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Banking SectorGroup Members

Contents :

Introduction :

Lifeline of modern economy.

Important for economic development of a country.

Reserve Bank of India.


Evaluation of Indian Banking :


Evolutionary Phase (Prior 1947): Sanatkumar

B. Foundation Phase (1947 to 1969): Sanatkumar

C. Expansion Phase (1969 to 1990): Sanatkumar

D. Consolidation & Liberalization Phase (1990 to Present): Sanatkumar

Roles : Sanatkumar

Structure of Banking : JuhiRBIUnscheduled BanksScheduled BanksCo-Operative BanksCommercial Banks

JuhiStructure of Banking : Commercial BanksPublic Sector BankPrivate Sector BanksForeign BanksRegional Rural BanksOld (14)SBI and Associate Banks (6)Other Nationalized Banks (19)Other Public Sector Banks (1)New (7)

JuhiStructure of Banking : Co- Operative BanksUrban Co-operativeState Co-Operative

KomalBudgetary Provision :

KomalBudgetary Provision :

KomalBudgetary Provision :

KomalBudgetary Provision :

Basavprasad Gross domestic product (GDP) Is monetary measure of the market. Value of all final goods and services produced in a period. Nominal GDP estimate are commonly used to determine the economic performance of whole country or region on to make international comparisons. Nominal GDP per capita does not, however reflect differences in the cost of living and the inflation rates of the countries. Therefore using a GDP per capita basis of arguably more useful. When comparing differences in living standards between nations.

India's gross domestic saving in 2006-07 as a percentage of GDP stood at a high 32.8% more than half personal saving are invested in physical assets. Land, houses, cattle, and gold. The government owned public sector banks hold over 75% of total assets of the banking industry with the private and foreign banks. Holding 18.2% and 6.5% respectively since liberalization ,the government has approved significant banking reforms. While some of this relate to nationalized banks like encouraging mergers, reducing government interference and increasing profitability and competitiveness other reforms have opened up the banking and insurance sectors to private and foreign players. Contribution to the GDP :

Contribution of the banking sector to GDP is about 7.7% of GDP.

Banking sector intermediation as measured by total loan as a % of GDP is 30%.

Banking sector has generated employment to the tune of 1.5 millionContribution as a Service Sector: Basavprasad

International Comparison of GDP: Basavprasad

Provisions related to financial sectorMamta

Bank recapitalization has been kept at Rs10,000 crores for FY18, the amount recommended under the Indradhanush Scheme in 2015. Recapitalization : Mamta

Banks can now deduct provisions made for non performing assets (NPAs) up to 8.5% of total income for tax purposes. This was 7.5% so far.

Addressing Bad Loan Issues : Mamta

Creation of a holding company for the governments stake in public sector (PSU) banks will benefit PSU banks, especially IDBI Bank.Disinvestment Roadmap : Mamta

Affordable housing will be given infrastructure status, and a higher allocation of Rs. 23,000 crore has been made to the rural Pradhan Mantri Awas Yojana.

Those who want to build houses in villages or renovate their homes will get 3% off on interest (rebate) on loans of up to Rs 2 lakh.

Increase in the deduction of interest paid on home loans from Rs 2 lakh which was earlier upto 1 crore.

Affordable Housing : Mamta

All cash transactions above Rs. 3 lakh will be rendered invalid.Digital Push : Mamta

Listing and trading of security receipts issued by asset reconstruction companies (ARCs) to banks will be allowed on stock exchanges.Infra Bonds : Mamta

60-day interest waiver for farm loans from district cooperative banks and primary societies.

Higher NABARD lendable corpus of Rs. 20,000 crores to finance district cooperative banks and societies for providing farmers better access to loans.

Agriculture lending target has been substantially revised to Rs. 10 lakh crores

Higher Farm Credit Target : Mamta

Conclusion : Mamta

Thank You