A

PROJECT REPORT ON

“A Study of Agriculture Loan in Bank of Maharashtra”

SUBMITED TO

SAVITRIBAI PHULE PUNE UNIVERSITY

In partial fulfillment of the Requirement of
Bachelor of Business Administration
SUBMITED BY
MR. Pingale Abhijit Santosh
Under the guidance of
PROF. Pingale A.A.

THROUGH
Grammonati Mandalas
Arts, Commerce & Science COLLEGE, NARAYANGAON
(Department of BBA/BCA)
For the year 2021-2022

1
 CERTIFICATE

This is to certify that Mr. / Pingale Abhijit Santosh of SY BBA Roll No. having

specialization in Financial Management has successfully completed his project titled “A Study of

Agriculture Loan in Bank of Maharashtra” as per the norms of Savitribai Phule Pune
Univeristy under the guidance Prof.(Pingale A.A) for the academic year 2021-22.

Internal Examiner External Examine

Project Guide HOD Co-ordinate

Prof (Pingale A.A) (Prof. Gharage S.V.) (Prof.Kudekar S.B.)

2
 DECLARATION

Thus, the sole and honest objective for collection the information is only for the academic purpose
and I assure that collected information shall be restricted only for the project.
I hereby declare that the information ,photographs, data etc. gathered during study shall be strictly
utilizes only for the purpose of project report .This project report is a part of the partial fulfill of
degree Bachelor in Business Administration at A.C.S. College, Narayangaon for the session:2021-
2022 under university of Pune .
I honestly state that the intention of collection of the information in my project report is solely for the
purpose of study ,not for commercial purposes or any means any sole sincere motive to learn the
procedure practically and express my views by preparing project report .

Date:

Place:Narayangaon

MR. Pingale Abhijit Santosh

BBA 2nd year
(Financial management)

3
 ACKNOWLEDGEMENT

We would to thanks Prof. Pingale A.A. for their valuable co-operation and support without whom it
was difficult to complete this project work.
I am extremely delighted to express my deep heart regards to my project guide Prof. Pingale A.A
Arts Commerce Science College of Narayangaon, who has given her valuable time to provide us
required guidance to complete this academic undertaking.

I also want to thank to all those who have helped us directly or indirectly for completion of my
project.

Place- Narayangaon

MR. Pingale Abhijit Santosh

BBA 2nd year
(Financial management)

.
4
 INDEX

Sr. PARTICULARS Page

No No
1 EXECUTIVE SUMMARY
2 Chapter No. 1
1.1 Introduction
1.2 Objective Of The Study
1.3 Objective
1.4 Importance Of The Study
1.5 Scope Of The Study
1.6 Research Methodology
A .Data Collection
 Primary Data
 Secondary Data
B .Sampling
1.7 Limitations Of The Study
3 CHAPTER NO. 2
2.1 Introduction To Organization
2.2 Bank Profile

4 CHAPTER NO. 3
Theoretical Background
5 CHAPTER NO. 4
Data Analysis And Presentation
6 CHAPTER NO.5
Findings
7 CHAPTER NO .6
Suggestions
8 CHAPTER NO. 7
Conclusion
Questionnaire
Bibliography

5
 EXECUTIVE SUMMARY
Finance In Agriculture Is As Important As Other Inputs Being Used In Agricultural Production
Technical Purchased And Used By Farmer Only If He Has Money (Funds). But His Own Money Is Always
Inadequate And He Needs Outside Finance Or Credit. Professional Money Lenders Were The Only Source
Of Credit To Agriculture Till 1935.
They Used To Charge Unduly High Rates Of Interest And Follow Serious Practices While Giving
Loans And Recovering Them. As A Result, Farmers Were Heavily Burdened With Debts And Many Of
Them Perpetuated Debts. With The Passing Of Reserve Bank Of India Act 1934, District Central Co-Op.
Banks Act And Land Development Banks Act, Agricultural Credit Received Impetus And There Were
Improvements In Agricultural Credit. A Powerful Alternative Agency Came Into Being. Large-Scale Credit
Became Available With Reasonable Rates Of Interest At Easy Terms, Both In Terms Of Granting Loans
And Recovery Of Them. Although The Co-Operative Banks Started Financing Agriculture With Their
Establish Mends In 1930's Real Impetus Was Received Only After Independence When Suitable Legist Kati
on Were Passed And Policies Were Formulated.
Thereafter, Bank Credit To Agriculture Made Phenomenal Progress By Opening Branches In Rural
Areas And Attracting Deposits. Till 14 Major Commercial Banks Were Nationalized In 1969, Co-Operative
Banks Were The Main Institutional Agencies Providing Finance To Agriculture. After Nationalization, It
Was Made Mandatory For These Banks To Provide Finance To Agriculture As A Priority Sector. These
Banks Undertook Special Programs Of Branch Expansion And Created A Network Of Banking Services
Throughout The Country And Started Financing Agriculture On Large Scale. Thus Agriculture Credit
Aquired Multi-Agency Dimension. Development And Adoption Of New Technologies And Availability Of
Finance Go Hand In Hand. In Bringing "Green Revolution", "White Revolution" And "Yellow Revolution"
Finance Has Played A Crucial Role. Now The Agricultural Credit, Through Multi Agency Approach Has
Come To Stay.
The Procedures And Amount Of Loans For Various Purposes Have Been Standardized. Among The
Various Purposes "Crop Loans" (Short-Term Loan) Has The Major Share. In Addition, Farmers Get Loans
For Purchase Of Electric Motor With Pump, Tractor And Other Machinery, Digging Wells Or Boring Wells,
Installation Of Pipe Lines, Drip Irrigation, Planting Fruit Orchards, Purchase Of Dairy Animals And
Feeds/Fodder For Them, Poultry, Sheep/Goat Keeping And For Many Other Allied Enterprises.

6
Selection of the topic:-

Regarding the topic selected by me for study purpose, I want to quote following
Reasons why this specific topic is selected.

History of Agriculture:-

 10,000 years ago the man invented agriculture.

 A primitive form of agriculture was shifting cultivation crops.

 After few years when these plots lost fertility & heavily infected with grass
 & soil born pests, the cultivator would shift to new site.

 Agriculture is the backbone of Indian economy.

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 CHAPTER NO. 1

INTRODUCTION
Agriculture in India
The History Of Agriculture In India Dates Back To Indus Valley Civilization. India Ranks Second
Worldwide In Farm Outputs. As Per 2018, Agriculture Employed More Than 50% Of The Indian Work
Force And Contributed 17–18% To Country's. In 2016, Agriculture And Allied Sectors Like Animal
Husbandry, Forestry And Fisheries Accounted For 15.4% Of The Gdp (Gross Domestic Product) With
About 41.49% Of The Workforce In 2020. India Ranks First In The World With Highest Net Cropped Area
Followed By Us And China. The Economic Contribution Of Agriculture To India's Gdp Is Steadily
Declining With The Country's Broad-Based Economic Growth. Still, Agriculture Is Demographically The
Broadest Economic Sector And Plays A Significant Role In The Overall Socio-Economic Fabric Of India.

The Total Agriculture Commodities Export Was Us$3.50 Billion In March - June 2020. India Exported $38
Billion Worth Of Agricultural Products In 2013, Making It The Seventh Largest Agricultural Exporter
Worldwide And The Sixth Largest Net Exporter. Most Of Its Agriculture Exports Serve Developing And
Least Developed Nations. Indian Agricultural/Horticultural And Processed Foods Are Exported To More
Than 120 Countries, Primarily To The Japan, Southeast Asia, Saar Countries, The European Union And
The United States.

 Agriculture Is A Prime Source Of Live Hood Of The Population In India.

 A Flourishing Agriculture Sector Is Far More Important For The Development Of Indian
 Economy.

 Since Farming Is Less A Business Than A Tradition In India. Even At This Stage About 80%
Population Lives In Rural Areas Directly & Directly Or Indirectly Depends On Agriculture
 For Its Livelihood.

 On The Surplus Generated By This Sector Would Help Indian Economy To Reach The “Golden
Stage"

 It Supplies The Necessities Of Life. Today Agriculture Is Feeding 100 Million People.

 India Is The Only Country Having All Types Of Soil & Climate Conditions Suitable For
8
 Growing Variety of Crops.

 About 85 Cores Of People Which Further Multiplying At The Rate 2.5% Per Annum
 Depends On Agriculture Sector.

 60% Of The Indian Population Is Engaged In Agriculture & Agro-Based Industries.

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 Objectives of the study

1. The study is undertaken for the following objectives:

2. To study percentage of share of agriculture loan as compare to other Loan of last two years.

3. To study financial statements of Bank of Maharashtra.

4. To understand future budget or plan of Bank of Maharashtra in Agriculture sector.
5. To know the role of government in agriculture sector.

6. To know Rate of interest of agriculture loan in Bank of Maharashtra as Compare to other financial
institution

7. To know various aspects of agriculture loan.

8. To know Feedback from the farmers who have borrowed loan from Bank of
9. Maharashtra.

10
 Importance of Topic:-

The substantial growth of financial sector in India after globalization has brought many sectors under its
benefits. The prime sectors are real estate, housing, Industrial development. It is already discussed & proved
that agriculture sector in India is important; require lot of technological developments to meet the challenges
of this country.
All the developments that is infrastructural, technological require financial Investment. Without
financial support & investment agricultural developments not at all possible. A major sector like agriculture
in our country if kept underdeveloped only because of lack of finance, no justice is made to the cultivators &
a major population which depends on this sector as a source of livelihood. As per the directives of Reserve
Bank of India many of the financial institutes are offering their support to agriculture sector. Large number
of investments are made in the same. The selected topic is that's why important as it deals with the major
sector of this Country i.e. Agriculture. Definitely the findings & outcome of the study will be Important &
useful for me as a student of management as well as Bank of Maharashtra selected for the study purpose.

11
 Scope of The Study

The scope of the study lies in dimensions.

(a) Scope for the student

The student studying the topic will get an exposure to the Agriculture sector, financial procedure to
agriculture credit finance procedure.

(b) Scope for Bank of Maharashtra

The BANK OF MAHARASHTRA as an organisational study, will come to know the exact feedback for the
offers they are making towards them it some derivation will found then definitely it will useful for the bank
itself to improve their functioning.

(c) Scope for the society in general

As the agriculture sector and the farmers are the part of the society, the study. Itself & the findings as such
will be definitely useful for the society. The society in general & farmers in particular can be well
understood in terms of the agriculture finance procedure.

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 Limitations of The Study

The study is complicated with the following limitations:

 Only one bank is selected to study so there is no comparative analysis

 The scope is limited for Dhule district & specifically one branch. i.e Shirpur branch.

 The time available for the purpose of study is very less i.e. twenty days
only. Mostly secondary data is referred than the primary data for the
study is limited.

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 Research Methodology
Research Definition

Research is scientific activity in which decision is made & problem is solved.

Research Methodology
The method or framework within which the research is to be done is called Research
Methodology.
Types of Research of my study is
 Exploratory
 Descriptive procedure of Bank of Maharashtra.
Data Collection
(1) Primary Data:-

In the form of feedback of the farmers collected through questionnaire.

(2) Secondary Data:-

All the data is collected from the books, publication, records, by the bank. Websites

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 SAMPLING: DESIGN AND PROCEDURE

Sampling Technique:

"Convenience Sampling” as a part of non-Probability sampling by taking the Maharashtra bank as the major
performers in the Study of Agriculture Loan in Bank of Maharashtra and highlighters of sector's overall
performance.

Sample Size:
Sample Size was restricted to Bank of Maharashtra
Executing the Sampling Process: Through making a comparison among the
Various key figures of sales, profits and accounting ratios deduced from accounting statements.

Method of Data Collection:

Secondary Data is collected to carry out the study. To review the literature available regarding the subject;
various journals, magazines, related research papers and Internet would be used.

15
 CHAPTER NO. 2
Introduction to Organization

16
History of the bank:-

Bank of Maharashtra is the premier bank of Maharashtra, operating in the country of India. Bank of
Maharashtra was registered on 16 September 1935 with an authorized capital of 10.00 lakh & commenced
business on 8th February 1936. Bank of Maharashtra is a public sector bank in Maharashtra, which offers
personal banking, cash management, retail loans and other financial services. Their services include
deposits, savings/current bank account, vehicle loans, personal loans, agriculture loan, retail trade finance,
global banking, lending to priority sector and small scale sector, foreign exchange and export finance,
corporate loans and equipment loans.

It is known as common man's bank since inception, its initial help to small units has
given birth to many of today's industrial houses. After 1969 ,the bank expanded rapidly. It now has 1375
branches all over India. The bank has the largest network of branches by any public sector bank in the state
of Maharashtra. It was founded by a group of visionaries led by Late V.G.kale & D.K.Sathe & registered as
banking company on 16 September 1935 at Pune.

vision was to reach out & serve the common man & meet all their Banking needs. Today
Bank of Maharashtra has over 12 million customers across the length. Mahabank Self Employment Training
Institute (M-SETI) is an efforts Initiated by Mahabank, Agricultural & Rural Development Fund
(MARDEF) is a trust run by Bank of Maharashtra receiving help from National Bank for Rural
Development (NABARD). The organization runs various self employment training courses for the rural
unemployed youth from the district of Pune, Kolhapur, Satara, Sangli, Nashik & Nandurbar.

17
Head office of Bank of Maharashtra:
Bank of Maharashtra,
Lokmanagal, 1501,
Shivajinagar Pune (Maha) 411 005

Mission:-
 To innovate products and services.
 To adopt latest technology on a continuous basis.
 To build proactive, professional and involved workforce.
 To enhance the shareholders' wealth through best practices and corporate governance.
 To enter international arena through branch network.

The Deepmal
With its many lights rising to greater heights.

The 3 M's symbolising

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Mobilization of Money.

Modernization of Method & Motivation of Staff.

Bank Profile (BOM)

Branch profile No. of

Branches

Rural Branches 591

Semi Urban Branches 204

Urban Branches 295

Metropolitan Branches 273

7-days working Branches 4

Agri-high Tech Branches 4

Industrial Finance Branches(with 23 fex centers) 2

Computerized branches 1363

Branches with Telebanking facility 83

Query Terminal 88

ATM 343

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 Some other information:-

 Internet Banking:-

Bank of Maharashtra offers following services through banking & people these
facilities by using internet connectivity.

 Account balance inquiry.

 Statement of account.

 View all accounting details for all types of accounts.

 Check status & IN accounts

 Check book queries.

 E-payment of taxes.

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 Mobile banking:-

Bank of Maharashtra offers mobile banking services with its new

technology Maha Mobile’. It is a mobile banking application that works on a safe & secured menu
base interface provided through J2ME technology.
The customer can carry out inquiry functions, transfer of funds, e-
commerce transactions by using mobile application installed on customers’ mobile instruments.

 Facilities under Mobile Banking:-

 Balance inquiry.

 Add beneficiary.

 Funds transfer- within customer's own account

 Funds transfer- to any other account within Bank of Maharashtra.

21
  View of mobile banking transaction log.

 Change of application password

 Computerization:-

All the branches of the bank is fully computerized including rural branches.

 Data center:-

The bank has its own data center at Pune, to take care of the IT
Processing requirements with disaster recovery site in Hyderabad.

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  ATM NETWORK:-

The bank expanded ATM network from 505 to 545 ATMs during 2009-10network bank has
entered into collaboration with VISA for issue of debit cards to its customers. The average hits per
day have increased from 37 to 91 per year. The
bank has also joined national financial switch (NFS) & MITR network for broadening its own
network.

Networking:-

The bank has established its own corporate network MAHANET. The
network was restructured to take care of the latest IT 769 locations, 725
branches, regional offices, circle offices.Applications like CBS, ATM Networking,
RTGS, DEMAT, INTRANET, credit risk rating, online tax collection system etc. are
put to use through MAHANET.

23
 CHAPTER NO. 3
Theoretical Backgrounds
Agriculture:-

Agriculture is most important enterprise in India. It is a very broad term comprising

all aspect of production. It provides food for population, fodder for livestock & fulfills needs like fibre, Fuel,
timbre, wood & Raw Material to various industries.

Agricultural Finance:-

The funds are required for the agriculture & for its allied activities. It Provided financial
assistance to various purposes or agriculture operation for short & medium periods like minor irrigation, and
development, soil conservation, farm mechanization, plantation & horticulture, cold storage & other allied
activities.

Direct Agriculture loans:-

It means short term production & investment loans provided directly to farmers for agriculture purposes.
This would also include such loans provided directly to farmers for agriculture purposes.

Need of agriculture finance:-

2/3'd population depends on agriculture. Low growth in agriculture output results in rise in food prices.
Majority of the poor are farmers, a labour & casual labour therefore for reduction ultimately & elimination
of poverty. Agriculture has a significant share in GDP. If GDP is low then overall GDP is fall down.credit.
Money Enders are main sources of credit. They were most convenient and easiest source . his administration
as simple and flexible. The Indian government launched the three- tier banking structure in India. At the
apex is NABARD at the middle level are the urban co-operative banks (UCBS) and a few public sector
banks (PSBS); and at the base are Primary Agriculture credit societies (PACS).

• NABARD

24
• UCBS PSBS

• PACS

Finance in villages is of two types:-

1. Agricultural finance (credit)

2 . non agricultural finance

Agricultural credit is of two types:-

1. Production credit

2. Consumption credit

(1) Production Credit:-

(a) Short term:-

.
 Loans for 15 to 18 months
 Loans for meet daily working requirements
 cash components
 kind component: co-operative marketing societies.

(B) MEDIUM TERM:-

 Loans for 15 months to 5 years.

 NABARD gives loan for 18 to 7 yearter

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  Creating capital asset

 Purchase livestock, machinery, equipment

(c) Long Term:-

 5-7 YEARS

 Land fencing mechanization construction of farm house, storage facilities

(2) Consumption Credit:-

It is basically for survival of farm familes

Bank of Maharashtra gives revised margin & security norms for Agriculture

26
 ADVANCES

Sr.No. Type of credit Loan amount Margin

1 Margin money

a. Crop loans & other short Up to Rs .50000 No Margin. 15 to 20%

Term loans Over Rs .50000. (dependent quantum of
finance).

b. Term loans. Up to Rs .50000 No Margin.

Over Rs .50000. 15 to 20%.

2 Security norms

c. Crop loans & other short Up to Rs .50000 Hypothecation of crops.

term loans Over Rs .50000. Mortgage of land& third
party guarantee.

d. Term loans Up to Rs .50000

Over Rs .50000.

27
The agriculture loans offered by Bank of Maharashtra can be categorized into
the following types:

 Mahabank Kisan Credit Farmer.

 Minor Irrigation for Agriculturists.

 Farm Mechanization for Agriculturists.

 Animal Husbandry.

 Horticulture.

 Scheme for financing establishment of Agri-Business Centre’s and Agri- Clinics for Agriculture
Graduates.

 Financing Farmers for Land Purchase.

 Financing Two Wheelers to Farmers.

 Consumer Loans to Farmers.

 Hi-tech Projects.

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MAHABANK KISAAN CREDIT CARD:-

Purpose Cultivation of crop Meeting the short-term credit needs of

farmers for crop production and allied activities etc.
Maintenance of farm equipment etc.
Eligibility Agriculturist who owns agricultural land
Amount As decided by District Technical committee & limit
worked out for the purpose.
Security Mortgage of land.
Hypothecation of crop/Assets.
Repayment Revolving credit facility for 3 years.
Coinciding with harvesting of crops-season/marketing of
produce.
Other Terms & Assured and timely availability of working capital for crop
cultivation. Borrowers are covered under personal
accident insurance scheme. Insurance for notified crops is
available.

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MINOR IRRIGATION FOR AGRICULTURIST:-

Purpose Digging of new wells, revitalization of existing well,

purchase of oil engine, electric motor, pump set installation of
pipe line, sprinkler, irrigation, drip irrigation, tube well, bore
well, etc.
Eligibility Agriculturist who owns agricultural land.

Amount For new dug wells as per the NABARD Unit costs
for equipment/estimates.

Security Mortgage of land,

Hypothecation of movable assets and guarantors.

Repayment Depending upon the repaying capacity 7 to 11 years.

Other Terms & Conditions Proposed well should be located in white watershed area. It
should not be in dark watershed area.

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FARM MECHANIZATION FOR AGRICULTURIST:-

Purpose Purchase of Tractors/Power tillers

Purchase of Harvesters Purchase of Threshers
& other farm implements

Eligibility Agriculturist who owns at least 8 acres of

Irrigated land. The Tractor should get at least
1500 hrs. of work in a year.
Amount As per cost of machinery

Security Hypothecation of Tractor/trolley and

accessories, Mortgage of land.
Repayment 7 to 9 years.

Other Terms & Comprehensive insurance of machinery with

Conditions bank clause.

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ANIMAL HUSBANDRY:-

Purpose Purchase of Cows/Buffaloes Poultry-Broiler Farm,

Layers Farm, Hatchery Sheep Goat Rearing
Construction of Byre, Purchase of Machinery Working
Capital Requirements.

Eligibility Agriculturist, agri. Labour and / or those who have

necessary expertise.

Amount Animal cost - As per NABARD unit costs Others- as

per the project

Security Hypothecation of Animals/Plant Machinery to be

purchased Mortgage of land.

Repayment 4 to 5 years with suitable installments

Other Terms & Conditions Insurance of all animals is essential

32
HORTICULTURE

Purpose Cultivation of fruit crops-mango,

Pomegranate, Grapes etc.

Eligibility Agriculturist with adequate provision of

irrigation

Amount As per NABARD Unit costs/ Project

Security Mortgage of land.

Hypothecation of crops

Repayment Within 15 years.

33
 Scheme for financing establishment of Agri-Business Centers &
Agri-Clinic for Agriculture graduate:-

Purpose. Setting up of Agriclinics Setting up of

Agribusiness Centers.

Eligibility. Agriculture graduates.

Amount. Individual’s Max. Rs 10 lakh, Group Rs 50

lakh

Security. Hypothecation of Assets created out of

bank loan Mortgage of land.

Repayments. 5 to 10 years.

34
 FINANCING FARMERS FOR LAND PURCHASE

Purpose Purchase of land

Eligibility Small & Marginal farmers, share
croppers/Tenant farmers
Amount Maximum Rs 15,00,000/-
Security Mortgage of land.
Hypothecation of crop Assets
Repayments As per the repaying capacity &
incremental income.
Terms and other conditions Total land holding including proposed land
should not exceed 5
Repayment acres.

35
 FINANCING TWO WHEELERS TO FARMERS:-

Purpose Purchase of two wheeler

Eligibility Net annual Agril. Income above Rs

50,000/- or 5 acres of irrigated land.

Amount Max. Rs 50,000/-

Security Hypothecation of Asset Guarantors.

Repayments 3 to 5 years.

36
 CONSUMER LOAN TO FARMERS:-

Purpose Purchase of consumer durables.

Eligibility Net annual Agril. Income above Rs

50,000/- or 5 acres of irrigated/10 acres
seasonally irrigated land.

Amount Max. Rs 50,000/-, for four wheelers Max.

Rs 2 lakh

Margins 10%

Security Hypothecation of assets.

Repayments 3 to 5 years.

37
 HI TECH PROJECTS

Purpose Hi-tech projects.

Eligibility Agriculturist with knowledge of advance

techniques in the farming

Amount As per the project cost.

Security Hypothecation of goods

Other collateral security
Repayment Within 6 to 8 years.

38
 CHAPTER NO. 4
Data Analysis and Presentation

Mahabank kissan credit card

SR YEAR LOAN( IN .CR)

1 2008-09 2.5
2 2009-10 3.10
3 2010-11 3.20

Explanation:-
The above chart shows that the amount of loan for MKCC is increased than
last years. In 2008-09 it was 2.5 crore, in 2009-10 it was 3.10 crore and in 2010-11 it
increase to 3.20 crore. Hence the amount of loan is increased.

39
 Minor Irrigation

SR YEAR LOAN (IN .CR)

1 2008-09 1.10

2 2009-10 1.15

3 2010-11 1.20

Explanation:-
The above chart shows the amount of loan Minor Irrigation is increased han last year in
2008-09 it was 1.10 crore in 2009-10 it was 1.15 crore and in 2010-11 it increased to 1.20
crore. Hence the amount of loan is increased.

40
 Farm Mechanism for Agriculturist

Sr Year Loan (In .Lacks )

1 2008-09 80
2 2009-10 90
3 2010-11 97.2

Explanation:-

The above chart shows the amount of loan for Farm Mechanism is increased Han last year in
2008-09 it was 80 lack in 2009-10 it was 90 lacs and in 2010-11 it increased to 97.2 laces.
Hence the amount of loan is increased.

41
 Horticulture

Sr Year LOAN (IN. CRORE)

1 2008-09 0.5
2 2009-10 0.60

3 2010-11 0.75

Explanation:-
The above chart shows the amount of loan for Horticulture is increased han last year in
2008-09 it was 0.50 crore 2009-10 it was0.60 crore and in 2010-11 it increased to 0.75 crore.
Hence the amount of loan is increased.

42
 Land Purchases

Sr Year LOAN (IN. CRORE)

1 2008-09 0.9
2 2009-10 1.5
3 2010-11 1.9

Explanation:-
The above chart shows the amount of loan for Purchase of Land is increased than last year in
2008-09 it was 0.9 crore 2009-10 it was 1.5 crore and in 2010-11 it increased to 1.9 crore.
Hence the amount of loan is increased.

43
 Purpose of Borrowing Loan

SR NO. Number Of %
Farmer
1 53 5%
2 9 9%
3 13 13%
4 5 5%
5 20 20%
100 100%

Explanation:-
The above chart shows that the farmers taking loan from bank for various purpose Like
farming purpose, development, irrigation, equipment and other purpose. In which Maximum
number of farmers taking loan for irrigation is 53%.

44
 CHAPTER NO.5
FINDINGS

* Bank of Maharashtra is an Indian multinational, public sector banking and financial services
company. It is a government-owned corporation with its headquarters in pune, Maharashtra.

* Bank of Maharashtra is coping up with the other nationalized bank by launching its MAHABANK
App.
* Bank of Maharashtra providing excellent service to its customers.

* The bank of Maharashtra is providing assistance to the borrower.

* The bank of Maharashtra using bank 24 software for keeping up the track of transaction.

* It includes function for universal banking core banking payments wealth management and money
market compliance insurance securities processing, financial inclusion and treasury operations.

* The software written in JAVA, and its author of financial network and developer is Tata
consultancy.

* Car loan of bank of Maharashtra is very demanding.

45
 Chapter NO 6
SUGGESTIONS
 Looking at the level of awareness it is recommends that promotion of agriculture loan different can
be done in different ways.

 Bank officers also have to increase the contacts with farmers. Encourage the people by conducting
seminars; some programmers related to the agricultural schemes how it is useful in remote areas. So
it creates awareness in the farmers.

 Bank have to focus on enhancing the quality of the some new schemes related to the farm
development, equipment, plantation and farm mechanization which are helpful to fostering the
agriculture production which are more important for the development of Indian economy.

 So the, Bank have so take some efforts to create awareness about different financial product by
taking some programmes and bank officers have play a proactive role in aggressive marketing of
short term and investment credit to potential barrowers.

 Bank will have to some promotional activities through T.V.

 People of young age group who are risk takes by nature may be targeted separately. At present era
they are taking the decision related each and activity in the family. So the bank officers have to target
the youngster's age group.

 some farmers are capable to repay the loan but they intentionally avoid to repay the ban. In which
government & bank recovery policy should tighten-up. After recovery of the funds can utilized for
various purposes.

 Because of overlapping of credit result in financial indiscipline both parts of Lenders & borrowers.
There is strictly restrict to farmers to borrowing loan from more than one agencies.

46
 CHAPTER 7
CONCLUSION

 Bank of Maharashtra has developed manifold in short period of time due to facilities and services
provided to customers and this growth rate can be keep it up. The working staffs are very co-
operative in nature and due to that the bank will also get good benefit.

 Bank of Maharashtra has provided their customer net banking facilities and due to that
transactions are done fast. Charges at Bank of Maharashtra are on lower side when we compare it
with other banks.

 Bank of Maharashtra has differentiated itself very well on the basis of high level service and
product quality.

 They have successfully implemented the change and due to this their market share increased only
despite of tough competition prevails. In this study I found that the bond of BOM with its
customers is very strong, because BOM mainly focuses on retaining the ir customers.

 This study finds that however BOM is not the leading public sector bank but its vast range of
products and availability of options make it one of the better banks in Maharashtra.

QUESTIONNAIRE
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Q1. Have you borrowed Agriculture Loan from Maharashtra Bank?
A)Yes B)NO

Q2 . If yes from which branch and why Maharashtra Bank?

Q3 . Give reasons, why do you have selected?

Q4. How did you come to know about Agriculture Loan of Maharashtra Bank?
1) Newspaper 2) T.V 3) Bank Officer 4) friends And Relators

Q5 . What is the purpose of borrowing the loan?

1)Farming Purchases 2) equipment 3) Irrigation 4) Development

Q6 . Are you satisfied with the Loan procedure of Maharashtra Bank?

A)Yes B) No

Q7 . If Yes, Why ? and If No, Why ? specify reasons ?

Q8. Do you want to recommend Maharashtra Bank agriculture loan to the others ?
A)Yes B) No

CHAPTER 8
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 BIBLIOGRAPHY

-WEBSITES/LINKS –
* http://www.bankofmaharashtra.in/aboutus.asp
* http://www.bankofmaharashtra.in/profile.asp
* http://www.bankofmaharashtra.in/financials.asp

HAND BOOKS AND MAGAZINE'S –

* Most of the primary data was collected on basis of discussions with banking employees.
* Through employee hand-book of Bank of Maharashtra.
* Financial Management Book. By Khan and Jain.

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