Comparing Icici And Sbi

Business Aspects in Banking and Insurance Individual project

COMPARISION BETWEEN TWO BANKS Madhuri N. Prasad Class: SYBMS-B Roll no.: 81

INDEX on i t c I u B d S o f r t o 1. In overview f ICICI o n 2. A overview y n lit 3. A proachabi s p 4. A erest Rate facts t t 5. In are marke h 6. S her Facts t 7. O nclusion o 8. C liography ib B . 9

INTRODUCT ION

A bank is a financial institution licensed by a government. Its primary activities include borrowing and lending money. Many other financial activities were allowed over time. For example banks are important players in financial markets and offer financial services such as investment funds. The level of government regulations of the banking industry varies widely with regard to its share holding in that particular bank. A government sector bank is completely regulated by the government while a private sector bank is regulated to some extent by the central bank (RBI).

STATE BANK OF INDIA

AN OVERVIEW OF SBI

The State Bank of India is a govt. sector bank. The evolution of State Bank of India can be traced back to the first decade of the 19th century. It began with the establishment of the Bank of Calcutta in Calcutta, on 2 June 1806. The bank was redesigned as the Bank of Bengal, three years later, on 2 January 1809. It was the first ever joint-stock bank of the British India, established under the sponsorship of the Government of Bengal. Subsequently, the Bank of Bombay (established on 15 April 1840) and the Bank of Madras (established on 1 July 1843) followed the Bank of Bengal. These three banks dominated the modern banking scenario in India, until when they were amalgamated to form the Imperial Bank of India, on 27 January 1921. In order to serve the economy as a whole and rural sector in particular, the All India Rural Credit Survey Committee recommended the formation of a state-partnered and statesponsored bank. Hence the committee proposed the take over of the Imperial Bank of India, and integrating with it, the former state-owned or state-associate banks. Subsequently, an Act was passed in the Parliament of India in May 1955. As a result, the State Bank of India (SBI) was established on 1 July 1955. Later on, the State Bank of India (Subsidiary Banks) Act was passed in 1959. The State Bank of India emerged as a pace-setter, with its operations carried out by the 480 offices comprising branches, sub offices and three Local Head Offices, inherited from the Imperial Bank. Instead of serving as mere repositories of the community's savings and lending to creditworthy parties, the State Bank of India catered to the needs of the customers, by banking purposefully.

ICICI BANK

AN OVERVIEW OF ICICI

The “Industrial Credit and Investment Corporation of India” (ICICI Bank) started as a wholly owned subsidiary of ICICI Limited, an Indian financial institution, in 1994. Four years later, when the company offered ICICI Bank's shares to the public, ICICI's shareholding was reduced to 46%. In the year 2000, ICICI Bank made an equity offering in the form of ADRs on the New York Stock Exchange (NYSE), thereby becoming the first Indian company and the first bank or financial institution from nonJapan Asia to be listed on the NYSE. In the next year, it acquired the Bank of Madura Limited in an all-stock amalgamation. Later in the year and the next fiscal year, the bank made secondary market sales to institutional investors. With a change in the corporate structure and the budding competition in the Indian Banking industry, the management of both ICICI and ICICI Bank were of the opinion that a merger between the two entities would prove to be an essential step. It was in 2001 that the Boards of Directors of ICICI and ICICI Bank sanctioned the amalgamation of ICICI and two of its wholly-owned retail finance subsidiaries, ICICI Personal Financial Services Limited and ICICI Capital Services Limited, with ICICI Bank. In the following year, the merger was approved by its shareholders, the High Court of Gujarat at Ahmadabad as well as the High Court of Judicature at Mumbai and the Reserve Bank of India.

APPROACHABI LITY

INTEREST LRATES oans:-

D e p o s i t s :-

SHARE MARKET FACTS

OTHER FACTS 1. Mobile Banking services:- Mobile banking is

a

term used for performing balance checks, account transactions, payments etc. via a mobile device such as a mobile phones. ICICI bank has been pioneering in m-banking services with a limit of Rs. 10,000 per day while SBI has taken an initiative to incorporate this service recently.

2.

Internet

banking

Facilities:-

Online banking (or Internet banking) allows customers to conduct financial transactions on a secure website operated by their retail or virtual bank. The website for internet banking for an SBI account is http://www.onlinesbi.com The website for internet banking for and ICICI account is http://infinity.icicibank.co.in

CONCLUSION From the above given information it becomes quiet evident that although the interest rates provided by SBI are much less than ICICI, the facilities provided by ICICI are much more too. Hence for a common man it is advisable to keep his deposits in ICICI bank while take loans from SBI. When it comes to investing in the stock market though the rates of SBI shares are high the returns on them are also equally high. But it totally depends on the financial status of the person and the situation of the stock market as to where one should make an investment.

BIBLIOGRAPHY A. W e b s i t e s :  http://www.hindu.com  http://www.welcome-nri.com  http://www.icicibank.com  http://www.sbi.co.in/  http://ideas.repec.org  http://www.indiaonline.in  http://answers.rupeetimes.com  http://en.wikipedia.org  http://www.google.co.in  http://www.sbigroup.co.jp  http://www.icicibank.com  http://newton.ex.ac.uk P.

News paper:-



The Economic Times The times of India



THE END

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