Chanhging Technology in Changing Banking Operations

In: Business and Management

Submitted By rachit01
Words 4539
Pages 19
Impact of IT in Changing banking operation
Introduction of Indian banking industry
History of Indian Banking
The oldest bank in existence in India is the State Bank of India, which originated in the Bank of Calcutta in June 1806, which almost immediately became the Bank of Bengal. This was one of the three presidency banks, the other two being the Bank of Bombay and the Bank of Madras, all three of which were established under charters from the British East India Company. For many years the Presidency banks acted as quasi-central banks, as did their successors. The three banks merged in 1921 to form the Imperial Bank of India, which, upon India's independence, became the State Bank of India in 1955.
Key points in history of Indian banking industry * Establishment of Reserve bank of India in April 1935 and its nationalization in January 1, 1949. * Nationalisation of 14th largest commercial bank in India on July !9, 1969. At present there are 26 nationalised bank in India wth this the government controls around 91% of banking service in India * Liberalisation In the early 1990s, the then Narasimha Rao government embarked on a policy of liberalization, licensing a small number of private banks. These came to be known as New Generation tech-savvy banks. includes Oriental bank of commerce, Axis bank, ICICI bank and HDFC bank. This move, along with the rapid growth in the economy of India, revitalized the banking sector in India, which has seen rapid growth with strong contribution from all the three sectors of banks, namely, government banks, private banks and foreign banks.

Structure of Indian banking Industry
Currently, India has 88 scheduled commercial banks (SCBs) - 27 public sector banks (that is with the Government of India holding a stake), 31 private banks (these do not have government stake; they may be publicly listed and traded on stock…...

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