RATNAKAR BANK LTD.

CHAPTER 1

1.1) INTRODUCTION

RBL Bank (formerly known as Ratnakar Bank) is an Indian private sector bank. It has
it headquarters in Mumbai. It offers services across six verticals: corporate and
institutional banking, commercial banking, branch and business banking, retail assets,
development banking and financial inclusion, treasury and financial market operations.

In August 1943, Ratnakar Bank was founded as a regional bank in Maharashtra with
two branches in Kolhapur and Sangli. It mainly served small and medium
enterprises (SMEs) and business merchants in the Kolhapur-Sangli belt. It was
incorporated in Kolhapur district on 14 June 1943 as Ratnakar Bank Limited. In 1959,
the bank was categorized as a scheduled commercial bank as per the Reserve Bank of
India Act, 1934. During this decade, it was referred to as an NH4 Bank. In 1970, it
received a banking license from the Reserve Bank of India (RBI).

In July 2010, Vishwavir Ahuja became managing director and CEO of the bank. In
August 2014 the name of the bank was changed to RBL Bank Limited. RBL Bank is
one of the India’s fastest growing private sector banks with an expanding presence
across the country. It currently provides services to over 7.3 million customers through
a network of 346 branches, 1,156 business correspondent branches and 394 ATM’s
spread across 23 Indian states and Union Territories. RBL Bank is listed on both
National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).

RBL Bank has successfully built a strong partnership model across its businesses.
Through nimble footed approach and ability to deliver on commitments has led them to
become a 'Partners Ka Bank' for their customers.

1
 RBL Bank has invested in state-of-the-art technology for paperless banking to provide
doorstep delivery of credit and thrift through Tab based lending and micro ATM
solutions.
RBL Bank has provided micro-loans for livelihood generating activities to over 13 lakh
women clients spanning 18,000 villages across 195 districts in 13 states.
In 2006, the bank ran a financial literacy programme called Saksham with a view to
make the bottom of the pyramid customer become financially sustainable. It was
running in collaboration with CDC to provide education to 25,000 individuals and 300
villages in four districts of Madhya Pradesh. In 2013, another Saksham programme was
ran in Ahmedabad. In 2018, it partnered with Fintech start-up Money Tap to launch
India’s first personal credit line-based app that allows retail consumers to avail credit
instantly over their smartphones. Through their financial literacy programme Saksham
have imparted over 78,000 women across three states - Maharashtra, Rajasthan and
Gujrat.
RBL Bank Ltd. has a total number of 5,843 employees throughout its various branches
as of 17th July, 2019. Also, RBL Banker has successfully completed the assessment
conducted by the Great Place to Work (GPTW) Institute India and has been certified as
a great workplace.
Shanta Vallury Gandhi, Head – HR, CSR and Internal Branding stated that “At RBL
Bank, CSR is not merely a mandate, but a way of life. Supporting sustainable
livelihoods, education and healthcare projects, we at RBL Bank aim to strengthen rural
communities and help them create better life for themselves”
RBL Bank is amongst the first few banks to be live on Bharat QR, BHIM, Aadhaar
Payment Bridge System and other cashless initiatives launched by NPCI. The bank has
launched a unique digital savings account with zero balance and unlimited ATM
transactions.
It had also launched RBL I Labs, the first-ever Hackathon to promote the creation of
new innovative solutions in Banking and Financial Services. RBL Bank was the first
Indian private sector bank to launch an IPO in a decade .RBL Bank’s initial public
offer (IPO) drew bids close to 70 times the shares on sale.
RBL Bank is recipient of many awards and recognitions such as :-
 Best Bank for Microfinance - Asia money Best Bank Awards 2019 by Euromoney
 Best Small Bank, Business Today – Money Today Financial Awards 2019

2
 1.2) OBJECTIVES

 To enhance the information.

 To develop skill of preparing a project.
 To make positive contribution in the field of research.
 To study about Ratnakar Bank Limited and its related aspects like its products and
services, subsidiary companies.
 To study the development banking and financial inclusion.

3
1.3) SCOPE AND SIGNIFICANCE
The banking industry in India has a huge canvas of history, which covers the traditional
banking practices from the time of Britishers to the reform period, nationalization to
privatization of banks and now increasing numbers of private sector banks in India.
Therefore, Banking in India has been through a long journey. Banking industry in India
has also achieved a new height with the changing times. The use of technology has
brought a revolution in the working style of the banks. Nevertheless, the fundamental
aspect of banking i.e. thrust and the confidence of the people on the institution remain the
same. The majority of the banks are still successful in keeping with the confidence of the
shareholders as well as the other stakeholders. However, with the changing dynamic of
banking business brings new kind of risk exposure.

The scope of the study is very wide. The present study attempts critical analysis of
Ratnakar Bank Ltd. In this research work I have focused on how Ratnakar bank ltd.
Growing in the competitive market as compare to other banks and also includes the
inadept knowledge and the services provided by the banks to their customers. The present
research work also highlights the contribution of the bank towards the growth of the
country. The needs of the customer have also changed they required the services of the
bank at home, in office for 24 hours. The bank is also live to changing the needs of the
customer. The study will focus on the services such as electronic fund transfer payment
by phone, electronic check conversation etc.

4
1.4) HYPOTHESIS

1) :New and innovative technologies of Ratnakar bank ltd.

2) :To investigate different types of Agricultural finance of Ratnakar bank ltd.
3):- To investigate the Corporate Social Responsibility (CSR).
4):- Significant of whistle blower policy.

5
 CHAPTER 2

1.1) LITERATURE REVIEW

P K GUPTA(2008):- INTERNET BANKING IN INDIA-CONSUMER CONCERNS

AND BANK STRATEGIES :-Objective of this study was to find out the behaviour of
customers with respect to internet banking vis-à-vis conventional banking. The study
found out that internet banking was found to be easier and speedier than conventional
banking and trust, accuracy and confidentiality were the most important factors here.

SATISH KUMAR BALASUBRAMANIAN(2007) :- FINANCIAL

PERFORMANCE OF PRIVATE SECTOR BANKS IN INDIA:- Private sector banks
play an important role in development of Indian economy. After liberalization the banking
industry underwent major changes. The economic reforms totally have changed the
banking sector. RBI permitted new banks to be started in the private sector as per the
recommendation of Narasimhan committee. The Indian banking industry was dominated
by public sector banks. But now the situations have changed new generation banks with
used of technology and professional management has gained a reasonable position in the
banking industry. The main idea of this article is to make an evaluation of the financial
performance of Indian private sector banks.

SUJIT KUMAR NATH (2017) :- STATUS OF PRIVATE SECTOR BANK IN

INDIA:- Banks are financial intermediaries, lend money to borrowers to generate
revenue. They are typically regulated heavily, as they provide market stability and
consumer protection. It plays important role for any country. Considering the liberalized
economy of India which began in 1991 onwards, activity of banking sector is vast in
nature, providing different types of financial products catering the needs of rural as well
as urban customers. Using modern infrastructure and latest Information technology
private banks providing customized solution and maintaining relationship with
customers. Compare to public sector banks private sector banks are maintaining leading
role to provide best services to the customers with affordable cost.

6
MOTILAL OSWAL (2019) :- RBL has demonstrated strong momentum in business
growth and earnings. However, the exposure to a few stressed corporate accounts is likely
to drive an increase in provisioning expenses and dent the earnings trajectory. We, thus,
cut our PAT estimates by 12%/9% for FY20/21 as we factor in higher credit cost of
160bp/140bp for FY20/21 (~100bp in FY19) though robust margins and improving
profitability in the cards business will still facilitate 30% earnings CAGR over FY19-21.
We revise our TP to INR640 (2.5x FY21E BV). Maintain Buy.

7
 CHAPTER 3

1.1) RESEARCH METHODOLOGY

a) RESEARCH DESIGN
“A research design is the arrange of conditions for collection and analysis of data in a
manner to combine relevance to the researcher purpose with economy in procedure.”

b) SOURCES OF DATA
Data are the raw materials in which marketing research work. The task of data
collection begins after research problem has been identified and research design is
chalked out. Data collected are classified into primary and secondary data.

c) PRIMARY DATA
In this study the primary data is collected from questionnaire and through interview
with the customers.

8
 d) SECONDARY DATA

RBL BANK LTD.

PROFIT AND LOSS ACCOUNT

PROFIT AND MAR MAR MAR MAR MAR

LOSS ACCOUNT 19 18 17 16 15
OF RBL BANK (IN
RS CR.)
12 12 12 12 12
Mont Mont Mont Mont Mont
h h h h h
INCOME
Interest / Discount on 5049.8 3430.9 2639.4 1952.8 1413.5
3 0 0 0 7
advances / bills
Income on 1093.4 998.17 981.47 745.38 517.91
4
investment
Interest on balance 111.24 70.15 85.49 39.84 9.96

with RBI and other

interbank fund
Others 46.20 8.35 6.80 6.29 11.65

TOTAL 6300.7 4507.5 3713.1 2744.3 1953.0

1 7 6 1 9
INTEREST
EARNED
Other income 1442.3 1068.1 755.46 490.54 403.41
7 9

TOTAL INCOME 7743.0 5575.7 4468.6 3234.8 2356.4

8 5 2 5 9

EXPEND-
ITURE

9
Interest expended 3761.2 2741.2 2491.8 1925.1 1396.7
3 8 2 0 2

Payments to and 636.18 550.68 446.14 396.92 300.87

provisions for
employees
Depreciation 121.91 865.78 548.74 349.06 265.57

Operating expenses 1283.9 865.78 548.74 349.06 265.57

3
(exclude employee
cost & depreciation)

TOTAL 2042.0 1503.4 1056.3 767.34 599.65

2 1 9
OPERATING
EXPENSES
Provisions towards 500.60 378.18 238.16 157.54 102.53

income tax

Provision towards -68.40 -46.72 -2.72 -22.02 -9.76

deferred tax

Other provisions and 640.68 364.52 238.92 114.41 60.18

contingencies

TOTAL 1072.8 695.98 474.36 249.93 152.95

8
PROVISIONS AND
CONTINGENCIES
TOTAL 6876.1 4940.6 4022.5 2942.3 2149.3
2 7 8 7 2
EXPENDITURE

NET PROFIT / 866.95 635.09 446.05 292.49 207.18

LOSS FOR THE

YEAR

10
NET PROFIT / 866.95 635.09 446.05 292.49 207.18

LOSS AFTER EI &

PRIOR YEAR
ITEM
Profit / Loss brought 114.98 88.05 3.92 4.32 1.28

forward

TOTAL PROFIT 981.93 723.14 449.96 296.80 208.45

AND LOSS
AVAILABLE FOR
APPROPRIATION
S
APPROPRIATION
S

Transfer to / from 217.00 158.80 111.60 73.20 51.80

statutory reserve

Transfer to / from 9.00 9.39 0.31 1.00 2.46

capital reserve

Transfer to / from 400.00 360.00 250.00 160.00 105.00

revenue and other

reserves
Dividend and 0.00 0.00 0.00 0.00 0.00

dividend tax for the

previous year
Equity share 88.76 68.27 0.00 48.76 36.68

dividend

Tax on dividend 18.24 13.90 0.00 9.93 7.17

11
Balance carried over 170.57 114.98 88.05 3.92 4.32

to Balance sheet

TOTAL 981.93 723.14 449.96 296.80 208.45

APPROPRIATION
S
OTHER
INFORMATION

EARNINGS PER
SHARE

Basic EPS (RS.) 20.47 15.79 12.59 9.60 7.23

Diluted EPS(RS.) 20.04 15.18 11.80 9.43 7.00

DIVIDEND
PERCENTAGE

Equity dividend rate 27.00 21.00 18.00 15.00 12.00

(%)

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BALANCESHEET
BALANCE SHEET MAR-19 MAR-18 MAR-17 MAR-16 MAR-15
FOR RBL BANK
(IN Rs. Cr.)

12 months 12 months 12 months 12 months 12 months

EQUITIES AND
LIABILITIES

SHAREHOLDER’S
FUND

Equity share capital 426.71 419.67 375.20 324.73 293.45

TOTAL SHARE 426.71 419.67 375.20 324.73 293.45

CAPITAL

Revaluations reserve 0.91 0.94 0.97 0.00 0.00

Reserve and surplus 7119.70 6263.36 3959.41 2663.51 1935.95

Total reserves and 7120.61 6264.30 3960.37 2663.51 1935.95

surplus

TOTAL 7547.32 6683.97 4335.58 2988.24 2229.40

SHAREHOLDER’S
FUND

Deposits 58394.42 43902.26 34588.09 24348.65 17099.25

Borrowings 11832.07 9261.44 7979.76 10536.22 6962.70

Other liabilities and 2585.02 2003.08 1771.35 1286.98 812.30

provisions

TOTAL CAPITAL 80358.82 61850.75 48674.77 36160.09 27103.65

AND LIABILITIES

ASSETS

Cash and balance 4839.52 2589.33 2947.93 1339.75 1455.68

with reserve bank of
India

Balances with bank 1762.59 1695.11 1245.72 1110.18 714.66

money at call and
short notice

13
Investments 16840.36 15447.50 13481.71 14436.03 9792.30

Advances 54308.24 40267.84 29449.04 21229.08 14449.83

Fixed Assets 402.48 334.00 258.71 176.30 163.41

Other Assets 2205.62 1516.97 1291.67 868.75 527.78

TOTAL ASSETS 80358.80 61850.76 48674.77 39160.09 27103.65

CONTINGENT
LIABILITIES

Bills for collection 2308.94 1418.19 822.71 772.32 513.51

Contingent liabilities 61302.59 51395.93 41904.46 29718.22 21970.21

14
  DIRECTORS REPORT
The Directors have pleasure in presenting the 76th Annual Report of RBL Bank Limited
(“the Bank”) along with the audited statement of accounts for the financial year ended
March 31, 2019.

FINANCIAL PERFORMANCE
The comparative standalone financial performance for the financial year ended March
31, 2019 (FY19) with that of March 31, 2018 (FY18) is summarized in the following
table:0

(Rs. In Cr.)
PARTICULARS FY19 FY18 Change (%)
Advances (net) 54308.24 40267.84 34.87
Deposits 58394.42 43902.26 33.01
Net interest 2539.48 1766.28 43.78
income
Other income 1442.37 1068.19 35.03
Net total income 3981.85 2834.47 40.48
Operating 2042.02 1503.41 35.83
expenses
Provisions and 1072.88 695.98 54.15
contingencies
Net profit 866.95 635.09 36.51
Gross NPA ratio 1.38% 1.40%
Net NPA ratio 0.69% 0.78%
Capital adequacy 13.46% 15.33%
ratio
Business per 19.29 15.88 21.45
employee
Business per 347.85 317.62 9.52
branches
Appropriations
Transfer to 217.00 158.80
statutory reserve
Transfer to 400.00 360.00
revenue and other
reserve
Transfer 78.36
investment

15
 fluctuation
reserve
Transfer from (2.20)
investment
reserve
Dividend for the 107.00 82.17
year, including
tax thereon

BUSINESS UPDATE AND STATE OF BANK’S AFFAIRS

The details on state of affairs of the Bank and the business update are separately
provided in Management Discussion and Analysis Report which forms an integral part
of this Report.
FINANCIAL DISCLOSURES Dividend
Considering the overall performance during FY19 and the need to maintain a healthy
capital adequacy ratio as well as to support the Bank’s future growth, the Board of
Directors have recommended, subject to approval of the members at the Annual General
Meeting (“AGM”), a dividend of Rs. 2.70 (27%) per equity share for FY19, as against
Rs. 2.10 (21 %) per equity share for FY18. This dividend shall be subject to tax on
dividend to be paid by the Bank.
Capital Raising
During the fiscal FY19, the Bank had raised capital to the tune of Rs. 100.54 crore
through issuance/allotment of equity shares pursuant to exercise of stock options by the
employees of the Bank under various Employees Stock Option Plans/ Schemes.
The paid-up Equity Share Capital of the Banka’s on financial year ended March 31,
2019 stood at Rs. 4,267,097,280 divided into 426,709,728 equity shares of Rs. 10/-
each.
Capital Adequacy Ratio
The Bank is well capitalized with a Capital Adequacy Ratio (“CAR”) of 13.46% as on
March 31, 2019. The Bank complies with the Capital Adequacy guidelines of Reserve
Bank of India (“RBI”) which came into effect from April 1, 2013, known as ‘Basel III
Guidelines’.
Net Worth
The Bank’s net worth, as on March 31, 2019 is Rs. 7,336.30 crore. It comprises of paid-
up equity capital of Rs. 426.71 crore and reserves of Rs. 6,909.59 crore (excluding

16
Revaluation Reserve, Investment Reserve, Foreign Currency Translation Reserves and
as reduced by intangible and deferred tax assets).
CORPORATE GOVERNANCE
A detailed report on Corporate Governance as envisaged under Regulation 34(3) of the
Securities and Exchange Board of India (Listing Obligation and Disclosure
Requirements) Regulation, 2015 (“Listing Regulations”) is annexed as Annexure I to
this Report.
A copy of Certificate issued by M/s. Alwyn Jay & Co., Practicing Company Secretary is
enclosed to Annexure I and forms an integral part of this Report.
BUSINESS RESPONSIBILITY REPORT
Pursuant to Regulation 34(2)(f) of the Listing Regulations, a Business Responsibility
Report (“BRR”) has to be furnished by top five hundred listed companies based on
market capitalization in the format prescribed by the SEBI. Accordingly, the report
describing the initiatives taken by the Bank from an environmental, social and
governance perspective is presented in a separate section forming part of this Annual
Report.

17
 CHAPTER 4
1.1) AGRI BUSINESS FINANCE
(thinking ahead and propelling agricultural growth)

A) FARMER FINANCE AND CORP LOAN

(Enhancing credit outreach to farmers)
 KISAN CREDIT CARD
Kisan Credit Card is a unique offering to cater production as well as investment credit
requirements of the farmers. The Scheme aims at providing timely and adequate credit to
farmers in a hassle-free manner under a single window. RBL Bank offer Rupay enabled
Smart KCC Card to its farmers with a validity up to 5 years.

BENEFITS OF RBL BANK SMART CREDIT CARD :

1. Access to 1,00,000+ ATMs in India
2. Access to 7,00,000+ POS terminals
3. Mobile & E-mail Alerts
4. Enabled for various Points of Sale (POS)
5. Debit card with PIN security
6. Multiple withdrawals & repayments allowed

 CROP LOAN
Crop Loan is provided to meet the farm credit requirements in a holistic manner which
includes cultivation expenses, hi-quality Agri inputs, emergency credit, post-harvest
management expenses and maintenance of farm assets etc.

 DAIRY LOAN
Under Dairy Loan programme RBL Bank offers short term and long-term credit for
promoting high quality cattle purchase, purchase of feed/ fodder, construction of Dairy
shed, purchase of Bulk Milk Chillers and other requirements to setup Dairy farm.

18
 POULTRIES AND FISHERY LOAN
RBL Bank offers loan for poultry and fisheries development activities. This may include
working capital and term loan for purchase of poultry birds, fingerlings / young fishes,
feed / medicines, construction of shed, fish mesh, nets, boat / gears etc.

 MICRO IRRIGATION
Micro Irrigation needs like installation of Dug/ Bore Well, drip/ sprinkler, lift irrigation
system, pump set etc. are covered under this product thereby catering all term
requirements related to irrigation.

 HORTICULTURAL LOAN
Horticulture Loan caters all the horticultural and plantation needs like setting up of
horticultural nursery, projects, vegetable and floricultural nursery etc. This also covers
subsidy projects approved by National Horticultural Board and other institutions.

 AGRI ALLIED LOANS

Agri Allied Activities include activities like land development, land levelling, fencing,
spraying, weeding, sorting, grading are covered under this loan which cater to various on-
field requirement

19
 B) FARM MECHANIZATION AND VEHICLE FINANCE
(mechanizing farm operations and ensuring last mile connectivity)

 TRACTOR FINANCE
Efficient machinery helps in increasing productivity and enables the farmers to raise a
second crop or multi crops. Bank offers credit facilities for farm mechanization for
purchase of tractors for agricultural and allied operations and purchase of other farm
machineries.

 FARM MACHINERY
Provide credit support for various farm machineries like Harvester combines, Power tiller
& attached trailer & implements, Fertigation / Spraying equipment, produce sorters,
Milking machine, Chaff cutter, Mower, Reaper etc.

 SMALL AND LIGHT COMMERCIAL VEHICLE

RBL Bank offers loan facility for Small & Light commercial vehicle and Multi Utility
Vehicle pickup trucks, vans to be utilized in intra-city operations.

 TWO WHEELERS
RBL Bank offers two-wheeler loans to farmers, salaried and self-employed.

20
 C) AGRI COMMODITY FINANCE
(Better price realization for agriculture produce)

 WAREHOUSE RECEIPT FINANCE TO FARMERS

Warehouse Receipt Financing is a structured method of financing, wherein funds are
extended to farmers, manufacturers, grader sorter and processors based on Agri-
commodities WRF will cater to farmers, aggregators, processors, graders and sorters etc.
for stocking their own produce in the Warehouses for better price realisation later and to
meet immediate liquidity requirements.

 COLD STORAGES

RBL Bank offers credit facilities for storage of commodities like Raisin, Potato, Chillies
and Jaggery etc. Bank also provides term loan for construction of cold storage.

 FUNDING FOR CONSTRUCTION FOR RURAL WAREHOUSE AND

GODOWNS

RBL Bank offers loans for developing scientific Agri-warehousing infrastructure

21
 D) CORPORATE AND VALUE CHAIN FINANCE
(Forging partnership – “FARM TO FORK”.)

 AGRI VALUE CHAIN FINANCE

RBL Bank caters to the credit requirement of across identified value chains for the various
stakeholders

 FINANCE TO PROCESSORS, TRADERS AND AGGREGATORS

RBL Bank provides working capital and term loan to Processor, Traders and aggregators
for agribusiness

 FOOD AND AGRO PROCESSING

RBL Bank offers customise credit facilities to food and agro based industries including
the producers associated with the industry

 FARMER SERVICE SOCIETY AND FARMER PROCEDURE ORGANISATION

RBL Bank offers credit facilities to FSS and FPOs and the farmers associated with these
organisations

 CUSTOM HIRING COMPANIES

RBL Bank provides working capital Loans and other credit facilities to Custom Service
Units managed by individuals, institutions or organizations who undertake farm work for
farmers on contract basis

 CONTRACT FARMING
RBL Bank offers credit facilities for contract farming by way of working capital/term
loan for promotion of high value crop or technology or increasing better returns for the
farmers

22
 1.2) TECHNOLOGY

A) BIOMATRICS AND IT’S FUTURE OF BANKING SECURITY

 Digital proliferation has made banks vulnerable to frauds
 Biometrics can help banks curb fraudulent activity
 Online banking can be made safer with fingerprint readers
 Iris scanners at ATMs and fingerprint technology can enhance security
While technology has streamlined banking operations and has made it more convenient,
security remains a challenge for banks. In the digital era, financial institutions including
banks are vulnerable to frauds. According to data from the RBI, Indian banks have
reported a total loss of around ?70,000 crore due to frauds during the last three financial
years, up to March 2018.
To keep fraudsters at bay, banks have resorted to various methods and one such
technology which can help banks further augment their security is biometrics. Iris,
fingerprint, facial recognition and palm vein are some of the most common biometric
modalities.
With these varying for each individual, here’s how this technology can help banks curb
frauds and secure their operations.

 MAKE ONLINE BANKING SAFER THROUGH FINGERPRINT READERS

According to a report titled “Encashing on Digital: Financial Services in 2020”, the
number of online banking users in India is expected to reach 150 million by 2020. Banks
can make online banking safe for such a huge number of customers through fingerprint
readers.
These readers can help eliminate identity theft and ensure the safety of customers. By
integrating fingerprint readers and matching them with a centralised database, banks can
establish the identity of their customers. A fingerprint reader adds an extra layer of
security to online banking.

23
 IRIS SCANNERS AT ATMS
ATMs are an important cog in the wheel of banking operations. With thousands swiping
ATM cards to withdraw cash, check balance, and change PIN among others, security of
ATMs assumes tremendous importance. By using card cloning machines, fraudsters steal
critical data and use it to withdraw money from the card holder’s account. There have
been many such cases in various parts of the country in the past.
However, iris scanners at ATMs can make ATM transactions more secure. Instead of just
swiping a card, entering PIN, and making a transaction, an iris scanner would complete
the process only when the biometrically-loaded data of the user matches with the bank’s
database.

 MOBILE BANKING INTEGRATED WITH FINGERPRINT TECHNOLOGY

Due to a rise in the number of smartphones, mobile banking has gained much traction.
One can transfer funds, pay bills, request a new chequebook, etc., through it. By
integrating fingerprint technology in mobile banking, banks can step up their security
whereby only on successful validation of biometrics data, users can conduct various
mobile banking operations.
In fact, most phones are compatible with fingerprint technology allowing customers to
proceed with mobile banking on successful validation.

 BIOMETRIC IDENTIFICATION FOR EMPLOYEES

There can be cases of a disputed transaction. In such an event, a lawsuit from a customer
or employee can result in high litigation expenses for the bank, affecting its operational
revenues. However, biometric identification of employees can eliminate chances of a
doubtful transaction and also bring down cost in an event of a litigation.
Data protection is extremely important for banks. A breach can not only result in a
financial loss but also affect credibility. With biometrics providing data security by
capturing an individual’s characteristics that are almost impossible to duplicate, the
technology will play a critical role to improve the security of banking operations and
enhance customer experience in the coming days.

24
 B) BLOCKCHAIN

 HOW BLOCKCHAIN IS REVOLUTIONISING INTERNET BANKING

1) Blockchain technology will change the way banking is carried out

2) Blockchain will help increase compliance, reduce costs, improve security, and reduce
TAT
3) It will enable data storage with better security, thus reducing cases of fraud and cyber
attacks

Blockchain technology has enormous potential across systems and processes. There is
no doubt that the technology will revolutionise the banking industry. Harvard Business
Review says that blockchain will have the same effect on banks that the Internet had on
media.

Leaders in the financial services industry are well aware of the disruption and are
preparing for change.

As per Harvard Business Review, 60% of financial organisations are looking at

blockchain for international money transfers. 23% of the organisations are using it for
security clearing and settlement, and 20% for KYC regulations and anti-money
laundering services.

These are a few ways in which blockchain will impact the banking industry.

 KNOW YOUR CUSTOMER

Know your customer process is the bank’s way of verifying customer details. These
regulations also help prevent activities like money laundering, terrorism funding, etc.
According to a global survey by Thomson Reuters, financial firms are spending anything
from US$60 million to US$500 million on KYC and due diligence compliance.

Blockchain will help reduce these administrative costs of compliance by allowing

25
 independent verification done by one organisation to be accessed by another, thereby
enhancing convenience and reducing duplication.

 PAYMENT PROCESS

Blockchains also holds tremendous potential for disrupting payment processing.

Currently, the payments process is a cumbersome, paper-intensive, expensive, and time-
consuming due to intermediaries. By adopting blockchain technology, the process will be
more secure, cost-effective and reliable. Not only for payments between banks and their
clients, but also between banks themselves.

 FRAUD REDUCTION

Fraud and cybersecurity are a big concern for the banking world. Intermediaries such as
money transfer services are a lucrative target for fraudsters, as is evident in a report by
PwC. The report states that 45% of financial intermediaries suffer from a financial crime
every year.

Hacking of financial data is mostly caused by breaching into a centralized database.

Once the vulnerabilities of this system have been exploited, the hackers get full and
unfettered access. Blockchain holds great promise against cyber-attacks as the data is not
stored centrally but is decentralized in the form of a distributed ledger where data is stored
in blocks with a timestamp having links to the previous block.

 SMART CONTRACTS

Smart contracts are essentially a computer code that facilitates, verifies or enforces a
credible contract between two or parties, without the need for a third party. Smart
contracts are developed to provide better security than traditional contracts with a
reduced cost factor.

26
Blockchain enables this kind of transaction by including a computer code that is
executed once the concerned parties enter their respective keys. These codes can be
programmed in a way that they execute financial transactions once a certain criterion is
met.

Of late, several PSU and private banks in India have started conducting pilot
transactions using blockchain. Beta launches of blockchain-enabled smart contracts
have been rolled out and it’s expected that soon banks will come with blockchain-
enabled KYC. Also, several leading Indian banks, both in the public and private sector,
are part of the Bank Chain Community, whose objective is to explore and implement
blockchain solutions in banking operations.

Hence, the applications and potential for blockchains are tremendous and most forward-
looking businesses most consider leveraging it.

27
 1.3) DISRUPTION – FINANCIAL SERVICES

Financial services are undergoing lots of disruptions. The businesses are concentrating
their efforts to redefine their existing business models. The technological changes are
exerting good amount of pressure on existing functionalities to create and cater
differentiated product and services. The financial institutions must extend their
limitations and work with customer, business partners and competitors to create blooming
ecosystems.
Digital disruptions are changing the way of existing functionaries in past decades. So, as
the branchless business are becoming popular among customers as well. The start-up have
constantly introducing new technology provide automated process to their customers.
The success of disruptive services is based on two factors i.e. innovation in technology
and customers readiness to adapt the technology.

 SMARTPHONES:
Mobile users are growing exponentially in the market. Any change in the mobile segment
has been quickly adapted and absorbed in the economy. Almost every other business is
presenting their services with the mobile application for their customers. This is adding
to convenience of customers in every business segment. Few of the example in mobility
are fund transfer money to account, pay bills, transfer money to mobile/person etc. Some
of the basic feature we observed are checking the balance of accounts, review
transactions, observe bill due for payment and look for offices of the business.

 BIOMETRICS DEVICES:
These services are increasing being popular in financial segment as it helps to overcome
the threat of identity of user of the service.

 SOCIAL MEDIA:
The companies identify social media as means of communication and customer
engagement for brand promotion and penetration. Almost every business has the
Facebook, Twitter or other social media pages displayed for the customer to get in contact
with corporates. Recently, we have seen that few of the organisation have started with
transfer of funds through these medium of communication as well.

28
 Contextual business: Making right offer at right time to the right customer has always
been the avenue to create benchmark in the market. These services will achieve
breakthrough in the market soon.

 E-WALLETS:
The telecom, FMCG players and few financial institutions have established automated
process for transferring funds from one customer to other customer, pay bills instantly,
settle their small obligation at one click.
These disruptions have become popular in the market. Many financial functions are
adopting ‘mobile first’ approach to drive their strategic mission.

29
 1.4) CORPORATE SOCIAL RESPONSIBILITY

As a corporate citizen, RBL Bank’s philosophy is to undertake socially useful

programmes for welfare and sustainable development of the community at large. RBL
Bank believes in working for the benefit of different segments of the society, specifically
the deprived, underprivileged and differently abled persons.

“My aim is to unify the organisation by doing meaningful work through our highly
respected, aligned, motivated stakeholders and partners who believe that CSR is not a
programme but a way of life to create a larger ecosystem of socially responsible citizens
of tomorrow.”

A) PROMOTING EDUCATION
RBL Bank believes in empowering the nation by helping people to lead better lives with
the help of education.

ACTIVITY:
 Academic education by way of financial assistance primarily to early childhood Primary,
Middle and Higher Secondary Schools, and for higher education up to post-graduation.
 Help in skill training and development by participating in projects supported by National
Skill Development Corporation (NSDC).
 Help in skill building of rural unemployed youths by supporting Krishi Vigyan Kendra’s
(KVK), Industrial Training Institutes (ITI), Farmers' Service Societies (FSS).
 Support to Technical/Vocational Institutions for their self-development.
 Teach the girl child.
 Special attention on education, training and rehabilitation of mentally & physically
challenged children/persons.

30
B) PREVENTIVE HEALTHCARE
RBL Bank wants to help people to meet the basic need of consuming healthy food along
with giving the needy the required health assistance through this CSR initiative.

ACTIVITIES:
 Arrange health camps to setup for eye care especially Retinopathy for Diabetic patients.
 Care for Retinoblastoma, a form of eye cancer.
 Blood donation camps.
 Offering Senior Citizen Healthcare.
 Offering home healthcare services and any other Healthcare initiatives from time to time.
 Reducing infant mortality and maternal mortality.

C) WOMEN EMPOWERMENT
RBL Bank is an equal opportunity employer and gives equal rights to its employees. In
its efforts to promote gender equality and create an unbiased society, RBL Bank is
working on various women welfare and gender equality initiatives.

ACTIVITIES:
 Women empowerment through education, skill building and trainings.
 Promotion of women-based micro enterprises.

D) SUSTAINABLE LIVELIHOOD
RBL Bank through its ‘Sustainable Livelihood’ CSR initiative is working on creating a
positive impact on people’s lives and the world at large.

ACTIVITIES:
 To help develop livelihood opportunity by working on:
 Water conservation, artificial recharge and productivity enhancement.
 Development of allied income generation activities.

31
 CSRVision
To be the most admired, compassionate and respected organisation delivering value to all
stakeholders through equitable and inclusive growth.

CSRMission
We will deliver and promote inclusive growth in the country through various focused
initiatives in promoting education, preventive healthcare, women empowerment and
sustainable livelihood to catalyse growth and reduce social inequalities.

32
1.5) SUSTAINABILITY FRAMEWORK

RBL Bank has made a strategic commitment towards Sustainable Development. This
commitment is driven by the Board and senior management. The implementation is
overseen by the Environmental & Social and Governance (ESG) Committee. Regular
updates are provided to Bank’s board.

 SUSTAINABILITY POLICY

RBL Bank’s overarching Sustainability Policy drives Bank’s Environmental and Social
(E&S) performance. The Sustainability Policy mandates that all eligible transactions of
the Bank are screened for E&S risks - with an underlain objective to identify material and
potential environmental, occupational health and safety, social and governance related
risk associated with lending proposals and to mitigate them. Mainstreaming of unbanked
and under-banked communities through appropriate financial inclusion products and
increasing financial literacy is another key area explored by the Sustainability Policy. The
Bank has conducted financial literacy programmes targeted at economically marginalized
sections of society in several states across India. Another key area addressed by the
Sustainability Policy is sustainable Agri initiatives, which promotes products line micro-
irrigation, solar pump-sets and replacement of older, energy inefficient pump-sets with
new pump-sets.

A) ENVIRONMENTAL AND SOCIAL RISK MANAGEMENT

Managing Environmental & Social (E&S) risk forms an integral part of this framework.
This involves performing E&S due diligence as part of the credit appraisal and sanction
process.

All lending transactions are screened against the ‘exclusion list’, which contains activities
that do not meet the Bank’s principles. An illustrative list of such activities, which the
Bank does not fund, include – production or trade in weapons and munitions, production
or trade in tobacco; gambling or casinos etc.

33
 The transactions are then screened for E&S Risks including climate change risk. The
Bank engages with the clients to identify and find solutions to mitigate the E&S risks
identified.

B) SUSTAINABLE AGRICULTURAL PRACTICES

RBL is one of the leading banks in funding agricultural activities. The Bank has a strong
mandate towards promoting sustainable and environmental friendly initiatives like
 Promoting micro/drip irrigation,
 Installation of solar pump-sets
 Replacement of old energy inefficient pump sets
 Installation of energy efficient bulk milk-chillers
 Promoting intensive flori and horticulture in controlled environment with minimum inputs
etc.

These initiatives lead to reduction in resource and energy inputs, improving soil quality,
reducing Green House Gas (GHG) emissions, and help developing capacities of
marginalized agrarian communities towards mitigating climate change.

C) FINANCIAL LITERACY AND FINANCIAL INCLUSION

The Bank, in association with multilateral development institutions and several non-
government organizations (NGOs), has been engaged in conducting Financial Literacy
training programmes in several States across India. The target audience for these
programmes are the marginalized, and economically weaker sections of society,
especially women in small self-help/ joint liability groups. These programmes are
designed to meet following objectives:
 Introduce target audience to basic financial products like savings account, loan account,
term deposits and insurance
 Explain concepts of financial discipline to help manage their money in a responsible
manner
 Improve their access to credit through formal channels to avoid exploitation by money-
lenders
 Educate with respect to usage of banking services through alternate channels like mobile
ATMs or SM

34
 1.6) WHISTLE BLOWER POLICY

 INTRODUCTION
Feedback by employees/associates is increasingly becoming popular to ensure better
governance standards and transparency in the running of the organizations. Reserve Bank
of India (RBI) has also framed a separate Protected Disclosure Scheme, wherein
employees, customers, and stakeholders of the any bank can lodge a complaint with RBI
on the functioning of a bank. Further, section 177 of the Companies Act, 2013 as well as
SEBI (Prohibition of Insider Trading) (Amendment) Regulations, 2018 also requires
establishment of a vigil mechanism. This Whistle Blower Policy shall govern the subject
matter s described herein below, however, shall always be subject to applicability of laws
and regulations as prevalent from time to time.
In line with above, the Bank had developed a scheme titled “RBL Bank Protected
Disclosure Scheme”, which is currently in force.
The proposed comprehensive Whistle Blower Policy shall replace and supersede all the
existing policies on the subject matter.

 PREFACE
 RBL Bank Limited, (“the Bank”) believes in the conduct of the affairs of its constituents
in a fair and transparent manner by adopting highest standards of professionalism,
honesty, integrity and ethical behaviour.
 The Bank is committed to developing a culture where it is safe for all Whistle Blower/s
to raise concerns about any poor or unacceptable practice, wrong doings and any
incidence of misconduct.
 The purpose of this policy is to provide a framework to promote responsible and secure
whistle blowing. It protects the Whistle Blower wishing to raise a concern about
irregularities within the Bank.
 The policy neither releases Whistle Blowers from their duty of confidentiality in the
course of their work, nor is it a route for taking up a grievance about a personal situation.
 This policy will be posted on the Bank’s intranet for the information of its employees. In
addition, an abridged version shall be posted on the Bank’s website.

35
 APPLICABILITY
 This Policy is applicable to all employees and Directors of the Bank, and also to third
parties such as suppliers, contractors and vendors, of the Bank.
 The Policy has been drawn up so that Whistle Blowers are eligible to make Protected
Disclosure. The Protected Disclosure may be on areas of concern affecting the Bank and
are summarized in paragraph 5.

DEFINITIONS
 “Whistle Blower” means a Director, an Employee of the Bank and includes a
Vendor/Contractor/Supplier who are dealing with the Bank, making a Protected
Disclosure under this Policy. The Whistle blowers are not investigators or finders of the
facts; neither can they determine the appropriate corrective or remedial action that may
be warrant. The Whistle Blower’s role is that of a reporting party only.
 “Subject” means a person or group of persons against or in relation to whom a Protected
Disclosure is made or evidence gathered during the course of an investigation.
 “Audit Committee” means the Audit Committee constituted by the Board of Directors of
the Bank in accordance with the provisions of Reserve Bank of India’s guidelines and
Companies Act, 2013.
 “Bank/RBL Bank” means RBL Bank Limited.
 “Employee” means every employee of the Bank including contractual staff.
 “Third Parties” means Suppliers, Contractors and Vendors dealing with the Bank
 “Reviewing Authority” means MDAC (Management Disciplinary Action Committee).

 THE GUIDING PRINCIPLES

 In order to ensure that Whistle Blower Policy is adhered to, and to assure that the
concern/disclosure will be acted upon seriously, the Bank will:
a) Ensure that the Whistle Blower and/or the person processing the Protected Disclosure is
not victimized;
b) Treat victimization of Whistle Blower as a serious matter including initiating disciplinary
action against person(s) causing or allowing victimization of Whistle Blower;
c) Ensure complete confidentiality of identity of Whistle Blower, unless as required under
applicable laws and regulations;
d) Not attempt to conceal evidence of the Protected Disclosure;

36
 e) Take disciplinary action, if any one destroys or conceals evidence of the Protected
Disclosure made/to be made;
f) Provide an opportunity of being heard to the persons involved especially to the Subject;
However, reporting a concern does not automatically provide immunity to the Whistle
Blower, if the person himself / herself is a party to the offense.

 COVERAGE OF POLICY
The Policy covers malpractices and events which have taken place/ suspected to have
taken place involving, but not limited to:
a) Abuse of authority
b) Breach of contract
c) Manipulation of Bank data/records
d) Financial or compliance irregularities, including fraud, or suspected fraud
e) Criminal offence having repercussions on the Bank or its reputation.
f) Perforation of confidential/proprietary information
g) Deliberate violation of law/regulation
h) Misappropriation or misuse of Bank funds/assets

 PROTECTION
 Protection to Whistle Blower:
a) Bank will protect Whistle Blower from Unfair Treatment by virtue of his/her having
reported a Protected Disclosure under this Policy.
b) The Bank, as a policy, condemns any kind of discrimination, harassment, victimization
or any other unfair employment practice adopted against Whistle Blower.
c) Whistle Blower will be protected against any unfair practice like retaliation, threat or
intimidation or termination/suspension of service, disciplinary action, transfer, demotion,
discrimination, any type of harassment, biased behavior or the like including any direct
or indirect use of authority to obstruct the Whistle Blower’s right to continue to perform
his/her duties/functions including making further Protected Disclosure.
d) The Bank will take steps to minimize difficulties, which the Whistle Blower may
experience because of making the Protected Disclosure.

37
 The identity of the Whistle Blower shall be kept confidential at all times, unless as
required under applicable laws and regulations.
 Bank will protect any other Employee/Third Party assisting in the said investigation or
furnishing evidence to the same extent as the Whistle Blower.
 Protection under this Policy is available provided that:
 The communication/disclosure is made in good faith;
 Whistle Blower is not acting for personal gain or animosity against the Subject.

 PROTECTED DISCLOSURE
 All Protected Disclosures can be made in the following manner:
a) By writing an email addressing to wb@rblbank.com and the Subject of Email to be
mentioned as “Private and Confidential"
b) By sending a complaint letter in a sealed envelope marked “Private and Confidential" to
the Chief of Internal Vigilance to the following address.
Chief of Internal Vigilance
RBL Bank Ltd
National Operating Centre,
9th floor, Techni plex - I, Off Veer Savarkar Flyover,
Goregaon (West), Mumbai – 400062
a) If the Protected Disclosure received through Email ID wb@rblbank.com, either Chief of
Internal Vigilance and/or by designated employee within Vigilance team of the Bank will
access the Whistle Blower email.
b) The Chief of Internal Vigilance/Designated Vigilance official shall, on receipt of the
complaint, arrange to verify the identity of the whistle Blower.
c) Suitable proof of Whistle Blower’s identity/ contact numbers/ full postal address is to be
provided by the Whistle Blower so that additional information, if any, can be obtained.
In case identity of the Whistle Blower is not provided, the complaints will be treated as
anonymous/ pseudonymous complaints, and may not attract further action.
d) Only on being satisfied that the disclosure has verifiable information, necessary enquiry/
investigation will be conducted with regard to the complaint.
e) Disclosure to Chief of Internal Vigilance also can be made over Telephone. The Whistle
Blower would however, be required to disclose their identity and furnish sufficient
information for verifying his/her identity by the Chief of Internal Vigilance. Additional

38
 information, as deemed necessary, will be sought by the Chief of Internal Vigilance
receiving the call or designated investigating officials.
f) The disclosure whether by letter/email/oral should provide specific and verifiable
information in respect of the “Subject”.
g) In exceptional cases, one may directly approach Chairman of the Audit Committee of the
Board.
h) FRM (“Fraud Management Unit”) unit will maintain record of all Protected Disclosures
and Reviewing Authority will conduct an independent review once every year.
i) In order to protect the identity of the Whistle Blower, Bank will not issue any
acknowledgment of receipt of the complaint. Bank assures that, subject to the facts of the
case being verifiable; it would take necessary action, as provided under the scheme. If
any further clarification is required, Chief of Internal Vigilance or designated
investigating officials will get in touch with the Whistle Blower.
j) Vigilance team will also have the authority to seek assistance / support from other
departments
 In case there is an act committed by the incumbent managing the Fraud Risk
Management / Chief of Internal Vigilance, the Whistle Blower can escalate the same to
the Chairman - MDAC at the following address.
Chairman - MDAC
RBL Bank Ltd
Corporate Office, 9th floor,
One India bulls Centre
Tower 2B, 841 Senapati Bapat Marg
Lower Parel, Mumbai 400 013

 INVESTIGATION
1.1. In this regard, the Vigilance team may perform all such acts as it may deem fit at its sole
discretion, including, but not limited to the following functions:
1.2. Obtain legal or expert view in relation to Protected Disclosure;
1.3. Appoint external agency to assist in investigation;
1.4. Seek assistance of internal auditors;

39
1.5. Seek explanation or solicit Subject’s submission on Protected Disclosure or give
reasonable opportunity to respond to Subject on material findings contained in an
investigation report.
1.6. Request for any information /document and explanation from any employee of the Bank
or Third parties as they may deem appropriate for the purpose of conducting an
investigation.
1.7. In case, Vigilance is unable to complete the enquiry/investigation within prescribed
timeline, interim report should be submitted to the stakeholders giving inter alia, the
tentative date of completion.
2. Any inquiry/ investigation conducted against any subject shall not be construed by itself
as an act of accusation and shall be carried out as neutral fact-finding process, without
presumption of any guilt.
3. The inquiry/ investigation shall be conducted in a fair manner and provide adequate
opportunity for hearing to the affected party and a written report of the findings should
be prepared for submission.
4. If the identity and contact details of the Whistle Blower is available, Bank will inform
progress and final outcome of the investigation, within the constraints of maintaining
confidentiality.
5. In case the Protected disclosure made does not have any specific & verifiable information,
the Chief of Internal Vigilance is authorized not to take any action. This would be suitably
recorded and placed before the Board/ACB (“Audit Committee of the Board”).
6. In case of repeated frivolous complaints being filed by a Director or an employee or other
person allowed under his Whistle Blower Policy, the ACB may take suitable action
against the concerned Director or employee or such other including reprimand.
6.1. Subject shall co-operate with the investigator and not interfere or obstruct with the
investigation process.
6.2. Conduct Investigation within prescribed timeline from the date of receipt of complaint as
below.
a) All Non-Advances cases to be investigated within three months.
b) All advance cases with sanction value up to INR 1 crore to be investigated in three
months.

40
 SECRECY/CONFIDENTIALITY
The Whistle Blower, the Subject and Vigilance team and everyone involved in the process
shall:
a. Maintain complete confidentiality/ secrecy of the matter.
b. Not discuss the matters in any informal/social gatherings / meetings/social media
c. Discuss only to the extent or with the persons required for the purpose of completing the
process and investigations
d. Maintain records in a secured environment.
e. Only Chief of Internal Vigilance/Designated Vigilance official/s can access Protected
Disclosure received through written communication and received through Email ID
wb@rblbank.com .
f. No other department in the Bank can have access to Protected Disclosure through any
mode including access to ‘past’ file from backend.
Non-compliance of the above process may lead to disciplinary action by the Bank.

 REPORTING
Chief of Internal Vigilance shall report status of all Whistle Blower cases/protected
disclosures (including NIL report) to the Audit Committee of the Board, together with
results of investigations and an update on the actions taken by the management at least
once every year.

 RETENTION OF DOCUMENTS
All documents including the Investigation reports relating to Protected Disclosures shall
be retained by the Bank for a minimum period of 5 (five) years for the date of
investigation report or as mentioned in applicable law, if any.

 AMENDMENT
Chief of Internal Vigilance in consultation with Head – Human Resources may amend
Whistle Blower Policy from time to time and place before ACB and Board.

41
 1.7) DEVELOPMENTAL BANKING & FINANCIAL INCLUSION

 FINANCIAL OPPORTUNITIES FOR INCLUSIVE GROWTH

For India's growing economy to realise its full potential, we must ensure that every Indian
has access to the tools they need to protect their money, increase their capital and grow
their businesses and livelihoods. At its core, RBL Bank believes that financial inclusion
is about promoting the country's economic growth through providing a range of financial
services to those who currently have limited or no access to them.

RBL Bank is strategically committed to financial inclusion and we are uniquely

positioned to bank the base of the pyramid in a commercially sustainable manner.
Historically the bank has successfully served the agricultural and rural economy through
its extensive semi-urban and rural branch network. The bank is further enhancing its reach
by opening more branches in semi-urban and rural geographies, and setting up a Business
Correspondent network to provide doorstep services in villages. A suite of new products,
including micro-loans, remittances, micro-insurance etc. are being delivered in addition
to liabilities products, using state of the art, secure, simple and cost-effective technology
solutions.

 THE OPPORTUNITY

With a significant population of the country being unbanked and underserved, there is a
great opportunity to provide formal financial services both in rural and urban geographies.

In India, close to 50% of the total population is being served by the Banking institutions,
however with the decrease in income levels, the financial inclusion levels come down to
around 30% in the low-income population segments. Further, these households do not
have access to multiple products and services to address their credit, savings, investments

42
 and risk management needs. The financially excluded customers most often build capital
through informal savings mechanisms, pledging assets and borrowing from informal high
cost sources.

RBL Bank addresses this market by developing an insight into customer needs,
understanding the uncertainty and unevenness of the cash-flows, and customising
products to suit the requirements of each of its customer segments. The Bank is expanding
its branch network in semi-urban and rural geographies. It is also engaging Business
Correspondents to provide last mile connectivity to villages which are not directly
connected to its branches. An important aspect of inclusive growth is creating awareness
about financial discipline and educating its customers about the use of right financial
product for the right purpose, and therefore financial literacy is one of the core pillars of
RBL Banks Financial Inclusion offering.

 OUR NETWORK

RBL Bank is expanding its customer reach in this business through its semi-urban and
rural branches, network of business correspondents, sub-agents and physical
infrastructure of corporate business correspondents. The Bank will be rolling out its
Financial Inclusion products and services in urban geographies over a period of time.

 BRANCH BANKING:

Among the RBL branch network, from most of the branches the products and services of
rural banking & financial inclusion are offered.

We believe that the best way to reach rural remote customers is to make banking a
convenient, affordable exercise. Our business correspondent network is set up in a hub-

43
 and-spoke framework, with RBL Bank branch being the hub and the spokes being the
business correspondent outlet in our customer's village.

UIDAI empanelment: Recognising the unbanked and under banked residents' need for
easier access to our banking services, RBL Bank has empanelled with the Unique
Identification Authority of India (UIDAI).

 THE SEGMENTS

Under its Developmental Banking & Financial Inclusion Group, RBL Bank provides
products and services to all the constituents of low income salaried and self-employed
individuals in rural and urban areas, and micro-enterprises engaged in services and
manufacturing sectors. The business group is further sub-divided into sub-groups based
on client segmentation – Affordable financial institutions, Microfinance and Micro-
Enterprise Finance.

 MICROFINANCE

Affordable financial Institutions - Short and medium term on balance sheet and off-
balance sheet capital market solutions to promote growth of high quality, ethical and
socially conscious microfinance organisations. Offerings also include deposits, current
account, foreign exchange and retail banking services for MFI staff.

Micro banking - Direct delivery of financial products and services including credit,
savings, remittance, insurance and investment products to clients in semi-urban and rural
areas. The Bank extends these solutions through Joint Liability Group/Self-Help Group
models.

44
 MICRO-ENTERPRISE FINANCE

The Bank has a keen focus to support growth of micro-enterprises in the country and
currently offers working capital and term funding to micro-enterprises in its branch
service area. The Bank is developing a focused business model to address the specialized
needs of micro-enterprises engaged in multitude of economic activities in various clusters
around the country.

 OUR PRODUCTS

Affordable, convenient and easy to access - our products are specifically tailored to meet
the needs of our clients.

 MICROFINANCE

 Wholesale

 Term loans

 Working capital finance

 Portfolio buyouts

 Loan syndications

 Rated securitisations

 MICRO BANKING

 Crop Loan

 Crop Loan - Vegetables

 Agri Investment Loan - Land Development

 Agri Allied Loan - Dairy

 Agri Allied Loan - Non-Dairy

 Micro-enterprise loan

45
 MICRO-ENTERPRISE FINANCE

1. Working capital finance

2. Asset finance

3. Term loans

 MICRO SAVINGS AND REMITTANCES

 No-frill savings account

 Domestic remittance

 Flexible RD and FD products

 INSURANCE

 Life insurance

 General insurance

 Credit-life micro-insurance

 PERSONAL BANKING PRODUCTS

 Savings Account

 Current Account

 Loans

 Deposit

 Insurance

46
 1.8) CREDIT CARDS

 CORPORATE PURCHASE CARD

Customized Vendor & Bulk Payment Solution for your organization. Manage high
volume transactions online or by physical swipe securely. Find daily transaction dump
in excel straight in your inbox for fastest & easiest reconciliation.

BENEFITS:
 Up to 50 days of Interest Free Credit
 Get monthly E-Statement
 Designated Relationship Manager
 4th Lime Embossing
 Complimentary Lost Card Insurance up to 2 Lakhs
 Emergency Card replacement
 Global Acceptance
 Customized daily MIS

 RBL BANK CLASSIC PLATINUM CARD

Features & benefits: -

a) ENHANCED SECURITY
 PIN-based EMV chip that adds an additional layer of security to reduce chances of
fraudulent transactions

47
 The chip offers a more secure payment mechanism compared to the traditional magnetic
stripe, and reduces the probability of skimming, i.e., copying of personal data from the
information stored on the card
 An EMV chip + PIN card mandates the use of a Personal Identification Number (PIN) to
authorise purchase transactions providing an extra layer of security

b) ONLINE TRANSACTIONS THROUGH YOUR CREDIT CARD

 Your Online transactions with your RBL Bank Credit Card are more secure now. All online
transactions need to be validated with a One Time Password (OTP)
 A One Time Password (OTP) is generated automatically whenever you do an Online
transaction
 OTP is sent to the mobile number and email ID registered with the card account.
 Please ensure that your mobile number and email ID is updated with us to be able to
transact online, kindly contact Card Service Helpline for assistance

c) FLEXI LIMIT
 Stay in control of your finances through flexi limit
 Regulate the credit limit on your card and your add-on card by just calling the 24X7
customer service and assigning a lower limit
 You can assign a differential limit to the primary and add on credit card

d) ACTIVE ALERTS
 Stay informed about all the vital card transactions made on your credit card
 Get alert messages on dispatch of your card statement, receipt of payment, payment date
missed etc. on your registered mobile phone number and e-mail address

e) GLOBAL ACCEPTANCE
 The RBL Bank Classic Platinum Card is accepted at over 23 million MasterCard accepting
merchant establishments world-wide. This is in addition to over 120,000 MasterCard
merchant establishments in India and Nepal
 You can buy in any currency and pay back later in Indian rupees

48
 Please note: As per the RBI guidelines, you can use your card in Nepal and Bhutan for
transactions in either their local currencies or in Indian rupees.

f) CARDS ONLINE
 Access your card account with just a click
 View billed and unbilled transactions
 Print last 6 months statement
 Check available credit limit and request for balance transfer or demand draft

g) GLOBAL CASH ACCESS 24 HOURS A DAY

 You can access any ATM in India or overseas that displays a MasterCard / Cirrus / Maestro
sign
 Please note that a transaction fee is applicable on all cash withdrawals. All cash advances
also attract finance charges from date of transaction to date of settlement

h) ZERO FRAUD LIABILITY

 You are covered by Zero Fraud Liability if your card is ever lost or stolen after you have
informed the 24X7 customer service. That means you will not be responsible for
fraudulent purchases

i) ADD-ON CARDS
 Get up to 5 add-on cards for your relatives. Add-On card can be applied for your spouse,
parents or children (above 18 years of age)

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 MOCASH CREDIT CARD

RBL Bank MoCash Credit Card is an innovative product which combines the power of
an instant loan and a Credit Card. Please go through the page to explore the benefits that
are available with MoCash program.

 MoCash gives you complete flexibility to avail a line of credit within minutes. You can
anytime transfer money from the MoCash app to your registered bank account and
payback in easy EMIs.
 What’s more, MoCash also gives you convenience of using a physical credit card for your
retail and online purchases.

 MOCASH HIGHLIGHTS
 Instant Decisioning:
Know your credit limit on RBL Bank MoCash app within 3 minutes

 No usage No interest:
Pay interest only on the amount you borrow

 24/7 instant money transfer:

Transfer money to your registered bank account, as you need, when you need

 Pay back in easy instalments:

You pay back the loan borrowed in EMIs as per the tenure you choose
You can also easily convert your Card spends into EMIs from the MoCash app

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 MOCASH CREDIT CARD FEATURES
 Welcome Benefit :
2000 Reward Points on Card activation in 30 days

 Rewards Benefits :
1 Reward point / Rs. 100 spent except fuel
2 Reward points / Rs. 100 on online spends

 Movie Benefits :
10% discount on movie bookings at Book my show, 15 times in a year

 Online Shopping benefits :

Get Rs. 1000 shopping voucher on every Rs. 1 lac spent online, a maximum of 5 times
in a year

 Fuel Surcharge Waiver :

Waiver of fuel surcharge up to Rs. 100 a month for fuel transactions between Rs. 500
and Rs.

 RBL BANK ETMONEY LOANPASS CARD

RBL Bank ETMONEY Loan Pass enables you to get money whenever you need it with
24*7 access to money on mobile.

Your RBL Bank ETMONEY Loan Pass brings the power of 2 products into 1:
 Instant money transfer to your bank account through ETMONEY app - Login to your
ETMONEY app to begin the journey

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 Rewards packed Credit Card for all you spends - Your Card is enclosed and ready to us
 LOANPASS HIGHLIGHTS
 24*7 access to money on mobile:
Transfer money instantly into your bank account, whenever you need it

 Pay back in easy instalments:

You can transfer loan anytime and payback with the convenience of EMI options.
You can also easily convert your Card spends into EMIs from the ETMONEY app

 Benefits packed Credit Card:

Go cashless for all your online or offline purchases, Use your limit with a Card
 Flexible repayment:
Repay in few days or months right from the app. It’s flexible.

 No usage No interest:
Pay interest only on the amount you borrow

 CARD FEATURES
 Reward Program:
Earn 1 Reward point on every Rs. 100 you spend
Earn 2X Rewards on all you spend on weekends (Saturday & Sunday).

 Monthly Benefit:
Earn 20% cashback on all you spend at Amazon, Gofers, Uber and Zomato.
Maximum monthly cashback is Rs. 250

You can view your accumulated cashback on the ETMONEY app at the end of your
billing cycle. Cashback can be redeemed from the ETMONEY app. You need to
redeem your cashback within 90 days of accrual, before it gets expired.

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  Movie Benefit:
Get 1+1 free movie ticket (Up to Rs. 200/-) on Book My Show once a month for
Weekend shows

 Spends linked Benefits:

Annual Fee for the next year is reversed on spends of 1st Rs. 1 lac in a year
Get additional 1000 Bonus Points on spends of next Rs. 1 lac (post annual fee
reversal) up to 10 times a year

 Fuel Surcharge waiver:

Waiver of fuel surcharge up to Rs. 100 a month for fuel transactions between Rs.
500 and Rs. 4000

 FEE
 RBL Bank ETMONEY Loan Pass comes with no fee for the first year.
 2nd year onwards: Annual Fee of Rs. 499/- + GST.
 Earn your fee back.
 Annual Fee 2nd year onwards is waived off if spends are more than Rs. 1 lac in the
previous year.

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 1.9) SUBSIDIARY COMPNAIES

RBL FINSERVE
 Products and services
1) Ratna pragati loan ( RBL macro loan)
RBL's centre based loan is an Individual Loan with a joint liability (JL) among centre
members and is intended for low income economically active women who are between
18 to 58 years of age, belonging to the same socioeconomic backgrounds.

Loan amounts range from INR 18,000 to INR 50,000 for a period of 18 and 24 months
respectively.

2) MSME product- loans for micro and small enterprises

Micro and Small Enterprises in India which are by and large excluded from the formal
financial sector and either directly or indirectly face barriers to access because of
requirements of documentation and collateral that they are unable to meet therefore RBL
FinServ provides convenient, affordable access to credit for this segment.

The product features are flexible and specially designed for the specific needs of small
businesses. The flexibility of features permits the loan to be tailored to suit different
requirements of a range of businesses. Although loans are offered to both male and female
entrepreneurs, special benefits are given for women led / women impacted businesses to
encourage larger participation of women in entrepreneurial activities.

Loans are offered from INR 75,000 to INR 25,00,000, for a variety of purposes and
accordingly tenures. These can be secured or unsecured, depending on the circumstances.

3) Ratna bachat ( basic saving bank account)

All micro loan clients are given the benefit of no-frill savings account with a Rupay debit
card. This enables clients to grow savings safely in the bank.

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4) Credit – linked life insurance
All micro loan clients are given the benefit of credit-linked life insurance. The sum
assured for a client is equal to the loan amount. In the event that a client suffers a
natural or accidental death over the course of his/her loan term, his/her nominee is
released from the burden of repayment of loans and is also entitled to receive the
principal amount already repaid by the client.
As an added benefit, spouse insurance (with a separate insurance fee) is also being
offered to all clients for the same amount from the client.

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1.10) SWOT ANALYSISL
(RATNAKAR BANK LTD)

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1) STRENGTH
 Healthy risk weighted assets with lower NPAs.
 Growth focused leadership.
 Strategic partnership with FinTech.
 Ability to use technology for financial, customer and market analytics.
 Competence in identifying customer latent needs.
 Credit risk management.

2) WEAKNESS
 Low numbers of ATM and Bank Branches.
 Lower brand equity compares to bigger banks.
 Limited geographic presence.
 Lower exposure in Retail business segment.
 Lower branch utilization.

3) OPPORTUNITY
 Large rural untapped rural market.
 Direct transfer of benefits to the account holder.
 Increase awareness in customers for digital payment.
 Sustainable GDP growth in India.
 Increased in formalization of the economy.

4) THREAT
 Cyber security.
 Change in banking and RBI laws.
 Higher competition from the other private bank (like kotak) and NBFC.
 Raising cost of funding.
 Rise in cash reserve ratio by RBI.
 Technology disruption.
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 CHAPTER 5
1.1) CONCLUSION

The study attempted to identify Key Quality attributes of latest technologies and finance
products provided by the RBL bank to their customers. It also covers the SWOT
analysis and the Corporate social responsibility of the RBL bank. The findings of this
study show that despite of many advantages of online banking and technology. People
still consider it as an alternative for analyzing their bank records. Although every bank
today provides online banking and providing latest technologies but most of the people
still not feeling safe while using latest technologies used by the banks.

The main factor which persuade people to use latest technologies are comfort and
convenience & the facility which attracts them most is quality and quantity of
information. Therefore, the implementation of quality initiative should begin with
defining customers’ need and preferences & their related quality dimensions. There is
still lot needed for the banking system to make reforms and train their customers for
using latest technology and internet for their banking account. Going through the survey
the main problem lies that still customer have a fear of hacking of accounts and thus do
not go on for internet banking. Banks are trying their level best by providing the best
security options to the customers but then to there is lot of factors which betrays a
customer from opening an internet banking accounts and also avoid the use of credit
card facilities.

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 CHAPTER 6

1.1) BIBILOGRAPHY

Rblbank.com

Wikipedia.org

Scribd.com

Moneycontrol.

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