Overview of Financial Inclusion

The Prestigious Pradhan Mantri Jan Dhan Yojana (PMJDY) was launched on 28.08.2014 with basic objective of achieving inclusive growth in Mission Mode through the Six Pillars. The Scheme commenced from 16.08.2014 and continued till 27.08.2018, thus, accounts opened during this period are considered as PMJDY. The scheme continued till 27.08.2018 shall have the benefits of old features. After 28.08.2018, accounts opened under PMJDY category had been termed as New PMJDY accounts. PMJDY has been declared as an Open ended Scheme by GOI.

    Pillar-1: Universal Access to Banking facilities

    • The Bank was allocated 17732 villages across the country for coverage by deploying Bank Mitras in these villages. These villages have been regrouped into 4580 Sub Service Areas (SSAs). Each SSA comprises of 2 to 6 villages based on population of these villages i.e. maximum 5000-6500 population within a radius of 5 Km area.
    • These 4580 SSAs has been fully covered by our Bank by deployment of 4355 Bank Mitras and remaining 225 SSAs covered through Branches. Further, 750 Urban SSAs were allotted as per FIP plan of RBI 2016-19. Our bank has covered all SSAs by 100% deployment of Bank Mitras.
    • GOI recently announced 9039 uncovered villages not having banking facilities within 5 km radius and our bank has been allotted 81 villages across 8 states. Our bank has covered all villages by deployment of existing as well as new Bank Mitras through setting up of Banking Outlets.

     

    Pillar-2: Financial Literacy Programme

    • The Bank provides financial literacy through Financial Literacy Centers (FLC) located in all our Lead Districts and camps are organized at regular intervals through FLC counselors.
    • Financial Literacy is also provided by Bank Mitra located in villages through their Kiosks, various meetings and camps are also organized to educate rural population.
    • Bank also organizes Village and Mohalla Contact Programmes in coordination with Bank Mitras and Branches so that banking services reach to all sections of the society.
    • Also sensitization programmes of Bank Mitras through their Service Providers are arranged from time to time in order to make them better aware of the various products and services of the Bank so that they may be able to percolate the same to the masses in their catchment areas.

     

    Pillar-3: Providing Basic Banking Accounts

    • Our Bank had covered 56.24 Lakh households and opened 21.84 Lakh accounts who were not having bank accounts in 4580 SSAs and 1210 urban wards allocated to our Bank in a record time as on 31.12.2014.

     

    Pillar-4: Micro Credit availability
    Status of Overdraft facility to PMJDY customers is as under:

    Eligible A/Cs OD Sanctioned OD Availed A/C OD Availed Amt (Lac)
    2072391 2072391 643472 1238.95

     

    Pillar-5: Micro Insurance (PMJJBY & PMSBY)

    • Social Security Schemes (SSS) viz. Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY) were launched on 09.05.2015 by Hon'ble Prime Minister of India in Kolkata.

     

    Pillar-6: Unorganized sector Pension schemes like Atal Pension Yojana

    • Atal Pension Yojana was also launched with other two Social Security Schemes (SSS) viz. PMJJBY and PMSBY.
    • Since inception, we have mobilized 4.46 Lakh proposals under Atal Pension Yojana as on 30.06.2019.

    Timeline for Financial Inclusion Plan

    Comprehensive Financial Inclusion of the excluded sections were carried out in two phases as under:

    Phase I (15 Aug, 2014 - 14 Aug, 2015)

    Phase II (15 Aug, 2015 - 14 Aug, 2018)

    Extended Pradhan Mantri Jan-DhanYojana

    After the successful completion of four year period of the National Mission on Financial Inclusion-PMJDY, the scheme was declared as an open ended scheme on 28.08.2018 with some additional features. To give the necessary impetus to financial inclusion activities and to bring transformative changes in the country, the Government decided to extend PMJDY beyond 14.08.2018 with the change in focus on opening of accounts from “Every Household” to “Every Adult” with the following modifications.

    1. Existing Overdraft limit to PMJDY account holders of Rs.5000/- had been raised to Rs.10,000/-
    2. Age Limit for availing PMJDY OD extended from 18-60 years to 18-65 years
    3. There are no conditions attached for OD up to Rs.2000/- (Average amount credit in the account should be sufficient to serve the interest.)
    4. Accident Insurance cover for Rupay card holders had been raised from Rs.1 Lakh to Rs.2 Lakh to new PMJDY Accounts opened after 28.08.2018
FI Performance Q1 2020 and Intra Year since March 2016

 

    FI Parameters

      The present Status of opening of FI Accounts including PMJDY accounts Y-O-Y growth as on 30.06.2019 is as under:

      Sl. Particulars 30.06.2018 30.06.2019 % Variation
      1. No. of A/Cs opened under PMJDY (in Lakh) 80.74 111.08 37.58%
      2. No. of Funded SB A/Cs opened under Non PMJDY (in Lakh) 0.53 1.69 218.87%
      3. Total SB Accounts Opened 81.27 112.77 38.76%
      4. Balance in PMJDY A/Cs (Rs. in crore) 2283.00 3608.14 58.04%
      5. No. of PMJDY A/Cs with balance (in Lakh) 78.57 108.67 38.31%
      6. % of Zero Balance accounts in PMJDY 2.69% 2.17%
      7. Total FI A/cs (in Lakh) 150.97 179.77 19.08%
      8. Total Outstanding in FI A/cs (Rs. In Crore) 5194.51 7887.86 51.85%

    Micro Insurance

    • Insurance Premium cumulatively had been remitted to the Insurer for 36,84,266 customers involving premium amount of Rs. 3.66 crore under PMSBY up to 30.06.2019. However, the eligible case for renewal for the policy year 2019-20 stands at 30,51,428.
    • Fresh Enrollment from 01.04.2018 to 30.06.2019 stands at 77,446 and auto renewal happened in 29,80,994 no. of cases till 31.05.2019-Annual cut-off date for Auto Renewal for the current year. Considering the total 29,95,288 no. of fresh and auto renewal policies our bank earned fee based commission of Rs.63.21 Lakh up to 30.06.2019 for FY 2019-20. Auto renewal success percentage was 97.69%.
    • In PMJJBY, Insurance Premium cumulatively had been remitted to the insurer for 10,39,796 cases involving premium amount of Rs.21.79 Crore up to 30.06.2019. However, the eligible cases for renewal for the policy year 2019-20 stand at 7,28,593.
    • Fresh Enrollment from 01.04.2018 to 30.06.2019 stands at 23,126 and auto renewal happened in 6,50,050 no. of cases till 31.05.2019-Annual cutoff date for Auto Renewal for the current year. Considering the total 6,55,597 no. of fresh and auto renewal policies our bank earned fee based commission of Rs.270.73 Lakh up to 30.06.2019 for FY 2019-20. Auto renewal success percentage was 89.22%.
    • A total of 3616 and 606 claims under PMJJBY and PMSBY respectively as on 30.06.2019 have been settled. The Claim settled/ disposed ratio for PMJJBY & PMSBY respectively stands at 92.30% & 91.09% of our bank.

     

    Position of Bank Mitra Channel as on 30.06.2019:- Infrastructure through Alternate Delivery Channel

    SN Particulars Comments
    1. Number of Bank Mitras SSA 4355 Rural+750 Urban+ 28 Uncovered Villages
    2. Number of Base Branches 2053
    3. Deposit Mobilization through accounts opened by Bank Mitra SB:                     Rs.3822.41 Crore
    Retail Deposits:   Rs.2534.57 Crore
    Total:                  Rs.6356.98 Crore
    4. Number of Accounts opened by the Bank Mitra 111.08 Lakh (PMJDY)
    1.70 Lakh (Non PMJDY)
    3.20 Lakh (Retail)
    5.24 Lakh (PMJJBY)
    22.33 Lakh (PMSBY)
    3.57 Lakh (APY)
    5. Per day average transactions from Bank Mitra Points (Normal + AEPS+Card Based) 2.20 lakh
    6.
    Per day value of transactions from Bank Mitra
    Rs. 105 Crore
    7.
    Transaction in accounts other than PMJDY opened by the Branches
    53% (424 lakh transactions per annum)
    8.
    Transaction in accounts of PMJDY opened by the Bank Mitras
    47% (376 lakh transactions per annum)
    9.
    Percentage of active Bank Mitras
    100%
    10.
    Coverage of Bank Mitra
    6025 Pan India (SSA + Non-SSA+ Uncovered villages)

    Intra Year Progress of FI Parameters

    Particulars March 16 March 17 March 18 Mar 19 Jun-19
    PMJDY Accounts (In Lakh) 44.24 65.95 75.98 106.55 111.08
    Balance in Accounts (Rs. Cr) 461.12 1219.39 2137.90 3534.92 3608.14
    % Growth in Balance (over March 2018)

    -

    164.44% 75.32% 65.35% 68.77%
    Zero Balance in PMJDY A/c (In Lakh) 8.80 11.53 2.29 2.29 2.41
    % of Zero Balance

    19.89% 17.48% 3.01% 2.15% 2.17%
    No. of Operative PMJDY A/c (In Lakh)

    33.85 54.41 75.57 96.63 101.16
    % of Operative PMJDY 76.51% 82.50% 99.46% 90.69%

    91.07%

    Average Balance Per Operative PMJDY (In Rs.)

    1,362 2,241 2,829 3,658 3,567
    Stop Status in PMJDY (In Lakh) 6.75

    2.83

    2.75

    1.73

    1.80

    Rupay Card Eligible PMJDY (In Lakh)   53.58 61.95

    86.07

    81.70

    Rupay Card Issued (In Lakh) 42.89 51.31 58.43 64.59 65.29
    Rupay Card Activated (In Lakh) 18.67 42.33 50.95 55.14 56.49
    Rupay Card Issued (% Eligible) - 95.76% 94.32% 75.04% 79.91%
    % of Rupay Card Activated to Issued 45.53% 82.50% 87.20% 85.38% 86.53%
    E-KYC Hits (In Lakh Cumulative) 1.87 2.07 10.99 37.48 41.00
    Aadhaar Seeded in PMJDY (In Lakh) 27.78 54.78 66.05 88.91 93.51
    % of Aadhaar Seeded in PMJDY 62.79% 83.06% 86.93% 83.44% 84.18%
    Operative SB Accounts as on 31.12.2016 (Cut off Date) (In Lakh) - 267.90 267.90 292.27 303.28
    Aadhaar Seeded in Operative SB Account ( In Lakh) -

    154.91 238.33 272.41 273.31
    % of Aadhaar Seeded in Operative SB account -

    57.82% 88.96% 93.20% 90.12%
    Mobile Seeded in Operative SB account -

    184.12 207.51 210.37 239.98
    % of Mobile Seeded in Operative SB -

    68.73% 77.46% 71.98% 79.13%
    No. of AEPS Transactions (In Lakh)

    32.51 143.73 411.19 741.35 822.66
    No. of KIOSK doing AEPS Transactions 3544 4792 5051 6064 6025
    No. of PMJJBY Registered (In Lakh)

    5.78 6.65 8.09 10.24 10.48
    No. of PMSBY Registered (In Lakh) 18.14 21.07 28.11 36.46 37.21
    No. of APY Registered (In Lakh) 0.54 0.71 2.30 4.08 4.46
    Commission On Micro Insurance (In Lakh) 270.80 248.41 283.46 332.03 3.34
    No. of Funded SB Account from BC Channel -

    -

    25789

    140728

    169303
    Outstanding in SB Funded (Rs/Cr) - -

    26.68 181.37 214.27
    No. of RD/FDR/DDP from BC channel - - 178545 296631 320379
    Outstanding in RD/FDR/DDP (Rs Cr) -

    -

    1030.00 2267.45 2534.57
    No. of FI Accounts (In Lakh) 108.71 130.92 142.98 174.27 179.77
    Total FI Outstanding (In Cr)

    1341.37 2461.75 4676.69 7616.97 7887.86
    NFNI Income (Rs. In Cr) 2.82 6.52 13.17 28.76 3.34

     

Initiatives

BASIC BANKING THROUGH ALTERNATE DELIVERY CHANNELS & NEW INITIATIVES:

  • Under Financial Inclusion Project, the Bank has provided Banking Facilities through
    Online Inter-operable Kiosk Banking Solution at 5133 (4355+750+28) Bank Mitra locations using Micro ATMs.
  • For opening of account, e-KYC facility has been implemented for customer verification without any paper documents.
  • Aadhaar Enabled Payment System (AEPS) for on-us & off-us transactions and RuPay ATM card acceptance at all Bank Mitra locations have been made mandatory along with Pass book Printing facility thus cutting down transaction cost, cost towards printing & stationery etc. and capital expenditure for setting up brick & mortar branches as well as reducing operational risk as withdrawal and fund transfers happen either through Aadhaar or Card based. 
  • On line Account Opening of PMJDY/Normal accounts at Bank Mitra Locations to improve per day SB account Opening of Branches and Reduce Cost of Deposit.
  • RD/FD Opening Functionality at Bank Mitra Locations have already been commenced.
  • Bank Mitra channel is being used for recovery of NPA accounts upto Rs.15.00 lakh.
  • Aadhaar enabled login by Bank Mitras has been made mandatory for all Bank Mitras except in the states of Assam, Meghalaya and Jammu & Kashmir.

AWARDS & ACCOLADES

  • Our Bank was adjudged as the Best Bank in PMJDY implementation in the category of Group-Other states and bagged prestigious Prime Ministers Award for excellence in Public Administration for “North 24 Pragana (West Bengal)
  • Our Bank also bagged Winner shield in the Mid-Sized Banks Category in recognition of excellent performance for Aadhaar Enabled Payment Systems by National Payment Corporation of India for FY 2016. 
  • Acknowledging the Financial Inclusion Landscape achieved by Allahabad Bank, Our Bank has been adjudged as Runner Up in the category of Best Financial Inclusion Initiatives amongst Medium Banks -“Banking Technology Award 2017” by Indian Banks Association.
  • Bank has been conferred the prestigious “51th SKOCH AWARD 2018-Platinum Award in PMJDY” in the category of Financial Inclusion from the independent think and policy advisory body of SKOCH Group.
  • Bank has been conferred 3rd Rank in the category of Best Performing Public Sector Bank in terms of average Aadhaar Generation and Update. Also. Bagged 7th rank in the category of “Achievers Award” for opening highest percentage of Aadhaar Centres as per given targets. Our Dudhi Branch in Sonbhadra District under ZO-Mirzapur also was chosen as Best Performing Branch of Allahabad Bank in terms of Aadhaar Generation and Update. 
  • Bank has also bagged the following IBA Banking Technology 2019 Awards in the Medium bank category:

    • 1. Best Payment Initiatives- winner

    • 2. Best Financial Inclusion Initiatives- winner

    • 3. Most Innovative Product using technology- winner

  • Our Bank was adjudged as “Best Bank in Financial Inclusion amongst Medium Banks” and won BFSI 2019 award from Governance Now- on 4th India Banking Reforms Conclave and BFSI Awards 2019 on May 2019 at a function held at Mumbai. 

 

Allahabad Bank’s Business Correspondent Model has not only been successful in reaching the large part of the unbanked population and bringing them under the financial net, it has also been recognized for its widespread presence and service provided through its strong BC Channel. Social Banking by Allahabad Bank has benefitted the masses both in the rural as well as in the urban areas. Doorstep banking in the true sense in the form of transactions or enrolments is provided by the Bank Mitras in far flung areas and to old-aged/ disabled customers of the Bank at their doorstep. Some of the snapshots of our Events and Awards are captured.

 

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One of our Bank Mitra in Satna, M.P. delivering doorstep banking services to a bed ridden patient, free of cost.

 

 

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One of our Bank Mitra and his customers at our Grahak Seva Kendra, Sehra, Gujarat

 

 

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Allahabadian for Humanitarian Cause:
PMJJBY claim becomes life support to the old aged mother after demise of her son who had his account in Allahabad Bank. The mother was unaware of the account until our Bank official approached her for applying for the claim.

 

 

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Women Empowerment through Financial Inclusion at one of our BC Point

 

 

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Bank’s own way of Financial Literacy
Village and Mohalla Contact Programme is held from time to time across villages

 

 

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Our commitment at Holy Kumbh-
New BC point of Allahabad Bank at Prayagraj with well-equipped infrastructure for rendering customer service during Kumbh Mela

 

 

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Uniform branding of “Allahabad Bank Customer Service Point (BC Kiosk Point)/ Grahak Seva Kendra” using Uniform Signage, display of Business Hours, Customer Complaint and Suggestion Box, Cheque Drop Box etc.

 

 

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Sensitisation Meet
of all our Nodal Officers (FI). The occasion was graced by respected MD & CEO, Shri CH S. S. Mallikarjuna Rao

 

 

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Felicitation of Top performing Bank Mitras by our respected MD & CEO on the auspicious occasion of Bank’s 154th Foundation Day.

 

 

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Bank has also bagged the following IBA Banking Technology 2019 Awards in the Medium bank category:

  1. Best Payment Initiatives- winner
  2. Best Financial Inclusion Initiatives- winner
  3. Most Innovative Product using technology- winner

The award is being received by our Top Executives, including Respected MD & CEO, Shri CH. S.S. Mallikarjuna Rao. Seen amongst others are all respected Shri SLVN Nageshwar Rao, GM (Marketing, Digitization & Retail Liabilities), Shri Abhaya Kumar Mohapatra, CGM- Mumbai CGMO and Shri C. R. Verma DGM, FI, Head Office

 

 

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Bank being conferred 3rd Rank in the category of Best Performing Public Sector Bank in terms of average Aadhaar Generation and Update. Also. Bagged 7th rank in the category of “Achievers Award” for opening highest percentage of Aadhaar Centres as per given targets. Our Dudhi Branch in Sonbhadra District under ZO-Mirzapur also was chosen as Best Performing Branch of Allahabad Bank in terms of Aadhaar Generation and Update.  Seen here are Shri C.R. Verma, DGM FI, H.O., Shri M. M. Prasad, AGM FI and Shri Sandeep Kumar, Officer, FI receiving the award from UIDAI CEO.

 

 

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Bank had been conferred the prestigious “51th SKOCH AWARD 2018-Platinum Award in PMJDY” in the category of Financial Inclusion from the independent think and policy advisory body of SKOCH Group. The Award was received by respected DGM, Shri P.S. Azad and Shri S. K. Das, AGM FI.

 

 

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Bank Mitra of Allahabad Bank from Barasat, West Bengal being felicitated by respected Deputy General Manager, Shri G. K. Bailung for good performance in Financial Inclusion

 

 

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Bank Mitra of Allahabad Bank from Chinsurah, West Bengal being felicitated by respected Shri Baidhar Pradhan, AGM (Zonal Head) and Shri Shri S. K. Das, AGM, FI, H.O. for good performance in Financial Inclusion as a part of Zonal level Review cum Sensitization Programme

 

 

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Bank’s concerted efforts in Financial Inclusion had helped the Bank to be adjudged as the Best Bank in PMJDY implementation in the category of Group- Other States and bag the prestigious Prime Ministers’ Award for Excellence in Public Administration for North 24 Parganas (West Bengal)

 

 

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Bank had hagged the Winner shield in the Mid-sized Banks category in recognition of Excellent Performance for Aadhaar Enabled Payment Systems by National Payment Corporation of India for FY 16.

 

 

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As acknowledgement of financial inclusion landscape achieved by your Bank, it had been adjudged as runner-up in the category of Best Financial Inclusion Initiatives amongst medium sized banks- “ Banking Technology Award 2017” by Indian Banks Association.