Transcript Sponsored By State Bank Of Hyderabad

DECCAN GRAMEENA BANK
(Sponsored by State Bank of Hyderabad)
HEAD OFFICE : HYDERABAD
Andhra Pradesh
Meeting with CEOs of Housing Finance
Companies, Public Sector Banks,
select Regional Rural BanksOn 17-03-2010 at 1-45 PM
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Deccan Grameena Bank (DGB) was
established on 24th March 2006 with
Head Office at Hyderabad established in
Andhra Pradesh by amalgamating the
following four RRBs namely,
Sri Saraswathi GB, Adilabad District
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Sri Sathavahana GB, Karimnagar District
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Sri Rama GB, Nizamabad District and
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Golconda GB, Rangareddy District
Subsequently Hyderabad urban district is also
included in our operational area.
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This gives a distinctive advantage to DGB to have
a good mix of rural and urban customers.
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DGB
17.03.2010
Performance at a glance as on 5th Mar,2010:
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No. of Branches - 212 (on CBS)
Deposits
- Rs.2020 Crores
Advances
- Rs.1590 Crores
CD Ratio
- 79%
Profit
- 42.48 Crores
NPA level
- 18.26 Cr (1.26%)
Per branch Business
- 17.02 Cr.
Per Employee Business - 4.70 Cr.
All Branches are functioning on CBS platform.
DGB
17.03.2010
Products & Services
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Almost all loans and deposit products available
in Commercial Banking, including commercial
loans, are also now available in all RRBs, except
international Banking.
Unlike commercial banks, main focus of RRBs,
however, on products like SHG Loans, Crop
Loans, Kisan Credit Card (GCC), other small
agriculture loan, various types and sizes of
housing loans and various other products for
total financial inclusion (TFI) like no frill
accounts, opening of accounts for NAREGA and
SSP through Smart Cards.
We shall mainly discuss on Housing loan and
related products
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Housing loans are sanctioned
ranging from Rs.20,000/- to
Rs.50.00 lacs to individuals
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In Rural / Semi-urban / Urban areas
under normal scheme of Bank
( Rs173 crs)
Under INDIRAMMA programme
(Integrated Development in rural
and modern municipal areas)
(Rs 41.80)
Under VAMBAY (Valmiki Ambedker
Awas Yojana) and Rajiv Gruha Kalpa
housing schemes (Rs 11.91)
DGB
17.03.2010
Housing Finance also done through SHGs –
Debt Swapping and MCP
• The Bank has so far extended finance to
120935 (cumulative) SHGs (including debt
swapping for loans including housing) and the
total outstanding to this segment is Rs 364
crores for 14.89 lacs household families , who
have been freed from the clutches of private
money lenders under Debt Swapping
Scheme.
• Under MCP 7,30,324 families benefited to the
extent of Rs.328.35 crores for crop loan and
for other purposes including for housing
purpose
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DGB is pioneer in implementation
of Total Financial Inclusion (TFI) for
SHGs under MCP – (Micro Credit
Plan). Loans are sanctioned to
SHGs upto Rs.5.00 lacs.
•
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Housing purpose
Production needs/Investment needs
Debt swapping
Income Generating activities
Internal lending
Social needs
Consumption needs
DGB
17.03.2010
Market Condition
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Advantages of RRBs: 1) Good Reach
for both rural and urban customers
2) fairly dependable relationship and
trust 3) Reasonable maintenance of
delivery schedule etc 4) RRBs have
Refinance under RRB RHB 2008
Main Constraints: 1) stiff competition
2)Pricing(200–300 bps higher) 2)
Lack of focused marketing 3)Quality
and no of Staff4)delinquency of loans
• Recent initiatives by DGB
• Extensive marketing drive by all Brs
during festive season Dec & Jan
• Road Show : Recently conducted road show
for Housing Loan in Rural Areas (Nizamabad)
and received loan proposals to the tune of 2.35
crores from 30 applicants ranging from Rs. 3
to 15 lakhs.
• Similar road shows are being conducted in
other rural / semi urban areas housing loans.
• SBI HOME LOAN POLICY : To take care of loan
quality due to death , we are introducing policy
to cover life and loan amount.
• We are going to use Fino as BC and FC,
• SHG and retired bankers as BF
DGB
17.03.2010
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Housing loans sanctioned and
disbursed by DGB ( HL under SHG
and Debt-swapping excluded) :
31-03-2008
Particulars
No. of
A/cs.
Amt.
31-03-2009
No. of
A/cs.
Amt.
Disburse- 6743
ment
36.58
4138
22.31
Out standing
65.63
8762
71.54
DGB
8241
31-12-2009
No. of
A/cs.
6901
Amt.
36.71
13354 108.72
(144)
17.03.2010
Flying in a V geese improve
Performance by 71%Heart warming
experience
In team-work If we
have the sense of a
goose, we will stand
by each other, protect
one another and
achieve much more
than if we fly alone
DGB
17.03.2010
Housing
In this Grameena Bank
CBS inaugurated on
18th Jan,10 and within
42 days we’ve complet
ed 100% CBS in 212
Branches ,4 Ros ,HO
and one ATM (1st in
any RRB of SB group)
a great feat of teamwork and dedication
by our team, SBH and
M/S C- Edge, the
service provider that
has been highly
applauded by DMD
DGB
corporate centre 17.03.2010
Housingor
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Points Requested to Consider
RRBs are not listed in the eligible Financing
Agencies list for claiming 1) 5% under
Interest Subsidy Scheme for Housing The Urban
Poor (ISHUP) 2)1% interest subvention under
Housing loans to individuals upto Rs.10 lakhs.
Out of Limit of Rs 50 Crs , Refinance application
made for 37 crs only
Income ceiling for RRBs RHF may be increased to
Rs5 Lacs
The above may be considered for RRBs also.
RRBs having large customer base, where NHB
is aiming at . We request a closure
interaction and support to use the synergy
DGB
17.03.2010
DECCAN GRAMEENA BANK
-Sanjiban Brata Roy
DGB, Chairman
DGB
17.03.2010