Indian banking sector still going strong
By: Chitra Nayar on Monday, November 10, 2008, 12:32:34 PM
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At the time when the leading economies around the world are falling prey to the existing financial turmoil, our strong banking sector has proved to be a tough nut to crack for this economic catastrophe that has severely dented the foundation of eminent economies which include United Kingdom and United States of America.

Established on strong fundamental principles, the Indian banking system is chiefly nationalised bank centric. This was the main reason why India survived the nemesis of liquidity crunch with utmost ease. Call it backward, traditional or simply smartness, even today a large majority of people living across India invest their money in the nationalised investment channels such as nationalised banks, Post offices, government bonds and securities etc. So by the time, the so-called financial turmoil came into its full form, a significant amount of money was already with the government. However, this was not to be the case with the other economies especially the United Kingdom where private players hog the limelight.

Today, banking within the Indian geographical boundaries has undergone a remarkable transition. This is mainly due to arrival of the Internet that has infused a fresh lease of life into the lethargic Indian banking module. Also, the functional pace of banking working too has picked up after introduction of the Internet. Now you can freely transact Online sitting on your couch, whether being in India or abroad . Be it fund transfer, disbursing any outstanding financial obligations or performing any minuscule operation like checking balance or enquiring about any thing. What more? Internet gives you access to almost all kinds of bank applications which include even operation of accounts or opening them. You can also avail the benefits of E-filing of tax, e-cheques and several other benefits.

However, when it comes to loans, websites of banks play a very vital role. Since, they provide the prospective borrowers with an array of features such as instant Online approval, quick disbursement and easy repayment alternatives. Thus, we can see what actually the banking sector of India is made of. It is for us always.


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1 .  Shubham Rastogi Says:

Monday, November 10, 2008 , 03:03:49 PM
Yes. The people of India have still made a smart move to transfer their deposits from Private hands to public hands. However, although the money is secure with the govt banks, still liquidity crunch exists. This is because most govt banks are not willing to release money in the market as they are worried that the crisis could become severe and they may go bankrupt. So the banks are pilling up money to meet the unfortunate losses.

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