1.

INTRODUCTION TO THE INDUSTRY

INTRODUCTION OF INDIAN BANKING SYSTEM DEVELOPMENT OF BANKING IN INDIA CLASSIFICATION OF BANK DEVELOPMENT OF PRIVATE BANKS GROWTH OF BANKING IN INDIA CURRENT SCENARIO

1.1 INTRODUCTION OF INDIAN BANKING SYSTEM A HISTORICAL PERSPECTIVE

The earliest banks in India can be traced to the three presidency banks (in Bengal, Mumbai, and Chennai) in the early 1980s. Subsequently with the emergence of several small banks in the country, the number of banks had gone up 105 by December by 1934. In 1921, the three-presidency banks were merged into the imperial bank of India, which, apart from usual commercial operations, also took over certain central banking functions. Since the Reserve Bank of India was established as a full fledged central bank of the country in 1935.

The Imperial bank of India was nationalized and came to be known as the State Bank of India the establishment of the state bank of India was one of the significant steps taken by the government of India to control its expanding economy.

The banking system witnessed a steady growth during the post- independence period and by the mid- sixties the system has become fairly strong and compact. However several deficiencies in their functioning were noticed, mainly in terms of geographical coverage and credit deployment. The network of branches of various banks covered only a limited segment of the population in major cities while the rural areas and semi- urban areas were totally neglected. it was also noticed that substantial gaps in credit deployment existed in financing agriculture, small - scale industry and self - employed persons. Further, the ownership pattern of banks showed the concentration of economic power in few hands

DEFINITION OF BANKING
In Section 5(b) of the Banking Regulations Act, 1949. Banking is defined as accepting for the purpose of lending and investments, deposits of money from the public, repayable on demand or otherwise, and withdrawable to cheque, draft, order or otherwise.

1.2 DEVELOPMENT OF BANKING IN INDIA

Banking activities are performed in India since ancient times. Moreover some of the banking activities performed in ancient times are still performed in modern days also. In ancient time, when Indians left their homes for pilgrimages or business for long period of time, they deposited their money and valuables for sale keeping with persons of repute. Over time, a practice developed to lend a part of such money deposited the needy persons to earn or interest or usury as it was called then. The person with whom money was deposited for safe custody enjoyed a good reputation and was an indispensable pillar of ancient Indian Society. In this way, the banking activities were performed by an individual or group of individual privately in India since ancient times. Banking activities existed in India even before the vedic times, where giving and taking of Credit in one form of the other was where giving and taking of Credit in one form of the other was prevalent the ancient Hindu Literature and Scriptures refer to the money lending activities. Mostly of books are in Sanskrit and Pali language. In the ancient times, the main functions of the banks relating to individual or the state in the times of crises. Although the origin of the banking in India was in the form of money lending business, the transition from money lending to formal banking took place in 2 nd century. All banking activities were under the control of Private Sector. The persons who performed banking activities were known as shreslities. Nagar Seths, Sharaff and Ehietties. These names are still popular in modern India. East India Company established banks on the pattern of European Style. Consequently, such banks and Government treasuries expanded and the role of indigenous banks decline in the Indian Economy. English Agency Houses were created back to the last quarter of 18th Century. The English Agency Houses in Calcutta and Mumbai began to serve as a banker of the East India Company. They finance the movement of crops, issued paper money and passed the way for establishment of joint stock banks. The earliest of these was established in 1770 by one of the Agency Houses in Calcutta and its business was closely connected with other houses. But it was wound up in 1832. when the firm of 3

Alexander and Company, with which it was intimately connected, failed. The Bengal bank and the General Bank of India was established in 1784 and 1786 respectively.

1.3 CLASSIFICATION OF BANK

Structure of scheduled Commercial Bank

Public Sector Bank

Private Sector Bank

SBI & Association Nationalised Bank RRBs

Private Bank Foreign Bank

1.4 DEVELOPMENT OF PRIVATE SECTOR BANK

With the increase of wealth and Commerce in Europe, private Bankers established themselves in all the principle cities and towns. They received money on deposit, they managed the money to such borrowers as could give the necessary security and they brought and sold bill of exchange, billion and coin. The development of business of banking can mainly be attributed to the London Goldsmiths during the reign of queen Elizabeth. They used to receive their customers valuables and funds for safe custody. Their receipts acknowledging the same in the course of time became payable to the bearer on demand and hence enjoyed considerable circulation. The Goldsmith used to deposit their funds/reserves in the exchequer and under the care of the Government. However, the ruin of Goldsmiths proved as turning point in the English Banking. It let to the growth of private banking and establishment of Bank of England in 1694, is the prototype and exemplar of all our modern banks; its history, therefore, will deserve the particular attention. Bank of England derived huge profits from the circulation of it. The other private English Bankers issued their own notes, payable on and these notes according to the credit of the issuers, obtained a great circulation in the neighborhood of the bankers who issued them.

1.5 GROWTH OF BANKING SYSTEM

SOCIAL CONTROL OF BANKS

Indian banking structure has grown considerably in strength and stability due to the vigorous control and effective monitoring by reserve bank of India. However, Order to remove the deficiency pointed above, the Government introduced a scheme of social control of banks. According to the Banking Commission (1972), the social control scheme was introduced with the main objective of achieving a wider spread

of bank credit flow to priority sectors and making it a more effective instrument of development . NATIONALISATION OF BANKS

Despite of scheme of social control there was no significant reorientation of lending activities of banks towards meeting the requirements of priority sector like agriculture. This resulted in nationalization of 14 major commercial banks with

individual deposits exceeding Rs.50 crores in July 1969.

The major objective of nationalization were

Reduction in concentration of economic power in hands of a few. Expansion of credit to priority areas, which were hitherto neglected like agriculture, small-scale industries and self, employed people. Elimination of the use of bank credit for speculative and unproductive purpose. To provide a professional bent to bank management and encourage upcoming entrepreneurs.

At the time of nationalization, the 14 major banks had a paid up capital of Rs. 28.5 crores, deposits of Rs. 2626 crores, advances Rs. 1813 crores and 4134 branches. In other words the nationalized banks accounted for 80% of branches, 83% of deposits and 84% of advances of the whole banking system.

The Banks nationalized in 1969 were: 1. Allahabad Bank 2. Andhra Bank 3. Bank of Baroda 4. Bank of India 5. Canara Bank 6. Central Bank of India 7. Dena Bank 6

8. Indian Bank 9. Indian Overseas Bank 10. Punjab National Bank 11. United Commercial Bank 12. Union Bank of India 13. Syndicate Bank 14. Bank of Maharashtra

REGIONAL RURAL BANKS

The RRBs were established with a view to combining the local feel and familiarity with rural problems. The RRBs are primarily sponsored by the commercial banks.The primary objectives of these banks are:

Providing credit for agricultural purposes to small entrepreneurs engaged in trade and industry and other productive activities in rural areas.

To cater the needs weaker sections of the community.

SECOND NATIONALISATION In order to move effectively, meet the growing development needs of the economy and to promote welfare of people on the large scale six more commercial banks with Demand and Time Liabilities (Deposits) with 200 cr were nationalized in April 1980. With the second nationalization, the number of public sector banks increased to 28 (1st nationalization 14 banks, 2nd nationalization 6 bank and SBI and its seven associate banks). Over the years with the directional change that has occurred in the banking system and the fact that the banks responding favorably by evolving new strategies and innovative ideas the credit structure of the country has become strong and steady. Recognizing the fact that the banks are vital catalytic agents of growth that provide the basic input of credit, new programmes with the social orientation have been designed with a view to assist the society. 7

The names six banks nationalized were as under: 1. 2. 3. 4. 5. 6. Corporation Bank Oriental Bank of Commerce Punjab & Sind Bank Vijaya Bank Andhra Bank New bank of India

After the nationalization of major banks the position altered rapidly and the flow of credit to the rural areas increased considerably. Along with quantitative expansion of branch network, there were qualitative improvements in the lending practices of the banks. The phenomenal change in the lending practices can be termed as a transformation from class banking to mass banking. In fact the broader national objectives of eradication of poverty, unemployment and growth with social justice have shaped the formulation of various directives/ schemes.

1.6 CURRENT SCENARIO

The Indian has finally worked up to the competitive dynamics of new Indian market and is addressing the relevant issues take on the multifarious challenges of globalization. Banks that employ IT solutions are perceived to be futuristic and proactive players capable of meeting the multifarious requirement of large customer base. Private Banks have been fast on the uptake and are reorienting their strategies using the Internet as a medium. The Indian banking has come from a long from being a sleepy business institution to a highly proactive and dynamic entity this transformation has been largely brought by the large dose of liberalization and economic reforms that allowed exploring new business opportunities rather than generating revenues from conventional streams. The Indian industry has confidently hit the growth trial that pick in activity is best reflected in the banking sector which after all is as candid a mirror of a countrys economy as you could ever find. Most of the Indian financial intermediaries have been keeping pace with the deepening market economy, riding the opportunity that 8

come along with reforms even as they brace themselves for increased competition both foreign and private by strengthening prudential norms and leveraging technology to ensure that growth engine hums smoothly along The essential function of a bank is to provide services related to the storing of value and the extending credit. The evolution of banking dates back to the earliest writing, and continues in the present where a bank is a financial institution that provides banking and other financial services. Currently the term bank is generally understood an institution that holds a banking license. Banking licenses are granted by financial supervision authorities and provide rights to conduct the most fundamental banking services such as accepting deposits and making loans. There are also financial institutions that provide certain banking services without meeting the legal definition of a bank, a so called non-bank. Banks are a subset of the financial services industry. The word bank is derived from the italian banca, which is derived from German and means bench. The terms bankrupt and "broke" are similarly derived from banca rotta, which refers to an out of business bank, having its bench physically broken. Money lenders in Northern Italy originally did business in open areas, or big open rooms, with each lender working from his own bench or table. Typically, a bank generates profits from transaction fees on financial services or the interest spread on resources it holds in trust for clients while paying them interest on the asset. SERVICES TYPICALLY OFFERED BY BANKS Although the type of services offered by a bank depends upon the type of bank and the country, services provided usually include:

Directly take deposits from the general public and issue checking and saving accounts.

Lend out money to companies and individuals (see money lender) Cash checks. Facilitate money transactions such as wire transfers and cashiers checks 9

Issue credit cards, ATM, and debit cards and online banking. Storage of valuables, particularly in a safe deposit box.

TYPES OF BANKS There are several different types of banks including: Central banks usually control monetary policy and may be the lender of last resort in the event of a crisis. They are often charged with controlling the money supply, including printing paper money. Examples of central banks are the European Central Bank and the US Federal Reserve Bank. Investment banks underwrite stock and bond issues and advice on mergers. Examples of investment banks are Goldman Sachs of the USA or Nomura Securities of Japan. Merchant banks were traditionally banks which engaged in trade financing. The modern definition, however, refers to banks which provide capital to firms in the form of shares rather than loans. Unlike Venture capital firms, they tend not to invest in new companies. Private banks manage the assets of the very rich. An example of a private bank is the Union Bank of Switzerland. Savings banks write mortgages exclusively. Offshore banks are banks located in jurisdictions with low taxation and regulation, such as Switzerland or the Channel Islands. Many offshore banks are essentially private banks. Commercial banks primarily lend to businesses (corporate banking) Retail banks primarily lend to individuals. An example of a retail bank is Washington Mutual of the USA. Universal banks engage in several of these activities. For example, Citigroup, a large American bank, is involved in commercial and retail lending; it owns a merchant bank (Citicorp Merchant Bank Limited) and an investment bank (Salomon Smith Barney); it operates a private bank (Citigroup

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Private Bank); finally, its subsidiaries in tax-havens offer offshore banking services to customers in other countries. BANKS ARE PRONE TO CRISIS The traditional bank has an inherent tendency to crisis. This is because the bank borrows short term and lends leveraged long term. The sum of deposits and the bank's capital will never equal more than a modest percentage of the loans the bank has outstanding. Even if liquidity is not a concern, if there is no run on the bank, banks can simply choose a bad portfolio of loans, and lose more money than they have. The US Savings and Loan Crisis in the late 1980s and early 1990s is such an incident. ROLE IN THE MONEY SUPPLY A bank raises funds by attracting deposits, borrowing money in the inter-bank market, or issuing financial instruments in the money market or a securities market. The bank then lends out most of these funds to borrowers. However, it would not be prudent for a bank to lend out all of its balance sheet. It must keep a certain proportion of its funds in reserve so that it can repay depositors who withdraw their deposits. Bank reserves are typically kept in the form of a deposit with a central bank. This behaviour is called fractional-reserve banking and it is a central issue of monetary policy. Some governments (or their central banks) restrict the proportion of a bank's balance sheet that can be lent out, and use this as a tool for controlling the money supply. Even where the reserve ratio is not controlled by the government, a minimum figure will still be set by regulatory authorities as part of banking supervision. REGULATION The combination of the instability of banks as well as their important facilitating role in the economy led to banking being thoroughly regulated. The amount of capital a bank is required to hold is a function of the amount and quality of its assets. Major 11

banks are subject to the Basel Capital Accord promulgated by the Bank for International Settlements. In addition, banks are usually required to purchase deposit insurance to make sure smaller investors are not wiped out in the event of a bank failure. Another reason banks are thoroughly regulated is that ultimately, no government can allow the banking system to fail. There is almost always a lender of last resortin the event of a liquidity crisis (where short term obligations exceed short term assets) some element of government will step in to lend banks enough money to avoid bankruptcy. HOW BANKS ARE VIEWED Banks have a long history of being characterized as heartless, rapacious creditors, hounding honest folk down on their luck for the last dime. See Populism. In United States history, the National Bank was a major political issue during the presidency of Andrew Jackson. Jackson fought against the bank as a symbol of greed and profitmongering, antithetical to the democratic ideals of the United States. PROFITABILITY Large banks in the United States are some of the most profitable corporations, especially relative to the small market shares they have. This amount is even higher if one counts the credit divisions of companies like Ford, which are responsible for a large proportion of those company's profits. For example, the largest bank, Citigroup, which for the past 3 years has made more profit then any other company in the world, has only a 5 percent market share. Now if Citigroup were to be as dominant in its industry as a Home Depot, Starbucks, or Wal Mart in their respective industries, with a 30 percent market share, it would make more money than the top ten nonbanking US industries combined. In the past 10 years in the United States, banks have taken many measures to ensure that they remain profitable while responding to ever-changing market conditions. First, this includes the Gramm-Leach-Bliley Act, which allows banks again to merge with investment and insurance houses. Merging banking, investment, and insurance functions allows traditional banks to respond to increasing consumer demands for "one stop shopping" by enabling the crossing selling of products (which, the banks hope, will also increase profitability).Second, 12

they have moved toward risk based pricing on loans, which mean charging higher interest rates for those people who they deem more risky to default on loans. This dramatically helps to offset the losses from bad loans, lowers the price of loans to those who have better credit histories, and extends credit products to high risk customers who would have been denied credit under the previous system. Third, they have sought to increase the methods of payment processing available to the general public and business clients. These products include debit cards, pre-paid cards, smart-cards, and credit cards. These products make it easier for consumers to conveniently make transactions and smooth their consumption over time (in some countries with under-developed financial systems, it is still common to deal strictly in cash, including carrying suitcases filled with cash to purchase a home). However, with convenience there is also increased risk that consumers will mis-manage their financial resources and accumulate excessive debt. Banks make money from card products through interest payments and fees charged to consumers and companies that accept the cards.

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2. INTRODUCTION TO THE ORGANIZATION HISTORY OF ICICI BANK ICICI GROUP OVRVIEW OF BANK GROWTH OF ICICI BANK BOARD MEMBERS MISSION OF ICICI AWARD & RECOGNITION ICICI RURAL FINANCE PRODUCTS OFFERED BY ICICI

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COMPANY PROFILE
2.1 HISTORY OF ICICI BANK
1955 :The Industrial Credit and Investment Corporation of India Limited (ICICI) incorporated at the initiative of the World Bank, the Government of India and representatives of Indian industry, with the objective of creating a development financial institution for providing medium-term and long-term project financing to Indian businesses. Mr.A.Ramaswami Mudaliar elected as the first Chairman of ICICI Limited. ICICI emerges as the major source of foreign currency loans to Indian industry. Besides funding from the World Bank and other multi-lateral agencies, ICICI was also among the first Indian companies to raise funds from international markets.

1956 : ICICI declared its first dividend of 3.5%.

1958 : Mr.G.L.Mehta appointed the second Chairman of ICICI Ltd.

1960 : ICICI building at 163, Backbay Reclamation, inaugurated.

1961 : The first West German loan of DM 5 million from Kredianstalt obtained.

1967 : ICICI made its first debenture issue for Rs.6 crore, which was oversubscribed.

1969 : The first two regional offices in Calcutta and Madras set up.

1972 : The second entity in India to set up merchant banking services. : Mr. H. T. Parekh appointed the third Chairman of ICICI.

1977 : ICICI sponsored the formation of Housing Development Finance Corporation. Managed its first equity public issue

1978 : Mr. James Raj appointed the fourth Chairman of ICICI. 15

1979 : Mr.Siddharth Mehta appointed the fifth Chairman of ICICI.

1982 : ICICI became the first ever Indian borrower to raise European Currency Units. : ICICI commences leasing business.

1984 : Mr. S. Nadkarni appointed the sixth Chairman of ICICI.

1985 : Mr. N.Vaghul appointed the seventh Chairman and Managing Director of ICICI.

1986 : ICICI became the first Indian institution to receive ADB Loans. ICICI, along with UTI, set up Credit Rating Information Services of India Limited, India's first professional credit rating agency. : ICICI promotes Shipping Credit and Investment Company of India Limited. : The Corporation made a public issue of Swiss Franc 75 million in Switzerland, the first public issue by any Indian entity in the Swiss Capital Market.

1987 : ICICI signed a loan agreement for Sterling Pound 10 million with Commonwealth Development Corporation (CDC), the first loan by CDC for financing projects in India.

1988 : Promoted TDICI - India's first venture capital company.

1993 : ICICI Securities and Finance Company Limited in joint venture with J. P. Morgan set up. : ICICI Asset Management Company set up.

1994 : ICICI Bank set up.

1996 : ICICI Ltd became the first company in the Indian financial sector to raise GDR. : SCICI merged with ICICI Ltd. : Mr. K.V.Kamath appointed the Managing Director and CEO of ICICI Ltd

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1997 : ICICI Ltd was the first intermediary to move away from single prime rate to three-tier prime rates structure and introduced yield-curve based pricing. : The name The Industrial Credit and Investment Corporation of India Ltd changed to ICICI Ltd. : ICICI Ltd announced the takeover of ITC Classic Finance.

1998 : Introduced the new logo symbolizing a common corporate identity for the ICICI Group. : ICICI announced takeover of Anagram Finance.

1999 : ICICI launched retail finance - car loans, house loans and loans for consumer durables. : ICICI becomes the first Indian Company to list on the NYSE through an issue of American Depositary Shares.

2000 : ICICI Bank became the first commercial bank from India to list its stock on NYSE. : ICICI Bank announces merger with Bank of Madura.

2001 : The Boards of ICICI Ltd and ICICI Bank approved the merger of ICICI with ICICI Bank. 2002: ICICI Ltd merged with ICICI Bank Ltd to create Indias secondlargest bank in terms of assets. ICICI assigned higher than sovereign rating by Moodys. : ICICI Bank launched Indias first CDO (Collateralised Debt Obligation) Fund named Indian Corporate Collateralised Debt Obligation Fund (ICCDO Fund). : "E Lobby", a selfservice banking centre inaugurated in Pune. It was the first of its kind in India. : ICICI Bank launched Private Banking. : 1100-seat Call Centre set up in Hyderabad : ICICI Bank Home Shoppe, the first-ever permanent aggregation and display of housing projects in the county, launched in Pune, : ATM-on-Wheels, Indias first mobile ATM, launched in Mumbai.

2003 : The first Integrated Currency Management Centre launched in Pune. : ICICI Bank announced the setting up of its first ever offshore branch in Singapore. : The first offshore banking unit (OBU) at Seepz Special Economic Zone, Mumbai, launched. : ICICI Banks representative office inaugurated in Dubai. : Representative office set up in China. : ICICI Banks UK subsidiary launched. : Indias first ever "Visa Mini Credit Card", a 43% smaller credit card in dimensions launched. : ICICI Bank 17

subsidiary set up in Canada. : Temasek Holdings acquired 5.2% stake in ICICI Bank. : ICICI Bank became the market leader in retail credit in India.

2004 : Max Money, a home loan product that offers the dual benefit of higher eligibility and affordability to a customer, introduced. : Mobile banking service in India launched in association with Reliance Infocomm. : Indias first multi-branded credit card with HPCL and Airtel launched. : Kisan Loan Card and innovative, low-cost ATMs in rural India launched. : ICICI Bank and CNBC TV 18 announced Indias first ever awards recognizing the achievements of SMEs, a pioneering initiative to encourage the contribution of Small and Medium Enterprises to the growth of Indian economy. : ICICI Bank opened its 500th branch in India. : ICICI Bank introduced partnership model wherein ICICI Bank would forge an alliance with existing micro finance institutions (MFIs). The MFI would undertake the promotional role of identifying, training and promoting the micro-finance clients and ICICI Bank would finance the clients directly on the recommendation of the MFI. : ICICI Bank introduced 8-8 Banking wherein all the branches of the Bank would remain open from 8a.m. to 8 p.m. from Monday to Saturday. : ICICI Bank introduced the concept of floating rate for home loans in India.

2005 : First rural branch and ATM launched in Uttar Pradesh at Delpandarwa, Hardoi. : "Free for Life" credit cards launched wherein annual fees of all ICICI Bank Credit Cards were waived off. : ICICI Bank and Visa jointly launched mChq a revolutionary credit card on the mobile phone. : Private Banking Masters 2005, a nationwide Golf tournament for high networth clients of the private banking division launched. This event is the largest domestic invitation amateur golf event conducted in India. : First Indian company to make a simultaneous equity offering of $1.8 billion in India, the United States and Japan. : Acquired IvestitsionnoKreditny Bank of Russia. : ICICI Bank became the largest bank in India in terms of its market capitalization. : ICICI Bank became the first private entity in India to offer a discount to retail investors for its follow-up offer.

2006 : ICICI Bank became the first Indian bank to issue hybrid Tier-1 perpetual debt in the international markets. : ICICI Bank subsidiary set up in Russia. : Introduced a new product - NRI smart save Deposits a unique fixed deposit scheme for 18

nonresident Indians. : Representative offices opened in Thailand, Indonesia and Malaysia. : ICICI Bank became the largest retail player in the market to introduce a biometric enabled smart card that allow banking transactions to be conducted on the field. A low-cost solution, this became an effective delivery option for ICICI Banks micro finance institution partners. : Financial counseling centre Disha launched. Disha provides free credit counseling, financial planning and debt management services. : Bhoomi puja conducted for a regional hub in Hyderabad, Andhra Pradesh. 2007 : ICICI Banks USD 2 billion 3-tranche international bond offering was the largest bond offering by an Indian bank. : Sangli Bank amalgamated with ICICI Bank. : ICICI Bank raised Rs 20,000 crore (approx $5 billion) from both domestic and international markets through a follow-on public offer. : ICICI Banks GBP 350 million international bond offering marked the inaugural deal in the sterling market from an Indian issuer and also the largest deal in the sterling market from Asia. : Launched Indias first ever jewellery card in association with jewelry major Gitanjali Group. : ICICI Bank became the first bank in India to launch a premium credit card -- The Visa Signature Credit Card. : Foundation stone laid for a regional hub in Gandhinagar, Gujarat. : Introduced SME Toolkit, an online resource centre, to help small and medium enterprises start, finance and grow their business. : ICICI Bank signed a multi-tranche dual currency US$ 1.5 billion syndication loan agreement in Singapore. : ICICI Bank became the first private bank in India to offer both floating and fixed rate on car loans, commercial vehicles loans, construction equipment loans and professional equipment loans. : In a first of its kind, nation wide initiative to attract bright graduate students to pursue a career in banking, ICICI Bank launched the "Probationary Officer Programme". : Launched Bank@home services for all savings and current a/c customers residing in India : ICICI Bank Eurasia LLC inaugurated its first branch at St Petersburg, Russia.

2008 : ICICI Bank enters US, launches its first branch in New York : ICICI Bank enters Germany, opens its first branch in Frankfurt : ICICI Bank launched iMobile, a breakthrough innovation in banking where practically all internet banking transactions can now be simply done on mobile phones. : ICICI Bank concluded India's largest ever securitization transaction of a pool of retail loan assets aggregating to Rs. 48.96 billion (equivalent of USD 1.21 billion) in a multi-tranche 19

issue backed by four different asset categories. It is also the largest deal in Asia (exJapan) in 2008 till date and the second largest deal in Asia (ex-Japan & Australia) since the beginning of 2007. : ICICI Bank launches ICICIACTIVE - Banking Interactive Service - along with DISHTV, which will allow viewers to see information about the Bank's products and services and contact details on their DISHTV screens. : ICICI Bank and British Airways launch co-branded credit card, which is designed to earn accelerated reward points to the card holders with every British Airways flight or by spending on everyday purchases : ICICI Bank Board appoints Mr K. V. Kamath as non-executive Chairman and Ms Chanda Kochhar as Managing Director & CEO effective May 1, 2009, while the existing non-executive Chairman Mr N Vaghul retires after completing his term on April 30, 2009 2009 : ICICI bank ties up with BSNL Cell One for bill payments, it will facilitate bill payment for BSNL Cell One users through www.icicibank.com across all the 27 circles of BSNL. : ICICI Bank Limited acting through its Hong Kong Branch (ICICI Bank) signed an agreement on Export Credit Line totaling up to US$100 million with the Japan Bank for International Cooperation (JBIC) which constitutes the international wing of Japan Finance Corporation. : ICICI Bank Limited acting through its Hong Kong Branch (ICICI Bank) signed a loan agreement with the Export-Import Bank of China (China Exim) for USD 98 million under the Two- step Buyer Credit (Export Credit) arrangement. ICICI Bank is the first Indian Bank to have entered into this arrangement with China Exim : ICICI Bank with Singapore Airlines launched ICICI Bank Singapore Airlines Visa Platinum Credit Card, the Card has exclusive privileges especially designed for the members.

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2.2 ICICI GROUP

2.3 OVERVIEW OF BANK

ICICI Banks are usually managed conservatively, partly because of regulatory limitations on assets holdings and entry, but also because of the force of a tradition antagonistic of speculative risk taking and aggressive methods of soliciting business. ICICI and other banks mostly deal with other peoples money, i.e. depositors. Their own funds in the form of share capital and resources generally do not constitute more than 5% of the total resources of the banks. The deposits are either repayable on commercial bank to meet the claims of the depositors on demands or on due dates will result in loss of credibility of the bank. ICICI banks have, therefore to perform to difficult task of maintaining and equilibrium between liquidity of profitability. ICICI banks are established under private sector as well as under Government Sector in many countries. Banking organizations have been established by industrialist, firm or joint stock companies under private sector. In some cases, the banks are under the joint management of State and Private Sector with overall control of State, whether the banking activities should be in Private Sector or operate under Government Supervision in a country. 21

There are many points, which are require to be considered in death for setting up banking organization. These points very from situation to situation, time to time, country to country, local to international and from small scale to large activities. Banking business in private sector is flourishing since 18th Centuries in Europe. Banking operation in private sector are performed since ancient times in India. The Government are keeping regular watch on private bank performance through their Central Bank, Banking or other legislative laws. The functions of the banks (Private Sector or Public Sector) are wide and diverse in Modern Economies. Banking activities under close watch of Government. Huge public money is mobilized and canalized in different investment

2.4 GROWTH OF ICICI BANK

ICICI Bank is Indias second largest bank with total assets of about Rs. 3997.95 billion (US$ 100 billion) at March 31, 2008 and Profit after tax of Rs. 41.58 billion for the year ended March 31, 2008. ICICI Bank has a network of about 1367 branches and 3881 ATMs in India and presence in 18th countries. ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian Financial Institution, and was its wholly owned subsidiary. ICICI shareholding in ICICI Bank was reduced to 46% through a public offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed on the NYSE in fiscal 2000, ICICI Banks acquisition of Bank of Madura Limited in an all- stock amalgamation in fiscal 2001, and secondary market sales by ICICI to institutional investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of the World Bank, the Government of India and representatives of Indian Industry. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialised subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture capital and asset management. ICICI Bank set up its 22

international banking group in fiscal 2002 to cater to the cross-border needs of clients and leverage on its domestic banking strengths to offer products internationally. ICICI Bank currently has subsidiaries in the United Kingdom and Canada, branches in Singapore and Bahrain and representative offices in the United States, China, United Arab Emirates and Bangladesh. ICICI Bank's equity shares are listed in India on the Stock Exchange, Mumbai and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE).As required by the stock exchanges, ICICI Bank has formulated a Code of Business Conduct and Ethics for its directors and employees. At October 31, 2004, ICICI Bank, with free float market capitalisation* of about Rs. 220.00 billion (US$ 5.00 billion) ranked third amongst all the companies listed on the Indian stock exchanges. ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution, and was its wholly-owned subsidiary. ICICI's shareholding in ICICI Bank was reduced to 46% through a public offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed on the NYSE in fiscal 2000, ICICI Bank's acquisition of Bank of Madura Limited in an all-stock amalgamation in fiscal 2001, and secondary market sales by ICICI to institutional investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of the World Bank, the Government of India and representatives of Indian industry. The principal objective was to create a development financial institution for providing medium-term and long-term project financing to Indian businesses. In the 1990s, ICICI transformed its business from a development financial institution offering only project finance to a diversified financial services group offering a wide variety of products and services, both directly and through a number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI become the first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the NYSE. After consideration of various corporate structuring alternatives in the context of the emerging competitive scenario in the Indian banking industry, and the move towards universal banking, the managements of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI Bank would be the optimal strategic alternative for 23

both entities, and would create the optimal legal structure for the ICICI group's universal banking strategy. The merger would enhance value for ICICI shareholders through the merged entity's access to low-cost deposits, greater opportunities for earning fee-based income and the ability to participate in the payments system and provide transaction-banking services. The merger would enhance value for ICICI Bank shareholders through a large capital base and scale of operations, seamless access to ICICI's strong corporate relationships built up over five decades, entry into new business segments, higher market share in various business segments, particularly fee-based services, and access to the vast talent pool of ICICI and its subsidiaries.

2.5 BOARD MEMBER

Ms Chanda Cocchar, Chairman Mr. Sridar Iyengar Mr. Lakshmi N. Mittal Mr. Narendra Murkumbi Dr. Anup K. Pujari Mr. Anupam Puri Mr. M.S. Ramachandran Mr. M.K. Sharma Mr. P.M. Sinha Prof. Marti G. Subrahmanyam Mr. T.S. Vijayan Mr. V. Prem Watsa

24

Ms. Chanda Kochhar, Managing Director & CEO Mr. Sandeep Bakhshi, Executive Director Mr. Sonjoy Chatterjee, Executive Director Mr. K. Ramkumar, Executive Director Mr. N. S. Kannan, Executive Director & CFO

2.6 MISSION
ICICI will leverage our people, technology, speed and financial capital to: be the banker of first choice for our customers by delivering high quality, world-class products and services. expand the frontiers of our business globally. play a proactive role in the full realisation of Indias potential. maintain a healthy financial profile and diversify our earnings across businesses and geographies. maintain high standards of governance and ethics. contribute positively to the various countries and markets in which ICICI operate. create value for our stakeholders.

ORIGINATION The development banking institution set up in the country, after Industrial Finance Corporation (IFC); was the Industrial Credit Investment Corporation of India (ICICI). It was set up during 1955 by government of India and World Bank. It was to be a private sector development bank in so far as there was no participation by government in its share capital Its main objectives when it was started were: to encourage and assist industrial investment in private sector to provide foreign currency loans to develop underwriting facilities in India, which was not taken up by IFC at that time In broad operational terms, the ICICI assist 25

In the creation, expansion and modernisation of private sector enterprises In encouraging and promoting participation of private capital, both internal and external, in the ownership of industrial investment through providing equity participation, underwriting of new issue

TRANSFORMATION In the 1990s, ICICI transformed its business from a development financial institution offering only project finance to a diversified financial services group offering a wide variety of products and services, both directly and through a number of subsidiaries and affiliates like ICICI Bank. It was after liberalization in 1994 that the government also allowed private players in the banking industry ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution, and was its wholly-owned subsidiary. ICICI bank was incorporated in1996 with its first branch in CHENNAI under schedule (II) commercial banks which has given it the right that every account holder of this bank can claim upto Rs 100000 from RBI if the bank goes into liquidation which is same in any nationalized bank.

2.7 AWARDS & RECOGNITIONS

ICICI Bank 2009

ICICI Bank bags the Best bank in SME financing (Private Sector) at the Dun & Bradstreet Banking awards 2009. ICICI Bank NRI services wins the Excellence in Business Model Innovation Award in the eighth Asian Banker Excellence in Retail Financial Services Awards Programme.

ICICI Bank's Rural Micro Banking and Agri-Business Group wins WOW Event & Experiential Marketing Award in two categories - Rural Marketing programme of the 26

year and Small Budget On Ground Promotion of the Year. These awards were given for Cattle Loan 'Kamdhenu Campaign' and 'Talkies on the move campaign' respectively. ICICI Bank's Germany Branch has been certified by Stiftung Warrentest. ICICI Bank is ranked 2nd amongst 57 savings products across 19 banks ICICI Bank Germany won the yearly banking test of the investor magazine uro in the call moneycategory.

The ICICI Bank was awarded the runner's up position in Gartner Business Intelligence and Excellence Award for Asia Pacific for its Business Intelligence functions.

ICICI Bank's Organisational Excellence Group was recently awarded ISO 9001:2008 certification by TUV Nord. The scope of certification comprised processes around consulting and capability building on methods of quality & improvements.

ICICI Bank has been awarded the following titles under The Asset Triple A Country Awards for 2009: Best Transaction Bank in India Best Trade Finance Bank in India Best Cash Management Bank in India Best Domestic Custodian in India

ICICI Bank has bagged the Best Cash Management Bank in India award for the second year in a row. The other awards have been bagged for the third year in a row.

ICICI Bank Canada received the prestigious Canadian Helen Keller Award at the Canadian Helen Keller Centre's Fifth Annual Luncheon in Toronto. The award was given to ICICI Bank its long-standing support to this unique training centre for people who are deaf-blind.

27

ICICI Bank 2008

The Asset Triple A Country Awards for Best Domestic Bank in India.

ICICI Bank wins the "Best Bank in India" Award from NDTV Profit-Outlook Money

ICICI Bank wins the "Most Preferred Brand of Auto Loans" Award and the "Most Preferred Brand of Credit Cards" Award from CNBC Awaaz

Mr K. V. Kamath, MD & CEO, ICICI Bank, receives the Lifetime Achievement Award at the NDTV Profit Business Leadership Awards 2008

Ms. Chanda Kochhar, Joint MD & CFO, ICICI Bank, ranked 25th in Fortune International Power 50 list

Ms Chanda Kochhar, Joint MD & CFO, ICICI Bank and Ms Madhabi Puri-Buch, Executive Director, ICICI Bank, selected among the 25 Most Powerful Women in Indian business by Business Today

ICICI Bank wins the 2008 Symantec visionary awards, recognising the way the Bank secures and manages systems and information.

ICICI Bank wins the 'Excellence in Remittance Business 2008' award by The Asian Banker

Mr. K.V. Kamath, MD & CEO, ICICI Bank receives the UK Trade & Investment Award (2008), in recognition of the significant contribution made towards India-UK trade relationship and visionary leadership.

ICICI Bank NRI Services wins the World Finance (London) Award for Best Bank for NRI Services Worldwide, 2008 28

ICICI Group Global Private Clients wins the World Finance (London) Award for Excellence in Private Banking Award for APAC Region 2008

ICICI Bank wins Finance Asia Country Awards for Achievement 2008 for Best Trade Finance Bank Best Foreign Exchange Bank Best Private Bank

ICICI Bank wins the 'Excellence in Remittance Business 2007' award by The Asian Banker

Ms. Madhabi Puri Buch, ED, ICICI Bank wins FICCI's "Young Women Achievers" Award

Mr. K. V. Kamath, MD & CEO, ICICI Bank wins "The Asian Banker Leadership Achievement Award" for the Asia Pacific and Gulf Region 2007 EuroWeek award for Most Improved Market Profile The award is designed to recognise the institution that has been most successful in building its own niche in Asia's competitive syndicated loan market

The Asset Triple A Transaction Banking Awards, 2008 Best Trade Finance Bank in India Best Transaction Bank in India Best Cash Management Bank in India Best Domestic Custodian in India

Global Finance Award for: Best "Trade Finance Bank and Provider" in India Best "Consumer Internet Bank" in India

ICICI Bank wins the Gold Shield for " Excellence in Financial Reporting" by Institute of Chartered Accountant of India (ICAI) for the Year ended March 31, 2007

29

Mr. K. V. Kamath, MD & CEO, ICICI Bank awarded the "Padma Bhushan"

ICICI BANK 2007

ICICI Bank won the "Most Customer Responsive Company" award in the Banking and Financial Services vertical at The Economic Times - Avaya Global Connect Customer Responsiveness Awards 2007

Asset Asian Awards 2007 Triple A 1. Country Awards for the Best Domestic Bank in India 2. Triple A House and Deal Awards for Best Investment Grade Bond- India Best follow on offering for The Asset 2007 Best Syndicated Loan

ICICI Bank won "The Bankers Award" for the Bank of the Year (India)

Mr. K. V. Kamath is Forbes Asia's Businessman of the Year.

ICICI Bank named as one of the "Fabulous 50 companies in Asia" by Forbes Asia

Mr. K. V. Kamath won the Lifetime achievement Award at the seventh Annual Teacher's Achievement Awards.

Ms. Chanda Kochhar won the Teachers Achievement Award in the business category.

Best Regional Private Bank - Asia Pacific Award at the 17th Private Banker International Awards.

Mr. K. V. Kamath featured among Asiamoney's top 100 most powerful businessmen 30

from Asia.

Ms Chanda Kochhar ranked 33rd in the Fortune's List of 50 Most Powerful Women in Global Business.

ICICI Bank was one of the four Indian companies to make it to the global list of Top Companies for Leaders 2007, according to a survey conducted by Hewitt Associates in partnership with the RBL group and Fortune magazine.

ICICI Bank adjudged winner of the annual CIO 100 awards in recognition of the organization's pre-eminence in the area of Innovative technology deployment.

Ms Chanda Kochhar featured in the list of Business Today's 25 most powerful women leaders.

Best private sector bank by Outlook Money NDTV Profits Awards 2007

The Uptime Champion Awards 2007

The Economic Times Business Leader of the Year Award for Mr.K.V.Kamath

CNBC Awaaz Consumer Awards 2007 for: Most Preferred brand for Auto Loans Most Preferred brand for Credit Cards Most Preferred brand for Financial Advisory Services Most Preferred brand for Home Loans.

Global Finance Awards for : The Best Consumer Internet Bank in India. The Best Corporate / Institutional Internet Bank in India.

ICICI Bank has won the Euromoney Award for the "Best Bank in Asia" and "Best Bank in India"

31

Asia's Best Financial Borrower 2007 Euromoney

Best Bank in the New Private Sector Bank category By Financial Express.

Excellence in Remittance Business Award, 2006 from Asian Banker. ICICI Bank has won the Readers Digest Trusted Brand Gold Award for the Bank category in India in 2007.

ICICI BANK 2006

Bank of the Year 2006 India by the Banker THE ASSET TRIPLE AAA Awards for : Best Transaction Bank in INDIA Best Trade Finance in India Best Domestic Custody in India Business Standard's Banker of the Year for Mr.K.V.Kamath CNBC-TV18 India Business Leader Award for Mr. K. V. Kamath Business India's Best Bank of the Year 2006 Ms.Chanda Kochhar featured on Fortune's 50 Most Powerful Women in International Business. NDTV Profit Business Leadership Award in the Banking category. Ms. Kalpana Morparia and Ms. Lalita Gupte featured on Forbes Most Powerful Women CII National Award for Energy Management Business Baron - Most Admired Bank Global Finance Award for World's Best Foreign Exchange Bank from India" and the "World's Best Trade Finance from India" Global Finance Awards for : Best Integrated Consumer Bank Site in Asia Bill Presentment and Payment in Asia Best Consumer Internet Bank in India

32

Best Corporate/ Institutional Internet Bank in India ICICI Bank wins three awards for outstanding performance from Asian Banker Best Retail Bank India Excellence in Multi Channel Distribution Excellence in Automobile Lending Award Reader's Digest India - Most Trusted Brand Award for 2006 voted by consumers

ICICI BANK 2005

The Asian Banker Leadership Achievement Award 2005 for India for Mr.K.V.Kamath Businessman of the Year Award for Mr.K.V.Kamath by Business India JRD Tata Corporate Leadership Award for Mr.K.V.Kamath Best Local Cash Management Bank Overall for Domestic Cash Management Services Asiamoney Best Local Cash Management Bank for Most Innovative Cash Management Solutions Asiamoney Listed on Forbes' Asia's Fab 50 Listed in Business Week Top 50 Performers Economic Times Award for Businesswoman Of The Year Triple AAA Best Cash Management Country Award in India" by The Asset Bank of the Year Award for India by The Banker Best Bank in India by Euromoney Best Integrated Consumer Bank Site in Asia by Global Finance Best Consumer Internet Bank in India by Global Finance Best Corporate / Institutional Internet Bank by Global Finance Building Talent Enterprise-wise Award for Excellence in Learning from the American Society for Training and Development

33

2.8 ICICI RURAL FINANCE

While these design principles may be consistent with many on-ground configurations pursued by other institutions, ICICI Bank has chosen the following:

1. ICICI Bank and its Group Companies to be the providers of deposit taking and insurance services and therefore warehouse all the attendant risks. Since as on June 30, 2006 its assets are USD 60 billion and its networth exceeds USD 5 billion and its rating is AAA it is in a good position to absorb these risks. As on date, ICICI Bank has built a portfolio exceeding Rs.16,000 crore in rural finance of which Rs.2,500 crore is to low-income families and has a customer base exceeding 2.5 million clients.

2. Develop a relationship with a network of local institutions (both urban and rural), which could be cooperative banks, producer cooperatives, non-bank finance companies and not-for-profit civil society organisations to actually distribute these services. A combination of these partner institutions, rural hub branches at a cluster level and agents (such as tractor dealers) appointed by the bank represent the core of its No White Spaces strategy that aims to cover 200 districts by 2007. Under this strategy, the bank plans to have at least one touch point (collectively referred to as ICICI Bank Grameen Kendras which may belong to ICICI Bank or to partners) every 3-5 kilometres in rural and semi-urban areas. If the model succeeds this implies that the number of ICICI Bank Grameen Kendras capable of offering a reasonably complete suite of financial services would exceed 50,000 (or 1 for every 10 to 12 villages) by March 2007 and the customer base could exceed 25 million by 2010.

3. For the lending business, use the "partnership model" to build incentive compatibility with the local institution that is delivering this specific financial service. This design draws on the separation of functions discussion in the preceding section. The partnership model leverages the local information and cost structure of a local financial institution in order to unlock the financing ability latent in the commercial banking sector. The model has been designed with the feature of the local institution sharing risk with the bank so that there is careful origination and supervision on an 34

ongoing basis.

4. For deposit taking work with a variety of local institutions to provide these services under the Business Correspondent model. Business Correspondents are agents identified by the bank to provide basic banking services such as opening bank accounts, collecting savings deposits offering insurance products in rural areas. ICICI Bank takes full responsibility for its correspondents business conduct. The bank has already launched this service in Orissa and Andhra Pradesh.

5. Similarly in insurance, ICICI Bank and its group companies ICICI Prudential Life InsuranceCompany and ICICI Lombard General Insurance Company work with local institutions for design and delivery of insurance products - under the bancassurance model these policies will be sold at the ICICI Bank Grameen Kendras. Given the peculiar challenges of health insurance delivery, it has worked with hospital networks and third-party administrators to coordinate quality of health care as well.

6. In order to facilitate better price discovery and price risk management for farmers, ICICI Bank co-promoted the National Commodity and Derivates Exchange (NCDEX) jointly with National Bank for Agriculture and Rural Development (NABARD), the National Stock Exchange (NSE) and Life Insurance Corporation (LIC). NCDEX along with its affiliate National Commodities Management Services Limited (NCMSL) is attempting to improve access to price derivatives for farmers, facilitate commoditybased finance through banks, provide weather stations and improve the warehousing infrastructure.

7. For its work in product development, ICICI Bank has combined its expertise in financial engineering with the insights generated by its partners and allied research institutions. To date, ICICI Bank and its group companies have designed and are taking to scale products including the following: (a) index-based rainfall insurance (b) catastrophic health insurance

35

(c) working capital facilities for agriculture traders (d) working capital facilities for craftspeople and artisans (e) take-out finance for start-up local financial institutions (f) warehouse receipt based financing (g) credit to low income households through partnership model (h) savings to low income households through banking correspondent model

8. It is ICICI Banks belief that in order to improve efficiencies in financial intermediation, especially in the context of small unsecured loans, the role of technology is crucial. ICICI Banks initiatives in technology may be broadly thought of in two categories: 1. Front-end technology investments this includes issuance of smart cards with unique identifiers to its clients that help the client track financial services usage data on a real-time basis as well as sharing of credit information across ICICI Banks network. 2. Back-end technology investments this relates to investment in creating better core banking systems among its partner institutions. This enables more efficient data capture and sharing and reduces margin of error on transactions. ICICI Bank has collaborated with FINO; a company that seeks to provide front-end (smart card, point-of-sale terminals), back-end (banking software, performance management and reporting, MIS) and information services (credit bureau) to community based financial institutions and is now looking to partner with NABARD, State Bank of India and the Credit Information Bureau of India Limited (CIBIL) to try and see if FINO could, as in the case of NCDEX, become a provider of these technology services on a system wide basis particularly to cooperative banks and non-bank finance companies engaged in the business of lending to and collecting savings from small borrowers. The participation of the RBI and NABARD in some of these initiatives that have a systemic benefit would be an accelerator of access to finance.

9. ICICI Bank is conscious that working in rural India and with poor households is fairly uncharted territory. It has tried to base its growth strategies on systematic results of what works at household and local economy levels. In order to catalyse high-quality work in this area, it works closely with research centres that 36

systematically research issues related to access to finance. These centres are housed within the Institute for Financial Management and Research (IFMR) and they seek to provide thought leadership to all institutions working in this field.

SERVICES OFFERED CORPORATE SUPPLY-CHAIN LINKS ICICI and Bank's agri-banking financial has created an interface to between rural areas and

mainstream

service

providers

maximize

outreach

leverage technology.This reduces the cost of finance delivery, devises customised solutions partner. and The offers Bank complete as a supply-chain cohesive solutions for the corporate and the

acts

partner

between

corporates have

rural aggregators (like co-operatives, MFIs, NGOs) inherent strength of grassroot

These aggregators in the rural

relationships

domai.

Also, there is a range of financial products for these aggregators and their members, which Aids have the been developed to by the a bank. supply Advantages chain in offered the rural to clients domain.

corporate

establish

Helps market the corporate products in rural areas. Facilitates economic development and employment in rural areas

FARMER SERVICE CENTRES India's rural revolution has come through co-operatives in sectors such as milk and sugar. The Bank has initiated measures to convert these district level co-operatives into full-fledged Farmer Service Centers (FSC) by clubbing them with other co-operative societies. Services offered by the FSCs One-point service providers to farmers. The Bank provides credit assistance to farmers utilising the infrastructure of the FSC. The FSC would also help strengthen the supply chain. This would include an alliance with a number of crop output companies (multinationals, exporters and retailers) who would assure off-take and prices to farmers. On the other end of the spectrum, through its relationship with a number of agri-input companies, the Bank can also bring in input companies so that the entire input requirement (fertilizer, seed, pesticide) of farmers could be provided under one roof. FSC initiatives undertaken by various private sector companies have resulted in

37

substantial value addition at the farm end. The Bank has played a key role in conceptualizing, developing and implementing the FSC model with various partners.

THE SUGAR SECTOR ICICI Bank has strong ties with the sugar sector. It finances both the sugarcane farmer and the sugar industry. We structure products at very competitive rates to meet the needs of the cane growers and the processors.

FOR THE SUGAR INDUSTRY Regular commercial banking facilities are available for the sugar industry. We offer the industry banking services like working capital finance, term loans, forex assistance, etc.Know more about Transaction Banking

FOR FARMERS The bank provides Corporate-linked Agricultural loans to farmers associated with sugar companies. The association may be in form of an agreement to buy agricultural inputs or sell their produce to the sugar company.

SALIENT FEATURES OF THE LOAN The loan is for 12-18 months depending on the duration of the crop Loans are disbursed either in the form of agricultural inputs or a combination of agricultural inputs and cash. The amount of loan sanctioned would depend on the area of sugarcane cultivation. Repayment of principal and interest would be in the form of deductions by the sugar company when it makes cane payments to farmers.

38

ELIGIBILITY CRITERIA Land ownership by the farmer Consistent supply of cane to the sugar company for the last three years. Registered member of the sugar company. The farmer should have an assured irrigation facility.

THE PLANTATION SECTOR The importance of the plantation sector can be understood from the fact that 15% of agricultural export earnings come from crops like tea, coffee and rubber - although these industries occupy only one percent of the total plantation area. Plantations have lengthy gestation period lasting four to five years, which distinguish their financial needs. Having long-term industry relations with the plantation industry, ICICI Bank has developed especially structured products.

FACILITIES FOR THE PLANTATION INDUSTRY Long-term loans for capital expenditure on plantations and processing facilities. Short-term loans for working capital requirement of the plantations and the processing factories. Bills Discounting, Bank Guarantees and Packing Credit facilities for exporters. Cash management service for domestic marketers. Real time remittance services for Auction Houses, Brokers and Exporters Dealer financing through Bills Discounting for domestic marketers. THE SEEDS SECTOR Agricultural inputs are an important part of the Bank's agenda in rural banking. In the seeds sector, it have the following products for our clients

39

ORGANISER OF FINANCE Seed organisers undertake seed production on behalf of the seed company. Shortterm loans are extended for seed cultivation or against stocks held by seed organizers pending the seed-certification process. The Bank provides financial assistance to seed organizers on a recommendation and letter of comfort given by seed companies. The credit limit depends on the value of the seeds to be procured by the seed company from the seed organizer. The seed company has to make payments directly to the bank on the due date from payments due to the organizer, and this arrangement is to be confirmed by the seed company.

REGULAR WORKING-CAPITAL FINANCING The working capital required for seed companies is seasonal and varies depending upon the crop portfolio and seasonality. Working capital assessment for seed companies is done by the cash-flow method. The regular working capital assistance may be in the form of cash credit or working capital demand loan. Any fluctuations in the working capital could be structured as cash credit. The balance could be structured as a working capital demand loan, which is a revolving credit for a fixed tenor with a minimum stipulated withdrawal.

SHORT-TERM LOANS FOR PEAK WORKING CAPITAL REQUIREMENTS Short-term loans for tenures of three to six months to support peak season requirements can be given during the kharif and rabi seasons. The loans are for a fixed period and are to be repaid at the end of the season. This facility can be availed of by the seed company to make farmer payments during peak seasons.

THE FERTILIZER SECTOR Fertilizer companies require high working capital due to the seasonal nature of their sales and the long credit period given to farmers. The industry is characterized by an established distributor and dealer network, which forms the backbone of the dispersed sales network. We have developed products in conjunction with fertilizer companies to suit the needs of their channel partners.

40

DEALER FINANCING This product provides short-term finance to dealers of fertilizer companies to make purchases of products from companies. The finance is to meet the requirements for the inventory-holding period of the dealer, i.e. typically up to 90 days. Financing to the dealers would be made on one of the following bases Financial recourse in the nature of a Corporate Guarantee for the overall arrangement Non-Financial Recourse in the nature of Letter of Comfort for the overall arrangement (Stop supply, etc.). SECURITISATION OF RECEIVABLES FOR COMPANIES Many fertilizer companies provide 90-day credit to dealers. These book debts can be securitised to provide liquidity to a company. The pricing and structure of the transaction is worked out on a case-to-case basis.

INFRASTRUCTURE The Bank has a strong presence in Agri-infrastructure financing. Areas include financing of various agricultural projects in the agri- infrastructure sector like: Warehouses / Godowns Silos Cold Chains Refrigerated Transport Infrastructure Development of Market Yards Agri-Business Clinics Value Addition Farm Centres Food Parks Agri-Export Zones, etc We are actively involved in conceptualizing and structuring innovative and customized financial products for infrastructure projects, based on the projects' arrangement with private and public enterprises. The Bank jointly works with various warehousing corporations, private infrastructure participants, government bodies and corporates across the country.

41

MARKET FEDERATIONS The Bank works with State-level Market Federations (Markfeds) at various platforms and has several products and services designed for them.

WORKING CAPITAL Working Capital facilities designed to take care of the day-to-day business requirements of the organization. In accord with the domestic trading business of MARKFED, the Bank provides cash credit and other customized short-term products

SHORT-TERM FINANCING OF FERTILIZER DISTRIBUTION Distribution of fertilizers is a core function of each Markfed.

Strong demand for fertilizers arises at the onset of the rabi and kharif seasons, which coincide with the requirement of funds. We structure this short-term fund requirement at competitive rates. It replaces the regular and expensive cash-credit limits. LONG-TERM FUND REQUIREMENT FOR EXPANSIONS/ NEW PROJECTS The Bank provides medium-term and long-term funds for new projects and/or expansions. We structure the loan so as to reduce the risk and transfer the benefit to the client. CONVERTING THE MARKFED STRUCTURE INTO FARMER SERVICE CENTERS Each State Marketing Federation has a wide distribution network at the district level. This is called "The District Co-operative Marketing Society" and "The Primary Agricultural Credit Society (PACS)" network. These are made use of in distributing agricultural inputs to farmers. The Bank helps convert them into Farmer Service Centres to offer a single window service to farmers

CASH COLLECTION AND DISBURSEMENT Regional offices of MARKFED have collections from and payments to their district level co-operatives. We provide a solution that would take care of both cash collection and disbursement. Our solution will provide the following benefits: 42

 Reduced time for cash collection and disbursement Provide instantaneous funds transfer from/ to district level branches and the head office. Customized MIS reports, giving the status of cash collected and disbursed from each centre, and various other customized reports. Our network of 500+ branches and extension counters provides a technologically advanced network at numerous towns. THE FOOD PROCESSING SECTOR Food processing is one of the fastest growing sectors of the Indian economy. The Bank works with various companies, both established and new, in this sector. The products offered are:

WORKING CAPITAL FINANCE Working capital finance takes care of the daily business requirements of the organization. The bank provides pre-/ post- shipment credits, cash credits and a bill purchasing/ discounting facility based on the requirements of the company.

TERM LOANS The Bank gives loans of various tenures according the requirement of the company. We provide short-term funds to take care of any seasonal requirement and medium-term and long-term funds for new projects, expansions and upgrading of plants.

AGRICULTURAL COMMERCIALIZATION AND ENTERPRISE PROGRAM These are USAID funds managed by the Bank. The main purpose is to improve the investment environment for private agri-business in post-farm horticulture. The focus is primarily on promoting agri-business innovations and diversity. Activities covered are fresh and processed fruit and vegetables, herbal products, spices, fruit- and vegetable-based processed foods, flowers and foliage.

43

RURAL EDUCATIONAL INSTITUTIONS Education is the cornerstone of development. ICICI Bank provides loans to rural educational for investment in infrastructure with an objective to increase their enrolment of students and provide better facilities. The product caters to the need of privately run educational institutions/ trust/ societies for addition or expansion in infrastructure like adding new class rooms, lab facilities, residential facilities for students/ teachers, transportation, establishing a new school/ college etc by an existing institution.

NO WHITE SPACES In order to scale up our outreach to the under-served population in rural areas, we have adopted the 'No White Spaces' (NWS) strategy for our retail business. We intend to cover the selected areas in rural India so that there is an ICICI Bank customer touch-point within a radius of 10km of a customer -- thus leaving 'no white space' in those locations. This strategy aims to bring holistic banking to the doorstep of our rural customer in the following manner: Developing and providing products customised to different customer segments - agri- trader, processors, farmers and entrepreneurs in semi-urban and rural areas. Channels customised to these customer segments. Agri-solutions towards all stages of the agri-value chain By 2008, the Bank would extend its initiatives to 450 districts.

In addition to its branch infrastructure, the Bank has evolved a network of nonbranch channels to penetrate into rural areas not yet covered

2.9 PRODUCT OFFERED BY ICICI BANK TO RURAL PEOPLE

1. RURAL SAVINGS ACCOUNT You can approach us through your local Business Correspondent. Rural Savings Account is a Zero balance account and hence there is no minimum balance requirement. Interest earned on your Rural Savings Account balance shall be credited to your account on a half yearly basis in the months of September and 44

March.You can change the nominee(s) by making a declaration to that effect, in the appropriate form, which is available with the Business Correspondent. FEATURES

The

Rural

Savings

Account

will

be

available

through

Business

Correspondents.

The account is zero balance with no initial deposit. The Customer is provided with an E-passbook. All transactions in the accounts are done only after a biometric authentication. Nomination facility is available. Interest is payable half-yearly.

NOMINATION FACILITY

Nomination facility available for bank deposits. There can be only one Nominee for a deposit account whether held singly or jointly.

A person legally empowered to operate a minor's account can file a nomination on behalf of the minor.

Applicants can make nomination by filling up the Form prescribed under the Banking Companies (Nomination) Rules 1985.

The nomination details can be changed during the subsistence of the account relationship by filling up the Form prescribed under the Banking Companies (Nomination) Rules 1985.

For more details approach your bank.

ELIGIBILITY The account is available only for

Resident Indians above the age of 18 years. NRIs and foreign nationals are not eligible for this Account.

Individuals residing in rural areas.

45

DOCUMENTATION Applicants must satisfy the following documentation requirements:

Identity proof Proof of communication address

Identity (Any one of

Proof the

Proof

of

communication

address

following) Original introduction letter

(Any one of the following)

of Introduction by an existing and satisfactory customer as from address proof

existing bank along with KYC cheque of the same Bank Driving Book laminated embossed Voter Identity Card Certificate from the postal office confirming address of applicant License type Latest Electricity Bill or &

with KYC cheque for operating accounts. Cash can be accepted for Term deposits. Employee Card Identity Original Letter from Employer certifying the residential address of applicant. Signature of the employee has to be attested on the letter. PAN Card Telephone bills from any telephone service providers and mobile service providers (KYC cheque mandatory for mobile service providers)

46

Defence Dependent's Consumer gas connection card/book/Pipe Gas bill (same as card electricity bill)

Ex-Service Man Card Certificate from the ward/equivalent rank officer, maintaining election roll, certifying address of the applicant Bar Medical Council/Indian Registered and valid Lease/ Leave agreement with copies of Association utility bills Citizen

Card/Senior Card PIO

Booklet

for Post Office Savings Pass Book with KYC cheque

returning NRIs MAPIN card Statement of account or Pass Book of a scheduled commercial bank with entries of at least last 3 months alongwith KYC cheque Premium Receipt from any life insurance company Certificate by Village Extension Officer (VEO)/Village Head or equal rank officers Domicile photograph Accepted as both Identity and Address proof Certificate with communication address and

(Any one of the following) Passport Arms License issued by State/Central Government of India authorities Freedom fighter's pass issued by Ministry of Home affairs, Government of India with photograph of applicant Pension payment order/book/Card issued by State/Central Government of India. Printed Ration Card with Photograph of applicant. House hold Card with photograph issued by Govt of Andhra Pradesh ID card with photograph issued by Govt of Jammu and Kashmir Bank Pass Book with photograph issued by SBI and its subsidiaries or Nationalised 47

Banks Photo Social Security Card (Smart Card) issued by Central/State Govts or Union territories. Certificate by Village Extension Officer (VEO)/Village Head or equal rank officers (with Photograph) Certificate by Affiliate (Business Correspondent)

Deposits - Interest Rates

REVISION IN INTEREST RATES ON DOMESTIC TERM DEPOSIT

Domestic Interest Rates - Deposits less than Rs.1.5 mn Interest Rates for Senior Citizens Penalty on Pre-mature withdrawal (All Categories) Interest Rate for ICICI Bank Tax-Saver Fixed Deposit

Interest Rates for NRI Schemes

RESIDENT INDIANS : INTEREST RATES* FOR DEPOSITS BELOW RS. 1.5 MN SAVINGS BANK ACCOUNT: 3.50%

48

DOMESTIC TERM DEPOSITS (GENERAL CATEGORY)

Interest rates (per cent per annum) Single Deposit of Rs. Maturity Period Single Deposit of Less 1.5 mn and above but than Rs. 1.5 mn less than Rs. 10.00 mn w.e.f. 24.04.2009 w.e.f. 13.04.2009

7 days to 14 days

N.A.

3.25%

15 days to 29 days

3.25%

3.25%

30 days to 45 days 46 days to 60 days 61 days to 89 days 90 days 91 days to 180 days 181 days to 189 days

3.50% 3.50% 3.50% 5.25% 5.75% 6.75%

3.50% 4.00% 4.50% 4.50% 5.50% 7.00%

190 days

7.25%

7.00%

191 days to 269 days 270 days to less than 1 year 1 year to 389 days 390 days

6.75%

7.00%

7.50%

7.00%

7.75% 8.25%

7.75% 8.50%

49

391 days to 589 days

7.75%

7.75%

590 days

8.25%

8.50%

591 days & above upto 2 years More than 2 years upto 989 days 990 days 991 days upto 3 years More than 3 years upto 4 years More than 4 years upto 5 years More than 5 years upto 10 years

7.75%

7.75%

8.25%

8.25%

8.25% 8.25%

8.75% 8.25%

8.25%

8.25%

8.25%

8.25%

8.25%

8.25%

* Subject to revision without further notice. Note: Rates for Deposits for Rs.10 mn and above will be advised by treasury from time to time. Recurring Deposit will not be available for tenure of 390 days, 590 days and 990 days.

50

INTEREST RATES FOR SENIOR CITIZENS 1. ELIGIBILITY CRITERIA : A person who has completed the age of 60 years may be treated as a senior citizen for getting the benefit under the special deposit scheme for senior citizens. 2. VERIFICATION OF AGE : Opening of New Account At the time of opening of a new deposit account of a senior citizen, the branch should satisfy about the age through verification of any of the following documents:1. Affidavit-cum-indemnity 2. PAN Card 3. Photo ID issued by PSUs to retired persons 4. Ration Card 5. Secondary School Leaving Certificate indicating date of Birth 6. LIC Policy 7. Voters Identity Card 8. Pension Payment Order 9. Birth Certificate issued by the competent authority 10. Passport

51

INTEREST RATES FOR SENIOR CITIZENS Interest rates (per cent per annum) Single Deposit of Rs. 1.5 mn and above but Maturity Period Single Deposit of Less less than Rs. 10.00 mn than Rs. 1.5 mn w.e.f. 13.04.2009 w.e.f. 24.04.2009

7 days to 14 days

N.A.

3.75%

15 days to 29 days

3.75%

3.75%

30 days to 45 days 46 days to 60 days 61 days to 89 days 90 days 91 days to 180 days 181 days to 189 days 190 days 191 days to 269 days 270 days to less than 1 year

4.00% 4.00% 4.00% 5.75% 6.25% 7.25% 7.75% 7.25%

4.00% 4.50% 5.00% 5.00% 6.00% 7.50% 7.50% 7.50%

8.00%

7.50%

1 year to 389 days

8.25%

8.25%

390 days

8.75%

9.00%

52

391 days to 589 days

8.25%

8.25%

590 days

8.75%

9.00%

591 days & above upto 2 years More than 2 years upto 989 days 990 days 991 days upto 3 years More than 3 years upto 4 years More than 4 years upto 5 years More than 5 years upto 10 years

8.25%

8.25%

8.75%

8.75%

8.75% 8.75%

9.25% 8.75%

8.75%

8.75%

8.75%

8.75%

8.75%

8.75%

Subject to revision without further notice. Note: Rates for Deposits for Rs.10 mn and above will be advised by treasury from time to time. Recurring Deposit will not be available for tenure of 390 days, 590 days and 990 days.

53

PENALTY ON PRE-MATURE WITHDRAWAL (ALL CATEGORIES) WOULD BE APPLICABLE AS BELOW

Penal Rates * Original Deposit Tenure of Less than Rs.50.0 mn Rs.50.0 mn & above

Less than 1 year

0.50%

0.50%

1 year & above but less than 5 years

1.00%

1.00%

5 years

1.00%

1.50%

More than 5 years upto 5 years 3 months

1.00%

1.50%

More than 5 years 3 months upto 10 years

1.00%

1.50%

*Subject to revision without further notice.

54

INTEREST RATE FOR ICICI BANK TAX-SAVER FIXED DEPOSIT (TENURE 5 YEARS)

Applicable Rate of Interest on ICICI Bank Tax-Saver Fixed Deposit is 8.25% p.a. for General Category for Single Deposits of value upto Rs. 1 Lac.

Applicable Rate of Interest on ICICI Bank Tax-Saver Fixed Deposit is 8.75% p.a. for Senior Citizens Category for Single Deposits of value upto Rs. 1 Lac.

Please note that Interest earned on the Fixed Deposit will be subject to Tax Deducted at Source as per Income Tax laws.

TERMS AND CONDITIONS

All standard terms and conditions for savings bank accounts as published on the ICICI Bank website at www.icicibank.com ( Terms ) for the establishment of a relationship and the opening and operating of savings bank accounts with ICICI Bank are applicable to the rural savings account. In addition to the Terms, the terms and conditions specific to the rural savings account ( Special Terms ) are as follows: 1. For the purpose of the Special Terms, any reference to Saving Account shall mean the Rural Savings Account. 2. For the purpose of the Special Terms, any reference to Customer shall mean the Rural Savings Accountholder. 3. For the purpose of the Special Terms, any reference to KYC Card shall mean a card issued by ICICI Bank to the Customer that only carries the KYC details of the Customer (i.e name, age, date of birth, address and father's name), his signature/ thumb impression and the photograph. 4. The Saving Account is a zero balance account and would not require maintenance of any minimum balance by the Customer. 5. ICICI Bank will issue a KYC Card to the Customer for the purposes of Authentication 55

and the Customer is required to produce the KYC Card at the time of operating his Savings Account. 6. Chequebook facility, ATM access, debit card facility, phone banking facility, mobile banking facility, access to INFINITY, any where banking facility and Internet banking facility will not be extended to the Customers. 7. The terms and conditions governing the usage and issuance of the KYC Card would be as set forth in the terms and conditions for banking services provided by ICICI Bank through Business Correspondents, a copy of which shall be provided to the Customer. 8. Fee and Charges i. ICICI Bank will charge an annual maintenance fee for the Savings Account along with applicable taxes, as may be specified by ICICI Bank from time to time. ii. ICICI Bank will provide account statements at such interval as may be decided by ICICI Bank, free of cost. iii. Schedule of all fees and charges applicable to the Savings Account would be put up on the ICICI Bank website or would be communicated to the Customer in any mode as may be decided by ICICI Bank. 9. Transaction Charges i. For the Savings Account, the Customer will have a certain number of free transactions per month at the designated Business Correspondents location, any transaction over and above that will be charged along with applicable taxes on a per transaction basis. Any balance enquiry through the Business Correspondent shall not be considered while counting the free transactions. ii. No branch access shall be permitted except transactions for which the charges shall be levied upon the Customer. Any transaction at the base branch will be charged at a per transaction basis/ as amended by the ICICI Bank from time to time.

56

iii. All banking transactions are chargeable at normal charges as decided and communicated by ICICI Bank from time to time. iv. Normal transaction charges for issuance/revalidation/cancellation of DD/PO will be levied. 10. A Customer is not entitled to request for transfer of his/her Savings Account from one branch to another branch of ICICI Bank or from the designated Business Correspondent to another Business Correspondent. 11. Standing instructions including for transferring funds from the Savings Account to Fixed Deposit or Recurring Deposit accounts by the Customer shall not be accepted by ICICI Bank or the designated Business Correspondent. 12. Transactions involving levy of charges shall be informed to the Customer at the time of account opening. ICICI Bank shall endeavour to give notice adequately in advance in case of change in such charges and such notice, provided by ICICI Bank in the manner specified in the Terms or in any other manner whatsoever, of any changes in charges or any notice from ICICI Bank for payment of amounts at the changed rate(s), shall be treated as sufficient and reasonable notice to the Customer and ICICI Bank shall not be bound to issue any further notice of such changes to the Customer. 13. Any government charges, duties or taxes, whether past present or future, whether direct or indirect, devolving from the provision of any facility shall, if imposed upon ICICI Bank (either directly or indirectly), be debited to the Customer's account. 14. A cash withdrawal limit from the Saving Account would be set for the Customer, in accordance to the average balance maintained by all the Customers with the Business Correspondent. This limit will be communicated to the Customer from time to time. Any withdrawal by the Customer beyond the limit would have to be made 24 hours in advance. 15. In the event of the customer providing a certification by the Business Correspondent as necessary KYC documentation, the following conditions would apply;

57

i. In the event of the credit balance of the Customer crossing Rs 50,000/- and total credits crossing Rs.1,00,000/- per financial year, KYC documents as per ICICI Bank policy would be required to be submitted. A communication shall be sent to the Customer and the designated Banking Correspondent in the event of credit balance of the Customer crossing Rs 40,000/- and total credits crossing Rs.80,000/- per financial year. The Savings Account shall be frozen in event of credit balance of the Customer crossing Rs 50,000/- and total credits crossing Rs.1,00,000/- per financial year and the requisite KYC documentation not being undertaken. In the absence of providing the additional KYC documents, the Savings Account of the Customer will remain frozen for a period of sixty (60) days from the date of the communication, post that the Savings Account shall be closed. 16. ICICI Bank, at its absolute discretion, may revise the fees/charges from time to time. The revised fee/charges will be published on ICICI Bank's website www.icicibank.com . ICICI Bank will not provide any individual intimation/ communication in this regard to the Customer. 17. ICICI Bank, at its absolute discretion, may revise the per transaction limit/ daily transaction limit from time to time. The revised limits will be published on ICICI Bank's website www.icicibank.com and communicated through the Business Correspondent. 18. The Special Terms contained herein are in addition to and not in derogation of the Terms. However, in case of any inconsistency between these Special Terms and the Terms, these Special Terms will be applicable. 19. ICICI Bank reserves the right to alter, amend or revise any policy, benefit or feature of the Savings Account as also alter any of these Terms and may notify the Customer of any changes to the Terms in any manner it considers appropriate. 20. The Special Terms as specified herein and as amended by ICICI Bank from time to time, shall be deemed to have unconditionally agreed to and accepted by the Customer by performing a Transaction with the Business Correspondent

58

21. All capitalized terms not defined herein shall have the meaning ascribed to it in the Terms and/or the terms and conditions for usage and issuance of e-passbook. DISCLAIMER *ICICI Bank may, at its sole discretion, utilise the services of external service provider/s or agent/s and on such terms as required or necessary, in relation to its products SERVICE CHARGES AND FEES Rural Saving Account Available to Eligibility Minimum balance Charges for non maintenance thereof Base Branch Transaction Anywhere customer Cash or deposit by All locations through

Business Correspondents Resident Indian, >18yrs Zero Zero No limit

customers

representative to the credit of the NA customers own savings Account at a non-base branch Issue of DD drawn on ICICI Bank by cheque/transfer Statement Not Applicable Cheque collection charges from upcountry branch) Charges to the customer for 5% of the amount remitted or locations (I-Bank NA NA Free Annual Statement

59

domestic fund transfer Cheque collection charges from

a minimum charge of Rs 50

upcountry locations (Non I-Bank NA branch) E-passbook Membership fee Annual Fee Renewal Charges Replacement charges One time Rs 200 Nil Nil Rs 120 per card

CUSTOMER GRIEVANCES Customers' notices regarding the services provided by the Business Correspondent in relation to the products of ICICI Bank being offered through the Business Correspondent, and communications/complaints in relation to any act of omission or commission by the Business Correspondent in respect of the above-mentioned services provided by the Business Correspondent or in relation to the conduct of the Business Correspondent / Identification Token holder in this regard should be in writing and must be sent to: K. P. Vijaykumar ICICI Bank Ltd. 5th Floor, Trans Trade Centre, MIDC Near SEEPZ, Andheri (East) Mumbai- 400093 Such notices will be replied to within 15 days of the date of receipt of the same by ICICI Bank at the above-mentioned address.

60

2.FARMER FINANCE
Providing finance to the farmer for his various needs of inputs and consumption in the form of crop loans, dairy loans and loans for allied activities to agriculture like irrigation etc. for input needs and auto loans (two, three and four wheeler) and personal loans for consumption needs. The customer can also avail of working capital term loan for setting up a poultry project. Flexible repayment pattern and tenure to align to the cash flow of the customers ICICI offer loans up to 5 years based on the type of the loan. Interest is charged on a monthly/quarterly/half-yearly reducing balance basis as the case may be. Every installment that is paid has a component of principal as well as interest. Interest is charged on the principal outstanding after every installment payment. Once the loan is disbursed, you shall be getting a schedule of payment that will give details of how the interest has been charged over the tenure of the loanthere is a nominal one-time file-processing fee that needs to be paid, which is inclusive of service tax. Loans can be approved within 2 working days of submission of complete documents and the field visit being completed.

Any blood relative or spouse can be the co applicant. Blood relatives include father, mother, brother and sister.

Personal guarantor is not required in case of a land mortgage The following can be mortgaged as a collateral:

Crop Land Building Cattle / Livestock Vehicles Fixed Deposits / RD

61

Gold ornaments / jewels

you can still avail of a loan based on your profile, credit strengths and other criteria as may be decided by ICICI Bank from time to time.ICICI will give you the opportunity to prepay your loan at any point of time during the tenure of the loan Reducing balance is a method of charging interest where the interest is charged on the outstanding principal amount after each installment has been paid. Under this method, you pay interest only on the loan amount which is outstanding and not on a total flat basis. It is not mandatory for you to open an account with ICICI Bank

The stages involved are:

Application along with necessary supporting documents Documentation and Processing of the Application Sanctioning the Loan Disbursement of the Loan.

ELIGIBILITY Agricultural-Users

Any individual aged above 18 years at the beginning of the tenure and below 65 years by the end of the tenure; involved in agriculture for the last 5 years.

Having minimum of 2 acres of unirrigated land or min of 0.5 acres irrigated if it is risk-sharing and minimum of 2 acres irrigated & 5 acres non-irrigated land if it non risk-sharing

Staying in the same place for at least 3 years. Should not have defaulted on earlier loans taken (if any) Should have good reputation Should be able to provide the necessary documents required for processing of loans

62

GUARANTOR In case the applicant is not able to meet the eligibility norms on his own, the proposal can be strengthened by a guarantor who could be any known person of the applicant staying in the same village having an earlier good track record or owning land.

In case the land of the applicant is mortgaged, in agricultural deals, guarantor is not required. LOAN AMOUNT The loan amount varies from customer to customer depending on the type of loan, the valuation of the land being mortgaged, cost of cultivation, income of the customer and tenure-desired-for.

Loans for the following purposes will be available to the customer:

Crop loan Personal Loan Vehicle loan Dairy loan Land Development Loan Poultry Loan

LOAN AMOUNT The loan amount varies from customer to customer depending on the type of loan, the valuation of the land being mortgaged, cost of cultivation, income of the customer and tenure-desiredfor.

Loans for the following purposes will be available to the customer:

Crop loan Dairy loan Land Development Loan Poultry Loan 63

DOCUMENTATION The following documents are required from the applicant

Application form with photograph of the customer and all co applicants and/or guarantor.

Form 60/61 (if applicable) Land records of the borrower/s. Land valuation and title search report of the land & security creation. Residence proof of the borrower/s. Identity proof of the borrower/s. Signature verification of the borrower/s Two security cheques End-use letter for the loan Standard Terms and Conditions, duly signed by the applicant Hypothecation document signed by customer on stamp paper (if applicable).

In case the customer has earlier availed of a loan from any bank/finance company, providing the track record of the loan repayment can significantly improve the credit assessment of the customer. LOAN APPROVAL Our large network of sales and verification personnel ensure that your loan is approved in the fastest time possible. ICICI have our Credit Managers stationed at all important locations who will ensure that your loan gets approved within no time.

This localised approval is one of the main factors which allow us to give a fast and consistent service through our Vikas Sahyogis to the customers. RATES & FEES The rate of interest varies from customer to customer and depends on various factors like the current PLR (Prime Lending Rate), land holding, loan amount, viability of the proposition and the underlying collaterals provided. It will be our endeavor for you to get the best possible rate of interest. 64

REPAYMENT Repayment can be scheduled over a period of 6 months to 5 years depending on the type of the loan. The repayment can be monthly, quarterly, half yearly or yearly based on the type of loan and cash flow of the customer Repayment can be done through post dated cheques or by depositing cash/demand drafts to your Vikas Sahyogi / ICICI Bank personnel on the due date. Please ensure that you get a receipt for the money deposited. There are penalties for late payment of dues.

APPLICATION PROCESS The application is to be made through our DST (Direct Sales Team) or RMA (Rural Marketing Agent), who will guide you through the process of applying for the loan.

3.FARM EQUIPMENT LOANS

ICICI offer loans upto 6 years for agricultural applications. For a commercial application, loans upto 3 years are available. Interest is charged on a monthly/quarterly/half-yearly reducing balance basis as the case may be. Every installment that is paid has a component of principal as well as interest. Interest is charged on the principal outstanding after every installment payment. Once the loan is disbursed, you shall be getting a schedule of payment that will give details of how the interest has been charged over the tenure of the loan.there is a nominal one-time file-processing fee that needs to be paid. Service tax of 10.2% on the processing fees needs to be paid separately Loans can be approved within 2 working days of submission of complete documents and the field visit being completed

65

Any blood relative or spouse can be the co applicant. Blood relatives include father, mother, brother and sister. Personal guarantor is not required in case of a land mortgage The tractor will be hypothecated in favour of ICICI Bank. If required, land can also be mortgaged as a collateral. you can still avail of a loan based on your profile, credit strengths and other criteria as may be decided by ICICI Bank from time to time.ICICI will give you the opportunity to prepay your loan at any point of time during the tenure of the loan. ICICI will charge 4% of the principal outstanding at the time pre-payment of the loan. Reducing balance is a method of charging interest where the interest is charged on the outstanding principal amount after each installment has been paid. Under this method, you pay interest only on the loan amount which is outstanding and not on a total flat basis.It is not mandatory for you to open an account with ICICI Bank. The stages involved in getting loan are:

Application along with necessary supporting documents Documentation and Processing of the Application Sanctioning the Loan Disbursement of the Loan

FEATURES Preferred financier for almost all leading tractor

manufacturers in the country. Financing farm equipments in over 381 locations spread across the country. Fast processing of files with easy documentation. Flexible repayment options in tandem with the farmer's seasonal liquidity. Monthly, Quarterly and Half-yearly repayment patterns to 66

choose from. Comfortable repayment tenures from 1 year to 6 years.

ELIGIBILITY Agricultural Users Any individual aged above 21 years at the beginning of the tenure and below 65 years by the end of the tenure. Having minimum 2 acres of land. Staying in the same place for at least 3 years. Tractors used for commercial purpose also being funded. Mortgage of land of value equal to 2 to 3 times of the loan amount. Option of funding without mortgage of land also available. LOAN AMOUNT The loan amount varies from customer to customer depending on the eligibility criteria. ICICI fund a maximum of 85% of the cost of the tractor, and 50% of the cost of the Trolley. DOCUMENTATION The following documents are required from the applicant: AGRICULTURAL USE Application form with photograph of the customer and all co applicants and/or guarantor. Proforma Invoice of the asset to be funded from an authorized dealer. Land records of the borrower/s. Land valuation and title search report of the land. Residence proof of the borrower/s. 67

Identity proof of the borrower/s. Signature verification of the borrower/s. Loan agreement, duly signed by the applicants and guarantor. 2 SPDCs(Security Post Dated Cheques) for entire tenure. COMMERCIAL USE Application form with photograph of the customer and all co applicants and/or guarantor. Proforma Invoice of the asset to be funded from an authorized dealer. Proof of Income (any of the following) : - Billing statement for the past one year - Latest Income tax Return - Last 6 months bank statement Residence proof of the borrower/s. Identity proof of the borrower/s. Signature verification of the borrower/s. Loan agreement, duly signed by the applicants guarantor. 2 SPDCs(Security Post Dated Cheques) for entire tenure. In case the customer has earlier availed of a loan from any bank/finance company, providing the track record of the loan repayment can significantly improve the credit assessment of the customer. LOAN APPROVAL Our large network of sales and verification personnel ensure that your loan is approved in the fastest time possible. ICICI have our Credit Managers stationed at all important locations who will ensure that your loan gets approved within no time.

This process of localised approval allows us to give a fast and consistent service to our dealers and customers.

68

REPAYMENT Repayment can be scheduled over a period of 1 year to 6 years. Repayment can be done through post dated cheques or by depositing cash/demand drafts at the nearest ICICI Bank Farm Equipment office on the due date. There is a penalty for late payment of dues. The loan can be foreclosed at any point of time; a foreclosure charge of 4% of principal outstanding will be charged. APPLICATION PROCESS The easiest way to apply for a tractor loan is to visit your nearest tractor dealer who has tied up with ICICI Bank for extending finance. He will be able to help you with the best finance options to suit your requirements.

4. AQUACULTURE FINANCE
The stages involved in taking loan are:

Application along with necessary supporting documents Documentation and processing of the application Sanction of the loan Disbursement of the loan

Rupee working capital term loan / Overdraft Facility.1Years with renewal at the end of every year. Validity for 3 years ICICI Bank loans for funding aquaculture projects come to you at attractive rates of interest that are based on the prevailing market situation. In case of Overdraft facility borrower shall pay monthly interest on or before 10th day of next month. In case of Working Capital term Loan bullet re-payment of principal at the end of the year / loan tenure, with half yearly interest servicing.

69

there is a nominal one-time file-processing fee that needs to be paid, which is inclusive of service tax. Processing fee is 0.5% of the loan amount sanctioned to be collected at the time of disbursement . No prepayment and foreclosure charges would be levied. Within 24 hours subject to submission of complete documents and completion of Field Investigation (FI) Your spouse or any blood relative of yours or can be the co applicant. Blood relatives include your father, mother, brother and son. The facility would be secured by

Hypothecation of the crop (Fish). Collateral cover to the extent of 200% of the loan amount secured by way of first charge on Agriculture land (Pond) or residential or commercial property or liquid collateral duly lien marked in favour of ICICI Bank Ltd, or with combination thereof, however the security in case of leased land shall be in the form of mortgage of residential /commercial property only.

When the loan amount is more than Rs. 5.0 mn then 15% of the Collateral cover shall be in the form of Residential / Commercial Property / Liquid Collateral duly lien marked in favor of ICICI Bank Ltd.

Personal Guarantee from a relative / friend of equal amount of the loan exposure.

Maximum exposure per borrower will be capped at lower of following

Max 80% of the project cost or Rs. 0.13 mn per acre of the water spread area or Rs. 16.0 mn

(Loan amount should be based on the total water spread area and not the total area of the tank) Balance loan transfer from any other Bank and Financial Institutions (Private Bank, Public Sector Banks, and Cooperative Banks etc) will be allowed under the program, provided the farmer fits in the selection criteria mentioned in program.

70

8% on the outstanding overdue amount it is not mandatory for you to open an account with ICICI Bank. At any branch that you may specify. However, you can operate the loan and repayments from any of our branches under our Anywhere Banking facility. AQUACULTURE FINANCE IN ANDHRA PRADESH ICICI Bank offers financial assistance for cultivation of inland freshwater fish/ carp in existing infrastructure using parameterized model, in the districts of West Godavari, East Godavari, Krishna and Nellore and Guntur of Andhra Pradesh to cater working capital needs of the farmers. FARMER SELECTION CRITERIA

Any individual aged 18 years or above at the beginning of the tenure and below 65 years by the end of the tenure. If the applicant is having age of more than 65 years at the time of maturity of the loan then his blood relative to be taken as coapplicant.

The farmers should be cultivating freshwater fish on his own or leased land with existing infrastructure required. In case of joint ownership of the land (other than leased land), all co owners shall be taken as co applicant.

The farmer should have minimum 10 acre of water spread area of pond under aquaculture farming.

The borrowers should have minimum vintage of 5 crop cycle of aquaculture (fish production).The vintage shall be validated from Water Tax Receipt / Certificate by Village revenue officer / old lease agreement.

The farmer should have formal lease land agreement with all the landlord for at least 3 years from the date of sanction. He should be already doing fish cultivation on his own land and has taken leased land for expansion purpose.

The borrower should not be facing any litigations which have been initiated by other lenders.

At least two market references for applicant from supplier/ trader or any other business associate should be documented.

The borrower & its promoters/ directors in case of corporate borrower, or 71

directors of its holding company or any of its subsidiary companies should not be a director of ICICI Bank

The farmer needs to have the registration form from the District Collector for undertaking aquaculture.This feature would be applicable only for new ponds, where fish cultivation is going to happen first time.

LOAN AMOUNT

Loans are for the cultivation of Freshwater Fishery in existing infrastructure. It will be Rupee working capital Term loan / Overdraft Facility Loan amount should be based on the total water spread area and not the total area of the tank

DOCUMENTATION Given below is the indicative list of documents proposed to be executed for extending facilities under the program.

Credit Facility Application Form. Application form KYC documents as per the applicable master circular. Vernacular Declaration (If Applicable) Master Facility Agreement Deed of hypothecation Facility Application form- preliminary Copy/details of the Aquaculture Project Land Records (Title deeds of the land-7/12 extract,8A) Self attested copies of proof of income (revenue certificates / income tax returns / salary slips)

Recommendation letter from rMA/Other Intermediary. Age Proof:(Driving license,Passport,Birth certificate,Life Insurance policy,PAN Card,HSC/SSC Admit card or Marksheet,Domicile Certificate Ration Card with issue date mention,Certificate issued by Doctor / Tahsildar / Panchayat / secretary / Village account officer / Gazzatted officer and other authority approved by RBI/ICICI bank for Certifying KYC Document.) 72

KYC Documents (Only Residence and Identity proof) Account Statement Field Investigation Report Validating the nativity and residence proof Income proof - Any one of the following IT Returns of the farmer,Bank statements,Salary slip,Cash flow of the farmer (self attested),Land documents as applicable in the state

Proof of asset ownership- Asset title papers

LOAN APPROVAL

Our large network of sales and verification personnel ensure that loans are approved in the shortest time possible. ICICI have Credit Managers stationed at all important locations, who will ensure this.

This localized approval is one of the main factors which allow us to give customers quick and consistent service through our channel partners.

RATES AND FEES

The borrower shall pay to the bank interest on the loan outstanding at the rate stipulated by ICICI bank at the time of disbursement. It will be our endeavor to get the best possible rate of interest for customers considering the market scenario.

REPAYMENT

In case of Working Capital Term Loan bullet re-payment of principal at the end of the year with half yearly interest servicing.

The PDCs will be collected from the farmer as post sanction docs. Repayment would be through PDCs from nationalized banks and approved cooperative bank/ auto debit/ECS.

In case of Overdraft facility the borrower shall pay monthly interest on or before 10th day of next month.

73

APPLICATION PROCESS

The application is to be made through ICICI Bank personnel who will guide the borrowing farmer through the process of applying for the loan. All formalities will be completed at the borrowers doorstep.

5.PROGRAM

FOR

FUNDING

SUBSIDY

LINKED

LONG

TERM

HORTICULTURE PROJECTS
The stages involved in taking loan are:

Application along with necessary supporting documents Documentation and processing of the application Sanction of the loan Disbursement of the loan The entrepreneurs/farmer/eligible applicant will make an application to NHB on prescribed format about his intent to set up a horticulture unit/project. On receipt of application by NHBs Head Office/Centres for (LOI), the proposals will be considered at NHB, H.Q./Centres as the case may be.

Applicant should also enclose a copy of duly signed and filled up Application Form for Term Loan sanction on the format of Bank/FI along with LOI Application Form.

As the product proposes to fund only to those borrowers having LOI from NHB understanding the process of obtaining LOI is important. As the LOI application process includes an application form for term loan sanction, ICICI bank would accept the application forms from the customers for sanctioning of term loan without the LOI.ICICI bank would also provide a letter to the applicant acknowledging the application. However, the real sanction and disbursement would happen only after the obtaining of LOI by the customer and submitting a copy of the same to the bank

Application with project cost upto 20 lakhs will be sent to the state NHB office and the application with project cost more than that will be directly sent to NHB headquarter at 74

Gurgaon. It takes around one month from the receipt of application or inspection report to get LOI The farmer will be able to get the loan under this scheme only when he is having a letter of Intent issued by NHB.only the farmers who have applied for NHB subsidy and have got a valid LOI will be able to get loan under this program. Farmer to be funded under this program, he should have his own land and land cost should not be more than 10% of project cost if the land is purchased.this may be the case if the project is not completed as per NHB guidelines. If the subsidy is not released at completion of the project, the farmer will pay all the loan amount in regular instalments as applicable earlier. he can apply for a new loan but the earlier project/ projects should be operational and should not be abandoned. Husband and wife can also apply for loan for two different projects only if both are paying income tax seperately. The facility would be secured by For all the crops other than papaya and banana, the maximum tenure of loan is 7 years. For Papaya and banana, the maximum tenure of the loan is 3 years. ICICI Bank loans for funding long-term horticulture projects come to you at attractive rates of interest that are based on the prevailing market situation. The borrower shall pay to the bank interest on the loan outstanding at the rate stipulated by ICICI bank at the time of disbursement. Interest is charged on a half-yearly reducing balance basis. Every instalment that is paid has a component of principal and interest.

Interest is charged on the principal outstanding after payment of every instalment.

When the loan is disbursed, you will receive a schedule of repayment that will give details of how the interest has been charged over the tenure of the loan.

When the subsidy is received, it will be apportioned with the loan amount equivalent to 75

the subsidy amount.there is a nominal one-time file-processing fee that needs to be paid, which is inclusive of service tax. Within 24 hours subject to submission of complete documents and completion of Field Investigation (FI) Your spouse or any blood relative of yours or can be the co applicant. Blood relatives include your father, mother, brother and son.

Hypothecation of the Horticulture Project (A Board displaying the Hypothecation of Horticulture Project to ICICI Bank Ltd. shall be put up at the project site.)

First charge on agriculture land equal 200% value of loan amount. 10% of loan amount as Liquid Collateral in form of Kisan Vikas Patra / National Saving certificate / LIC Policy / RBI relief bonds or any such other liquid securities acceptable to the bank subject to prevailing RBI Guidelines duly discharged and lien marked in favour of ICICI Bank Ltd.

Two undated cheques as security PDC shall be obtained from the main applicant. It has been observed that a farmer in spite of having LOI from NHB is not able to obtain NHB subsidy because of various reasons (apathy, lack of awareness of procedure etc) related to lending institution. A facility of balance loan transfer to the farmers is available. Balance loan transfer from any other Bank and Financial Institutions (Private Bank, Public Sector Banks, and Cooperative Banks etc) for all regular account will be allowed under the program, provided he fits in the selection criteria mentioned in program. This will be further secured by way of a Fixed Deposit equivalent to the loan outstanding along with other security (except the liquid security) as prescribed in the program note. ICICI can allow you to pre-pay your loan at any point of time during the tenure of the loan.8% on the outstanding overdue amount Reducing balance is a method of charging and calculating interest where the interest is charged on the outstanding principal amount after an installment has been paid. Under this method, you pay interest only on the loan amount which is outstanding, and not on 76

a flat interest basis. IT is mandatory for you to open an account with ICICI Bank. At any branch that you may specify. However, you can operate the loan and repayments from any of our branches under our Anywhere Banking facility. Considering the significant shift in the crop profile in certain states with an increasing share going towards horticulture crops, ICICI Bank has now launched the program in states like Andhra Pradesh, Maharashtra, Gujarat, Karnataka, Tamilnadu, Rajasthan, Madhya Pradesh, Uttaranchal & Himachal Pradesh which are comparatively advanced in horticulture and are the target states by Government of India for enhancing horticulture acreage by providing better support package. The program is meant to meet the long term funding requirement of farmers engaged in commercial cultivation of NHB subsidy linked long-term horticulture crops.. ELIGIBILITY

Any individual aged 18 years or above at the beginning of the tenure and below 65 years by the end of the tenure. If the applicant is above 65 years, one of the legal heirs should sign as co-borrowers.

The purpose of the loan should be for commercial cultivation of NHB subsidy linked long-term horticulture crops along with irrigation infrastructures like drip irrigation sets.

The farmer having Letter of Intent (LOI) from National Horticulture Board (NHB)for the mentioned project will be eligible

The borrowing farmer should have a minimum land holding of 5 acres Irrigated Agriculture Land under Horticulture (Irrigation shall be through other than rain fed water).

The borrowing farmer or any of his/her close relatives must own land; close relative defined as parent, spouse, brother or son.

The borrowing farmer should be able to provide the necessary documents required for processing of loans.

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GUARANTOR

Personal Guarantee will be required from a blood relative/friend of equal amount of the loan exposure.

LOAN AMOUNT

The loan amount varies from customer to customer depending on the project cost.

Individual term loan amount will be maximum 60% of the total project cost Loans are for the cultivation of horticulture crops like Mango, Aonla, Mosambi, Sapota, Pomegranate, Lemon, Guava, Pine apple, Orange, Grapes, Banana, Papaya ,Ber, Fig, Litchi along with irrigation infrastructures like drip irrigation sets.

DOCUMENTATION DOCUMENTS TO BE COLLECTED PRE-SANCTION ACCOMPANYING DOCUMENTS

Final Loan Application form Letter of Intent (LOI) under the scheme "Development of Commercial Horticulture" from National Horticulture Board (NHB)

Copy/details of the horticulture project Self-attested copies of proof of income (land records / revenue certificates / income tax returns / salary slips)

Account statement Documents related to collateral Title deeds of the land - 7/12 extract, 8A

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SUPPORTING DOCUMENTATION 1. Proof of identity of borrower/co-applicant - Any one of the following:

o o o o o o o o o o

Driving licence Passport Voter ID card PAN card Photo ration card Fixed (landline) telephone bill Post-paid mobile bill Bank passbook LPG connection certificate Signature by the Villager Sarpanch / Mukhiya / Village Agricultural Officer across the photograph of the applicant certifying his identity and proof of address. KYC norms to apply as per approved PAC note on RMAG KYC.

2. Passport-size photograph of borrower(s)/co-applicant - Mandatory for all the borrowers Proof of land holding - Land documents 3. Proof of asset ownership - Asset title papers 4. Proof of of residence of borrower/co-applicant - Any one of the following :
o o o o o o o o o o o o o o o

Driving licence Passport Voter ID card PAN card Photo ration card Photo credit card Fixed Landline telephone bill Post paid mobile bill Electricity bill Printed LIC policy receipt Bank passbook LPG connection certificate Credit card billing statement Society maintenance bill Lease agreement copy 79

5. Field investigation report validating nativity and proof of residence 6. Signature verification - Any one of the following:
o o o o o o o

1.Banker's verification - mandatory 2.Thumb impression of the borrowing farmer duly notarized by notary 3.PAN card 4.Passport 5.Photo credit card 6.Driving licence 7.Copy of the Board authorization giving names and signatures of persons authorized to sign.

7. Income proof - Any one of the following:

o o o o o

IT Returns of the borrowing farmer Bank statements Salary slip Cash flow of the farmer (self attested) Land documents as applicable in the state

8. RCU report - RCU of Letter of Intent (LOI), Bank statements DOCUMENTS TO BE COLLECTED AFTER SANCTION 1. Credit Agreement Letter on Bank's letterhead accepted by the borrower. 2. Account-opening form of the borrower (if the borrower opens a savings account)
o o o o

Duly filled account opening form KYC norms to be met as per the approved PAC note on RMAG KYC A cheque in favour of ICICI Bank Ltd. Two passport-size photographs.

3. Deed of Hypothecation Agreement for hypothecating the acquired assets in favour of ICICI Bank Ltd. on stamp paper of the value indicated as per the sanction norms 4. Credit Facility Application Form with standard terms and conditions 5. Demand Promissory Note - Signed by the borrower on a revenue stamp as per the format given 6. Cash collateral - Cash Collateral Account to be opened in the name of the borrowing farmer, of value equivalent to 40% of the loan amount and lien marked 80

in favour of ICICI Bank. 7. Post-dated cheques (PDCs) - 14 in number, three for interest and eleven for interest plus principal 8. PDC declaration 9. Vernacular declaration 10. Authority letter for Term Deposit 11. End use / Fund utilization letter 12. Subsidy declaration A declaration-cum-undertaking would be taken from the borrower stating that ICICI Bank is not responsible for non-receipt of subsidy. 13. Creation of Charge over agriculture land Mortgage of agriculture land in Gujarat to be created as per the procedure indicated in the DMS: Mortgage Instruction Manual 14. Assignment/Transfer/Lien Documents for - LIC, KVP, NSC, RBI bonds 15. Personal Guarantee (if any) If the borrowing farmer has availed of a loan from any bank/finance company earlier, providing the track record of the loan repayment can significantly improve his credit assessment. LOAN APPROVAL Our large network of sales and verification personnel ensure that loans are approved in the shortest time possible. ICICI have Credit Managers stationed at all important locations, who will ensure this. This localized approval is one of the main factors which allow us to give customers quick and consistent service through our channel partners. RATES AND FEES The borrower shall pay to the bank interest on the loan outstanding at the rate stipulated by ICICI bank at the time of disbursement. It will be our endeavor to get the best possible rate of interest for customers.

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RATES AND FEES

As different crops having different gestation period ICICI propose to have tenure and moratorium accordingly. Crop specific tenure and moratorium & per acre project cost for calculation of scale of finance.

CROP TENURE, MORATORIUM MATRIX Sr No 1 2 3 4 5 6 7 8 9

Crops Sapota Aonla Mango Mosambi Lemon Pomegranate Banana Papaya Pineapple

Tenure of loan 7 years 7 years 7 years 7 years 7 years 7 years 3 years 3 years 7 years 7 years 7 years 7 years 7 years 7 years 7 years

Moratorium in Months 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6

10 Orange 11 Guava 12 Grapes 13 Ber 14 Fig 15 Litchi

The interest and principal will be recovered through equated half yearly installments (EHIs).

Payable by post-dated cheques (PDCs) / instructions of direct debit to ICICI Bank account.

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PDCs would be stored and lodged via the PDC factory route centrally on the due date.

There are penalties for late payment of dues.

APPLICATION PROCESS The application is to be made through ICICI Bank personnel who will guide the borrowing farmer through the process of applying for the loan.

All formalities will be completed at the borrower's doorstep.

6. RETAIL WAREHOUSE RECEIPT BASED FINANCE

Warehouse receipt based finance provides farmer/agri enterprises an opportunity to avail loan against the produce. By offering the product ICICI Bank helps farmers / Agri-enterprises to realize better prices and avoid distress sale. The product is available either directly or through Warehouse Marketing Agent (WMA), who are locally present and have prior experience in handling commodities.

Salient features of this loan product are:

Financing around 72 different type of commodities. Financing being done across 200 districts in the country. Funding extended against commodity stocked in Private /Government warehouses /Cold storages.

Fast processing of loan pan India basis. Loan is also available for Demat stocks.

BORROWER ELIGIBILITY

Farmers Agri-enterprises/Processors Traders

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ELIGIBILITY CRITERIA FOR (WMA)

Commodity intermediary/Warehouse owner/ End user of the commodity Minimum 2 years nativity and business continuity Good market reputation Good network with traders and farmers

LOAN AMOUNT For farmers, maximum up to Rs. 1.0 million For Traders/Processor/Agri enterprises, maximum up to Rs. 50.0 million DOCUMENTATION DOCUMENTATION FOR BORROWER

Preliminary credit application form Standard terms and conditions Final credit application form Constitution Documents of the firm/company

DOCUMENTATION FOR WMA

Application for appointment WMA agreement Guarantee PDC declaration Security documents Constitution Documents/company

LOAN APPROVAL

Our large network of sales and verification personnel ensure that your loan is approved in the fastest time possible.

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REPAYMENT Repayment has to be done within 6 months from the date of disbursement.

RATE OF INTEREST ICICI offer a competitive rate of interest to our customers. This interest rate can vary depending on the prime lending rate, the loan amount and the underlying collateral. APPLICATION PROCESS

The easiest way to apply for a commodity loan is to visit your nearest ICICI Bank branch and contact the RMAG officials. They will be able to help you with the best finance options to suit your requirements.

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3. RESEARCH METHODOLOGY
TITLE OF THE STUDY DURATION OF THE STUDY OBJECTIVES OF THE STUDY TYPE OF RESEARCH SAMPLE SIZE AND METHOD OF SELECTING SAMPLE SCOPE OF STUDY LIMITATION OF STUDY

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3.1 TITLE OF THE STUDY

The title of the study is Rural finance provided by ICICI bank

3.2. DURATION OF THE STUDY

The duration of the project training was 20 days undertaken to accomplish the title and objective.

3.3 OBJECTIVE OF THE STUDY

"Creating awareness about ICICI Rural Loans and to know the people behavior towards ICICI and to determine the market potential in Rural areas."

3.4. TYPE OF RESEARCH

It refers to the search for knowledge. It can be defined as scientific and systematic search for pertinent information on a specific topic. It is careful investigation or inquiry through search for new facts of any branch of knowledge. Research plays an important role in the project work. The results of the project are completely based upon the research of the facts and figures collected through the different ways of research. That is why it is also called a movement from known to unknown. Research is the original contribution to the existing stock of knowledge. This section includes the overall research design, the sampling procedure, the data collection method, the field method, and analysis and procedure.

RESEARCH is a scientific and systematic search for pertinent information on a specific topic. It is also said to be the pursuit of truth with the help of study, observation, comparison and experiment. research methodology is a way to systematically solve the research problem. Research design; - A research design is a framework or blueprint for conducting the marketing research project. It details the procedures necessary for obtaining the required information, and its purpose is to design a study that will test the hypotheses of interest, determine possible answers to the research questions, and 87

provide the information needed for decision making. Conducting exploratory research, precisely defining the variables, and designing appropriate scales to measure them are also a part of the research design. The issue of how the data should be obtained from the respondents (for example, by conducting a survey or an experiment) must be addressed. It is also necessary to design a questionnaire and a sampling plan to select respondents for the study.

Research can classify in one of three categories: Exploratory research Descriptive research Causal research These classifications are made according to the objective of the research. In some cases the research will fall into one of these categories, but in other cases different phases of the same research project will fall into different categories. Exploratory research has the goal of formulating problems more precisely, clarifying concepts, gathering explanations, gaining insight, eliminating impractical ideas, and forming hypotheses. Exploratory research can be performed using a literature search, surveying certain people about their experiences, focus groups, and case studies. When surveying people, exploratory research studies would not try to acquire a representative sample, but rather, seek to interview those who are knowledgeable and who might be able to provide insight concerning the relationship among variables. Case studies can include contrasting situations or benchmarking against an organization known for its excellence. Exploratory research may develop hypotheses, but it does not seek to test them. Exploratory research is characterized by its flexibility. Descriptive research is more rigid than exploratory research and seeks to describe users of a product, determine the proportion of the population that uses a product, or predict future demand for a product. As opposed to exploratory research, descriptive research should define questions, people surveyed, and the method of analysis prior to beginning data collection. In other words, the who, what, where, when, why, and how aspects of the research should be defined. Such preparation allows one the opportunity to

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make any required changes before the costly process of data collection has begun. There are two basic types of descriptive research: longitudinal studies and crosssectional studies. Longitudinal studies are time series analyses that make repeated measurements of the same individuals, thus allowing one to monitor behavior such as brand-switching. However, longitudinal studies are not necessarily representative since many people may refuse to participate because of the commitment required. Cross-sectional studies sample the population to make measurements at a specific point in time. A special type of cross-sectional analysis is a cohort analysis, which tracks an aggregate of individuals who experience the same event within the same time interval over time. Cohort analyses are useful for long-term forecasting of product demand. Here I use descriptive type of research design

3.5 SAMPLE SIZE AND METHOD OF SELECTING SAMPLE

SAMPLE SIZE: - Sampling is simply the process of learning about population on the basis of learning about population on the basis of a sample drawn from it. The primary objective of the sampling survey is to obtain accurate and reliable information about universe with minimum cost, time and energy and to set out the limits of accuracy of such estimates. For sampling I have chosen non-probability sampling technique. Non probability sampling is based on the personal judgment. Under this method a desired number of sample units are selected deliberately depending upon the object of the enquiry so that only the important items representing the true characteristics of the population are included in the sample. Non-probability sampling is of two types:

purposive sampling quota convenience sampling

I have chosen convenience sampling under non-probability sampling technique keeping all constrains in mind a sample size of 100 people is selected from Jaipur. This sample contains a mix type of customer (Servicemen, student and

businessmen) so as to remove any type be biased results. Research for the 89

Importance of the Brand image of the companys which is kept in mind by customers while buying any product. It was very difficult to get the actual feedback from the customer. Thats why I have designed a Questionnaire for the customers. As customer is king of the market. Today every product is made according to desire or need of the company. And customers have varied taste. Only consumers satisfaction can predict the actual scenario of the market.

Method of selecting sample: - Two methods of collecting data used for this research are as follows: PRIMARY DATA Data is collected primarily through personal contact, meeting, interview and questionnaire with the concerned authority of the organization and respondents. SECONDARY DATA Data are collected through secondary modes such as various published data, reports, related books and websites.

3.6. SCOPE OF STUDY

The scope of the project during the research and study will be focused on the following parameters: To know consume preference regarding Rural Finance To know what features and services attract the customers Effect of brand image (ICICI)in buying behavior Impact of advertisement in buying behavior Impact of celebrity endorsement in buying behavior Effect of family &friends in buying behavior (Focus group)

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3.7 LIMITATION OF STUDY

1. Rural area is scattered. 2. Language barrier. 3. Level of literacy was less. 4. Proper sources are not available. 5. People do not belief on outsiders. 6. People are not aware about ICICI bank. 7. Lack of advertising.

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4. FACTS AND FINDINGS

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FACTS & FINDINGS

1. No of people in a sample is 100 out of them 21% are between age of 25-35 , 27% are between 35-45 , 32% are between 45-55 and rest are of above age of 55.

2. Regarding the profession 34% people are doing the farming work. And after them 25% & 12% people are doing the business of dairy and poultry farming respectively. 21% people are govt employees and rest 85 belong to other professions.

3. The above graph is showing the income level of people the highest no of population 41% are earning more than 200000rs per annum.

4. After the independence still the highest no of population (32%) is taking loan from money lenders. After them highest no loan are taken 26% from govt banks. After them gramine banks come.

5. Purpose of loan is still the tractor which is taking the highest place 37%. Seeds and dairy equipment comes after them at 24% & 16% respectively. And others reasons stand on 23% which includes home, motorcycle, jeeps, mini vans etc.

6. 67% people are still not believing in private banks and they are not willing to take loan from them.

7. The highest no of people 32% are take loan for more than 5 years.after time interval for which people took loan is 3-5 years. That is 31% of respondents. Rest are of 23% and 14% are took loan for 2-3 and 1-2 years respectively.

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8. Before taking loan people 34% people look in to brand and 25% look for service.21% looks for interest rate and rest people look into other features.

9. People are still preferring the SBI as there main bank to take loan. 10. 83% people still not aware about ICICI rural loans. 11. People who are aware about ICICI rural loans out of them 21% will get knowledge from friends.

12. Lack of advertisement is main causes why people are not aware about ICIC loans.

13. People are not aware about ICICI products.

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5. ANALYSIS AND INTERPRETATION

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ANALYSIS AND INTERPRETATIONS

1. AGE PROFILE ?

AGE PROFILE
20% 21% 25-35 35-45 32% 27% 45-55 55& above

INTERPRETATION

No of people in a sample is 100 out of them 21% are between age of 25-35 , 27% are between 35-45 , 32% are between 45-55 and rest are of above age of 55.

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2. PROFESSION ?

Profession Farming Govt/Public Dairy Poultry Farming Others

NO OF RESPONDENT BY PROFESSION 34% 21% 25% 12% 8%

NO OF RESPONDENT BY PROFESSION
8% 34% FARMING GOVT/PUBLIC 25% 21% DAIRY POULTRY FARMING OTHERS

12%

INTERPRETATION

Regarding the profession 34% people are doing the farming work. And after them 25% & 12% people are doing the business of dairy and poultry farming respectively. 21% people are govt employees and rest 85 belong to other professions.

3. INCOME LEVEL ? (PER ANNUM)

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Income Level 10000-50000 50000-100000 100000-200000 200000 & above

No. of person in percentage 12% 23% 24% 41%

INCOME LEVEL (PER ANNUM)

12% 41% 23% 10000-50000 50000-100000 100000-200000 24% 200000&above

INTERPRETATION The above graph is showing the income level of people the higest no of population 41% are earning more than 200000rs per annum.

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4. FROM WHERE PEOPLE TAKE LOAN ?

Banks Pvt. Banks Govt. Banks Gramine Banks Money Lenders

No. of Person taking loan from various bank 18% 26% 24% 32%

NO. OF PERSONS TAKING LOAN FROM VARIOUS BANKS

32% 18% PVT.BANKS 26% 24% GOVT BANKS GRAMINE BANK MONEY LENDERS

INTERPRETATION After the independence still the highest no of population (32%) is taking loan from money lenders. After them highest no loan are taken 26% from govt banks. After them gramine banks come.

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5. PURPOSE OF LOAN ?

Purpose of Loan Tractor Dairy Equipments Seeds Others

37% 16% 24% 23%

PURPOSE OF LOAN

23%

37%

TRACTOR DAIRY EQUIPMENTS

24% 16%

SEEDS OTHERS

INTERPRETATION

Purpose of loan is still the tractor which is taking the highest place 37%. Seeds and dairy equipment comes after them at 24% & 16% respectively. And others reasons stand on 23% which includes home, motorcycle, jeeps, mini vans etc.

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6. ARE PEOPLE WILLING TO TAKE LOAN FROM PVT. BANKS ?

No. of People willing to take loan Yes No

Percentage 67% 33%

PEOPLE WILLING TO TAKE LOAN

33%

YES 67% NO

INTERPRETATION 67% people are still not believing in private banks and they are not willing to take loan from them.

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7. HOW MUCH LOAN DO YOU WANT TO TAKE ?

Amount of loan 5000-25000 25000-50000 50000-10000 10000-150000 Above 150000

No. of respondent 7% 17% 29% 27% 20%

Amount of loan people take

35 30 no of respondents 25 20 15 10 5 0

amount of loan

INTERPRETATION The amount of loan people took in rural areais very scattered.

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8.FOR WHAT TIME INTERVAL YOU HAVE TAKEN LOAN ?

Time Interval 1-2 years 2-3 years 3-5 years More than 5 years No. of Respondent 14% 23% 31% 32%

TIME INTERVAL OF LOAN

14% 23% 1-2YEARS 2-3YEARS 3-5YEARS 31% MORE THAN 5YEARS

32%

INTERPRETATION

The highest no of people 32% are take loan for more than 5 years after time interval for which people take loan is 3-5 years. That is 31% of respondents. Rest are of 23% and 14% are took loan for 2-3 and 1-2 years respectively.

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9.BEFORE TAKING LOAN FROM A PARTICULAR BANK, PEOPLE LOOK INTO ?

Brand Service Interest Rate Others

No. of Respondent 34% 25% 21% 20%

40 35 30 25 20 15 10 5 0 Brand Service Intrest Rate Others no of respondent

INTERPRETATION

Before taking loan people 34% people look in to brand and 25% look for service.21% looks for interest rate and rest people look into other features.

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10.HAVE YOU EVER TAKEN LOAN FROM ANY OF THE FOLLOWING COMPANIES ?

SBI Rural Co-operative Banks SBBJ Rajasthan Bank HDFC Others

No. of Respondent 37% 18% 24% 11% 4% 6%

PEOPLE TAKE LOAN FROM DIFFERENT COMPANIES

4% 11% 6% 37% SBI RURAL CO-OPERATIVE BANKS SBBJ RAJASTHAN BANK HDFC OTHERS

24% 18%

INTERPRETATION

People are still preferring the SBI as there main bank to take loan.

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11.DO YOU KNOW ABOUT ICICI RURAL LOANS ?

Yes No

No. of Respondent 17% 83%

KNOWLAGE ABOUT ICICI RURAL L0ANS

17%

YES 83% NO

INTERPRETATION

83% people still not aware about ICICI rural loans.

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12..IF YES, THEN HOW ?

Advertisement Friends Others

6% 20% 74%

Chart Title
80% 70% 60% 50% 40% 30% 20% 10% 0% OTHERS ADVERTISMENTS Axis Title FRIENDS

INTERPRETATION

People who are aware about ICICI rural loans out of them 21% will get knowledge from friends.

Axis Title

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6. SWOT ANALYSIS

108

SWOT ANALYSIS
(Strengths, Weakness, Opportunities, Threats)
A.

STRENGTHS
ICICI Bank has excellent brand awareness and high quality image. ICICI Bank has excellent market coverage all over the world and covers a lot on the globe.

The company stands No. 1 in infrastructure. Advanced Technology Providing innovative products & Services Vast pool of skilled manpower

B.

WEAKNESS
ICICI Bank's product line is not clearly positioned compared with HDFC and IDBI

It needs a unique selling proposition. Too many competitors High cost of funds Low international credit ratings and Bureaucratic procedures

C.

OPPORTUNITIES
Consumers are showing increased interest in some good schemes of ICICI Bank.

Company develops a device for measuring illumination level. Liberalization of the economy Growing banking sector Use of foreign earnings for investment in foreign activities 109

ICICI uses technology to provide value-added service to its customers. For ICICI; technology is an integral part of their business

D.

THREATS
Expansion always brings high risk with itself so that is to be checked. Major prolonged economic depression. Domestic political dominance Competition from other industry rivals like HDFC. Competitors superiority in services and operations

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7. CONCLUSION

111

CONCLUSION
While these design principles may be consistent with many on-ground configurations pursued by other institutions, ICICI Bank has chosen the following:

1. ICICI Bank and its Group Companies to be the providers of deposit taking and insurance services and therefore warehouse all the attendant risks. Since as on June 30, 2006 its assets are USD 60 billion and its networth exceeds USD 5 billion and its rating is AAA it is in a good position to absorb these risks. As on date, ICICI Bank has built a portfolio exceeding Rs.16,000 crore in rural finance of which Rs.2,500 crore is to low-income families and has a customer base exceeding 2.5 million clients.

2. Develop a relationship with a network of local institutions (both urban and rural), which could be cooperative banks, producer cooperatives, non-bank finance companies and not-for-profit civil society organisations to actually distribute these services. A combination of these partner institutions, rural hub branches at a cluster level and agents (such as tractor dealers) appointed by the bank represent the core of its No White Spaces strategy that aims to cover 200 districts by 2007. Under this strategy, the bank plans to have at least one touch point (collectively referred to as ICICI Bank Grameen Kendras which may belong to ICICI Bank or to partners) every 3-5 kilometres in rural and semi-urban areas. If the model succeeds this implies that the number of ICICI Bank Grameen Kendras capable of offering a reasonably complete suite of financial services would exceed 50,000 (or 1 for every 10 to 12 villages) by March 2007 and the customer base could exceed 25 million by 2010.

3. For the lending business, use the "partnership model" to build incentive compatibility with the local institution that is delivering this specific financial service. This design draws on the separation of functions discussion in the preceding section. The partnership model leverages the local information and cost structure of a local financial institution in order to unlock the financing ability latent in the commercial 112

banking sector. The model has been designed with the feature of the local institution sharing risk with the bank so that there is careful origination and supervision on an ongoing basis.

4. For deposit taking work with a variety of local institutions to provide these services under the Business Correspondent model. Business Correspondents are agents identified by the bank to provide basic banking services such as opening bank accounts, collecting savings deposits offering insurance products in rural areas. ICICI Bank takes full responsibility for its correspondents business conduct. The bank has already launched this service in Orissa and Andhra Pradesh.

5. Similarly in insurance, ICICI Bank and its group companies ICICI Prudential Life InsuranceCompany and ICICI Lombard General Insurance Company work with local institutions for design and delivery of insurance products - under the bancassurance model these policies will be sold at the ICICI Bank Grameen Kendras. Given the peculiar challenges of health insurance delivery, it has worked with hospital networks and third-party administrators to coordinate quality of health care as well.

6. In order to facilitate better price discovery and price risk management for farmers, ICICI Bank co-promoted the National Commodity and Derivates Exchange (NCDEX) jointly with National Bank for Agriculture and Rural Development (NABARD), the National Stock Exchange (NSE) and Life Insurance Corporation (LIC). NCDEX along with its affiliate National Commodities Management Services Limited (NCMSL) is attempting to improve access to price derivatives for farmers, facilitate commoditybased finance through banks, provide weather stations and improve the warehousing infrastructure.

7. For its work in product development, ICICI Bank has combined its expertise in financial engineering with the insights generated by its partners and allied research institutions. To date, ICICI Bank and its group companies have designed and are taking to scale products including the following: 113

(a) index-based rainfall insurance (b) catastrophic health insurance (c) working capital facilities for agriculture traders (d) working capital facilities for craftspeople and artisans (e) take-out finance for start-up local financial institutions (f) warehouse receipt based financing (g) credit to low income households through partnership model (h) savings to low income households through banking correspondent model 8. It is ICICI Banks belief that in order to improve efficiencies in financial intermediation, especially in the context of small unsecured loans, the role of technology is crucial. ICICI Banks initiatives in technology may be broadly thought of in two categories: 1. Front-end technology investments this includes issuance of smart cards with unique identifiers to its clients that help the client track financial services usage data on a real-time basis as well as sharing of credit information across ICICI Banks network. 2. Back-end technology investments this relates to investment in creating better core banking systems among its partner institutions. This enables more efficient data capture and sharing and reduces margin of error on transactions. ICICI Bank has collaborated with FINO; a company that seeks to provide front-end (smart card, point-of-sale terminals), back-end (banking software, performance management and reporting, MIS) and information services (credit bureau) to community based financial institutions and is now looking to partner with NABARD, State Bank of India and the Credit Information Bureau of India Limited (CIBIL) to try and see if FINO could, as in the case of NCDEX, become a provider of these technology services on a system wide basis particularly to cooperative banks and non-bank finance companies engaged in the business of lending to and collecting savings from small borrowers. The participation of the RBI and NABARD in some of these initiatives that have a systemic benefit would be an accelerator of access to finance.

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9. ICICI Bank is conscious that working in rural India and with poor households is fairly uncharted territory. It has tried to base its growth strategies on systematic results of what works at household and local economy levels. In order to catalyse high-quality work in this area, it works closely with research centres that systematically research issues related to access to finance. These centres are housed within the Institute for Financial Management and Research (IFMR) and they seek to provide thought leadership to all institutions working in this field.

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8. SUGGESTIONS AND RECOMMENDATIONS

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SUGGESTIONS AND RECOMMENDATIONS

Firstly I could observe that the general level of awareness among the people regarding ICICI RURAL FINANCE brand is low, therefore the brand should focus on advertising both at the central as well as local Level.

We know that the products and services offered by the company are the best but more or less similar are offered by other company as well , so promotional campaigns are must in this era of stringent competition.

We know that in this world of intense competition everyone is trying to prove itself best its respective field therefore we can conclude that there is always an edge of improvement and hence the brand should work on that. Establish and coordinate business relation with big corporate houses across the country .ICICI can improve upon its efficiency by not changing its staff frequently. By doing this company can continue to create, maintain and grow strong relationship with its existing customers. Idea behind this is that staff which is already working for company is well acquainted with the nature and wants of the existing customers. The rural finance concept must be specifically promoted. The general perception of rural finance has to change in India before progress is made in this field. People should not be afraid to invest money in insurance and must use it as an effective tool for tax planning and long term savings. ICICI RURAL FINANCE could tap the rural markets with cheaper products and smaller policy terms. There are individuals who are willing to pay small amounts as interest rates but the plans do not accept interest below a certain amount. This was a general conclusion drawn during prospecting clients. ICICI should chalk out some programs to create general awareness regarding its presence and various services of the company. Today is the era of competition. In order to increase the company network (In terms of clients and business volumes) an aggressive approach is required.

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The Bank should recruit more number of marketing personnel so that they can cover the whole of the city and nearest villages of Jaipur. Personal marketing can be one of the methods of modes of taking people into confidence.

ICICI should try to make its promotional activities more effectively. It can use industrial magazine media as an advertising tool for approaching is market segment.

Try to reduce hidden charges so as to satisfy the customers more effectively.

It should regularly conduct market research and surveys for knowing customers better and for facing threat from competitors.

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9. APPENDIX

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QUESTIONNAIRE
Personal Details: Name: Address: Contact No: Profile of respondent: Student Housewife Working Professional Business Self Employed Government employee

1) Preferred company for rural finance ? (a)ICICI Bank (b) HDFC (c) NABARD (d) others

2) Age group? (a)18-24 (b)25-35 (c)36-45 (d)46-57(e)58 & above

3) Do you compare the financial products of one company with another before purchasing them ? (a)Yes (b) No

4) From where do you get the knowledge of financial products ? (a) Print media (b) electronic media (c) both (d) others

5) Who motivate you for Purchasing rural financial product ? (a) Agent (b) relative (c) others

6) How do you see rural finance ? (a)As an Investment (b) As a Need (c) Both (d) As a Expense

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7) Income per Month ? (a)Below 50,000 (b) 50,000-1, 00,000 (c) More than 1, 00,000

8) Amount of rural fianance in lakhs already have ? (a) One (b) Two (c) Three (d) More

10) Reasons behind the selection of the particular rural financial product ? ___________________________________________________________________ ___________________________________________________________________ __________________

11) In which kind of company would you prefer to take rural finance ? a) b) c) d) Government owned company Public Limited Company Private Company Foreign based company

12) How much would you be willing to spend per annum if you were to go for an investment/insurance plan ? a) b) c) d) Less than Rs. 10,000 Rs. 11,001 Rs.50000 Rs. 50,001 Rs. 100,000 Rs.100,000 & more

13) Typically what kind of returns would you look at from your investments ? (Please note: Higher returns involve greater risk) a) b) c) d) Less than 10% 11% - 20 % 21% - 30 % 30% & more

14) Which according to you is an ideal policy term ? (Number of years you would be willing to pay premium) a) b) c) d) 3 to 10 years 11 to 20 years 21 to 30 years 30 years

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10. BIBLIOGRAPHY

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BIBLOGRAPHY
BOOKS
Barley, Fundamental of investment, pearson third edition Haugen, Morden investment theory, pearson sixth edition Mathew,M J, Fundamental of insurance, Tmh second edition

MAGAZINES
Business Today Business India Economic Times Material provided by the company Business World

WEB SITES
http://www.cgap.financialexpress.org/news http://en.wikipedia.org/wiki http://www.slideshare.net/icici.org http://www.indiacore.com/abouticici

SEARCH ENGINES
www.google.com

www.yahoo.com

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