A Study on the Impact of technology in Banking Sector at Federal

Bank

Summer Internship Project Report submitted in partial fulfilment of the

requirements for the degree of
Master of Business Administration

By
NIRMAL JOSEPH

REGISTER NUMBER
2127823

Under the Guidance of

Prof MEERA SURESH

School of Business and Management

CHRIST (Deemed to be University), Bangalore

JUNE / 2022

1
 Declaration

I hereby declare that the Summer Internship Project report entitled “A study on the impact of
technology in banking sector at Federal bank, Aluva” has been undertaken by me for the
award of Master of Business Administration. I have completed this study under the guidance
of Prof Meera Suresh.

I also declare that this Summer Internship Project report has not been submitted for the award
of any Degree, Diploma, Associate ship, Fellowship or any other title, in CHRIST (Deemed
to be University) or in any other university.

Place: Bengaluru ___________________

Date: Nirmal Joseph
2127823

2
 Certificate

This is to certify that the Summer Internship Project report submitted by Nirmal Joseph
on the title “A study on the impact of technology in the banking sector at Federal Banlk” is a
record of Summer Internship Project work done by him during the academic year 2022-23
under my guidance and supervision in partial fulfilment of Master of Business
Administration.

Place: Bengaluru ____________________

Date: Dr. Meera Suresh
Professor
School of Business and Management
CHRIST (Deemed to be University)
Bengaluru

3
 Acknowledgement
I am indebted to many people who helped me accomplish this Internship successfully.

First, I thank the Vice Chancellor Dr Fr Abraham V M, CHRIST (Deemed to be

University) for giving me the opportunity to do my project.

I thank Dr. Jain Mathew, Dean, Dr. Georgy Kurien, Associate Dean, Prof. Sirish,
Head of the Department and Dr Lakhmi Shankar , Head – Business Analytics, School of
Business and Management, CHRIST (Deemed to be University) for their kind support. (Main
Campus)

I thank Dr. Jain Mathew, Dean, Dr. Jeevananda, Associate Dean, Prof. Krishna M C,
Head of the Department and Dr Vedha Balaji, Head – Marketing, School of Business and
Management, CHRIST (Deemed to be University) for their kind support. (Kengeri Campus)

I thank Prof Meera Suresh for her support and guidance during the course of my
internship. I remember her with much gratitude for her patience and motivation, but for
which I could not have submitted this work.

I wish to express my sincere thanks to my corporate mentor, Jijo Jacob, Senior

Manager, Corporate planning Department, Federal Bank, Aluva ,Kerala for giving me an
opportunity to work under his guidance and successfully complete my internship.

I thank my parents for their blessings and constant support, without which this
internship project would not have seen the light of day.

_____________________
Nirmal Joseph
2127823

4
 Placeholder for black and white photocopy of the certificate issued by the SIP
organization

5
 Page
TABLE OF CONTENTS
Chapter No.
No.

Introduction 10

Industry and Company Profile 13

Project Design and Methodology 20

Data Analysis & Interpretation 25

Findings, Conclusion, Recommendations & Learnings 37

References 40
Appendix
 Questionnaire/Interview Schedule/Any other Instrument
 Screenshot of Similarity Index Report
 Feedback forms by the corporate mentor, university mentor
and the viva panel 41

6
 Table Page
No. LIST OF TABLES No.

1.1
VOLUME OF MOBILE TRANSACTIONS FROM THE
SELECTED MONTHS
4.1 18

4.2 Mobile transaction during the moth July 19

4.3 Bank wise mobile transactions during June 20

4.4 National Electronic Fund Transfer(NEFT) – June 2021 21

4.5 National Electronic Fund Transfer(NEFT) – July 2021 22

4.6 National Electronic Fund Transfer(NEFT) - September 23

4.7 Month wise RTGS Transaction on June (Top 10 banks) 24

4.8 RTGS Volume For The Month July 25

4.9 RTGS Volume For The Month September 26

4.10 Popular Transaction Channel for banking industry 27

4.11 Banks which uses Mobile transactions rather than NEFT ,RTGS 28

 4.12 Customers Using Various Transaction Channels  29

7
 Fig Page
No. LIST OF Charts No.

     

1.1

2.1
VOLUME OF MOBILE TRANSACTIONS FROM THE SELECTED
MONTHS
4.1 28

4.2 Mobile transaction during the moth July 29

4.3 Bank wise mobile transactions during June 30

4.4 National Electronic Fund Transfer(NEFT) – June 2021 31

4.5 National Electronic Fund Transfer(NEFT) – July 2021 32

4.6 National Electronic Fund Transfer(NEFT) - September 33

4.7 Month wise RTGS Transaction on June (Top 10 banks) 34

4.8 RTGS Volume For The Month July 35

4.9 RTGS Volume For The Month September 36

4.10 Popular Transaction Channel for banking industry 37

4.11 Banks which uses Mobile transactions rather than NEFT ,RTGS 38

4.12 Customers Using Various Transaction Channels 39

VOLUME OF MOBILE TRANSACTIONS FROM THE SELECTED
MONTHS
4.1 28

8
 Executive Summary

The purpose of the study is to examine the relationship between new technology
implementation in the banking sector and customers. How they are aware about the
technologies and how they are using it. Data for this study was collected from the RBI
website database which shows the month wise volume of NEFT, RTGS and Internet banking
done by the customers. The normal data were taken from the customers through
questionnaire. Also a simple percentage analysis and certain charts are given. Tools like
Tableau and python is used for the visualization and prediction apart from Excel.

9
 CHAPTER 1

INTRODUCTION

10
The banking industry of India is in the midst of an information technology revolution. A
combination of regulatory and competitive reasons had led to increasing importance of total
banking automation in the industry. Information technology has basically been used under
different avenues in banking. One is communication and connectivity and another one is
business process reengineering. Information technology enables difficult product
development, better market infrastructure, implementation of reliable techniques for control
of risks and helps the financial intermediaries to reach geographically distant and diversified
markets.
Information technology has changed the contours of 3 major functions being performed by
the banks i.e. access to liquidity, transformation of assets and then monitoring of risks.
Further, information technology and the communication networking systems have a vital
bearing on the efficiency of money, capital and foreign exchange markets. The commercial
banks went for computerization. The middle and late 90s witnessed the storm of financial
reforms, deregulation, globalization etc. coupled with rapid revolution in communication
technologies and evolution of novel concept of convergence’ of computer and
communication technologies, like internet, mobile phones etc., It changed the face of Indian
banking system completely. The banking process is now more dependable and quicker than
ever. Document and record upkeep and retrieval have been more quicker and simpler. The
basic financial system is enhanced by computerised banking. With the help of the CBS (core
banking system), all branches are linked together and have access to the same centralised
data. The MICR cheque processing system innovation has made processing checks faster and
more effective than before. The government introduced USSD (Unstructured supplementary
service data) so those without internet access could still access their bank accounts online
without going to a branch. With the spread of the internet, internet banking was created and is
now provided by practically all banks. Through this, it is possible to complete all transaction
information and queries online without going to the bank.
Individuals, businesses, and organisations can transfer money between banks using NEFT
(National Electronic Fund Transfer) and RTGS. We can check the RBI websites for the list of
NEFT and RTGS-enabled branches of banks. This facility can be only used for transferring
money within the country. The RBI states that banks are not permitted to charge customers
for receiving or sending money abroad. The fees for NEFT and RTGS outbound transfers
have been limited, though. User must pay between Rs 5 and Rs 25 for transfers made using

11
the former, depending on the amount. For transfers up to Rs 1 lakh, Rs 15 for Rs 1-2 lakh,
and Rs 25 for transfers over Rs 2 lakh, banks are not allowed to charge more than Rs 5. You
must pay Rs 25 for amounts between Rs 2 and Rs 5 using RTGS and Rs 50 for amounts over
Rs 5. NEFT settles transactions in batches and operates on a deferred net settlement (DNS)
basis. The settlement is completed with all transactions received up until a specific deadline.
It runs in hourly batches; on weekdays, there are 11 settlements from 9 am to 7 pm, and on
Saturdays, there are 5 between 9 am and 1 pm. Any transaction that is started after the
specified time must wait until the following settlement time. Transactions in RTGS are
continually processed throughout business hours. On weekdays, RBI's settlement hours are 9
a.m. to 4:30 p.m.; on Saturdays, they are 9 a.m. to 1:30 p.m. Banks are free to work within
this window or alter it. In this location, transfers are conducted quickly and can be useful in
an emergency.
So the project work displays the past three years volume of transactions through NEFT,
RTGS and Internet banking through bank wise list taken from the RBI site.

12
 CHAPTER 2

PART- A INDUSTRY PROFILE

13
The history of the Indian banking sector is extensive, including traditional banking practises
from the British era to the reform era, the nationalisation and privatisation of banks, and the
current rise in the presence of foreign banks in India. As a result, banking in India has
travelled a long road. With the passing of time, the banking business in India has also reached
a new level. The way banks operate has undergone a transformation thanks to the usage of
technology. However, the core components of banking, namely trust and public confidence in
the organisation, remain constant. The majority of banks continue to be profitable,
maintaining the trust of shareholders and other stakeholders. Recent events have shown that
the global economy is through some complex conditions, including the euro zone crisis, debt
crises in major economies around the world, and bank and financial institution bankruptcies.
Major economies including the US and Europe are experiencing a recession as a result of the
scenario's growing ambiguity. This raises several important issues regarding the continuation,
expansion, and sustainability of development.
But despite all of this unrest, India's banking sector has been one of the few to remain
resilient. Over the past ten years, the rate of expansion for the Indian banking sector has been
astounding. It is clear that the faster rate of credit growth, rising profitability and productivity
comparable to banks in developed countries, decreased incidence of non-performing assets,
and emphasis on financial inclusion have all helped to make Indian banking robust and lively.
In order to keep the economy growing, Indian banks have started to review their growth
strategy and reassess the chances available.
Banking Industry in India functions under the sunshade of Reserve Bank of India – the
regulatory central bank. Banking Industry mainly consist of
 Commercial banks
 Co-operative banks

14
Scheduled Commercial Banks and Unscheduled Bank make up India's commercial banking
structure. The banks included in the Second Schedule of the Reserve Bank of India (RBI)
Act, 1934 are the Scheduled Commercial Banks. Only banks that meet the requirements
outlined in section 42(60) of the Act are included in this schedule by the RBI. Not all
cooperative banks are scheduled commercial banks, but some of them are. Being a part of the
second schedule offers the bank some advantages in terms of having access to
accommodations from the RBI during times of liquidity shortages. However, this status also
comes with a number of requirements and a duty for the bank to abide with RBI reserve
norms. The Reserve Bank of India divides banks into four categories: public sector banks, old
private sector banks, new private sector banks, and foreign banks for the purposes of
evaluating their performance.

15
16
 PART-B COMPANY PROFILE

17
A increasing number of customers in India, both in urban and rural areas, choose Federal
Bank as their personal, NRI, and business banking partner. The Bank's motivation comes
from its desire to rank among the most esteemed financial organisations in the nation.
One of the largest private sector commercial banks in India, Federal Bank Limited has its
headquarters in Aluva, Kerala. Treasury activities, wholesale banking, retail banking, and
other banking operations make up the Bank's four business segments. Investment and trading
in stocks, bonds, and other securities are included in treasury activities. Working capital, term
financing, trade financing, specialty corporate finance products, structured financing, foreign
exchange syndicate services, and electronic banking needs are among the goods and services
offered by the bank. As of December 31, 2020, the bank had 1272 branches, 1948 ATMs, and
Cash recyclers. Additionally, the bank maintains representative offices in Abu Dhabi and
Dubai as well as an International Finance Tec-City (IBU) in Gujarat (GIFT City). The Bank
provides a range of services to its clients, including Internet banking and mobile banking.
Paying bills online Services for online fee collection and storing Payment Processing
Services As part of its plan to establish itself as a financial super market and to improve client
convenience, it offers a variety of services, including merchant banking, insurance, mutual
funds, and more. Travancore Federal Bank Ltd., a subsidiary of Federal Bank Ltd., was
established on April 28th, 1931. Under the Travancore Firm's Act, the company was founded
at Nedumpuram, a location close to Tiruvalla in Central Travancore, with a five thousand
rupee authorised capital. K.P. Hormis created the Bank. They began conducting financial
operations related to agriculture and industry as well as auction-chitty business.
The Bank's registered office was moved to Alluvia on May 18, 1945. They began operations
and opened their first branch at Alluvia. They established their second location in Angamally
in 1946. The name of the bank was changed to Federal Bank Ltd. on March 24, 1947. At

18
Perumbavoor, they opened the Bank's third location in April 1947. The Banking Companies
Act of 1949's Section 22 granted the Bank a licence on July 11, 1959. One after another, the
Bank floated various kooris. During the same time period, they also developed a number of
new deposit plans. The Bank acquired the Chalakudy Public Bank Ltd.'s assets and liabilities
in 1964. Those banks are The Alleppey Bank Ltd. and The Cochin Union Bank Ltd. The St.
George Union Bank Ltd. combined with the Bank in 1965 and incorporated into it. The Bank
joined with The Martha Dom Commercial Bank Ltd. in 1968. The bank was designated as a
Scheduled Commercial Bank in 1970. The bank's international banking division began
operating out of Mumbai in 1973, the same year it was recognised as an authorised dealer in
foreign exchange. The Bank added 53 new branches in 1975. The National Institute of Bank
Management (NIBM) advised reorganising the organisation, and in November 1984, the
Agricultural Finance Department was established at the headquarters. The Bank established
the Department of Personnel and Industrial Relations in July 1985. At the Br. Alluvia-Bank
Junction branch, they also implemented the first Advanced Ledger Posting Machine (ALPM-
a Wipro banker). They opened the set of administrative buildings in 1987. The Bank began
operating in the merchant banking sector in 1989. The Bank released the public issue in
March 1994. The bank opened its first ATM at Eranakulam North on February 17, 1997. The
Any Where Banking (ABB) programme, which connects all branches in the Bangalore metro
area, was launched by the bank in Bangalore in the year 2000. Together with NSDL, they
started Depository Services. Additionally, they started offering Internet Banking under the
brand "FedNet" with software assistance from Infosys Technologies Ltd. For their online
store, they signed marketing agreements with a few corporate firms. The bank partnered with
Escotel Communications in 2001 to introduce SMS-based mobile banking services.
Additionally, they introduced the "Suraksha" senior citizen deposit programme.

19
 CHAPTER 3

PROJECT DESIGN AND

METHODOLOGY

20
Problem Statement
The most crucial problem associated with what exists today is the lack of knowledge about
the technological products which the banking industry provides. Most of the banking
customers use the traditional aspects for transferring funds and other transactions. As they are
following the traditional aspects they will visit the bank branches directly for transferring
funds and for other facilities which the bank provides. Also it will take lot of time to
complete the transaction process physically by visiting the branch. Most of the people don’t
have enough time to spend in banks as they have other duties and responsibilities. So, the
major problems in the industry are;
 As the absence of knowledge about the newly introduced banking technology is there,
the banks will not be able to evaluate the efficiency of the products which they had
introduced.
 There are insufficient application for finding the customers which use the internet
banking, NEFT and RTGS in the subsequent banks and the banks which provides
these facilities for the customers.

Objectives of the study

The main objectives involved in finding the impact of technology in banking sector and
analysing are the following.
 To analyses the impact of technology in banking industry.
 To find out the popular transaction channel for banking industry.
 To determine the technology in banks used by customers.
 To list out the banks which uses the Mobile Banking/Internet Banking technology
over NEFT/RTGS for transferring funds.
 To categorize and project the banks which uses technology widely.
 To project the monthly volume and value of various fund transfer channels used by banks
during the last one-year period.

21
CRISP-DM
CRISP-DM stands for a cross industry process for data mining. The CRISP-DM
methodology provides a structured approach to planning a data mining project. This project
follows the sequence of events followed in this methodology which are as follows.

1. Business Understanding
2. Data understanding
3. Data Collection
4. Data preparation
5. Data Visualization
6. Evaluation

We have carried out or used two visualization tools for data analysis for Data analysis for
Volume of NEFT, RTGS and Mobile banking.

BUSINESS UNDERSTANDING:
Using the two methodology, I study how the volume of the NEFT, RTGS and Mobile
banking transactions can be classified and displayed using the visualization tools. This

22
projects aims at building a better structured visualization that effectively projects the each
channel of transaction.

DATA UNDERSTANDING:
The Data set was fetched from the RBI website as the bank was not willing to share the
personal details as per their terms and conditions. The dataset consists of 256 records with 5
attributes. Attributes are as follows: Bank name, NEFT(inward), NEFT (outward), RTGS,
Mobile banking. The data obtained was in a structured format and it was in XLSX form.

The variables and their operational definition are as follows:

Variables Operational definition

Bank Name of the bank

NEFT(inward) Volume of NEFT inward transaction

NEFT (outward) Volume of NEFT outward transaction

RTGS Volume of RTGS transaction

Mobile banking No. of Mobile transactions occurred

DATA COLLECTION:
The data required for the analysis part was taken from the RBI website. Dataset’s projects out
the month wise volume of NEFT, RTGS and Mobile transactions of banks in India. There
23
were 36 datasheets for the year 2022. Each data sheets are analysed for finding out the
volume of each transactions during the year. Using excel charts the data’s were analysed
using the recommended charts like pie chart, scatter plots and paretto diagram.

DATA PREPRATION:
Data preparation is an important step in the initial stage of visualizing data.
For the visualization of data using Excel and Tableau, following steps carried out in the Data
preparation.

 Selected the dummy dataset from the RBI website (Volume of NEFT, RTGS and Mobile
banking transactions for the year 2021).
 The data was consisting of 36 excel sheets, So started sorting them according to the month.
 Visualizing the volume of transactions through Excel visualization and tableau.
 Analyzing the graphs visualized for proper interpretation.
 Giving solutions to the data visualized and formulating Dash boards.

DATA VISUALIZATION:
Data visualization was done through excel and Tableau. Each channel was visualized using
the both tools. The NEFT data’s were visualized using the excel and the mobile transactions
and RTGS were done with Tableau.

24
 CHAPTER- 4
DATA ANALYSIS &
INTERPRETATION

25
Data Analysis using MS Excel
As the datasets were given in month wise , each months transaction were projected using
various charts for proper visualisation. Also the list of total banks were exceeding 250, I had
taken the top 10 from each sheet by filtering.
As the total charts and tables for the volume of mobile transactions, NEFT and RTGS will
exceed more than 34 graphs I am attaching below some samples from the selected months.

VOLUME OF MOBILE TRANSACTIONS FROM THE SELECTED MONTHS

Volume of mobile transactions in the month september

3000000000

2500000000

2000000000

1500000000

1000000000

500000000

0
D A nk D. D d
an
k A ia
LT OD Ba LT LT ite DI I nd
NK A R ra NK NK Lim lB IN f
BA B na A na OF ko
OF BA IB nk o
an
IS Ca FC IC Ba Na
ti K B
AX NK IC ts AN n
HD n b B io
BA e nj
a
TE Un
ym Pu A
Pa ST
m
yt
Pa

Volume (Actual) Value (In Rs'000)

Interpretation : From the graphs given above its shown that State Bank Of India has the most
mobile transactions during the month September. After that Axis bank comes at second place.

Volume Value (In

Bank Name
(Actual) Rs'000)
AXIS BANK LTD 502790715 1270249
BANK OF BARODA 211085789 480844
Bank of India 203281751 486192

26
 Canara Bank 147460939 373746
HDFC BANK LTD. 297177693 1383091
ICICI BANK LTD 215288797 1350060
Paytm Payments Bank Limited 174692076 168380
STATE BANK OF INDIA 884617690 2546855
Union Bank of India 186707393 453894

Mobile Transactions during the month July

3000000000

2500000000

2000000000

1500000000

1000000000

500000000

0
D A ia nk D. D d A ia
LT OD I nd Ba LT LT ite DI I nd
NK A R of ra NK NK Lim IN of
BA B k na BA IB
A
nk OF k
IS OF an Ca IC Ba K an
AX
B FC AN B
NK HD IC
nts B io
n
BA e E Un
ym AT
Pa ST
m
yt
Pa

Volume (Actual) Value (In Rs'000)

Figure 4.2

In the figure 4.2 of month July The volume of State bank of india comes first and in second
Axis Bank comes after State Bank of India.

Bank-wise Mobile Banking Transactions for the month of June 2021

Sr. Volume Value (In
Bank Name
No. (Actual) Rs'000)
21 AXIS BANK LTD 431779509 1185248378
27 BANK OF BARODA 181819637 442593454
28 Bank of India 178323015 440579205
39 Canara Bank 125479611 331283733

27
 73 HDFC BANK LTD. 250252456 1237143086
78 ICICI BANK LTD 182829917 1205544575
153 Paytm Payments Bank Limited 139735574 147396098
165 Punjab National Bank 128841350 285064745
215 STATE BANK OF INDIA 780764823 2277744117
  3212710523 10337347061
Table 4.3

Mobile Transactions in the month june

2500000000

2000000000

1500000000

1000000000

500000000

0
D DA di
a nk D. D d
an
k
DI
A
LT In Ba LT LT it e
NK RO NK Li m
B IN
BA ko
f ra NK al
OF
BA na BA IB
A
nk on
IS OF an Ca
Ba
ti K
AX
B FC IC Na AN
NK HD IC ts b B
BA en nj
a TE
ym Pu TA
Pa S
m
yt
Pa

Volume (Actual) Value (In Rs'000)

Figure 4.3

From the given figure we can analyse that the most transactions were done by State bank of
India and usual Axis Bank comes under SBI. Bank of baroda and HDFC comes on third
position.

Month wise NEFT transactions during the year 2021 for selected months.
NATIONAL ELECTRONIC FUND TRANSFER (NEFT) - JUNE 2021
RECEIVED INWARD
    TOTAL OUTWARD DEBITS
CREDITS
Sr. BANK NAME NO. OF AMOUNT NO. OF INWARD AMOUNT
No OUTWARD (Rs. Lakh) TRANSACTIONS (Rs. Lakh)
TRANSACTIONS
17 AXIS BANK 23223403 14651630.2 13893757 12551316.9
38 CITI BANK 7400475 13353267.5 2752904 9181033.9

28
 69 HDFC BANK 35771462 27079447.1 26861062 31701864.4
72 ICICI BANK LTD 26031609 17559499.3 20141959 19199367.2
73 IDBI BANK 7723568 4254770.3 4739815 4163830.4
107 KOTAK MAHINDRA BANK LTD 7737110 6347362.2 7262457 6696343.2
138 PUNJAB NATIONAL BANK 7092440 4906268.4 18976652 8107498.4
148 RBI,PAD 47948309 30248449.6 868885 2981135.6
171 STATE BANK OF INDIA 23298581 26995700.1 72586317 36586194.7
225 YES BANK 34603234 6170874.4 3001957 4502319.4

Table 4.4

NO. OF OUTWARD and inward TRANSACTIONS of

NEFT IN june

AXIS BANK
CITI BANK
HDFC BANK
16% 11% ICICI BANK LTD
3% IDBI BANK
KOTAK MAHINDRA BANK LTD
11% 16% PUNJAB NATIONAL BANK
RBI,PAD
STATE BANK OF INDIA
YES BANK
22% 12%
3%4%3%

From the above figure, 22% of the NEFT transactions are done by RBI and in the second
place 11% of transactions are done by the Yes bank in the month June.

Table 4.5
NATIONAL ELECTRONIC FUND TRANSFER (NEFT) - JULY 2021
RECEIVED INWARD
    TOTAL OUTWARD DEBITS
CREDITS
Sr. BANK NAME NO. OF AMOUNT NO. OF INWARD AMOUN
No OUTWARD (Rs. Lakh) TRANSACTIONS (Rs. Lakh
TRANSACTIONS
16 AXIS BANK 25541791 16585734.1 14627262 13982927
37 CITI BANK 7792696 13516288.0 2927092 10019730

29
 67 HDFC BANK 39278147 30271901.0 29350247 36461955
70 ICICI BANK LTD 28675673 19769859.2 22333032 21081553
71 IDBI BANK 8101071 4958340.4 5104019 4244497
105 KOTAK MAHINDRA BANK LTD 9000924 6862058.8 8147268 7358356
136 PUNJAB NATIONAL BANK 7753410 5221305.7 21403237 8326747
147 RBI,PAD 43617993 25448028.4 1450238 3639164
170 STATE BANK OF INDIA 26284732 27913220.3 77189007 35417814
222 YES BANK 40217038 7208389.6 3414496 4572326

Figure 4.5

The RBI has received the less amount of credit and the Total outwards debt. After that Yes
bank has received the less amount of inward credit and the total outward debits. After HDFC
comes under Yes Bank.

NATIONAL ELECTRONIC FUND TRANSFER (NEFT) - SEPTEMBER 2021

RECEIVED INWARD
    TOTAL OUTWARD DEBITS
CREDITS
Sr. BANK NAME NO. OF AMOUNT NO. OF INWARD AMOUNT
No OUTWARD (Rs. Lakh) TRANSACTIONS (Rs. Lakh)
TRANSACTIONS
16 AXIS BANK 28376795 17387213.8 16033632 15869670.3
38 CITI BANK 9145596 15177303.6 2841980 10212592.5
68 HDFC BANK 40729721 31682595.5 28893555 41216398.2
71 ICICI BANK LTD 31069683 21075455.6 23451738 22485747.3
72 IDBI BANK 8246701 5051494.5 5373388 4548128.3
106 KOTAK MAHINDRA BANK LTD 9568416 7541524.3 8747429 7594761.4
134 PAYTM PAYMENTS BANK LIMITED 9055037 892285.5 2227040 1632767.2
148 RBI,PAD 46240282 35013377.7 1102540 3513422.0

30
 172 STATE BANK OF INDIA 25868951 28064771.9 82037987 39503487.6
226 YES BANK 43774125 8135866.9 3729432 5557552.6
Table 4.6

Figure 4.6

Total outward debits and inward credits for the month

September
45000000.0

40000000.0

35000000.0

30000000.0

25000000.0

20000000.0

15000000.0

10000000.0

5000000.0

0.0
0 10000000 20000000 30000000 40000000 50000000 60000000 70000000 80000000 90000000

TOTAL OUTWARD DEBITS AMOUNT (Rs. Lakh) RECEIVED INWARD CREDITS AMOUNT (Rs. Lakh)

In the figure showed above tells that during the month September RBI had the most outward
debit amount and State Bank of India has the most number of inward credit transaction and
amount.

Month wise RTGS transactions during the year 2021 for selected months.
Table 4.7
UNION BANK OF INDIA- Andhra Bank till 31.03.2020 57 45196 45253 0.29 4.82 5317.37
UNION BANK OF INDIA-Corporation Bank till 31.03.20 127 45327 45454 0.30 18.78 8164.37
URBAN COOPERATIVE BANK LTD No 1758 PERINTHALMANNA   88 88 0.00   6.96
UTKARSH SMALL FINANCE BANK LTD 10 4696 4706 0.03 168.26 1172.92
UTTAR PRADESH COOPERATIVE BANK LTD LUCKNOW 26 1172 1198 0.01 342.11 2053.42
Vasai Janata Sahakari Bank Ltd. 1 307 308 0.00 0.00 25.34
VASAI VIKAS SAHAKARI BANK LTD. 21 845 866 0.01 365.32 91.90
WOORI BANK 119 784 903 0.01 233.51 822.34
YES BANK LTD 1088 331335 332423 2.16 3188.10 147949.84
ZILA SAHKARI BANK LTD GHAZIABAD   501 501 0.00   64.26

31
 Figure 4.7

RTGS Transacti ons of top 10 banks in june

64.26
ZILA SAHKARI BANK LTD GHAZIABAD 0.00
501
501
3188.10 147949.84
YES BANK LTD2.16 332423
1088 331335
822.34
233.51
WOORI BANK 0.01
903
784
119
91.90
365.32
VASAI VIKAS SAHAKARI BANK LTD.0.01
866
845
21
25.34
0.00
0.00
Vasai Janata Sahakari Bank Ltd.
308
307
1
2053.42
342.11
UTTAR PRADESH COOPERATIVE BANK LTD LUCKNOW 0.01
1198
1172
26
1172.92
168.26
UTKARSH SMALL FINANCE BANK0.03 LTD
4706
4696
10
URBAN COOPERATIVE BANK LTD No 1758 6.96
0.00
88
PERINTHALMANNA 88
8164.37
18.78
0.30 45454
UNION BANK OF INDIA-Corporation Bank till 31.03.20
127 45327
5317.37
4.82
0.29 45253
UNION BANK OF INDIA- Andhra Bank till 31.03.2020
57 45196
0 50000 100000 150000 200000 250000 300000 350000

Series6 Series5 Series4 Series3 Series2 Series1

From the figure 4.7 mentioned above its shown that the most RTGS transactions was
occurred in Yes Bank during the month June. After that the Zila Sahakari Bank has the
second most volume of transactions in the moth June.

Table 4.8

UNION BANK OF INDIA- Andhra Bank till 31.03.2020 30 34267 34297 0.20 4.17
UNION BANK OF INDIA-Corporation Bank till 31.03.20 82 33647 33729 0.20 16.06
URBAN COOPERATIVE BANK LTD No 1758
PERINTHALMANNA   140 140 0.00  
UTKARSH SMALL FINANCE BANK LTD 8 4468 4476 0.03 167.05
UTTAR PRADESH COOPERATIVE BANK LTD LUCKNOW 27 1354 1381 0.01 250.32
Vasai Janata Sahakari Bank Ltd.   349 349 0.00  
VASAI VIKAS SAHAKARI BANK LTD. 24 831 855 0.01 385.10
WOORI BANK 93 776 869 0.01 228.21
YES BANK LTD 1206 362838 364044 2.17 4219.83
ZILA SAHKARI BANK LTD GHAZIABAD   553 553 0.00  

32
 Figure 4.8

RTGS volume for the month July

ZILA SAHKARI BANK LTD GHAZIABAD

YES BANK LTD

WOORI BANK

VASAI VIKAS SAHAKARI BANK LTD.

Vasai Janata Sahakari Bank Ltd.

UTTAR PRADESH COOPERATIVE BANK LTD LUCKNOW

UTKARSH SMALL FINANCE BANK LTD

URBAN COOPERATIVE BANK LTD No 1758 PERINTHALMANNA

UNION BANK OF INDIA-Corporation Bank till 31.03.20

UNION BANK OF INDIA- Andhra Bank till 31.03.2020

0 200000 400000 600000 800000

Series1 Series2 Series3 Series4 Series5

From the above figure projected its shown that the Yes Bank has the most volume of
transactions during the month July. During the month July the Union Bank of India has the
second most transactions during the month July.

Table 4.9

UNION BANK OF INDIA- Andhra Bank till 31.03.2020 13 25060 25073 0.14 0.94 2326.80 2327.73 0.02
UNION BANK OF INDIA-Corporation Bank till 31.03.20 61 25397 25458 0.15 11.10 3958.99 3970.09 0.04
URBAN COOPERATIVE BANK LTD No 1758
PERINTHALMANNA   169 169 0.00   16.59 16.59 0.00
UTKARSH SMALL FINANCE BANK LTD 3 4581 4584 0.03 27.61 1438.07 1465.69 0.01
UTTAR PRADESH COOPERATIVE BANK LTD
LUCKNOW 30 1605 1635 0.01 583.12 2592.83 3175.95 0.03
Vasai Janata Sahakari Bank Ltd. 1 359 360 0.00 0.00 30.60 30.60 0.00
VASAI VIKAS SAHAKARI BANK LTD. 26 947 973 0.01 470.54 134.64 605.18 0.01
WOORI BANK 137 669 806 0.00 232.81 505.47 738.28 0.01
YES BANK LTD 1288 408243 409531 2.35 9409.58 183068.19 192477.77 1.74
ZILA SAHKARI BANK LTD GHAZIABAD 1 296 297 0.00 0.03 48.57 48.60 0.00

33
 Figure 4.9

RTGS Volume of transactions during the month september

1400000
1200000
1000000
800000
600000
400000
200000
0
0 0
NA D W d. TD
. K D D
202 3 .2 N LT O k Lt L AN LT BA
3 . .0 A N K KN n K I B N K IA
1.
0 31 M
BA
C Ba N
OR BA
Z
ll AL LU ri BA HA
l l3 ti H C E D a I O E S G
ti nk NT AN LT ak AR W Y
LT
D
a nk Ba E RI IN N K S ah AK K
n P H
a
B
tio 8 LF BA ta SA BA
N
dhr ora 1 75 AL IV E a na A S
R I
An rp No SM T iJ IK A
A- - Co D S H E RA a sa A IV A HK
I LT V
IN
D DI
A AR OP VA
S S
F IN NK U TK CO Z ILA
A
O OF B SH
A NK N K IVE DE
A
B BA AT PR
ION O N PER A R
I
UN UN CO
O
UT
T
N
BA
UR
Series1 Series2 Series3 Series4 Series5 Series6 Series7 Series8

From the figure 4.9, We can see that the Yes bank has the most RTGS transactions during the
month September. And after that the second most transactions had been done by the Union
Bank of India.

Popular transaction channel for banking industry.

Table 4.10

Transaction Channel Volume

NEFT 1,171,090
RTGS 15,291,692
Mobile Banking 3,212,710,523

Figure 4.10

34
 Popular Transaction channel

3%4%

NEFT
RTGS
Mobile Transaction

93%

From the above figure we can see that the technology had changed the banking sector. Most
of the transactions are done through mobile banking. More than 80% of the transactions are
done through mobile banking.

Banks which uses mobile transactions rather than NEFT and RTGS

Table 4.11

Bank-wise Mobile Banking Transactions for the month of April 2021

Volume Value (In
Sr. No. Bank Name
(Actual) Rs'000)
21 AXIS BANK LTD 428177323 1444674771
28 BANK OF BARODA 165845732 402699089
29 Bank of India 151633080 380668772
77 HDFC BANK LTD. 238666306 1198847644
82 ICICI BANK LTD 177950523 1225357786
155 Paytm Payments Bank Limited 143029378 134201363
166 Punjab National Bank 123127385 280860333
223 STATE BANK OF INDIA 716244983 1963378047
268 THE COMMERCIAL CO-OPERATIVE BANK LTD -JAMNAGAR 203200005.6 15321

35
 Figure 4.11

From the above chart the bank which had used mobile transactions rather than any bank was
state bank of India. After SBI Axis bank has the second most mobile transactions other than
NEFT and RTGS.

36
 FINDINGS, CONCLUSION,
RECOMMENDATIONS &
LEARNINGS

FINDINGS

 By the introduction of new technologies used in banking sector, it has opened new
products and services, new market and efficient delivery channels.
 Banks are extensively implementing Artificial intelligence and machine learning to
offer just-in-time, personalized services to their customers.
 From the diagram 4.10, its shown that the popular transaction channel for the banking
industry is mobile transaction. More than 80% transactions are done by mobile
banking.
 The Customers are widely using the mobile transaction facility to transfer funds. Most
of the banks have their own mobile application provided to the customers. SBI’s
Yono SBI app is widely used as it has more volume of customers.

37
  From the figure 4.11 its shown that the State Bank of India uses the most mobile
transactions other than NEFT and RTGS. After SBI Axis bank has the second most
mobile transaction volume.
 Also the banks which are using technology widely are the State Bank of India, Axis
Bank, HDFC Bank ltd, The commercial co-operative bank ltd. These are the top 3
banks using the technologies widely.
 From the figure 4.4 to 4.6, its shown that the most NEFT transaction was done by the
RESERVE BANK OF INDIA(RBI) every month. After that State Bank of India has
the second most NEFT transactions during the year 2022.
 From the figure 4.1 to 4.3, its shown that the most RTGS transactions was done by the
Axis bank during the year 2021. After Axis bank the Union state bank comes during
the year 2021.

CONCLUTION

By the emergence of the modern technologies in the banking Industry the fund allocation
and other transactions got easier for the bank and customers. Through mobile transactions the
customers are able to pay their bills and other due amounts through the mobile applications
which they provide. The basic financial system is enhanced by computerised banking. With
the help of the CBS (core banking system), all branches are linked together and have access
to the same centralised data. With the spread of the internet, internet banking was created and
is now provided by practically all banks. Through this, it is possible to complete all
transaction information and queries online without going to the bank.
With a growing customer base and thanks to the new, better, and creative facilities made
possible by technology, the banking sector in India is developing quickly. Technology in the
Indian banking sector has both positive and negative sides, much like a coin has two faces.

38
The dangers are substantial, but they can be reduced, and technology will support the Indian
banking sector going forward.

RECCOMENDATIONS

 The threat of a cyberattack is brought on by technology; due to a systemic flaw,

millions of data points could be lost in an instant. So the servers could be strong
enough to handle them.

 Although these technologies save time, they can also lead to carelessness, which can
result in the loss of personal information, as was the case in 2016, when the details of
several debit cards from major banks were compromised. Data security has to be more
strengthened.

REFERENCES

https://www.federalbank.co.in/about-us

https://m.rbi.org.in//Scripts/NEFTView.aspx

https://support.microsoft.com/en-us/office/analyze-data-in-excel-3223aab8-f543-4fda-
85ed-76bb0295ffc4

https://www.india.gov.in/official-website-reserve-bank-india

39
 APPENDIX

Feedback from the Mentor

40
Feedback from Viva-Voce – Panel comments

41
 SUMMER INTERNSHIP PROJECT
Review & Assessment Record (Pre-Submission Stage) – Mentor
Name of student:
Reg. No.

Positives of report:

42
Areas of Improvement:

Names of Mentor: Signature:

Date:

SUMMER INTERNSHIP PROJECT

Review & Assessment Record (Pre-Submission Stage) – Viva panel
Name of student:
Reg. No.

Positives of report:

Areas of Improvement:

43
Names of viva panel: 1) Signature

2) Signature
Date:

44