Banking System inIndia is dominated bynationalized banksBanks which aremanaged andcontrolled by thegovernment arenationalized banks. These banks workaccording to norms of RBI.Earlier banks were notin the hands of government. They werein the hands of privateowners who were highearners of the society. This situation wasbefore 1969.
Banking is defined in Section 5(b) of the Banking Regulation Act, as the acceptance of deposit ofmoney from the public for the purpose of lending orinvestment