SENSEX NIFTY
Sep 05, 2013, 08.09 PM IST | Source: PTI

ICICI Bank launches 'branch on wheels'

The branch-on-wheels is yet another step to expand the reach to villages devoid of banking facilities

As part of its financial inclusion initiative, ICICI Bank today claimed to have become the first private sector lender to launch a 'branch-on-wheels' drive and will have five more such facilities in three states this year.

Also Read: Banks shares in bull grip on measures by Raghuram Rajan

Maharashtra Chief Minister Prithviraj Chavan launched the branch-on-wheel in sugar hub of Kolhapur today. "ICICI Bank has always tried to take a holistic approach to provide financial services in rural and remote areas. Accordingly, it has already launched 308 gramin branches to provide basic banking services in unbanked villages and plan to scale it up to 500 this fiscal," ICICI Bank Executive
Director Rajiv Sabharwal told PTI.

The branch-on-wheels is yet another step to expand the reach to villages devoid of banking facilities, he said, adding the bank will be launching one more such facility in Maharashtra and two each in Odisha and Chhattisgrah this year, after assessing the success of the pilot project.

On the reason for choosing Maharashtra for this pilot project, he said the bank has nearly 17 percent or 560 branches in the state, out of which 103 are in rural areas, including 43 gramin branches in unbanked villages across 10 districts. The bank operates 308 gramin branches.

Overall, one in every two branch of the bank is in rural/ semi-urban areas, he said. Under the financial inclusion drive, which started in 2010, the bank has opened 350 branches in unbanked areas and will take this number to 500 by the end of the fiscal, Sabharwal said.

These 350 branches, spanning 15,000 villages in 16 states, have 16 million accounts. These villages are served by 7,500 customer service points, he added. On the branch-on-wheels, Sabharwal said two mobile branch will have two employees, and offers every facility that a full-fledged branch offers, such as an ATM, a cash recycler among others and will cover four villages. On the profitability of the rural branches, he did not offer a number but said normally a branch takes 18-24 months to turn around.

ICICI Bank stock price

On August 22, 2014, ICICI Bank closed at Rs 1537.70, down Rs 6.6, or 0.43 percent. The 52-week high of the share was Rs 1590.35 and the 52-week low was Rs 758.80.


The company's trailing 12-month (TTM) EPS was at Rs 88.09 per share as per the quarter ended June 2014. The stock's price-to-earnings (P/E) ratio was 17.46. The latest book value of the company is Rs 632.78 per share. At current value, the price-to-book value of the company is 2.43.

Set email alert for

ADS BY GOOGLE

video of the day

Go for midcaps in cement space, bullish BPCL, IOC: HDFC Sec

Explore Moneycontrol

Copyright © e-Eighteen.com Ltd. All rights reserved. Reproduction of news articles, photos, videos or any other content in whole or in part in any form or medium without express written permission of moneycontrol.com is prohibited.