during peak season. Bank has extended advance for warehouse and cold storage in various accounts and farmers are taking benefits of these schemes. Bank has covered all these villages by 21December 2011. FLCCs to provide free Financial Literacy to the villager‟s on the various banking products and counselling to distressed farmers / borrowers. 685. INDIRA AWAS YOJANA Bank has extended loan of Rs. 7.4. RURAL SELF EMPLOYMENT AND TRAINING INSTITUTE (RSETI) Bank has established 46 RSETIs (44 in lead districts and two in non lead district allotted under SLBCs). Page | 22 . "CENTRAL BANK OF INDIA SAMAJIK UTTHAN AVAM PRASHIKSHAN SANSTHAN"(CBI-SUAPS) Bank has opened 49 FLCCs.93 lacs Smart Cards in these villages. including villages with population less than 2000.
The retail portfolio of the Bank was 11. registering quantum growth of Rs. Bank has also launched an urban inclusion project at Delhi and NCR.4974crore and percentage growth of 39. 17496 crore as on 31.03. • Cent Vikas khata . • Cent Bachat khata . 12522 crore as on31. RETAIL CREDIT Total outstanding under Retail Lending Schemes increased from Rs. • Cent Smart General Credit Card .03.25000.61 per cent of total advances.Entrepreneurial/consumption credit to farmers up to Rs.Entrepreneurial/consumption credit to non-agriculturist up to Rs.2012.No Frill Account for making and receiving remittances. • Cent Variable Recurring Deposit Scheme . in crore) 31/03/2010 Y-O-Y Growth 9% 31/03/2011 Y-O-Y Growth 26% 31/03/2012 Y-O-Y GROWTH 40% Actual Actual Actual Retail Advances Total Advances % of Total Advances 9902 12522 17496 107319 24% 131407 22% 150725 15% 9% 10% 12% Page | 23 . 10000.SB a/c with limited OD facility up to Rs.Pure deposit product for term up to 3 years with variable instalments. RETAIL LENDING GROWTH AT A GLANCE ( Rs.2011 to Rs.We have developed five tailor made products exclusively to be delivered through BCModel. 2500/• Cent Smart Kisan Credit Card .72% over March 2011.
200 crore encompassing 2834 accounts has already been disbursed under the scheme within a short span of 6 months despite its small ticket size. one crore to the MSEsegment which is large and mostly unbanked. Housing loan was extended to Central/ State Govt. Housing Loan Variants• Cent Home Swabhiman Plus This product is introduced to facilitate Seniors/Senior Citizens to avail Home Loan with reverse mortgage facility and we also tied-up with Tata Housing Development Ltd for project of houses for Senior Citizens/ citizen above 55 years of age. Launching of Scheme for financing small entrepreneurs "Cent Sahyog"-Bank has introduced a new Retail Loan Product "CENT SAHYOG". • Special Housing loan scheme for employees of Central / State Govt. 2011. Special emphasis has been given to tiny entrepreneurs with financial assistance up to Rs. The scheme has become operative from October 2nd. in crore) MAR‟11 RETAIL CREDIT TOTAL CREDIT SHARE OF RETAIL 12522 131407 9. Under the Scheme. 2. The scheme has been very well received by the MSE segment which is evident from the fact thatRs. Page | 24 . and employees of PSUs of Central Govt. The objective of the Scheme is to offer hassle free financial requirement up to Rs. employees and employees of PSUs of Central Government at base rate. 10 lacs.SHARE OF RETAIL CREDIT IN TOTAL CREDIT PORTFOLIO (Rs.53% MAR‟12 17496 150725 11.61% Introduction of new Retail Loan schemes 1. particularly for the (MSE) Micro and Small Enterprises sector (Manufacturing & Services) with Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) cover.
The scheme is aimed at retaining the staff housing loans with the Bank after retirement. 3.• Scheme for staff members for conversion of outstanding balance in staff housing loan scheme into direct housing loan scheme on the day of retirement. • Eligibility criteria changed. customized credit cards etc. It is also a mechanism through which a Bank / Financial Institution meets the various funds related requirements along the Supply Chain at the suppliers end. was specially designed for the armed and Para military forces. • Delegated lending powers of Branch Managers suitably increased. Cent Mortgage Cent Rental Page | 25 . Modification in the existing Retail Loan Schemes: Schemes Sent Home Loan Plus Modifications • Overall limit was enhanced. Cent Param Salary account scheme with many attractive features like free remittance. • Other constraints removed. 4. Comprehensive Scheme on Channel Financing Channel Financing is an innovative option for extending working capital finance to dealers who have business relationships with large companies. • Other constraints removed. • Delegated lending powers of Branch Managers suitably increased. Retail Loan sat concessional rates. • Property situated at rural location was made eligible for finance. This thereby helps the supplier in sustaining seamless business flow and avoiding working capital related difficulties.
The methodology of outsourcing should strictly be in terms of the "OUTSOURCINGPOLICY" of the Bank. 2002. Personal Gold loan • Loan Limit per gram increased. • Rationalization of Schemes: Several Retail Lending Schemes have been launched by the Bank over the years which were either client specific or purpose specific. • Outsourcing Policy: Out sourcing of Contact Point Verification (CPV) and Document Verification Reports (DVR) for the Retail Loan proposals sanctioned through CCPCcan now be done. Loans to pensioners • Eligible quantum of loan suitably enhanced.2011 need to be registered with the Central Registry. In order to provide relief to the borrowers from the fluctuating amount of EMI due to upward revision in interest rates. The Department has taken all Page | 26 . in order to cater to the demand of the market at various points of time. The work is to be outsourced to the well-known Field Investigating Agency(FIA) by calling for Request for Proposal (RFP) at Zonal level for the CCPCs under the Zone. 12.5 lakh IIMS to Rs. • Age based eligibility improved.Cent Vidyarthi Executive MBA Scheme • IBA Model education loan scheme introduced. • No collateral / guarantee required .2011. of India on 31. ineffectively means that all mortgages created/ to be created by our Branches by deposit ofTitle Deeds on or after 31. the repayment period can now be readjusted accordingly and EMI will remain unchanged. all mortgages created by deposit of title deeds are required to be registered with the Central Registry within 30 days from the date of creation of mortgage. • Central Registry: In terms of rules framed under the Central Registry under the provisions of SERFAESI Act. • Scheme modified and coverage widened.03. The product basket under Retail Lending has been rationalised.03. Educational Loans to students of • Eligible quantum of loan enhanced from Rs.20 lakh. As the notification was made by Govt.
which was launched on 2nd October. • Bank has planned to open Retail Asset Branches (RABs) in Financial Year 2012-13at all Regional headquarters. Currently. • Retail Lending Policy . The product has achieved unprecedented success and within six months of launch. Other Initiatives Activities Produced By the Bank • As on 31st March 2012.A vibrant economy has created a large middleclass segment with a huge purchasing power in the country. Department has assigned the job of issuing Digital Certificates to Sify Technologies Ltd. 2011. 23 Centralized Credit Processing Centres (CCPCs) are functioning at major Regional headquarters across the country. this product aims to bring this largely unbanked segment into banking fold. 2012. monitoring accounts and managing NPAs effectively. there has been a paradigm shift in the approach of Banks in India.cc. A new version of the Central Registry has now been introduced from 01. • Successfully customized our Retail Loan products in the new software and launched in 16 CCPCs. who are now targeting these individual borrowers for affording financial assistance rather than the corporate segment. The department has come up with a Retail Lending Policy (2011-12). It will be launched for all the products at all CCPCs / branches during April – May. the new version is under implementation in the Bank. Bank acquired new software CLASS for processing retail loans.necessary steps to stream line the process so that data entry can be done centrally at the Regional Offices. Maruti Suzuki India Ltd. has garnered sizeable business of Rs. • In the second half of the financial year.Considering the importance ascribed to Retail Lending in our corporate goal. and TVS Motors. Page | 27 . which of late has lost its sheen due to decreasing NIM.04. The product has-been designed to strengthen the micro and small manufacturers and service providers (MSE)through a process of fast and hassle-free credit delivery.2012 based on the Checker / Maker concept requiring Digital Certificates for the Checkers. 200 crore. Sensing the scope of this burgeoning retail market. • Entered into tie-up with TATA Housing. need for retail Lending Policy was felt. Bank received the Golden Peacock Award for Innovative Product/Service for its retail product Cent Sahayog.
Education loan for Executive MBA. • We are also in process of tie up with Foreign Educational Institutes to boost our Foreign Education Loan portfolio. and Special Housing Loan for Govt. Other Initiatives • With the introduction of the Retail Lending Policy. Page | 28 . Cent Home for Senior Citizens and Housing Loan with OD facility. • We also tied up with Indian Dental Association (IDA) to provide our retail advances to Dentists and their family members. Cent Mortgage. and TVS Motors. Cent Vidyarthi Scheme under revised IBA Model Education Loan Scheme. sanctioning and monitoring of retail advances. / PSU employees.FUTURE PLANS Initiatives Products/ Services • To keep pace with the Industry standards and peer Banks and to meet the diverse financial demands of the customers. Tie Up Arrangements • To give a boost to our retail credit we have tied up with more than 160educational institutes. field functionaries now have been provided with a hand book containing all major parameters related to Retail Lending. Maruti Suzuki. Cent Param. Technological Initiatives: Introduction of CCPCs and CLASS software • In a major step towards streamlining loan appraisal process and for creating robust framework for monitoring the loan accounts our Bank has obtained CLASS(Computerized Loan Appraisal System and Supervision) Software for loan processing. • To cater to the latent demand of our customers we have also introduced new schemes like Cent Sahyog. Direct Housing Finance. • We are also in process of devising new schemes like Redevelopment of old Housing Society. Bank is continuously modifying and revamping the existing retail lending schemes like Cent trade. vehicle manufacturers namely Tata Motors.
• Close monitoring from Central Office and exclusive monitoring team at Retail Banking Department. prevention of slippages through early warnings and adequate recovery measures. 01/04/2012will help the branches in monitoring the retail advances from the 1st day of overdue. • Branches will be advised to take necessary steps including action under SARFAESIAct to recover the dues.• Implementation of the new version of Central Registry with provision for batch uploading of mortgage data. so that eventually every Branch will be able to upload data independently. • Ensuring Notices under Section13 (2) are issued immediately. MCHI. • Conducting recovery camps on regular basis to recover the NPA amount and settle the accounts in the recovery camps under OTS. • For meeting the different insurance needs of our clients we have tied up with Bajaj Alliance for Education Loans. • To boost our Housing Loans we are in process of tie up with reputed builders like NYATI. • All the Mortgaged properties are registered with Central Registry. Kotak Mahindra Life Insurance for Special Package Housing loans.f.e. • Forming Teams at RO for DATA Cleansing and to reduce system driven NPAs. the following strategy has been formulated: • Introduction of CLASS software for all the retail products w. Page | 29 . • The software allows Regional Offices/ Zonal Offices to monitor the overdue from their offices. STRATEGIES NPA MANAGEMENT STRATEGIES UNDER RETAIL LENDING In order to implement a sustainable NPA management mechanism which would include monitoring. possession of property taken and property auctioned. where immovable property is held as security. in NPA accounts. and Lodha Group and Tata Housing Projects etc.
• Housing Loan: . the Export Credit portfolio of the Bank increased from Rs. • Overseas Educational Loans: .. Hyderabad and Bhuj to cater Page | 30 .STRATEGIES FOR INCREASING RETAIL CREDIT • Marketing Teams to visit various departments of State Governments/Central Government/PSUs/Defence /Paramilitary forces to canvass salary accounts / Housing Loan& other Retail products. • Cent Sahyog: Explore opportunities to penetrate more into MSE sector by arranging knowledge camps and sponsoring trade fairs for MSE businessmen. Bank has opened specialized NRI Branches in Anand. Cross selling of the Product by approaching corporate for opening their salary Account. INTERNATIONAL DIVISION Foreign Exchange Business of the Bank is carried out through 97 Authorized Dealer Branches spread across the country. We are also exploring opportunities for tie up with Educational Consultants. Institutes having collaboration with foreign universities and participating in foreign education fairs. ShapoorjiPallonji. 4262 crore as on 31. • Marketing of Retail Products: The marketing division will be strengthened and the Retail Products will be given more visibility through greater synergy between the Marketing and Retail Departments.03. • Tie up with TATA Housing Finance for financing housing loans for senior citizens. • Conducting multipurpose camps for sanction of Retail loans & recovery in NPAaccounts. Margao.2012. Shah Builders. Bank has a centralized Dealing Room at Mumbai for attainment of better funds management and operational convenience. 3865 crore as on 31.2011 to Rs. and Godrej Property.Tie up with reputed builders such as LODHA builders. participating in real-estate expo and trade fairs / Property Mela. Bombay Reality etc. For operational efficiency.03. During the current Financial Year.Thrust will be given for overseas education loans which are generally secured by suitable collateral security.
Republic of Kenya from the home regulator Reserve Bank of India and Representative Office will become functional during 2nd Quarter of FY 2012-13. 159. In debt market. RBI raised Repo and Rev Repo rate to 8. securities amounting to Rs. The composition of investment portfolio of the Bank as on 31st March 2012 is as under:(Rs. 59577 crore as on 31stMarch 2012 as against Rs.57% as on 31st March 2012. treasury recorded trading profit of Rs. 80000 crore in the system. In the Financial Year Bank has obtained permission for opening of its Representative Office at Nairobi.75% as a measure to curtail increasing inflation. Investment increased just by 2. 58287 crore as on 31st March 2011 thereby recording an increase of 2. RBI purchased securities worth Rs. RBI also cut CRR by 125 bpswhich infused approx.75 crore.53%. This was achieved by strategic planning of resources and grabbing the market opportunities with proper analytical views. RBI came out with OMO purchases to ease mounting liquidity pressure in the system during the period from November 2011 to March 2012. yields hardened on account of consistent increase of policy rates byRBI and increase in borrowings.25 crore from AFS to HTM and booked depreciation of Rs.93 crore. Bank has also proposed to open Branch in DIFC Dubai and counters at airports.06 crore marginally higher as compared to previous year trading profit of Rs.135000 crore and infused liquidity to that extent. 4064. FUNDS AND INVESTMENT The investment portfolio of the Bank has increased to Rs. Bank has installed e-learning and decision making software “Instant NRI" and "Instant LC++" on its intranet for use across branches. During the period benchmark yield scaled up from7.and State Govt.98% as on 31st March 2011 to 8.50% from 6.57%as on 31st March 2012. The ten year benchmark yield stood at 8.exclusively to the NRI clients. In the liquidity stressed conditions and hardening yield scenario.45% to 7.21% over the previous year. 311. put pressure on liquidity and it was in deficit mode foremost part of the year. In compliance with the Reserve Bank of India guidelines. Rs. TREASURY. Increase in borrowing by Govt.21% and yield on investment increased from 7. in crore) Page | 31 . the Bank has transferred Govt . 320.
Risk Management Structure Page | 32 . Bank has also used derivatives for hedging purpose.33 59576. Composition SLR Non-SLR TOTAL 31. Bank also traded actively in currency futures and forwards in the currency derivative segment. The Committee reviews the policies and procedures for pricing of products and assessing the risk models relative to market developments and also identifies and controls new risks.2012 50977.29 crore in written off accounts.14 58287.31 crore in derivatives transactions. 3. No. 1. RISK MANAGEMENT Risk Management System/Organizational Set Up Risk Management systems are now well established in the Bank.2011 48054. DERIVATIVES Bank has actively traded in both interest rate and currency derivatives.43 8599. Bank has recovered an amount of Rs. Risk Management Committee of the Board of Directors regularly oversees the Bank‟s Risk Management policies/practices under Credit.94 10232. Bank has earned Rs.03. Among the Interest rate derivatives Bank has traded in Overnight Indexed Swaps.76 During the year. The committee also regularly monitors compliance of various risk parameters by the concerned departments at the corporate level.Sr.03. Market and Operational risks. 2.08 31. 24.
At operational level. The Bank has identified officers in the rank of Senior Managers/Managers to act as „Risk Managers‟ at all the Regional Offices. These Committees meet at regular intervals throughout the year to assess and monitor the level of risk under various Bank operations and initiate appropriate mitigation measures wherever necessary. Market Risk Management The Mid Office reviews the market position. Loss Given Default (LGD) and Exposure At Default(EAD) assessment tools from CRISIL Ltd. Credit Risk Policy Committee (CRPC) for Credit Risk and Operational Risk Management Committee (ORCO) for Operational Risk have been constituted comprising of members from the top management team. The Bank has reviewed the existing Investment and Market Risk Management Policy. duration. The tools such as Veranda Duration analysis are used on an ongoing basis to measure and manage the risk to Bank‟s NII in the short run and equity value in the long run. various Committees like Asset Liability Management Committee (ALCO) for Market Risk. which was last reviewed by the Board on 30. funding patterns and ensures compliance inters of exposure.2011. The Bank is also developing Portfolio Rating Models for grading retail loan portfolios where ratings of individual loan entities are not feasible on an on-going basis.05. The Bank has also identified officers at the senior level in various functional departments of Central Office to act as „Nodal Officers‟ in the matter of submission of data relating to Risk Management and support risk management in the Bank. The Risk Managers act as the „Extended Arms‟ of the Risk Management Department of the Central Office at the Regional Level. The developments in credit risk management are being reported to and monitored by the Credit Risk Policy Committee headed by the Executive Page | 33 . Credit Risk Management Bank has a well-documented Credit Risk Management Policy. The Bank has approved procurement of Facility Rating Module with Risk Adjusted Return on Capital (RAROC). Counter party limits for Fore dealings have been fixed / reviewed as per their latest standing and rating in the market. A model to estimate Capital charge on trading portfolio on ongoing basis is developed by TCS which is being implemented as per the Basel II guidelines on the Market Risk. The tool is installed and made operational in the first quarter of 2011-12. counter party limits and various sensitive parameters and the reports are presented at regular intervals to the top management.
). Capital requirement is seen in relation of maintaining minimum regulatory capital requirement. Bank is developing models and will apply to RBI for graduating to Advanced Measurement Approach under Operational Risk. As preparedness for moving to advanced approaches. bank is in the process of developing models for calculating PD. before top team for making meaningful decisions. Besides regulatory reporting. Implementation of New Product Approval Policy Framework guides the Bank for mitigating the risk associated with new products or activities. ALM is also engaged in Interest determination on Deposits as well as Base rate and BPLR fixation. Balance with other banks etc. ALCO (Asset & Liability Committee) met 24 times during the year to review the position of the Bank with regard to liquidity and other related matters. Operational Risk Management Sound Integrated Risk Management Structure encompassing Operational Risk in the business is guided in the Bank by a well laid down Operational Risk Management Policy. Review of the capital VI s a v is the estimates are undertaken on a quarterly basis.Capital requirement for bank is drawn for a time horizon of 4 years. Operational Risk Management Committee (ORCO) reviews the risk profile of the Bank on quarterly intervals and the oversight by the Board of directors strengthens the qualitative aspects related to Operational Risk. ALM department presents different analysis with regard to position of idle assets (Cashin hand. Asset & Liability Management Systems ALM mainly deals with measuring and managing the liquidity and Interest rate risk of the Bank with an objective of profit maximization. EAD & LGD for both Corporate & Retail portfolio. Capital Planning Bank has a robust ICAAP (Internal Capital Adequacy Assessment Process) in place . Page | 34 . comparative working results of peer banks vis--via our bank etc. rate of interest wise/ Base Rate/BPLR/ Fixed Rate wise classification of advances.Director.
Procedures.2018. the Bank has adopted Basel 1 norms with effect from 31st March 2009 and provided capital as per Standardized Approach for Credit Risk. Credit Risk Mitigation and Collateral Management Policy. 2013 in a phased manner. Our Bank’s preparedness for Basel . Analytics etc and also to implement integrated risk management system in the Bank. Operational Risk Management policy.3. address the liquidity position in addition to the leverage. The Basel IIIratios will be fully implemented as on 31. lower than the Reserve the capital. Bank has appointed a solution provider for implementation of the internationally reputed SAS Risk Management solution throughout the bank to meet Basel II norms. ICAAP etc are in place duly approved by the Board. Market Discipline and Disclosures Policy. These guidelines would become effective from January 1. Policies. Basic Indicator Approach for Operational Risk and Standardized Duration method for Market Risk. Our Bank is the first among all commercial banks to have submitted its application to RBI for graduating to The Standardized Approach (TSA) under Operational Risk.III RBI has issued final guidelines on Implementation of Basel III on 2nd May 2012. banks will have to disclose the capital ratios computed under the existing guidelines (Basel II) on capital adequacy as well as those computed under the Basel III capital adequacy framework. Reserve Bank of India has set out timelines to the commercial banks for graduation to advanced approaches.2013. For the financial year ending 31. Market Risk Management Policy.3. The Bank has appointed a consultant to evaluate /assess the preparedness of the Bank for moving to advanced approaches in respect of all risks and to enhance / Strengthen existing Risk Management Systems. Banks were advised to undertake an internal assessment of their preparedness for migration to advanced approaches.Implementation of Basel II Guidelines Reserve Bank of India has issued updated master circular on implementation of the New Capital Adequacy Framework in July 2011. Basel III guidelines aim at improving the quality of the capital. Page | 35 . As per the guidelines. Process. All necessary policies such as Credit Risk Management Policy. MIS. The bank is in the process of internal assessment o Money supply (M3) growth moderated to 13 % at end-March 2012.
Hence. 1. 2394 crore to Rs. 75 crore). 847 crore in previous year. Government of India.00 lac up to Rs.82% to 4. 18. SARFAESI Act. As such. 4557 crore from Rs. the Bank has improved recovery performance but due to high slippage on account of adoption of system driven NPA and adverse economic conditions. 1. As per directives of Ministry of Finance. 177. whereas peer banks had completed the exercise much earlier. The policy is reviewed from time to time to incorporate the latest changes /developments in Economy and trends in NPA Resolution. An amount of Rs.10. We have put in place proper on-going strategies to rectify such errors and hopeful of a handsome up-gradation in the next fiscal. Gross NPA and Net NPA Ratios have increased from 1. compared to 2 to 3 years available to peer banks. we have switched over to100% system based identification and collation of NPAs by 30.83% and 0.65% to 3. RECOVERY The Bank has well-defined Recovery Policy containing detailed guidelines for NPAManagement. we have completed the data cleansing exercise in 9 months. It encompasses all areas of NPA Management. in place. the NPA level has gone up. 2. Under the Simplified OTS Scheme for NPA accounts of outstanding above Rs1. Page | 36 . a. d.2011.09. Monitoring and Follow-up measures. 37. 736 crore (including sale of assets Rs. 7273 crore b. c. Gross NPA level has gone up from Rs. 3.liquidity ratio and the leverage ratio under Basel III regime and steps area foot for putting the requisite system.00 lac was extended up to 31/03/2012.09%respectively. 754 crore (including sale of assets Rs. Bank has recovered Rs. Wilful Defaulters and MIS.00 lacs. Staff Accountability. Net NPA has increased to Rs.73 crore has been recovered. Our Bank had moved to 100% CBS platform in December 2010 only. there is increase in Gross NPA during the year. Cash Recovery has increased from Rs.17 crore during the year. During the year 2011-12. Special OTS Scheme for NPA accounts up to outstanding Rs.74crore) to Rs.
00lacs and an amount of Rs15.4. • Bank introduced family floater Rural Health Insurance Scheme with tie up arrangements with general insurance partner Chola MS general insurance company.30 crore. 7. • Bank has sold 164181 policies under general insurance business and earned commission of Rs.51 crore has been recovered.where major thrust was given to recovery through negotiated settlements. DRT LOK ADALATs and District Level LOK ADALATs and other recovery Camps were conducted at different locations at Regional/Zonal Offices forming cluster of branches during the year .53 crore from Life Insurance business. Branch/Region wise action plan has been drawn for quick resolution of NPAs in these Branches/Regions.6. A new scheme –" Krishak Raahat Yojna" was introduced during the year2012 for recovery in NPA of Tractor/ Agriculture loans of sanctioned limit Up to Rs. DISTRIBUTION OF MUTUAL FUND Page | 37 . The performance highlights for the year 2011-12 . Branches/Regions with high concentration of NPAs in small loans have been identified& focused attention is paid to these Branches /Regions. NEW INITIATIVES BANK ASSURANCE Insurance service is provided by our Bank under Corporate Agency of LIC of India for life insurance and Chola MS General Insurance Company for non-life insurance products. 10. 6. 5. • All 16 Zones declared as BIMA Zones by LIC of India • Bank earned commission of Rs13. The Bank is committed to contain NPA level by concerted recovery efforts and also by improving the assets quality during the year 2012-13. 745 crore. A total number of 7303 weekly/monthly recovery camps were held at Branches /Regional Offices in which 64275 cases were settled amounting to Rs.
INFORMATION TECHNOLOGY 1. Customers maintaining bank account and Demat account with the bank are offered on-line-trading facility for trading in Equity Shares and Derivatives under arrangement with leading broking firm.03. (CDSL) through web-based solutions provided by CMC Ltd. CORE BANKING SOLUTIONS: All branches and other offices were brought under Core Banking platform.2012. Angel Broking Ltd. DEPOSITORY SERVICES Bank is offering depository services through 145 identified branches to 23709 demataccount holders.63 crore during 2011-12. ON LINE TRADING Bank is offering "three– in– one" "On-Line Trading “facility with Trade name "Cent –etrade".Business Office (NBO) Specialized Centre for Account Processing) SCAP 4006 18 19 9 21 4 Page | 38 . are given hereunder: Branches Extension Counters Extended Service / Satellite Asset Recovery Branch (ARB) Non.• Bank has tie up arrangement with leading 11 mutual fund houses and earned commission of Rs. All branches were opened under CBS from dayone. M/s.0. Depository service is offered as a Depository participant under arrangement with Central Depository Services Ltd. Location wise coverage of CBS as on 31. Bank hasachieved 100% coverage of CBS at all RRBs.
On line Tax payment for Central Govt. The link between DC & DRC has been increased to 60Mbps from the existing 44 Mbps. Number of branches isolated more than 24 hours has reduced to an average of 3 to 4branches. NETWORK & CONNECTIVITY. 300 Links procured for newly opened branches.departments and Page | 39 . Network uptime has increased to 98% from 96% in the previous year. 800 branches are provided with VSAT backup from different service provider. 3. Online Tax credit view. M/S Hughes. Through Internet Banking customers can avail various facilities like Funds transfer. We are providing Video conferencing facility at all the Regional offices/ Staff Training Centres/ Corporate Finance Branches and increasing the Internet Bandwidth to 8Mbps from 2 Mbps for the internet bandwidth applications.SDR. as well as for the legacy applications. Bandwidth of all the Regional Offices has been upgraded to 1 Mbps. FI etc. namely. BSNL is the principal service provider for network of the branches. Utility bill payment. 275 VSAT have been installed as the primary links at branches where secondary link CDMA signal is weak. Network connectivity has been provided to a total of 4201 locations. INTERNET BANKING Internet banking facility has been implemented for individual and corporate customers. LAPS.Centralised Credit Processing Centres (CCPC) Zonal Office: Regional Offices: Training College: Cash Management System (CMS) 15 16 75 3 9 2. New Check Point Firewall with higher capacity has been installed at DC & DRC for smooth functioning of new IT Projects .
where customers of more than 40 banks can pay taxes with payment gateway services provided with the help of Central Bank Of India.RTGS/NEFT facility is also available through Internet Banking for corporate customers. service. E-Payment system for Ministry of civil services. Delhi Sales Tax. Corporate Internet Banking is available in mix and mode approach as per the requirement of customer.in Current / OD accounts ii) clearing cheques bounced iii) account balance is below the prescribed minimum level iv) fixed deposit maturity before 7 days. VAT and Professional TAX.. excise.Besides. User base for Internet Banking has been steadily increasing and reached about 181540 as on 31.in saving account and Rs. Page | 40 . there is also facility for on-line password generation for Retail customers. E-payment of Direct taxes.2012. 5. etc.03.000/.various state Govts. Branches are advised to promote tax payments through Internet Banking. UP State Tax payment. SMS alerts are sent to customer‟s in15 different Indian languages as per their choice for i) Debit / Credit in account aboveRs. view cheque status. Airlines booking Movie ticketing. ICEGATE customs payment. Presently.An independent survey conducted by Customer Research Frontier magazine in the Month of May2011 quoted that our Internet Banking response time is the fastest among all the peer banks. customized account statements in addition to regular statement of account. shopping. Jharkhand Tax. 1000/. 50. has also been made available. A new module for tax collection of Odisha and Bihar Govt. Funds transfer facility up to a daily limit of 100 crore within Bank as well as facility for bulk upload of NEFT available under Corporate Internet Banking. SMS BANKING: SMS banking provides account information to the customers with real-time alerts on business transactions carried out by them. temple donations. West Bengal State Government tax. Prime Minister‟s National Relief fund donations. are available through Internet Banking for on-line payment using Internet Banking. ON-LINE TAX PAYMENTS. Maharashtra Government Sale tax. Resonance and Allen‟s carrier Institute fees collection. DGFT license fee. Food and other-PAO‟s has been made operational. stop payment of cheques. 4.
APPLICATION SUPPORTED BY BLOCKED AMOUNT (ASBA): Securities and Exchange Board of India has streamlined the existing process of Initial Public offer of shares by companies and introduced a supplementary process called as Application supported by Blocked amount (ASBA). TELE BANKING: Phone banking solution is implemented with voice recording in English and Hindi and the facility is available to all the customers of CBS branches. SMS alerts is also proposed for Average weekly cash holding above 0. As per RBI guidelines for transaction up to Rs.35% of average weekly deposit to Regional Manager. whereby customers can get balance and last three transactions free of cost by giving missed call to specific number.SMS alerts are also sent to branch managers for maintaining control and monitoring purposes and also to higher officials when physical cash is not tallied before EOD and when the outstanding balance in Technical contra at branches are unattended for certain prescribed numbers of days.000 we have implemented low security version of Mobile Banking. The transaction done through Mobile Banking is secured with end to end inscription and two factor authentication features. We have received appreciation from Indian Bank‟s Association for this innovative initiative. We have launched the ASBA facilities to all our customers by which an investor can subscribe to public issues (IPO/FPO/Rights Issues) through the Bank by authorizing the bank to block the application from his/her bank account Page | 41 . 9. MISSED CALL ALERTS: This facility is available to our CASA customers. 8. MOBILE BANKING: Mobile Banking is implemented using GPRS with enquiry and funds transfer operations. 7. 6. NEFT fund transfer facility is also available in Mobile Banking application. 5.
Ahmedabad. Other initiatives are planned for current financial year are: integration of Preserver of Govt. Delhi. facilitating customers to deposit / withdraw cash and also to do fund transfer within the bank up to the limit of Single Window Operator (SWO).Nagpur. of Maharashtra. Customers can also apply ASBAthrough Internet banking application for public issues only. CBD Belapur. Muzaffarpur. installation of 100 kiosks /e-lobby. internet banking.and thereafter remit the allotment amount. cheque deposit.we have planned to install two Kiosks each at bigger Zones viz. Mumbai Main Branch. Patna. Guwahati.2011 under the system transaction are done through POS machine. 12. Mumbai. Raipur. integration off-fright for railways. Integration with NPCI for Inter Bank Mobile Payment system. Accordingly . Chennai. Pune & Hyderabad and one each at smaller zones viz. Chandigarh and Agra. It has been deployed at four locations i. E-VOUCHER: E-Voucher Functionality has been implemented on 21. 11. 10. Kolkata. Luck now. Approval is obtained for installing Kiosk/ E-Lobby at 25 Centres. transaction enquiry. payment system for LIC of India through Corporate Internet Banking.12. Implementation of these Kiosks is expected to be completed by 30th June 2012. WEB SITE: Page | 42 . Pune Camp and Press Area Branch at Delhi. integration with IRCTC for railway ticket booking through Internet Banking. KIOSK BANKING: E-Lobby / Kiosk have facilities of cash deposit. passbook printing.e. Bhopal.
M/s AAA Technologies Pvt. 14. RBI PROJECTS: All CBS branches are enabled for RTGS and NEFT facility using the Straight through Processing (STP). 4151 branches/EC/NBOs/offices have been enabled for RTGS and 4150 Branches/ECs/NBOs/offices enabled for NEFT. total number of 1811 RRB branches and extension counters have been brought under NEFT. As on 31st March 2012. • Information on Branch/ ATM Location.03.Change in look and feel of the website has been done and ready for the production promotion. using outsourced model.2012 using outsourced model. 2011. NEFT facility is also available through Internet Banking System. CTS implementation in Bangalore on pilot basis was done on 24. Ltd. 13. CBSinterface has been provided at Call Centre with restricted view option enabling the Call Centre agents to provide various accounts level information to customers. For Internet Banking and Bank‟s official website. Consequent upon implementing CBS in all 7 RRBs. 15. has completed the Security Audit for the 4thquarter. Page | 43 . Following services are being offered to customers through Call Centre. • Information on Bank‟s products and services. CHEQUE TRUNCATION SYSTEM (CTS) CTS implemented in Chennai on an outsourced model. Approval obtained for implementation of CTS in Coimbatore. Modification in the on-line complaint module in the website is completed and informed to the business department. CALL CENTER Call Centre is operated on outsourced Model by IDBI Intec since July 6.
• Balance Enquiry. • TDS Enquiry.• Information on Interest Rates and Services Charges. In order to make the customer services more automated and reduce the response time. • Enquiry on Interest Earned / Interest Paid. • Transaction Details • Status of Cheque issued or deposited • CD/CC/OD limit and Interest enquiry • Responding to any other calls received from customers. Following services are offered through Interactive Voice Response (IVR) in online environment. • Enquiry on Cheque Number. • Balance enquiry • Last 4 transactions • Cheque Status • Stop Cheque payment • Transaction PIN generation 16. SINGLE DATA REPOSITORY (SDR): Page | 44 . • Debit Card Hot-listing. • Recording of grievances and feeding it in Bank‟s Customer Grievances system for its redressal at an appropriate level. • Transaction Enquiry.
17.SDR report requirement finalized and 564 reports given to IBM for designing. Printers. 2012 for Planning &Budgeting exercise.Static SRS is finalized. etc. • The need for improvement in Network connectivity was stressed Page | 45 . The necessary structure for IT Governance in the bank has been set up with the formation of IT Strategy. HRMS: Parallel Payroll processing for Central Office and all 16 Zones completed for the Month of February 2012 through People Soft HRMS solution. It is planned to process the salary off employees for the month of April-2012 centrally under People Soft HRMS. 18. Steering committee as also the alignment of IT strategy with business strategy would be discussed at length. ALM related data extraction is in process and expected to go live by May. ATM. On-line holiday home/ transit home booking facilities made live through HRMS. for steps for disposal of PC. • Business continuity plan discussed and it was decided to have the BCP for branches enumerating the activities that shall be performed at branches during network failure and the same to be circulated to all business offices as well as displayed as notice for the customers. • Hardware disposal policy to incorporate clear instructions and powers ofBM/RM/ZM/etc. Planned to publish reports by May. Balanced scorecard for projects and IT as a whole has been prepared& approved in Board and the process of monthly updating has been initiated with latest scoring as of Jan 2012 submitted. 2012 onwards and a prototype of NPA dash board is built. The 1st meeting of the IT Steering committee was held with the following decision taken: • IT policy approved. Corporate Performance Management (CPM) rolled out on 5th March. ALM. IT Steering & IT Risk management committees in the Bank. 2012. IT GOVERNANCE.
The audit function also helping redressing the systemic issues for rendering better customer service at branches. After conversion of 121Extension counters into full-fledged branches it remained 18 at the end of financial year2011-12. 1 Capital Market Service Branch. Bank has opened 100 branches on 21st December2011. Extension Counters In the beginning of the year there were 139 Extension Counters. 1 Asset Recovery Branch and 7Mid Corporate Branches . revision of Internal Audit policy and Concurrent Audit policy falling in line with the draft recommendations of Shri Basant Seth Committee. off-site monitoring. The initiatives include -adoption of Information Systems Audit policy. To commemorate the Centenary Day. 4specialized NRI Branches. 1037branches in SemiUrban. increasing the ambit to check money laundering. Bank is having network of 4011 branches and 29satellite offices. 100% KYC up-dation on CBS. 781 branches in Urban and 696 branches in Metro centres. etc. closure of all audit reports due for closure. Initiatives were taken to put in place a robust audit mechanism. During the year 283 branches were opened including up gradation of 121Extension Counters and conversion of 5 Satellite branches in to full-fledged branches. The demographic distribution was 1497 branches in Rural. recovery of revenue leakage detected during the fiscal. OPERATIONS Customer Grievance Page | 46 . Introduction of web-based application system for firms of Chartered Accountants seeking concurrent audit of branches. BRANCH EXPANSION As on 31st March 2012.AUDIT AND INSPECTION The compliance culture has improved significantly in the Bank during the year.
Customer Grievances Our Bank has started 24x7 hours Call Centre with Toll Free Number 1800 200 1911 for providing a better avenue for redressed of grievances to Customers. Pratibha Devising Patil in a grand function organized atVigyan Bhawan.Bank has introduced many new concepts during this financial year for improving Customer Services. New Delhi. The new System has One-toOne matching of entries (Auto Reconciliation) which was not available in the old system and many other features regarding issue and payment of Demand Drafts.Tanksale. a new IBR System„C2C‟ (Core-to-Core) implemented weft. The Customer Grievances Redressal Mechanism has been made fully on-line for quick disposal of grievances. and Government of India during the financial year. Ministry of Home Affairs.2012. • Our bank has implemented recommendations of Damodaran Committee on Customer Service. • Our Bank has introduced new policy for "Senior Citizens/Disabled/Incapacitated Account Holders-2012" . Our Bank has also received an award shields/prizes meant for Banks and Financial Institutions by Reserve Bank of India under the „Reserve Bank of India Governor Shield Page | 47 . Inter Branch Transactions and Inter.02. IBR Consequent upon brining all the branches under Core Banking Platform. • Bank has started issuing ATM card to minors also. The Shield was received by Shri Mohan V. Our Grievances Redressal Mechanism has been adjudged as the best in the Customer Satisfaction survey conducted by Outlook Financial.Bank Cash Transfer. Chairman and Managing Director from the Hon‟ble President Smt. RAJBHASHA AWARDS AND RECOGNITION Bank has been awarded with „Indira Gandhi Rajbhasha Shield‟ for the best implementation of Official Language Policy of Government by Official Language Department. • A customer can open an account in our bank without introduction from existing customer. 01.
in this year our Bank has been awarded for the best performance in implementation of Official Language Policy in Maharashtra by Maharashtra State Level Bankers Committee and in Gujrat by Gujrat State Level Bankers Committee. Shri Anand Sinha. During financial year. Governor. Kolkata and Manali Branch under Zonal Office. During this year. The efforts and steps for implementing Official Language Policy by our Bank were very well appreciated. Ministry of Home Affairs. 2012. Central Office has played an important role in publishing our Bank‟s „History Book‟ in Hindi. three 2 days Special Seminar were arranged in Bhopal and Mumbai for all our Rajbhasha Officers. Further. Besides this. Committee of Parliamentary on Official Language inspected our Kalimpong Branch andKursiang Branch under Zonal Office. 2011 respectively. and this year. September and October. fixed deposit receipts and statements in Hindi to our customers on their demand. Reserve Bank of India on 29th March. for which our Bank is convener. Rajbhasha Department. draft. 2012 at the function organized at the Chandermukhi auditorium. have been awarded by Government of India. Chandigarh in respects Implementation of Official Language. Bank has organized Rajbhasha Seminar in Bhopal. Our Bank sending the SMS in Hindi as well as in 7 different regional languages to our esteemed customers. ZonalOffices and Branches. Our Bank has also provided facilities to work in Hindi under Core Banking Solutions. Delhi and Mumbai in the month of August. Our Bank is providing passbook.Competition‟ for the best Implementation of Official Language in Linguistic Region „A‟ and „B‟. and Official Language Department. Bhopal and Town Official Language Implementation Committee Raipur. Some of the important points to be implemented during this financial year are as under: Page | 48 . Ministry of Home Affairs. Special Rajbhasha Seminar was organized for Rajbhasha Officers in Mumbai on 27thJanuary. and Official Language Department have given in all 30 awards/prizes to our various Regional Offices. Further. various Town Official Language Implementation Committee (TOLIC) working under the Government of India. This book was released by Dy. Town Official Language Implementation Committee.
Dept.12. Demand Draft. Concluding programme was organized at New Delhi and Mumbai. To win maximum prizes awarded by Rajbhasha Department. Page | 49 .Mittal (IAS). GOI.60 lacs with an expenditure of Rs. Electronic and Outdoor Media has-been carried out by the corporate office. Shri D. training will be imparted to all the Rajbhasha Officers. To increase potentiality and enhancement in performance. Government of India and Reserve Bank of India.K. During the process.40. Shri Namo Narain Meena. we have reached to a circulation of 2013. To increase the visibility during Centenary year all our office premises have been illuminated and we have taken prime hoarding sites for display of our Centenary journey.1. Our History Book was released during this auspicious event.2011 at Delhi was graced by Shri Pranab Mukherjee. During the Centenary year different programmes were organized at all the centres. Looking to our Centenary Year Corporate Publicity for creating continuous awareness about our brand. 3. Extant facilities of printing the Passbook. GOI. Honourable Finance Minister.2011 was graced by Chief Minister of Maharashtra. both budgeted andnon-budgeted campaigns/ publicity were carried out for achieving the marketing objective of the Bank. 2. Fixed Deposit Receipt and Statements in Hindi to be extended in most of the branches so that maximum number of our customers can utilize this facility. MOS. services and products through Print. CORPORATE COMMUNICATIONS During the year.56 lacs providing us a minimum recall value of Rs. niche publications were used as a media of communications time to time during the review yearly period ended March 2012. 4. ShriPrithviraj Chavan and during the event Unsung Heroes.12. Secretary. For creating and enforcing brand equity among executives and businessman. The programme held in Mumbai on 26. The programme held on21. Ministry of Home Affairs. Valued VIP customers and Ex-Top Executives were felicitated. and GOI. 819. of Financial Services. On-line submission of Quarterly Progress Report under web base reporting. 0. under our corporate branding exercise through national and regional newspapers in absolute terms. MOF.
This TVC has created buzz in the market.eaclubdelhi.in – for providing information on legal matters • www. Also facility for viewing the large value transactions including those of staff members at the Branches is now provided to controlling offices.information of various things in and around Delhi Our branding efforts during the year has shown a marked progress in its brand performance in Brand Finance‟s Top 500 Global Financial Brands. Page | 50 . invocation of regulation 20. etc. a jump of 61 places in overall ranking VIGILANCE During the period 2011-12.in . Cent Vehicle.3 [iii] of Officers‟ Service Regulations has been lowest ever. Regional Managers and one Branch Manage reach of rural. The Committee comprises of Zonal Manager. Cent Home. semi urban and urban/metro branches. like Vigilance cases as also complaints have been disposed off much faster. 2011 • Vignette of our Bank on TV on 26th Dec. Bank worked to bring further improvement in all spheres of activities with remarkable degree of success. Further. 2011 We have our presence on following websites: • www. Cent Jewel • TVC on Centenary Year – Bank‟s corporate film 45 seconds • CMD‟s Speech on Radio on 21st Dec. Vigilance Officers and Dealing Officers have been trained in CBS environment for effective and expeditious handling of matters. We have telecasted following TVCs during the year: • Three products viz. It was liked by every viewer.legalera. Bank has moved up from its ranking of 390 in 2011 to 329 in 2012 .ADVERTISEMENT During the year Bank has telecasted TVC showcasing a 100 years journey of our Bank coinciding with the progress of the nation.
Awards Conferred in Appreciation of „Best HR Practices Institutionalized by the Bank: Page | 51 .During the Vigilance Awareness Week. the staff strength of the Bank stood at 35901 (includingPTSK) as against 34. now submission of report [FMR-l] has been made online from July 2011 resulting in almost no delay in our reporting to RBI on this count. The category-wise break-up of staff is given below: Category Officers Clerks Sub-staff Grand Total March 2012 12375 15167 8359 35901 March 2011 12883 12770 8362 34015 2. with an aim to curb the malpractices. CVC and the CMD during Vigilance Awareness Week in November 2011 HUMAN RESOURCE DEVELOPMENT 1.015 in the previous year. the department has initiated a new portal on our web to facilitate reporting malpractices byour employees without revealing their identities which would be known to the Chief Vigilance Officer only. have been felicitated at the hands of the Vigilance Commissioner. To ensure reporting of the fraud cases to Reserve Bank of India within stipulated period. HUMAN RESOURCES DEVELOPMENT I. and Central Vigilance Commission on 24th November2011. during the year 2011-12. This portal in the name of "Cent Vigil" was inaugurated by Shri J M Garg. Vigilance Commissioner. the employees who have exhibited exemplary courage in prevention of frauds/recovery of fraud amount. In an effort to boost the morale of field functionaries. MANPOWER At the end of March 2012.
etc besides the regular recruitment processes in respect of Specialists and Mainstream posts.03. 6 fresh MBAs in Scale-I. process of inductingMBAs in various fields continued during the Financial Year 2011-12 as well and accordingly. the revised formats are applicable for appraising the Performance of officers for the Financial Year 2011-12 and onwards. 3. These provisions have been further amended as per the further guidelines received from Government of India vide its communication dated 14. Librarian.12. Bank has been conferred 2Organizational Awards viz. Security Officers (all in Scale-II). Engineers.Promotion Policy for Mainstream & Specialist Category Officers: The new Promotion Policy for Mainstream & Specialist Category Officers has been formulated with the approval of the Board after incorporating the Government of India guidelines dated 5. RECRUITMENT & PROMOTIONS: In order to inject required professionalism in the Institution. HR practices across the Organization. 98 in Scale II & 7 in Scale-III have been recruited through campus mode from the Professional/Management institutions like NIIM. HINDUSTAN TIMES HR Leadership Award for Leading Practices in Quality Work-Life.01. in the conference of World HRD Congress.2011. VIT. recruitment process was held for 4219 posts encompassing MBAs inscape-I. Chief Dealer Page | 52 . In order to ensure a good blend of experience and contemporary knowledge/skills. to bring uniformity in the Annual Performance Appraisal Reports for officers at all levels in Public Sector Banks. Leadership and Capability building.COM. STAR NEWS HR & Leadership Award for HR Excellence for INNOVATIVE HR PRACTICES & SHINE. III.2012. the system of campus recruitment of MBAs will be continued in future as well. Introduction of New Performance Appraisal Formats: New formats of Performance Appraisal have been introduced as suggested by Government of India.2012.e. II & III.IIFT. a prestigious leadership Award in recognition of his outstanding contribution to Human Resources Development. In the year 2011-12. • In recognition of the Bank‟s initiative in evolving and rolling out excellent and innovative. II. The revised Promotion Policy shall be applicable w. Wellingkar Institute. Physical & Mental Well-Being. Career Path-cum. Accordingly.• Our CMD has been conferred with an Award – „CEO WITH HRORIENTATION‟.f31.
The Management expressed that it should be endeavour of all employees to improve the business status of the bank and exhorted the unions to prevail upon their members to give their best to the institution. it has been resolved to hold the promotion processes as frequently as possible for all scales/categories. Clerical Staff.(Scale V). Honourable Member of National Commission for Schedule Castes had 5 meetings with our Bank at different places to undertake study of implementation of Reservation Policy in our Bank. 5. Shri Raju Par mar.2011 to 17. The promotional exercise has been made more motivating and as such as a corporate goal. Drivers and Armed Guards(Sub-staff cadre). The Parliamentary Committee under the Chairmanship of Shri. Gobinda Chandra Naskar visited at Diu from 15. exclusive meeting was held on 12th September 2011 &23rd February 2012 at Corporate Office level with major Unions/Associations to discuss solely on the strategies of business development.11.11. All PTSKs (around 2500) have been elevated as „Safai-Karmachari-cum-sub staff‟ in fulltime. Further. Asst. General Manager (IT). STAFF WELFARE SCHEMES: Page | 53 . during the year 2011-12 inter-scale and inter-cadre promotion processes were conducted and as many as 3028 employees/officers were elevated to higher cadre/ scale. out of which 743 sub-staff were promoted to clerical cadre. IMPLEMENTATION OF RESERVATION POLICY: The Bank has been implementing the guidelines/instructions received from Government of India/Indian Banks‟ Association on Reservation Policy and concessions and relaxations are extended to SCs/STs/OBCs/PWDs/Ex-servicemen as admissible in the Reservation Policy. 4. BUSINESS MEETINGS WITH REPRESENTATIVES OF UNIONS / ASSOCIATIONS: During the year under review.2011 to examine the representation of Schedule Castes and Scheduled Tribes in our Bank. Accordingly. 6.
44 crore in March 2012. 57. 15 crore has been apportioned for expending towards various Staff Welfare Schemes and the schemes have been thoroughly improved upon both in terms of ceilings and coverage.72 crore as at March 2012. During the year 2011-12. CENTBANK FINANCIAL SERVICES Cent bank Financial Services Limited is essentially providing ancillary corporate financial services.e. as against the level ofRs. 55.21 crore in March 2011 to Rs. The loan outstanding increased fromRs. 290. hike in Base Rate of funds lent by Central Bank of India and overall increase in establishment and other expenses.36 Crore as of March 2011. CFSL has significantly diversified its business profile to make CFSL a full-service investment bank. The main reason for decrease in profit ison account of increase in cost of funds borrowed i.30 crore as on March 2012. during the year.„Welfare of Staff and their families‟ continues to be the committed endeavour of the management and this endeavour is always kept on the top of the HR agenda of the Bank. an amount of Rs. 282. Net worth has gone up from Rs.34 crore as on March 2012.03 crore as on March 2011 toRs.13 Crore as on March 2011 to Rs. SUBSIDIARIES AND JOINT VENTURES CENTBANK HOME FINANCE LIMITED The Net Profit of the Company stood at Rs. CFSL services include: • Project Appraisal and Loan Syndication • Capital market Transactions (both equity and debt) Page | 54 . 5. Deposits from public and institutions have increased from Rs. 48. 9. The Company has consistently improved its Net Own Fund by adding Profit to the Reserves. Accordingly. 48.
Page | 55 . AWARDS & ACCOLADES • Bank has been ranked 4th best Public Sector Bank in India under “Brand Equity-Top 100 most trusted Brands 2011" and ranked at 16thposition in 2011 under "India‟s Most Trusted Service Brands" category as per survey conducted by Economic Times. Managing Charitable Trusts • The company earned a Net Profit of Rs.7. Business Valuations. 9. the Bank earned aNet Profit of Rs.• Corporate Advisory Services including M&As and Debt Restructuring. Project Advisory. The Bank‟s Joint Venture in Zambia is promoted jointly by Government of Zambia and three India Banks viz. While the total business of the bank stood at Rs. INDO-ZAMBIA BANK LTD.30 crore as of March 2012 against Net Profit of Rs. While each of the 3 Indian Banks hold 20% equity. Executor Trustee. Pratibha Devi Singh Patil. • Bank won Indira Gandhi Rajbhasha Award for successful implementation of Official Language Policy at the hands of President Smt. Bank of Baroda and Bank of India. The Bank has been performing well in all parameters. Risk Management. As on 31st March 2012.14 crore. • Bank has received the prestigious "Golden Peacock Award 2011"instituted by Institute of Directors (IODs) under innovative product/service category for retail product "Cent Sahyog" for MSME segment.70 crore. Central Bank of India. Private Equity and TEVReport • Trusteeship Services including debenture/security Trustee. 1552.24 crore in the previous year. • Bank has been awarded as "Best BFSI Company" by Business & Economy magazine. of Republic of Zambia holds the balance 40%equity. Securitization. 36. Govt.
New Delhi.Prescribes parameters for banking in the country. Issue and exchange currency Maintain supply of currency. It was established in the year 1911 and was the first commercial bank of India that was owned by Indians. Own and operate the depository and exchange for government bonds. implement and monitor the monetary policy. OBJECTIVES OF CENTRAL BANK OF INDIA The Central Bank of India is one of the oldest Banks in India.To maintain the liquidity in the country To ensure adequate flow of credits. . The objectives of the Central Bank of India are as follows: To help ensure the monetary stability of the country To assist in regulating the financial system of the country.To facilitate external trade. Maintain public confidence in the system.• Bank was awarded with Exemplary Brand Leader Award for projecting excellent Brand image in the country by Indra Group of Institute. – Banker to the government Page | 56 . • Bank was conferred 2 Awards for „Best HR Strategies‟ &„Innovation in Employee Retention Strategies‟ by Greentech Foundation.To manage the foreign exchange Management Act. To formulate. Pune . . .
T.W. ANALYSIS OF CENTRAL BANK OF INDIA Introduction to SWOT Analysis. Socio-cultural (2)Micro Environment : Customers. Weakness. The overall evaluation of the company„s Strength. The external environment consists of two parts: (1)Macro Environment : Demographic. Competition. Political-legal.The external environment analysis of any business will give you the opportunities and threats facing the business. Opportunities and Threats is Called as SWOT Analysis .O. STRENGTH Right strategy for the right products Superior customer service v/s competitors WEAKNESS Some gaps in range for certain sectors Customer service staff need training Page | 57 . Economic. Distributors. The Internal Environment Analysis will give you the strength and weakness of the business.S. Technology. Suppliers.
3 3) Friendly Staff: The staffs: CENTRAL BANK OF INDIA in all branches are very friendly & help the customers in all cases. All the computerized machines are located in suitable manner & are very useful to the customers & staff of thebank. 2) Advanced Infrastructure : Branches of: CENTRAL BANK OF INDIA are well equipped with advanced technology to provide the customers with taster banking services. They provide faster services along with bonding & personal relationship with the customers. so a person can access his account from anywhere he is. [D-Mat is a dematerialized account opened by a salaried person for purchase &sale of shares of different companies. It also provides D-Mart account facilities on-line. .4) Other Facilities to the Customers & Employees: Page | 58 .Great brand image High degree of customer satisfaction Good place to work Processes and systems etc Management cover insufficient OPPURTUNITIES Profit margin will be good Extended to overseas broadly New specialist applications THREATS Legislation could impact Great risk involved Vulnerable to reactive attack by major competitors Could seek better customer deals Very high competition prevailing in the industry STRENGHTS 1) Online Services : CENTRAL BANK OF INDIA provides online services of all it„s banking Facilities.
2) Less Credit Period: Central bank of India provides credit facilities but only up to limited period. The bank will advertise & promote the different policies introduced by the insurance company & convince their customers to buy insurance policies. That means the bank can have a tie-up with an insurance company.Insurance services: The bank should also provide insurance services. 5) Late night ATM services: : CENTRAL BANK OF INDIA provides night ATM services to the customers Weakness 1) High Bank Service Charges: Central bank of India charges normal charges to customers for the services provided by them when compared to other bank & that is why it is only in the reach class of society. 2) Increase in percentage of Returns on increase: Page | 59 . Even when the credit period is not over it sends reminder letters to the customer‟s which may annoy them OPPORTUNITIES 1) Bank. proper sitting arrangements to the customers.: CENTRAL BANK OF INDIA also provides other facilities like drinking water facilities. And there are also proper Ventilation & sanitary facilities for the employees of the bank.
Standard Chartered. But this falls in the fourth quadrant so the bank should neglect it. 3) Recruit professionally guided students: Bank & Insurance is a special non-aid course where the students specialize in the functioning & services of the bank & also are knowledge about various tax policies. 2) Net Services: Central bank of India provides all kind of services on-line. 4) Associate with social cause: The bank can also associate itself with social causes likeproviding relief aid patients. and HDFC also provide equivalent facilities like Central bank of India do. funding towards natural calamities. This will also up to large extent help the bank earn profits & popularity. Such students will surely prove as an asset to the bank. THREATS 1) Competition : Central bank of India is facing tight competition locally . The bank can recruit these students through tie-ups with colleges. Page | 60 .3 3) Decentralized Management: Each branch manager is given the authority of taking decisions in their respective branches. There can be easy access to the email ids of the customers through wrong people. The confidential information of the customers can be leaked easily through the e-mail ids.The bank should provide higher returns on deposits in comparison of the present situation.Bank like SBI Bank. The decisions made by different managers are diverse and any one wrong decision can laid to heavy losses to the bank. BANK OF BARODA.
The reason I used this method is because a need was felt for the free influx of information about the products. Sampling Technique Used: Since the information required was not of a very technical nature and also looking at the scope of the project and the extent of the target segment. the sampling technique employed was Convenience Sampling. This secondary information has been sourced from the internet and from business related magazines and news papers. Page | 61 . I administered the questionnaires. The first part is a study of the banking industry.RESEARCH METHODOLOGY Data Collection Techniques: This project consists of two parts. For the collection of primary data This was the only method used. The second part of the study has been done using an exploratory research process and a structured questionnaire was developed for this purpose. Central Bank of India using secondary data sources. Also this method allowed the use of skills gained in class.
Creativity allows us to handle or diffuse problems at hand or later on rather in the process of conducting the everyday business. This was done keeping in mind the time constraints and the fact that I felt that this number would be enough to serve the information needs required to show the trends. The perception is a consequence of matching past purchase and consumption experience with the current purchase. or what. Page | 62 . we talk about creativity. does the organization have to do to gain not only the sale but also the loyalty of the customer. Customer service and satisfaction When we talk about customer service and/or satisfaction. It is the perception of the customer that the outcome of a business transaction is equal to or greater than his/her expectation.Sample Size: I have restricted the sample size to 50 respondents. Customer satisfaction occurs when the perception of the reward from the purchase of goods or services by the customer meets or exceeds his/her perceived sacrifice. Customer satisfaction Customer satisfaction is equivalent to making sure that product and service performance meets customer expectations. Customer satisfaction occurs when the acquisition of products and /or services provides a minimum negative departure from expectations when compared with other acquisitions and when the marginal utility of a transaction is equal to or greater than preceding acquisitions. We talk about how.
or ultimate customer. and to receivea Page | 63 . wants. intermediate. I expect the airline to be able to take off. Also.Expectations are a step higher than that of level 1 and they require some form of satisfaction through meeting the requirements and/or specifications. For example. We must also understand the strategy for customer service quality. or a process or processes. Satisfaction. means that what we delivered to a customer met the customer„s Approval. I expect to get the correct blood for my blood transfusion and I expect the bank to deposit my money to my account and to keep a correct tally for me. Level 2 . The customer is the person or unit receiving the output of a process on the system. to be out on the same day. and expectations. it is worth emphasizing that a customer can be the immediate. and next we must understand the measurement and feedback cycles of Customer satisfaction. and land safely. to be in some pain after it was done. Of course. We want to know the payoff of the transaction both in the short and long term. is when the customer is satisfied with a product/service that meets the customer‟s needs. I went to the hospital expecting to have myhernia repaired. must have. or take it for granted. In fact.Expectations are very simple and take the form of assumptions. and loyalty are: Employees must adhere to a rigid chain of command Employees are closely supervised Conflict in whatever form is not allowed Rewards are based on carrot-and-stick principles Wrong objectives are measure We must understand customer expectation levels concerning quality. We want to know what our customers Want? We want to know if our customers are satisfied. fly to my destination. There are at least three levels of customer expectations about quality: Level 1 . a customer may be a person or persons. Customer satisfaction. satisfaction. I expect tobe treated courteously by all airline personnel. however. We want to know if customers are Delighted and willing to come Some of the issues that will guarantee failure in sales. For example.
he gave me a housewarming gift Customer satisfaction surveys help to: Improve customer. Encourage market forces.correct bill. the bank officer. representing the bank holding my mortgage. and helpful with my transactions. Increase revenue. or employee loyalty React quickly to changes in the market. but just before we shook hands to close the deal. I once took a flight where the flight attendants‟ actually baked cookies for us right there on the plane. not only treated me with respect and answered all my questions about my new mortgage. Reduce costs. informative. an airline gives passengers travelling coach class the same superior food service that other airlines provide only for first-class passengers. client. And at my house closing. Level 3 requires some kind of Delightfulness or a service that is so good that it attracts me to it For example. Level 3 Expectations are much higher than for levels 1 and 2. to achieve higher operating standards Page | 64 . through competition. Beat the competition. COMPANY’S EFFORT TO ENSURE SATISFACTION OF CUSTOMERS : Objectives of Central bank of India Promote good and fair banking practices by setting minimum standards in dealing with you Increase transparency so that you can have a better understanding of what you can reasonably expect of the services. When I went to the hospital. And I went to the bank expecting the bank teller to be friendly. In fact. Retain or gain market share. But I was surprised when they called me at home the next day to find out how I was doing. Identify and capitalize on opportunities. I expected staff to treat me with respect and they carefully explained things to me.
the terms and conditions and the interest rates/service charges. Promote a fair and cordial relationship between you and your bank Foster confidence in the banking system To Help You to Understand How Our Financial Products and Services Work By Giving you information about them in any one or more of the following languages: Hindi. Phoning our branches or help-lines. Page | 65 .or Referring to the service guide/ Tariff Schedule. charges or terms and conditions. English or the appropriate local language. Information You can get information on interest rates. Ensuring that our advertising and promotional literature is clear and not misleading Ensuring that you are given clear information about our products and services. what are their financial implications and whom you can contact for addressing your queries To Help You Use Your Account Or Service By: Providing you regular appropriate updates Keeping you informed about changes in the interest rates. Looking on our website. which apply to them Giving you information on what are the benefits to you. Asking our designated staff/help desk . common fees and charges through any one of the following: Looking at the notices in our branches . how you can avail of the benefits.
Information about our other products or promotional offers in respect of our products/services.Before You Become a Customer we will: Give you clear information explaining the key features of the services and products you tell us you are interested in Give you information on any type of products and services which we offer and that may suit your needs. will be conveyed to you only if you have given your consent to receive such information/ service either by mail or by registering for the same on our website or on our phone banking/customer service number. Tell you if we offer products and services in more than one way ATM on the Internet. over the phone. and not misleading. Marketing and Sales We will make sure that all advertising and promotional material is clear. we will also indicate whether other fees and charges will apply and that full details of the relevant terms and conditions are available on request. We have prescribed a code of conduct for our Direct Selling Agencies (DSAs) whose services we may avail to market our products/ services which amongst other matters requires them to identify themselves when they approach you for selling our products personally or through phone Page | 66 . In any advertising in any media and promotional literature that draws attention to banking service or product and includes a reference to an interest rate. in branches and so on] and tell you how to find out more about them Advertising.
QUESTIONNAIRE 1:--WHICH OF THE FOLLOWING ATTRIBUTES COMPELLED YOU MOST TO OPEN BANK ACCOUNT? (a) ATM cum DEBIT Cards (b) Cheque Book (D) Working Hours (c) Internet Banking/ Phone Banking (e) Value Added Services 2:-WHICH TYPE OF SERVICE PREFERS THE MOST BY YOU? (a) ATM SERVICE (b) INTERNET BANKING (d) CORE BANKING (c) MOBILE BANKING (e) Retail Banking 3:-WHICH OFTHE FOLLOWINGS BANKS DO YOU HAVE ACCOUNT? (a) ICICI Bank (b) SBI Bank (D) Central Bank of India (c) HDFC BANK (e) Other Pls specify __________________ 4:-WHAT TYPE OF ACCOUNT DO YOU HAVE IN BANK? Page | 67 .
(a) Saving (c) Fixed (B) Current (d) NRI (e) Others Pls specify ________________________________________ 5:-HOW MANY SERVICES OFFERED BY YOUR BANK? (a) D-Mat A/C (c)Instructions (e) Digitally Signed Statement (b)Mutual funds (d) LI & GI 6:-HOW WOULD YOU KNOW ABOUT THESE SERVICES? (a) Advertisement (c) Direct Selling Agents (b) Friends and Relatives (d) Others Pls specify _______________ 7:-WHAT PEOPLE THINK ABOUT THE BANKS? (a) Necessity for protection security (c) A compulsory tool for SAVING 8:-What a respondent see in purchase of new plan from Banks? (a) Standing and goodwill of the company (b) Product range of the company (b) Imposition of a burden of expenses (c) Advertisement being released by the company (d) Services being given by the company 9:-Is Central bank of India Provide better facilities than ICICI & HDFC Bank? (a) Yes (b) No (c)Can`t Say 10:-Do you know what type of value added services provide by Central bank of India? (a)-Young star (c)-Pre paid card (b)-Senior citizen (d)-Recurring deposits Page | 68 .
11:-How would you divide 100 points on the basis of service provide by Central bank of India? (a)-Less formality (c)-Less documentation (b)-Flexibility (d)-others 12:-How would you rate services offered by Central bank of India? (a) Extremely Satisfied (c) Moderate (b) Satisfied (d) Dissatisfied 13:-WOULUD YOU LIKE ANY RECOMMENDATION TO CENTRAL BANK OF INDIA? Page | 69 .
Page | 70 .
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