Mergers & Acquisitions : Indian Banking Scenario Source - Banking Events Update (December 2004 issue) The Indian financial system would be open to intense international competition with complete implementation of the provisions of WTO agreement on services (GATS) during the year 2005-06 when banks will be required to compete across the globe with multinational banks having greater financial strengths. The banks will also be required to strengthen their capital position to meet stringent prudential
Premium Bank Mergers and acquisitions
FRACTIONAL RESERVE BANKING Fractional reserve banking is a system under which bankers keep as reserves only a fraction of the funds they hold on deposit. This system has three features: • Bank Profitability By getting deposits at zero interest and lending some of them out at positive interest rates‚ goldsmiths made profits. The history of banking as a profitmaking industry was begun and has continued to this date. Banks‚ like other enterprises‚ are in business to earn profits. • Bank Discretion
Premium Money Fractional-reserve banking Central bank
Challenges to the Indian bank – Merger & Acquisition Abstract The new business environment mainly driven by globalization and liberalization has provided tremendous opportunity for the Indian banking industry to grow. The buoyant economy‚ deregulation and increasing consumer demand has led the banking industry growth in the recent past. But on the other hand it has also resulted in more competition and reduced margin that is forcing the Indian banks to look at consolidation as the means of increasing
Premium Mergers and acquisitions Bank Due diligence
THE BANKING INDUSTRY AND THE NIGERIAN ECONOMY POST-CONSOLIDATION By B. B. EBONG GROUP MANAGING DIRECTOR/CHIEF EXECUTIVE UNION BANK OF NIGERIA PLC ABSTRACT Against the backdrop of the role of banks as financial intermediaries and their function as the engine of growth of the economy‚ this paper examines the extent to which the banking industry has helped to stimulate economic activities in Nigeria and what the prognosis looks like in the post-consolidation era. The paper notes that the banking industry
Premium Bank Economic growth Fractional-reserve banking
CUSTOMER SATISFACTION IN INDIAN BANKING SECTOR By‚ Sushanta Chakraborty PGDM 1st year‚ SEC B Roll No. 57 INTODUCTION Business need to attract and establish a customer market and would need to retain it through satisfaction. That is the key to its business performance (Johnson et al. 2000). In order to attain this goal‚ a company should have a high satisfaction rate from its clients. The increasing competition
Premium Bank
Bank deposit market as part of a banking policy as a whole‚ whose main purpose is to attract the largest possible amount of financial resources at the lowest price‚ assist in the process of obtaining a bank deposit operations profit or create the conditions for a profit in the future‚ also performs several important functions in efficient operation of banks: maintaining the necessary level of liquidity‚ holding a flexible interest rate policy‚ the development of banking services and the quality and culture
Premium Bank Cheque Banking
management‚ financial performance Introduction Managing liquidity is one of the top priorities of a financial institution‟s assets and liabilities management. In the context of banking‚ liquidity‚ or the ability to fund increases in assets and meet obligations as they come due‚ is critical to the ongoing viability of the banking institution. Since there is a close association between liquidity and solvency of banks‚ sound liquidity management reduces the
Premium Bank Islamic banking Risk management
History of BANKing in pakistan Banking in fact is primitive as human society‚ for ever since man came to realize the importance of money as a medium of exchange; the necessity of a controlling or regulating agency or institution was naturally felt. Perhaps it was the Babylonians who developed banking system as early as 2000 BC. IT is evident that the temples of Babylon were used as ‘Banks’ because of the prevalent respect and confidence in the clergy. The partition plan was announced on June 3
Premium Pakistan Bank Fractional-reserve banking
According to Samuelson‚ “every central bank has one function. It operates to control the economy; supply of money and credit. “In the words of Vera Smith; “the primary definition of central bank is the banking system in which a single bank has either a complete or residuary monopoly of notes issue.” Kent defined it as “an institution which is charged with the responsibility of managing the expansion and contraction of the volume of money in the interests of the public welfare.” In Culbertson’s words
Premium Central bank Bank Money
“Interest Free Banking” is a fundamental concept derived from the Islamic form of banking. It operates with the primitive professional and ethical standards that exclude the “Muslims” from paying or receiving any kind of interest. This certainly does not mean that the revenue generating activities or money raving businesses are not encouraged. All of these business forms are greatly appreciated as far as they do not involve interest in any kind. There are a lot of financial tools introduced by the
Premium Bank Debt Islam