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| An organization, usually a corporation, chartered by a state or federal

government, which does most or all of the following: receives demand deposits
and time deposits, honors instruments drawn on them, and pays interest on
them; discounts notes, makes loans, and invests in securities; collects checks,
drafts, and notes; certifies depositor's checks; and issues drafts and cashier's
checks

| Mhe first modern bank was founded in Italy in Genoa in 1406, its name bank
of St. George
  

¦ Accepting deposit from public/ others (deposit).
¦ Landing money to public (loans).
¦ Mransferring money from one place to another (remittance).
¦ Acting as trustees.
¦ Keeping valuable in safe custody
¦ Government business
  

| ½
LIC SECM
ANK

| ½IVAME SECM
ANK

| C½EAMIVE
ANK

| DEVEL½ENM
ANK
 



¦ Central
ank of India
¦ Corporation
ank
¦ State
ank of India
¦
ank of India
¦ Dena
ank
¦ Indian verseas
ank and so on
 



½rivate
ank
¦ ICICI
ank
¦ HDFC
ank
¦ Axis
ank
Foreign
anks perating In India
¦ HS
C
ank
¦ Citi
ank
¦ A
N Amro
ank
¦ Standard Chartered
ank

 


Mhe cooperative bank in India started functioning almost 100 years ago.
Mhe cooperative bank is important constituent of the financial system.
Mhey are setup to provide easy loan to farmer or other person to setup
his business. Mhey are non profitable bank


 
         
¦Farming
¦Cattle
¦ilk
¦Hatchery
¦½ersonal finance

§  
  
 
   
ID
I
ank
IFCI
ank
Apex
ank
 £ 


Mhese banks are mainly used for developing industry and

countries.

§  
 

¦NA
AD
¦SID
I
m 



 

£

 

¦
ecome operational on April 1, 1935

¦ Nationalized in the year 1949

º  

¦ egulate the issue of
ank note

¦ aintain reserve with a view to securing monetary stability
¦ Mo operate the credit and currency system of the country to
its advantage
  

| 
£
 


| 
 


|   

 
£
 

èº
   



 

è

 
    

  
 


è  


     



     
 




è
 
 
 
 
 

èº

 



 
  
  


 
 

èExtension of the facilities for the small scale industries

èInnovating the new banking business transaction

èExtension of the facilities for the provision of the

agriculture credit through NA
AD
   

èGranting license to bank

è½eriodical review of the commercial bank

èControl the non banking finance corporation

 m




¦ C (Cash eserve atio): 6%

¦ epo ate: 5.75%

¦ everse epo ate: 4.50%

¦ SL (Statutory Liquidity atio): 25%

¦
ank ate: 6%
m£



  



è½ 

å Early phase from 1786 to 1986 of Indian banks

è½ 

å Nationalization of Indian bank and up to 1991 prior to Indian banking

sector reforms

è½ 

å New phase of Indian banking system with the advent of Indian financial
and banking sector reform after 1991


¦General bank of India 1786(first bank)

¦eserve bank of India

¦Slow growth and periodic failure

¦Mhe
anking Company Act 1949

¦½eople mostly save in postal deposits



¦Nationalization of imperial bank of India and formation
of State
ank f India (1955)

¦Nationalization of S
I and subsidiaries (1960)

¦Insurance cover extended to deposits

¦Creation of regional rural banks



¦Entry of Foreign
anks

¦½hone banking and net banking

¦Shelter from external macroeconomic shock

¦System become more convenient and swift





£
£


| LACK F ½D CM EX½EMISE

| LACK F DISMI
MIN EX½EMISE

| LIIMED SE F MECHNLGY

| INEFFICIENM CA½IMAL ALLCAMIN

| C½EMIMIN IN MHE AKEM

 m


£
¦ Mechnological advancement

¦ ural banking

¦ Improve risk management

¦ Developing a flexible model for rapid scale up at optimal

cost
 


£ 
¦Indian banking sector has 4th rank in all over the world.

¦S
I has 8500+ AMs all over the country

¦ICICI bank has 4700+ AMs all over the country

¦
I had printed 639948 lakhs crore notes till 6th Nov 2009

¦Acc. Mo business magazines survey the no. of AMs grew 28% yearly.

¦In spite of it India has 23+ AMs per million people China has 55+
AMs and South Korea has 1600+ AMs per million people

¦Mransaction done through AMs is around 70,000 crore in a year

¦S
I has largest no. of branches in foreign also