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Federal Bank

From Wikipedia, the free encyclopedia
Not to be confused with Federal Reserve Bank.

Federal Bank Limited
Company typePublic
NSE: FEDERALBNK
BSE: 500469
LSE: FEDS
IndustryBanking
Financial services
Founded
  • 23 April 1931; 93 years ago (1931-04-23)
    (as Travancore Federal Bank) at Nedumpuram, Thiruvalla
  • 2 December 1949; 74 years ago (1949-12-02)
    (as Federal Bank)
FounderK. P. Hormis[1]
HeadquartersAluva, Kochi, Kerala, India
Number of locations
1,504 branches (2024)
Key people
KVS Manian
(MD & CEO)
Products
RevenueIncrease₹25,267.53 crore (US$3.0 billion) (FY24)[2]
Increase ₹5,174.48 crore (US$620 million)[2] (FY24)
Increase ₹3,720.60 crore (US$450 million) (FY24)[2]
Total assetsIncrease₹308,311.80 crore (US$37 billion) (FY24)[2]
Number of employees
15,200+[2]
Capital ratio16.13%[2]
Websitefederalbank.co.in

Federal Bank Limited is an Indian private sector bank headquartered in Aluva, Kerala.[3] The Bank has 1504+ banking outlets and, 2015+ ATMs/ CDMS spread across different states in India and overseas representative offices at Abu Dhabi and Dubai.[2]

With a customer base of over 18.1 million,[2] and a large network of remittance partners around the world, Federal Bank handles more than one fifth of India's total inward remittances, approximately. The bank has remittance arrangements with more than 110 Banks/Exchange Companies around the world.[4] The bank is also listed in the Bombay Stock Exchange, National Stock Exchange of India and London Stock Exchange and has a branch in India's first International Financial Services Centre (IFSC) at the GIFT City.[5]

History

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The Federal Bank Limited (the erstwhile Travancore Federal Bank Limited) was incorporated with an authorized capital of ₹5,000 at Nedumpuram, a place near Thiruvalla in Central Travancore on 23 April 1931 under the Travancore Companies Act. It started business of auction-chitty and other banking transactions connected with agriculture and industry.[6]

The bank was named Federal Bank Limited on 2 December 1949, after completing the formalities of Banking Regulation Act, 1949. It is considered as one of the major Indian commercial banks in the private sector having more than thousand branches and ATMs spread across different States in India. Between 1963 and 1970, Federal Bank took over Chalakudy Public Bank (est. 20 July 1929 in Chalakudy), Cochin Union Bank (est. 1963) in Thrissur, Alleppey Bank (est. 1964; Alappuzha), St. George Union Bank (est. 1965) in Puthenpally, and Marthandam Commercial Bank (est. 1968) in Thiruvananthapuram. The bank launched its initial public offering in 1994.[7] The bank became a Scheduled Commercial Bank in 1970, which also coincided with the Silver Jubilee Year, since the bank commenced its operation in Aluva.

In January 2008, Federal Bank opened its first overseas representative office in Abu Dhabi. In November 2016, Federal Bank opened its second UAE representative office, in Dubai.[8] [9]

Subsidiary Companies

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  • Federal Operations and Services Limited (Fedserv) [10] is a wholly owned subsidiary company of The Federal Bank Ltd, registered under Companies Act, 2013 on 26 October 2018. The company operates from Kakkanad, Kerala and Vishakhapatnam, Andhra Pradesh.[11]
  • Fedbank Financial Services Ltd [12] – Fedfina is the non-banking financial arm of Federal Bank [13]

Associate Companies

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  • Ageas Federal Life Insurance Company Limited [14] - Ageas Federal is a joint venture between Ageas Insurance International NV, a multinational insurance giant based out of Europe and Federal Bank. Federal Banks holds 26% stake in the company.[15]
  • Equirus Capital Private Limited [16] - Federal Banks holds 19.79% stake in the company.[17]

Board of Directors

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Current Board of Directors[18] are:

  • A P Hota – Chairman and Independent Director
  • KVS Manian - Managing Director & CEO
  • Siddhartha Sengupta - Director
  • Manoj Fadnis - Director
  • Sudarshan Sen - Director
  • Varsha Purandare - Director
  • Sankarshan Basu - Director
  • Ramanand Mundkur - Director
  • Elias George - Additional Director (Independent)
  • Shalini Warrier - Executive Director
  • Harsh Dugar - Executive Director

Corporate Social Responsibility

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Federal Bank has instituted a public charitable trust by name Federal Bank Hormis Memorial Foundation [19] to perpetuate the fond memory of late K. P. Hormis, the founder of the Bank. The Trust is striving hard to inculcate in people better knowledge and awareness in the field of banking through training programmes, focused seminars, awards and so on. The trust and its activities were inaugurated by the then Union Finance Minister Shri. P. Chidambaram at Ernakulam on 18.10.1996.

For Federal Bank, Corporate Social Responsibility (CSR) has been an inherited and inbuilt element of its culture from the day the Bank was founded. The Founder's values and ethos based on trust got embedded in the Bank's policies and principles which reflect on its day-to-day business. CSR in Federal Bank began with the first act of cultivating banking habits in an agrarian society - to effectively utilize idle money for productive purposes.

In October 2023, Federal Bank Hormis Memorial Foundation, News 18 Network, and Tata Trusts unveiled ‘Sanjeevani- United against Cancer’.[21] ‘Sanjeevani’ mission is to build awareness, encourage screening and testing for Cancer. Through this initiative, the Bank aims to raise awareness of the prevention of cancer, helping individuals fight the social stigma associated with the disease and the hesitation to opt for early detection and diagnosis.

In April 2021, News18 and Federal Bank Hormis Memorial Foundation partnered to uplift societal health through its reach across the country through 'Sanjeevani – A Shot Of Life',[22] India's largest private vaccination drive to boost COVID-19 vaccine awareness. The Bank led the campaign across 1000 villages of 5 districts of 5 different states touching more than 24 Lakh lives.[23]

  • Federal Skill Academy [24] - The Federal Skill Academy (FSA) is a part of the Federal Bank Hormis Memorial Foundation's CSR initiative, aiming to contribute significantly to India's skilling ecosystem. The Bank initiated the launch of its 5th and 6th Skill Academy in Chennai and Belagavi in October 2023. The existing 4 centres are in Kochi, Coimbatore, Faridabad and Kolhapur.[25]
  • Federal Bank Hormis Memorial Foundation Scholarship [19] – The Bank has been offering scholarships since 2005 every year to deserving and needy students to pursue professional courses such as MBBS, Engineering, B Sc. Nursing, MBA, Agriculture (B.Sc) including BSc (Hons) Cooperation & Banking with Agricultural Sciences conducted by Agriculture Universities under this foundation.
  • Speak for India [26] is another positive change in the realm of education, providing the youth of the country the biggest debating platform to voice their opinions. Over 2 Lakh students have benefitted from the same since 2014.[27]
  • Mission Mookkannoor [28] - Federal Bank has inaugurated a very significant initiative - Mookkannoor Mission under the Swachh Bharat Abhiyan. This initiative aims to transform the birthplace of the Founder Shri K P Hormis, into a clean and green village.[29]

Recent Awards and Recognition

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  • Federal Bank is recognized as ‘ESG Champions of India 2024’ in the Commercial Banks sector at the Dun & Bradstreet ESG Leadership Summit 2024.[30]
  • Federal Bank is recognised at the IBA 19th Annual Technology Expo & Citation 2022-23 as the Best AI & ML Bank. The Bank also emerges as runner-up in Digital Engagement and received a special mention for driving Financial Inclusion.[31]
  • Federal Bank is the winner of 'Best Bank in Fintech Initiative' at the Business Today Banking & Economy Summit.[32]
  • Federal Bank tops IFC Climate Reporting 2023 charts in four categories. IFC has declared *Federal Bank among Top Financial Institutions for Climate Reporting in 2023.
  • Federal Bank wins the HR award for Future of Work, Workforce and Workplace (Large Segment) at the People Pioneers Awards 2024, instituted by TechCircle.
  • Federal Bank is in the Top 30 Future Ready Workplaces of India Inc. by Fortune India, curated in partnership with CIEL HR
  • Federal Bank is declared as 'Bank Of The Year 2023' in India[33] instituted by The Banker
  • Federal Bank has topped IFC Climate Reporting 2023 charts in four categories[34]
  • Federal Bank is the only India based company to feature among India's Best Workplaces™ for Women 2023.[35] The Bank was also featured among India's Best Workplaces™ for Millennials 2023 and recognized as the only Commercial Bank in India by Great Place To Work® for building a culture of innovation for all.
  • Federal Bank received ‘GOLD’ rating by Indian Green Building Council (IGBC) for Federal Bank Mount Road Branch and Office Premises functioning at Akshaya Shanti and for Federal Bank Thrissur/ Main Branch.[36]
  • Federal Bank won the Silver Shield in the ICAI Award in Category II(A)[37] for Financial Reporting for the year ended March 31, 2022. Became the winner for the second consecutive year for an award in this category, having won the Plaque in the previous year
  • Federal Bank was awarded the Certificate of Achievement by the International Finance Corporation (IFC), a World Bank Group in recognition of Climate Financing Leadership in the South Asia Region (CSA) during FY 22 for having disbursed 332.9 million USD, making it the largest amount of climate loans disbursed [38]

See also

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References

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  1. ^ "Federal Bank Founder". Federal Bank. Archived from the original on 26 March 2023. Retrieved 2 September 2023.
  2. ^ a b c d e f g h "Annual Report 2022-23".
  3. ^ "Groww in talks with Federal Bank for neo-banking vertical".
  4. ^ "Federal Bank installs 100 KWp solar plant at Aluva office". adda247.com. 24 February 2023. Retrieved 2 September 2023.
  5. ^ "Federal Bank IFSC Banking Unit (IBU), GIFT City".[permanent dead link]
  6. ^ Joseph, Kalarickal P. (2005). Hormis: Legend of a Great Banker with Passion for Development : Biography of K.P. Hormis, Founder of Federal Bank. D.C. Books. ISBN 978-81-264-1117-7.
  7. ^ "Federal Bank's first IPO".
  8. ^ "Dubai Rep Office". 14 November 2016.
  9. ^ "Federal Bank to expand overseas footprints".
  10. ^ "Fed Serv:We aim for quality because only perfect quality can give perfect satisfaction." www.fedserv.co.in. Retrieved 9 January 2024.
  11. ^ "Fedserv". The Hindu. 29 August 2019.
  12. ^ "Fedfina – Financial Institution for Gold loan, Home loans, Business & LAP online". fedfina.com. Retrieved 9 January 2024.
  13. ^ "FedFina".
  14. ^ "Ageas Federal Life Insurance – Life Insurance Plans in India". www.ageasfederal.com. Retrieved 9 January 2024.
  15. ^ "Ageas Federal".
  16. ^ "Equirus Capital | Best Financial Services in India". www.equirus.com. Retrieved 9 January 2024.
  17. ^ Mishra, Lalatendu (13 February 2021). "Equirus Capital". The Hindu.
  18. ^ "The Federal Bank Key Personnel". Archived from the original on 3 October 2015. Retrieved 5 November 2014.
  19. ^ a b "Fedbank Hormis Memorial Foundation | Federal Bank | India". www.federalbank.co.in. Retrieved 9 January 2024.
  20. ^ "Sanjeevani – United against Cancer". www.federalbank.co.in. Retrieved 9 January 2024.
  21. ^ "Sanjeevani 2023". 27 September 2023.
  22. ^ "Sanjeevani". Retrieved 9 January 2024.
  23. ^ "Sanjeevani 2021". 7 April 2021.
  24. ^ "Press Release". Retrieved 9 January 2024.
  25. ^ "Federal Skill Academy".
  26. ^ "Speak for India Edition 2023-24". speakforindia.com. Retrieved 9 January 2024.
  27. ^ "Speak For India". The Times of India. 27 March 2023.
  28. ^ Bureau, BL Kochi (19 October 2023). "Federal Bank backs Mookkannoor to become India's cleanest pin-code on Founders' day". BusinessLine. Retrieved 9 January 2024. {{cite web}}: |last= has generic name (help)
  29. ^ "Mookkannoor Mission". The Hindu. 18 October 2023.
  30. ^ "ESG Champions of India 2024". www.dnb.co.in. Retrieved 17 April 2024.
  31. ^ "IBA Award 2022-23". www.iba.org.in. Retrieved 17 April 2024.
  32. ^ "IBA Award 2022-23". www.businesstoday.in. Retrieved 17 April 2024.
  33. ^ "Bank of the Year Awards 2023 — Asia-Pacific". www.thebanker.com. Retrieved 9 January 2024.
  34. ^ "IFC Announces Top Financial Institutions for Climate Reporting in 2023". IFC. Retrieved 9 January 2024.
  35. ^ "GPTW 2023". The Week.
  36. ^ "IGBC Green New Buildings". Retrieved 9 January 2024.
  37. ^ "ICAI 2023".
  38. ^ "IFC 2023".
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