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INTRODUCTION TO PROJECT WORK

The Project Work is totally related to ‘RESEARCH’. A project is a research activity, which can be

analyzed independently. Research is discovery of facts. Project is the part of circular or degree program

that provides opportunities to investigate a problem applying knowledge in scientific manner. It gives

opportunities to student to learn in particular situation and art of concluding a study in a systematic

way and presenting its findings in project report. It is beneficial for student to in part certain skill,

develops the punctuality, skill of interaction, observation etc. It is an attempt to discover intellectual

and practical solutions to the problems through the application of Scientific Methods.

Dictionary meaning of project is speculative imagination, a scheme of something to be done, a

proposal for an understanding. Project is an economic activity with well definite objective having

specific beginning and end.

ACCORDING TO OXFORD DICTIONARY -

“Project Work is defined as careful investigation or inquiry especially through

search for new facts in any branch of knowledge”.

Hypothesis

1.5 RESEARCH METHODOLOGY

Meaning of Research

Research is a systematic structure of investigation undertaken in order to discover new facts. It provides a structure for decision-making. Research is an inseparable part of human knowledge.

Research means manipulations of things, concepts or symbols for the verification of knowledge. Research is a way of thinking. Today’s research becomes important activity in overall social life. Methodology is essential to perform any research activity. Method means system or order. Method means way of doing something. Research methodology provides a framework, to conduct a research. Methodology is the series of steps followed to attain the objectives of the social research. It is the line of steps followed to obtain the objectives of the social research. It is the line of action designed in such a way so that the researcher is able to collect the proper data and draw a right conclusion. It includes steps by the researcher right from the beginning to the conclusion and recommendation of the project report.

To collect information regarding this subject proper guidance from an authorized person is necessary. So, I visited to State Bank Of India, Indira Nagar.

1.6 SOURCES OF DATA COLLECTION

PRIMARY SOURCES

Observation Interview method. Questionnaire method.

SECONDARY SOURCES

Data collection is the essence of project work. The various ways of data collection are discussed below

PRIMARY SOURCES

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OBSERVATION

Observation technique is used where it is not possible for the researcher to go physically and collect the information. Observation becomes a scientific tool for the researcher to the extent that it serves a formulated research purpose, is planned systematically, is related to more general theoretical proposition, is recorded systematically and is subjected to check and controls on validity and reliability.

One great asset of the observational technique is that it is possible to record behavior as it occurs. Observation is not nearly something OR activity OR situation but it is watching, closely and systematically with the purpose in a given situation with the given resources observation is the basic method of obtaining information about the world around you.

Advantage of observation technique is that of simplicity, direct and ritualistic study, greater accuracy and therefore data more dependable.

1. INTERVIEW

Interview is one of the important and powerful tool for data collection in social research. It is a verbal method of collecting special data. It is direct method of enquiry. The person who is interpreting is called interviewer and the person who give the information is called interviewee. It is method where there is face-to-face conversation between more than one people. It is not only the words spoken but also that mutter gestures, facial expression, modulation of voice, rate of speech, etc. This technique is used to collect the information as per requirement and thus becomes possible for researchers to arrive at conclusion.

3. QUESTIONNAIRE METHOD:

This is one of the methods of collecting information directly by face-to-face conversation. In this method General questionnaire is prepared by covering all aspects of topic and requirements of user. Data regarding questionnaire can be collected directly from interviewee or by distributing the questionnaire to workers or staff.

SECONDARY SOURCES

“An published or unpublished work that is one step removed from the original source, usually describing, summarizing, analyzing evaluating, derived from, or based on primary source material.

Secondary sources are work that :

- are one step removed from the original event or experience

- provide criticism or interpretation of a primary source

Secondary sources include :

textbooks review articles and critical analysis essays biographies historical films, music and art articles about people and events from the past.

I have used observation, interview and questionnaire method for collection of data of Mutual Funds provided by STATE BANK OF INDIA and from secondary sources, I have taken information from the Bank’s brochures, the bank’s website , internet and certain books on Banking and Finance and Project and Research Methodology.

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Organization profile2.1 INTRODUCTION TO BANK

A bank is an institution, which is engaged in the business of accepting the deposit and giving

the loans. Bank accepts deposits from various people institution that have surplus funds and

advance loans to those who need them. Thus, the main function of bank is to accept deposits by

mobilizing the saving and give loans to needy person for different purpose. There are various

definition stated by different authorities which make the nature and important function of bank

very clear.

Definition of BankPROF. R.S. SAYER'S:

"A bank is an institution whose debts usually' referred to as bank deposits are commonly accepted in final statement of other debts"

PROF. JHON PAGET'S:

" It is a fair deduction that no person or body , corporate or otherwise who doesn't issues deposit ales, issues, pay, cheques drawn upon himself and collect cheques, crossed and uncrossed for him customer."

2.2 HISTORY AND EVOLUTION OF BANKING IN INDIA

Without a sound and effective banking system in India it cannot have a healthy economy. The

banking system of India should not only be hassle free but it should be able to meet new challenges

posted by the technology and only other external and internal factors.

For the past three decades India’s banking system has several outstanding achievements to its credit.

The most striking is its extensive reach. It is no longer confined to only metropolitans or

cosmopolitans in India. In fact, Indian banking system has reached even to the remote corners of the

country. This is one of the main reasons of India’s growth process.

The first bank in India though conservative was established 1786 till today. From 1786 till today the

journey of Indian banking system can be segregated in three distinct phases.

They are mentioned below:-

• Early phase from 1786 to 1969 of Indian banks.

• Nationalization of Indian banks and up to 1991 prior to Indian banking sector.

• New phase of Indian banking system with advent of Indian financial and banking sector reform after

1991.

The general bank of India was set up in the year 1786 government took major steps in this Indian

banking sector reform after independence. In 1955, it nationalized imperial bank of India with

extensive banking facility on large scale especially in rural-urban areas. It formed state bank of India

to act as principal agent of R.B.I. and to handle banking transactions of the union and state

governments all over the country.

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The state bank of India is largest commercial bank and is ranked one of the top five banks

worldwide. It serves 90 million customers through the network of 9000 branches and it offers either

directly or through subsidiaries a wide range of banking services.

After the nationalization of banks in India, the branches of the public sector banks rose to

approximately 800% in deposits and advances took a huge jump by 11000%.

The second phase of nationalization Indian banks took place in the year 1980 seven more banks

were nationalized with deposits over 200 crore till this year; approximately 80% of the banking

sector in India were under government ownership. As on 30th June 1999 there were 300 scheduled

banks in India comprise having a total network of 64,918 branches.

2.3 IMPORTANCE OF BANK

Bankers play very important role in the economic life of the nation. The health of the economy is

closely related to the soundness of its banking system. Although banks create no new wealth but their

borrowing, lending and related activities facilitate the process of production, distribution, exchange

and consumption of wealth. In this way they become very effective partners in the process of

economic development. Today modern banks are very useful for the utilization of the resources of the

country. The banks are mobilizing the savings of the people for the investment purposes. If there

would be no banks then a great portion of a capital of the country would remain idle.

A bank as a matter of fact is just like a heart in the economic structure and the Capital provided by it

is like blood in it. As long as blood is in circulation the organs will remain sound and healthy. If the

blood is not supplied to any organ then that part would become useless, so if the finance is not

provided to Agricultural sector or industrial sector, it will be destroyed. Loan facility provided by

banks works as an incentive to the producer to increase the production. Many difficulties in the

international payments have been overcome and volume of transactions has been increased. Cheques,

drafts bills of exchange and letters of credit are very important instruments of the banks. The banks

collect these instruments drawn on banks in other cities or countries and proceeds according to the

accounts of the customer's concerns.

Most businesses have a need for a line of credit or other financing with a bank. Especially when

business is slow or the company is in some way struggling, relations with your banker can become

strained. When the banker is worried, he may start asking hard questions. Here are some ideas on

how to deal with this situation and on how to make your banker a partner all the time, not just when

things are going well. The key to excellent relations with your banker is having excellent

communications. To have him on your side, he needs to understand what you are doing and to be

confident of what to expect in the future. You must reach the point in your dealings with him that

you tell him what is happening before it happens. The better able you are to project, the more

confidence he will have.It should be self evident that the banker's main concern is being repaid. The

objective here is to inspire genuine, earned confidence, not to pull the wool over the eyes of an

unsuspecting lender. Be informed, do what is right, and communicate. Since your banker expects

you to know your business much better than he does, communicate on an ongoing basis the

following elements of your business.

2.4 PRINCIPLES OF BANK

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Principles of Bank has direct applicability to a broad range of banking positions - from a Customer

Service Representative to a Consumer Lending Manager. Topics covered include:

Context, structure and operation of banks as profit-making enterprises

Operations of banks, from managing assets to managing liabilities

Deposit products, services, and account opening requirements

Checks as negotiable instruments, check processing, and other payment systems

Electronic banking services and trends

Lending, including loan types and the lending process

Bank products and services for businesses and international banking

Services such as trusts, investments, and insurance for consumers and businesses

Building customer relationships by meeting customer expectations, understanding the

purchasing process, sales and marketing

Fiduciary role of banks in protecting customer information, safeguarding customer and

bank assets, and deterring financial crimes, and protecting the nation's financial system.

2.5 RESPONSIBILITIES OF A BANK

Ensure optimal levels of customer services for all business products.

Develop and expand portfolio and maintain effective business

relationships for customers.

Provide sales support to all clients and manage efficient working of brand.

Maintain effective customer relationships and manage all management services and loans.

Coordinate with staff and resolve all issues for business products and services for branch.

Monitor all referrals and walk in customers and acquire new customers for branch and

develop cross sell opportunity.

Maintain effective relationship with all customers and sell all financial products.

Documents all sales activities and prepare targets for future sales.

Manage and ensure achievement of all target goals.

Develop local competition strategies and manage all objections.

Maintain effective relationships with important centers.

Ensure compliance to regulations and standards.

Maintain effective relationship with regulators and address all issues.

Develop an environment to develop and support brands.

Perform internal and external auditing and address all issues by regulators.

3.2 EVOLUTION OF STATE BANK OF INDIA

State Bank of India previously it was constituted as “Imperial Bank of India” under the

Imperial Bank of India Act, 1920.

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When India attained the freedom, the Imperial Bank of India had a capital base of Rs. 11.85

crores, deposits and advances of Rs.275.14 and Rs.72.94 crores respectively and a network of

172 branches and more than 200 sub offices extending all over the country.

Later on to serve the economy in general and rural sector in particular, the All India Rural

Credit Survey Committee recommended the creation of state – partnered and state – sponsored

bank by taking over the Imperial Bank of India, and integrating with it, the former state –

owned and state – associated banks.

An act was accordingly passed in the parliament in May 1955 and State Bank of India was

constituted on 1st July 1955.

Later, the State Bank of India (Subsidiary Banks) Act was passed in 1959, enabling SBI to

take over eight former State – associated banks as its subsidiaries.

I am developing my project for the “THE STATE BANK OF INDIA” Indira Nagar Branch.

The branch was started on year 2003, near about 25 stall member are working in this branch.

The Branch set up is totally new & system is perfect & useful to society. Everything they do

how to build up the relationship & to grow up. Our business can be summarized in one word

value. Fundamental define how they conduct ourselves in our business approach & objectives.

All over action are ultimately aimed towards, building good relationship eventually leading to

customer delight. They strongly believe that service without an element of human touch is

incomplete & strive to offer personalized service to our clients etc. India Conveying the length

& breadth of the Country. They are growing institution let your money grow with us.

.3 ORGANISATION STRUCTURE

BRANCH MANAGER

ASSISTANT BRANCH MANAGER

SENIOR OFFICER

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JUNIOR OFFICER

CLERK/CASHIER

PEONS / MESSAGER

WATCHMAN /GUARD

3.4 FUNCTIONS OF BANK

The various function of a bank can be classified under 2 main head as

follows.

Primary Functions.

Secondary functions

1. PRIMARY FUNCTIONS:-

Primary functions can be stated in a sentence. A bank borrows

(accepts deposits) to lead. Thus, primary function is

To accept deposits.

To advance loans.

Without accepting deposits, loans can't be given. These deposits are on various ales. i.e.

1. Fixed Deposit A/C

2. Saving A/C

3. Current A/C

4. Recurring A/C &. So many other such A/c

The deposits accepted by a bank are repayable on demand are Known as “Demand” or

“Current deposits”type of deposits are “Time Deposits” These deposits cannot be

withdraw on demand

Another function of a bank is to lend. Bank give various types of financial need of different

classes of loans & advances to cater to the financial needs of different classes of people , such

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loans are given for short, medium, long term against some security & or personal security of a

borrower . Such loans can be of various types.

Following are some such important types:

1. Bank Overdraft

2. Discounting the bill

3. Cash Credit

4. Money against call & notice

5. Loan against security F.D.R. etc.

2) SECONDARY FUNCTIONS :

Bank also performs caller function too. They are known as 'Secondary Functions' which is

Further is divided as

Agency Function

General Function

A) Agency Function:

Incidental to the primary function, bank performs a number other functions know as

Agency function' these function include:

Payment of' insurance premium & other subscription, collection of salary,

pension bill amount cheques , dividend , interest etc.

Transfer of funds with the help of draft, M.T.T.T etc.

Acting as a trustee & executer of bills.

Filing of Income tax returns.

Purchase & sale of security.

All those & such other are called as the agency Functions as they performed by bank on behalf

of the customer.

B) General functions:

Besides, the agency functions, bank also performs, a number of utility

functions. Some of important utilize functions are below:

Bank provides the facility of safe deposit volt to people to keep their valuable safes.

To issue letters of credit, traveler’s cheque.

They deal in foreign exchange Underwriting of share, debentures etc.

Diagram of E-Banking System

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.1.7 E-BANKING PRODUCTSAutomated Teller Machine (ATM): These are cash dispensing machine, which are frequently seen at banks and other locations such as shopping centers and building societies. Their main purpose is to allow customer to draw cash at any time and to provide banking services where it would not have been viable to open another branch e.g. on university campus. An automated teller machine or automatic teller machine (ATM) is acomputerized telecommunications device that provides a financial institution's customers a method of financial\ transactions in a public space without the need for a human clerk or bank teller. On most modern ATMs, the customer identifies him or herself by inserting a plastic ATM card with a magnetic stripe or a plastic smartcard with a chip that contains his or her card number and some security information, such as an expiration date or CVC (CVV). Security is provided by the customer entering a personal identification number (PIN).Using an ATM, customers can access their bank accounts in order to make cash withdrawals (or credit card cash advances) and check their account balances. Many ATMs also allow people to deposit cash or checks, transfer money between their bankaccounts, pay bills, or purchase goods and services. Some of the advantages of ATM to customers are:-Ability to draw cash after normal banking hoursQuicker than normal cashier serviceComplete security as only the card holder knows the PINDoes not just operate as a medium of obtaining cash.Customer can sometimes use the services of other bank ATM’s.

Tele banking or Phone Banking: Telephone banking is relatively new Electronic Banking Product. However it is fastly becoming one of the most popular products. Customer can perform a number of transactions from the convenience of their own home or office; in fact from anywhere they have access to phone. Customers can do following:-Check balances and statement informationTransfer funds from one account to anotherPay certain billsOrder statements or cheque booksDemand draft requestThis facility is available with the help of Voice Response System (VRS). This system basically, accepts only TONE dialed input. Like the ATM customer has to follow particular process, initially account number and telephone PIN are fed for

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the process to start. Also the VRS system provides the users within additional facilities such as changing existing password with the new desired, information about new products, current interest rates etc.

Mobile Banking: Mobile banking comes in as a part of the banks initiative to offer multiple channels banking providing convenience for its customer. A versatile multifunctional, free service that is accessible and viewable on the monitor of mobile phone. Mobile phones are playing great role in Indian banking- both directly and indirectly. They are being used both as banking and other channels.

Internet Banking: The advent of the Internet and the popularity of personal computers presented both an opportunity and a challenge for the banking industry. For years, financial institutions have used powerful computer networks to automate million of daily transactions; today, often the only paper record is the customer’s receipt at the point of sale. Now that their customers are connected to the Internet via personal computers, banks envision similar advantages by adopting those same internal electronic processes to home use. Banks view online banking as a powerful “value added” tool to attract and retain new customers while helping to eliminate costly paper handling and teller interactions in an increasingly competitive banking environment. In India first one to move into this area was ICICI Bank. They started web based banking as early as august 1997.

1.1.8 TYPES OF INTERNET BANKING OR E-BANKINGUnderstanding the various types of Internet banking will help examiners assess the risks involved. Currently, the following three basic kinds of Internet banking are being employed in the marketplace.Informational- this is the basic level of Internet banking. Typically, the bank has marketing information about the bank’s products and services on a standalone server. The risk is relatively low, as informational systems typically have no path between the server and the bank’s internal network. This level of Internet banking can be provided by the banks or outsourced. While the risk to a bank is relatively low, the server or web site may be vulnerable to alteration. Appropriate controls therefore must be in place to prevent unauthorized alterations to the bank’s server or web site.

Communicative- this type of Internet banking systems and the customer. The interaction between the bank’s system and the customer. The interaction may be limited to electronic mail, account enquiry, loan applications, or static file updates (name and address change). Because these servers may have a path to the bank’s internal networks, the risk is higher with this configuration than with informational systems. Appropriate controls need to be in the place to prevent, monitor, and alert management of any unauthorized attempt to access he bank’s internal networks and computer systems. Virus controls also become much more critical in this environment.

Transactional- this level of Internet banking allows customers to execute transactions. Since a path typically exists between the server and the bank or outsourcer’s internal network, this is the highest risk architecture and must have the strongest controls. Customer transactions can include accessing accounts, paying bills, transferring funds etc.

1.1.9 FEATURES OF E-BANKINGTransactional: (e.g. performing a financial transaction such as an account to account transfer, paying a bill or applications like applying for a loan, new account, etc.)Electronic Bill Presentment and Payment (EBPP)Funds transfer between customers own checking and savings accounts, or to another customers account.Investment purchase or sale.Loan application and transactions such as repayments.

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Non-transactional: (e.g. online statements, Check links, Chat, Co-browsing etc.) Financial Institution Administration- features allowing financial institutions to manage the online experience of their end users. ASP/ Hosting Administration – features allowing the hosting company to administer the solution across financial institution.

1.1.10 ADVANTAGES OF E-BANKING:-Convenience- Unlike your corner bank, online banking sites never close; they’re available 24 hours a day, seven days a week, and they’re only a mouse click away. With pressures on time and longer travelling periods, more and more people find it tiresome waiting in queues. People want flexibility, and Internet banking offers just that.

Ubiquity- If you’re out of state or even out of the country when a money problem arises, you can log on instantly to your online bank and take care of business, 24\7.

Transaction speed- Online bank sites generally execute and confirm transactions at or quicker than ATM processing speeds.

Efficiency-You can access and manage all of your bank accounts, including IRA’s, CDs, even securities, from one secure site.

Effectiveness- Many online banking sites now offer sophisticated tools, including account aggregation, stock quotes, rate alert and portfolio managing program to help you manage all of your assets more effectively. Most are also compatible with money managing programs such as quicken and Microsoft money.Cheaper alternative: - With increasing competition, it seems to be the cost factor that is driving banks to offer the facility. The Internet is still a very cheap alternative to opening a physical branch, and most of the push seems to be coming from the supply side. The costs of a banking service through the Internet form a fraction of costs through conventional methods.

From snob value to necessity:- A couple of years ago, there was a belief even among bankers that customers opening new accounts wanted the online banking facility, just to "feel good" and very few of them actually used the services. Today, bankers believe that the trend from `nice to have' is changing to `need to have'. The "snob value" of banking with an organization that could offer service on the Internet has given way to a genuine necessity, he feels. "It all depends on how busy a person is."

DISADVANTAGES OF INTERNET BANKINGStart-up may take time-In order to register for your bank’s online program, you will probably have to provide ID and sign a form at a bank branch. If you and your spouse wish to view and manage their assets together online, one of you may have to sign a durable power of attorney before the bank will display all of your holdings together.

Learning curves- Banking sites can be difficult to navigate at first. Plan to invest some time and\or read the tutorials in order to become comfortable in your virtual lobby.

Bank site changes- Even the largest banks periodically upgrade their online programs, adding new features in unfamiliar places. In some cases, you may have to re-enter account information.

1.1.11 HOW E-BANKING CAN EASE YOUR LIFEIndian banks are trying to make your life easier. Not just bill payment, you can make investments, shop or buy tickets and plan a holiday at your fingertips. In fact, sources from ICICI Bank tell us, "Our Internet banking base has been growing at an exponential pace over the last few years. Currently around 78 per cent of the bank's customer base is registered for Internet banking." To get started, all you need is a computer with a modem or other dial-up device, a

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checking account with a bank that offers online service and the patience to complete about a one-page application-- which can usually be done online. You can avail the following services.

1. Bill payment service: Each bank has tie-ups with various utility companies, service providers and insurance companies, across the country. It facilitates the payment of electricity and telephone bills, mobile phone, credit card and insurance premium bills. To pay bills, a simple one-time registration for each biller is to be completed. Standing instructions can be set, online to pay recurring bills, automatically. One-time standing instruction will ensure that bill payments do not get delayed due to lack of time. Most interestingly, the bank does not charge customers for online bill payment.

2. Fund transfer: Any amount can be transferred from one account to another of the same or any another bank. Customers can send money anywhere in India. Payee’s account number, his bank and the branch is needed to be mentioned after logging in the account. The transfer will take place in a day or so, whereas in a traditional method, it takes about three working days. ICICI Bank says that online bill payment service and fund transfer facility have been their most popular online services.

3. Credit card customers: Credit card users have a lot in store. With Internet banking, customers can not only pay their credit card bills online but also get a loan on their cards. Not just this, they can also apply for an additional card, request a credit line increase and God forbid if you lose your credit card, you can report lost card online.

4. Railway pass: This is something that would interest all the aam janta. Indian Railways has tied up with ICICI bank and you can now make your railway pass for local trains online. The pass will be delivered to you at your doorstep. But the facility is limited to Mumbai, Thane, Nasik, Surat and Pune. The bank would just charge Rs 10 + 12.36 percent of service tax.

5. Investing through Internet banking: Opening a fixed deposit account cannot get easier than this. An FD can be opened online through funds transfer. Online banking can also be a great friend for lazy investors. Now investors with interlinked demat account and bank account can easily trade in the stock market and the amount will be automatically debited from their respective bank accounts and the shares will be credited in their demat account. Moreover, some banks even give the facility to purchase mutual funds directly from the online banking system. So it removes the worry about filling those big forms for mutual funds, they will now be just a few clicks away. Nowadays, most leading banks offer both online banking and demat account. However if the customer have there demat account with independent share brokers, then need to sign a special form, which will link your two accounts.

6. Recharging your prepaid phone: Now there is no need to rush to the vendor to recharge the prepaid phone, every time the talk time runs out. Just top-up the prepaid mobile cards by logging in to Internet banking. By just selecting the operator's name, entering the mobile number and the amount for recharge, the phone is again back in action within few minutes.

7. Shopping at your fingertips: Leading banks have tie ups with various shopping websites. With a range of all kind of products, one can shop online and the payment is also made conveniently through the account. One can also buy railway and air tickets through Internet banking.

1.12 INTERNET BANKING IN INDIAThe Reserve Bank of India constituted a working group on Internet Banking. The group divided the internet banking products in India into 3 types based on the levels of access granted. They are:Information Only System: General purpose information like interest rates, branch location, bank products and their features, loan and deposit calculations are provided in the banks website. There exist facilities for downloading various

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types of application forms. The communication is normally done through e-mail. There is no interaction between the customer and bank's application system. No identification of the customer is done. In this system, there is no possibility of any unauthorized person getting into production systems of the bank through internet.

Electronic Information Transfer System: The system provides customer specific information in the form of account balances, transaction details, and statement of accounts. The information is still largely of the 'read only' format. Identification and authentication of the customer is through password. The information is fetched from the bank's application system either in batch mode or off-line. The application systems cannot directly access through the internet.

Fully Electronic Transactional System: This system allows bi-directional capabilities. Transactions can be submitted by the customer for online update. This system requires high degree of security and control. In this environment, web server and application systems are linked over secure infrastructure. It comprises technology covering computerization, networking and security, inter-bank payment gateway and legal infrastructure. It includes the followings:o ATMo DEBIT CARDSo SMART CARDSo MOBILE BANKING

1.1.15 E-BANKING WORLD WIDESince its inception, Internet banking has experienced strong and sustained growth. World Bank report on leapfrogging in e-finance pointed out that the three countries with impressive progress in information technology in this sense are Estonia, Republic of Korea and Brazil. Creation of the world’s leading electronic banking systems has been done at a remarkably low cost compared to other world-class internet banks. In the European Union, 60 million people, representing 18 per cent of the adult population, use online banking In France, the number of online banking accounts is recording an annual growth rate of 75 per cent. However, Estonia is a country that has become a leader in Internet banking (which now reaches 18 per cent of the population), not only among Eastern European countries but in world rankings, through a combination of easy to- use software, free-of-charge transactions and behavior changes resulting from the influence of the Nordic countries’ IT culture on Estonia.

A sector in which Latin America is seems to be performing better than in other industries is online retail banking. Growth in this area has been driven by traditional banks, which have used the online channel to generate customer loyalty and improve their operating margins. Two Brazilian banks, Bradesco and Banco do Brasil; have thus achieved more than 4 million online customers each. Mexico is another leader of Internet banking in Latin America. It adopted legislation providing for the development of both E-Commerce and e-finance. In Mexico, the number of online bank users more than tripled from 700,000 in 2000 to 2.4 million in 2001, and it could reach 4.5 million in 2005 (E-Marketer 2002b). One reason for the success of Latin American banks’ online ventures seems to be the attention they have paid to providing retail customers with multiple ways to access their accounts (Internet, telephone, wireless). However, given that the share of the total population that actually has a bank account is relatively small, the expansion of Latin American online banking may be facing a bottleneck.

Compared with overall Internet usage estimated at 4.4 million in Australia, the major banks together have attracted only 1.2 million to online banking. The Internet is a global phenomenon and so is e-finance. Its deployment is not limited to developed countries, and indeed some developing countries – such as India and the Republic of Korea – are experiencing particularly strong growth in E-Banking. In Asia one of the most impressive records has been achieved by the Republic of Korea. The Republic of Korea is leading in online brokerage and in mobile banking. In South-East Asia Internet banking is also developing rapidly in Thailand, Malaysia, and Singapore and to a lesser extent, in the Philippines.

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In Bangladesh there is a large gap between the computerization of foreign banks and that of local commercial banks and as regards the state of their intra- and inter-branch online networks. However, 75 per cent of local banks are planning to introduce E-Banking, which implies very dynamic improvements. Apart from North and South Africa the Sub Saharan Africa is the region that is seriously lagging behind in Internet banking, although it is giving to the rest of the world the good example of microfinance developments.

1.2.4 ICICI BANK SERVICESMOBILE BANKING: Conducting banking operations using the mobile phone has been fast catching up around the world for its convenience. We have launched mobile services in India to convenience our customers. You can do your banking operations sitting anywhere, anytime. It is discreet, personalized and on your phone. Use it when at a meeting, in a movie hall, while having your Sunday brunch or at any other place you cannot usually expect to get the information you want from your bank. It is an empowering and user-friendly mode of accessing your bank account. To get started, take a look at the menu on the left and go through our various services. You can now access the following ICICI Bank services via your mobile phone:

Page No 33 DiagramINSTA BANKINGInsta Banking makes your banking simpler, faster, and more convenient. Through these 5 great channels - Internet Banking, Mobile Banking, ICICI Bank ATMs, Instant Voice Response (IVR) Banking and iMobile - you can do your day today banking anytime, anywhere.

INTERNET BANKINGICICI Bank brings convenience and security to your desktop. Now you can check your account balance, transfer funds, download your account statement, and pay bills or even book tickets online, from the comfort of your home or in the middle of a busy day at the office. Explore the power of simpler and smarter Banking whether you are a Banking, Credit Card, Loan or Demat customer.

ATM BANKINGBank 24/7 through a widespread network of ICICI Bank ATMs making life easy and convenient for you. User-friendly graphic screens and easy to follow instructions available in a choice of local languages, makes ATM Banking with ICICI Bank a smoother experience. ICICI Bank's widespread network of ATMs makes it easy and convenient for you to bank 24/7. With over 4,883 + ATMs and 1,626 + branches set up within India, we ensure that you are never too far from an ICICI Bank ATM. Userfriendly graphic screens and easy to follow instructions in a choice of local languages, makes ATM Banking with ICICI Bank a smooth experience. ICICIBank.com also features the easy to access ATM Locator, making it easy for you to find an ICICI Bank ATM in your neighbourhood.

The ICICI Bank edgeCash withdrawal up to Rs. 25,000/- per day from your account (50,000 for HNI's). Fast Cash option facilitates withdrawal of prefixed amounts; Ultra Fast Cash allows withdrawal of Rs. 3000/- in one shotCheck your ledger balance and available balancePrint out your Mini Statement which displays your last 8 transactions and the current balance.Deposit Cash / Cheques at all full function ATMs; cash deposited in ATMs will be credited to the account on the same day if deposited before the clearing and cheques are sent for clearing on the next working day Transfer funds from one account to another linked account in the same branch.Change the Personal Identification Number (PIN) of your ATM or Debit cardPay bills, make donations to temples / trusts, buy internet packs, airtime recharges for prepaid mobile phones, etc.Request for a cheque book from our ATMs; concerned branch dispatches it to

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reach you within 10 working daysNo charge is levied on ICICI Bank customers for transacting through ICICI Bank's ATMs. But, if the minimum quarterly average balance is not maintained in your savings account, first 6 transactions in the quarter are free and thereafter, Rs. 25 per transaction is charged.

I MOBILEICICI Bank's iMobile is a breakthrough innovation in banking that allows you to transfer funds, make your credit card payments, pay utility bills, check your balance and do lots more, for free. So why wait anymore. Just download the iMobile application on your phone by sending us an SMS and experience iMobile. . ICICI Bank brings to you the 2nd generation iMobile that has newer features, smarter interface, quicker navigation and enhanced functionality. ICICI Bank's iMobile is your answer to banking on the move. The next generation iMobile is your key to a faster, easier and simplified banking service. Using GPRS enabled on your mobile handset or through SMS, iMobile helps you to connect directly to your bank account.This Rich Client Based Application needs to be installed on your mobile thereby enabling a single click access to your account.

Services available with i Mobile:Payment of utility bills and credit card billsTransfer of funds to any bank accountPayment of insurance premiumPlacement of service request such us ordering of cheque books, bank accountstatements, cheque status and balance enquiry.Access the following ICICI Bank services via iMobile:Bank AccountFunds transferBill PaymentBalance EnquiryLast 5 transactionsCheque Book RequestStop Cheque requestCheque status EnquiryCredit CardBalance DetailsLast Payment DetailsPayment Due DateReward Point StatusDemat A/cHolding EnquiryTransaction StatusBill EnquiryISIN EnquiryLoan A/cProvisional IT CertificateFinal IT CertificateReset LetterRescheduled LetterLoan Agreement CopyM ShopPrepaid Mobile RechargeOther ServicesStatus of Service Request RaisedLocate USIVR BANKINGFind answers to all your banking needs from your phone. ICICI Bank's Instant Voice Response (IVR) Banking is free of charge, fully automated and at the same time userfriendly. Just having an ATM PIN for your account and credit card ensures that yourtransactions are secure.Saving A/CCredit cards

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DematBondsOthersTV BANKINGAt ICICI Bank, we've introduced India to an all new way of banking. TV Banking. This pioneering initiative now enables you to get information regarding loans, accounts, deposits and a lot more while you're watching that exciting cricket match or your favorite sitcom.