3. They do not understand the concepts like
INFLATION
INTEREST RATE
RISK DIVERSIFICATION AND
COMPOUNDED INTEREST
MICR NEFT RTGS IFSC
Fact
76% Indians not financially literate
-says S&P survey

4. CHECK THIS CHEQUE

5. Banking
The Reserve Bank of India Act, 1934 and the Banking
Regulation Act, 1949, govern the banking operations in India.
Banking Regulation Act of India, 1949 defines
Banking as “accepting, for the purpose of lending or
of investment of deposits of money from the public,
repayable on demand or otherwise or withdrawable
by cheque, draft order or otherwise.”

6. History Of Banking
Banking begins with the first prototype banks
of merchants of the ancient world.
Began around 2000 BC in Assyria and Babylonia.
Lenders of ANCIENT GREECE started
accepting deposits and changed money.
In Italy it began in 11th century.
Italy was a biggest Europion trade center.
Here banking started because of Circulation of different currency.

7. TYPES
OF
BANKS
MEANING
OF
BANK

8. Types of banks

9. KSFC
Different Types Of Banks
Types of Banks
Central Bank (RBI)
Commercial Banks
Term Financial
Institutions
State Finance
Corporations
(SFCs)
Indian Financial
Institutions
IFCI
NABARD
SIDBI
Public
Sector
Private
Sector
Foreign Co-
operative
Banks
Regional
Rural
Banks
SBI
PNB
BOB
HDFC
Bank
UTI Bank
ICICI Bank
Citibank
HSBC
PMCS
GCB
CCCB

10. Commercial Banks
• Commercial banks comprising public
sector banks, foreign banks, and private
sector banks represent the most important
financial intermediary in the Indian
financial system.
The changes in banking structure and
control have resulted due to wider
geographical spread and deeper
penetration of rural areas, higher
mobilization of deposits, reallocation of
bank credit to priority activities, and
lower operational autonomy for a bank
management.
Public &
Private Sector ,
Foreign Banks
Penetration
Of Rural
Areas
Mobilization
Of Deposits
Loans
Credit
SBI

11. 11
Cooperative Bank
– These banks play a vital role in mobilizing savings and
stimulating agricultural investment. Co-operative credit
institutions account for the second largest proportion of
44.6% of total institutional credit. The co-operative sector
is very much useful for rural people. The co-operative
banking sector is divided into the following categories.
Punjab And Maharashtra Co-op bank
Citizen Credit Co-op bank
State Co-operative Banks
Central Co-operative Banks
Primary Agricultural Credit Societies
Land Development Banks
State Land Development Banks

12. 12
Development Banks
– A development bank may be defined as a financial
institution concerned with providing all types of financial
assistance to business units in the form of loans,
underwriting, investment and guarantee operations and
promotional activities-economic development in general
and industrial development in particular
– A term lending institution. It is a multipurpose financial
institution with a broad development outlook.
– The industrial finance corporation of India, the first
development bank was established in 1948. Subsequently
many other institutions were set-up.
Ex. IDBI, IFCI, SIDBI

13. 13
Functions of Development Banks
– Fostering industrial
growth
– Providing Long term
assistant
– Balanced development
– Providing Promotional
services
– Infrastructure building
– Entrepreneur
Development
– Fulfilling Socio
economic objectives

14. 14
Investment Banks
– Meaning: Financial
intermediaries that acquire
the savings of people and
direct these funds into the
business enterprises
seeking capital for the
acquisition of plant and
equipment and for holding
inventories are called
‘investment banks’.
– Features: Long term
financing, Security,
merchandiser, Security
middlemen, Insurer,
Underwriter
– Functions: Capital
formation, Underwriting,
Purchase of securities,
Selling of securities,
Advisory services, Acting
as dealer.
Investment
Bank
Cross-Border
Transaction
Middlemen
Long Tem
Financing
M&A
Valuation and
Opinion
Underwriting

15. 15
Merchant Banks
• Meaning: Institution that
render wide range of services
such as the management of
customer’s securities,
portfolio management,
counseling, insurance, etc are
called ‘Merchant Banks’.
• Functions: Sponsoring
issues, Loan syndication,
Servicing of issues, Portfolio,
management, Arranging fixed
deposits, Helps in merger&
acquisition
• SBI IN 1972

16. DON’T GET CONFUSED !!!

17. TYPES-SHAREHOLDERS-PLAYERS

18. 4Types of banking services
INDIVIDUAL BANKING
-Saving
-Debit / Credit Card
-Insurance
BUSINESS BANKING
-Business Loan
-Merchant Services
-Checking Accounts
-Cash Mgmt
DIGITAL BANKING
-E-Statement
-Online Bill Pay
-Text Alert
LOAN
-Personal Loan
-Home Loan
Banking
Services

19. TOP 3 Banks In India
-Serving customers since 1955.
-Net Profit for 2014 Rs.13101.57 Cr.
-Serving customers since 1994.
-Net Profit for 2014 Rs.7,488 Cr.
-Serving customers since 1894.
-Net Profit for 2013 Rs.4,748 Cr.

20. The Role of RBI
• The Reserve Bank of India (RBI) is
the central bank of India, and was
established on April 1, 1935 in
accordance with the provisions of the
Reserve Bank of India Act, 1934.
Since its inception, it has been
headquartered in Mumbai. Though
originally privately owned, RBI has
been fully owned by the Government
of India.
• RBI is governed by a central board
(headed by a Governor) appointed by
the Central Government.RBI has 22
regional offices across India.

21. TYPES
OF
BANKS
SERVICES
OFFERED BY
BANKS

22. A. Bank B. Mutual funds
C. Tin Can in your basement or
Under your bed
If you had
Rs.1,00,000 where
would you save
it until you
needed it?

23. Common Banking Products Available
Debit & Credit Card
Automatic Teller Machine
Electronic Funds Transfer (EFT)
Tele-banking
Mobile Banking
Internet Banking
Deposits, Loans, OD,
Insurance, promissory notes, drafts
Trading of shares, Underwriting, Portfolio mgmt

24. BASEL Framework
 Bank for International Settlements (BIS)
 Established on 17 May 1930, the BIS is the world's oldest
international financial organization. It has its head office in Basel,
Switzerland.
 BIS fosters co-operation among central banks and other agencies in
pursuit of monetary and financial stability.
It fulfills this mandate by acting as:
 A forum to promote discussion and policy analysis among central
banks and within the international financial community.
 A centre for economic and monetary research
 A prime counterparty for central banks in their financial transactions
 Agent or trustee in connection with international financial
operations

25. REVOLUTIONS
SERVICES
OFFERED BY
BANKS

26. E-Banking
Many banks have modernized their services with
the facilities of computer and electronic
equipments.
The electronics revolution has made it possible to
provide ease and flexibility in banking operations
to the benefit of the customer.
The e-banking has made the customer say good-
bye to huge account registers and large paper
bank accounts.
“Banks Moving From Branch Based To Internet Based
Banking”

27. Internet Banking 1997
Initiated by ICICI bank in 1997 with the name INFINITY

28. Revolutions In Indian Banking
Industry Transforming Life Of Millions
Core Banking Solution (CBS)
MICR and automated cheque clearing
Mobile banking
As stated by Ms Shikha Sharma, MD and CEO of Axis Bank, “As far as retail banking is concerned,
technology would help in building confidence at a low cost. Overall, technology would help to
solve complex trade-offs in the future”, we can see the amount of dependency banking industry
is showing on IT.
Demat Account

29. Revolutions In Indian Banking
Industry Transforming Life Of Millions
Automated teller Machines
Smart Cards (Debit & Credit Cards)
Internet Banking
EFT (Electronic Fund Transfer)
Bank2.0

30. Financial Literacy
As of 29th Sept,2015
Source - wikipedia.org

31. Conclusion
India is a nation of great savers and not investors.
Banks has grown up in past centuries which has a E-future.
Branch based banking is becoming Internet based banking.
Banking is not just a concept to know but also a way to earn money.
“Put money in the market, not in your bank account or under your bed.
Don’t let money be idle. Let your money work for you, don’t work for your money.”
-Mr.Sabyasachi Mukherjee
-Head Personal Investment Counsulting, IIFL

32. Webliography
http://www.businesseconomics.in/
http://www.mbaskool.com/
https://localfirstbank.com/content/different-types-of-banking-services
http://www.worldblaze.in/top-10-best-banks-in-india/
http://www.nabard.org
http://www.icicibank.com
http://www.sbi.com
http://www.managementparadise.com/article/183/basics-of-ifsc-micr

33. First Questions And Then Thank You
Presentation by,
Bhushan R.S Kasture
9168833898/8867180474