The presentation is about the banking sector in India.

1. BANKING
by A1 GROUP

2. INTRODUCTION
• Banking has emerged as a resurgent sector in
the Indian economy.
• The banking sector index has grown at a
compounded annual rate of over 51 per cent
since the year 2001.
• 3 types of sectors in Banking : public, private
and foreign.
• Public sector banks hold over 75% of total
assets, private sector banks hold 18.2% and
foreign hold 6.5%.

3. BACKGROUND
• PHASE 1 : Pre - nationalization (prior 1955)
• PHASE 2 : Era of nationalization and
consolidation (1955 to 1990)
• PHASE 3 : Introduction of Indian Financial and
Banking sector. (1990 to 2004)
• PHASE 4 : Increased liberalization (2004
onwards)

4. MARKET STRUCTURE

5. continued…
• Business segmentation

6. MAJOR PLAYERS
1. HDFC Bank Ltd 6. Punjab National Bank
2. Bank of Baroda 7. YES Bank
3. Standard Chartered 8. DBS Bank
4. Axis Bank Ltd 9. State Bank of India
5. Allahabad Bank 10. ICICI Bank

7. GOVT. REGULATORY
• Reserve Bank of India controls the
banking system in India.
• RBI decides the various factors related to
banking. i.e. fiscal policy, repo rate, CRR,
SLR, etc.
• Governor of RBI is D. Subbarao

8. SIGNIFICANT EVENTS
• Change of technology Indian banking sector
• R.B.I. cut rate
• India Ratings: Banks to face funding issues
in 2013
• Government readies holding company for public
sector banks
• IMF says India shouldn’t rush to give
banking licenses to conglomerates

9. CURRENT TRENDS
• Different classes of banks
• Innovation and diversification
• Role of Information Technology (IT)
• Role of Customer Relationship Management
• Foreign Direct Investment (FDI) and Voting
rights of foreign investors

10. FUTURE PROSPECTS
• Frequent changes in policy rates to maintain
economic stability
• Indian economy will require additional banks and
expansion of existing banks to meet its credit
needs

11. SECTOR ANALYSIS

12. CONTRIBUTION
• Domestic credit provided by this sector was
75.12% of India’s GDP in 2011

13. continued…
• Growth from a 5.15 trillion economy in 1991 to
73.1 trillion in FY11
• Bank credit has grown from 22.6% in 1991 to
53.9 % in FY11
• Assets of SBI and ICICI Bank are about 25% of
the GDP

14. continued…
• Different types of players in the banking industry.

15. continued…
• Growth of the banks in all parameters, i.e. net
interest income, deposits, advances, total assets

16. EMPLOYEE GENERATION
• In 2009, the Economic Times reported that , the
country’s leading public sector bank, SBI has
plans to recruit 25,000 employees
• SBI Life has plans to hire 13,000 agents and 200
sales managers
• In FY09, this sector had provided over 50,000
vacancies in the public sector banks alone.

17. continued…
Major recruiters of Banking Industry :
• Public sector banks – SBI, Canara Bank,
Allahabad Bank, PNB, Bank of Baroda, Bank of
India, Bank of Maharashtra, Central Bank of
India, etc
• Private sector banks – Axis Bank, ICICI Bank,
YES Bank, Kotak Mahindra Bank, etc
• Co-operative banks