July 27, 2013 Financial Inclusion

Agenda ICICI Bank in Madhya Pradesh Creating Reach : Gramin Branches, CSPs and SHGs Awards and Recognition ICICI Bank’s Financial Inclusion Plan

Access to Banking lac savings accounts to unbanked Creating Reach 3,350 branches, of which 1,646 branches are in semi-urban and rural areas 628 rural branches including 281 Gramin Branches in unbanked villages 7,638 BC 1 -Customer Service Points (CSPs) Facilitating Payments Facilitated over ` 1,400.0 crores EBT 2 disbursements Over 1.0 lac DBT 3 transactions worth over ` 9.0 crores 1 BC - Business Correspondent 2 EBT –Electronic Benefit Transfers 3 DBT – Direct Benefit Transfers

ICICI Bank’s Financial Inclusion Plan Remittance for Urban Migrants 700,000 transactions worth over ` crores Over 2,200 CSPs across 95 major urban and semi urban centers Providing bank linkages to about 350,000 SHG members Credit worth over ` crores Tie-ups with 2 state governments (MAVIM 1 in Maharashtra and DPIP 2 in Madhya Pradesh) More than 200 NGOs Awards for DPIP Project in Madhya Pradesh, and from NABARD a state level award in Maharashtra SHG Linkages 1 MAVIM –Mahila Arthik Vikas Mahamandal 2 DPIP – District Poverty Initiatives Project

ICICI Bank in Madhya Pradesh Access to Banking 16.1 lac savings accounts to unbanked Creating Reach 142 branches, of which 78 branches are in semi-urban and rural areas 27 Gramin Branches at unbanked villages 922 villages provided with banking services 321 Customer Service Points (CSPs) Facilitating Payments EBT disbursements over ` 25.0 crores First private sector bank to facilitate EBT payment using eFMS 1 system 1 eFMS - Electronic Fund Management System

BC Outlets The Bank has been allocated 355 locations across 5 districts Coverage of 355 locations will effectively cover about 1,439 villages with banking services BC/USB outlets are running at 147 locations and remaining will be covered by September These outlets will facilitate savings accounts transactions, term deposits, govt scheme benefit disbursement and facilitate borrowers for availing loans from the Bank DistrictBC Outlets Harda26 Vidisha77 Damoh24 Guna10 Ashoknagar10 Total 147 ICICI Bank in Madhya Pradesh

Banking access to about 31,000 SHG members Best Banker Award for DPIP project in Narsinghpur district by State Govt. An appreciation letter from NABARD for being the leading bank in SHG funding SHG Linkages Advances Priority Sector lending about ` 1,900.0 crores ` crores to agriculture and ` crores to MSME Wide suite of products – KCC, Agri Term loan, Tractor finance,Jewel loan, Ware house receipt finance etc CD ratio of 130.5%

ICICI Bank in M.P. - Gramin Branches Small format branches established at unbanked villages Branches operates on all working days Focus on agriculture lending and savings accounts 27 branches across 12 districts in the State, Effective banking service coverage for villages in 5 km radius Madhya Pradesh Govt has directed nearby Gram Panchayats (GPs) to open accounts in Gramin Branches will help branch viability 1 Monthly Average Balance (MAB) 2 25 of these branches opened in current fiscal (FY2014) No. of Gramin Branches Avg period operations : 3 months Liabilities (Balance 1 )Loans (Disbursement) ` in lac

Gramin Branches – Gyanpura & Chakaliya Branches operational for last 6 months 100% household coverage through savings accounts in the villages of establishment Now reaching out to the villages in 5 km radius Facilitated KCC and Agri Term Loans Financial Literacy- Educating villagers about bank products, government subsidy schemes loans etc, Liabilities (Balance*) Loans (Disbursement) ` in lac

Saving Account, FD/ RD, Remittances with focussed asset build-up Assets led approach Traditional New Model M.P. - Key Execution Elements Technology & Infrastructure Credit Credit Eco- system Approach Focus on service area coverage and deeper penetration to cover 100% households Customer Access primarily through Channel Partners Predominantly Open Sourcing Hub and spoke model – First level – BC Agent at village level Second level – Gramin /Rural branches

Brick & Mortar structure integrated with technology enabling mobile delivery All accounts on CBS Same day updation and settlement Enabling Cost Efficient Scale High Cost of Scale up Traditional New Model Infrastructure owned by channel partners Mobile authentication enabling easy access, use and understanding of services at doorstep Remote Access from Brick & Mortar Structure M.P. - Key Execution Elements Access to banking available through Smart Cards Mobile – SMS/USSD based solution Aadhar authentication Smart card access Technology & Infrastructure Credit Credit Eco- system Approach

Selection of customers from agri value chain Stand alone credit biases Segment Based Lending Relatively Undifferentiated Traditional New Model Multiple product option to cover entire business cycle of customers M.P. - Key Execution Elements Technology & Infrastructure Credit Credit Eco-system Approach

All local stakeholders are a part of the system Business operations influenced by local eco- system Proactively Manage the eco- system Susceptible to influence Traditional New Model M.P.- Key Execution Elements Technology & Infrastructure Credit Credit Eco- system Approach BC Agents are appointed from local villages and monitored from USB/ Rural branches Sarpancha’s and local departments of the government are regularly interacting as their accounts are also opened in the USB/Rural branches

Self Help Groups Doorstep banking : Bank official visits individual SHGs on predefined frequency Provided credit linkage to 2,651 SHGs, resulted in banking access to their about 31,000 members in a span of 18 months of operations Best Banker Award for DPIP project in Narsinghpur district and an appreciation letter from NABARD ParticularsJune 30, 2013 Loans (accounts)2,651 Book (` in crore) 11.8 ParticularsJune 30, 2013 Savings Accounts3,096 Balance (` in crore) 1.74

eFMS Implementation First private sector bank to use eFMS system for EBT disbursements Transactions worth over ` 2.5 crore for NREGS wages Payments facilitated across 300 Gram Panchayats (GPs) and will be adding 500 more GPs in next phase Integrated over 1 lac accounts on eFMS platform

Thank you