Banking in India Banking in India originated in the last decades of the 18th century.

The first banks were The General Bank of India, which started in 1786, and Bank of Hindustan, which started in 1790; both are now defunct. The oldest bank in existence in India is the State Bank of India, which originated in the Bank of Calcutta in June 1806, which almost immediately became the Bank of Bengal. This was one of the three presidency banks, the other two being the Bank of Bombay and the Bank of Madras, all three of which were established under charters from the British East India Company. For many years the Presidency banks acted as quasi-central banks, as did their successors. The three banks merged in 1921 to form the Imperial Bank of India, which, upon India's independence, became the State Bank of India.

Indian merchants in Calcutta established the Union Bank in 1839, but it failed in 1848 as a consequence of the economic crisis of 1848-49. The Allahabad Bank, established in 1865 and still functioning today, is the oldest Joint Stock bank in India.(Joint Stock Bank: A company that issues stock and requires shareholders to be held liable for the company's debt) It was not the first though. That honor belongs to the Bank of Upper India, which was established in 1863, and which survived until 1913, when it failed, with some of its assets and liabilities being transferred to the Alliance Bank of Simla. When the American Civil War stopped the supply of cotton to Lancashire from the Confederate States, promoters opened banks to finance trading in Indian cotton. With large exposure to speculative ventures, most of the banks opened in India during that period failed. The depositors lost money and lost interest in keeping deposits with banks. Subsequently, banking in India remained the exclusive domain of Europeans for next several decades until the beginning of the 20th century. Foreign banks too started to arrive, particularly in Calcutta, in the 1860s. The Comptoire d'Escompte de Paris opened a branch in Calcutta in 1860, and another in Bombay in 1862; branches in Madras and Puducherry, then a French colony, followed. HSBC established itself in Bengal in 1869. Calcutta was the most active trading port in India, mainly due to the trade of the British Empire, and so became a banking center. The first entirely Indian joint stock bank was the Oudh Commercial Bank, established in 1881 in Faizabad. It failed in 1958. The next was the Punjab National Bank, established in Lahore in 1895, which has survived to the present and is now one of the largest banks in India.

Around the turn of the 20th Century, the Indian economy was passing through a relative period of stability. Around five decades had elapsed since the Indian Mutiny, and the social, industrial and other infrastructure had improved. Indians had established small banks, most of which served particular ethnic and religious communities. The presidency banks dominated banking in India but there were also some exchange banks and a number of Indian joint stock banks. All these banks operated in different segments of the economy. The exchange banks, mostly owned by Europeans, concentrated on financing foreign trade. Indian joint stock banks were generally under capitalized and lacked the experience and maturity to compete with the presidency and exchange banks. This segmentation let Lord Curzon to observe, "In respect of banking it seems we are behind the times. We are like some old fashioned sailing ship, divided by solid wooden bulkheads into separate and cumbersome compartments." The period between 1906 and 1911, saw the establishment of banks inspired by the Swadeshi movement. The Swadeshi movement inspired local businessmen and political figures to found banks of and for the Indian community. A number of banks established then have survived to the present such as Bank of India, Corporation Bank, Indian Bank, Bank of Baroda, Canara Bank and Central Bank of India. The fervour of Swadeshi movement lead to establishing of many private banks in Dakshina Kannada and Udupi district which were unified earlier and known by the name South Canara ( South Kanara ) district. Four nationalised banks started in this district and also a leading private sector bank. Hence undivided Dakshina Kannada district is known as "Cradle of Indian Banking". During the First World War (1914-1918) through the end of the Second World War (1939-1945), and two years thereafter until the independence of India were challenging for Indian banking. The years of the First World War were turbulent, and it took its toll with banks simply collapsing despite the Indian economy gaining indirect boost due to war-related economic activities. At least 94 banks in India failed between 1913 and 1918 as indicated in the following table:

and inspect the banks in India.rbi. This resulted into greater involvement of the state in different segments of the economy including banking and finance. The major steps to regulate banking included:  The Reserve Bank of India. the Banking Regulation Act was enacted which empowered the Reserve Bank of India (RBI) "to regulate. 2005b). 1948 (] In 1949.Years Number of banks Authorised capital Paid-up Capital that failed (Rs. was nationalized on January 1.[Reference www. India's central banking authority. India's independence marked the end of a regime of the Laissez-faire for the Indian banking. 1949 under the terms of the Reserve Bank of India (Transfer to Public Ownership) Act. paralyzing banking activities for months. Lakhs) 1913 12 274 35 1914 42 710 109 1915 11 56 5 1916 13 231 4 1917 9 76 25 1918 7 209 1 Post-Independence The partition of India in 1947 adversely impacted the economies of Punjab and West Bengal. Lakhs) (Rs. and the Industrial Policy Resolution adopted by the government in 1948 envisaged a mixed economy. The Government of India initiated measures to play an active role in the economic life of the control."  .

With the second dose of nationalization. 1969. the nationalised banks grew at a pace of around 4%." The meeting received the paper with enthusiasm. until the 1990s. then Prime Minister of India. By the 1960s. and it received the presidential approval on 9 August 1969. continued to be owned and operated by private persons. At the same time. After this. Jayaprakash Narayan. control and regulations of Reserve Bank of India. closer to the average growth rate of the Indian economy." Within two weeks of the issue of the ordinance. Nationalization Despite the provisions. the Indian banking industry had become an important tool to facilitate the development of the Indian economy. the Government of India controlled around 91% of the banking business of India. and a debate had ensued about the nationalization of the banking industry. a national leader of India. The Banking Regulation Act also provided that no new bank or branch of an existing bank could be opened without a license from the RBI. it had emerged as a large employer. described the step as a "masterstroke of political sagacity. and no two banks could have common directors. 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. the Parliament passed the Banking Companies (Acquisition and Transfer of Undertaking) Bill. . It was the only merger between nationalized banks and resulted in the reduction of the number of nationalised banks from 20 to 19. her move was swift and sudden. Later on. Thereafter. Indira Gandhi. in the year 1993. A second dose of nationalization of 6 more commercial banks followed in 1980. the government merged New Bank of India with Punjab National Bank. The Government of India issued an ordinance and nationalised the 14 largest commercial banks with effect from the midnight of July 19. banks in India except the State Bank of India or SBI. The stated reason for the nationalization was to give the government more control of credit delivery.

This is the first time an investor has been allowed to hold more than 5% in a private sector bank since the RBI announced norms in 2005 that any stake exceeding 5% in the private sector banks would need to be vetted by them. the Reserve Bank of India allowed Warburg Pincus to increase its stake in Kotak Mahindra Bank (a private sector bank) to present it has gone up to 74% with some restrictions. namely. The new policy shook the Banking sector in India completely. till this time. which later amalgamated with Oriental Bank of Commerce. Axis Bank(earlier as UTI Bank). private banks and foreign banks. With the growth in the Indian economy expected to be strong for quite some time-especially in its services sector-the demand for banking services. were used to the 4-6-4 method (Borrow at 4%. strong and transparent balance sheets relative to other banks in comparable economies in its region. licensing a small number of private banks. ICICI Bank and HDFC Bank. which has seen rapid growth with strong contribution from all the three sectors of banks. The Reserve Bank of India is an autonomous body. The next stage for the Indian banking has been set up with the proposed relaxation in the norms for Foreign Direct Investment. takeovers. The new wave ushered in a modern outlook and tech-savvy methods of working for traditional banks. Currently (2007). . and included Global Trust Bank (the first of such new generation banks to be set up). The stated policy of the Bank on the Indian Rupee is to manage volatility but without any fixed exchange rate-and this has mostly been true. especially retail banking. One may also expect M&As. In terms of quality of assets and capital adequacy.Lend at 6%. banking in India is generally fairly mature in terms of supply. mortgages and investment services are expected to be strong. revitalized the banking sector in India. and asset sales. government banks. This move.Liberalization In the early 1990s. Bankers. along with the rapid growth in the economy of India. Indian banks are considered to have clean. In March 2006.All this led to the retail boom in India. the then Narsimha Rao government embarked on a policy of liberalization. where all Foreign Investors in banks may be given voting rights which could exceed the present cap of 10%. These came to be known as New Generation techsavvy banks. product range and reach-even though reach in rural India still remains a challenge for the private sector and foreign banks. with minimal pressure from the government.Go home at 4) of functioning. People not just demanded more from their banks but also received more.

There are press reports that the banks' loan recovery efforts have driven defaulting borrowers to suicide. .In recent years critics have charged that the non-government owned banks are too aggressive in their loan recovery efforts in connection with housing. vehicle and personal loans.

However. HSBC. etc. in the introduction part of the entire banking cosmos. ICICI. It will discuss upon the matters with the birth of the banking concept in the country to new players adding their names in the industry in coming few years. the past has been well explained under three different heads namely: y y y History of Banking in India Nationalization of Banks in India Scheduled Commercial Banks in India The first deals with the history part since the dawn of banking system in India. Reserve Bank of India (RBI). the Indian Banks Association (IBA) and top 20 banks like IDBI. Government took major step in the 1969 to put the banking sector into systems and it nationalized 14 private banks in the mentioned year.Introduction The banking section will navigate through all the aspects of the Banking System in India. The last but not the least explains about the scheduled and unscheduled banks in India. Section 42 (6) (a) of RBI Act 1934 lays down the condition of scheduled commercial banks. The description along with a list of scheduled commercial banks are given on this page. has been well defined under three separate heads with one page dedicated to each bank. This has been elaborated in Nationalization Banks in India. The banker of all banks. . ABN AMRO.

the names of banks under different groups and other such useful informations are talked about. The RBI has shown certain interest to involve more of foreign banks than the existing one recently. Each group has their own benefits and limitations in operating in India. This step has paved a way for few more foreign banks to start business in India. Many even are only catering in cities. The banks and its relation with the customers. Few of them only work in rural sector while others in both rural as well as urban. All these details and many more is discussed over here. their mode of operation. . One more section has been taken note of is the upcoming foreign banks in India. Each has their own dedicated target market. Some are of Indian origin and some are foreign players.Banks In India In India the banks are being segregated in different groups.

Banking services in India With years. . banks are also adding services to their customers. The Indian banking industry is passing through a phase of customers market. With stiff competition and advancement of technology. This section of banking deals with the latest discovery in the banking instruments along with the polished version of their old systems. The customers have more choices in choosing their banks. The past days are witness to an hour wait before withdrawing cash from accounts or a cheque from north of the country being cleared in one month in the south. the services provided by banks has become more easy and convenient. A competition has been established within the banks operating in India.

Now its possible. do anything of everything what has been followed in physical banking since ages. Net Banking and ATMs are the major steps taken by the banks in India towards modernisation. A mobile hand set with a connection is the only instrument needed to make a gateway to your banking transaction. Check your account.Easy Banking This section is fully dedicated to the Tech Banking. With all these devises and systems. But this time no standing for hours in front of cash counter and no time boundation in withdrawing your own money. transfer your fund. . A decade before. the latest innovation of technology. there is a complete freedom to experience. including of SMS Banking. it was tough to belief that banking secctor will be at a finger tip. make payments and what more. Apart from the Mobile Banking.

NRO A/c Non-Resident (External) Rupee Account .FCNR A/c An Indian resident who is earning forign exchange can also maintain Foreign Currency account in the country with an authorised dealer bank but only to the maximum limit of 50% of such foreign exchange earnings under the Exchange Earners Foreign Currency Account (EEFC) Scheme. Can a person of Indian origin acquire any immovable property in India by way of inheritance? g.Banking Services for NRIs in India Almost all the Indian Banks provide services to the NRIs. Some of the FAQs given below will make it easy to understand the services provided by banks to the NRIs. FAQ for NRIs a. Can an NRI account be opened in the name of crew members of shipping companies? . Can Non Resident accounts be opened/ operated by the Power of Attorney holder in India. What are the special features of each bank account? b. What are the various facilities available to NRIs/OCBs? e. j. They are: y y y Non-Resident (Ordinary) Account . What is the penalty for contravention of FEMA? Can a person of Indian origin resident outside India gift properties acquired earlier in terms of the provisions of FERA/FEMA? k.NRE A/c Non-Resident (Foreign Currency) Account . Can NRIs and Overseas Corporate Bodies (OCBs) invest in India? h. What is the extent and application of Foreign Exchange Management Act (FEMA)? i. What happens to the status of these accounts when the non-resident holder becomes a person. Are NRIs permitted to send remittances outside India out of the assets in India that are inherited by them? f. resident in India? d. on behalf of the non-resident? c. There are different types of accounts for them.

are not eligible to be credited to these accounts. which are eligible to be remitted outside India. the latter can operate the accounts for the purpose of local payments to be made on behalf of the non-resident account holder. o US Dollars. The accounts can be opened only as fixed deposits.: The funds. with a minimum maturity of one year and. in the same currency. What happens to the status of these accounts when the non-resident holder becomes a person. remittance in foreign exchange. NRE A/c. For the purpose of opening an account. No RBI permission is required for remittance of interest. The Power of Attorney holder is not permitted to make gifts from these accounts and. on behalf of the non-resident? The accounts cannot be opened by the Power of Attorney holder in India. The remittance of interest (net of taxes) will be permitted by the authorised dealer who maintains the account. o Euro. as desired by the account holder.: These accounts can be opened in four foreign currencies: o Pounds Sterling. Can Non Resident accounts be opened/ operated by the Power of Attorney holder in India. Interest. c. cannot be repatriated outside India in foreign exchange. in other convertible currency. The interest. o Japanese Yen. Funds. as well as interest. emanating from local sources.a. without prior permission of the Reserve Bank of India. in the same currency or. the contracted rate of interest will be . when the non-resident account holder becomes a person. net of Indian taxes. unless these funds are otherwise remittable outside India. as well as other funds. However.: The funds. is exempt from Indian Income-tax. b. are remittable outside India in free foreign exchange. before becoming resident in India. should be received in India. In the case of fixed deposits opened by the account holder. earned on these accounts. The interest income is not subject to Indian Income-tax. if the account holder makes an application to the authorised dealer. in free foreign exchange. is not allowed to make remittances outside India. Credits to the accounts should be in the form of remittance in foreign exchange from outside India. earned on these deposits. a maximum maturity of three years. resident in India? The accounts are to be re-designed as resident accounts. What are the special features of each bank account? The special features are as under: NRO A/c. is remittable outside India. without permission of the RBI. in terms of the existing Exchange Control Regulations. credited to this account. resident in India. The principal. FCNR A/c. in the prescribed form. as well as interest earned thereon. earned is eligible for repatriation outside India. standing to the credit of this account.

He will. government securities. by way of inheritance. RBI will consider application from NRIs for remittance of assets. can also be acquired by a person of Indian origin resident outside from a person resident in India. who had acquired such property in accordance with the provisions of foreign exchange law in force at the time of acquisition by him or the provisions of Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulations. through the Foreign Investment Promotion Board (FIPB) NRIs and OCBs are permitted to invest up to 100% equity in real estate development activity and civil aviation sectors. Investment. even after the non-resident holder become a resident in India. g. In certain situations.deposits with Indian companies/firms. FCNR deposits will be eligible to be held in respective currencies till maturity of the deposits. i.e. Immovable property. Can NRIs and Overseas Corporate Bodies (OCBs) invest in India? The Government of India has adopted a liberal policy. Such investments are allowed. f. with respect to investments by NRIs and OCBs in India. investment in immovable properties in India. o o e. cease to get tax exemption on interest on the erstwhile deposits (NRE/FCNR deposits). Similarly. What are the various facilities available to NRIs/OCBs? The facilities available to NRIs/OCBs for making investment in India are as follows: o opening and maintenance of bank accounts in India. may acquire any immovable property in India by way of inheritance from a person. through the RBI route and also through the Government route. except in the case of real estate. inherited by them in India. resident outside India.000 per year. o investment in shares and securities of Indian companies. which has a 3 year lock-in period on . units of domestic mutual funds and . investment in proprietorship/partnership concerns in India. are fully repatriable. it might be advisable for the account holder to convert the account to a Resident Foreign Currency Account Deposit (RFC) d. Are NRIs permitted to send remittances outside India out of the assets in India that are inherited by them? Yes. Can a person of Indian origin acquire any immovable property in India by way of inheritance? A person of Indian origin. resident outside India.paid till maturity of the deposits. made by the NRIs and OCBs. Such remittance may be permitted up to US$ 100.. both. after he becomes resident in India. however. 2000.

h. to a penalty up to three times the sum involved in such contravention.original investment and. upon adjudication. What is the penalty for contravention of FEMA? Any person. i. A person of Indian origin resident outside India may transfer residential or commercial property in India by way of gift to a person resident in India or to a person resident outside India who is a citizen of India or to a person of Indian origin resident outside India. where such amount is quantifiable. What is the extent and application of Foreign Exchange Management Act (FEMA)? FEMA extends to the whole of India. by any person to whom the Act applies. where such contravention is a continuing one. A Person of Indian origin resident outside India may also transfer by way of gift agriculture land/farm house/plantation property in India to a person resident in India who is a citizen of India. k. owned or controlled by a person. 16% cap on dividend repatriation. contravening FEMA. there under. outside India. if their posting is not based in India and they derive their income from other country in foreign currency. where the amount is not quantifiable. Can an NRI account be opened in the name of crew members of shipping companies? Yes. It also applies to all branches. Government approval is granted through FIPB. In addition. which may extend to Rupees Five thousand for every day after the first day. offices and agencies outside India. the person will be liable to further penalty. For those proposals that do not qualify under the automatic route. It also applies to any contravention. . or up to Rupees Two hundred thousand. committed in or. shall be liable. j. during which the contravention continues. Can a person of Indian origin resident outside India gift properties acquired earlier in terms of the provisions of FERA/FEMA? Yes. resident in India.

castor. Insurance policies sold to farmers like groundnut. Reasons for setting-up of Proxi Banking y y y y y 58% of rural households still do not have bank accounts.Proxy Banking in India Indian villages were miles away from mutual funds. Thanks to Internet Kiosk and the ATM duo which has made it possible for rural India. Only 21% of rural households have access to credit from a formal source. soya. With the help of fibre optic cables. insurance and even equity trading. This is known as Proxi Banking. Loans for setting up a tea shop. 87% households have no formal credit. etc. Weather insurance given to farmers. · The loans take between 24 to 33 weeks to get sanctioned. this kiosk works on wireless in local loop technology. Only 1% rural househlods rely on a loan from a financial intermediary. paddy crop. Branch banking in rurals is a loss-making. The Proxy Banking is an innovative approach to rural lending and will add to the government's expanding base of kisan credit cards and the good old guidelines for agricultural lending. y y Benefits to rurals y y y y y Small loans given for buying buffaloes. Consumers bribe officials to get loans approved which varies between 10 and 20 per cent of the loan amount. 70% of marginal farmers do not have deposit account. This kiosk has been set up by ICICI Bank in partnership with network n-Logue Communications in remote villages of Southern part of the country. . Life and non-life insurance provided.

The first bank in India to be given an ISO Certification The first bank in Northern India to get ISO 9002 certification for their selected branches The first Indian bank to have been started solely with Indian capital Canara Bank Punjab and Sind Bank Punjab National Bank South Indian Bank The first among the private sector banks in Kerala to become a scheduled bank in 1946 under the RBI Act India's oldest.Fact Files of Banks in India The first. the oldest. international and NRI products and services. mostly Europeans shareholders The first Indian bank to open a branch outside India in London in 1946 and the first to open a branch in continental Europe at Paris in 1974 Imperial Bank of India Bank of India. It became the first Indian bank to open a branch outside India in London in 1946 and the first to open a branch in continental Europe at Paris in 1974. offering the widest possible range of domestic. largest and most successful commercial bank. the biggest. the largest. founded in 1906 in Mumbai The oldest Public Sector Bank in India having branches all over India and Allahabad Bank serving the customers for the last 132 years The first Indian commercial bank which was wholly owned and managed by Indians Central Bank of India Bank of India was founded in 1906 in Mumbai. through its vast network in India and overseas State Bank of India India's second largest private sector bank and is now the largest scheduled The Federal Bank commercial bank in India Limited Bank which started as private shareholders banks. . get all such types of informations about Banking in India in this section.

List of banks in India ====Central bank ==== . Corporation Bank 9. Dena Bank 10. Indian Bank 12.Nationalized banks (Public Sector)                     1. United Bank of India 20. Punjab National Bank 15. Nationalized banks (Public Sector) 2. Oriental Bank of Commerce 14. Bank of Baroda 4. Private Banks 3.Scheduled Urban Co-operative Banks 4. Punjab & Sind Bank 16. IDBI Bank 11. Allahabad Bank 2. Indian Banks Abroad 6. Andhra Bank 3. y y y y y y 1.Central bank and supreme monetary authority. Bank of Maharashtra 6. Foreign banks 6. Central Bank of India 8. Bank of India 5. Indian Overseas Bank 13. Vijaya Bank . Syndicate Bank 17. UCO Bank 19. Canara Bank 7. Union Bank of India 18.1 Foreign Banks with Representative Offices in India 1. Non-Scheduled Urban Co-operative Banks 5.

(merged with SBI in 2010) State Bank of Saurashtra . State Bank of Patiala 26. ING Vysya Bank South Indian Bank .(merged with SBI in 2008)        2. Private Banks           Axis Bank (Formerly UTI Bank) HDFC Bank ICICI Bank(Siddhashila) Kotak Mahindra Bank Karnataka Bank Yes Bank IndusInd Bank The Nainital Bank Ltd.====SBI & associates (Nationalized)=India|State Bank of India (SBI)]] 22. State Bank of Travancore State Bank of Indore . State Bank of Hyderabad 24. State Bank Bikaner & Jaipur 23. State Bank of Mysore 25.

Surat Amanath Co-operative Bank Ltd.Bank Ltd. Ahmedabad Rajkot Nagarik Sahakari Bank Ltd. Bank Chittoor AP India Bank Main Location Rani Laxmibai urban Co-op Bank. Rajkot almora urban co-operative bank ltd. Ahmedabad Kalupur Commercial Coop. Jhansi Ahmedabad Mercantile Co-Op Bank Ltd. Mehsana Nutan Nagarik Sahakari Bank Ltd. almora South Indian Bank Tirichur Sardar Bhiladwala Pardi Peoples Coop Bank Ltd. Kalupur Madhavpura Mercantile Co-Op Bank Ltd. Bangalore Andhra Pradesh Mahesh Co-Op Urban Bank Ltd. Andhra Pradesh .3. Bulsar Surat Peoples Coop Bank Ltd. Madhavpur Mehsana Urban Co-Op Bank Ltd. Scheduled Urban Co-operative Banks List of Scheduled Urban Co-operative Bank as on 31-3-2009 as per RBI[1] Sapthagiri Coop.

Charminar Coop. Dadar Cosmos Co-operative Urban Bank Ltd. Mumbai . Hyderabad Vasavi Coop Urban Bank LImited. Hyderabad Indian Mercantile Co-op Bank Ltd. Lucknow Kallappanna Awade Ichalkaranji Janata Sahakari Bank Ltd. Mumbai Bangalore city cooperative bank. Mumbai Bharati Sahakari Bank Limited. Ichalkaranji Abhyudaya Co-operative Bank Ltd. Dombivli Goa Urban Co-operative Bank Limited. Goa Greater Bombay Co-operative Bank Limited. Pune Bombay Mercantile Co-operative Bank Limited. Mumbai Citizen Credit Co-operative Bank Ltd. Vasai Bharat Co-operative Bank (Mumbai) Ltd. Pune Dombivli Nagari Sahakari Bank Ltd.Urban Bank Ltd. Bengaluru Bassein Catholic Co-operative Bank Limited.

Mumbai Janata Sahakari Bank Ltd.Jalgaon Janata Sahakari Bank Ltd. Mumbai Parsik Janata Sahakari Bank Ltd. Pune The Karnataka State Co-Operative Apex Bank Ltd Bengaluru Kalyan Janata Sahakari Bank Ltd. Mumbai NKGSB Co-operative Bank Ltd. Thane Pravara Sahakari Bank Ltd. Mumbai Janalaxmi Co-operative Bank Ltd. Jalgaon Janakalyan Sahakari Bank Ltd. Mumbai Mapusa Urban Co-operative Bank of Goa Ltd. Kalyan Karad Urban Co-operative Bank Ltd. Ahmednagar Nasik Merchant's Co-operative Bank Ltd. Nasik New India Co-operative Bank Ltd. Mapusa Nagar Urban Co-operative Bank Ltd. Ahmednagar . Karad Mahanagar Co-operative Bank Ltd.

Sangli Saraswat Co-operative Bank Ltd. Mumbai Shamrao Vithal Co-operative Bank Ltd.Punjab & Maharashtra Co-operative Bank Ltd. Akola The Khamgaon Urban Co-operative Bank Ltd. Thane The Kapol Co-operative Bank Ltd. Nagpur The Akola Janata Com. Akola The Akola Urban Co-operative Bank Ltd. Solapur Thane Bharat Sahakari Bank Ltd. Khamgaon . Mumbai Solapur Janata Sahakari Bank Ltd. Pune Sangli Urban Co-operative Bank Ltd. Mumbai Nagpur Nagrik Sahakari Bank Ltd. Nagpur Shikshak Sahakari Bank Ltd. Mumbai Rupee Co-operative Bank Ltd. Thane Thane Janata Sahakari Bank Ltd. Mumbai Zoroastrian Co-operative Bank Ltd.Co-operative Bank Ltd.

Pune Vishweshwar Sahakari Bank Ltd. Cuttack Gramya Bank... Pune .Cuttack urban Co-operative Bank Ltd. Cuttack [ [Cuttack] ] 4. Non-Scheduled Urban Co-operative Banks List of Non-Scheduled Urban Co-operative Bank as on 31-3-2010 as per RBI[2] Bank Main Location Janaseva Sahakari Bank Ltd. Pune Sanmitra Sahakari Bank Ltd.. Pune Sadhna Sahakari Bank Ltd..

K. Georgetown Guyana (South America) ICICI Bank UK Ltd London (UK) . Los Angeles. Indian Banks Abroad List of subsidiaries of Indian Banks abroad as on November 30. Uganda Bank of Baroda(Kenya) Ltd. UK BOB (Hong Kong)Ltd.San Jose (Silicon Valley) SBI Finance Inc. Kenya Bank of Baroda (U.S.Mississauga SBI (California) Ltd. (Converted into Restricted Licensed Bank) Hongkong Bank of India Finance(Kenya) Ltd. Delaware U.5. 2007 Name of the Bank Name of the Centre SBI (Canada) Ltd. Toronto Vancouver. Kenya IOB Properties Pte Ltd. Artesia. London. SBI International (Mauritius) (Off-shore Bank)Mauritius Bank of Baroda Uganda) Ltd.) Nominee Ltd. Singapore Bank of Baroda(Botswana) Ltd. Gaborone Botswana Bank of Baroda(Guyana)Inc.A.

Salalah. Abu Dhabi. Al Ain) United Arab Emirates Bank of Baroda Sultanate of Oman. (IOIB) Mauritius. Muscat.Dammam. Port Louis Punjab National Bank International Limited (PNBIL) United Kingdom. Ras Al Khaimah. Brussels ICICI Bank Eurasia LLC Russia PT Bank Indomonex Indonesia Indian Ocean International Bank Ltd.ICICI Bank Canada Ltd Toronto (Canada) Bank of Baroda (Tanzania) Tanzania Bank of Baroda (Dubai. Deira. Bank of Baroda Belgium. London Bank of Baroda (Trinidad and Tobago) Limited Trinidad & Tobago PT Bank Swadesi Tbk Indonesia Bank of Baroda (Trinidad and Tobago) Limited Trinidad & Tobago .

Foreign banks Banks with branches in India.7.V. .Royal Bank of Scotland Abu Dhabi Commercial Bank Ltd American Express Bank Antwerp Diamond Bank Arab Bangladesh Bank Bank International Indonesia Bank of America Bank of Bahrain & Kuwait Bank of Ceylon Bank of Nova Scotia Bank of Tokyo Mitsubishi UFJ Barclays Bank BNP Paribas Calyon Bank ChinaTrust Commercial Bank Citibank DBS Bank Deutsche Bank HSBC (Hongkong & Shanghai Banking Corporation) JPMorgan Chase Bank Krung Thai Bank Mashreq Bank Mizuho Corporate Bank Oman International Bank Shinhan Bank Société Générale Sonali Bank Standard Chartered Bank State Bank of Mauritius UBS                               .[4] ABN AMRO Bank N.

South Indian Bank State Bank of Hyderabad State Bank of India State Bank of Travancore Syndicate Bank Times Bank UCO Bank Union Bank of India Vysya Bank Oriental Bank of Commerce . (i) Foreign Banks with Representative Offices in India American Banks mayur coprative bank limited  Nationalised. The list contains both Private and Public sector banks. Allahabad Bank Andhra Bank Bank of Baroda Bank of Madura Bank of Maharashtra Bank of Punjab Canara Bank Catholic Syrian Bank Centurion Bank Citibank Corporation Bank Dena Bank Development Credit Bank Ltd. Public and Private Banks of India The page consists of the list of banks operating from india. VTB [1] 7. Export-Import Bank of India Punjab National Bank Federal Bank Limited Global Trust Bank ICICI Bank IDBI Indian Bank Indian Overseas Bank IndusInd Bank Ltd. Lakshmi Vilas Bank Lord Krishna Bank Mandvi Co-operative Bank Ltd. Deutsche Bank Dhanalakshmi Bank Nedungadi Bank Punjab and Maharashtra Co-Operative Bank Ltd.

In 1950-51 there were 430 commercial banks. etc. It could be done through expanding banking network (by opening new bank branches) in the un-banked areas. Thus these were labeled as the priority sectors. Priority Sector Lending: In India. Expansion of Banking: In a large country like India the numbers of banks existing those days were certainly inadequate. 2. Reducing Regional Imbalance: In a country like India where we have a urban-rural divide. It was necessary to check these monopolies in order to ensure a smooth supply of credit to socially desirable sections. It was considered that banks were controlled by business houses and thus failed in catering to the credit needs of poor sections such as cottage industry. the government decided to nationalize 14 major commercial banks on 19th July. Sector such as agriculture. the agriculture sector and its allied activities were the largest contributor to the national income. 1. commercial banks were in the private sector those days. However. In order to reduce this regional imbalance nationalization was justified: 5. This economic planning basically aimed at social ownership of the means of production. It was necessary to spread banking across the country. five year plans came into existence since 1951. 1969.Nationalisation of Banks in India ± Introduction After independence the Government of India adopted planned economic development for the country. These commercial banks failed helping the government in attaining these objectives. 4. Thus. But unfortunately they were deprived of their due share in the credit. Controlling Private Monopolies: Prior to nationalization many banks were controlled by private business houses and corporate families.50 crores were nationalized. Social Welfare: It was the need of the hour to direct the funds for the needy and required sectors of the Indian economy. small and village industries were in need of funds for their expansion and further economic development. The second dose of nationalization came in April 1980 when banks were nationalized. craft men. Accordingly. 3. Nationalization was urgently needed for catering funds to them. Objectives Behind Nationalization of Banks in India The nationalization of commercial banks took place with an aim to achieve following major objectives. farmers. All commercial banks with a deposit base over Rs. . The Government had some social objectives of planning. it was necessary for banks to go in the rural areas where the banking facilities were not available. village industry.

It was seen in arranging loan meals. 2. Limitations . Some times the deposits mobilized are enough but the resource allocation is not as per the expansions. etc. In fact it converted many of the banking institutions in the loss making entities. Madhya Pradesh. political interference. These are several limitations faced by the bank nationalization in India. The major limitations of the bank nationalization in India are:1.6. Apart from this there are certain other limitations as well. lack of accountability. It was necessary to develop the banking habit among such a large population. in many senses it failed in attaining them. 3. Under this backdrop it is necessary to have a critical look to the whole process of nationalization in the period after bank nationalization. It ultimately resulted in huge nonperforming assets (NPAs) of these banks and inefficiency. lack of profit motive. Lowered efficiency and profits: After nationalization banks went in the government sector. poor competitiveness. . etc. still many parts of the country are unbanked. Many times political forces pressurized them. Political and Administrative Inference: Many public sector banks badly suffered due to the political interference. Developing Banking Habits: In India more than 70% population used to stay in rural areas. But after Economic Reform of 1991. large staff administrative expenditure. the Indian banking industry has entered into the new horizons of competitiveness. Inadequate banking facilities: Even though banks have spread across the country. trade union struggle. 5. efficiency and productivity. Especially in the backward states such as the Uttar Pradesh. Chhattisgarh and north-eastern states of India. 4. Increased expenditure: Due to huge expansion in a branch network. such as weak infrastructure. The reasons were obvious lethargic working. Demerits. It has made Indian banks more vibrant and professional organizations. Limited resources mobilized and allocated: The resources mobilized after the nationalization is not sufficient if we consider the needs of the Indian economy. It resulted into lower efficiency and poor profitability of banks. removing the bad days of bank nationalization. etc. banks expenditure increased to dangerous levels.Bank Nationalization in India Though the nationalization of commercial banks was undertaken with tall objectives. Banking was not done on a professional and ethical grounds.

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