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The Banking sector in India has always been one of the most preferred avenues of employment. In the current decade, this has emerged as a
resurgent sector in the Indian economy. As per the McKinsey report µIndia Banking 2010¶, the banking sector index has grown at a compounded
annual rate of over 51 per cent since the year 2001, as compared to a 27 per cent growth in the market index during the same period. It is
projected that the sector has the potential to account for over 7.7 per cent of GDP with over Rs.7,500 billion in market cap, and to provide over
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Banks are defined as the ³Organizations which accepts deposits from the public and lend the same to persons, firms and companies for
productive purposes. In the present time they are over and above this definition. Banks are providing innovative services with innovates styles.
ATMs, Credit cards and Internet banking have changed the quality of delivery of services of banks. Banking services are growing with many new
additions such as money transfers, Bancassurance, NRI services and so on. Promotion of service has been a challenging task. Banking services
being of a sophisticated nature should be promoted carefully, clearly and innovatively.

Today, banks have diversified their activities and are getting into new products and services that include opportunities in credit cards, consumer
finance, wealth management, life and general insurance, investment banking, mutual funds, pension fund regulation, stock broking services,
custodian services, private equity, etc. Further, most of the leading Indian banks are going global, setting up offices in foreign countries, by
themselves or through their subsidiaries.

As reported in the Economic Times, the country¶s leading public sector bank, State Bank of India has plans to recruit 25,000 employees in the
year 2009. Besides, its life insurance venture, SBI Life, has plans to hire 13,000 agents and 200 sales managers. Also, Punjab National Bank, the
country¶s second largest public sector lender, and Union Bank of India have plans of hiring 5,000 people each. The financial year 2008-09 has
already shown the banking sector to be among the largest job providers in the country with over 50,000 vacancies being notified and filled up in
the public sector banks alone.

Significantly, the RBI has the tenth largest gold reserves in the world after spending US$ 6.7 billion for the purchase of 200 metric tonnes of gold
from the International Monetary Fund (IMF). The purchase has increased RBI¶s share of gold holdings from approximately 4 per cent to about 6
per cent.

Following the recent financial crisis, new deposits have gravitated towards the public sector banks. According to RBI¶s µQuarterly Statistics on
Deposits and Credit of Scheduled Commercial Banks: June 2009ƍ, nationalised banks, as a group, accounted for 49.7 per cent of the aggregate
deposits, while State Bank of India (SBI) and its associates accounted for 24.2 per cent. The share of other scheduled commercial banks, foreign
banks and regional rural banks in aggregate deposits were 17.5 per cent, 5.6 per cent and 2.9 per cent, respectively.

With respect to gross bank credit also, nationalised banks hold the highest share of 50.4 per cent in the total bank credit, with SBI and its
associates at 23.5 per cent and other scheduled commercial banks at 18.0 per cent. Foreign banks and regional rural banks had a share of 5.7 per
cent and 2.4 per cent respectively in the total bank credit.

The report also found that scheduled commercial banks served 34,676 banked centres. Of these centres, 28,167 were single office centres and 62
centres had 100 or more bank offices.

The confidence of non-resident Indians (NRIs) in the Indian economy is reviving again. NRI deposits have increased by nearly US$ 3.7 billion in
the first four months of 2009-10, despite the volatile movements in the interest rates. NRI fund inflows increased since April 2009 and touched
US$ 45.33 billion till July 2009, as per the RBI¶s September bulletin. Most of this has come through Foreign Currency Non-resident (FCNR)
accounts and Non-resident External Rupee Accounts. India¶s foreign exchange reserves rose to US$ 281.861 billion as on October 9, 2009 as
against US$ 253.0 billion in April 10, 2009.

India has finalised negotiations for a US$ 2 billion loan from the World Bank to help recapitalise state-run banks.

conclusion
Banking sector has undergone various changes after the new economics policy based on privatization, globalization and liberalization adopted by
Government of India. Introduction of asset classification and prudential accounting norms, deregulation of interest rate and opening up of the
financial sector made Indian Banking sector competitive. Encouragement to foreign banks and private sector banks increased competition for all
operators in banking sector. Banks in India prior to adoption of new economic policy was protected by Government and was having assured
market due to almost state monopoly in banking sector. However, under the new environment, Indian banks needs to reinvent the marketing
strategy for growth. In India geographical development is not even throughout the country, there are full-fledged urban areas covering the
metropolitan cities and other big cities. On the other hand there are underdeveloped rural areas too. For effective bank marketing different
approach for different areas is required. In urban areas customer services is of paramount importances as the level of literacy and therefore
awareness of the people is more. Also technology based marketing would have higher degree of success due to typical urban life style of the
people. Universal banking providing all financial service under one roof will have more success in urban areas. In the rural areas for bank
marketing personalized banking will go in long way. Also banks need to offer innovative tailor made deposits and advances products to suit
individual customers. Delivery of advances of right amount of right amount and at right time is essential in rural marketing.

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