State Bank of India

Political interference: A very obvious weakness of this system is the pressure from the political side. When an institution is not independent in making the policies it then the results would not be according to the expectations because some incompetent individual are making policies then. Undoubtedly the finance ministry should not interfere in the affairs of the State Bank. Due to the pressure of government, SBP is printing millions of notes which are a way to give more hype to

Retail banking is, however, quite broad in nature - it refers to the dealing of commercial banks with individual customers, both on liabilities and assets sides of the balance sheet. Fixed, current / savings accounts on the liabilities side; and mortgages, loans (e.g., personal, housing, auto, and educational) on the assets side, are the more important of the products offered by banks. Related ancillary services include credit cards, or depository services. Retail banking refers to provision of banking services to individuals and small business where the financial institutions are dealing with large number of low value transactions. This

Introduction: Banking sector The Indian Banking industry governed by the Banking Regulation Act of India, 1949, falling into two broad classifications, non-scheduled banks and scheduled banks. Within the commercial banks there are nationalized banks, the State Bank of India and its group banks, regional rural banks and private sector banks (the old/ new domestic and foreign). With the economic growth picking up pace and the investment cycle on the way to recovery, the banking sector has witnessed a transformation in its vital role of intermediating between the demand and supply of funds. The revived credit off take (both from the food and non food segments) and structural reforms have paved the way for a change in the

Banking-related transactions that typically take long span of processing can now be done in just a few minutes, or even seconds. Aside from this, there are still other brilliant benefits that the IT has contributed to the finance sector, which may bring not only advantages but also possible drawbacks.

level of competition and prove a potential threat for the market share of SBI bank.

ICICI Bank is India’s largest private sector bank. The bank has a network of 4,050 branches and 12,919 ATMs and offers customers a robust Internet banking solution. The bank has a presence in 19 countries, including its home market in India (SAP Success Story). ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialized subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture capital, and asset management.

The Bank has developed a branch network which is built on customer-convenience and service, helping it particularly in the acquisition of low-cost retail deposits, retail assets, lending to agriculture, SME and mid-corporate and facilitating the cross-selling of third-party products.

Banking Industry is the chief indicator of the growth of any country’s economy. India with its huge populations presents a huge scope for banking industry. State Bank of India is a public sector unit and enjoys the market leader position. HDFC is catching up on the back of its exquisite growth in last decade. And with the relaxation of government control, private players are in a much better position to compete. But both the banks have their own problems

PHASE-01 The General Bank of India was set up in the year 1786. Next came Bank of Hindustan and Bengal Bank. The East India Company established Bank of Bengal (1809), Bank of Bombay (1840) and Bank of Madras (1843) as independent units and called it Presidency Banks. These three banks were amalgamated in 1920 and Imperial Bank of India was established which started as private shareholders banks, mostly Europeans shareholders. In 1865 Allahabad Bank was established and first time exclusively by Indians, Punjab National Bank Ltd. was set up in 1894 with headquarters at Lahore. Between 1906 and 1913, Bank of India, Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and Bank of Mysore were set up. Reserve Bank of India came in 1935.

During the decade of the most innovative financial services PSBs are activated , resulting in its infancy . The World Bank also believes that the Indian banking system is still a large number of inefficient state-controlled system , rather than compete with each other . Some issues are framed questionnaire to gauge the views of executives PSBs to improve financial services related to the main subsidiary bodies. The main issues to improve the results of the subsidiary bodies of the principal subsidiaries of the 150 officials, agency personnel management related financial services has been discussed below.

Despite the provisions, control and regulations of Reserve Bank of India, banks in India except the State Bank of India or SBI, continued to be owned and operated by private persons. By the 1960s, the Indian banking industry had become an important tool to facilitate the development of the Indian economy. At the same time, it had emerged as a large employer, and a debate had ensued about the nationalization of the banking industry. Indira Gandhi, then Prime Minister of India, expressed the intention of the Government of India in the annual conference of the All India Congress Meeting in a paper entitled "Stray thoughts on Bank Nationalisation."[2] The meeting received the paper with enthusiasm.

Even after 68 years of independence, still large section of population remains unbanked which mainly include poor people who don’t have regular income or people who are laborers and also large number of farmers are excluded from financial services. This malaise has led generation of financial instability in our country and lower income group faces many problems in terms of financial services because access to financial products and services is very costly for them they can’t effort such charges that’s why they are unbanked today. However, in the recent years the government and Reserve Bank of India has been pushing the concept and idea of financial inclusion.

In India, Merchant Banking activities followed the footsteps of similar activities in UK and USA starting from the year of 1967. Currently Merchant Banking activity have blossomed in the Indian market. Merchant banks have both public and private sector that set up their respective merchant banking divisions. Currently in india the total numbers of merchant bankers are approximately one thousand four hundred and fifty with more than nine hundred and thirty registered with SEBI. The SEBI authorized Merchant Bankers that include merchant banking divisions in all of India. Both nationalized and foreign banks financial institutions subsidies in commercial banks. While private merchant banks engaged in stock broking, underwriting activities and financial consultancy and investment service firms.

In today’s dynamic and complex world, banks play a vital role in economy of the Nation. After reinstatement of multiparty democracy in the country, several joint ventures banks were established. Besides commercial activities, Everest bank also offers industrial and merchant banking.

Its 2015 but still bank has not been able to provide financial services to the underprivileged people till this date people are excluded from financial services. Strategies should be made according to the different villages and all efforts must be put to raise the standard of people in the state of Jammu and Kashmir. Bank should make polices for common people to ensure that inclusion of poor is kept in mind.