ICICI

BANK

e-Finance for Development

- An Indian Perspective
TABLE OF CONTENTS
INTRODUCTION
OBJECTIVE
ACQUISITION
FUNCTIONAL ACTIVITIES
OPERATIONAL ACTIVITIES
PROMOTIONAL ACTIVITIES
RECOGNITION
BANKING SEGMENTS
SUBSIDERIES
STRATEGIC FRAMEWORK
ONLINE PRODUCTS
KEY TRENDS & FORCES
ICICI-An Introduction
Industrial Credit and Investment
Corporation of India,

It is a major banking & financial services

organisation in India formed in 1954
It is the second largest bank in India
It is the largest private sector bank in India
OBJECTIVE
In 1954, ICICI Ltd was incorporated at the
initiatives of world bank , Govt of India &
representatives of Indian Industry with the
objective of creating a development financial
Institution for providing medium term & long
term project financing for Indian Business.
ACQUISITION
2005 - Investitsionno-Kreditny Bank (IKB), a
Russian bank
2007 - Sangli Bank , Maharashtra State
23 May - Bank of Rajasthan
FUNCTIONAL ACTIVITIES
Its shares are listed on the stock exchanges at BSE,
NSE, Kolkata & Vadodara
ICICI Bank undertake normal banking operations

taking deposits, credit cards, car loans etc

OPERATIONAL ACTIVITIES

The bank has a network of 2016 branches (as on

31st mar 2010) & 5219 ATMs in India & presence
in 18 countries
On 23 may 2010, ICICI Bank announced that it

will merge with Bank of Rajasthan through a share

swap in a non cash deal that values the Bank of
Rajasthan at about Rs 3000 crore. ICICI
announced that the merger expand ICICI Banks
branch network by 25%
PROMOTIONAL ACTIVITIES
It is the largest issuer of credit cards in India
It is one of the big four banks of India, along with

SBI, PNB & Canara Bank- its main competitors

RECOGNITION
The Brand Trust Report , launched in 2011, has
ranked ICICI in the 15th place as the most trusted
brand of India.
ICICI Bank is one of the Big Four Banks of India,

along with State Bank of India, Punjab National

Bank Bank of India and Canara Bank its main
competitors
BANKING SEGMENTS

Retail Banks -> 58% of revenue

Small Enterprises -> 8% of revenue
Corporate Banks & Project Finance -> 13% of

revenue
International Banks -> 21% of revenue
SUBSIDERIES
On 18th oct 2010 ICICI inaugurated
I-Express, an instant cross-border money transfer
option for NRIs
ICICI Lombard GIC Ltd -> Largest private sector

general Insurance Company in India.

ICICI Prudential -> It was the amung the first

private sector life insurance companies to begin

operations in December 2000 after approval of
IRDA
 ICICI
Lombard
ICICI Lombard GIC Ltd
Type Public Listed Company
Industry Insurance
Founded 2001
Headquarters Mumbai, India
Key people Bhargav Dasgupta, MD
Products General insurance
Net income 144 crore (US$31.25 million)
Employees 4634 (as March 2010)
Parent ICICI Bank, Fairfax Financial
Website ICICI Lombard
 ICICI Lombard

ICICI Lombard GIC Ltd. is the largest private sector general

insurance company in India with a Gross Written Premium
(GWP) over 3,694.80 crore (US$801.77 million)as of March
2010.
The company issued over 44 lakh policies and settled over 62

lakh claims and has a claim disposal ratio of 96% of total

reported claims.
ICICI Lombard GIC Ltd. is a 74:26 joint venture between ICICI

Bank Limited, Indias second largest bank and Fairfax

Financial Holdings Limited, a Canada based USD 30 billion
diversified financial services company.
The company has strength of 4,634 employees working in 350

branches across India

Channels
Channel is the term used for the various
approaches a company uses to tap its customers.
ICICI Lombard uses a multi channel approach to
sales, service and other allied activities.
The channels used by ICICI Lombard can be

broadly stated as under:

Buying Insurance Online

ICICI Lombard was among the first companies to

make their insurance products available online in
India. ICICI Lombard has web-based systems to
meet all pre and post-policy transactional needs of
its customers. One can compare plans, get quotes,
buy, renew and keep a track of their insurance
policies online.
ICICI Lombard offers its customers retail general

insurance products online. These products are Car,

Two Wheeler, Health, Travel, Student Travel,
Personal Accident and Home Insurance
Telecalling
ICICI Lombard was the first general insurance
company in India to start telesales operations due
to its inherent profitability.
 ICICI Prudential
Type Private limited company

Industry Insurance

Headquarters Mumbai

Sandeep Bakshi, Managing

Key people
Director

Individual and Group

Products
Insurance Plans

Website Official Website

 ICICI PRUDENTIAL - AN INTRODUCTION

ICICI Prudential is the first private sector life insurance

companies to begin operations in December 2000 after
receiving approval from Insurance Regulatory Development
Authority (IRDA).
ICICI Prudential Life's capital stands at Rs. 4,780 crores (as
of September 30, 2010) with ICICI Bank and Prudential plc
holding 74% and 26% stake respectively.
The company has a network of over 1,500 offices and over
1,60,000 advisors, as on September 30, 2010. The company
has assets held over Rs. 65,000 crores as on September 30,
2010
 ICICI PRUDENTIAL
In June, 2009 ICICI Prudential Life Insurance has decided to
snap its tie up with TTK Healthcare to settle insurance claims of
its users.
ICICI Prudential's life insurance products may be loosely
categorized under three forms- Health Insurance, Life and
Retirement.
Under the Health Insurance category it offers products like ICICI
Pru Health Saver & ICICI Pru MediAssure.
Under the Retirement Insurance category it offers products like
ICICI Pru Forever Life & ICICI Pru LifeLink Pension.
Under the Life Insurance Category it offers plans like i-Protect
term plan, Pure-Protect and Life Guard.
ICICI Group - Development framework
Product lead approach for each sector
Small and Medium Enterprise (SME)
Agriculture and Micro Finance
Community Banking
Internet and Electronic Banking
Product and delivery technology dependent
Branch remote approach
Central processing centres enable optimum

monitoring

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SME - Strategic framework
Concerns Aspirations
Improve Quality Non capital intensive
Exit weak accounts growth
Improve yields Liability/ fee income
Reprice on RaRoC Cash management
benchmark product
Reduce delivery cost Innovative delivery
Web / call centre Smart / Credit cards
based delivery Web / call centre
delivery
Service relationships
Banker for services
rather than credit

21
 SME - Service & Delivery
Drop box point Information Processes all
trade related
High value cash Logging requests
requests for a city
transactions

Branch Call centre Trade finance

factory
Handles exceptions
Cross sells
Monitors accounts Processes all
pure credit
related requests

Account/ Relationship
manager
Customer Credit factory

Provide
For all Information support
transactions Logging backbone for
except high requests all transaction
value cash requests
Services
ATM RPC/CPC
Internet doorstep
Processing centres* deliveries

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 Online Products
Bill Junction Pay Seal Corporate Infinity
Utility bill electronic payment online transfer/
payments system settlement system

e-banking in ICICI

ICICI Markets Business Multiplier

ICICI Direct and
online FX, Debt, web interface
ICICI Select
SME Portal

23
Agri - Micro-credit initiatives
Innovative structure for micro-credit in rural
areas
Overcome the reach problem
Lower administration costs
Channels for delivering micro-credit
Sugar companies
Seed producers
Input companies
NGOs and micro credit institutions
These channels help build volumes, reduce costs and
monitor credit risk

24
Agri - Farmer Service Centres (FSCs)

FSC provides one stop solution to the farmer

Agri extension support
Inputs and other services
Credit
Market linkage
Rural infrastructure
These FSCs are promoted by Agri Input
suppliers , and avoids duplication of efforts by
different players

25
 Smart card solution for FSCs
Merchant Credit
Input
Store Debit
e-purse

Bank Account/
Farmer Service Center Credit History

Output Sale

Collect Money Online update of Bank accounts

26
Smart Cards An alternative
Difficulty in rural banking
Management of Cash
Cost of idle cash
Cost of cash handling infrastructure
Geographical spreads
Solutions through
Elimination/ reduction of cash handling
Innovation of low cost delivery channels
Smart Card - an ideal vehicle

27
Smart Cards at ICICI
Smart Cards launched in October 2000
Infosys Campus in Bangalore
Manipal Academy of Higher Education (MAHE)
New Initiatives
Satyam Smart Card
HPCL Petro Card
Work on multiple application card - Debit, Credit, E-
Purse and Loyalty

28
Internet Banking
First Bank in India to launch website - 1996
First Bank in India to launch Internet

Banking - 1997
First Bank in India to launch online bill

payment-1999
Only Bank in India with million online

customers
Monthly average transactions per online

customer- 7

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Channel Usage

Branch A TM C all C entres Net COP S

C ash Transactions
J an-02 18% 82% Nil
Apr-01 19% 81% Nil
Non Cash Transactions
J an-02 41% 33% 9% 7% 10%
Apr-01 50% 39% 6% 5% Nil

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KEY TRENDS & FORCES
Indian Companies increasing commercial
borrowing for both International & domestic
growth a key news for ICICI growth
RBI approval for new branches leads to increase in

low cost deposits

Interest rate fluctuations increase ICICI Bank debt

payments
PRESENTED TO
PRESENTED BY
CLASS
MISSRASHMI
ROLL NO.
SUMIT TUTEJA
MFC(P)
13
e-enabling the
economy
Thank You !!!