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Enrollment No: 21A2020941

Name: SAHIL SHARMA

Area of Specialisation: Finance

Title of the Project: A DETAILED STUDY ON CREDIT RISK MANAGEMENT IN

BANKING WITH SPECIAL REFERENCE TO ICICI BANK

Statement of the problem: Credit Risk is the most fundamental risk faced by a
bankingcompany. Credit Risk is the risk of default by a
borrower offunds or decline in the credit standing of a
borrower. It is themost difficult to quantify due to the large
amount of subjectivityinvolved in it. Thus credit risk
management can assist indecision-making. It cannot be a
substitute to the judgmentaldecisions of a credit officer.
Traditionally credit risk has beenmanaged by setting up limits
to the global exposure, industryexposure, country exposure
and individual client/groupexposure. Credit risk management is
extremely important asthe pricing of a portfolio or a transaction
is dependent on therisk factor built-in it.

Objectives of the study: •To study about the concept of credit risk management in
banking with reference to ICICI Bank •To study
variousproblems related to credit risk management in ICICI
Bank. •Tostudy about the various types of risks faced by
Banks. •To studythe guidelines provided by RBI for banks. •To
study about thevarious techniques involved in managing the
various types ofrisks in ICICI Bank.

Industry/ Company Name: ICICI Bank

Industry Information/ Company Profile: ICICI Bank Limited provides banking products and
financialservices in the areas of investment banking, life and
non-lifeinsurance, venture capital, and asset management to
corporateand retail customers. It offers savings accounts, fixed
deposits,recurring deposits, and salary accounts; and
consumer andcommercial cards. The company also provides
home loans,commercial vehicle loans, personal loans, car
loans, and loansagainst securities. In addition, it offers tax
saving bonds,government of India bonds, mutual funds, initial
public offers, foreign exchange services, and senior citizens
savings schemes; and health, overseas travel, student
medical, motor, and home, insurance products, as well as
 invests in gold.

Study Type: Field Study/ Survey

Explanation of the Study method (Study • Primary Data: In this study the Primary data will be
design and approach, Sampling collectedfrom Questionnaire and Personal Interaction with
technique, justification of sample size and theemployees of ICICI Bank. • Sample size: 100
sample frame, duration of data collection, •Sampling:Universe and Sample Size: NCR region have been
justification for use of proposed data taken asuniverse of the study .Convenient sampling technique
analytics tool, proposed presentation of is usedand sample of 100 employees has been taken for the
findings and managerial/academic purposeof the study. Convenience sampling technique is used
implications etc. : for collecting the data from different investors. The investors
areselected by the convenience sampling method.• Statistical
tools: Statistical tools used in this project work are
Percentagecharts and graphs.

Number of Respondent (for primary 100

Study):

Area of study: New Delhi

Data Collection Tool/Technique: • Interviews• Questionnaire

Data Analysis Tools /Technique: The data collected form questionnaire is edited, tabulated and
analyzed. Various graphical techniques have been used to
present the data in more meaningfulway.

Questionnaire (Only for primary Study)

1. Age Group
2. Occupation
3. Education
4. Annual Household Income
5. No of year of experience in credit risk management:
6. Are you aware about the concept of credit risk in the banking sector?
7. How would you characterize the credit risk level in the private banking sector in India?
8. Apart from credit risk, what are other risks to which your bank is exposed to? You can
choose more than one options.
9. Which of the following do you believe are the most important potential benefits of credit risk
management?
10. Which of the following best describes the way risk management is reported within your
bank? Select the answer that closely corresponds with the situation in your company.
11. Which of the below models are employed by banks to identify the creditworthiness of the
customer.
 12. Which are the major challenges faced in successful implementation of credit risk
management policies?
13. Do you agree that an effective credit risk management system can be a value enhancing
system for your bank?
14. Do you agree that integrating market risk and credit risk into a single risk management
system will help to minimize the credit risk of the bank?
15. Any suggestions for the improvement of current credit management system
1. Age Group
2. Occupation
3. Education
4. Annual Household Income
5. No of year of experience in credit risk management:
6. Are you aware about the concept of credit risk in the banking sector?
7. How would you characterize the credit risk level in the private banking sector in India?
8. Apart from credit risk, what are other risks to which your bank is exposed to? You can
choose more than one options.
9. Which of the following do you believe are the most important potential benefits of credit risk
management?
10. Which of the following best describes the way risk management is reported within your
bank? Select the answer that closely corresponds with the situation in your company.
11. Which of the below models are employed by banks to identify the creditworthiness of the
customer.
12. Which are the major challenges faced in successful implementation of credit risk
management policies?
13. Do you agree that an effective credit risk management system can be a value enhancing
system for your bank?
14. Do you agree that integrating market risk and credit risk into a single risk management
system will help to minimize the credit risk of the bank?
15. Any suggestions for the improvement of current credit management system

References: BOOKS 1.M.Y.Khan and P.K.Jain, Management

Accounting(ThirdEdition), Tata McGraw Hill. 2.M.Y.Khan and
P.K.Jain,Financial Management(Fourth Edition), Tata McGraw
Hill.3.D.M.Mittal, Money, Banking, InternationalTrade and
PublicFinance (Eleventh Edition), Himalaya Publishing
House.4.Allen, Franklin and Douglas Gale, 2011. Comparing
FinancialSystems (The MIT Press).5.Asian Policy Forum,
2011. PolicyRecommendations for Preventing Another Capital
AccountCrisis.6.Barth, James, Gerard Caprio and Ross Levine,
2012a.“Banking systems around the globe: do regulation
 andownership affect performance and stability”? 7.Mishkin,
ed.,Prudential Regulation and Supervision: Why it is Important
andWhat are the Issues (Cambridge, Mass., National Bureau
ofEconomic Research). , 2012b. “The regulation and
supervisionof banks around the world: a new database”, Policy
ResearchWorking Paper, World Bank.8.Beck, Thorsten, Ross
Levineand Norman Loayza, 2011. “Finance and the sources
ofgrowth”, unpublished.WEBSITES
•www.icicidirect.com•www.rbi.org •www.indiainfoline.com
•www.google.com•www.thefinapolis.com
•www.moneycontrol.com•www.yahoofinance.com
•www.threeconomictimes.com•www.rediffmoney.com
•www.sebi.gov

Chapter Plan:

1. INTRODUCTION
2. COMPANY PROFILE
3. LITERATUTRE REVIEW
4. NEED, SCOPE AND OBJECTIVES OF THE S'TUDY
5. RESEARCH METHODOLOGY
6. DATA ANALYSIS, INTERPRETATION AND FINDINGS OF THE STUDY
7. SUGGESTIONS AND RECOMMENDATIONS
8. CONCLUSIONS
9. BIBLIOGRAPHY AND ANNEXURE
1. INTRODUCTION
2. COMPANY PROFILE
3. LITERATUTRE REVIEW
4. NEED, SCOPE AND OBJECTIVES OF THE S'TUDY
5. RESEARCH METHODOLOGY
6. DATA ANALYSIS, INTERPRETATION AND FINDINGS OF THE STUDY
7. SUGGESTIONS AND RECOMMENDATIONS
8. CONCLUSIONS
9. BIBLIOGRAPHY AND ANNEXURE

Profile of Project Guide

Name: Sandip Prasad Kasera

Age:

Educational Qualification: MBA (Finance)

Years of Experience: 13 Yrs

Current organisation: UJJIVAN SMALL FINANCE BANK LTD

Current designation: CLUSTER CREDIT MANAGER- CAD(MSE)

Brief profile:

Address:

House No:. Flat No. 1A 1C/1B

Street: Motijheel Lane, Ishwar Niwas

City: Kolkata

State: West Bengal

Phone Number (Residence):

Phone Number (Office):

Mobile: 9830065785

Official E-mail id: Sandipkasera_2007@yahoo.com