1. EMERGING SERVICE
SECTOR IN INDIA

2. PRESENTED BY
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EDUCATION – GOPAL V.
BANKING - JAY NAHAR
INFORMATION TECHNOLOGY – ISHAN PANDE
TELECOM – ABHINAV CANCHI
INSURANCE – AKSHAY RAMNANI

5. Lord Macaulay’s address to the British Parliament in 2
February, 1835:
"I have traveled across the length and breadth of India and I
have not seen one person who is a beggar, who is a thief.
Such wealth I have seen in this country, such high moral
values, people of such caliber, that I do not think we would
ever conquer this country, unless we break the very backbone
of this nation, which is her spiritual and cultural heritage,
and, therefore, I propose that we replace her old and ancient
education system, her culture, for if the Indians think that all
that is foreign and English is good and greater than their
own, they will lose their self-esteem, their native self-culture
and they will become what we want them, a truly dominated
nation."

8. Private Sector
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Liberalization.
Professional Courses.
Increase in Standard of Living.
Infrastructure Crunch.
Greater Variety.
Modernity.
Teacher Training.

9. Listed Educational Institutes
•15 such stocks traded on BSE and 7
on NSE.
•Evergreen stocks.
•Possible gain during downturn.
•Mutual Funds soon expected.
•Since 2000 100% FDI allowed.

10. Foreign Universities
• 2007- Bill presented in Parliament, Not approved.
• 2009- Modified. 2010- Cabinet’s nod.
• Why students go abroad?
• Better education, earn money, increased opportunities,
culture experience, status symbol etc.
• Why India?
• Prestige.
• Profit.

11. Universities planning to step in India
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Yale
Harvard
Boston
Duke
Georgia Tech
Virginia tech
Schulich School of Business
Middlesex university

12. Who will answer these questions?
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Will Foreign Universities retain the same identity?
What does bill offer for Indian students?
Will academic parameters be on par with those overseas?
Will they bring along top faculties?
Will it reduce brain drain?
Degree- Will it worth the same?
If hefty deposit, not taking profit back profit. Why invest?

13. Research
Infrastructure
Wider choices
Reduced Stress and
Pressure
Competition
Income for Government
Reduced brain drain
Faculty Crisis
Fear to Indian Universities
Prestige, Losing Identity
Cultural Clashes
Politicization of Education
Financial Loss

15. Meaning
• The Indian Banking Regulation
Act, 1949, defines the activity of a bank as
“accepting for the purpose of lending or
investing of deposits of money from the
public, repayable on demand or
otherwise, and withdrawable by
cheque, draft, order or otherwise”.

16. Kinds of banks
1.CENTRAL BANK
2.COMMERCIAL BANKS
3.DEVELOPMENT BANKS
4.CO-OPERATIVE BANKS
5.LAND MORTGAGE BANKS
6.EXCHANGE BANKS
7.UNIVERSAL BANKS

17. • WHICH WAS THE FIRST BANK TO BE SET UP IN
INDIA?

19. Functions of a commercial bank
1.ACCEPTING DEPOSITS
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2.PROVIDING LOANS
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a. Ordinary Loans
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b. Cash Credit
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c. Overdraft Facility
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d. Discounting Bills of Exchange

21. 2.PROVIDING LOANS
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a. Ordinary Loans
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b. Cash Credit
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c. Overdraft Facility
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d. Discounting Bills of Exchange

22. • 3. CREDIT CREATION
4. AGENCY FUNCTIONS
5. HELPING INTERNATIONAL TRADE
6. SUPPPORTING ECONOMIC DEVELOPMENT
7. FUNCTIONING AS A “LEAD BANK”
8. HELPING IN IMPLEMENTATION OF DEVELOPMENT
PROGRAMMES
9. CARRYING OUT CREDIT CONTROL POLICIES BY
THE RBI
10.INTERNET BANKING

23. •
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CORE BANKING
ATM FACILITY
ISSSUING CREDIT CARDS
VENTURE CAPITAL FINANCING
MERCHANT BAMKING
RETAIL BANKING
MUTUAL FUNDS
DEMAT ACCOUNT

27. ROLE OF COMMERCIAL BANKS IN THE
ECONOMIC SYSTEM
1. ENCOURAGING SAVINGS
2. MOBILISATION OF SAVIMGS FOR INVESTMENT
3. ACTING AS CHANNELS OF GOVERNMENT’S
MONETARY POLICY
4. RAISING THE RATE OF ECONOMIC GROWTH
5. EXTENSION OF THE SIZE OF MARKET
6. ASSISTING FOREIGN TRADE
7. RAISING EMPLOYMENT OPPURTUNITIES AND
REDUCING INCOME INEQUALITIES

33. Global Banking Trends
The current global macro-economic
situation is characterised by an unbalanced
economic recovery across advanced and
emerging economies, moderation in economic
prospects in 2011, high levels of unemployment
and inflationary pressures, and elevated levels of
government debt (Chart II.1).
Macro-economic risks have increased
substantially
In its September 2011 World Economic
Outlook, the International Monetary Fund (IMF)
has estimated a growth of 4.0 per cent for the
world economy as a whole during 2011, with
emerging and developing economies growing at
6.4 per cent and advanced economies growing only at 1.6 per cent. The estimate for advanced
economies of 1.6 per cent provided in September 2011 was lower than the estimate of 2.2 per cent

35. CREDIT CONTROL POLICY BY THE RBI
A.QUANTITATIVE CREDIT CONTROL
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1. BANK RATE
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2. OPEN MARKET OPERATIONS
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3.CRR
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4.SLR
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5.REPO RATE
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6.REVERSE REPO RATE

36. • WHAT IS THE PRESENT BANK RATE?

37. • 9.5%

38. • CRR?

39. • 4.75%

40. • SLR?

41. • 25%

42. • B. QUALITATIVE CREDIT CONTROL
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1. MARGIN MONEY
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2. CREDIT AUTHORISATION
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3. DIFFERENTIAL RATES OF INTEREST

43. ADVANTAGES OF A BANK ACCOUNT
1.MOBILISATION OF SMALL SAVINGS
2.CREATION OF INTEREST INCOME
3.SECURED DEPOSIT AND EASY WITHDRAWAL
4.OVERDRAFT FACILITY
5.MAKING BUSINESS TRANSACTIONS EASIER
6.SAFE TRANSACTIONS
7.FACILITIES OF ELECTRONIC CLEARING SYSTEM
8.LOAN FACILITIES AGAINST BANK DEPOSITS

44. BIBLIOGRAPHY
1.ELEMENTARY ECONOMICS- II
2.www.google.co.in.
3.www.wikipedia.org
4.COMPETITION SUCCESS REVIEW

45. EMERGING I.T
SECTOR IN INDIA

46. MEANING
• Information technology (IT) is defined as the
design, development, implementation and
management of computer-based information
systems, particularly software applications and
computer hardware

47. I.T IN INDIA
• The Indian software industry has grown from a mere US $
150 million in 1991-92 to a staggering US $ 5.7 billion
(including over $4 billion worth of software exports) in 19992000. No other Indian industry has performed so well
against the global competition.
• The growth in the service sector in India has been led by the
IT–ITES sector, contributing substantially to increase
in GDP, employment, and exports. The sector has increased
its contribution to India's GDP from 1.2% in FY1998 to 7.5%
in FY2012

50. REASONS FOR GROWTH
• LOW COST
• YOUNG WORKING POPULATION
• HIGHEST NO. OF ENGLISH SPEAKING
POPULATION
• LARGE & SKILLED MANPOWER
• RELIABILITY
• GOVERNMENT SUPPORT

51. • India accounts for around 28 per cent of IT
and BPO talent among 28 low-cost countries
• India has the second largest community of
software developers, after the U.S.
• Nearly 49% of the high-tech startups in
silicon Valley and Washington, D.C. are
owned by Indians or Indian-Americans

52. • The IT–BPO sector in India aggregated revenues
of US$100 billion in FY2011, where export and
domestic revenue stood at US$69.1 billion
and US$31.7 billion respectively, growing by
over 9%.
• According to NASSCOM, India can reach $ 130
Billion in IT revenue by 2015, with CAGR of 14%.
With this, it would be contributing to 7% of
annual GDP and creating 14.3 million
employment opportunities.

53. CONCLUDING REMARK
• The IT has potential of not only accelerating the growth in
the Indian economy but also promoting the broad-based
economic development.
• Government needs to take specific measures to promote IT
use and to make it accessible to every section of the
society.
• The IT should be promoted to be used as a tool for raising
the living standards of the common people and enriching
their lives.
• IT literacy needs to be enhanced manifold among the
population at large through conventional and nonconventional means, so that ordinary people can begin to
use it to derive benefits, both economically and socially.

55. 
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Communication all over the world has
progressed rapidly and an important
component of this progress is
development of telecommunications.
Telecommunications is transmission of
information over significant distances
to communicate.
Telecommunications include
telephone and internet.

56. 
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India’s telephone network is 2nd largest
in the world.
Tele density, which is number of
telephone or mobiles connection for
every 100 individuals within an area, is
about 79.28%.
The growth of the telecom industry is
expected to generate employment for
about 10 million people by 2013.

57. 
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Indian telecom industry underwent a high
pace of market liberalisation and growth
since 1990 and it is world’s the most
competitive and one of the fastest growing
markets.
India’s telecom sector has lowest tariffs in the
world due to hyper-competition in its market.
The Indian telephony(fixed and mobile) is
dominated by private and state enterprises.
State enterprises such as BSNL and MTNL
dominated the market till 1990.
After structural changes private
enterprises, such as
Reliance, Bharti, !dea, were allowed in this
market.
Telecom Regulatory Authority Of India
regulates the telecom sector.

58. 
After structural changes in the telecom industry
private enterprises, such as
Reliance, Bharti, !dea, were allowed in this market.
Later, on granting of 2G licences many smaller
telecom enterprises entered telecom market.

59. 
According to Census
2011,
there are 24.6 crore
households
in the
country of which15.5 crore
have
a telephone connection. There
are 13.1 crore households with only
mobile and just under a crore houses
with only fixed line phones. Nearly 1.4 crore
houses have both mobile phones and a fixed
line mostly of which are in the urban areas.

61. INTERNET:
 The Census also revealed that while 6.3 per cent
of households have either a computer or a
laptop without Internet, about 3.1 per cent have
the device with Net connection.
 There are 155 Internet Service Providers (ISPs)
as of February 2012, which offer broadband
services in India, with BSNL and MTNL
dominating the market and other private
players following them.
 National Internet Exchange of
India(NIXI), routes the internet traffic for India.

62. 
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Major problems of internet segment is lower
average bandwidth of broadband
connections.
The average download speed in India is
around 256kbit/s whereas international
average is around 5.6Mbits/s.

63. Major problems of telecom sector:
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Hyper competition in the telecom market has
its own problems, like too low prices for
telecom products and not being able to meet
its cost for providing services.
Too much government intervention.
Corruption in the telecom sector in allotting
of licences.

64. Recent Developments:
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M-Commerce: Many mobile operators are
offering micro-finance services along with
banks.
Many independent tower companies have
started operations for providing networks
services which face stiff
competition from telecom
companies which have their own
tower companies.
Manufacturing of complete range
of wire line telecom equipment.

65. 
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3G and 4G services.
Mobile number portability.
Raising of FDI ceiling
in telecom
industry from 49% to 74%.

68. 
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The insurance industry in India has progressed
significantly over the last decade, which is amply evident
in the strong growthwitnessed in the insurance
premiums, strengthened outreach, increased number of
players, product innovation and its enhanced regulatory
framework.
A combination of these factors, along with strong
economic growth in the last few years,has positioned
India as a regional insurance hub and a rapidly
developing financial center
The insurance sector has become a major contributor to
economic development, especially to infrastructure
development.
This growth has been fueled by India’s multiplying
consumer class, rising insurance awareness, increasing
domestic savings and investments

69. 
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The life insurance sector grew at an impressive
CAGR of 25.8% between FY03 and FY09, and
the number of policies issued increased at a
CAGR of 12.3% during the period 2010-2011
There are 23 players in the sector(1 public and
22 private).
The Life Insurance Corporation ofIndia (LIC)
is the only public sector player, and held
almost 65% of the market share in FY10

70. 
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Life Insurance - Insurance guaranteeing a
specific sum of money to a designated
beneficiary upon the death of the insured, or to
the insured if he or she lives beyond a certain
age.
Health Insurance - Insurance against expenses
incurred due to illness of the insured.
Liability Insurance - This insures property
such as automobiles, property and
professional/business mishaps

71. 
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Insurance has had a very positive impact on
India’s economic development. The sector is
gradually increasing its contribution to the
country’s GDP
Contribution in infrastructure
Contribution in employment
Contribution in foreign business
Contribution in FDI

72. 
The sector of life insurance has witnessed immense growth in the past
few years. Today, it is second only to banks for mobilized savings and
forms a formidable part of the capital market.
The life insurance sector controls:
* More than Rs. 33,633 crores of deployed capital
* Over Rs. 16,18,544 crores of managed assets
* Investments in infrastructure exceeding Rs. 2,20,866 crores

Another indication of the sector's growth is its infrastructural strength.
Today the life insurance sector comprises of:
* Over 11,082 branches
* More than 23.45 lakh agents
* 2.48 lakh direct employees and growing significantly
* 34 crores In-force policies

73. 
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India is poised to experience major changes in its
insurance markets as insurers operate in an
increasingly deregulated and liberalized
environment.
However, despite the liberalization in the
insurance sector, public sector insurance
companies are expected to maintain their
dominant positions, at least in the foreseeable
future.
Nevertheless,given the enormous potential of the
Indian market, it is expected that there will be
enough business for the industry entrants

74. THANK YOU