HISTORY OF THE COMPANY The origin of the State Bank of India goes back to the first decade of the nineteenth century with the establishment of the Bank of Calcutta in 1806 in Calcutta. Three years later the bank received its charter and was re–designed as the Bank of Bengal (2 January 1809). A unique institution, it was the first joint–stock bank of British India sponsored by the Government of Bengal. The Bank of Bombay (15 April 1840) and the Bank of Madras (1 July 1843) followed the Bank of Bengal. These three banks remained at the apex of modern banking in India till their amalgamation as the Imperial Bank of India on 27 January 1921.
These fourteen banks, back then, contained a whooping eighty five per cent of the total bank deposits in our country. 1980, was witness to yet another round of nationalization and six more commercial banks came under the government control. With this huge leap, an enormous ninety one per cent of the banking sector came under direct control of the Indian Government. With this, the number of nationalized banks in India rose to twenty. Sometime later, in the year 1993, the government took yet another stride towards economic prosperity and made a turn towards merger of banks.
History Development banks started during the time of industrial revolution in the countries which are said to be now developed. More than a century ago United States of America got Industrialised and United Kingdom and other European countries also followed soon and developed their own Industrial base. These countries reached their level of Industrialisation through long term investment financing of banks which at that time took the risk of entering a new field of production. One example of this type of Financing is construction of railroads in America which goes way back in 1700s. Since the end of World War II the institution of development bank has received world-wide acceptance and popularity and has come to be regarded as instrument for
It dates back to the beginning of banking in India. In 1921 the Bank of Bengal, the Bank of Bombay and the Bank of Madras were merged to form the Imperial Bank of India, which subsequently was converted as the State Bank of India in 1955 when the Government took over control of its operations. Today, Mergers and Acquisitions is a term which is hardly used in the banking industry as business deals, but perceived as a strong strategy which can be trusted upon for long run survival and sustenance. It is always taken in a negative sense instead of considering it as a business potential. In the past, whenever the Government felt that a commercial bank had become weak, either financially or managerially, a decision was taken to merge it with some strong bank.
It is essential to build in-built flexibility structures and strengthen the efficiency of public ownership. Another possible solution is the establishment of a genuine board management and worker motivation in order to cope up with the paradigm shifts occurring in the banking industry. The critical element of success for unity banks is the government paying significant attention to the major tasks undertaken by unity banks. Setting up advisory boards in key areas of the banking process is also beneficial in solving the problems faced by unity banks. Improving the public policy contributes to an efficient transitional path of the banking system implemented by Unity banks and helps to move from a regulated focus to a more liberalized regime.
As distant as external banks are distressed they are probable to prosper in the Indian Investment Industry Indusland Bank was the early confidential bank to be set up in India. In the Indian Investment Industry a little of the Confidential Sector Banks working are IDBI Bank, ING Vyasa Bank, SBI Business and Global Bank Ltd, Dhanalakshmi Bank Ltd,Karur Vysya Bank 1.4 NATIONALISATION OF BANKS IN INDIA The nationalization of banks in India seized locale in 1969 by Mrs. Indira Gandhi the next prime minister. It nationalized 14 banks then. These banks were generally owned by businessmen and even grasped by them. 1.
This would guarantee that India has three to five banks, each with sizeable worldwide presence these huge banks would offer a full-scope of commercial banking business to corporate, small and medium enterprises (SMEs), retail, mass banking and worldwide clients. The rest of the banks could proceed under government proprietorship, however shun loaning to large
5.0 THE EMERGENCE OF ISLAMIC FINANCE AND BANKING IN MALAYSIA (80S) Islamic banking emerged in the 1980s was a Bank Islam. Islamic Bank is the first Islamic bank established in Malaysia. Bank Islam Malaysia Berhad was established on 1 July 1983 under Companies Act 1965. Since establishment, it has become a symbol of Islamic banking in Malaysia and its vision of a "Global Leader in Islamic banking" describes the Bank's status as a leader in the financial services industry in the country ("industry"). The existence of Islamic Banking Act 1983 (IBA), which came into force on 7 April 1983 is the legal basis for the existence of the first Islamic bank in Malaysia.
Its head quarter is in Mumbai, Maharashtra. As of March 2016, the bank had a network of 4196 branches and more than 6909 ATMS spread across India. It is listed on the Forbes 2000 apart from this a bank is providing various other services like business segments include Treasury Operations, Wholesale Banking and Retail Banking Operations,. This Bank has offer several types of deposits for the customers such as savings deposits, current deposits, current and savings accounts (CASA) deposits, and recurring deposits. On the other hand banks advances and loan portfolio includes large corporate advances; small scale and medium enterprises advances; agriculture advances, Industries development and retail advances.