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Annexure XXXXX


Course Title: Banking and Financial Institution
Course Code:
Credit Units: 3
Course Level: UG

Course Objectives:
This course is designed to make the students aware of the evolution and prevalent financial system in the country.
Understanding the structure of banking and financial institutions and the legal environment in which it operates is
the basic objective of the course.
The course is designed so that the students are aware of the latest advancements in the banking and non-banking
The course also provides students with knowledge on insurance sector in the country.
The course provides an insight to financial inclusion in the country.

Pre-requisites: Students of finance should be aware of the financial system in the country of which banks play a very
crucial role. The students who undertake the course should be keen to understand about the institutions which are there
for providing finance for personal and business purpose and also interested in knowing how these institutions operate.
Student Learning Outcomes:
3 0 0 3/0 3
Students who complete this program will be able identify the evolution of financial system in the country ,its
present structure, current requirements & trends of modern banking & financial system.
By the end of the program students will able to describe the legal frame work in which the banks operate in the
country and list the various products and services offered by them.
Graduates of the program will able to explain about the operation of banks.
Students who complete this program will be able to outline the recent advancements in banking industry.
Graduates of the program will able to state about the insurance industry in the country
By the end of the program students will able to explain financial inclusion and its level in the country.
Course Contents/Syllabus:
Weightage (%)
Module I : Transformation of Indian Financial system 20
Money, Process of capital formation, Financial System, Evolution of the Indian Financial/
Banking system and its structure in India. Types of banking: Retail banking, Wholesale
banking, Universal banking, near banking, rural banking, cooperative banking,
Introduction to specialized financial institutions (ECGC, EXIM, NABARD, SIDBI etc),
Development Financial Institutions.
Module II : Banking Regulations in India 20

Provisions of Banking Regulation Act, RBI Act, Prudential norms Narsimhan
committee recommendations, Basel I Basel II and Basel III norms on Capital Adequacy
Ratio, Risk weighted assets .
Module III : Banking Operations in India 20
Principles of Lending, working capital and term loans, Financing SME, credit appraisal,
credit monitoring and supervision, NPA management. Retail credit like housing, car,
consumer,loan against property and personal loan,CIBIL.
An overview of international banking, export & import financing.
Risk Management in banking, Asset Liability Management
Module IV: Recent Developments in Banking 20
Recent trends in Banking Innovations, Banking Technology. Softwares : Finacle by
Infosys, Finlite, SANCEZ. Transaction banking.
Marketing of banking and other financial products ( insurance policies, mutual funds etc)
by banks
Financial inclusion in India, business correspondents, Self help groups, digital financial
inclusion, Nachiket Mor Committee Recommendations, Microfinance. Direct Benefit
transfer. Adhar Card Seedings
KYC,AML,CFT and Banks' obligation under PMLA 2002
Module V: Insurance 20
Introduction to Insurance Elements of Insurance risk, principles of insurance.
Types of Insurance Life insurance and general insurance products, products related to
unit linked plan. Re-insurance, Bancassurance- concepts, critical issues and functional
Role of IRDA.
Basics of Insurance claim procedure.

Pedagogy for Course Delivery:

As the basic objective of the course is to equip the students with the understanding of banking sector and the ways
to approach and tap them a different method will be required in addition to lectures. Case studies will be taken up
to illustrate real life situations. We will open the stage for two way communication and discussion. The experts
from Banks and Financial Institutions will be invited to interact with the students so that students get feel of the
subject. Students would also be given task to visit bank branches for gaining better understanding.

Assessment/ Examination Scheme:

Theory L/T (%) End Term Examination
Theory Assessment (L&T):
Continuous Assessment/Internal Assessment End Term
(Drop down)

Weightage (%) 10% 10% 10%

Text & References:
Khan, M.( 1998). Financial Institutions and Markets. New Delhi : Tata McGraw Hill Publishing Company Limited.

Bhole L.M.(2008). Financial Institutions and Markets; Structure, Growth and Innovations.New Delhi : Tata
McGraw Hill Publishing Company Limited.
Guruswamy,S.(2007).Financial markets and Institutions. New Delhi: Tata Mc Graw Hill.
Cornett and Sauunders (1999) . Fundamentals of Financial Institutions Management. McGraw Hill Publishing
Company Limited.
Patahak.V Bharati (2010) . The Indian Financial System. New Delhi : Pearson Education