Project Faf Axis (1) Done

8/11/2019 Project Faf Axis (1) Done

http://slidepdf.com/reader/full/project-faf-axis-1-done 1/38

PROJECT

REPORT

ON

AXIS BANK

1 | P a g e



CHAPTER 1 - BANK

1.1 DEFINITION OF BANK :-

“A financial institution that is licensed to deal with money and its substitutes by accepting

time and demand deposits, making loans, and investing in securities. The bank generates

profits from the difference in the interest rates charged and paid.”

1.2 BANKING STRUCTURE IN INDIA:-

Today’s dynamic world banks are inevitable for the development of a country. Banks play

a pivotal role in enhancing each and every sector. They have helped

bring a draw of development on the world’s horion and developing country like !ndia is

no e"ception.

Banks fulfills the role of a financial intermediary. This means that it acts as a vehicle for

moving finance from those who have surplus money to #however temporarily$ those who

have deficit. !n everyday branch terms the banks channel funds from depositors whose

accounts are in credit to borrowers who are in debit.

%ithout the intermediary of the banks both their depositors and their borrowers would

have to contact each other directly. This can and does happen of course. This is what has

lead to the very foundation of financial institution like banks.

Before few decades there e"isted some influential people who used to land money. But a

substantially high rate of interest was charged which made borrowing of money out of the

reach of the ma&ority of the people so there arose a need for a financial intermediate.

The Bank have developed their roles to such an e"tent that a direct contact between the

depositors and borrowers in now known as disintermediation.

Banking industry has always revolved around the traditional function of taking deposits,

money transfer and making advances. Those three are closely related to each other, the

ob&ective being to lend money, which is the profitable activity of

2 | P a g e



the three. Taking deposits generates funds for lending and money transfer services are

necessary for the attention of deposits.

The Bank have introduced progressively more sophisticated versions of these services

and have diversified introduction in numerable areas of activity not directly relating tothis traditional trinity.

1.3 HISTORY:-

The first bank in !ndia, though conservative, was established in '()*. +rom '()* till

today, the &ourney of !ndian Banking ystem can be segregated into three distinct phases.

They are as mentioned below-

• /A0 ! 1 0arly phase from '()* to '2*2 of !ndian Banks

• /A0 !! 1 3ationaliation of !ndian Banks and up to '22'

• /A0 !!! 1 !ndian +inancial 4 Banking ector 5eforms after '22'.

PHASE I:

The 6eneral Bank of !ndia was set up in the year '()*. 3e"t came Bank of /industan

and Bengal Bank. The 0ast !ndia 7ompany established Bank of Bengal #')82$, Bank of

Bombay #')98$ and Bank of :adras #')9;$ as independent units and called it residency

Banks. These three banks were amalgamated in '2<8 and !mperial Bank of !ndia was

established which started as private shareholders banks, mostly 0uropeans shareholders.

=uring the first phase the growth was very slow and banks also e"perienced periodic

failures between '2'; and '29). There were appro"imately ''88 banks, mostly small. To

streamline the functioning and activities of commercial banks, the 6overnment of !ndia

came up with The Banking 7ompanies Act, '292 which was later changed to Banking

5egulation Act '292 as per amending Act of '2*> #Act 3o. <; of '2*>$. 5eserve Bank of

!ndia was vested with e"tensive powers for the supervision of banking in !ndia as the

7entral Banking Authority. =uring those day’s public has lesser confidence in the banks.

3 | P a g e



As an aftermath deposit mobiliation was slow. Abreast of it the savings bank facility

provided by the ostal department was comparatively safer. :oreover, funds were largely

given to the traders.

PHASE II:

6overnment took ma&or steps in this !ndian Banking ector 5eform after independence.

!n '2>>, it nationalied !mperial Bank of !ndia with e"tensive banking facilities on a

large scale especially in rural and semi1urban areas. econd phase of nationaliation

!ndian Banking ector 5eform was carried out in '2)8 with seven more banks. This step

brought )8? of the banking segment in !ndia under 6overnment ownership.

The following are the steps taken by the 6overnment of !ndia to 5egulate Banking

!nstitutions in the 7ountry-

• '292- 0nactment of Banking 5egulation Act.

• '2>>- 3ationaliation of tate Bank of !ndia.

• '2>2- 3ationaliation of B! subsidiaries.

• '2*'- !nsurance cover e"tended to deposits.

• '2*2- 3ationaliation of '9 ma&or banks.

• '2('- 7reation of credit guarantee corporation.

• '2(>- 7reation of regional rural banks.

• '2)8- 3ationaliation of seven banks with deposits over <88 crore.

After the nationaliation of banks, the branches of the public sector bank !ndia raised to

appro"imately )88? in deposits and advances took a huge &ump by '',888?.Banking in

the sunshine of 6overnment ownership gave the public implicit faith and immense

confidence about the sustainability of these institutions.

4 | P a g e



PHASE III

This phase has introduced many more products and facilities in the banking sector in its

reforms measure. !n '22', under the chairmanship of : 3arasimham, a committee was

set up by his name which worked for the liberaliation of banking practices.

The country is flooded with foreign banks and their AT: stations. 0fforts are being put to

give a satisfactory service to customers. hone banking and net banking is introduced.

The entire system became more convenient and swift. The financial system of !ndia has

shown a great deal of resilience. !t is sheltered from any crisis triggered by any e"ternal

macroeconomics shock as other 0ast Asian 7ountries suffered. This is all due to afle"ible e"change rate regime, the foreign reserves are high, the capital account is not yet

fully convertible, and banks and their customers have limited foreign e"change e"posure.

INDIAN BANKING SYSTEM:-

5 | P a g e

Non-Schedule Banks

State co-op

Bank

Co!!e"c#a$

Bank

Cent"a$ co-opBank an%

P"#!a"& C"'

Soc#et#e

Co!!e"c#a$ Bank

In%#an (o"e#gn

P)*$#c Secto"Bank

P"#+ate Secto"Bank

,(C.

Ree"+e Bank o/ In%#a

Sc0e%)$e Bank



1.4 DEFINITIONS OF BANKING :-

A bank is a financial institution licensed by a government. !ts primary activity is

to lend money. :any other financial activities were allowed over time. +or

e"ample banks are important players in financial markets and offer financialservices such as investment funds.

Banking can also be defined as engaging in the business of keeping money for

savings and checking accounts or for e"change or for issuing loans and credit.

Transacting business with a bank@ depositing or withdrawing funds or reuesting a

loan.

Bank 1 a supply or stock held in reserve for future use #especially in emergencies$

MEANING OF BANKING :-

| P a g e

State Bank o/

In%#a an% #tS)*#%#a"#e

Ot0e" Nat#ona$#e%

Bank

Reg#ona$ R)"a$

Bank



An organiation, usually a corporation, chartered by a state or federal government, which

does most or all of the following- receives demand deposits and time deposits, honors

instruments drawn on them, and pays interest on them@ discounts notes, makes loans, and

invests in securities@ collects checks, drafts, and notes@ certifies depositors checks@ and

issues drafts .

FEATURES OF BANKING :-

i) Deali! i "#e$:

The banks accept deposits from the public and advancing them as loans to the needy

people. The deposits may be of different types current, fi"ed, savings, etc. accounts. The

deposits are accepted on various terms and conditions.

(ii) De%#&i'& "(&' )e *i'+,a* a)le:

The deposits #other than fi"ed deposits$ made by the public can be withdraw able by

cheues, draft or otherwise, i.e., the bank issue and pay cheues. The deposits are usually

withdrawn able on demand.

(iii) Deali! *i'+ e,i':

The banks are the institutions that can create credit i.e., creation of additional money for

lending. Thus, Ccreation of credit is the uniue feature of banking.

(iv) C#""eial i a'(e:

ince all the banking functions are carried on with the aim of making profit, it is regarded

as a commercial institution.

(v) Na'(e #/ a!e':

Besides the basic functions of accepting deposits and lending money as loans, banks

possess the character of an agent because of its various agency services.

| P a g e

http://www.investorwords.com/3504/organization.html

http://www.investorwords.com/1140/corporation.html

http://www.investorwords.com/1895/Federal.html

http://www.businessdictionary.com/definition/government.html


http://www.investorwords.com/1398/demand_deposit.html

http://www.investorwords.com/4977/time_deposit.html


http://www.businessdictionary.com/definition/honor.html

http://www.investorwords.com/2507/instrument.html

http://www.investorwords.com/3626/pay.html

http://www.investorwords.com/2531/interest.html

http://www.investorwords.com/1471/discount.html

http://www.investorwords.com/3351/note.html

http://www.investorwords.com/2858/loan.html


http://www.investorwords.com/2598/invest.html

http://www.investorwords.com/5954/securities.html


http://www.businessdictionary.com/definition/check.html



http://www.investorwords.com/1576/draft.html

http://www.investorwords.com/7122/depositor.html

http://www.investorwords.com/2651/issue.html

http://www.investorwords.com/1140/corporation.html

http://www.investorwords.com/1895/Federal.html


http://www.investorwords.com/1398/demand_deposit.html


http://www.businessdictionary.com/definition/honor.html

http://www.investorwords.com/2507/instrument.html

http://www.investorwords.com/3626/pay.html

http://www.investorwords.com/2531/interest.html

http://www.investorwords.com/1471/discount.html

http://www.investorwords.com/3351/note.html


http://www.investorwords.com/2598/invest.html



http://www.investorwords.com/1576/draft.html

http://www.investorwords.com/7122/depositor.html

http://www.investorwords.com/2651/issue.html

http://www.investorwords.com/3504/organization.html



CHAPTER 2 0 AIS BANK

2.1 INTRODUCTION TO AIS BANK :-

7ommercial banking services which includes merchant banking, direct finance

infrastructure finance, venture capital fund, advisory, trusteeship, fore", treasury and

other related financial services. As on ;'1:ar1<8'9, the 6roup has <>(> branches,

e"tension counters and '',>*2 automated teller machines #AT:s$.

A"is Bank was the first of the new private banks to have begun operations in '229, after

the 6overnment of !ndia allowed new private banks to be established. The Bank was

promoted &ointly by the Administrator of the specified undertaking of the Dnit Trust of

!ndia #DT! 1 !$, Eife !nsurance 7orporation of !ndia #E!7$ and 6eneral !nsurance7orporation of !ndia #6!7$ and other four D insurance companies, i.e. 3ational

!nsurance 7ompany Etd., The 3ew !ndia Assurance 7ompany Etd., The Friental

!nsurance 7ompany Etd. and Dnited !ndia !nsurance 7ompany Etd. The Bank today is

capitalied to the e"tent of 5s. ;>2.(* crores with the public holding #other than

| P a g e



promoters$ at >(.(2?.The Banks 5egistered Fffice is at Ahmedabad and its 7entral

Fffice is located at :umbai. The Bank has a very wide network of more than )>;

branches and 0"tension 7ounters #as on ;8th Gune <882$. The Bank has a network of

over ;(<; AT:s #as on ;8th Gune <882$ providing <9 hrs a day banking convenience to

its customers. This is one of the largest AT: networks in the country. The Bank has

strengths in both retail and corporate banking and is committed to adopting the best

industry practices internationally in order to achieve e"cellence.

EOUTION :-

DT! was established in '2*9 by an Act of arliament@ neither did the 6overnment of

!ndia own it nor contributes any capital. The 5B! was asked to contribute one1half of its

initial capital of 5s > crore, and given the mandate of running the DT! in the interest of

the unit1holders. The tate Bank of !ndia and the Eife !nsurance 7orporation contributed

'> per cent of the capital each, and the rest was contributed by scheduled commercial

banks which were not nationalied then. This kind of structure for a unit trust is not found

anywhere else in the world. Again, unlike other unit trusts and mutual funds, the DT! was

not created to earn profits.

!n the course of nearly four decades of its e"istence, it #the DT!$ has succeeded phenomenally in achieving its ob&ective and has the largest share anywhere in the world

of the domestic mutual fund industry. The emergence of a Cforeign e"pertC during the

setting up of the DT! makes an interesting story. The announcement by the then +inance

:inister that the 6overnment of !ndia was contemplating the establishment of a unit trust

caught the eye of :r. 6eorge %oods, the then resident of the %orld Bank. :r. %oods

took a great deal of interest in the !ndian financial system, as he was one of the principal

architects of the !7!7!, in which his bank, +irst Boston 7orporation Bank, had a sieable

shareholding. :r. %oods offered, through :r. B.H. 3ehru, who was !ndias 0"ecutive

=irector on the %orld Bank, the services of an e"pert.

| P a g e



The 7entre &umped at the offer, and asked the 5B! to hold up the finaliation of the unit

trust proposals till the e"pert visited !ndia. The only point :r. ullivan made was that the

provision to limit the ownership of units to individuals might result in unnecessarily

restricting the market for units. %hile making this point, he had in mind the practice in

the D, where small pension funds are an important class of customers for the unit trusts.

The 7entre accepted the foreign e"perts suggestion, and the necessary amendments were

made in the draft Bill. Thus, began corporate investment in the DT!, which received a

boost from the ta" concession given by the government in the '22812' Budget.

According to this concession, the dividends received by a company from investments in

other companies, including the DT!, were completely e"empt from corporate income ta",

and provided the dividends declared by the investing company were higher than the

dividends received.

The result was a phenomenal increase in corporate investment which accounted for >(

per cent of the total capital under D1*9 scheme. Because of high liuidity the corporate

sector used the DT! to park its liuid funds. This added to the volatility of the DT! funds.

The corporate lobby which perhaps subtly opposed the establishment of the DT! in the

public sector made use of it for its own benefits later. The 6overnment15B! power game

started with the finaliation of the DT! charter itself. The 5B! draft of the DT! charter

stipulated that the 7hairman will be nominated by it, and one more nominee would be on

the Board of Trustees. %hile finaliing the draft Bill, the 7entre changed this stipulation.

The 7hairman was to be nominated by the 6overnment, albeit in consultation with 5B!.

Although the appointment was to be made in consultation with the 5eserve Bank, the

6overnment could appoint a person of its choice as 7hairman even if the Bank did not

approve of him.

2.2 ORGANIATION STRUCTURE OF AIS BANK :-

16 | P a g e





S+i R.B.. ai&+ =irector

S+i S.B. Ma'+( =irector

S+i M.. S())ia+ =irector

S+i R.N. B+a''a+a$a =irector

2.4 AUES:-

7ustomer ervice and roduct !nnovation tuned to diverse needs of individual

and corporate clientele.

7ontinuous technology up gradation while maintaining human values.

rogressive globaliation and achieving international standards.

0fficiency and effectiveness built on ethical practices

CORE AUES:

7ustomer atisfaction through

o roviding uality service effectively and efficiently

o Cmile, it enhances your face valueC is a service uality stressed on

o eriodic 7ustomer ervice Audits

:a"imiation of takeholder value uccess through Teamwork, !ntegration

12 | P a g e



2.8 SERICES PROIDED BY AIS BANK :-

A"is Bank is concentrating towards its =iversification 4:odernisation. %ith a slow

speed in retail banking 4 commercial banking, A"is Bank is trying to e"pand in every

field of banking. There core ob&ective is not only to provide services to customers but

to give best of their services. They provide services to-

• 7ustomers for saving purpose,

• 7ustomers for corporate purpose,

•7ustomers for loan purpose,

• 7ustomers for investment and insurance purpose,

• 35! customers,

• riority Banking.

13 | P a g e



14 | P a g e



CHAPTER 3 0 FINANCIA STATEMENTS OF

AIS BANK

3.1 PROFIT 9 OSS AC :-

15 | P a g e



3.2 BAANCE SHEET :-

1 | P a g e



1 | P a g e



1 | P a g e



1 | P a g e



26 | P a g e



21 | P a g e





23 | P a g e



3.3 NPA ANAYSIS :-

24 | P a g e



25 | P a g e



2 | P a g e



2 | P a g e



2 | P a g e



2 | P a g e



CHAPTER 4 0 AUDIT REPORT

4.1 INDEPENDENT AUDITORS; REPORT :-

Re%#' # '+e Fiaial S'a'e"e'&

%e have audited the accompanying financial statements of AIS BANK

IMITED #Cthe BankC$, which comprise the Balance heet as at ;' :arch, <8'9, the

rofit and Eoss Account and the 7ash +low tatement of the Bank for the year then

ended and a summary of the significant accounting policies and other e"planatoryinformation.

Maa!e"e';& Re&%#&i)ili'$ /# '+e Fiaial S'a'e"e'&

The Banks :anagement is responsible for the preparation of these financial statements

that give a true and fair view of the financial position, financial performance and cash

flows of the Bank in accordance with the provisions of ection <2 of the Banking

5egulation Act, '292, Accounting tandards notified under the 7ompanies Act, '2>*

#which continue to be applicable in respect of section ';; of the 7ompanies Act, <8'; in

terms of the 6eneral 7ircular '>I<8'; dated ';th eptember, <8'; of the :inistry of

7orporate Affairs$ and in accordance with the accounting principles generally accepted in

!ndia, in so far as they apply to the banks and the 6uidelines issued by the 5eserve Bank

of !ndia. This responsibility includes the design, implementation and maintenance of

internal control relevant to the preparation and presentation of the financial statements

that give a true and fair view and are free from material misstatement, whether due to

fraud or error.

A(,i'#&; Re&%#&i)ili'$

Fur responsibility is to e"press an opinion on these financial statements based on our

audit. %e conducted our audit in accordance with the tandards on Auditing issued by the

!nstitute of 7hartered Accountants of !ndia. Those tandards reuire that we comply with

36 | P a g e



the ethical reuirements and plan and perform the audit to obtain reasonable assurance

about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and

the disclosures in the financial statements. The procedures selected depend on the

auditors &udgement, including the assessment of the risks of material misstatement of the

financial statements, whether due to fraud or error. !n making those risk assessments, the

auditor considers the internal control relevant to the Banks preparation and fair

presentation of the financial statements in order to design audit procedures that are

appropriate in the circumstances, but not for the purpose of e"pressing an opinion on the

effectiveness of the Banks internal control. An audit also includes evaluating the

appropriateness of the accounting policies used and the reasonableness of the accounting

estimates made by the :anagement, as well as evaluating the overall presentation of the

financial statements.

%e believe that the audit evidence we have obtained is sufficient and appropriate to

provide a basis for our audit opinion.

O%ii#

!n our opinion and to the best of our information and according to the e"planations given

to us, the aforesaid financial statements give the information reuired by the Banking

5egulation Act, '292@ the 7ompanies Act, '2>* in the manner so reuired for banking

companies and the 6uidelines issued by the 5eserve Bank of !ndia from time to time and

give a true and fair view in conformity with the accounting principles generally accepted

in !ndia-

#a$ in the case of the Balance heet, of the state of affairs of the Bank as at ;' :arch,

<8'9@

#b$ in the case of the rofit and Eoss Account, of the profit of the Bank for the year ended

on that date@ and

#c$ in the case of the 7ash +low tatement, of the cash flows of the Bank for the year

ended on that date.

Re%#' # O'+e e!al a, Re!(la'#$ Re<(ie"e'&

31 | P a g e



'. As reuired by ection <<(#;$ of the 7ompanies Act,'2>* and ection ;8 of the

Banking 5egulation Act,'292, we report that-

#a$ %e have obtained all the information and e"planations which to the best of our

knowledge and belief were necessary for the purposes of our audit and found them to be

satisfactory.

#b$ !n our opinion, proper books of account as reuired by law have been kept by the

Bank so far as it appears from our e"amination of those books.

#c$ !n our opinion, the transactions of the Bank which have come to our notice have been

within the powers of the Bank.

#d$ The financial accounting systems of the Bank are centralised and, therefore,

accounting returns are not reuired to be submitted by the Branches.

#e$ The Balance heet, the rofit and Eoss Account and the 7ash +low tatement dealt

with by this 5eport are in agreement with the books of account.

#f$ !n our opinion, the Balance heet, the rofit and Eoss Account, and the 7ash +low

tatement comply with the Accounting tandards notified under the Act #which continue

to be applicable in respect of ection ';; of the 7ompanies Act, <8'; in terms of 6eneral

7ircular '>I<8'; dated ';th eptember, <8'; of the :inistry of 7orporate Affairs$.

#g$ Fn the basis of the written representations received from the =irectors as on ;'st

:arch, <8'9 taken on record by the Board of =irectors, we report that none of the

=irectors is disualified as on ;'st :arch, <8'9 from being appointed as a director in

terms of ection <(9#'$#g$ of the 7ompanies Act, '2>*.

<. %e report that during the course of our audit we have visited '>8 Branches. ince the

key operations of the Bank are completely automated with the key applications integrated

to the core banking systems, the audit is carried out centrally at the /ead Fffice as all the

necessary records and data reuired for the purposes of our audit are available therein and

the Branches are not reuired to submit any financial returns.

4.2 De/ii'i#& #/ N#-Pe/#"i! A&&e'& :-

32 | P a g e



Advances are classified into performing and non1performing advances #3As$ as per 5B!

guidelines. 3As are further classified into sub1standard, doubtful and loss assets based

on the criteria stipulated by 5B!. An asset, including a leased asset, becomes non1

performing when it ceases to generate income for the Bank.

An 3A is a loan or an advance where-

'. !nterest andIor installment of principal remains overdue for a period of more than 28

days in respect of a term loan@

<. The account remains Cout1of1order for a period of more than 28 days in respect of an

Fverdraft or 7ash 7redit #F=I77$@

;. The bill remains overdue for a period of more than 28 days in case of bills purchased

and discounted@

9. a loan granted for short duration crops will be treated as an 3A if the installments of

principal or interest thereon remain overdue for two crop seasons@ and

>. A loan granted for long duration crops will be treated as an 3A if the installments of

principal or interest thereon remain overdue for one crop season.

*. !n respect of derivative transactions, the overdue receivables representing positive

mark1to1market value of a derivative contract, if these remain unpaid for a period of 28

days from the specified due date for payment.

33 | P a g e



CHAPTER 8 0 CONCUSION 9

RECOMMENDATIONS

8.1 CONCUSION :-

A"is bank has developed manifold in short period of time due to facilities and

services provided to their customer and this growth rate can be keep it up if they

start to go in semi1urban areas. !n last couple of years they have opened new

many branches and they should open many more. The working staff is very co1

operative in nature and due to that the bank will also get good benefit. A"is Bank

has provided their customer 3et1banking facilities and due to that transactions are

done fast. 7harges at A"is Bank are on lower side when we compare it with other

Ban According to financial 5atio analysis of A"is bank its performance in the

private bank is good and e"pected to grow further in the near future which is a

good sign for investment.

0arnings per hare and dividend both are increasing year to year.

The +inancial 5atio analysis is a process of evaluating the financial statements to

obtain a better understanding of the BankJs position and performance.

+inancial 5atio analysis is the process of selection, relation and evaluation. The

first task of financial analyst is to select the information from the financial

statements. The second step is to arrange the information in a way to highlight

significant relationships. The final step is interpretation and drawing of inferences

and conclusions.

34 | P a g e



The financial year <8'' the 7urrent 5atio is decrease by 8.8< ?.

A"is Bank stands apart from its private sector competitors K !7!7! Bank and

/=+7 Bank K in one crucial respect. %hile the other two banks have

envisaged retail banking as a key area of strategic emphasis K with the shareof the retail business #both on the funding and asset sides$ growing strongly

year after yearK the share of retail business, particularly retail assets, has

actually come down uite sharply in the case of A"is Bank.

The numbers here are uite interesting. +or !7!7! Bank, retail loans now #as

of Gune <88($ account for as much as (8 per cent of the bank’s total loan book

of 5s <,88,888 crore. +or /=+7 Bank, retail assets are around >( per cent #5s

<),888 crore$ of the total loans as of :arch <88(.

!n the case of A"is Bank, retail loans have declined from ;8 per cent of the

total loan book of 5s <>,)88 crore in Gune <88* to around <; per cent of loan

book of 5s.9',<)8 crore #as of Gune <88($. 0ven over a longer period, while

the overall asset growth for A"is Bank has been uite high and has matched

that of the other banks, retail e"posures grew at a slower pace.

!f the sharp decline in the retail asset book in the past year in the case of A"is

Bank is part of a deliberate business strategy, this could have significant

implications #not necessarily negative$ for the overall future profitability of

the business.

=espite the relatively slower growth of the retail book over a period of time

and the outright decline seen in the past year, the bank’s fundamentals are

uite resilient. %ith the high level of mid1corporate and wholesale corporate

lending the bank has been doing, one would have e"pected the net interestmargins to have been under greater pressure. The bank, though, appears to

have insulated such pressures. !nterest margins, while they have declined

from the ;.'> per cent seen in <88;189, are still hovering close to the ; per

35 | P a g e



cent mark. #The comparable margins for !7!7! Bank and /=+7 Bank are

around <.*8 per cent and 9 per cent respectively. The margins for !7!7! Bank

are lower despite its much larger share of the higher margin retail business,

since funding costs also are higher$.

8.2 SUGGESTIONS 9 RECOMMENDATIONS :-

As A"is Bank is the ;rd largest private bank in !ndia, therefore, it has contributed a lot

towards the progress of banking sector from the past '> years since its establishment.

The 'st private bank to be opened in !ndia emphasis on moderniation, e"pansion and

diversification of private banks. The bank tried to make a good image of private

banks on public by providing every kind of services to its customers that they e"pectfrom banks. /ence, people were getting less dependent on nationalied banks. A"is

Bank has not only given a new form of banking of private banks but also has

maintained its growth speed after increase in competition due to more private banks

coming in banking sector. ome of the important conclusions and recommendations

are listed below-

• =iversification in the banking sector.

• :ore emphasis on retail sector and corporate sector.• Fpening of new branches, installation of AT:’s and more recruitment of

employees.

• To maintain the growth at steady rate.

• :ore emphasis on personal loans and retail loans.

• :a"imum promotion of products and increase in advertisements.

• roper, safe and healthy environment for employees.

• :a"imum returns to investors, shareholders and bondholders.

• =eeply analyses competitor’s strategy and work on it, clearly.

• roviding services to customers in best of their manner.

• There is a need for better promotion for the investment products 4 services.

The bank should advertise its products through television because it will reach

to the masses

3 | P a g e



3 | P a g e



Documents

Project Faf Axis (1) Done