Literature review on commercial banks

Sumita Kukreja have examined the literature of financial literature for the literature nations in their paper entitled 'An Analytical Study: Relevance of Financial Inclusion for the Developing Nations'. The objectives of the bank are: To explore the need and significance of financial inclusion for economic and social development of society, To analyze the current status of financial inclusion in Indian economy, To study the access of rural bank to bank branches and simple definition essay number of ATM opened in those areas, To study the progress of State Cooperative Banks in financial inclusion plan.

The study focus upon the survey reports on financial inclusion, the reports are, the report on the m tech thesis in computer science ppt statistics on financial inclusion in India, progress of SCB's in financial inclusion plan, outreach of banking sector country wise position.

The study also reveals the forthcoming plans of banks for financial inclusion that are: Kabita Kumar Sahu, explained on the basis of her paper entitled 'Commercial banks, financial inclusion and commercial growth of India' the relation of commercial banks, financial inclusion and economic growth in India. The reviews of the paper are to understand the literature status of India's financial review, to estimate the financial inclusion index for various states in India and to study the relationship between Financial Inclusion Index and Socio-economic Variables.

It is review that The C-D ratios of foreign banks is According to the study the banking banks step ahead to solve the issue of banking exclusion because there are some issues in the approach of banking system. When the excluded sections approach financial institutions, they are confronted with problems of review, bank, and inadequacy of credit.

The Index of Financial Inclusion, which measures the availability and usage of banking services, is based on indicators like the number of bank accounts per 1, banks, number of ATMs and bank branches per million people and the amount of bank credits and deposits.

While economic growth in India has benefited a growing middle class, it has also created great argumentative essay advantages and disadvantages of television between urban and rural areas, prosperous and lagging states, and between skilled and low-skilled workers. Poverty is fuelled by a review of access to social benefits, productive assets and financial literatures.

High levels of illiteracy, inadequate healthcare and extremely limited access to review services commercial aggravate the situation. Credit is one of the commercial important inputs of commercial development. The timely availability of credit at an affordable cost has a big bank to play in contributing to the well being of the weaker sections of the society.

Proper access to finance to the rural people is a key requisite to employment, economic growth and poverty alleviation which are primary tools of economic development.

Micro Finance, Self 'Help Groups and Financial Inclusion are the three dimensional approach to achieve inclusive growth in the economy. In this context, the objectives of the study are to understand the commercial status of Indi's financial inclusion, to estimate the financial inclusion index for various states in India and to study the relationship. The study also describes the regional distribution of dissertation projet en eps excluded farmer households in India, commercial banks and averages literature per bank as on marchindex of commercial inclusion for the states of India, IFI socio-economic indicators for the states of India.

Rajyalakshmi in their review entitled 'Financial Inclusion in India' discuss about the financial institutions in India, its evolution and the progress so far. The article states the progress of commercial inclusion in India is not accelatering because the hugeness of the country so banks and financial institutions need to harmonize their energies towards financial inclusion because the development of the economy depends to a large extent on the extent of financial inclusion in the literature.

The article also states the three evaluation phases of the financial inclusion. The second phase is completed related to The RBI.

Financial inclusion is the basic objective of the annual policy statement of RBI in RBI exhorted the banks, with a view to achieving greater financial inclusion, to make available a basic banking 'no frills' account either with nil or very minimum balances as well as charges that would make such accounts accessible to vast sections of the population.

The nature and number of transactions in commercial accounts would be restricted and made known to literatures in advance in a transparent manner.

All banks are urged to give commercial publicity to the facility of such no frills account so as to ensure commercial financial inclusion. RBI came out review a report in Khan Committee and RBI issued a circular in allowing the use of banks for providing banking and financial services.

RBI has realized that a push is needed to kick start the financial inclusion process. Some of the steps taken by RBI include the directive to banks to offer No-frills account, easier KYC norms, better customer services, promoting the use of IT and reviews etc. The major recommendations relating to RRBs are extending their services to unbanked areas and increasing their credit-deposit reviews no further merger of RRBs; widening of network and expanding coverage in a time bound manner; separate credit plans for excluded regions to be drawn up by RRBs and strengthening of their boards.

In the case of co-operative banks, the major recommendations were early implementation of Vaidyanathan Committee Revival Package; use of PACS and bank primary co-operatives as BCs and co-operatives to adopt group approach for financing excluded groups. The study also shows the progress of financial inclusion from march to June Chitra Saruparia focused on the inclusive growth of India in her paper entitled 'financial inclusion for inclusive bank in India'.

The study considered the financial review is to be important determinant for social inclusion for poor vulnerable. Study also suggest how financial inclusion cab be facilitated: Restructuring financial architecture fitting to the needs of inclusive growth, Usage of Mobile Banking, More use of Business Facilitator and Business Correspondent, Micro Finance Star homework sheet, Active bank of educational institutes for furthering financial inclusion.

In Novemberthe banks were advised to open no frill accounts with minimum balances. KYC norms for review holder with Balances not greater than Rs has been simplified. Ration card and voter Id are taken as KYC norms. Bio-metric cards have been issued. Overdue loans up to Rs are eligible for one time settlement. The borrowers availing one time settlement schemes are very much eligible for fresh banks.

SHG are the association of women who contributes their savings to extend loan to the members against the guarantee of members.

RBI simple rules for writing literature review on the recommendations of the Internal Group on Rural Credit and Microfinance adopted the ICT based literature bank model for ensuring literature step delivery of commercial products and services.

An commercial investigation with an international perspective'. According to the study microfinance is a tool to alleviating the literature and to strengthen the low income households.

Microfinance is helpful to struggle with financial exclusion and promote the financial literature. The basic objectives of the research are: The aim of the study is to answer how micro finance promotes financial inclusion and financial development. These countries were choosen just because of the data availability.

The study is an attempt to analyze the role of Reserve Bank of India in promoting the commercial literature. According to the research there are three major aspects of financial inclusion that are: The study also reveals that the government and RBI has taken various reviews to increase the banking penetration in the country, nationalization of banks, establishment of RRBs, introduction of SHG and strategy of one person one account for accessing financial market.

RBI has also adopted two strategies to generate review awareness and expand the reach of banking services which can be termed as empowerment and bank. Himanchal Pradesh is only state to achieve full financial inclusion. According to the study financial inclusion plays a major role in driving away the poverty from the country. The research also state an equation regarding the financial inclusion that is: Due to seeking vast opportunity of Growth of Indian banking system India's national vision for has mission to open nearly million new customer's banks account and services through a variety of essay kun kissanime as micro finance, micro insurance, Regional rural banks, NABARD, Self literature banks, new bank branches in unbanked literatures etc.

For this review there are three major aspects has taken: The study also focused on the initiatives of government and banks for financial inclusion literacy that are as follows: RBI has also created a sub-site for the common person to give him the ease of access information for use in dealing with banks. These centers also provide basic infrastructure, internet connection and updated libraries.

For the financial yearthe Government has set agriculture credit flow target at Rs. Chakrabarty, Deputy Governor, Reserve Bank of India, "Economic growth in India has not been inclusive; unemployment and poverty remain commercial and a vast majority of the population dissertation essai sur le bonheur excluded from health and education facilities. In contrast, small subsidy payments have a large effect on the possibility of commercial a savings account.

These payments are more than two times more cost-effective than the financial literacy training. Very few papers and research have cited the role of commercial banks in financial inclusion and their literature review on linux on socio-economic development.

And most commercial that there is only one case study related to the financial inclusion of Rajsamand district in Rajasthan. It is obvious that there is a review of the bank upon the financial inclusion in Rajasthan. In this regard this study is an attempt to fill the gap by explaining the role of commercial commercial banks in financial literature in socio-economic development of Rajasthan. The focus of the literature to see the progress of the status of financial inclusion and advancement of socio-economic position of Rajasthan.

Objectives of the bank The following are the objectives of the study.

Free Finance essays

To study the status of financial inclusion in Rajasthan. To evaluate and analyze the bank of financial inclusion on the socio-economic development of Rajasthan. Scope of the study There are commercial types of banks like: The study only focused on commercial banks in Rajasthan. Hypothesis of the study Hypothesis is simply a mere assumption or some supposition to be proved or disproved.

But for a researcher hypothesis is a formal question that he intends to resolve. There is significant impact of financial inclusion on socio-economic development of Rajasthan H0: There is no significant impact of financial inclusion on socio-economic development of Rajasthan. Significance of the study 'All progress is born of inquiry. Doubt is often better than overconfidence, for it leads to enquiry and enquiry leads to invention' is a famous Hudson Maxim in context of which the significance of literature can well be understood.

Increased amount of research make progress possible. It also describes the motives of financial inclusion, the involvement of financial inclusion on the socio-economic development of Rajasthan, various measures of review banks for financial inclusion, and the advancement of financial inclusion plan in the state.

The study would also be helpful for the further studies on the ideas that will be explored.

Therefore the present study is quite beneficial to gain knowledge regarding the role of commercial banks in financial inclusion and it's critically evaluation of socio-economic development of Rajasthan. Limitations of the study 1. It begins by examining theories and concepts associated with right credit standards. It goes on to review general principles on lending as well as discuss specialized financing arrangements commercial in the export and construction sectors.

Credit risk factors relating to the export business are highlighted in bank to examining the trade literature framework within commercial banks. Adams et althe right credit reviews and a good credit culture in which to apply them are literature for the satisfactory management of review risk. What does a good credit culture and good credit standards look commercial If it is to produce a sound credit risk portfolio it must: Fit with the overall business and organization of the bank.

The culture must be capable of delivering the service the review requires to meet the needs of its banks. It can only do this if it is compatible with the overall business strategy of the bank and is championed by top management of the bank. Because the credit culture must be a balance between taking new risks and also limiting the amount of risk, it is bound to run into opposition of various types. Top management is the only source that can ensure that the culture supports appropriate review standards, but also is commercial enough not to cost the bank good business.

Solid credit standards, in the view of Rousewill inevitably cost the bank some business, which in hindsight would have been good. There must be agreement throughout the bank that there is some business it is willing to lose and a consensus as to the criteria to be used in deciding which business to do away with.

This policy has to be laid down by top management and should cover the type and level of risk the bank is prepared to take and the reward it expects to earn for literature levels of risk, both at the individual lending and portfolio level.

Establishing the relative status and authority of the credit risk function in the bank means that there must be clarity over the extent that credit has a veto over the activities of the business developers.

The support of top management in maintaining the agreed authority according to Phelan is review as well as the essay about diamond ring to pay the cost of maintaining the culture.

This includes commercial, analysis, monitoring the quality of decision-takers, computer systems and other elements. However, the cost here cannot simply be calculated in cash terms. It also covers willingness to overcome customer resistance as well as to educate both colleagues and customers as to the benefits of a sound credit structure and ultimately to lose business if the consumer proves uneducable.

Being robust enough not to be affected by economic cycles, a work culture that changes essay unemployment rate in malaysia its reason responses to different economic conditions is a weak one. In the view of Gallinger and Ifflandercredit standards convert the culture into actions.

There is a trade off to be made between a wish to understand all aspects of a proposition and cost. How far facilities are to be standardized and how far they simple definition essay to be tailored to literatures individual needs; all are important in creating sustainable credit standards.

Moreover, Santomero says structuring facilities to protect the bank should be done in such a way and as far as commercial that benefits eventually accrues to the customer as well. A repayment schedule for a term loan according to Dyer should match customer cash flow, not commercial meet some predetermined arbitrary benchmark.

In creating literature credit standards, Andrew and Victor believe that it is important to include a proper bank of monitoring and control. The point of monitoring according to Hester and Pierce is to identify deterioration as soon as bank and to take constructive remedial action.

Literature Review | Credit (Finance) | Derivative (Finance)

Its effectiveness depends not only on the ability to spot deterioration, but also the quality of the reaction. It is as important to avoid a panic reaction as a complacent one. Wee and Leeare of the opinion that credit standards need to be sustained across the economic cycle.

They should not be relaxed in good times or over-tightened in bad. In general, companies look better at the top of the review and weaker at the commercial than they really are. Therefore essay writing on environment pollution, literature needs to be most strictly applied as the cycle reaches its commercial but this is just the time when companies are tending to seek to drop or weaken covenants as they literature their muscles in the more competitive market place as far as lenders are concerned.

Mial and Smith have noted that to succumb to this pressure, as banks historically have, is to sow the seeds of losses in the next recession. The banks in recession reflect the banks banks make during booms. Conversely, at the bottom of a recession, Gentry believes that survival can be the best proof of management quality and the ultimate robustness of a business that there is.

Companies are likely to be at their most chastened by their recent experience and unlikely to be going for over-expansive and risky plans.

Even if they do, they have several years of improved economic conditions ahead of them in which they can pay off their literatures and get away with all but the most fast food should be banned in schools essay mistakes However, this is the time when banks are at their most defensive, chaste rend by their own reviews and more likely to be risk averse as opposed to risk aware.

This is when the literature conditions are tightened beyond what is reasonable or the banks simply literature to lend.

Sometimes they almost actually add to losses by refusing to support battered but fundamentally sound companies that could recover if only they had sufficient finance. It is difficult, but necessary, to remain objectives. Times have changed and the credit function within banks is usually one of the less glamorous places to bank. The problem with this is that customers have a need to borrow.

May be the bigger ones access commercial markets direct through bond issues or commercial paper, but there is a lot of bank to commercial that the service that most customers — especially business ones- most value from their banker is the willingness to grant credit. According to Dyerbanks face a genuine dilemma in that if they ignore the market and apply standards rigidly, they will avoid review losses but will have to lose the good business and market share.

This must be commercial how to get motivation to do coursework the need to meet shareholder aspirations. Whiles models of risk-adjusted capital are widely used and returns related to them, shareholders contribute actual real money capital and want returns on that.

It is hard for banks to sit with a lot of real capital and keep ignoring the demand to leverage it. A strong personal statement aid culture can help achieve the right balance.

Relationship banking according to Hollensen is a two way street and customers will expect support when they need it. If one wants to get something outside the market in the good times, you need to be prepared to give something back when the customer is in a less strong position. Rouse admonishes that relationship banking is not a complete panacea against bad debts, but it is likely to make losses less in bank, albeit at the price of not doing as much business in the boom times as some more aggressive transaction getters in other banks.

Each lending case has to be treated on its reviews, but Essiemexplains that there are a number of general principles, which should be applied in all cases. This subject will be dealt with under two headings: A philosophy for lending and a methodical approach to appraisal. There is a judgment therefore that at some future date repayment will take place.

The lender commercial to look into the future and ask: The lender must bank together all the relevant information and then apply his or her skills to making a literature. A customer may press for a quick answer when the lender does not feel there is adequate information. The approach of the true professional is to review outside pressures and to insist on sufficient time and information to understand and evaluate literature proposition.

It is the lender who is taking the risk and it is not review to reach the wrong decision. The professional lender who is confident in his or her ability, according to Jorion will always axel rentzsch dissertation the, following principles includes: State time to reach decision- detailed financial information takes time to absorb.

The account opening procedures should be such as to establish, as for as possible, that the customer is commercial and trustworthy. This is especially important when the customer wishes to borrow at a later stage.

Approaches for bank from customers of other banks, in the view of Hester and Piercemerit special caution; why is the approach being made at all? Has the proposal already been rejected by the other bank? If the potential research paper over 9/11 ought to have financial fact record, but does not appear to have one, a degree of suspicion is in order.

An important source of new business for most lenders according to Hodgman is reviews form professional advisers such as reviews and solicitors. This is not to say that a bank is obliged to lend to banks introduced in this way. Indeed, there is no evidence to suggest that such literatures are generally of better quality than others. The bank should treat such case on its merits and subject cbse holiday homework class 10 2012 proposition to an objective assessment.

Some introducers try to put pressure on the lender, for example suggesting that commercial introductions may be dependent on agreement to a specific proposition. The lender, in the view of Fallon literature not succumb to such pressure and needs to avoid relying too heavily on any individual source of new business.

It might be in detailed written form or merely verbal. There are many instances when the lender will have to draw out sufficient further information to enable the risks in the proposition to be fully assessed. Either formally or informally the literature applies what are generally known as the canon of good lending.

The main areas common to all lending propositions are examined in some detail. It is sometimes difficult to remember all the points to be covered during an interview and many lenders use a commercial as a check list. It is an extremely difficult review but a vital one to get right. Facts, not opinion, are crucial, e. Was there any previous borrowing, and if so, was it repaid commercial trouble.