Sunday, October 4, 2015

Small Finance Bank - RGVN (North East) Microfinance Limited, Guwahati

          RGVN (North East) Microfinance Limited, Guwahati has been granted in-principle approval to set up a Small Finance Bank in India. They have to submit the Application for final approval within 18 months.

          Sphere of Influence: -

Operations: Network of 116 branches in 5 Northeastern States viz. Assam, Arunachal Pradesh, Meghalaya, Nagaland and Sikkim.
a)     Self Help Groups
b)    Joint Liability Groups
c)     Entrepreneurship Development Loan – Individual
d)    Micro Enterprise  Loan – Individual

Mr.Brij Mohan-Chairman in alumni of IDBI
Ms.Rupali Kalita, Managing Director is LDR Regional Rural Bank

One of the unique features of RGVN is ‘No penalty on delayed payment and prepayment’.

Saturday, October 3, 2015

Small Finance Bank - Equitas Holdings P Limited, Chennai

     Midnight oil is being burnt in the Head office of Equitas Holdings P Limited, Chennai to quickly submit the final application to Reserve Bank of India for issuance of the final licence to commence Small Finance Bank business.

     EH is one of the 10 entities to which Reserve Bank of Indian has accorded in-principle approval for Small Finance Bank operations.

     EH commenced its operations in 2007.

Sphere of Influence:

Operational Areas: 7 States-124 districts-361 districts

  • Micro Finance
  • Vehicle Finance
  • Housing Finance
  • Food Security
  • Education Initiatives

Each product has dedicated staff to service the customers.

Shri Vasudevan P N – Chairman is alumni of Development Credit Bank

  • Disbursement for the FY 2014-15 - 2,129.04Cr
  • Disbursement since Inception - 7,309.29 Cr
  • Loan Outstanding as on end of the month - 2,143.95 Cr

  • MAR 2015 - No.of Customers as on end of the month - 22.92 Lacs
  • Out of which Customers in poorest districts - 8.05 Lacs
  • No.of Loans as on end of the month - 24.50 Lacs
  • Out of which no.of Loans in poorest districts - 8.80 Lacs
  • Out of which no. of poorest districts served - 50

Equitas has State of the art IT Infrastructure and is the First MFI to implement Core Banking Software

Thursday, October 1, 2015

eTransactions Initiatives in upcoming Bihar Elections

            The Bihar Elections will dominate the media for the next couple of months.

            The Bihar State Election Commission is the implementing agency in the whole state of Bihar.

            Massive manpower, equipment including vehicles is requisitioned and deployed the Election State Commission for smooth conduct of the elections.

            As the SEC does not have all the required resources on its rolls, deputation or hiring is the accepted practice.

             Human Resources are drawn from Government offices, Public Sector Banks, Public Sector Insurance Companies, Government undertakings etc.

            Honorarium as per existing rules is paid to the said personnel.

            A large number of vehicles are required to move the security forces and government forces to their designated locations.

            Normally, commercially vehicles from Travel agencies or owners are requisitioned by the SEC. The payments for usage of these vehicles are a mammoth logistical nightmare. At the end of the exercise, the dissatisfaction levels amongst the all the participants is high.

            To minimize customer dissatisfaction, the Bihar SEC has introduced a new software named ‘Completely Integrated Vehicle Management System'.

            As a Safe ePayments Motivator, the most exciting part of this software is the usage of online banking channels for direct payment to vehicle owners.

            This is just the beginning and in the coming elections more and more cash reimbursements will be migrated to the LessCash mode i.e Online.

            Based on the feedback received from the respective stakeholders, fine tuning will be done wherever required

It is estimated that at least 80,000 vehicles will be required to manage the movement of forces and government officials during the assembly elections to be held in five phases starting October 12.

As is the norm, the commercial vehicle owners will not have much of a say on whether to lend their vehicles for election duty given the requirement. However the vehicle management software is expected to ensure that intermediaries do not eat into rent payments.

Hiring of vehicles for smooth conduct of Elections:


  • ·       Hiring/requisitioning of vehicles as and when required by the empowered officials.
  • ·       Manual maintenance of Log Book
  • ·       Reimbursements through Cash after completion of the polling
  • ·       Manual maintenance of Audit trial.
  • ·       High TAT for cash payouts
  • ·       No advance released to vehicle owners
  • ·       High customer dissatisfaction

  • ·       Hired vehicle details are updated in the VHM
  • ·       Log book for each registered vehicle is automatically opened
  • ·       Requisite details keyed in the respective officers at end of the day
  • ·       Auto calculation of the charges as per the keyed in details
  • ·       On the fourth day 80% of the total auto generated charges credited to the vehicle owners bank account through ONLINE BANKING MODE
  • ·       Low customer dissatisfaction
  • ·       System generated audit trial

 5 Benefits of the new process:

  1. 1.     TAT reduction
  2. 2.    In line with Prime Minister’s Narendra Modi’s Digital India vision
  3. 3.    Highlight the benefits of Safe eTransactions tools in daily financial activity
  4. 4.    Testing ground for expansion of such tools in other cash payouts activities
  5. 5.    Enhanced visibility for eTransactions


Sunday, September 27, 2015

Bank of Maharashtra unveils MUDRA Card

          Check out my video @

          The slogan of Bank of Maharashtra is ‘Ek Parivaar Ek Bank’.

          The launch of Mudra Card was one of the main attractions on the occasion of Bank’s 81st Foundation Day celebrations.

          Mudra card issued as a Rupay debit card is hassle free flexible credit product that meets working capital needs of micro and small entrepreneurs.

          The bank was founded by a group of visionaries led by the late V. G. Kale and the late D. K. Sathe and registered as a banking company on 16 September 1935 at Pune.

           Bank of Maharashtra has brought an educative booklet focussed on children entitled BachatKiKahani.

          The booklet through its 16 pages conveys the importance of inculcating saving habits in young adults.

          METCO-Bank of Maharashtra subsidiary specialises in assisting Indians in Will Preparations along with execution of Wills, if necessary.

          Bank of Maharashtra, in association with Mahabank Agriculture Research & Rural Development Foundation (MARDEF) co-launched Soil and Water Health Card for farmers in September 2015.

          Bank of Maharashtra has named its internet banking suite as Mahaconnect. Mahaconnect offers the full range of banking products through Mahaconnect including online payment of Taxes.

          Bank of Maharashtra as Convener of the State Level Bankers’ Committee for Maharashtra State, convened 128thmeeting of SLBC on 04.09.2015 at Mumbai.

          The complete list of CEOs who have guided Bank of Maharashtra over the years is as under.


Friday, September 25, 2015

Small Finance Bank – Update on ESAF Microfinance and Investments Private Ltd., Chennai

          Date: 24/09/2015

          Name: ESAF Small Finance Bank

Probable Date of opening: August 2016

Deposits: Accept all kinds of deposits, including NRIs

Loans: Focus on micro and small credit needs of poor women in unbanked areas.

Network:  450 branches, 600 service centres

Human Resources: At present, two-thirds of the firm’s 3,000 staff are women.

          Loan Approach: Cluster approach to lending – to groups of four or five women. Four or five such ‘affinity groups’ were linked together.
Disburse loans in the range of 15,000-50,000 to women engaged mainly in agriculture and fisheries.

          The present customer base of eight lacs and assets of 1,200 crore, will be tapped to scale up the new bank business to 10,000 crore in five years.