Journal articles on the topic 'India`s public sector banks'

The intensive competition between retail banks in India and all the banks realized the needs for protecting existing customer base. Maintaining customer relation and build a loyalty has become a business strategy, and banks also realize that customer lifetime value identifies the value of a long-term relationship. This study mainly focused on types of CRM practices deployed in Indian banking sector and the changes needed with evaluation and cut throat competition. It helps to increase the ability to serves customer better and to improve the marketing productivity. It will also help to understand the effectiveness of CRM practices adopted by the various banks. With the theoretical and conceptual background of Customer Relation Management, the present study intends to focus on customers‟ perception towards performance on CRM practices by Indian commercial banks including Public, and Private Sector Banks. There are some research gaps exist in measuring the CRM effectiveness in past; and with special reference to its modern applications in banking organization in present. Many studies done on multiple aspects but dynamic aspects of CRM practices make it older. This research study aims to measure customer perception towards CRM practices apply by various Indian commercial banks, A broad comparison is also attempted between the CRM practices of India‟s top 3 Public Sector Banks and India‟s top 3 Private sector banks. So that here researcher tries to evaluate different models and relationship between different service parameters of CRM

Non Performing Assets (NPA‟s) are one of the major areas of concern for the Indian banking industry. Non-Performing Assets are like a double edged sword. They do not generate any income, whereas, the bank is required to make provisions such as assets. (Olekar and Talawar, 2012).NPAs do not just reflect badly in a bank‟s account books, they adversely impact the national economy. There are many research conducted on the topic of Non- Performing Assets (NPA)Management, concerning particular bank, comparative study of public and private banks etc. This paper considers the aggregate data of public sector, private sector and foreign banks and attempts to compare analyze and interpret the NPA management from the year 2009 -2013. On the conceptual side, it gives an overview of NPA, Types of NPA, causes and on the calculation side, it covers various NPA related ratios, use of Least square method for estimating Gross NPAs in the year 2014, and also application of ANOVA test to judge the presence of any significant difference between ratio of Gross NPA to Gross Advances. The findings reveals the percentage of Gross NPA to Gross advances is increasing for public banks, ratio of Loss Advances to Gross Advances are higher in foreign banks, the Estimated Gross NPA for 2014 is also more in public banks as compared to private and foreign banks and from the ANOVA test, it is concluded Ratio of Gross NPA to Gross Advances for public sector, private Sector and foreign Banks does not have significant difference between 2009 to 2013.

In order to find out the managerial effectiveness of the managers in both public and private sector banks of West Bengal, demographic variables (age, gender, education, experience, income and marital status) and managerial effectiveness of managers are used in this study. The purpose of the present study is to find out the role of demographic variables in managerial effectiveness of managers in both public and private sector banks of West Bengal. The sample consists of 566 managers from three public (State Bank of India, Allahabad Bank, and United Bank of India) and three private (ICICI, HDFC, and AXIS) sector banks of West Bengal, out of which 487 are public bank managers and 79 are private bank managers working at various positions of management. The stratified random sampling is used for collection of data. The standard structure questionnaire named “Managerial Effectiveness Scale” was developed by Prof. S. Gupta (1996) was administered. Mean, SD, t-test and ANOVA were used to test the seven hypotheses formulated in the study. The study concludes that the mean scores of the managerial effectiveness of public and private sector bank managers are statistically significant. It also exhibits that the private bank managers are more effective than the public bank managers. The result reveals that the managerial effectiveness of both public and private sector banks managers are different with respect to some demographic characteristics like gender and experience, and age (partially). But managerial effectiveness is independent of other demographic characteristics like education, income and marital status.

Purpose The problem of differentiation and creating a unique selling proposition is higher in the banking sector, as, any new service or product introduced is very quickly imitated by the competitors. The benefits of advertising have been seen to have long-term effects on the firm’s performance and debate is still on whether the expenses of advertising should be amortized or expensed immediately has been the area of concern for many years. The purpose of this paper is to carry out a comparative analysis of advertising effectiveness on private and public sector banks in India. Design/methodology/approach This study has included 33 listed commercial banks out of 41 listed on S&P BSE 500. Out of 33 banks, 14 banks belong to private sector and 19 banks are public sector banks. Data are extracted for a period of 14 years from 2004 to 2017 from Ace Equity. In total, there are 462 firm-year observations. Interest income, operating income and return on assets are the accounting measures considered in this paper. All the variables are deflated by total assets at the beginning of the period. To assess the effect of advertising on financial measures, distributed lag model is used. Findings The results of Koyck model suggest that it takes lesser time for private sector banks to see a significant change in interest income and return on assets with a change in advertising expenses whereas in case of operating income, the results achieved are opposite. Originality/value This study may be useful from accounting point of view to find out whether advertising creates long-term or short-term impact on financial measures. The study would help in determining the number of years for which advertising expenses can be amortized. With the help of these results, it can be said that advertisement expenses can be capitalized and then expensed over coming years. This means, to some extent advertisement has some long-run impact on financial measures considered in the study. In order to achieve more robust results, this study can be performed on different sectors.

Purpose – The study was conducted to assess the level of compliance with regulatory guidelines on anti-money laundering (AML) in the scheduled commercial banks in India, and to understand the bottlenecks in AML implementation. Design/methodology/approach – The respondents were employees working in the banks located in the States of Puducherry and Tamilnadu. Snowball sampling method was adopted in selecting the sample. The sample consisted of 392 employees from the public sector, private sector, and foreign banks in India. The data was collected by administering the structured questionnaire during the period June, 2014 to January, 2015. Descriptive and non-parametric tests were applied, and the significance was considered at þ ≤ 0.5. Findings – Results indicated that the banks were largely complying (3.67 ± 1.39) with the AML measures under study. The compliance with guidelines on KYC updation was found to be higher (79.9 per cent), followed by reporting requirements (72.7 per cent), and customer identification procedures (57.4 per cent). The practice of customising or amending the AML policy of the bank according to the bank ' s business risks and evolving regulatory obligations was found unsatisfactory (67.1 per cent). The respondents in majority agreed to the identified issues such as deficit of resources, lack of customer support, training, feedback and information exchange as constraints in the practice of AML. Originality/value – There is a dearth of studies examining the AML/CFT implementation in the financial institutions of India. Accordingly, the present study attempts to assess the practices of AML/CFT in commercial banks and understand their challenges faced in implementing it.

Factoring is basically the purchase of book debts of client companies. Apart from financing investments in book debts, the factoring company offers individualized service packages covering credit screening, ledger keeping and collection, and provision for doubtful debts and write offs. In the context of the government policy of strengthening money and capital markets, a study group of the Reserve Bank of India is considering how to launch factoring service in India. S P Singh considers two approaches to launching factoring service. One is the conventional approach of letting banks, which are providing cash credit for book debts, promote factoring as an extension of their activities. The other the market approach of enabling independent companies compete on improving upon the current average collection period and percentage of write offs. Singh recommends the market approach to launching factoring service. Efficient factoring, requires a culture of price banking, aggressive selling and low unit cost operations�a culture unfamiliar to public sector banks and financial institutions.

Customer satisfaction is an integral element in inculcating trust among the common people in the banking sector, which may also boost financial inclusion. Customer satisfaction can be measured in terms of complaints received about the bank services. The Banking Ombudsman Scheme was introduced in India in 1995 and revised in 2002 to enable the resolution of complaints of customers of banks relating to certain services rendered by the banks. To analyse the performance of the Banking Ombudsman Scheme in India based on selected parameters, a descriptive research design has been used. The present study is based on secondary data compiled mainly from “The Banking Ombudsman Scheme-Annual report” which is published by RBI every year from 2015-16 to 2019-20. For analysis purposes, descriptive statistics tools such as percentages have been used.The Ombudsman scheme is a blessing and a very prominent medium for redressal of grievances by the general public against banks and banking services. The resolution and the pace of resolution of the complaints is an essential aspect of consumer satisfaction. Also, the total number of banking transactions is growing because of inclusion, new modes of payments & settlements coming, and newer products, offerings & services. considering this, RBI should increase the number of Ombudsmen proportionately. BO‟s offices have started outreach activities for creating awareness among customers But still, it needs to be more rigorous, especially in rural areas.

With the liberalization of balance of payments, the monetary policy scenario in India underwent a sea change. While the merits and demerits of capital account liberalization have been debated, it is still not clear as to what extent the Indian economy has integrated with the global economy. There are basically two choices: either integrating with the international economy at a measured and orderly pace, or letting the world integrate with us in a disorderly manner on terms dictated by the international economy. The objective of macroeconomic management is to tailor the policies so as to maximize the gains of global integration while minimizing the adverse features of globalization. This article captures the dilemmas and challenges of formulating a favourable monetary policy and studies and projects the implications of the changing dimensions of monetary policy on the different parameters determining the banks� growth path. In the absence of RBI�s intervention, persistent capital inflows into the country could result in an unrestrained monetary expansion and a real effective exchange rate (REER) appreciation which in turn is likely to end up in a crisis. RBI has used a combination of the market stabilization scheme (MSS), the reverse repo, and the cash reserve ratio (CRR) to tackle the problem of excess liquidity. As CRR is considered a blunt instrument, RBI is suggested to use incremental cash reserve ratio to immobilize the excess liquidity from where it is lodged. In an extreme situation of excessive capital inflows, the author suggests the use of unremunerated reserve requirements on fresh inflows by foreign institutional investors. For the banks, large capital outflows could lead to a more difficult situation as pumping in of created money to restore liquidity could trigger further capital outflows. Remedial measures such as raising of interest rates, tightening of liquidity, and depreciation of exchange rate will have to be implemented in a non-disruptive manner so as to ensure that the economy does not go into a state of panic. For formulating a viable monetary policy, what is most important is to set objectives in such a way that there is a clear agreement between the government and the RBI. The present structure of the banking system is not conducive to the development of a strong and vibrant financial structure. There have been repeated recommendations to reduce government holding in public sector banks because of the government�s inability or reluctance to provide more capital to these banks. In the overall rapidly changing globalized scenario, the banks cannot remain isolated; they too need to keep pace and should therefore join the bandwagon.

During the last decade, the Indian banking sector has shown a remarkable advancement in terms of innovation, growth, and value creation. Behind this development of the Indian banking sector, several factors like customer satisfaction and word-of-mouth (WOM) are responsible. Literature has reported that pleasure and arousal play an important role in customer satisfaction. Investigations have been carried out on the influence of pleasure and arousal on behavioural intentions including satisfaction and WOM. However, there has been no such study for the banking sector. This gap in research has motivated this study. This paper suggests a conceptual model in which pleasure and arousal directly influence satisfaction and WOM. It also tests the impact of satisfaction on WOM. Based on prior literature, several hypotheses stating the linkages among pleasure, arousal, satisfaction, and word-of-mouth were developed. Russell�s framework for pleasure and arousal (emotion) formed the basis of the model. For the purpose of the study, face-to-face interviews with a structured questionnaire were conducted to collect data. Participants included customers above 18 years from both public and private sector banks in three cities namely, Kolkata, Durgapur, and Haldia of West Bengal, India. Data collection was done with the use of area sampling procedure. Out of 500 questionnaires administered, about 310 questionnaires were useable for analysis. The data analysis was done with SPSS 19 and AMOS 18. Structural equation modeling (SEM) using AMOS 18 was applied to explore the links between the constructs in the conceptual model. The overall fit of the conceptual model was assessed using several indices furnished in the AMOS output. The fit index results suggested model fitness with the data. The results of the study indicate that: Pleasure has significant positive and negative impacts on satisfaction and WOM respectively. Arousal has significant negative and positive impact on satisfaction and WOM. Satisfaction has positive significant impact on WOM.

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ABSTRACT This study aims to explain and analyze the effect of product market competition, financial leverage, and risk of financing on the stability of Islamic banks in Indonesia in 2018-2022. The sampling technique used is Islamic banks listed on the Indonesia Stock Exchange. Source of data obtained from the annual report of each bank. The analytical method used is panel regression analysis with Eviews 10 software with the Common Effect Model (CEM) model as the best model. The variables used consist of product market competition (PCM), financial leverage (DER proxy), and financing risk (NPF proxy) on banking stability (proximate Natural Logarithm Z-Score). The results of this study found that product market competition did not affect bank stability. Meanwhile, financial leverage and financing risk have a negative effect on the stability of Islamic banks in Indonesia. From the results of this study, it is hoped that competition for Islamic banks in Indonesia can always run normally as it is today. In addition, the financial leverage and financing risks of Islamic banks have a negative impact on banking stability. Therefore, this research can be used as an early warning and reference for Islamic banks to make funding decisions through debt capital and excessive financing. keywords: Banking stability, product market competition, financial leverage, financing risk ABSTRAK Penelitian ini bertujuan untuk menjelaskan dan menganalisis pengaruh persaingan pasar produk, financial leverage, dan risk of financing terhadap stabilitas bank syariah di Indonesia pada 2018-2022. Teknik pengambilan sampel yang digunakan bank syariah yang terdaftar di Bursa Efek Indonesia. Sumber data diperoleh dari laporan tahunan masing masing bank. Metode analisis yang digunakan adalah analisis regresi panel dengan software Eviews 10 dengan model Common Effect Model (CEM) sebagai model terbaik .Variabel yang digunakan terdiri dari persaingan pasar produk (PCM), financial leverage (proksi DER) dan resiko pembiayaan (proksi NPF) terhadap stabilitas perbankan (doproksikan Natural Logarithm Z-Score. Hasil dari penelitian ini menemukan bahwa persaingan pasar produk tidak berpengaruh terhadap stabilitas bank. Sementara financial leverage dan resiko pembiayaan berpengaruh negative terhadap stabilitas bank syariah di Indonesia. Dari hasil penelitian ini, diharapkan persaingan bank syariah di Indonesia dapat selalu berjalan berjalan normal seperti saat ini. Selain itu, financial leverage dan resiko pembiayaan bank syariah berdampak buruk pada stabilitas perbankan. 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Abstract: Public sector banks in India play a vital role in the Indian economy, especially State Bank of India, as it is the largest public sector Bank in the country. However, gone are days when SBI was the only option for most of the people in India. With emergence of Private Sector Banks and other Public sector Banks, customer satisfaction plays an important role now a days. This research is all about finding the Factors affecting customer satisfaction in public sector banks with special reference to State Bank of India. Keywords: customer satisfaction in banks. State Bank of India, Banks in India, public sector banks customer satisfaction.

Purpose This paper aims to investigate the impacts of financial development through commercial banks on poverty conditions in India. Design/methodology/approach Using unbalanced panel data for Indian states and union territories from 1973 to 2004, and applying the generalized method of moments estimation, the author estimates models in which the poverty ratio is explained by financial inclusion and financial deepening for public sector banks and private sector banks, respectively. Findings The results show that financial inclusion and deepening have statistically significant negative relationships with the poverty ratio for public sector banks, but not for private sector banks. In addition, the coefficients of the interaction term between financial inclusion and deepening are estimated to be negative and statistically significant in most cases of public sector banks. Considering the positive impacts of financial inclusion and deepening on poverty reduction, this result implies that promoting breadth and depth of public sector banks could have a synergistic effect on poverty reduction in India. Originality/value First, unlike previous studies, the author applies both the numbers of bank branches and accounts as the measure of accessibility and usage of banking services. Second, using the interaction term between financial inclusion and deepening, the author empirically analyzes whether, and to what extent, the breadth and depth of the banking sector interact with each other in the process of poverty reduction. Third, the author divide the Indian commercial banks into public sector banks and private sector banks and compares their impacts of financial inclusion and deepening on poverty conditions.

Commercial banks are financial institutions that perform the functions of accepting deposits from the general public and giving loans for investment with the aim of earning profit. These banks play a key role in the growth and development of an economy. In India, commercial banks are broadly classified into public sector commercial banks, private sector commercial banks, and foreign commercial banks. In the present study, the researchers have made an attempt to examine the financial performance analysis of public sector and private sector commercial banks in India. The study covers the top five public sector commercial banks and the top five private sector commercial banks. The study is based on secondary data extracted from books, journals, financial statements of the banks under study, and other websites. The study period is 5 years—from March 2019 to March 2023. Financial performance and Market capitalization parameters along with key banking ratios were used for the analysis and ajudgmental sampling technique was used for selecting the sample.

This study examines the determinants of systemic risk for banks in India. The independent variables considered for the study include the sector, bank size, return on assets, beta, leverage, capital adequacy, non-performing assets, price to book value, deposits, loans & advances, investments, net interest income, and non-interest income. A mixed panel regression model was applied, with bank fixed effects and year random effects.The results of the study indicate that public sector banks have a much higher level of systemic impact than private sector banks. Further, the determinants of systemic impact are different for public sector and private sector banks. The systemic impact of public sector banks was positively related with size and negatively related with price to book value ratio and investments to total assets ratio, while the systemic impact of private sector banks was negatively related with return on assets and positively related with beta and net interest income to total funds ratio.

The banks in India have over 67,000 branches located across the country. All these are classified into two major categories, nonscheduled banks and scheduled banks. Scheduled banks includes commercial banks and the co-operative banks. The public sector banks are accountable for more than 78 percent of total banking industry in India. Even though private sector banks came later into the market, due to their customer servicing and easy banking features they are also competing equally with already existing public sector banks. so it is very essential to analyze how their financial performance is influenced by number of factors which willfurther suggest them where they need to concentrate more. in this article we have analyzed the correlation between return on total assets and other financial variables of selected private and public banks in India.

The banking sector has incorporated emerging changes to meet customer requirements and enhance growth.Merger and acquisitions are one of the major changes in the banking industry. Mergers and acquisitions havecreated scope for the adoption of disruptive inventions in banking technology. The adoption of financial technology(FinTech) over recent years has changed the landscape of Indian public sector banks. These disruptive innovationsimprove the performance, efficiency, and quality of services of public sector banks. Technological innovation inbanking has increased the competency level of public sector banks. Customers are interested to adopt thesedisruptive inventions because the electronic mode is having more scope and is convenient for them. This studyidentifies the financial progress and inventions in the banking sector. The study aims to know the changes broughtby disruptive technologies on the services of public sector banks

The banking sector has incorporated emerging changes to meet customer requirements and enhance growth.Merger and acquisitions are one of the major changes in the banking industry. Mergers and acquisitions havecreated scope for the adoption of disruptive inventions in banking technology. The adoption of financial technology(FinTech) over recent years has changed the landscape of Indian public sector banks. These disruptive innovationsimprove the performance, efficiency, and quality of services of public sector banks. Technological innovation inbanking has increased the competency level of public sector banks. Customers are interested to adopt thesedisruptive inventions because the electronic mode is having more scope and is convenient for them. This studyidentifies the financial progress and inventions in the banking sector. The study aims to know the changes broughtby disruptive technologies on the services of public sector banks.

The banking sector of India is one of the fast-growing sectors and considered as a main pillar of Indian Economy. Indian banking sector helps to maintain a healthy financial system and a well growth economy. The banking sector is becoming more complex day by day Hence, performance evaluation, supervision and monitoring of financial statements of Banks is compulsory to ensure the stability of the economy. As the public sector banks comes under the government undertaking, they have to work more to provide better services than private sector banks as they work for customer welfare more than the profitability while on the side public sector banks serves for profit motives. Financial performance of banks helps to review banking errors and regulations related to banking sector. Financial performance measurement is a strategy to provide a platform for improvement and best decision making. This paper is an attempt to analyze and compare the financial performance of selected public & private sector banks of India using some important financial parameters. The study is based on secondary data that were collected from annual reports of the banks. In this study some quantify metrics and descriptive analysis have used to evaluate the actual health position of the selected public & private sector banks. The uses are based on the importance of parameters on financial basis.

Fundamental analysis is a way of scientific analysis as it tries to estimate the intrinsic worth of the company. Fundamental analysis pays attention to assess the financial performance and strength of a company in terms of Debt-equity ratio, Profit margins, Dividend payout, Earning per share, Sales penetration, Market share, Interest, Asset and Dividend coverage, Product and Market innovation and the Promoters track record. The study is purely based on secondary data. This study covers a period of seven years from 2000-2007. The researcher has selected 7 Public Sector Banks and seven Private Sector Banks using convenient sampling technique.This study reveals that the financial performance of Andhra Bank and State Bank of India is highest and stable among the selected public sector banks during the study period. It indicates the financial strength of these two banks and these banks are fundamentally strong among the selected public sector Bank. On the other hand, among the selected private sector banks Kotak Mahindra Bank, IDBI, HDFC and Federal Banks performs well and these banks are fundamentally strong among the selected Private sector banks during the study period. The comparative fundamental financial analysis shows that, the public sector Banks performance is good and better than the private sector banks.

Banking sector promotes balanced regional development in the country by making necessary financial structure and funds available for the backward areas. It also promotes primary sector by providing timely credit to agricultural farmers. It also enhances standard of living of the people by providing loans to customers for purchase of houses, consumer goods, electronic goods etc. Hence, it has become necessary to study the performance of the Banks in India because if the performance of the banks is positive, it can result into positive growth in economy. Thus, the present study has been undertaken with an objective to study financial performance of the Public as well as Private Sector Banks in India. The objective of the study is to analyze the performance of Public and Private Sector Banks in India for the duration of 5 years i.e. 2015-16 to 2019-20. It can be concluded from the study that there has been significant difference in performance of the selected public and private sector banks in India during the study period. For the purpose of the study 6 variables have been selected and it can be concluded that the selected public and private sector banks differed from one another in case of all the variables. Hence, it can be said that despite the difference in various variables of the selected public and private sector banks have had been almost same during the study period.

Banking sector is one of dominant sector and represents growth and development of the economy. The sector has been one of the top performers in stock market. Indian Stock Market experienced great volatility during the period of 2007-2008. The study is about the ownership structure and risk in Indian banks which they encountered during the period of slow down in India. This paper examines the effect of ownership on performance and risk of commercial banks in India during the period 2000-2009. The study would examine whether there exists any significant difference in the performance and risk among Public and sector banks and effort has been made to evaluate the performance of bank before and after the period of 2007-2008 to evaluate and understand the ground reality in Indian banking sector. The study investigated that whether any significant difference exists in the performance and risk of ownership groups of private & public banks in India. Regression results would be used to examine the association between the size of the banks and non-performing loans, and between demand deposits & risky loans.

Public sector banks in India have always been viewed as vehicles of economic and social development. These institutions reach out to people of all sections across the country and offer banking services even if they have to compromise on profitability. Most of the social schemes for poverty alleviations, livelihood, skill development, financial inclusion, etc., are channelized through public sector banks. However, their capability is severely limited due to burgeoning non-performing assets. Considering the importance of public sector banks for the economy of the country, the government often recapitalizes them so that banks may survive the threat of closure. However, bank recapitalization serves as Band-Aid while the underlying sickness continues to spread. This article examines the policy concerns vis-à-vis bank recapitalization and suggests corrective pathways. Factors leading to unremitting capital erosion in banks have been diagnosed and efforts have been made to figure out why previous attempts at recapitalization have failed to strengthen and transform the banking system.

This study examines the cyclical behavior of both the public and private sector banks in India with a focus on non-performing assets. The motivation behind this study is to find out whether non-performing assets of public sector banks and private sector banks in India exhibit procyclical behavior. Pearson correlation coefficient results suggest countercyclical behavior of gross non-performing assets and current state of economy in both public and private sector banks. The study also employed multiple regression analysis which shows that all bank specific variables have significant effect on gross non-performing assets in public sector banks while macroeconomic variables are found to be insignificant in presence of bank specific variables. In case of private sector banks, current state of economy is found to be significant in presence of bank specific variables with negative sign. In another model, which includes only macroeconomic variables, economy wide fluctuations and inflation are found significant in both public and private sector banks in India.Journal of Business and Management Studies Vol.1(1) 2016: 14-25

The Public sector and private sector banks in India have evolved in terms of productivity and performance since its inception, immensely contributing to the economy. These banks have become an undivided part of the entire banking industry of the country. State Bank of India, as the market leader in the public sector bank and HDFC Bank Limited as the fastest growing leading private sector bank is competitively challenging each other developing healthy business environment. Using their own strength and weakness both the banks are functioning with an objective of providing seamless, fast and safe financial services to the citizens of the country. Banking is the mental labour-based industry, as it is completely depending upon the cost and the productivity of its employees. The research paper attempts to compare the cost and productivity of the employees of these two banks (as a representative from public and private sector banks) for which the data of last ten financial years have been taken as a appropriate sample for the study. Various parameters and ratios with proper analysis and interpretation have been highlighted to measure the cost and productivity of the employees of the respective banks. The data collected also enable the researchers to find out the variation between the employees cost and productivity of these banks.

The objective of this paper is to perform comparative analysis of the financial performance of 5 public and 5 private sector banks of India over a period of five years i.e. (2008-09 to 2012-13). For this purpose, CAMEL approach has been used. CAMEL is an acronym for measures Capital adequacy, Assets quality, Management soundness, Earnings, and Liquidity. Out of five, two measures are taken for analysis i.e. Capital Adequacy and Earnings Capacity. Ten commercial banks were selected purposively for the study. The ratios depicting the CAMEL parameters were calculated based on the publicly available information published at Reserve Bank of India, Indian Bankers’ Association, annual reports of respective banks and Moneycontrol.com. T Test has been applied to test four hypothesis and findings have been statistically counted. From the aforementioned, summarized findings, we can clearly note that private sector banks do well in terms of both indicators of financial performance. Private sector banks capital adequacy is more than public sector banks. Private sector banks earn more profit margin than public sector banks. It is found that public sector banks provide more net worth to the shareholders with compare to private sector banks.

The performance of the banking sector is significant for any economy. The growth of a nation relies significantly upon efficient and optimum utilization of resources and also on operational efficiency of various sectors of an economy, of which the banking sector is a critical part. Banking system strengthens the stimulation of capital formation and provides liquidity. Indian banking sector comprises private, public, rural and foreign banks. In India, public sector banks are encountering challenges from private sector banks and are under constant pressure to perform better. Hence, this study endeavors mainly to analyze and compare the financial performance of the private and public banking sector by using CAMEL rating approach and for this purpose total of fourteen banks, representing the private and public, have been selected. The selected sample are the market leaders and have the highest market capitalization in the capital market. Overall, the paper aims to measure and compare the financial performance of private and public sector banks by employing CAMEL approach on their audited financial reports of eight years period i.e. (2011–2018). The ratios considered for this analysis includes Capital Adequacy (CA), Asset Quality (AQ), Management Soundness (MS), Earnings and Liquidity (LR). This study devised ranking method based on averages of various ratios and one way annova test is applied to find out statistical significance difference amongst groups. Results shown that private sector banks are better performers compare to Public sector bank. The overall results signify that the performance of private sector banks has improved because of the implementation ofmodern technology banking reforms and recovery mechanism.

Abstract The Reserve Bank of India has put 11 public sector banks under prompt corrective action and is planning to put three more where public sector banks constitute 68.9% of the total asset of the Indian banking industry based on 2018 figures; this raises a genuine concern for the financial health of the Indian banking sector as a whole. Under these considerations, this study is conducted to estimate the survival of banks based on ownership and size and uses the Cox proportional hazards model. This study has not found any significant difference in the failure risk of both public and private sector banks based on ownership. However, the study found a significant difference in the failure risk of banks based on size. The smaller banks are indeed at a higher risk of failure than larger banks. The findings of this study can be used to create an early warning system for smaller banks in India.

The present study attempts to examine the impact of merger announcements on shareholders’ wealth of respective banks in the Indian banking sector. The study considers 13 mergers which include the merger of both public sector and private sector banks. Event Study Methodology has been used for the analysis purpose. The study uses both a one-factor model and a two-factor model to calculate the cumulative abnormal return in various time windows. The notable findings of the study demonstrate that the market reaction towards the merger announcement is negative in both the public and private sector banks. The impact on public sector banks is more compared to the private sector banks as the resulting Cumulative Abnormal Return (CAR) values are negative and significant. Contrary to the above findings, the shareholders of Kotak Mahindra Bank and ING Vyasa Bank have gained wealth as a result of the merger as the market has reacted positively to the merger announcement.

Purpose – This paper aims to analyze, using the bank-level data for India from 1991-2007, the effect of financial sector liberalization on the availability of credit to the private sector. The authors specifically ask whether public and private banks deployed resources freed up by reduced state preemption to increase credit to the private sector. Design/methodology/approach – The authors use bank-level data for India from 1991-2007 and difference in difference estimates to analyze how state ownership of banks affected the allocation of credit to the private sector post liberalization, and additionally how the size of fiscal deficit affected this allocation. Findings – The authors find that post liberalization, public banks continued to allocate a larger share of their assets to government securities, or held more cash, than private banks. Crucially, public banks allocated more resources to hold government securities when fiscal deficit was high. The authors rule out profit maximization, need to hold safer assets or the lack of demand for private credit as the possible reasons for the preference of the public banks to hold government securities. The authors suggest that moral suasion or “laziness” is consistent with this behavior. Originality/value – Our findings suggest that in developing countries, with fewer alternative channels of financing, government ownership of banks, combined with high fiscal deficit, may limit the gains from financial liberalization.

There is a growing body of research that examines the micro and institutional implications of bank globalisation, looking at things like profitability, expenses, the net interest margin and other performance indicators. The present paper describes the link between globalisation and the banking system in association with the IT sector. Despite the fact that domestic banks are less efficient, the introduction of international banks has boosted the efficiency of the banks. On the other hand, increasing IT expertise shows that depicts the best performance in the banking system. It is further found that the impact of globalisation is preferably dependent on the institutional regime and regulatory framework of India. Private banks are performing better in comparison to public sector banks. Also, the private sector banks are much more techno-friendly than the public sector banks in India. The banking system is being centralised because of the IT sector and the increment in its efficiency has been observed.

The present paper has been conducted to examine the comparative relationship of two variables namely, deposits and credit deployment of public sector and private sector banks during the period from 2007 to 2021. For analysis purpose, the study has been used secondary data and to analyze it, a number of techniques, namely, mean, standard deviation, coefficient variation, compound annual growth rate and credit-deposit ratio have been used. The study found that the CAGR of total credit of private sector banks is 16.63 percent which is higher than public sector banks which has just only 10.64 percent. The findings of the study reveals that the credit deposit ratio of private sector banks is higher than public sector banks during the study period. On the basis of analysis, the study further found that the private sector banks have highest CAGR in case of the population group where distribution of credit as compared to public sector. Overall, the study found that the performance of private sector banks is better than public sector banks as per given variables during the study period. Therefore, the study recommends a number of constructive measures to public sector banks for the improvement in deposit and credit deployment schemes in the future. Keywords: Banking, Credit, Deposit, Deployment, CAGR, Standard Deviation.

Purpose The purpose of this paper is to investigate the value relevance of segment information for both public and private sector banks in India. In doing so, this paper examines a rapidly developing economy and perhaps its most critical sector during this period of strong economic growth. Design/methodology/approach In this study uses the simplified Ohlson model, for a sample of 136 private sector and public sector banks for the period 2007-2010 in India. Findings The paper finds that public sector banks have higher share prices, higher earnings and more equity compared with private sector banks. Segment earnings data is highly value relevant for both sectors; however, segment equity data is only marginally value relevant for Indian banks. The number of segments is also value relevant and associated with higher share prices. Originality/value The results of this study contribute additional evidence to the literature on segment reporting by studying the effect of adoption of segment reporting in an emerging market. Findings from the paper are particularly relevant as India is currently in the process of changing its segment reporting requirements and moving to an IFRS-based segment standard.

The study assesses the employee commitment in the public and private banks and finds the difference in employee commitment with regard to all the three components of employee commitment i.e. affective commitment, normative commitment and continuance commitment in the public and private banks. The primary data has been collected from 203 employees through a structured questionnaire of employee commitment that measures affective, continuance and normative commitment. The t-test has been used to compare the three components of employee commitment. It was found that the employee commitment of public sector banks is better than private banks.

This article aims to shed light on misconceptions regarding disparities in Techno-Job Stress among bank employees across public and private sector besides addressing male and female demarcation aspects. The present study adopted explanatory research design with qualitative research approach. The study focused on primary data sources and gathered through a structured questionnaire with five point scale which was administered among the employees of selected public and private sector banks. The study considered a total of eight banks which includes the top four public sector banks and top four private sector banks. The survey conducted with a sample size consisting of a total of 385 employees including both public and private sector banks. The study employed statistical tools like mean, standard deviation, one-way ANOVA and t-test. The findings of the study revealed that there is no significant variation of techno-Job stress found across public and private sector as well as between male and female employee disparity. The results of the study revealed that there is no significant variation in Techno-Job stress across employees of selected public and private sector banks and even gender disparity aspects.

Purpose The purpose of this paper is to quantify several measures to examine the determinants of profitability for the listed Indian banks. The authors include both public sector (PSUs) and private sector’s banks in the study. The authors have taken all the banks that are registered on the Bombay stock exchange (BSE) in the sample. This paper also intends to identify the association between the net profit margin (PM) and return on assets (ROA) with the several other independent variables of the Indian banking sector including private banks and public banks over the past six years starting from April 1, 2012 to March 31, 2017. Therefore, a sample of 39 listed banking companies and total 195 balanced observations are selected for the analysis purpose. Design/methodology/approach The authors have used profitability as a dependent variable represented by net PM, ROA and several financial ratios as independent variables. Financial statement and income statement of all listed banks were obtained from BSE and particular company’s website. Panel data regression has been analyzed with both the descriptive research techniques, i.e., fixed effects and random effects. The authors also verified both panel techniques with Hausman’s specification test, which is a widely used procedure for selecting a panel effect. The authors applied PP – Fisher χ2, PP – Choi Z-statistics and Hadri to testing whether the data set is free from unit root problem and data set is a stationary series. Findings Results imply that interest expended interest earned (IEIE) and credit deposit ratio (CRDR) reduced the profitability of private banks in India. IEIE, CRDR and quick ratio (QR) reduced the profitability of public banks in India, while cash deposit ratio (CDR) and Advances to Loan Funds (ALF) increased the effectiveness of public banks. Under the total banks IEIE, CRDR reduced the profitability, on the other side, CDR, ALF and Total Debt to Owners Fund (TDOF) increased the profitability of total banks in India. Under the dependency of ROA, CRDR and TDOF reduced the return of private banks in India, while CDR, ALF and QR enhanced the profitability of private banks. Originality/value No variables found significant under public banks while taking ROA as a dependent variable. Under the overall banking data, CRDR reduced the profitability. On the other side, capital adequacy ratio and ALF increased the profitability of total banks in India. The findings of this study will support policy creators, financial executives and investors in constructing investment decisions.

PurposeThe purpose of this paper is to explore the preparation level of Indian public sector banks for the implementation of Basel III. It is mandatory for public sector banks in India to make adequate preparations to comply with the Basel III international regulations.Design/methodology/approachThis study uses a modified questionnaire (Ernst & Young, 2013; AL-Tamimiet al., 2016) to examine the preparedness level of Indian public sector banks for implementing Basel III. Seven hypotheses are developed and tested.FindingsThe results show that Indian public sector banks are positively inclined toward Basel III, and the awareness level of Indian banks’ managers is adequate concerning Basel III. The banks have required resources for the proper implementation of Basel III, which is a prerequisite for its implementation. Banks know about the expected benefits that can be attained from implementing Basel III appropriately and banks are also aware of the high cost attached with Basel III. The capital adequacy ratio of public sector banks is above 11 percent, showing the banks’ readiness for Basel III.Practical implicationsThe public sector banks need to concentrate on revising the existing policies to sharpen their risk management practices. Moreover, improving the level of education on Basel III is still required and the results also support the importance of advanced technology and trained human resources at all level as a basic requirement for the implementation of Basel III. It can be achieved by the support of government, Reserve Bank of India (RBI) and other concerned agencies. The enforcement of Basel III will also create various challenges for Indian public sector banks, in terms of declining profitability, increasing capital requirements and nonperforming assets. That is why the impact of Basel III norms on Indian public sector banks cannot be undervalued.Originality/valueThe findings would assist the Indian public sector banks to know about their preparedness level for Basel III and what are the necessary actions to encourage Basel III implementation process. The present study would be important for regulators and decision makers in banks, as the main purpose of this study is to increase their awareness of Basel III norms. The result would also help the regulators regarding the corrective measures that should be taken by RBI in order to motivate the banks for enforcing Basel III.

Lending is a cruttial part of financial sector that is Banks/NBFCs in India. It is main revenue génération business of Bank/NBFCs. Financial Institution i.e. Bank and NBFCs used to borrow funds from the market i.e. from other institution & public and then lend the same again to its clients to gain profits to its owners/investors. There were 27 Public Sector Banks in India (Incl. SBI Associates Banks) before announcement of merger of some Banks by Union Govt. Of India in the year 2019 and there are multiple other Pvt. Sector Banks and NBFCs, co-operative bank and regional rurul bank which we studied in this paper. Lending business of the Banks/NBFCs is facing slowdown in recent years. Non-Performing Assets are increasing day by day which is creating big problem not only to financial sector i.e. Bank/NBFCs but also for other industries. In this paper we will systemtically review the literature/artiles already pubilshed on NPAs in India and to know the main reasons and factor which are resposible for rising NPA in financial institutions and to find out scope of further research on this topic.

With the initiation of the process of liberalization and reform of the financial sector, banking in India has undergone significant changes. The banking sector had to adapt rapid and radical changes. The environment became more challenging for Public Sector Banks as a good number of them survived merely by the grace of state protectionism and were administered in extremely inefficient manner which caused them to go to bankruptcies quite often. The employees of these banks with secured employment under the shield of all powerful unions were blissfully indifferent towards quality of performance particularly customer service and profitability of the bank. In face of the increasing competition where banking industry as a whole was striving to achieve greater efficiencies in their day-to-day operations, some of the Public Sector Banks actually confronted with existential crisis. The Public Sector bank under study - United Bank of India (UBI) was declared by 1999 as the one among ― the weakest in all the banks‘‘ by the Verma Committee set up by Reserve Bank of India. There was an urgent need for UBI to transform itself for bare survival and to meet the shifting requirements of the new turbulent environment.This case study narrates the transformation of UBI from one of ― the weakest in all the banks ‘‘ of India to a successful Public Sector Bank capable of providing better customer service which undoubtedly signifies improvement in the bank‘s work culture.

When choosing online financial transactions, security is a paramount concern of users. Three categories of banks in India, namely public, private and foreign banks, have a completely different focus on technology and capabilities. The study aims at investigating e-banking users’ perception with regard to online risk for public, private and foreign banks. Online risk perception for the abovementioned banks was assessed on three major risk parameters, i.e. security aspect, privacy aspect, and trust; using a multiple-criteria decision-making tool, called the Analytical Hierarchy Process (AHP). The outcomes indicate that security risk is paramount among various aspects of perceived risk, followed by privacy and trust concern. Moreover, public sector banks are perceived to be the safest in this aspect. Public sector banks are also considered to be benign in terms of privacy and trust. Given the general user’s perception of risk generated by all the three risk parameters taken together, public sector banks are perceived to be the most secure, followed by private and foreign banks. The findings of this study have various implications for both research and practice. Private and foreign banks in India may adopt appropriate marketing strategies to achieve a favorable perception. Various studies have been conducted earlier on these factors and their interrelationship, but limited research has been carried out to demonstrate the importance of each of these factors in relation to the other as perceived by the user. Moreover, the study quantifies factors in order of their importance.

Purpose – In today’s world, with increased competition, service quality has become one of the most popular areas of academic investigation. The purpose of this paper is to examine the impact of various service quality variables on the overall satisfaction of customers and compare the private and public sector banks using a sample from India. Design/methodology/approach – With the help of forward stepwise regression, the authors explain how a variety of variables are both negatively and positively influencing customer satisfaction. The authors collected data from 500 respondents in India; 250 of which were customers of private sector banks, and 250 of which were customers of public sector banks. The authors had a response rate of 65 percent. Findings – In the case of private sector banks, knowledge of products, response to need, solving questions, fast service, quick connection to the right person, and efforts to reduce queuing time were found to be the factors that are positively associated with overall satisfaction. Assistance to the customer, appearance, and follow up are negatively associated with customer satisfaction. On the other hand, in the case of public sector banks, knowledge of the product and fast service are the factors which are associated positively and appearance is the only factor that is negatively associated. Originality/value – The components of service quality that are positively associated are not the same in public sector banks as they are in private sector banks.