kbs local area bank (the financial inclusion lab) welcomes you oct 20, 2011
TRANSCRIPT
KBS Local Area Bank(the financial inclusion lab)
Welcomes You
Oct 20, 2011
BASIX Group Corporate Structure
BASICS Ltd
Financial Services
Knowledge Services
Bhartiya Samruddhi Finance Ltd. (BSFL)
Krishna Bhima Samruddhi Local Area Bank (KBSLAB)
Indian Grameen Services (IGS)
BASIX Consulting ( BASIX Academy)
The Livelihood School
CTRAN Consulting P. Ltd.
B-ABLE
BASIX Krishi
Sub - K
KBS Genetics
– A special category of Banks - LAB
– Commenced operation in Feb, 2001
– Operating area restricted to 4 districts
– Can raise resources from outside, but can deploy only within
– By Choice, adopted Microfinance as business model
– The only bank of its kind
– A BASIX Group Entity
Mission
“..to be a sustainable local community based institution providing financial services to the underserved, particularly rural poor and women and to arrange provision of technical assistance and support services to the borrowers with the ultimate goal of promoting a large number of sustainable livelihoods in the area”.
Vision 2014
‘…By 2014, to be the preferred micro finance bank, promoting livelihoods of 0.5 million underserved customers particularly poor and women, with a deposit base of 300 crores, assuring a healthy return to stake holders …’
Coverage
Current Channel
Head OfficeMahabubnagar
5
5
8
RaichurMahabubnagarGulbarga
4
4
12
4
5
12
Yadgir
1
5
8
Districts – 4
Branches – 14
BC Hubs – 19
BC Spokes - 40
20 18 21 Total - 73 14
Business Correspondent
– Extended ‘out-reach’ through BC
– Adopted a ‘Hub n Spoke’ model (19+40)
– Integrated the BC in to the bank as much
regulation allowed
– To reach more customers in remote location
( Financial Inclusion)
CEO/MD
MANCOMMCOO, Head Finance and treasury, Head Credit, Head
Savings and Business Development, and Head Risk based Internal Audit
Secretary - Head Compliance & Risk (Non-Credit)
Chief Operating Officer MN Askari
Branch & BC Operations
AM- ITCNaveen & Srini
AM HR and Admin Anuradha
Head – Credit Hariprasad N
Manager Credit R Desai
AM Credit Supervision Vandana
AM GME Siraj & Tompe
AM Credit Appraisal, Insurance & Pension
Narendra
AM Ag/BDS Vignesh
Head - Finance and Treasury
CR Sankar
AM Accounts Vishnu
TreasuryTo Appoint
Ex. MIS Satish
Head – Compliance & Risk (non-credit) Parameswara Rao
Corporate AffairsPatnaik
Compliance and Risk Supervision
Head – Risk based Internal Audit Chandrakant K
AM Internal AuditRashid & Vishal
Head – Savings & Business Development
Anand Solanki
AM BDS - Vignesh, Raghu & Ravi
Brand Building and BASIX cell - Imtiaz
Special ProjectsTo Appoint
Head – BCMadhusudhan
AM –GLBJoshi
HR Commitee ALM Committee HOLC I-IIRisk Commitee Credit CommiteeCustomer Service Commitee
Structure at Head Office
Structure at Branch
Branch Manager
BDX 1BDX2
BDX 3
Asst. Branch Manager
Office in Charge +Banking Assistant
Customer Service Representative
(CSR)
Livelihood Service Provider
(LSP)
Micro Saving Assistant
(MSA)
Structure at BC Hub
Transaction assistant
Customer Service Provider (CSP)
Livelihood Service Provider (LSP)
Microsaving Service Provider (MSP)
Bank BDX
Service spectrum
– Savings
– Credit
– Insurance- life, health and enterprise
– Agri Business Development Services
– Business & institutional Development services
Financial Highlights
Deposits
06-07 07-08 08-09 09-10 10-11 -
20.00
40.00
60.00
80.00
100.00
-
50.0
100.0
150.0
200.0
250.0
300.0
27.38 43.42
55.55
74.57
92.51
61.1
135.2
185.5
248.5 271.2
Deposit Outstanding Deposit Accounts
Amount in Crores / Accounts in ‘000’
Advances
06-07 07-08 08-09 09-10 10-11 -
20.00
40.00
60.00
80.00
100.00
-
20.0
40.0
60.0
80.0
30.21
52.10 63.75
78.11 88.32
32.5
45.2
55.1 61.5
67.0
Credit Outstanding Credit Accounts
Amount in Crore / Accounts in ‘000’
Customer base
06-07 07-08 08-09 09-10 10-11 -
50.0
100.0
150.0
200.0
56.8
89.4 102.8
131.8
163.6
Numbers in 000
CD Ratio
06-07 07-08 08-09 09-10 10-11 -
50.00
100.00
150.00
200.00
110.33 119.99 114.77
104.75 95.47
Numbers in %
PBT & PAT
06-07 07-08 08-09 09-10 10-11 -
0.50
1.00
1.50
2.00
2.50
3.00
3.50
0.52 0.78
1.47 1.82
2.96
0.30 0.46
0.88 1.19
1.78
PBT PAT
Amount in Crore
Return on Equity
06-07 07-08 08-09 09-10 10-11 -
4.00
8.00
12.00
16.00
5.27 6.09
8.69 10.04
12.62
Return on Assets
06-07 07-08 08-09 09-10 10-11 -
0.40
0.80
1.20
1.60
0.86 0.76
0.98
1.14
1.37
Financial Highlights – September 2011
Key Financial Indicators – September 2011
Milestones
• Reversal of CD Ratio– Cultural shift – deposit driven– New Business lines – GME and Liabilities
• Technology– GPRS POSs– CBS – futuristic hardware configuration
• Brand Building– Audio/Visual Van Campaigning– Sponsoring local events/fairs.– Advertisement on public transport –Buses and Auto.– Welcome boards in branch towns and – village direction boards for 33 BTD villages
Projections 2014
Challenges
• Capitalization
• Environment – AP crisis - Potential Fallout
• Financial Literacy both among staff and customers
• Diversification of Business Portfolio – too concentrated
• Expansion
The effort continues…