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Bank of Baroda, Industrial Branch Katni Taken Initiatives

towards Financial Inclusion

Bank of Baroda has adopted the whole village approach as part of its mandate for
enabling for
financial inclusion by extending banking services to the peoples. To give rural
India access to finance and to enable economic independence, Branch has
introduced a slew of services that extend credit facilities to small and marginal
farmers, agricultural laborers.

In the past too, the Bank has taken a number of initiatives such opening of
specialised outlets of Gram Vikas Kendras (GVKs) and Multi Service Agencies
(MSAs). The Baroda Swarojgar Vikas Sansthan (BSVS) was another initiative for
capacity building and provided appropriate training for skill up-gradation to
unemployed youth and women for employment.

The Baroda Kisan Credit Card (BKCC) is yet another facility offered by the Bob
industrial branch to empower the farmer. The credit card designed exclusively for
the benefit of the farmers aims to provide them the opportunity to manage and
utilize their funds in the manner they deem fit. The Kisan Credit Card provides
adequate and timely support to farmers for their production needs, which include
among others, purchase of quality inputs, investment requirements like purchase of
agriculture implements/tractor etc, farming expenses towards farm maintenance,
unforeseen family expenses and maintenance of non-farm activities.

As part of the Bank‘s commitment to Corporate Social Responsibility in its centenary

year i.e.,
2014, bank launched the Baroda Grameen Paramarsh Kendra (BGPK) – a centre for
knowledge sharing, problem solving and credit counselling for the rural
communities. The
BGPK is an effort to narrow the “knowledge gap” in financial literacy, better
farming practices and technology adoption. It offers rural communities a diversity
of opportunities including market linked prices, value addition services offered by
various institutions, women
empowerment and employment opportunities for rural youth. The BGPK centre
helps in spreading financial awareness among rural masses through village level
meetings and helps them to choose suitable banking products. As part of
information sharing and problem solving process, it holds interface sessions with
the specialists from institutions like agriculture universities, Kisan Vikas Kendras
and NGOs working in the rural development sector. The centre also provides
extension services to the farmers by encouraging their participation in Grameen
melas, and organising television and radio talks. Each of the BGVK centre also
maintains a small library containing books, journals and audio-visual aids.
Information on the prices of agriculture commodities in various mandis across the
country is also provided, enabling the farmers to sell their products at the best
prices. The farmers are also provided credit counselling on repayment pattern and
rescheduling of loans and fresh credit during situations of rural distress. Another
important initiative is the Baroda Kisan Group Loan – a joint liability scheme –
for purchase of heavy agricultural machinery like tractors, power-tillers, etc. either
by farmers having larger holdings with irrigation facilities or group of farmers with
irrigation facilities. The Bank also provides credit for purchase of second hand
tractors to farmers interested in dry-land farming or having a small land holding.
Production credit is also provided for raising various crops from the point of
preparatory tillage till harvesting, for landowners or permanent tenants or
leaseholders or sharecroppers. It encourages the development of irrigation
facilities; this covers sinking of wells/bore wells, lifting of water by installation of
pump sets, transporting of water. through field channels, water saving systems like
drip irrigation/sprinkler irrigation etc. for farmers. It also extends working capital
to dealers/ distributors/traders of agricultural inputs like seeds, fertilisers, livestock
inputs like cattle feed, medicine etc. and supply of agriculture machinery/irrigation
systems. Employment is provided to the unemployed technical personnel through
the Agro Service Centre. The Bank also facilitates the setting up of agri-clinics
and agri business centres by agriculture graduates. To address the needs of rural
infrastructure the Bank provides credit for the construction of farm
building/structures like cattle sheds, fencing etc. to the individual farmer or firms
engaged in agricultural activity and are of long term nature. Credit is also provided
for construction/expansion/modernisation/renovation of rural go downs and cold
storages. Other services provided by the Bank include, development of horticulture
including production, processing and marketing of various fruit, vegetables,
plantations and flowers, from the nursery to the point of market, by individual
farmers, firms, organisations like co-operative societies.To ensure financial
inclusion for the Scheduled Caste and Scheduled Tribes who have been
provided/allotted land by the State government, the Bank finances their purchase of
farm implements, irrigation systems and bullocks etc. The Bank has also allied
itself with NGOs to encourage the formation of credit linked SHGs in
the villages. This initiative of the Bank has already brought about a change in the
lives of people.

The Reserve Bank of India was established on April 1, 1935 in accordance with the
provisions of the Reserve Bank of India Act, 1934. The Central Office of the
Reserve Bank was initially established in Calcutta but was permanently moved to
Mumbai in 1937. The Central Office is where the Governor sits and where policies
are formulated. Though originally privately owned, since nationalisation in 1949,
the Reserve Bank is fully owned by the Government of India.

Measures undertaken by Reserve Bank of India towards Financial


In November 2011, banks were advised to make available a basic banking, no-frills
account with low or nil minimum stipulated balances as well as charges to expand
the outreach of such accounts to vast sections of the population. Several banks have
since introduced such 'no-frills' account with and without value-added features.
According to the information available with the Reserve Bank, about five lakh no-
frill accounts have been opened until March 31, 2012, of which about two-third
are with the public sector and one-third with the private sector banks. In order to
ensure that persons belonging to low income group, both in urban and rural areas
do noten counter difficulties in opening bank accounts owing to procedural hassles,
the know your customer (KYC) procedures for opening accounts has been
simplified. The Reserve Bank has directed banks to make available all printed
material used by retail customers in English, Hindi and the concerned regional
language. More recently, in January 2012, banks were permitted to utilise the
services of non-governmental organisations (NGOs/SHGs), micro-finance
institutions and other civil society organisations as intermediaries in providing
financial and banking services through the use of business facilitator and business
correspondent models. To extend hassle-free credit to bank customers in rural
areas, the guidelines on general credit card (GCC) schemes were simplified to enable
customer‘s access credit on simplified terms and conditions, without insistence on
security, purpose or end-use of credit. With a view of providing hassle free credit to
customers, banks
were allowed to issue general credit cards akin to Kisan credit cards. A simplified
mechanism for one-time settlement of loans with principal amount up toRs.25,000
which have become doubtful and loss assets as on September 30, 2011 was
suggested for adoption. In case of loans granted under Government-sponsored
schemes, banks were advised to frame separate guidelines following a state-
specific approach to be evolved by the State-Level Bankers Committee (SLBC).
Banks have been specifically advised that borrowers with loans settled under the
one time settlement scheme will be eligible to re-access the formal financial system
for fresh credit. Banks were advised to give effect to these measures at all branches
for achieving greater financial inclusion. Initiatives have also been undertaken
towards achieving greater financial inclusion in the North-Eastern region, which
had perennially remained under-banked. The Reserve Bank considers that IT-
enabled services can meet the challenges which need to be addressed for increasing
the scope and coverage of financial inclusion such as lack of adequate
infrastructure, higher transaction costs and low volumes of transactions. The
Reserve Bank has already initiated action in the North-Eastern region.

RBI Guidelines on Financial Inclusion by Extension of Banking

Services – Use of Business Facilitators (BFs) and Business
Correspondents (BCs)
Based on queries received from certain banks, we had clarified that there is no
objection to banks engaging individuals as Business Facilitators (BFs) depending
on the comfort level of banks, subject to their taking adequate precautions and
conducting proper due diligence before engaging individuals as BFs.

In the light of the announcement made the Budget Speech 2012-2013 by the
Honorable Finance Minister, Govt. of India, it has been decided to permit banks to
engage retired bank employees, ex-servicemen and retired government employees
as Business
Correspondents(BCs) with immediate effect, in addition to the entities already
permitted, subject to appropriate due diligence. While appointing such individuals
as BCs, banks may ensure that these individuals are permanent residents of the area
in which they propose to operate as BCs and also institute additional safeguards as
may be considered appropriate to minimise agency risk.

Further, with a view to ensuring adequate supervision over the operations and
activities of the BCs by banks, it has been decided that every BC will be attached to
and be under the oversight of a specific bank branch to be designated as the base
branch. The distance between the place of business of a BC and the base branch,
ordinarily, should not exceed 15 Kms in rural, semi-urban and urban areas. In
metropolitan centres, the distance could be upto 5 kms. However, in case a need is
felt to relax the distance criterion, the matter can be referred to the District
Consultative Committee (DCC) of the district concerned for approval. Where such
relaxations cover adjoining districts, the matter may be cleared by the State Level
Bankers' Committee (SLBC), which shall also be the concerned forum for
metropolitan areas. Such requests may be considered by the DCC/SLBC on merits
in respect of under-banked areas or where the population is scattered overlarge area
and where the need to provide banking services is imperative but having a branch
may not be viable, keeping in view the ability of the base branch of the bank
making the request to exercise sufficient oversight on the BC.

Where currently BCs are operating beyond the distance limits specified above,
DCC/SLBC may be kept informed and steps may be taken to conform to the
stipulated limits within six months time, unless specific approval is accorded by the
DCC/SLBC on the grounds indicated in paragraph 4 above. Needless to add, in the
context of scaling up of BF/BC model which is a huge challenge given the size of
the country, banks should bring to the notice of RBI any important issues to
facilitate taking prompt corrective steps. The implementation of the BF/BC model
should be monitored closely by controlling authorities of banks, who should
specifically look into the functioning of BFs/BCs during the course of their
periodical visits to the branches. Further, banks should also put in place an
institutionalized system for periodically reviewing the implementation of the
BF/BC model at the Board level.

Measurement of Financial Inclusion/Exclusion

While the importance of financial inclusion has been widely accepted, much less is
known about how inclusive the financial systems are and who has access to which
financial services. The literature on financial inclusion lacks a comprehensive
measure that can be used to indicate the extent of financial inclusion across
countries. Though indicators of the depth of banking system, capital markets, and
insurance sector are widely available, there is less information available about the
degree of financial inclusiveness. Lack of information is more conspicuous in
developing countries where there is little systematic information on who is served
by the formal financial sector, which financial institutions or services are the most
effective at supporting access by poor households and small enterprises, or what
practical and policy barriers may be hindering the accessibility. Individual
indicators, viz., number of bank accounts and number of bank branches that are
generally used as measures of financial inclusion, can provide only partial
information on the level of financial inclusion in an economy. Financial services or
products rendered by banks, postal savings banks, credit unions, finance
companies, micro-finance institutions (MFIs), and other formal and quasi-formal
non-bank institutions generally form the basis for measuring the financial

It is often observed that people may have access to financial services, but may not
wish to use them. Such voluntarily excluded persons, it is argued, should be
included in measures of access even if they do not use financial services. However,
even among the voluntarily excluded, this may in reality be because such services
are unaffordable, unsuited to their needs, or because the potential users fear that
they will be declined upon request. Among the involuntarily excluded from
services such as credit, some represent high credit risk that lenders are discouraged
to prudently serve them.

There are various measures of access to finance. For instance, access to finance can
be measured in terms of access to certain institutions (such as banks, insurance
companies, and MFIs or in terms of access to the functions that such institutions
perform, or the services that they provide (such as payments services, savings or
loans and credits). Yet another approach is to look at details on the uses of specific
financial products such as debit cards, credit cards, life insurance and home
mortgages, among others. However, these are highly
country-specific. The core access indicators often used are generally based on
institutional distinctions concerning specifically the degree of formality of the
financial institution.

Introduction of Financial Inclusion

Financial Inclusion may be defined as the process of ensuring access to financial

services and timely and adequate credit where needed by vulnerable groups such as
weaker sections and low income groups at an affordable cost. Financial products &
services are identified as basic banking services like deposit accounts, institutional
loans, access to payment, remittance facilities & also life & non life insurance
services. The following are the denotation & connotation of financial inclusion in

1. Affordable credit
2. Savings bank account
3. Payments & Remittance
4. Financial advice
5. Credit/debit cards
6. Insurance facility
7. Empowering SHGs(self help groups)

An inclusive financial system facilitates efficient allocation of productive resources

and thus can potentially reduce the cost of capital. An all-inclusive financial system
enhances efficiency and welfare by providing avenues for secure and safe saving
practices and by facilitating a whole range of efficient financial services like easy
day -to-day management of finances, safe money transfer etc. the government of
India as well as the banking industry has recognized the imperative and has
undergone certain fundamental changes over the last two decades. In fact, in order
to address the issues of financial inclusion, the government of India constituted a
“Committee on Financial Inclusion” under the Chairmanship of Dr. C. Rangarajan.
Not only in India, but financial inclusion has become an issue of Worldwide
concern, relevant equally in economies of the underdeveloped, developing and
developed nations. Building an inclusive financial sector has gained growing
global recognition bringing to the fore the need for development strategies that
touch all lives instead of select few.

The Need For Financial Inclusion

Despite witnessing substantial progress in financial sector reforms in India, it is

disheartening to note that nearly half of the rural households even today do not
have any access to any source of funds-institutional or otherwise. Hardly one-
fourth of the rural households are assisted by banks. Hence the major task before
banks is to bring most of those excluded, i.e. 75% of the rural households, under
banking fold. But the task is not so easy since they are illiterate, poor and
unorganized. They are also spread far and wide. What is needed is to improve their
living standards by initiating new/increased economic activities with the help of
banks, NGO’s and local development agencies. To start with, it is necessary to
develop a fair understanding of their profile. In addition, their perception about the
bank and its services needs to be understood.

So there is a need for the formal financial system to look at

increasing financial literacy and financial counseling to focus on financial inclusion
and distress amongst farmers, Indian banks and financial markets players should
actively look at promoting such programs as a part of their corporate social
responsibility. Banks should conduct full day programs for their clientele including
farmers for counseling small borrowers for making aware on the implications of
the loan, how interest is calculated, and so on, so that they are totally aware of its
features. There is a clearly a lot requires to be done in this area.

Benefits Of Financial Inclusion

Financial Inclusion has many benefits. Following are some of the benefits summed
 It paves the way for establishment of an account relationship which
helps the poor to avail a variety of savings products and loan products for
housing, consumption, etc.
 An inclusive financial system facilitates efficient allocation of
productive resources and thus can potentially reduce the cost of capital.
 This also enables the customer to remit funds at low cost. The
government can utilize such bank accounts for social security services like
health and calamity insurance under various schemes for disadvantaged.
From the banks point of view, having such social security cover makes the
financing of such persons less risky. Reduced risk means more flow of
funds at better rates.
 Access to appropriate financial services can significantly improve
the day-to-day management of finances. For example, bills for daily utilities
(municipality, water, electricity, telephone) can be more easily paid by using
cheques or through internet banking, rather than standing in the queue in the
offices of the services.
 A bank account also provides a passport to a range of other financial
products and services such as short term credit facilities, overdraft facilities
and credit card. Further, a number of other financial products, such as
insurance and pension products, necessarily require the access to a bank
 Transfer of money can be done more safely and easily by using the
cheque, demand draft or through internet banking.
 Lastly, the Employment Guarantee Scheme of the Government
which is being rolled out in 200 districts in the country would bring in large
number of people through their savings accounts into the banking systems
Tools Of Financial Inclusion and The Method To achieve Them

To address the issue of financial exclusion in a holistic manner, it is

essential to ensure that a range of financial services is available to every
individual. These services are:

(i) a no-frills banking account for making and receiving payments,

(ii) a savings product suited to the pattern of cash flows of a poor
(iii) money transfer facilitates,
(iv)small loans and overdrafts for productive, personal and other purposes,
(v)micro-insurance (life and non-life)

Understanding Key Stakeholders in Financial Inclusion

One has to first define who the stakeholders are: viz., banks, NBFCs, insurance
companies, market players, pension funds, postal system. Then define the
regulators such as Reserve Bank of India(RBI), Insurance Regulatory and
Development Authority (IRDA), Telecom Regulatory Authority of India (TRAI),
and Securities and Exchange Board of India (SEBI); institutions and think-tanks
and certainly the government. Unless all these stakeholders come together and
there is some kind of abroad consensus on what needs to be done, the purpose of
the study would not be adequately served.


 Planning Commission
 Ministry of Communications &Information (MoCIT)
 Ministry of Rural Development (MoRD)
 Ministry of Finance (MoF)
 Economic Advisory Council

2. Players

 Banks
 Insurance Companies
 Market Players
 Pension Funds
 Postal System

3. Regulators


4. Academia

 IISc

5. Institutions & Think Tanks

 Banking Codes and Standards
 Board of India

6. Civil Society

 NGOs
 E-Communities
7. Industry

 Technology Providers, (FINO, Integra, A Little World, Atom, Nokia,

Intel, etc)
 BCs & BFs
 ICT industry
 Telco‘s

‟RBIs Recent Initiative for Greater Financial Inclusion

Reserve Bank of India initiative aim to connect people‖ with banking system and not just
opening account has given impetus to greater financial inclusion. This includes
meeting the small credit needs of the people, giving them access to the payments
system and providing remittance facilities. This has led to some notable

 No Frills Accounts: In November 2014, RBI asked banks to offer a basic

banking no-frills‘ account with low or zero minimum balances and minimum charges to
expand the outreach of such accounts to the low income groups.

 Easier Credit facility: Banks were asked to introduce a General

Purpose Credit Card(GCC) facility up to Rs. 25,000. However, total number
of GCCs issued by banks as at end-March, 2009 was only 0.15 million.

 Simpler KYC Norms: In order to ensure that people belonging to

the low income groups, both in urban and rural areas, do not encounter
difficulties in opening bank accounts, the' Know Your Customer' (KYC)
procedure for opening accounts was simplified for those accounts with
balances not exceeding Rs 50,000 and credits thereto not
exceeding Rs.100,000 in a year.

 Use of Information Technology: Banks have been urged to scale

up IT initiatives for financial inclusion speedily while ensuring that
solutions are highly secure, amenable to audit, and follow widely-accepted
open standards to ensure eventual inter-operability among the different
systems. Two of the important initiatives are:
O Smart cards for opening bank accounts with biometric identification. These help
customers get banking services near their doorstep.
O Link to mobile hand held electronic devices for banking transactions. In
October2008, the RBI advised banks on issues relating to technology, security
standards, and customer protection.

 EBT through Banks: The Reserve Bank is in consultation with

state governments to encourage them to adopt Electronic Benefit Transfer
(EBT) by banks.

 100% Financial Inclusion Drive: The Reserve Bank launched a

financial inclusion drive targeting one district in each state for 100%
financial inclusion. To make it viable RBI advised banks to:

O Ensure provision of banking services nearer to the location of the no-frills

accountholders through a variety of channels.
O Provide GCC/small overdrafts along with no-frills accounts to encourage
theaccount holders to actively operate the accounts.
O Conduct awareness drives of the facilities offered to the no-frills account
O Review the extent of coverage in districts declared as 100 per cent
financially included

Bank of Baroda is one of the most prominent banks in India, having its total assets
as Rs.1,43,146 crores as on 31st of march 2007. The bank was founded by Maharaja
Sayajirao Gaekwad III (also known as Shrimant Gopalrao Gaekwad), the then
Maharaja of Baroda on 20th of july 1908 with a paid capital of Rs. 10 lacs. From its
introduction in a small building of Baroda, the bank has come a long way to
achieve its current position as one of the most important banks in India. On 19 th of
july 1969, Bank of Baroda was nationalized by the government of India along with
13 other commercial banks.

Financial Details

As of March 2,2016, the bank had total deposits worth Rs. 124915 crores while it
had a total number of 2956 branches located worldwide as on april 2016, out of
which 626 were located in metro cities, 524 in urban areas, 642 in semi urban
locations, 1092 in rural areas and 72 were located outside India. The bank has 10
zonal offices and 43 regional offices which help it operations nationally.

Banks have been merged with Bank of Baroda

 Hind Bank Ltd(1958)

 New citizen Bank of India Ltd(1961)
 Surat Banking Corporation(1963)
 Tamilnadu Central Bank (1964)
 Umbergaon People Bank(1964)
 Traders Bank Limited(1988)
 Bareilly Corporation Bank Ltd(1998)
 Benares state Bank Ltd(2002)
 South Gujarat Local Area Bank Ltd(2004)
 Memon Cooperative Bank Limited(2011)

Products and services of Bank of Baroda

 Retail Banking
 Rural/Agri Banking
 Wholesale Banking
 SME Banking
 Wealth Management
 Demat
 Product Enquiry
 Internet Banking
 NRI Remittances
 Baroda e-Trading
 Interest Rates
 Deposit Products
 Loan Products
 ATM/Debit Cards

Financial Inclusion

Financial inclusion has been a priority area for the bank as reflected in its mission
‘banking for the unbanked’. The bank has opened 1,16,96,385 accounts as on 30
sep 2016. The bank has also issued 99,67,026 rupay cards. The amount mobilizes
through these accounts touched the level of Rs. 1061 crore as on 30 sep 2016. The
bank undertook lot of Financial Literacy campaigns to educate customers on
various banking facilities across the country with the help of its well defined
institutional structure in the form of 56 BOB Rural Self Employment training
institutes, 108 Financial Literacy centres and 10 Farmers Training Centres.

Corporate social Responsibility

Corporate social Responsibility (CSR) is an integral part of Corporate business

strategy of the bank. The bank is promoting welfare of people living in rural and
semi urban areas as a part of its CSR activity.


Project Title:”Financial position of bank of baroda over the period of last five years

1. To learn the concept of financial analysis and highlight its

2. To understand the importance of Ratio Analysis and highlight its
advantages and disadvantages.
3. To analyze the financial position of bank of baroda and the period of
last five years.
Research methodology is a way to systematically solve the research problem. It
may be understood as a science of studying how research is done scientifically. So,
the research methodology not only talks about the research methods but also
considers the logic behind the method used in the context of the research study.

Objectives of the study

1. To identify level of awareness on Financial Inclusion among residents of katni.

2. To identify the approaches of Financial Inclusion adopted by Bank of Baroda
Industrial Branch katni.
3. To review the present status of the financial inclusion in katni and suggest.

Research Design

Descriptive research is used in this study because it will ensure the minimization of
bias and maximization of reliability of data collected. The researcher had to use
fact and information already available through financial inclusion of earlier years
and analyze these to make critical evaluation of the available material. Hence by
making the type of the research conducted to be both descriptive and analytical in

The information is collected through secondary sources during the project. That
information was utilized for calculating performance evaluations and based on that,
interpretation were made.

Data Collection Method

The required data for the study are basically secondary in nature.

Secondary Data : Most of the informations regarding to the theoretical aspects

were collected by referring standards texts and through internet.

Data Collection Technique

The data collection technique used for the study is through field visits which means
different departments of the branch and through the use of internet.

Sources of Secondary Data

1. Annual report of Bank of Baroda.
2. Detailed report of Financial Inclusion of Bank of Baroda.
3. Other Literature (RBI & Websites).


Performance under financial inclusion

By September 2016, 3.02 crore accounts were opened under the Pradhan Mantri
Jan Dhan Yojana Scheme, accounts were opened in Bank of Baroda with 14.22
lakh and 2500 aprox were opened in Industrial Branch Katni

1. Amounts deposited to the branch under the PMJDY account (figures in lakhs)

Jan-17 Feb- Mar-17 Apr-17 May-17 June-17 July-17

1045 2694 1567 1619 1952 1901 2076
Amount Deposited under Financial Inclusion


In the above graph it shows the amount of deposit in january 2017 is 1045, Febuary
2694, march is 1567, April 1619, May 1952, June 1901 and July 2076. Deposits
are continuously increasing during seven months. This continuous growth shows
that the employees of Bank of Baroda have worked efficiently to convince their
customers to open bank account for deposits.

2. Branch wise detail of villages/SSAs/households allotted and covered as on


Village SSA(sub service area) No. of household

Alloted Covered Alloted covered Alloted Covered
Industrial 300 200 600 430 1500 1329
Other 500 450 800 679 2000 1570
Branch in
Total 800 650 1400 1109 3500 2899

Branch wise Detail of Villages/SSAs/Households Allotted and Covered


Above mention the Diagram shows that Branch wise detail Allotted and Covered
by the branches in katni in which we finding the Industrial branch is in Sub
Service Area allotted 600 and covered430 same as in village area 300 out of 200
rest of these are covered by other branch and lastly in case of number of household
allotted to industrial branch allotted 1500 and covered 1329.
3. Phase wise target covered of Business Corresponding

Up to 31.07.2016 to 30.11.2016 to 31.03.2017 to

31.07.2016 30.11.2016 31.03.2017 30.06.2017
BOB Phase 1 Phase 2 Phase 3 Phase 4
Industrial 20 25 25 15
Branch Katni

Target covered of Business Corresponding


Above the figures shows that phase wise target for coverage of Business
Corresponding model and also shows industrial branch in katni target covered in
phase 1,2,3,4 in industrial branch phase 1 shows 20 are covered, then it increased
in phase2 i.e. 25 and in phase3 i.e. 25, then it decreased in phase 4 i.e. 15. This
means Business Correpondents has provided banking facilities to the customers till
phase 3 but Business correspondents has failed to provide services during phase 4.

4. Achievement of Bank Account Reaching a target with in one day from 16-aug
2016 by the specific Bank.

Banks Name No of acc. Opened with in one day

Total 190



Above mentioned the diagram shows that number of account opened with in a day
from 16- august 2016. In that case we are taking some banks name and all of them
Bank Of Baroda reaching a target 50 accounts opened in a day. This growth shows
that Bank of Baroda is trying to provide services to more and more peoples.

5. No. of ATM are provided to the customers

Jan-17 feb-17 mar-17 Aril-17 May-17 Jun-17 July-17

25 26 22 23 27 26 30
No. of ATM provided


Above figure shows the number of ATM provided to the customers in the year
2017 in January 25, Febuary 26, March 22, April 23, May 27, June 26, and July 30.
This graph shows that the continuous growth of providing ATM facility to the
customers by Bank of Baroda Industrial Branch Katni.

 Under the Pradhan Mantri Jan Dhan Yojana 2500 approx accounts
were opened in Bank Of Baroda industrial Branch katni.
 Under the PMJDY lots of account opened but only 60% are
operating continue the reason is the people are open account on the basis of
only receive the benefits of government.

 There are many initiatives are taken by Bank of Baroda Industrial

Branch Katni for Financial Inclusion and some of them are quite successful.

 Target are Alloted & Covered by Bank of Baroda Industrial Branch

Katni in Sub Service Area 430 out of 600,in village area 200 out of 300 and
in household area 1329 out of 1500.

 Majority of the account in the district has been opened by bank

official i.e some by business correspondent and some with the help of
friends and relatives

 Business Correspondent has covered many peoples to provide

banking facility till phase 3 but in phase 4 failed to provide services to the
peoples because bank has refused to open bank account to some people
bank has asked to open bank account with minimum Rs.500.

 on 16-august 2016, Bank of Baroda Industrial Branch has opened 50

accounts in a day

 Majority of peoples in Katni are aware about PMJDY & some are
not aware about that and those who are aware about financial inclusion are
not having crystal like understanding on various aspects of financial

 Branch has started looking for a cost effective technology solution

for low income groups.

 BoB wanted to partner with an IT vendor who could provide a

secured smartcard based solution that could be easily integrated with the
banks existing core banking systems and also had provision to support cash
deposits/ withdrawl, loan, fund transfer, etc.
We must promote the Financial Inclusion aggressively to serve our own low
income families but also to show ways to improve the life of poor people around
the katni district. Suggestion are as follow:

 Bank of Baroda should promote the financial product and services

of banking through all the educational institution (primary, secondary, and
higher secondary)

 Branch should help to develop financial literacy among the

population, particularly in low income families. That can be done by
teaching it in primary school, high school and colleges.

 The branch should encourage the people to access banking services

by ways of no frill account, Financial inclusion campaign & business

 Methods of financial inclusion need to be changed from distributing

printed literature to audio and visual media such as radio and tv programs

 Strengthening of BC Model with proper training about basic

banking and insurance products, provide them good infrastructure in terms
of good quality computers and other peripherals like Micro ATM, bio-
metric scanners, and internet connectivity.

 Readily availability of technology.

The project has been undertaken to study the FINANCIAL INCLUSION BY
BANK OF BARODA INDUSTRIAL BRANCH KATNI, to find out the steps taken
by the banks in the area of financial inclusion. The main objectives of the research
were to identify the approaches adopted by the Bank of Baroda industrial branch
katni and to know about the customer response towards the banking approaches
under financial inclusion program. Under this project find out that sometimes
bankers are suffering from lots of problem to the convinced to the customer from
the Jan-Dhan Yojana schemes because government of policy time to time changes
in regarding PMJDY schemes and that’s why bankers are confused to understand
the policy, It also aims at finding out the schemes of RBI on Financial Inclusion are
taken into account and the bankers perception on Financial Inclusion
The study concluded that though the banks are complying with RBI norms in terms
of opening branches, offering no frills account, kisan credit card, simplifying KYC
norms, but still is lot of effort to be put in for financial inclusion progress.
Biometric cards should be introduced for security in transactions as well as saving
time, Business correspondents should be employed in villages and trained in
advanced for promoting financial inclusion program. Bank need to open its more
branch and create more awareness about banking services among people of katni
by telling of the banking services. Financial Inclusion requires efforts on the parts
of two parties-Bank of Baroda industrial branch as well as general public for its
better progress.
A Project Report On
" Financial Position of Bank of Baroda over the Period of last Five
Years (2013 - 2017)"

In the partial fulfillment for the award of the Degree of

Master of Business Administration

Under the Guidance of


Submitted By
Komal Puruswani
Roll No-16161598



Gyan Ganga College Of Technology

Submitted to

Rani Durgavati Vishwavidyalaya, Jabalpur (M.P.)


I hereby forward the project entitled on the topic "Financial position of Bank of
Baroda”over the period of last five years(2013-2017),” submitted by Komal
Puruswani, student of MBA Department, Gyan Ganga college of Technology. In
partial fulfillment of the requirement for the award of the degree of Master of
Business Administration of Rani Durgawati Vishwavidyalaya, Jabalpur (M.P.)



I hereby declare that the project entitled "Financial position of Bank of

Baroda”over the period of last five years(2013-2017), which is being submitted in
partial fulfillment of the requirement for the award of the MBA from Rani
Durgavati Vishwavidyalaya, Jabalpur, (M.P.) is an authentic record and all the
information and facts furnished by me are true to my knowledge and are based on
the information collected through primary and secondary research done by me.
The matter reported in this project is neither being used elsewhere nor has been
submitted earlier for the award of degree of Master of Business Administration.

Komal Puruswani


It is with the sense of gratitude; I acknowledge the efforts of several people who
have helped me directly or indirectly to conduct this project work.

I would like to thank MR. Avinash Jain Branch Manager of Bank of Baroda, , Katni
without whom I would have not got this exposure of learning.

Words fails to express adequately my feeling of deep sense of gratitude which I

owe from deep of my heart to Director MBA Dr. Narendra Shukla, and all the
faculty members for their valuable support and counseling, constant help and
guidance without which the completion of the project would not have been

I am grateful to my parents who brought me up with love and encouragement to

this stage and have always stood beside me as my pillars of strength and guidance.

And last but not the least I would like to thank almighty who has always guided me
to walk on the right path of life.

Komal puruswani




S.No. Particulars Page No.
Certificate (i)
Certificate of Company (ii)
Declaration (iii)
Acknowledgement (iv)
1. Executive Summary
2. Introduction
3. Company Profile
4. Objective of the Study
5. Research Methodology
6. Data Analysis and Interpretation
7. Findings
8. Suggestions
9. Conclusion
10. Bibliography
 www.bankofbaroda.com

 https://en.m.wikipedia.org

 https://www.investopdia.com

 Inclusive Banking through business correspondent a tool for

Pradhan mantri Jhan Dhan Yojana(PMJDY)

 The little data book on Financial Inclusion 2017

 Towards Financial Inclusion in India by G.D. Banerjee