INDIAN BANKING

INDUSTRY ANALYSIS

The banking scenario in INDIA has been

changing at a very fast pace from being just the
borrowers and lenders traditionally, the focused
has shifted to more differentiated and
customized products/services provider from
regulation to liberalization in the year 1991,
from planned economy to market.
Economy, from licensing to integration with
global economics, the changes have been swift.
All most the sectors operating in the economy
was affected and banking sectors no exception
to this. Thus the whole of the banking system in
the country has undergone a radical change.
Lest us see how banking has evolved in the
past 57 years of independence.
After independence in 1947 and proclamation
in 1950 the country set about drawing its road
map for the future public ownership of banks
was seen inevitable & SBI was created in 1955
to spearhead the expansion of banking into
rural INDIA & speed up the process of
magnetization.
Political compulsion bought about
nationalization of bank in 1969 and lobbying by
bank employees and there unions added to the
list of nationalized banks few year later. Slowly
the unions grew in strength, while bank
management stagnated. The casualty was to
the customer service was declined complaints
increased and bank management was unable to
item the rot. In the mean time the technology
was becoming a global phenomenon lacking the
vision of the future and the banks erred badly in
opposing the technology up gradation of banks.
They mistakenly believed technology will lead
to retrenchment eventually the marginalization
of unions.

The problem faced by the banking industry

soon surfaced in their balance sheets. But the
prevailing accounting practices unable banks to
dodge the issue.
The rules of the game under which banks
operated change in 1993. norms or income
recognition, asset and classification and loan
loss provisioning were put in the place and
capital adequacy ratio become mandatory. The
cumulative impact of all these changes has
been on the concept of state ownership in
banks. It is increasingly becoming clear that the
state ownership in bank is no longer
sustainable.
The amendment of banking regulation act in
1993 saw the entry of new private sector banks
and foreign banks...

Methodology
“EXECELLENCE” college is actually the
“college of Excellency” where teachers of
“Economics Dept.” has provided us the
opportunity to do the training. I did my
training in the ALLAHABAD BANK chola
branch, Bhopal. For doing training in the bank
firstly I have concerned the branch manager
of ALLAHABAD BANK, because of him only I m
able to do my training in such a good bank. I
have chosen only bank for my training
because I have to peruse my career in bank
only. And it was a very good experience to do
the training in the bank; it was very
interesting to know the working of the bank.
Basically training which was appointed to us
was of 15 days and in these days I have tried
my level best to grab maximum things in
such a short span of time.

On the very first day of my training I was

told about the history of Allahabad bank
along with the challenges faced by it and how
they were able to over come the competition
against them and maintained there market
position with good creditworthiness and
goodwill. This was about the theatrical
knowledge provide to us they have also given
practical knowledge with the theory the
practical one include opening of new account
under this I have learnt what are documents
required for opening an account that
includes:-Residential proof, Identity proof,
Photos and a trusted and a good person
having good image in the bank and is
currently running his account in the bank
which is 6 months older account bank holder
in the same bank.
Along with that if you want that your account
must continue in the bank for that you have
to keep at least 5oors in your account.

And if you want cheque book then you must

have at least 1000rs balance in the account
and regular entry in the passbook should be
done.
After opening of the account I have also
learned about the different type of loans
provided by the bank to its customer, along
with the procedure of getting the loan
sanctioned guardian and parents act as a
guarantor. Then I have learnt about the
various products and schemes launch by the
bank for different groups of the customer
they may belong to high class or low class
along with the interest rates and the facilities
provide to them under the schemes. The
bank has also started many schemes for the
farmers the also provide loan to them at
reasonable rates to help them. And they also
told us about the different criteria for giving
loan to there different groups of customers
like for an government employee it is easy to
get loan and a business he has to give lot of
things to prove him self that he is eligible for
the loan.

After they have told us how the ATM cards

are issued and if it is lost then how we can
get a new one. And they have also told us
about the E BANKING there advantages being
a costumer. And likewise how these15 days
are over I don’t know and then on last day I
just gone there for collecting my training
certificate.