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This tracker has been compiled from external sources and does not necessarily reflect the views of the company. Links provided will take you to the full articles appended at the end of the file.

© 2008 Zenith Optimedia.

 

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17. ABN Amro, PayMate Tie Up For Mobile Payments

22 May, 2008

 

ABN AMRO Bank has tied up with mobile-payments provider PayMate to provide its customers with mobile payments and ticketing services.

 

Existing customers of the bank’s mobile-banking service can sign up for the service, while new customers will automatically be registered for the service when they opt for mobile-banking services.

 

The service will allow users to make utility bill-payments as well as airline and movie-ticketing through their mobile phones. PayMate had also recently tied up with LIC and Corporation Bank to enable their customers to pay insurance premia via the mobile phone. 

 

The company is also in talks with SBI to play a part in their mobile-banking offering, said Ajay Adiseshann, managing director and founder, PayMate.

 

 

 

18. ICICI To Make A Late Entry Into Pvt Banking

29 May, 2008

 

ICICI Bank is extending its retail focus to the higher end of the market. The country’s second-largest bank is making a move into the private-banking space. The bank is, however, a latecomer in this segment. It will have to face competition from a host of foreign banks like BNP Paribas, ABN Amro, Deustche Bank, Citi, HSBC, Merrill Lynch, who have been in the segment for the past few years.

 

The increasing allure for private banking in India is the growing class of millionaires (those with liquid assets of over Rs 4.3 crore) in the country, which is estimated to be at over 1 lakh. Also, as ICICI Bank officials say, only around 20% of the market is with the bigger players.

 

Private banking is more people and process-driven than capital intensive. The term refers to the personalised service provided to elite customers as against mass retail banking. ICICI Bank seems to be focussing more on the middle and the upper ends of the markets in recent times. It recently doubled the minimum average balance for its savings accounts to Rs 10,000 from Rs 5,000 earlier.

 

Like most other players in India, ICICI Bank has set $1 million as an entry threshold for private banking. The bank has 250 relationship managers globally and plans to add another 100. “We already have 2,500 customers and are looking to add 1,000 more in the next one year. We will be launching this product in all the countries where we have a presence. Globally, this is a $30-trillion opportunity and is growing at a fast pace,” says V Vaidyanathan, ED, ICICI Bank.

 

In addition to competition from existing foreign banks, the bank will face a challenge from new entrants. The world’s largest private banker, Swiss bank UBS, has got a banking license and is expected to enter the market soon. Others like Morgan Stanley have recently launched private banking in the country. There are also a host of Indian players in wealth management, where ICICI Bank has also been present for the past few years. ICICI Bank officials claim that they already have $26 billion of assets under management, of which $19 billion is in India.

 

 

 

 19. Banks Lounges To Attract Youth

 3 June 2008

 

A banking transaction basically needs only an ATM machine. But now banks seem to be in a mood to pamper their patrons with banking lounges that feature LCD TVs, libraries, WiFi internet access and coffee bars. Mainly aimed at young, trendy and tech savvy students, professionals and entrepreneurs, several banks across the country are setting up such next-gen 24/7 banking outlets of 300 to 500 sq ft. Bank of Baroda, has already opened its new-era branches christened Ur Zone in Bangalore and Pune. The new facility is a fusion of hitech and high-touch banking self-service facility.

 

"We have already opened next-gen branches in two cities. By the end of this year we plan to open more such outlets in all metros," says M D Mallya, CMD, Bank of Baroda. These lounge branches offer exclusive products and hassle-free services like single-loan application, built-in overdraft facility and products of liquidity and high returns. "After the opening of our Bangalore branch, we see an increase in the number of new accounts especially among youngsters," he says.

 

State Bank of India under its business process re-engineering programme has refurbished several of its branches that are of 3,000 sq.ft to 5,000 sq.ft. "We are creating 24/7, dedicated, 300 sq.ft lounges with access to ATM, internet banking, phone banking and other kind of hi-tech transactions in a couple of months. All branches in Bangalore will have this facility, apart from other metros and later in tier II cities," says a spokesperson from SBI.

 

Vijaya Bank and Canara Bank too are planning to venture into similar initiatives. "If market demands we will look at specialized branches exclusively to attract young crowd. But before that we need to do a lot of homework, to open state-of-the art smart branches," informs Prakash P Mallya, CMD of Vijaya Bank. Canara Bank is thinking of branches with self-assist centres in the lobby where customers can do their banking on their own.

 

Each of these branches will also have a couple of smart, well-groomed professionals who would guide customers with their queries.

 

 

 

20. Stanchart Launches Manhattan Platinum Card

5 June, 2008

 

Global lender Standard Chartered today launched Manhattan Platinum Card to offer both cash back and rewards as a standard feature on the same card to its customers.

 

The card would offer 5 per cent cash back on all departmental stores and supermarkets and five reward points per Rs 100 for all other spends, the bank said in a press release issued here today. 

"There is no other product available that offers flat rewards as high as 5 per cent as a standard feature. The customer will see the rewards as cash-back or reward points in the statement after each transaction," Stanchart's General Manager, Credit cards & Personal loans, R L Prasad said in a statement.

 

The card would carry an annual fee of Rs 2,000 and is being offered free for the first year as an introductory offer, company said.

 

The card would be initially launched in the metros and in Bangalore, it said.

 

Stanchart has 90 branches in 33 cities and a combined customer base of 21 lakh in the retail banking.

 

 

 

21. IDBI Launches Value-Added Service For Its RTGS Clients

2 June, 2008

 

IDBI Bank on Monday announced the launch of a value-added service to its real time gross settlement clients.

 

Now the bank can also give the name of the remitter along with the unique transaction reference (UTR) number in the account statement of customers for all inward RTGS transactions, a press release issued here stated.

 

This would enable customers to know the remitter details of the inward RTGS entries and facilitate better daily fund management, the release said. 

 

 

 

22. Credit Suisse Launches Wealth Management Biz

25 May, 2008

 

A growing number of wealthy individuals in India has attracted yet another foreign bank to cash in on this fast growing segment. Credit Suisse, the Zurich-headquartered bank, recently launched its wealth management operations in India. It will provide a comprehensive range of investment products and services to high net worth individuals (HNIs) and aims to become one of the top three wealth management players in the country within the next three years.

 

The number of households with bankable assets exceeding $1 million is expected to rise from 120,000 in 2007 to 300,000 in 2012. The number of wealthy individuals in the country is growing at an annual rate of 30 per cent. Credit Suisse also received a PMS (portfolio management services) licence from the Securities and Exchange Board of India (Sebi) in January this year.

 

It will provide a range of local and international investment products, including advice on capital raising, listings and succession planning, to HNIs, family-owned businesses and entrepreneurs.

 

The bank recently launched its brokerage operation and obtained a merchant banker licence in India. It plans to open offices in New Delhi and Bangalore in three years. It has a dedicated team in Dubai, London, Singapore and Zurich, which caters to the needs of non-resident Indian (NRI) clients.

 

Mihir Doshi, country head, Credit Suisse, said, “We are highly committed to the Indian market and have been building knowledge and understanding of the region for over ten years. The establishment of a local wealth management business complements our existing investment banking and securities operations and will allow us to deliver the integrated bank to our clients in India.”

 

 

 

23. ICICI Pru AMC Announces Systematic Investment Plan

23 May, 2008

 

ICICI Prudential Asset Management Co, today launched the country's first systematic investment plan with a 'top up', a feature which allows investors to increase their periodic investments.

 

Investors can increase their periodic investments through an automated route in multiples of Rs 500 on a pre-determined and regular basis.

 

This enables investors grow their wealth as their investment potential (with increase in income/salary) increases, a release issued here stated.

 

The company's Head-Retail (Sales and Distribution) Vikram Kaushal said: "ICICI Prudential AMC always provides investors efficient investment solutions. The SIP with 'top up' facility is another step in this direction, which will help investors grow their wealth in tandem with their income growth." It offers a flexibility to 'top up' investment at pre- determined intervals of six-months or 12-months and aids in faster wealth creation through increased market participation.

 

It also provides execution ease in the investment process and reduces the efforts required by investors, the release said.

 

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