Business Aspects in Banking and

Insurance
Individual project

COMPARISION
BETWEEN TWO
BANKS
Madhuri N. Prasad
Class: SYBMS-B
Roll no.: 81
 INDEX

u c t ion B I
t ro d o f S
1. In overview f ICICI
n o
2. A overview y
n lit
3. A proachabi
p s
4. A erest Rate facts
t t
5. In are marke
h
6. S her Facts
t
7. O nclusion
o
8. C liography
. B ib
9
INTRODUCT
ION
A bank is a financial institution licensed by
a government. Its primary activities include borrowing
and lending money. Many other financial activities were
allowed over time. For example banks are important
players in financial markets and offer financial services
such as investment funds. The level of government
regulations of the banking industry varies widely with
regard to its share holding in that particular bank. A
government sector bank is completely regulated by the
government while a private sector bank is regulated to
some extent by the central bank (RBI).
STATE BANK OF
INDIA
 AN OVERVIEW OF
SBI
The State Bank of India is a govt. sector bank. The evolution of State Bank of India can
be traced back to the first decade of the 19th century. It began with the establishment of the
Bank of Calcutta in Calcutta, on 2 June 1806. The bank was redesigned as the Bank of
Bengal, three years later, on 2 January 1809. It was the first ever joint-stock bank of the British
India, established under the sponsorship of the Government of Bengal. Subsequently, the
Bank of Bombay (established on 15 April 1840) and the Bank of Madras (established on 1 July
1843) followed the Bank of Bengal. These three banks dominated the modern banking
scenario in India, until when they were amalgamated to form the Imperial Bank of India, on 27
January 1921.

In order to serve the economy as a whole and rural sector in particular, the All India Rural
Credit Survey Committee recommended the formation of a state-partnered and state-
sponsored bank. Hence the committee proposed the take over of the Imperial Bank of India,
and integrating with it, the former state-owned or state-associate banks. Subsequently, an Act
was passed in the Parliament of India in May 1955. As a result, the State Bank of India (SBI)
was established on 1 July 1955. Later on, the State Bank of India (Subsidiary Banks) Act was
passed in 1959.

The State Bank of India emerged as a pace-setter, with its operations carried out by the
480 offices comprising branches, sub offices and three Local Head Offices, inherited from the
Imperial Bank. Instead of serving as mere repositories of the community's savings and lending
to creditworthy parties, the State Bank of India catered to the needs of the customers, by
banking purposefully.
ICICI BANK
 AN OVERVIEW OF
ICICI
The “Industrial Credit and Investment Corporation of India” (ICICI Bank) started
as a wholly owned subsidiary of ICICI Limited, an Indian financial institution, in 1994.
Four years later, when the company offered ICICI Bank's shares to the public, ICICI's
shareholding was reduced to 46%. In the year 2000, ICICI Bank made an equity
offering in the form of ADRs on the New York Stock Exchange (NYSE), thereby
becoming the first Indian company and the first bank or financial institution from non-
Japan Asia to be listed on the NYSE. In the next year, it acquired the Bank of Madura
Limited in an all-stock amalgamation. Later in the year and the next fiscal year, the
bank made secondary market sales to institutional investors.

With a change in the corporate structure and the budding competition in the
Indian Banking industry, the management of both ICICI and ICICI Bank were of the
opinion that a merger between the two entities would prove to be an essential step. It
was in 2001 that the Boards of Directors of ICICI and ICICI Bank sanctioned the
amalgamation of ICICI and two of its wholly-owned retail finance subsidiaries, ICICI
Personal Financial Services Limited and ICICI Capital Services Limited, with ICICI
Bank. In the following year, the merger was approved by its shareholders, the High
Court of Gujarat at Ahmadabad as well as the High Court of Judicature at Mumbai and
the Reserve Bank of India.
APPROACHABI
LITY
 INTEREST
LRATES
oans:-

D e p o s i t s :-
SHARE MARKET FACTS
 OTHER FACTS
1. Mobile Banking services:- Mobile banking is a
term used for performing balance checks, account transactions,
payments etc. via a mobile device such as a mobile phones.
ICICI bank has been pioneering in m-banking services with a limit of
Rs. 10,000 per day while SBI has taken an initiative to incorporate
this service recently.

2. Internet banking Facilities:- Online

banking (or Internet banking) allows customers to
conduct financial transactions on a secure website
operated by their retail or virtual bank.
The website for internet banking for an SBI account is
http://www.onlinesbi.com
The website for internet banking for and ICICI account is
http://infinity.icicibank.co.in
 CONCLUSION
From the above given information it becomes quiet evident that
although the interest rates provided by SBI are much less than ICICI,
the facilities provided by ICICI are much more too.
Hence for a common man it is advisable to keep his deposits in
ICICI bank while take loans from SBI.
When it comes to investing in the stock market though the rates
of SBI shares are high the returns on them are also equally high. But it
totally depends on the financial status of the person and the situation
of the stock market as to where one should make an investment.
 BIBLIOGRAPHY
A. W e b s i t e s : -
 http://www.hindu.com
 http://www.welcome-nri.com
 http://www.icicibank.com
 http://www.sbi.co.in/
 http://ideas.repec.org
 http://www.indiaonline.in
 http://answers.rupeetimes.com
 http://en.wikipedia.org
 http://www.google.co.in
 http://www.sbigroup.co.jp
 http://www.icicibank.com
 http://newton.ex.ac.uk

P. News paper:-
 The Economic Times
 The times of India
THE END

THANK