A PROJECT REPORT

ON
“STUDY OF PUNJAB NATIONAL BANK”
SUBMITTED BY
SHARMA KAVITA AMRESH
T.Y.B.Com (B&I) [Semester V]

PADMASHREE ANNASAHEB JADHAV BHARTIYA SAMAJ UNNATI MANDAL’S

B.N.N. COLLEGE
DHAMANKAR NAKA, BHIWANDI, 421302
SUBMITTED TO
UNIVERSITY OF MUMBAI
ACADEMIC YEAR
2016-2017

UNDER THE GUIDANCE OF

MR. PANKAJ DESAI
 A PROJECT REPORT
ON
“STUDY OF PUNJAB NATIONAL BANK”
SUBMITTED BY
SHARMA KAVITA AMRESH
T.Y.B.Com (B&I) [Semester V]

PADMASHREE ANNASAHEB JADHAV BHARTIYA SAMAJ UNNATI MANDAL’S

B.N.N. COLLEGE
DHAMANKAR NAKA, BHIWANDI, 421302
SUBMITTED TO
UNIVERSITY OF MUMBAI
ACADEMIC YEAR
2016-2017

UNDER THE GUIDANCE OF

MR.PANKAJ DESAI
 Padmashree Annasaheb Jadhav Bhartiya Samaj Unnati Mandal’s

B.N.N.College, Bhiwandi.
(Arts, Science & Commerce) Dist.Thane – 421 305
SELF FUNDED COURSES
Bachelor of Banking and Insurance (B.B.I.)

Est. June 1966

CERTIFICATE

This is to certify that, MISS. SHARMA KAVITA AMRESH. (Roll

No.50) of T.Y.B Com (B&I), B.N.N College, Semester V (Academic Year
2016 - 2017) has successfully completed the project entitled “STUDY OF
PUNJAB NATIONAL BANK” and submitted the Project Report in partial
fulfillment of the requirement for the award of the Degree of B.Com (Banking
& Insurance sem.-V) of University of Mumbai.

Mr.pankaj desai Dr. Suvarna T. Rawal Dr. Ashok D.wagh

(Project Guide) (Co-ordinator) (Principal)

Examiner: - 1._______________________

College Seal
 DECLARATION

I, Miss SHARMA KAVITA AMRESH (Roll No.50) of

TY.B.Com.(Banking and Insurance) Semester V, studying in
B.N.N. College, Bhiwandi, hereby declare that the information
contained in the project titled “STUDY OF PUNJAB NATIONAL
BANK” is true and correct to the best of my knowledge and belief.

________________________

PATIL MAYURI VISHWAS

T.Y.B Com (B&I)

PLACE: BHIWANDI
DATE:
 ACKNOWLEDGEMENT

I am deeply indebted to my project guide, my family and friends who have supported me all

through my project by encouraging and inspiring me. They have also contributed to the

quality of the material presented in the project. I would like to acknowledge all those whom I

owe a debt of gratitude. It is my foremost duty to express my sincere gratitude towards my

mentor, guru and guide, Mr. pankaj deasi, Assistant Professor, B.N.N. College, Bhiwandi,

Dist.–Thane, Maharashtra for her constant encouragement, support and generous attitude

which helped me with new insights not only in understanding different aspects of my project

but also the intricacies of life. It was truly an enriching experience working under her

guidance.

I must thank the Management of B.N.N. College, Dist.–Thane, Maharashtra and our Principal

Dr. Ashok D. Wagh for constantly encouraging me. I also thank our coordinator Dr. Suvarna

T. Rawal, and all Vice-Principal of B.N.N. College for their constant support and

cooperation.

I express my deep sense of gratitude to all my teachers, friends and all well wishers

who were always concerned about my project and contributed directly or indirectly for the

successful completion of my project work.

SHARMA KAVITA AMRESH

SUMMARY

Punjab National Bank was recognized by Dun & Bradstreet (2009) as the “
Top Public Sector Bank” under including the category of “Priority Sector
lending including Financial Inclusion.” Bank has also been conferred with the
award by the institute for Development and Research in Banking Technology
(IDRBT, 2008) for use of technology financial inclusion.

Bank constantly innovates, reorients strategies and realigns business processes

with advanced technology to serve the customers better and earn strong brand
salience, loyalty and recall. Total income of Bank increased by 36.8% to reach
a level of Rs 22246 crore. Operating profit of Bank rose by 43.4% to Rs 5,744
crore. Total business of PNB stood at Rs 3,64,463 crore (y-o-y increase of
27.5%). Total income of Bank increased by 36.8% to reach a level of Rs
22,246 crore.
The Board Of Directors has recommended a Dividend of 200 % for the year
2008-09. Among Nationalized Bank, PNB has the largest network of 4668
offices, including 238 extension counters. All branches offer the Centralised
Banking Solution, along with a variety of financial products catering to
different market segments.
PNB has always looked at technology as a key facilitator to provide better
customer service and ensured that its ‘IT strategy’ follows the ‘Business
strategy’ so as to arrive at “Best Fit”. The bank has made rapid strides in this
direction.
 OBJECTIVES

1. To study good and fair banking practices by setting minimum standards in

dealing with customer of Punjab National Bank.

2. To study a fair & cordial relationship between customer and bank.

3. To study Vision & Mission of Punjab National Bank.

4. To study different types of Products & Services offered by Punjab National

Bank.

5. To study the growth of Punjab National Bank.

 INDEX

CHAPTERS CONTENTS PAGE NO.

1 Introduction 1-3

2 Profile 4-6

3 Review of literature

4 Data Analysis and interpretation

5 Observations and Conclusions

6 Suggestions

7 Bibliography
INTRODUCTION

MEANING AND DEFINITION OF BANK:

MEANING OF BANK:

A bank is a financial intermediary that accepts deposits and channels those

deposits into lending activities, either directly or through capital markets. A
bank connects customers with capital deficits to customers with capital
surpluses.

Banking is generally a highly regulated industry, and government restrictions

on financial activities by banks have varied over time and location. The current
set of global bank capital standards are called Basel II. In some countries such
as Germany, banks have historically owned major stakes in industrial
corporations while in other countries such as the United States banks are
prohibited from owning non-financial companies. In Japan, banks are usually
the nexus of a cross-share holding entity known as the keiretsu. In Iceland
banks had very light regulation prior to the 2008 collapse.

The oldest bank still in existence is Monte dei Paschi di Siena, headquartered
in Siena, Italy, which has been operating continuously since 1472.
 DEFINITION OF BANK:

Banking can be defined as -

An institution which accepts deposits, makes business loans, and offers related
services. Commercial banks also allow for a variety of deposit accounts, such
as checking, savings, and time deposit. These institutions are run to make a
profit and owned by a group of individuals, yet some may be members of the
Federal Reserve System. While commercial banks offer services to
individuals, they are primarily concerned with receiving deposits and lending

PUNJAB NATIONAL BANK

Punjab National Bank (PNB) (BSE: 532461), is a state-owned financial

services company located in New Delhi, India. It was registered on May 19,
1894 under the Indian Companies Act with its office in Anarkali Bazaar
Lahore. Today, the Bank is the second largest government-owned commercial
bank in India with about 5000 branches across 764 cities. It serves over 37
million customers. The bank has been ranked 248th biggest bank in the world
by the Bankers Almanac, London. The bank's total assets for financial year
2007 were about US$60 billion. PNB has a banking subsidiary in the UK, as
well as branches in Hong Kong, Dubai and Kabul, and representative offices
in Almaty, Dubai, Oslo, and Shanghai.

Punjab National Bank is one of the Big Four Banks of India, along with ICICI
Bank, State Bank of India and Canara Bank .
HISTORY OF PUNJAB NATIONAL BANK

Punjab National Bank was established in the year 1895 found by Punjab
Kesari Shri Lala Lajpat Rai at Lahore (now in Pakistan) as a joint stock
company. After the partition in 1947, the bank grew steadily with its presence
at the important centers and metropolitan cities of the country and emerged as
one of the big five Indian banks during pre-nationalized period.

The bank was nationalized in 1969 along with 13 other banks. Subsequently,
in 1993 it took over the New Bank of India, another bank that was nationalized
in 1980. In 2003 the Nedungadi Bank Ltd., a south based private sector bank
also
Merged the bank. Thus the bank, which previously had its main business area
around the Indo-Gangetic belt and major metros, could ensure its remarkable
presence in the entire country.

Presently, it is the second largest bank of the country rendering a wide variety
of banking services (corporate/personal/industrial finance/agriculture
finance/financing of trade and commerce/international banking). It has a broad
clientele base like Multi National Corporation, Indian Conglomerates,
medium/small industrial units and NRI’s. As a bank with global standard, it
was ranked 416th among the biggest bank in the world by the banker’s
Almanac in 2002.The bank is member of the SWITY (society for Worldwide
International Financial Telecommunication) and has strong correspondent
relationship with the leading international banks. Continued financial sector
reforms led to greater alignment of financial sector to the competition business
environment.

Operational and supervisory practices in the sector have been progressively

matching international standards. In the process Indian banking system is
becoming increasingly mature in terms of transformation of business process
and risk management. The head office of the Bank is at, Bhikaji Cama Place,
New Delhi.
 The bank also has subsidiaries like PNB Gilts Ltd., PNB Housing Finance
Ltd.,PNB Capital Services Ltd., PNB Assets Management Co .Ltd.

MILESTONE

 1895: PNB commenced its operations in Lahore. PNB has the distinction of being the
first Indian bank to have been started solely with Indian capital that has survived to
the present. (The first entirely Indian bank, the Oudh Commercial Bank, was
established in 1881 in Faizabad, but failed in 1958.) PNB's founders included several
leaders of the Swadeshi movement.
 1904: PNB established branches in Karachi and Peshawar.
 1940: PNB absorbed Bhagwan Dass Bank, a scheduled bank located in Delhi circle.
 1947: Partition of India and Pakistan at Independence. PNB lost its premises in
Lahore, but continued to operate in Pakistan.
 1951: PNB acquired the 39 branches of Bharat Bank (est. 1942); Bharat Bank became
Bharat Nidhi Ltd.
 1961: PNB acquired Universal Bank of India.
 1963: The Government of Burma nationalized PNB's branch in Rangoon (Yangon).
 September.
 1965: After the Indo-Pak war the government of Pakistan seized all the offices in
Pakistan of Indian banks, including PNB's head office, which may have moved to
Karachi. PNB also had one or more branches in East Pakistan (Bangladesh).
 1960s: PNB amalgamated Indo Commercial Bank (est. 1933) in a rescue.
 1969: The Government of India (GOI) nationalized PNB and 13 other major
commercial banks, on July 19, 1969.
 1976 or 1978: PNB opened a branch in London.
 1986 The Reserve Bank of India required PNB to transfer its London branch to State
Bank of India after the branch was involved in a fraud scandal.
 1986: PNB acquired Hindustan Commercial Bank (est. 1943) in a rescue. The
acquisition added Hindustan's 142 branches to PNB's network.
 1993: PNB acquired New Bank of India, which the GOI had nationalized in 1980.
 1998: PNB set up a representative office in Almaty, Kazakhstan.
VISION AND MISSION OF PUNJAB NATIONAL BANK

VISION
“To evolve and position the Bank as a world class progressive cost effective
and customer friendly institution providing comprehensive financial and
related services; integrating frontiers of technology and serving various
segments of society especially the weaker section; committed to excellence in
serving the public and also excellence in serving the public and also excelling
in corporate values.”

MISSION
“To provide excellent professional services and improve its position as a
leader in the field of financial and related services; build and maintain a team
of motivated and committed workforce with high work ethos; use latest
technology aimed at customer satisfaction and act as an effective catalyst for
socio-economic development”
 LOGO AND SLOGAN

Established in 1895 at Lahore, then undivided India, Punjab National Bank

(PNB) has the distinction of being the first Indian bank to have been started
solely with Indian capital. The bank was nationalized in July 1969 along with
13 other banks. From its modest beginning, the bank has grown in size and
stature to become a front-line banking institution in India at present. It has
more than 4000 branches and over 400 extension counters. Strong
correspondent banking relationship, which it maintains with over 200 leading
international banks all over the world, enhances its capabilities to handle
transactions worldwide. More than 50 renowned international banks maintain
their Rupee Accounts with PNB.

With its presence virtually in all the important centres of the country, PNB
offers a wide variety of banking services which include corporate and personal
banking, industrial finance, agricultural finance, financing of trade and
international banking. The large presence and vast resource base have helped
the bank to build strong links with trade and industry. At the same time, the
bank has been conscious of its social responsibilities by financing agriculture
and allied activities and small-scale industries.
The bank is committed to maintaining the highest standards of service and will
be covering more offices under this quality movement titled 'Alliance with
Quality'
PRODUCTS AND SERVICES
Punjab National Bank offers financial solutions and services in an array of sectors. All
these services that are offered keep pace with the changing market trends in order to
fulfill the needs and preferences of the customers. Some of the well known sectors on
which the main functions of the bank are based are:

 Personal Banking
 Corporate Banking
 Agriculture finance services
 Industrial finance services
 Trade financial services
 International banking services
PNB also has commercial relationship with more than 200 prestigious
international banks across the globe. It has the provisions of Rupee Drawing
Arrangements with around 15 exchange companies in the UAE and 1 in
Singapore.

In case of the personal banking segment, the bank offers customized solutions to
take care of almost all financial needs of the customers. Some of the well known
services that are offered in the bank are:

PUNJAB NATIONAL BANK FIXED DEPOSIT

Punjab National Bank is a leading public-sector bank offering fixed deposit products to
customers at varying tenors and competitive rates. Interest rates on fixed deposits, however,
are prone to changes in line with market rates. This can make it difficult for potential
customers to ascertain maturity amounts and plan investments. To alleviate this, the above
table captures all changes made to the banks FD rates. This not only lets customers track
holdings but also make real-time comparisons.

PNB Short-Term FD Rates

The interest rate stands at 4.75% on a 30-day deposit. This is a reasonable return for those
with near-term liquidity requirements. For schemes with tenors of 46 and 90 days, the rate
stands at 6.25% which is enhanced by 0.25% for a tenor of 120 days (at 6.5%) and by 0.75%
for a tenor of 9 months at 7%. For deposit periods of 180 days, rates are same as 9 months i.e.
7%.

PNB Medium and Long -Term FD Rates

Interest rates on PNB’s fixed deposits for holdings of 1 year and above (up to 5 years) are
varying from 7.75% to 7.5%. Deposits held for 1 to 2 years gives highest interest rate 7.75%
while deposits held for more than 2 to 5 years will see a drop in rates to 7.5%. For tenures
above 5 years, the rate holds steady at 7.25%.

FEATURES OF PNB FIXED DEPOSITS

 Auto-renewal: If the depositor opts for auto-renewal, his/her term deposits will be
automatically renewed after maturity except for term deposits under the Recurring
Deposit Scheme, Capital Gain Scheme, PNB Tax Saver Scheme, Bulk Term Deposits
above 10 crore and Inter-Bank Deposits.
 Inclusion of blind and illiterate persons: PNB allows blind and illiterate persons to
open a fixed deposit account.
 Inclusions of all sections of society: Right from High School girls to beneficiaries of
road accident insurance claims, PNB FDs are designed to serve every category of
depositors.
CARD TYPES
1. PNB GLOBAL PLATINUM CREDIT CARD

The PNB Global Platinum Credit Card

As a Platinum card holder apart from all the facilities which are available to our other card
holders, you are entitled to other privileges:

Concierge Services
• 24x7 Global Concierge Desk. Call 1800-2100-131 for assistance in making dining referrals
and reservation assistance.
• Travel- airline and hotel bookings;
• Pre-trip- passport and visa assistance;
• Flower & gift booking and delivery assistance.
• A host of lifestyle services viz. show & event bookings and
• Emergency services viz. medical support, emergency road side assistance and patient travel
arrangements etc.

Additional Incentives
Additional incentives in shape of various mercantile offers.

Rewards Points:
Two points on every retail transaction of Rs.150/- made on Platinum card as against 2 points
for retail purchase of Rs 200 on other cards.

Year End Summary Statement of Account

In order to provide a superior level of convenience, Bank to provide year-end account
summary statements to their Visa Platinum cardholders.
2. PNB GLOBAL GOLD CARD

The PNB Global Gold Card

All-purpose credit card

The PNB Credit Card can be used for all your requirements, be it shopping, eating out,
holidaying, and fuelling up your vehicle, railway ticket reservations - just about any financial
requirement, planned or on desire.

Earn while you spend

With us, money spent is money earned. For every Rs. 100 you spend, you earn 1 reward
points. You can redeem these accumulated points for exciting offers from our exclusive
rewards program.

Add on cards
Get up to 2 add-on cards for your spouse, parents, son and/or daughter (over 18 years) and
allow them to enjoy the many benefits of the PNB Global Credit Card.

Lost Card Liability

In case your credit card gets lost, report it immediately to our 24-hour toll free call centre.
After you do this, you carry limited liability on any fraudulent transactions on your card.

Widely accepted at Merchant establishments & ATMs worldwide

Accepted at over 3, 80,000 merchant establishments & over 30,000 VISA ATMs across India
and at over 29 million merchant establishments and over 1 million VISA ATMs around the
world.

Utility Bill Payment facility

You can also pay your utility bill payments i.e. electricity bills, telephone / mobile bills, etc.
through our credit card by logging on to www.visabillpay.in/pnb.
3 .THE PNB GLOBAL CLASSIC CREDIT CARD

The PNB Global Classic Credit Card

All-purpose credit card

The PNB Credit Card can be used for all your requirements, be it shopping, eating out,
holidaying, and fuelling up your vehicle, railway ticket reservations - just about any financial
requirement, planned or on desire.

Earn while you spend

With us, money spent is money earned. For every Rs. 100 you spend, you earn 1 reward
points. You can redeem these accumulated points for exciting offers from our exclusive
rewards program.

Add on cards
Get up to 2 add-on cards for your spouse, parents, son and/or daughter (over 18 years) and
allow them to enjoy the many benefits of the PNB Global Credit Card.

Lost Card Liability

In case your credit card gets lost, report it immediately to our 24-hour toll free call centre.
After you do this, you carry limited liability on any fraudulent transactions on your card.

Widely accepted at Merchant establishments & ATMs worldwide

Accepted at over 3, 80,000 merchant establishments & over 30,000 VISA ATMs across India
and at over 29 million merchant establishments and over 1 million VISA ATMs around the
world.

Utility Bill Payment facility

You can also pay your utility bill payments i.e. electricity bills, telephone / mobile bills, etc.
through our credit card by logging on to www.visabillpay.in/pnb.
LOAN SERVICES

Punjab National Bank is also a well known name in housing loan benefits. The bank
offers both short term and long term loans. The rates are also affordable and can be paid
within a particular time. The housing loans are given for a number of purposes such as:

 Construction of a building
 Purchase of a new house or a flat
 Purchase of flat or house on a First Power of Attorney basis
 For the purpose of repair or renovation of a house or a building

CAR LOAN/2 WHEELER LOAN

Drive dream car/bike home. PNB gives loan for the purchase of new/old car,
van or jeep, new bike at very attractive interest rates with a convenient
repayment period.

LOAN AGAINST JEWELLERY

Loan against Gold & Jewellery for individuals/business enterprises, both for
business & personal needs.
TRADERS LOAN
Maximize business turnover with PNB traders loan with minimum paper work and
attractive rate of interest, for whole sellers, dealers, distributors, individuals, firms,
registered cooperative societies & companies. Loans also available for purchase of
shop /showroom.

HOUSING LOAN
Bring own dream home to life. Avail ‘flexi’ housing loan and have the advantage of
substantial savings on the interest component. Insurance cover for home loan
borrowers available.

PERSONAL LOANS
A scheme to meet all types of personal needs, for permanent/confirmed
employees/Defence Personnel and Professionally Qualified Doctors.

CORPORATE LOANS
Corporate can expand & diversify with user friendly Corporate Loans Products
Working Capital, Term Loan, Bank Guarantee, Letter of Credit & others.

EDUCATIONAL LOAN
Avail “Sarvottam Shiksha & Vidyalakshyapurti” schemes for studies In India
& abroad and ensure a great career for child.

PNB GRAMIN CHIKITSAK

Scheme for financing qualified medical practitioners for setting up clinics in
rural areas at concessional rate of interest.

LOAN TO PENSIONERS
PNB values the traditions of India by giving special benefits to the senior
citizens.
 LOANS TO WOMEN
PNB’s “Mahila Sashaktikaran Abhiyaan” & “Mahila Samridhi Yojana” give
special benefits to women customers that help in building their confidence & self-
esteem.

Subsidiaries of Punjab National Bank

 PNB Gilts
 PNB Housing Finance
 PNB Investment Services
 PNB Insurance Broking
 PNB Life Insurance Co.

Joint Ventures of Punjab National Bank

 Principal PNB Asset Management Company
 Principal Trustee Company
 Assets Care Enterprises
 India Factoring & Finance Solutions.

The PNB Housing Finance sanctions around 80% of the cost of the project.
However, the maximum amount is around Rs 50 lakh. The maximum loan amount for
the purpose of renovation and repair is Rs 5 lakh. In most cases, the loan is available for
a period between 5 and 20 years before one becomes 65 years of age. The interest of
the loan is based on the reducing balance and the principal amount of the loan is also
based on the repaying capability of the borrower.
 Punjab National Bank facilitate home loan for those who can never buy their
own house to save interest cost, usually Punjab National Bank offers 75% to
80% as home loan.
Also offers car finance to the minimum monthly amount with low interest,
Furthermore Punjab National Bank offering cooperate banking which includes
loan against future lease rentals, EXIM Finance, Cash Management Services
and Gold card scheme for exporters.
 This Bank also offers a lot of facilities for personal banking like saving fund
account, current account, fixed deposit schemes, credit schemes, ATM Card,
Nomination Facilities and deceased claim cases.
 Punjab National Bank is famous for the helper of poor and needy people like
farmers, this bank facilitate farmers to avail Krishi Card, agriculture credit
 schemes, Punjab National Bank welfare trust Presently, it is the second largest
bank of the country rendering a wide variety of banking services:

CENTRALISED BANKING SOLUTION (CBS)

CBS, an inter-branch networking and data-sharing platform helps to operate

account from any city in India having CBS networked branches. Changing
status from Customer of the Branch’ to ‘Customer of the Bank’, presently,
there are over 2,616 CBS networked brandies in 820 cites.

NRI’S & TOURISTS

Currency exchange services are being provided by our Exchange Bureau’s spread
throughout the country.

ONLINE TAX PAYMENT

PNB provides the facility of online payment of service tax, excise duty,
DGFT, custom duty & all charges under MCA.

MUTUAL FUNDS & INSURANCE

The bank has tied-up with Principal Financial Group for providing Mutual
Funds and Insurance services & also tied up for distribution & marketing of
UTI Mutual Funds.

NRI SERVICES
NRE, FCNR, RFC, NRO Deposit a/c investment Management & Housing
Loan facilities for NRI’s.

FOREIGN EXCHANGE
PNB has 150 branches authorized for handling foreign exchange business and
these branches have been provided with SWIFT connectivity to ensure faster
realisation of funds.
E-MONEY INDIA

Send money to the loved ones in India through PNB’s e-Money India service.
Draft delivery across 4,038 locations and Bank Credit to over 2,500 branches.

ONLINE RAILWAY RESERVATION/AIR TICKET

BOOKING
Say goodbye to long queues. PNB offers online booking & information
through IRCTC payment gateway. Just click and travel comfortably.

DEPOSITORY SERVICE
PNB Depository service provides the facility of having shares & securities in
Demat form & executes transactions of sales & purchase hassle free
electronically.
 LOCKERS

Now, customer can relax with assurance of having your locker at the PNB
branch nearest to their home.

Safe Deposit Lockers

For the safety of your valuables, our locker facility offers a safe, trustworthy space to
store them. There is a nominal annual rent (payable in advance), which depends upon
the size of the locker and the centre at which the branch is located.
 The Bank`s Safe Deposit (Locker) Service is made available to those customers who
maintain a Savings/Current Account (individually or jointly). However, Lockers are
not leased out to minors. Lockers can be leased out to Blind person also.
 Locker facility is provided by the Bank at its select branches.
 Allotment of lockers is on first-come-first served basis.
 At the time of hiring the locker, bank will obtain a minimum security deposit in the
form of FDR from the lessee which will be decided by the bank from time to time.
 The locker will be operated during the specified timing displayed at the branches.
CUSTOMER CARE FACILITY
All the banking queries and problems are just a call away! PNB presents 24 hr.
customer care facility.

PNB GOLD COIN

PNB gives opportunity to dazzle the well wishers, patrons, partners and
acquaintances with the mystical charisma of PNB’s 999.9 fineness pure 24-
carat gold coins and to convey the true value of treasured relationship. Enjoy
guarantee of purity & weight of hallmarked gold coins.

ELECTRONIC CLEARING SERVICE (ECS) &

ELECTRONIC FUNDS TRANSFER (EFT)
Avail ECS for quick movement of funds in a paperless mode & EFT to ensure
an expeditious transfer of funds by using electronic media.

WEALTH MANAGEMENT SERVICE

PNB provides customized financial advisory services for individuals that
includes Mutual Funds, insurance, Retirement Planning, Tax planning, & Debt
Management to customers for wealth maximization.

ONLINE BILL PAYMENT

No more queues to pay your bills. Now pay telephone, mobile, electricity,
insurance & several other bills 24 hours, 365 days, from the desktop.
 ORGANISATIONAL STRUCTURE

Bank has its Corporate Office at New Delhi that supervises 13 FGM offices and 76
Circle Offices under which the branches function. The delegation of powers is
decentralised up to the branch level to facilitate quick decision making .

Head Office

Zonal Office

Regional Office

Branches

COMMITTEE

Name of the Committee in PNB

 Management Committee
 Audit Committee of the Board
 Risk Management Committee
 Share Transfer
 Stakeholders Relationship Committee
 Customer Service Committee
 I.T. Strategy Committee
 Appellate Authority and Reviewing Authority
 Special Committee of Board to monitor and follow up fraud
 Committee of Directors to Review Vigilance and Non Vigilance cases
 Remuneration Committee
 Nomination Committee
 Steering Committee for Vision
 Credit Approval Committee
 Election of Shareholder Directors – Voting by Public Sector Banks
 Committee of the Board to Monitor the Progress in Recovery
 Committee for Review of Identification of Willful Defaulter
 Non-Cooperative Borrowers Classification Review Committee
 Steering Committee of the Board on HR
RISK MANAGEMENT

The future of banking will undoubtedly rest on risk management dynamics. Only
those banks that have efficient risk management system will survive in the market in
the long run. The effective management of credit risk is a critical component of
comprehensive risk management essential for long-term success of a banking
institution.

Although capital serves the purpose of meeting unexpected losses, capital is not a
substitute for inadequate decontrol or risk management systems. Coming years will
witness banks striving to create sound internal control or risk management processes.
With the focus on regulation and risk management in the Basel II framework gaining
prominence, the post-Basel II era will belong to the banks that manage their risks
effectively. The banks with proper risk management systems would not only gain
competitive advantage by way of lower regulatory capital charge, but would also add
value to the shareholders and other stakeholders by properly pricing their services,
adequate provisioning and maintaining a robust financial structure.

‘The future belongs to bigger banks alone, as well as to those which have minimized
their risks considerably.’

PROCESS

 Doorstep banking service for HNI customer corporate.

 Various offer for students and senior citizens.
 standardization of services

PHYSICAL EVIDENCE

 Logo with tag line “the name you bank upon” financial report.
 The company financial reports are issued to customer to emphasis creditability.
 Pass book and receipts.

PEOPLE

 Serves are 37 million customers.

 employees 87,928(2016).
 Employees of a bank represent the organization to its customer.
QUALITY OF EXPERIENCE

 Credence quality – because customer has to rely on reputation & name factor of
bank.

GAP IN SERVICE QUALITY

 Gap between consumer expectation and management perceptions of consumer

expectation.
 gap between service quality specification and service delivery.gap between
service delivery and exchange communication.
 Gap between perceived service and expected service.

FORBES GLOBAL 2000 RANKING

 Punjab national bank was ranked 1243 in the Forbes global 2000.
 The bank has been ranked 248th biggest bank in the world by the bankers
almanac, London.
 PUNJAB NATIONAL BANK is one of the big 4 banks of India along with
ICICI BANK ,STATE BANK OF INDIA,HDFC BANK and BANK OF
BARODA its main competitors.
CASH MANAGEMENT SERVICE (CMS)
PNB’s CMS facilitates management of receivables and payments in technology driven
environment, ensuring availability of funds at reduced cost, helping reconciliation at
multi location accounts besides providing customized MIS.

FUNCTION OF PUNJAB NATIONAL BANK

 The functioning of the Sector 8 branch of the Punjab National Bank in Panchkula is
under the scanner in connection with the alleged Rs 50-crore fraud in distribution of
compensation in land acquisition cases by the former district revenue officer-cum-
land acquisition collector (DRO-cum-LAC) of Panchkula.
 National Highway Authority of India (NHAI) undertook fourlaning of national
highway-73 stretch between Yamuna nagar to Panchkula and the DRO Panchkula was
appointed as competent authority for land acquisition under the National Highways
Act 1956.
 A sum of Rs 495 crore was deposited in the joint account of DRO-cum-LAC and
project director, NHAI, in the Sector 8, Panchkula, branch of the PNB.
 In a letter to the chief manager of PNB, NHAI pointed out unauthorised and
fraudulent transfers of funds and a total of seven fixed deposit receipt’s (FDR) from
the joint account to an exclusive account of DRO-cum-LAC Panchkula.
 The funds were transferred without consent of the the joint account holder, that is,
project director, NHAI.
 A total of five accounts in the name of DRO-cum-LAC were opened outside
Panchkula district, at Jangpura (Delhi) branch of Punjab National Bank (PNB) during
the tenure of Naresh Kumar Sheokand from 2012 to 2014.
 Sheokand is accused of committing irregularities in distribution of compensation in
the land acquisition cases and is currently under suspension.
 NHAI also pointed out that the balance confirmation statement given by the bank
indicating balance as on March 31, 2014 showed a total of 17 FDR’s of Rs 10 crore
each.
 The branch did not make any mention of seven FDR’s which were transferred to other
branches.
 The branch was also accused of providing false balance confirmation statement vide
their letter dated April 11, 2015, wherein it was stated that there were 19 FDR’s
amounting to over `185 crore and balance as on March 31, 2015 was over Rs 10 crore.
 The total amount was shown as Rs 195 crore. A total of five FDR’s which were
shown in the statement of April 11 were deleted by bank vide its letter dated June 12
without any withdrawals having taken place from the main account.
 The NHAI claim that an amount of Rs 250 crore was transferred from their joint
account to the exclusive account of DRO-cum-LAC on March 20, 2013, which was
 reverted to the original account on April 23, 2013. However, the interest on the
amount for this period is to be credited in NHAI’s account.
 General manager-cum-project director NHAI, OC Mathur said that they had taken up
the issue of irregularities committed by the Sector 8, Panchkula, branch with the
higher authorities of the bank.
 Chief Manager of Sector 8, Panchkula, PNB, said that he had joined the branch
around 15 days ago and expressed his ignorance of the issue.

ACHIEVEMENT
 Punjab National Bank announced its Q1FY2010 results on 29 July 2009,
delivering 62% y-o-y growth in net profits to Rs832 crore (Rs512cr), substantially
ahead of expectations on account of large treasury gains, apart from healthy
operating performance.
 While the bank’s deposit growth was reasonably robust at 4.4% sequentially and
26.5% y-o-y, unlike the peers its growth in advances also remained strong at 38%
y-o-y.
 In spite of being at the forefront of PLR cuts, the bank posted a healthy growth in
Net Interest Income (NII) of 29% y-o-y.
 Other Income surged 113% y-o-y, driven by strong treasury gains of Rs355 crore
during the quarter in line with industry trends, even as Fee income was also robust
at 45% y-o-y, on the back of strong balance sheet growth.
GROWTH AND DEVELOPMENT OF PUNJAB NATIONAL BANK
To evolve and position the bank as a world class, progressive, cost-effective
and customer friendly institution providing comprehensive financial and
related services: integrating frontiers of technology and serving various
segment of society especially the weaker section of the society: committed to
excellence in serving .Corporate excellence emanate from good corporate
governance exercised by adopting standard of transparency, accountability,
professionalism, and ethical business practices with this in view, the has been
making efforts for adopting the best practices. The bank commitment towards
corporate governance is to bestow greater transparency and openness in the
management and to ensure best performance by staff at all the levels to
maximize the operational efficiency. Adopting the corporate governance as a
work ethos, the bank is committed to enhancing the stakeholders value.
Balance Sheet of Punjab National Bank ------------------- in Rs. Cr. -------------------
Mar '16 Mar '15 Mar '14 Mar '13
12 months 12 months 12 months 12 months
Capital and Liabilities:
Total Share Capital 392.72 370.91 362.07 353.47
Equity Share Capital 392.72 370.91 362.07 353.47
Reserves 35,072.64 37,321.06 34,125.07 30,894.58
Net Worth 35,465.36 37,691.97 34,487.14 31,248.05
Deposits 553,051.13 501,378.64 451,396.75 391,560.06
Borrowings 59,755.24 45,670.55 48,034.41 39,620.92
Total Debt 612,806.37 547,049.19 499,431.16 431,180.98
Other Liabilities & Provisions 16,273.94 17,204.89 15,093.44 15,019.15
Total Liabilities 664,545.67 601,946.05 549,011.74 477,448.18
Mar '16 Mar '15 Mar '14 Mar '13
12 months 12 months 12 months 12 months
Assets
Cash & Balances with RBI 26,479.07 24,224.94 22,245.58 17,886.25
Balance with Banks, Money at Call 47,144.02 31,709.23 22,972.87 9,249.13
Advances 412,325.80 380,534.40 349,269.13 308,725.21
Investments 157,845.89 151,282.36 143,785.50 129,896.19
Gross Block 5,222.73 3,551.48 3,419.74 3,357.68
Revaluation Reserves 2,844.78 1,387.55 1,408.18 1,428.85
Net Block 2,377.95 2,163.93 2,011.56 1,928.83
Other Assets 18,372.94 12,031.19 8,727.10 9,762.58
Total Assets 664,545.67 601,946.05 549,011.74 477,448.19
Contingent Liabilities 359,017.11 293,586.00 238,008.93 231,810.55
Book Value (Rs) 180.61 203.24 952.50 884.03
FUTURE PLANS OF PUNJAB NATIONAL BANK

To provide excellent professional services and improve its position as a leader

in the field of finance and related service, build and maintain a team of
motivated and committed workforce with high work ethos; uses latest
technology aimed at customer satisfaction and act as effective catalyst for
socio-economic development.

The bank is committed to its corporate mission to provide excellent

professional services and improve its position as leader in the field of financial
and related services, build, maintain a team of motivation and committed
workforce with high work ethos use latest technology, aimed at customers and
act as an effective catalyst of socio-economic development.

Punjab National Bank has focused quite a bit in rural areas, which is actually
needed for our country. Their ATMs are given the facility of English, National
Language Hindi and the local language of the state. They also provide mobile
top-up facility.
SWOT ANALYSIS

STRENGTHS

 Brand name of Punjab National Bank (PNB) is established over the years.
 Single window clearance - a single employee provides wide variety of
facilities to the borrower, minimizing the hassle of wastage of time.
 Appraisal techniques are used.
 Specialized software's are big assets.
 There is no penalty for prepayment from borrowers own service.

WEAKNESSES

 High interest rates as compared to other housing finance institutions.

 Top management takes large amount of time to approve high value seeking
loan borrowers. No publicity.
 No marketing managers work, only through dsa's (direct sales agent).
 People are not aware of wide variety of schemes offered by the company; tend
to think the company as only providing home loans.
 There is the shortage of staff at almost all branches which does not ensure easy
addressable of the customers problems.
 Delegation of authority and responsibility is not proper.

OPPORTUNITIES

 Special rates of interest are offered during exhibitions.

 Special rates of interest can be introduced for employees of PSU'S & reputed
national or multinational companies'
 Product life cycle is to be reviewed.
  The growing category of the builders ensure that good, high value &
qualitative projects, providing them home loans with the new and innovative
schemes can lead to over all development of the company.

THREATS

 The competition in market is very high due to the private players.

 The rates of interest of other players are quite low.
 Innovative schemes with horne loan from other players.
 The processing process is quite slow which leads to low housing finance.

A fraud case involving 32 cases worth Rs.3 crores at the one branch of PNB Housing Finance
Limited in year 2002 leads decreasing brand name.

PEST FACTOR

POLITICAL FACTOR
 RBI’S 1991 Monetary policies and control system.
 To enlist confidence of global investors and international market players
 Number of legislative changes to enable competitive banking system.

ECONIMICS FACTOR
 Economic fluctuation – delay in Indian vision 2020.
 Every year RBI declares its 60 monthly policies
 If FDI limits are relaxed then more are brought in India through banking channels.

SOCIO ECONOMIC FACTOR

 Tradition maharaja pratha
 Change in lifestyle
 Literacy rate
TECHNOLOGICAL FACTOR
 Foreign banking sectors entered in Indian market with asserting the technological
based approach.
 ATM machines
 Credit card policies
 IT services and mobile banking

CUSTOMER SATISFACTION

Customer satisfaction refers to the extent to which customers are happy with the products and
services provided by a business.
Customer satisfaction levels can be measured using survey techniques and questionnaires

Benefits to Punjab National Bank

 Documents Security: Fine Docs system facilitated role based access on all the
records / documents through a user name and a password.
 Easy Sharing and Collaboration: All documents were stored in FineDocs with
proper access control. This way authorized users were able to view /refer / share and
modify the documents
 Audit Trail: FineDocs has the functionality by which each and every operation,
event performed by the user like, user logins into the system, action done etc were
recorded with the time, thus increasing the accountability.

IT STRATEGY
 In 2000,to tackle the problem ,PNB hired ,a consultant and devised a two –
pronged plan of action.
 The plan comprised:
 A short term goal- to meet the cvc deadline of 70% computerization.
 A long term goal – to create dependable core banking infrastructure
 And build nationwide network to connect different branches to the core
infrastructure.

CULTURE AND TECHNOLOGY ISSUES

 PNB faced issues which were mostly cultural.
 Most staffers were used to working in a manual environment.
 In the new networked environment, personnel at the mode / counter didn’t actually
‘see’ the transactions updating in the various account books.
BRAND AMBASSADOR OF PNB

Punjab National Bank has engaged Mr. Virat Kohli as Brand Ambassador of the
Bank. On this occasion, Mr. Virat Kohli informed Mrs. Usha Ananthasubramanian,
Managing Director and CEO along with Sh. K.V. Brahmaji Rao and Dr. Ram S.
Sangapure, Executive Directors of the Bank and other senior officials that ‘PNB is
Mera Apna Bank’ as he is an account holder of the Bank since the age of 16 years.

Today PNB is seen as a complete universal Bank. Mr. Virat Kohli, an energetic young
sportsman having mass appeal to the youth of our country has been chosen as Brand
Ambassador who comes with qualities like determination, focus and for whom
winning is a habit.

SYSTEM
 Before deploying the core banking architecture .
 PNB used servers which were NT-based , from IBM. And from other vendors
.
 The bank conducted benchmarking test for finnacle on various server
platforms And it was satisfied with the performance of suns hardware on
solaria’s. Suns fire servers.
 Solaria’s os and oracles RDBMS are now in use.

REQUIREMENTS
 Punjab national bank (PNB) had certain requirements which were not being
fulfilled by the existent system:
 A unified view of business –related data.
 Timely data compilation.
 Improved customer service.
 CRM with customer profiling and segmentation.
 Monitoring of weak performance area.
IT STRATEGY
 In 2000,to tackle the problem ,PNB hired ,a consultant and devised a two –
pronged plan of action.
 The plan comprised:
 A short term goal- to meet the cvc deadline of 70% computerization.
 A long term goal – to create dependable core banking infrastructure
 And build nationwide network to connect different branches to the core
infrastructure.

CULTURE AND TECHNOLOGY ISSUES

 PNB faced issues which were mostly cultural.
 Most staffers were used to working in a manual environment.
 In the new networked environment, personnel at the mode / counter didn’t actually
‘see’ the transactions updating in the various account books.

GOALS OF PNB

Punjab National Bank always looks forward for the betterment of customer service and
ensured the members of bank for the finest services.

Punjab National Bank also offering internet banking service to the customers to pay their
utility bills, using e-commerce facilities, buy ticket and much more.

PNB having more than 3700 ATMS all over the country and has the wide ATM network.

The bank struggle for spreading their branches all over the world including sub-continent,
Europe and USA, and Punjab National Bank will fulfill the requirement of every state.

Punjab National Bank achieved many awards and achievement like “Niryatbandhu bronze
trophy”, also received “Excellent performance in lending under PMEGP scheme”, “Skoch
Challenge Award” and many other awards proving that the Punjab National Bank deserve to
be an attainable and trustful bank.
 PROBLEMS FACED BY PUNJAB NATIONAL BANK

• Punjab National Bank generates a lot of physical documents for their

existing clients. Managing these documents (Sorting, Indexing and
Filing etc) was a very hectic process for them.

• The regular procedure included taking out a page from the entire set
of documents of original application forms and then working on it. This
leads to papers being misplaced or left them in a dilapidated state, due
to constant wear and tear.

• For searching or locating any document / file was a hassle for the staff
involved in this process.

• Since paper based files/documents were accessible to each and every

Person, they were liable to be tampered, and resulted sharing of any
internal information with any unauthorized person.

• Physical documents were prone to damage with time, moisture,

rodents etc.

• Also there was a problem of disaster recovery

PYRAMID’S SOLUTION
 Pyramid IT Consulting proposed Punjab National Bank to automate manual Record /
Document keeping process by providing its Document Management Solution – Fine
Docs & Scanning Services – Fine Scan.
 After the implementation of the DMS, the application form and other related
documents got scanned and indexed with the user defined indexed values.
 After this whenever there was a need to refer to the original document, a search
feature of the DMS helped to retrieve the scanned copy of the document to the user.
 Search in Document Management Solution has been carried out on the basis of title,
as well as, keywords.

PNB GEN NEXT

o Longest repayment of 30 years
o Limit based on future salary
o No pre payment penalty
o No EMI repayment during holiday of 3-5 years
o Permissible age up to 40 years
o Eligibility –salaried employees with minimum 3 years working experience
o Purpose – for purchase or construction of house/ flat etc.
FINANCIAL RESULTS FOR THE QUARTER & FY ENDED 31ST MARCH 2016

PERFORMANCE HIGHLIGHTS
 Global Business grew by 9.5% to Rs 9.65 Lac Cr.
 CASA Deposits crossed landmark of Rs. 200000 Cr & its share to Domestic Deposits
stood at 41.63%.
 Operating Profit at Rs 12216 Cr for FY 16, more than Rs. 10000 Cr. for consecutive 5
years in a row.
 Net Advances increased by 8.4 % on YOY to Rs.412326 Cr.
 Share of Small Ticket Adv. to Domestic Non Food Credit. growing up and at 57.6%.
 Domestic NIM stood at 2.95% during FY 16.
 Cost of deposits came down to 5.85% during FY 16 from 6.09% as on FY 15 due to
least dependence on bulk deposits.

REORIENTATION OF BUSINESS:
 The Bank has reoriented its business model in alignment with the economic scenario
towards small ticket business. Riding on the Digital wave, PNB is driving fresh
growth in business through its vast network of branches spread Pan India.

BUSINESS TRANSFORMATION:
 Bank has framed strategies for all-round development and strength under “PNB
Indradhanush”. This is multidimensional approach for business transformation
focusing at People development, Digital banking, improved customer service, Quality
credit, Improved CASA and Profit maximization.
 Defining the priorities, PNB is pioneer in setting up “War Room” for real time
Resolution, Recovery and Up gradation of NPAs.

NETWORK
 Bank has 14756 touch points. Domestic branch network stands at 6760 and number of
Business Correspondents at 7996 as on 31.03.2016. ATM network of the Bank is at
9463.

INTERNATIONAL FORAYS
 Bank is having 4 overseas branches, 2 in Hong Kong, 1 in Dubai and 1 Offshore
Banking Unit in Mumbai and 4 Representative Offices (RO) at Dubai, Shanghai,
Sydney and Dhaka.
 Bank has two overseas subsidiaries viz. PNB International Ltd. –UK and Drug PNB
Bank Ltd, One associate company viz. JSC SB PNB Kazakhstan and one Joint
Venture Bank in Nepal i.e. Everest Bank Ltd.

BUSINESS
 Total Business of the Bank stood at Rs 965377 Cr as on Mar’16 registering a yoy
growth of 9.5% over corresponding period last year.

DEPOSITS
 Total Deposits of the Bank recorded a yoy growth of 10.3% to reach Rs.553051 Cr as
on Mar’16.
 CASA deposits increased to Rs.205583 Cr in Mar’16 recording a yoy growth of
11.9%. Domestic
  CASA share improved to 41.63% as on Mar’ 16 from 40.57% in Mar’ 15. The share
is one of the highest among nationalized banks.
 Saving deposits increased by 12.8% on yoy basis to Rs 169426 Cr.

ADVANCES
 Net Advances increased to Rs. 412326 Cr registering a yoy growth of 8.4% as on
Mar’16 In line with Bank’s objective to achieve profitable growth from the
grassroots, share of small ticket advances to Non food credit increased to 57.6% in
Mar’16 from 55.6% in Mar’15.
 Retail loans were at Rs 57801 Cr as on Mar’16, growing 19% on yoy basis over
Mar’15. Housing loan grew yoy by a robust 25% to Rs 26923 Cr in Mar’16.
 MSME Advances increased to Rs. 93472 Cr in Mar’16 showing yoy growth of
19.6%.

MICRO, SMALL & MEDIUM ADVANCES

 Credit to Micro & Small Enterprises grew by 17.4% to Rs 70711 Cr as on Mar’16.
 Credit to Micro enterprises stood at Rs.29319 Cr showing yoy growth of 18.1%.
 Under Pradhan Mantri Mudra Yojana (PMMY), the Bank has opened 596839
accounts and disbursed Rs 3593 Cr as on Mar’16.

PROFITABILITY
Operating & Net Profit
 Operating Profit for FY ended Mar’ 16 stood at Rs 12216 Cr.
 Net Profit for FY 16 stood at Rs (–) 3974 Cr.

INCOME
 Total Income stood at Rs 54301 Cr. during FY 16.
 Net Interest Income during FY 16 stood at Rs 15312 Cr and Non-interest Income.

ASSET QUALITY
 As on Mar ’16, Gross NPA ratio stood at 12.90% and Net NPA ratio was at 8.61%.
 Provision Coverage Ratio stood at 51.06% as on Mar’16.
 Restructured assets of the Bank declined to Rs 20144 Cr in Mar’16 from Rs 38315 Cr
in Mar’15
 For intensifying the efforts in NPA reduction, a ‘War Room’ at HO has been created.
E-auction drive and sale to ARCs are the other measures for recovery.

FINANCIAL INCLUSION
 PNB remains committed towards nation building and actively participated in all
schemes launched by the Govt.of India for financial & social empowerment of the
masses.
 Under the PM Jan Dhan Yojana, Bank opened 130 lacs accounts and issued 97.6 lacs
Rupay Cards as on Mar’ 16. Rs 1621 Cr have been mobilized in these accounts.
 No of transactions through BC channel have increased to 298 Lacs in Mar’16 against
135 lacs in Mar’ 15.
MOVE TOWARDS DIGITALIZATION
 Bank is moving towards digitalization and number of new age digital initiatives have
been introduced to provide greater ease and improved delivery of products and
services to customers.
 Concerted efforts are on to increase usage of Alternate Delivery Channels which
account for around 58% of transactions.

NEW PRODUCTS/INITIATIVES
 Towards People Development, a new Mobile App based e-Learning Platform named
‘PNB Univ’ has been launched.
 Tab Banking has been launched for acquisition of new customers using newly set up
marketing vertical.
 Mobile App based Banking - ‘PNB Mobiease’ and ‘ATM Assist’, for a complete
SMS Banking solution and ATM related queries respectively.
 Online Opening of PPF, RD & Saving accounts introduced in Internet banking (IBS).
 Bank has become the first bank in the banking industry to start cash deposit through
Micro ATMs.
 For women development, new schemes like PNB Vanita, PNB Power Savings and
Mahila Kaushal Vikas Yojna have been launched.
 Besides, 32 ‘Women only’ branches, branded as ‘Akshaya’ opened for the women
customers only.
 SCHEMES OF PNB
Punjab National Bank is extensively catering to banking needs of Non-resident Indians,
Importers & Exporters particularly relating to foreign exchange business including Imports &
Exports of Goods & Services as also Remittances etc.

PNB offers various schemes / products /services relating to international banking.

the broad details there of are as under
 Foreign Currency Non-resident Deposit A/c Scheme (FD)
 Non-resident External Deposit A/c Scheme (SB/CA/FD)
 Non-resident Ordinary Deposit A/c Scheme (SB/CA/FD/RD)
 Foreign Inward Remittances – Rupee Drawing Arrangements / Speed Remittances with
Exchange Houses
 Money Transfer Schemes
 PNB-NRI REMIT Scheme

PNB Parivar
 PNB Parivar (HRMS Package) was implemented in the year 2006 to act as a prerequisite
to payroll processing/centralised salary requirements of our bank. Apart from providing
niche facilities viz. centralized payroll processing and employee record maintenance, it
also provides a plethora of other useful processes and functions. Some of these important
activities include Performance Appraisal, Attendance, HR Management Information
System, Training Management, Employee Selection and Promotion Process, Employee
Self-Service and Absence Management. The payroll module automates the pay process
by gathering data on employee and calculating various deductions and generating
employee pay reports.
 The training module provides a system for administering and tracking employee training
and development activities. An employee is provided with the facility of online
submission of leave, Assets and Liabilities, Performance Appraisal, Newspaper and
Petrol reimbursement undertakings and also these facilities are available to him via
Employee Self Service and can be accessed through the Internet. On the whole, the
HRMS integrates employee information pertaining to different modules into a single
point of access and management and provides a rigid and flexible framework for
providing the above mentioned services.
PNB PROFILE
Punjab National Bank, India’s first Swadeshi Bank, commenced its operations on April 12,
1895 from Lahore, with an authorised capital of Rs 2 lac and working capital of Rs 20,000.
The far-sighted visionaries and patriots like Lala Lajpat Rai, Mr. E C Jessawala, Babu Kali
Prasono Roy, Lala Harkishan Lal and Sardar Dyal Singh Majithia displayed courage in
giving expression to the spirit of nationalism by establishing the first bank purely managed by
the Indians with Indian Capital.
Business Performance:
During the long history of over 121 years of the Bank, 7 banks have merged with PNB and it
has become stronger and stronger with a network of 6809 branches and 9669 ATMs as on
30th June’16. Today the Bank stands tall amongst nationalized banks in major financial
parameters i.e., Global Business, Domestic Business, Domestic Deposits, Net Advances,
CASA Deposits Savings Deposits and Operating Profit. The performance highlights of the
Bank in terms of business and profit are shown below

Rs. In Crore.
Parameter Mar`12 Mar`13 Mar`14 Mar`15 Mar`16 June`16 YoY
Growth

Deposits 379588 391560 451397 501379 553051 553952 7.0

Advances 293775 308796 349269 380534 412326 391574 2.8

Total Business 673363 700356 800666 881913 965377 945526 5.2

Operating Profit 10614 10907 11384 11955 12216 3275 4.6

Net Profit 4884 4748 3343 3062 -3974 306 -57.5

 The Global Business of the Bank at Rs 945526 crore grew by 5.2% on YoY basis as
on 30th June’16. Within the liability side, the Bank’s Global Deposits at Rs 553952
crore was above the March’16 level with a YoY growth of 7% in June’16. This was
on account of 12.1% growth in CASA Deposits which crossed Rs 2,00,000 crore. The
Bank has recorded consistently higher CASA share to Domestic Deposits which stood
at 41.39% as on 30th June’16. The Saving Deposits of the Bank at Rs 171122 crore as
on 30th June’16 grew by 14.4% on yearly basis.
 On the assets side, Net Advances of the Bank recorded reached Rs 391574 crore and
registered growth of 2.8% on yearly basis as on 30th June’16. Within the asset side,
the Bank placed a special focus on small ticket advances i.e., Retail, MSME and
Agriculture credit. As a result of this, the share of small ticket advances to Domestic
Non Food Credit increased from 56.1% in June’15 to 58.9% in June’16. The Bank
reported 19.7% growth in Retail credit, 9.9% in Agriculture advances and 8.4% in
MSME credit as on 30th June’16.

 In terms of Bottom Line parameters, the Bank has witnessed turnaround to Net Profit
of Rs 306 crore in Q1 FY’17. The Bank’s Operating Profit also increased from Rs
3132 crore in Q1 FY’16 to Rs 3275 crore in Q1 FY’17. This was due to robust growth
in Non Interest Income (68.5% on YoY basis). The Bank’s Trading Profit increased
from Rs 237 crore in Q1FY’16 to Rs 601 crore in Q1FY’17 and Recovery in written
off accounts increased from Rs 217 crore in Q1FY’16 to Rs 727 crore in Q1 FY’17.

 In terms of key financial ratios, the Bank’s Domestic Net Interest Margin at 2.80%
during Q1 FY’17 was one of the highest amongst nationalized banks. Due to
reduction in bulk deposits, the Cost of Deposits moved southward from 5.99% in Q1
FY’16 to 5.46% in Q1 FY’17. The Bank has been able to maintain its Capital
Adequacy Ratio above the regulatory requirement. The Bank’s CRAR stood at
11.58% which constituted Tier I ratio of 8.62% and Tier II ratio of 2.96%.

 The Bank’s Gross NPA and Net NPA stood at Rs 56654 crore and Rs 35729 crore,
respectively as on 30th June’16. In terms of ratios, the Gross NPA and Net NPA ratio
stood at 13.75% and 9.16%, respectively.
 The Bank continues to lay emphasis on improving the asset quality and the cash
recovery and upgradation was over Rs 6000 crore in June’16. Further, the standard
restructured assets declined to Rs 18909 crore in June’16 from Rs 39969 crore in
June’15. This resulted in improvement in the ratio of standard restructured advances
to gross advances from 10.19% in June’15 to 4.59% in June’16. The Provision
Coverage Ratio increased from 51.06% in March’16 to 52.50% in June’16.

Digital Banking

 The Bank launched bucket full of innovative digital products and services to make
banking experience more pleasurable, more convenient and more rewarding. The
digital solutions launched include the unique App enabling the customer not only to
locate PNB’s ATM but also to lodge complaints related to ATMs with `PNB ATM
Assist`. Other mobile apps are `PNB MobiEase` to provide single touch banking,
‘PNB Sleep Easy’ to disable and re-enable Internet banking and mobile banking
password and ‘Green PIN’ to enable customers obtain duplicate PIN for debit card
instantly through SMS request. The Bank is extending the SMS facility in 10
 Regional Languages of choice which are widely spoken after Hindi and English for
the customers.
 These languages are Bengali, Gujarati, Kannada, Malayalam, Marathi, Odia, Punjabi,
Tamil, Telugu and Urdu. The Bank has also introduced the facility to register for
Mobile Banking through vast network of over 9000 ATMs.

 In today’s digital world where customers enjoy the benefits of banking at their
fingertips, the Bank has introduced Online PPF and RD account opening facility.
Apart from this, the Bank has also launched online booking of locker facility
anywhere in India through the corporate website.

 Through the “Book your Locker-Anywhere in India” initiative, customers can search
for vacant locker position - city wise, branch wise and register online for the same
anywhere in India in case of availability. During FY’16, the Bank has also made
official debut on the social networking sites i.e., Twitter and LinkedIn, with an aim of
strengthening “Brand PNB” on social media and to engage with customers in a cost
efficient manner.

 The Bank is in process of introducing ‘PNB Unified Payments Interface (UPI)’,

which will allow fund transfer via. Mobile App, link all accounts including those
opened with other banks for making transactions and facilitate merchants to pull the
transactions through Mobile App as an alternate POS & cash transfer. These
endeavors will invigorate customers’ trust which continues to inspire the Bank’s
enduring success story.

Financial Inclusion:
 The Bank has always been in the forefront in partnering the economic as well as
social development of the country. The Bank has proactively met its commitments
towards social upliftment and financial empowerment of the targeted segments. This
is evident from the fact that Ministry of Finance, Government of India, has declared
PNB as first among all banks in deposit mobilized through Pradhan Mantri Jan Dhan
Yojana (PMJDY) accounts. PNB has opened 135 lakh accounts and mobilized Rs
1814 crore as on 30th June’16. The Bank has also issued around 99 lakh RuPay debit
cards.
 To provide card based transactions services to such customers, Micro ATMs have
been introduced at Business Correspondent locations. PNB is the first bank to deploy
Micro-ATMs with RuPay, Aadhaar based & other FI Transactions at BC locations.
 To spread financial awareness across the length and breadth of the country, the Bank
flagged off ‘Vitiya Jan Chetna Abhiyan’. This program will also emphasize on
creating awareness about the Pradhan Mantri Jan Dhan Yojana, Atal Pension Yojana,
Mudra Loans, Pradhan Mantri Jeewan Jyoti Yojana and Pradhan Mantri Jan Suraksha
Yojana.
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.
 Towards women empowerment, PNB became the first bank in the country to start
opening of ‘Sukanya Samriddhi Deposit accounts’. The Bank has also formulated new
schemes i.e., PNB Vanita financing scheme, PNB PoWer Ride, PNB PoWer Savings
and Mahila Kaushal Vikas Yojna. The Bank has opened 45 ‘Akshaya’ branches as on
30th June’16 which are managed exclusively by women for the women customers
only.

Awards And Recognitions

 The Bank has earned many awards and accolades in different areas. The major
awards conferred upon the Bank during FY’16 are ‘Golden Peacock National
Training Award 2016’ by Institute of Directors, ‘RBI Rajbhasha Award’,
‘Agriculture Leadership Award 2015’ by Agriculture Today Group’ and ‘Banking
Excellence Award 2015’ in the category of ‘Best Bank for PMJDY (Large Bank)’
by Chamber of Indian Micro Small & Medium Enterprises (CIMSME).

 The Bank was also adjudged as the “Most Respected Public Sector Bank’ by
Businessworld. Amongst nationalized banks, PNB topped the chart of India’s
Most Trusted Brand as per ‘The Brand Trust Report 2016’ launched by Trust
Research Advisory. As per ‘The Banker, PNB with world rank at 175th in 2016
has regained its Number One slot amongst nationalized banks.
CURRENT SCENARIO OF PUNJAB NATIONAL BANK
 With its presence virtually in all the important centres of the country,
Punjab National Bank offers a wide variety of banking services which
include corporate and personal banking, industrial finance, agricultural
finance, financing of trade and international banking. Among the clients
of the Bank are Indian conglomerates, medium and small industrial
units, exporters, non-resident Indians and multinational companies. The
large presence and vast resource base have helped the Bank to build
strong links with trade and industry.
 Punjab National Bank is serving over 3.5 crore customers through 4062
branches and 447 extension counters - largest amongst Nationalized
Banks. The Bank was recently ranked 21st amongst top 500 companies
by the leading financial daily, Economic Times. PNB's attempts at
providing best customer service has earned it 9th place among Indias
Most Trusted top 50 service brands in Economic TimesA.C Nielson
Survey. PNB is also ranked 368 amongst the top 1000 banks in the
world according to "The Banker" London.
 At the same time, the bank has been conscious of its social
responsibilities by financing agriculture and allied activities and small
scale industries (SSI). Considering the importance of small scale
industries bank has established 31 specialised branches to finance
exclusively such industries.
 Strong correspondent banking relationship which Punjab National Bank
maintains with over 200 leading international banks all over the world
enhances its capabilities to handle transactions world-\vide. Besides,
bank has Rupee Drawing Arrangements with 15 exchange companies in
the Gulf and one in Singapore. Bank is a member of the SWIFT and
over 150 branches of the bank are connected through its computer-based
terminal at Mumbai. with its state-ofart dealing rooms and well-trained
dealers, the bank offers efficient forex dealing operations in India.
 The bank has been focussing on expanding its operations outside India
and has identified some of the emerging economies which offer large
business potential. Bank has set up representative offices at Almaty:
 Kazakhistan, Shanghai: China and in London. Besides, Bank has opened
a full fledged Branch in Kabul, Afghanistan. Keeping in tune with
changing times and to provide its customers more efficient and speedy
service, the Bank has taken major initiative in the field of
computerization. All the Branches of the Bank have been computerized.
The Bank has also launched aggressively the concept of "Any Time,
Any Where Banking" through the introduction of Centralized Banking
Solution (CBS) and over 2000 offices have already been brought under
its ambit.
 PNB also offers Internet Banking services in the country for Corporate
as when as individuals. Internet Banking services are available through
all Branches of the Bank networked under CBS. Providing 24 hours, 365
days banking right from the PC of the user, Internet Banking offers
world class banking facilities like anytime, anywhere access to account,
complete details of transactions, and statement of account, online
information of deposits, loans overdraft account etc. PNB has recently
introduced Online Payment Facility for railway reservation through
IRCTC Payment Gateway Project and Online Utility Bill Payment
Services which allows Internet Banking account holders to pay their
telephone, mobile, electricity, insurance and other bills anytime from
anywhere from their desktop.
 Another step taken by PNB in meeting the changing aspirations of its
clientele is the launch of its Debit card, which is also an ATM card. It
enables the card holder to buy goods and services at over 99270
merchant establishments across the country. Besides, the card can be
used to withdraw cash at more than 11000 ATMs, where the 'Maestro'
logo is displayed, apart from the PNB's over 600 ATMs and tie up
arrangements with other Banks.
WAY FORWARD
 For FY’17, the Bank will primarily focus on resolution of stressed assets and
accelerate its recovery efforts to improve asset quality. Apart from this, the Bank will
continue to align its business model in order to augment profitable growth to deliver
long term value to the stakeholders.
 The Bank also remains committed to its strategy of “Retail PNB – Digital PNB”
wherein mobilizing low cost deposits and increasing the share of small ticket
advances will drive business growth successfully powered by technology. The Bank
will also focus on keeping itself well capitalized to nourish its business growth.
RESEARCH METHOLOGY

RESERCH DESING
Since the research is for types of account in PNB Bank accounts .The research uses
Secondary for analysis and interpretations. Also the primary data was collected after
the thorough study of secondary data by visiting an PNB Bank and questioning the
representatives there. The answers received were interpreted and analyzed for the
successful completion of this project.
OBJECTIVE
The confined objectives of the present study are:
To analyzed the types of account in PNB Bank
To study importance’s of account to the customer, different account in PNB Bank
SCOPE OF THE STUDY
The study was types of account in PNB Bank
DATA COLLECTION
There are two methods of collection that can be considered when collecting data for
research purpose. These data collection types include the following
1. primary data 2.secondary data
Both the secondary and primary data collection methods were used in the study.

PRIMARY DATA
Primary data are those which are collected a fresh and for the first time, and
thus happen to be original in character.
Methods of Primary Research:
 Interview
 Telephonic Interview
 Mail Survey
 SECONDARY DATA

Secondary data means data that are already available i.e. they refer to the data
which have already been collected and analyzed by someone else.
Published secondary data was used to get an overall idea about the growth of
banking sector after globalization with the help of sources like:

 Books
 Working papers
 Newspapers
 Web Sites

Secondary research or desk research is so called because it is usually

concerned with the use of secondary data or information that is already
available. This means such data have already been collected and analysed by
someone else. Such information has to be gathered a fresh specifically for any
research project. This information is inclusive of a wide range of material like
books, magazine, websites company reports, government statistics.
Newspapers and Journal articles to reports worked out by commercial markets
research agencies.

Books, Net, Newspaper, etc are used to get more information to know about
the concepts of banking. Websites are also used to take general information
regarding working methods of Punjab National Bank.
SUGGESTIONS & RECOMMENDATIONS
With regard to banking products and services, consumers respond at different rates,
depending on the consumer’s characteristics. Hence I PNB should try to bring their new
product and services to the attention of potential early adopters.

Due to the intense competition in the financial market, PNB should adopt
better strategies to attract more customers.

 Return on investment company reputation and premium outflow are most

preferred attributes that are expected by the respondents. Hence greater focus
should be given to these attributes.

 PNB should adopt effective promotional strategies to increase the awareness

level among the consumers.

 PNB should ask for their consumer feedback to know whether the
consumers are really satisfied or dissatisfied with the service and product of
the bank. If they are dissatisfied, then the reasons for dissatisfaction should be
found out and should be corrected in future.

 The PNB brand name has earned a lot of goodwill and enjoys high brand
equity. As there is intense competition, PNB should work hard to maintain its
position and offer better service and products to consumers.
 The bank should try to increase the Brand image through performance and
service then, only the customers will be satisfied.

 Majority of the people find banking important in their life, so PNB should
employ the strategies to convert the want in to need which will enrich their
business.
FINDING
Most of the customers feels great of using PNB Credit Card as they always
get the statement on time via internet and post and also the SMS reminder of
Payment and Call from the centre before the last day.

 Many found internet banking useful and convenient. So when PNB said that
transactions could happen on the web – customers willingly applied for such
service offered by PNB.

 “Better service, Good response.” It is a fastest growing bank which provide

better service and good security among all banks.

 Phone Banking, A.T.M. Services, Internet Banking, Customer Related

Services are some of the products which makes customers conduct satisfactory
transactions.

 The bank is growing rapidly on the international front and plans to continue its
growth globally. It has already acquired permission from RBI to open further
branches abroad especially one in DIFC, Dubai. It helped the customers to go
beyond the boundaries of countries banking.

 Customers feel very satisfied regarding the products & services offered by the
PNB & thus find its service & service related issues good.
QUESTIONARRIE:

1)What are the types of PNB Bank account?

ANS: fixed deposits ,saving account ,current account ,salary account , women account kids
account.

2)what is the rate of interest on fixed deposit?

ANS;7days-10years,3.50%p.a-7.25%p.a .

3)what are the facility provided by PNB to the account holder?

ANS; ,ATM, debit card ,credit card ,overdraft facility, money transfers.

4)What are kinds of loan are give on the basic of account?

ANS; Home loan ,care loan ,education loan, personal loan, gold loan.

5) What are scheme for fix deposit ,saving account ,current account?

ANS i) fixed deposits scheme: Tax saving fixed deposits schemes ,PNB Bank super saver
deposit, PNB bank sweep - in – facility

ii) Saving account schemes :regular saving account , zero balances saving account
,womens saving account .

iii) Current account schemes: trade current account.

6) what are the features of saving account ?

ANS: i) Free Net Banking (on request) for convenient banking.

ii) Use National Electronic Funds Transfer (NEFT) to transfer funds Bank account .

iii) Enjoy Free IVR based Phone Banking (Agent assisted calls will be charged*).

Free passbook facility for all account holders (individuals)

7) What are the use of net banking ?

ANS: up-to -second detail account, access any time for any where, view your credit card
detail and your credit cards bill, pay your tax online ,check your account balances.

8) Tell me about something over draft facility?

ANS :over draft facility given to the give to current account holder, minimum monthly net
income account holder 15000.
9) what are document are require for opening PNB account?

ANS: Identity proof, address proof, latest passport size photographs.

CONCLUSION
As per my knowledge & direction given by guider I am SHARMA KAVITA AMRESH I
have done for the University of Mumbai the project of STUDY OF PUNJAB NATIONAL
BANK.
Here I specially thanks to University which is give me an opportunity to show my project
ability. With the hope of this project we can understand what are various types of accounts
are available in PNB Bank .We can understand the important of as well as what are returns
are given by ban on accounts .So once again I want give special thanks to My College ,My
Teachers & University who is given me opportunity for making this project.

Punjab National Bank (PNB) was registered on May19, 1894 under the Indian
Companies Act with its office in Anarkali Bazaar Lahore. The Bank is the second
largest government-owned commercial bank in India with about4,904 branches
across764 cities. It serves over 37 million customers. The bank has been ranked248th
biggest bank in the world by Bankers Almanac, London. The bank's total assets for
financial year2007 were aboutUS$60 billion.Punjab National Bank (PNB) has the
distinction of being the first Indian bank to have been started solely with Indian capital.
The bank was nationalized in July1969 along with13 other banks.PNB has a banking
subsidiary in the UK, as well as branches in Hong Kong and Kabul, and representative
offices in Almaty, Dubai, Oslo, and Shanghai.

From its modest beginning, the bank has grown in size and stature to become front-line
banking institution in India at present. A professionally managed bank with a
successful track record of over 110 years. Strategic business area covers the large Indo-
Gangetic belt and the metropolitan centers. Strong correspondent banking relationships
with more than217 international banks of the world. More than50 renowned
international banks maintain their Rupee Accounts with PNB. Well equipped dealing
rooms;20 different foreign currency accounts are maintained at major centers all over
the globe.
BIBLIOGRAPHY

BOOKS

 Abhayankar Dipak, “International Banking and Finance”, Third edition, Vipul

Prakashan, Mumbai.

 Bhandgar P. K., “Environment and Management of Financial Services”, Third

edition, Vipul Prakashan, Mumbai.
WEBLIOGRAPHY
www.google.com
www.punjabnationalbank.com
www.finance.indiamart.com
www.pnbindia.com
www.scribd.com