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In India, the last fifteen years witnessed growth in financial services unfolded by liberalization and globalization of financial services due to adoption of information technology and unlocking of the regularity framework. But alongside this positive development, there are evidences that formal financial sector still excludes a large section of the population. The intense competitive environment is continuously forcing the banks to become customer centric. Today technology has emerged as a strategic resource for achieving higher efficiency, control of operations, productivity and profitability for Universal Banks . The 'Anywhere, Anytime, Anyway' banking dream for customers has come true. But instead of all these benefits, the awareness and adoption rate of banking services among the customers is still found somewhat low. Hence this paper presents the preliminary findings on investigation of the level of the customer's awareness of, as well as need for banking services by the customers based on demographics, bank type and familiarity with computer/internet. The universal banks are providing a hoard of financial services to its customers .But most of the customers either are not aware of these services or do not need them. Therefore objective of the current paper is to analyse the awareness and need pattern of all the financial services being offered by public and private sector banks. [ABSTRACT FROM AUTHOR]

The analysis of effectiveness of central bank intervention has yielded mixed empirical evidence and remains inconclusive to date. Managed float regimes can offer vital clues on this debate. We study the impact of central bank intervention on exchange rate direction, volatility and misalignment using data from the Indian managed float, characterised by consistent intervention by India's central bank. The paper uses event study methodology given the clustered and non-stochastic nature of intervention. We find that direct intervention, through sale or purchase of foreign currency, is not successful in influencing the direction of exchange rate movement and does not have any statistically significant impact on volatility as corroborated by both monthly and daily data. [ABSTRACT FROM AUTHOR]

Purpose The purpose of this paper is to analyze the effect of bank-related variables and corporate governance-related variables on the productivity and profitability of public and private sector banks in India.Design/methodology/approach The Malmquist productivity index is applied to determine the productivity of different banks. Further, return on average assets is used as profitability of banks. The regression analysis is further used to assess the effect of different bank-related and governance-related variables on performance of banks.Findings Nearly all the bank-specific variables explain the productivity and profitability of banks but a weak relationship is observed between individual governance variables and performance variables. Two governance variables, i.e. board meetings and remuneration explicate the profitability of the public sector banks and only duality explains the profitability of the private sector banks. No significance is found between productivity and governance variables.Originality/value The study addresses the embryonic issue of corporate governance in the banking sector. The uniqueness of the paper lies in that no study has evaluated the effect of these variables on productivity and profitability of banks simultaneously. [ABSTRACT FROM AUTHOR]

Financial inclusive growth is said to be real only when it has registered an all inclusive growth, namely, all the strata of the society including the vulnerable group is brought to the ambit of financial inclusion. The country which is envisioned to be a power in Asia - unfortunately for a long time, had suffered from the malaise of financial exclusion. To plug the loophole, hectic activities are going on to hit the target of financial inclusion. To tart from the scratch, citizens of the country including those living in the remotest rural region are prompted to have an access to the basic financial service, i.e, opening a bank account (no frills account) which would blossom into a universal access to a wide range of financial services at a reasonable cost. The present paper sheds light on criteria / indicators of financial inclusion with special reference to Sattur Taluk, Tamil Nadu. [ABSTRACT FROM AUTHOR]

Globalization is making a world smaller place and Human resource management must respond it properly. It is that part of management process which is primarily concerned with the human constitute of an organization. Human resource management is a method of developing the potentialities of employees so that they get maximum satisfaction out of their work and give their best efforts to the organization. The new economic policy and changing global scenario has totally changed the approach to human resource management in all types of business and industry. Banking is not exception to this. Transformation in Indian Banking Industry, ever increasing competition, fast moving and complex world of latest technology have compelled banks to think of and to adapt themselves to the changing banking environment. There is a need to develop competencies that is skill, knowledge and attitude among bank staff to make them more suitable to the changing global conditions through proper training & development programs. The present paper indicates some suggestions to cope-up with the rapidly changing global socioeconomic conditions. The findings of the study suggest that Human resource management in changing global scenario is an inevitable and unavoidable in any sector for its survival. [ABSTRACT FROM AUTHOR]

Banking sector has always been under the scrutiny of public eye by the virtue of the banking business itself and with the liberalization of the sector and advent of new private banks this scrutiny has not only become more intense but much more critical also. Banking is not a product but a service and hence the role of human resources become critical for the business, consequently the study of employee productivity, profitability and its impact on the total business becomes crucial. The paper compares and analyses the Average annual compensation received by SBI employees and ICICI Bank employees and contrasts it with Banks' Profit per Employee, for financial year (FY) 2008 to 2012, which is considered here as a proxy for employee productivity, through comparison of means statistical tests. An attempt is made to analyze the Banks' operating expenses and weight of wage burden through analytical tools for the financial year 2011 and 2012. The paper reveals that statistically there is no difference between the wages earned by employees of the two banks; however there is a vast contrast between their measures of productivity. [ABSTRACT FROM AUTHOR]

Background and statement of the problem: As the majority of the population in India is still using conventional banking services, it is imperative to assess the determinants of digital banking adoption. This paper analyses the factors affecting the adoption of digital banking services in India using the Technology Acceptance Model (TAM). Research methodology and data: This study is based on the World Bank’s Global Findex Survey 2017 data, covering 3000 respondents from India. The chi-square test, Spearman rank correlation, and multiple hierarchal regression model have been used to analyse the data and test the research hypotheses. The association between demographic characteristics and the adoption of digital banking has been analysed using the chi-square test. Further, Spearman rank correlation has been used to assess the direction of the relationship between the adoption of digital banking services and both the components of the Technology Acceptance Model (TAM). Finally, multiple hierarchal regression has been used to estimate perceived usefulness and ease in using digital banking services. Research findings: The penetration of internet and mobile has induced the adoption of digital banking systems in India. Still, only 35 percent respondents have reported usage of digital banking services in the country. The analysis shows a significant association between demographic characteristics and adoption of digital baking services. Further, the correlation analysis indicates a positive and significant relationship between the adoption of digital banking services and components of the Technology Acceptance Model (TAM). Perceived usefulness and perceived ease in using banking services show a positive and significant impact on the adoption of digital banking services, with controlling effect of demographic characteristics of the respondents. Policy implications: Recently, the government has provided a new direction to the banking sector to establish Digital Banking Units (DBUs) for delivering holistic digital solutions to its customers. As India is rapidly and aggressively moving towards the digitization of banking services, this study provides timely feedback based on the perception of the adult population for effective targeting and positioning of digital banking efforts. [ABSTRACT FROM AUTHOR]

Competition for the 2010 Daniel H. Wagner Prize for Excellence in Operations Research Practice provided the five finalist papers featured in this special issue of Interfaces. The prestigious Wagner Prize emphasizes quality and originality of mathematical models along with clarity of written and oral exposition. Authors from IBM's Watson Research Center won the competition with their innovative, diverse suite of models to improve critical choices for managing skilled personnel, choices so important in service industries; their models have been implemented in the IBM Integrated Technology Services business. A finalist team from Georgia Tech joined with the US Centers for Disease Control to solve a physician's often challenging problem of creating the best new schedule for a person who misses one or more previously scheduled vaccinations; the team's optimization approach is implemented in software now freely available to American physicians, and in software with Canadian rules soon to be available to Canadian physicians. A team from Kimberly-Clark Latin America and Penn State University developed optimization models to improve production and inventory control; after overcoming slow solution speeds with heuristics that furnish good solutions in minutes, the models have so far been implemented in Kimberly-Clark plants in five countries. A finalist team from the University of Texas at Dallas worked with Blockbuster, Inc. to improve efficiency and speed in Blockbuster's central system to fill orders from the company's numerous retail stores; implementation of the resulting optimization models led to reduced costs and more balanced workloads in the Blockbuster order-fulfillment center where different processing departments compete for shared resources. Finally, an India-based team from GE Global Research developed models to improve the selection of customers who receive special product offers from a GE commercial bank in Europe; the team's diverse models are now helping the GE bank to improve its customer responses. [ABSTRACT FROM AUTHOR]

Value at Risk (VaR) is a new technology in financial engineering which helps to measure the risk in the financial world. It can be defined as the maximum possible loss associated with a financial instrument within a given period of time and with a given confidence level. This VaR methodology became very much popular after the formation of the Basel Committee on Banking Supervision in 1995. This paper analyzes the different methods of VaR calculation, and empirically tests it in the context of Indian banking sector. It studies the historical data of Indian banking sector and looks into the structural breaks found in the industry. In all, the paper divides the entire study period, i.e., 2003-2011, into four structural shifts and looks into the risk attached to each time period. It shows that calculated risk in different time periods validates the economic scenario prevalent during that period. It also suggests the best methodology for VaR calculation in different time periods. [ABSTRACT FROM AUTHOR]

Increasing evidence has been reported by researchers regarding the amplifying negative quality of fair value-oriented accounting regime. Critics have blamed the fair value accounting for amplifying the recent subprime crisis and causing a financial meltdown in the US. This paper investigates the contagion (negative) effect of introducing fair value accounting for commercial banks in India and its relationship with changes in the banks' Non-Performing Assets (NPA) ratio. It is found that there is evidence to suggest significant increase in the NPA ratios of the banks due to the introduction of fair value-oriented accounting of the banks' assets. The analysis suggests that increased bank contagion associated with fair value accounting is more likely to spread to banks that are inherently weak (in respect of capital adequacy and other parameters). [ABSTRACT FROM AUTHOR]

The paper analyzes the insolvency risk of commercial banks in India for the period 1998-2007. This has primarily been motivated by the changes in the structure and conduct consequent upon the banking sector reforms which have gradually brought the much-desired dynamic and competitive forces into the system that enabled banks to perform better by way of flexibility in their operations and diversification into organic and inorganic lines of business, notwithstanding the market-induced vulnerabilities. Though reforms have facilitated reduction in cost of deposits and cost of funds across all bank groups and improvement in the return on assets, facilitated by higher spread and lower burden, nonetheless, there is persistence of significant disparity among banks in their conduct, performance, cost minimization and on the risk management front. Using 'Z-score' measure of insolvency risk and panel data econometrics, it is found that the Indian private banks are most risky, whereas the foreign banks are found to be least risky for their fat capital cushion. The Public Sector Banks (PSBs) are in the intermediate category in terms of their risk levels. Further, higher competition tends to induce risk unless there are efficiency improvements across the banks. Diversification is also found to have a risk-mitigating effect; however, diversification per se is not sufficient condition for lowering the risk; rather, selective diversification coupled with buffer capital could yield the sufficient condition for banks' safety. While the banks have adapted themselves to the changing environment, the fast evolving financial landscape continues to pose several challenges. Therefore, banking regulation assumes increasing significance in these changing environments for adequate assessment of risk and to discourage risky behavior. [ABSTRACT FROM AUTHOR]

This paper studies the NPA levels of a few banks in India and suggests a few strategies for them to reduce their NPAs. Non-performing assets are one of the major concerns for banks in India. NPAs reflect the performance of banks. The NPA growth invokes the necessity of provisioning, which reduces the overall profits and shareholders' value. The NPAs are considered as an important parameter to judge the performance and financial health of banks. The level of NPAs is one of the drivers of financial stability and growth of the banking sector. This paper aims to uncover through financial ratios, the management of NPAs in banks. The Information needed for research had been gathered from secondary data. The research methodology adopted for this study is analytical research. The core part of the study lies in the analysis and interpretation. The data was collected from bank's annual reports/records, journals, books, websites etc. Tools used in the study were Ratio Analysis relevant to NPA Management. [ABSTRACT FROM AUTHOR]

The article comments on the paper "The intellectual capital performance of the Indian banking sector," by Barathi G. Kamath, published in a 2007 issue of the "Journal of Intellectual Capital." The paper examines the use of the Value Added Intellectual Coefficient to measure the value-based performance of the Indian banking sector for the period 2000 to 2004.

As with any new technology, e-banking too presents certain problems for banks. This paper attempts to highlight the difficulties encountered by bankers in using e-banking services. The survey data used in this research was collected through a questionnaire administered to 192 bankers in northern India. The study brings out two significant difficulties in the use of e-banking, viz., heightened stress and technical bottlenecks. To address these concerns, banks must put in place concrete development plans and a system of controls and security that boost competitiveness and ensure further progress. The paper presents the managerial implications of the results, along with suggestions for future research. [ABSTRACT FROM AUTHOR]

Banks in India have invested heavily on deployment of information technology (IT) in the past one decade. IT over the years has become business driver rather than a business enabler. Sustainable development of banks depends heavily on effective use of IT. This calls for measuring the effectiveness of IT in these banks. This paper identifies the economic methods of measuring IT effectiveness on the basis of review of literature on the subject. [ABSTRACT FROM AUTHOR]

The paper analyzes the performance of public sector banks in India during the post-liberalization period. There has been a significant improvement in the performance of public sector banks after reform measures. The paper has used various accounting ratios pertaining to profitability, financial efficiency, operational efficiency and financial soundness to build performance index for banks. Principal Component Analysis method has been used to construct index and rank performance of banks over the last 10 years. Twenty-two parameters pertaining to operational and financial efficiency of banks have been considered to construct the performance index for public sector banks. Altman Z-Score of solvency analysis has been applied to banking sector with suitable financial, operational and other efficiency ratios. Logit model is used to construct the Altman Z-Score for public sector banks in India. The logit model is found to be robust as per its predictability of financial health of the public sector banks. It is found that reform measures have impacted positively in enhancing the stability and soundness of the public sector banks in India. The analysis has found that State Bank of India continues to be the number one bank in India and there is competition between Punjab National Bank, Canara Bank, Bank of India and Bank of Baroda for the number two place in different years. [ABSTRACT FROM AUTHOR]

This paper explores the impact of the financial infrastructure on the gross domestic product of India. It covers the pre and post period of reforms to test the impact of reforms on the GDP. The paper tries to find out the structural brakes in the growth of GDP that might have taken place due to the policy change occurred in 1991. For that, we introduced a dummy variable to track down the structural change that may have occurred after the reforms in shaping the size of the GDP. We used Organized Least Square Regression to observe the relationship between the explanatory variables and dependant variables. Our investigation reveals that commercial bank deposit and gross capital formation plays significant role in enhancing GDP in India. Another important finding the paper reveals is the policy initiatives of 1991 gave positive contribution in escalating the GDP of India. [ABSTRACT FROM AUTHOR]

Purpose – The purpose of this paper is to analyze the preparations carried out by the Indian banking industry for the implementation of the International Financial Reporting Standards on and after 1 April 2011. Design/methodology/approach – The paper is based upon the critical analysis of the financial statements of the Indian banking industry and the relevant provisions of IFRS and other relevant laws applicable for the Indian banking industry. Findings – The main finding of this paper is that the Indian banking industry is preparing according to the target for convergence from 1 April 2011, but amendments in the various statutory laws of India are yet to be implemented/approved by the government. Research limitations/implications – This paper covers only the Indian banking industry and excludes all other industries in India. Originality/value – This paper shows the areas in which the Indian banking industry is required to focus before and after the implementation of IFRS, and their consequences on the financial statements of the bank. [ABSTRACT FROM AUTHOR]

The purpose of this study is to find out the effectiveness of a training program from the perspective of the trainees. The literature suggests that the pre-training expectations of trainees can be compared with their post-training experience. The training program considered here in this paper was offered to 108 trainees of a leading private sector bank and was evaluated using Kirkpatrick's model. Chi-square test revealed that the demographic variables are independent of the efficacy gap. A paired sample t-test concluded that the trainees' experience does not exceed their expectations. The factor analysis indicated that the grouping of the variables into factors, fairly matches with the four levels of Kirkpatrick's model with certain exceptions. Finally, a multiple regression analysis revealed that the factors extracted in factor analysis are significant in explaining training effectiveness. [ABSTRACT FROM AUTHOR]

Efficiency in payment systems brings about many benefits for a country's economy and its people. Many studies have indicated that a saving of 1 per cent of GDP is possible by improving payment system efficiency and moving physical payments to electronic payments. In India, this represents a huge opportunity. Many improvements have happened in India in terms of payment systems. Large value payments have comfortably moved to Real Time Gross Settlement. In the retail payment area, however, physical payments are still predominant -- although all retail electronic payment options, such as NEFT, ECS, credit and debit cards, are growing. India needs to focus on reducing the volume of physical cheques and increasing electronic payments to achieve greater payment system efficiency. This paper is an attempt to study the payment use statistics of 2003-04 to 2008-09, analyse the trend and suggest a few approaches to improve the efficiency of Indian payment systems by reducing the use of cheques and increasing the use of electronic payment systems. Innovation, convenience, strong legal systems and incentives are the significant factors in improving efficiency. A few suggestions in those areas -- including bringing in more than 155,000 branches of India Post and over 168,000 branches of cooperative credit institutions across India within the payment system framework, and accelerated adoption of mobile banking -- are provided. [ABSTRACT FROM AUTHOR]

A healthy, robust and sustainable banking system is the key for achieving inclusive growth in Indian economy. This paper is aimed at determining the status quo of banking sector in India towards adoption of sustainable banking practices. The findings reveal that Indian banking industry has responded relatively slowly to sustainability issues. The public sector banks are more involved in addressing the social dimensions of sustainability through various microfinance schemes, gender-specific loan schemes, community development programme, etc., whereas the private sector banks in India have adopted relatively more comprehensive approach in addressing environmental care dimension like green building, ISO 14000 certification, innovative products and services, etc. They are more active in subscribing to the voluntary international guidelines and framework on sustainable development like UNEP FI, EPs, GRI, CDP, etc. For integrating sustainable banking, the Indian banking industry has to be more proactive in its approach and should adopt at least the established sustainable banking code of conducts. [ABSTRACT FROM AUTHOR]

Customer relationship and retention is the key to success for banks. One of the way to achieve it, is through improvement in overall service quality of online banking. This paper have identified factors influencing overall service quality of online banking by survey of 1014 online banking users and have proposed a model. Next, model was validated through a comparative study of public and private sector banks in India. Paper concludes that all independent factors of proposed model do influence overall service quality of online banking of both types of banks but the individual factor influence differently with different bank types. [ABSTRACT FROM AUTHOR]

The Deposit Insurance Corporation (Amendment) Act, 1968, required DICGCI to register all the 'eligible co-operative banks' [as defined in Section 2(gg) of the DICGC Act] as insured banks. At March-end 2019, 1,941 cooperative banks were registered with the DICGCI with their insured deposits at Rs. 3,800 billion which constituted 11.2 per cent of the total insured deposits of all the insured banks. Compared to commercial banks, extent of protection was substantially high in respect of cooperative banks. During 1998-2019, premium collected from cooperative banks grew at an average annual rate of 15.3 per cent (commercial banks: 19.0 per cent). Up to March-end 2019 since its inception, the DICGCI has settled claims of 351 cooperative banks with the amount of claims settled at over Rs. 48,000 million. The current flat-rate premium system has led to under-pricing of risks (to the DIF) in respect of the cooperative banking sector. Ceteris paribus, this encourages more aggressive behaviour by cooperative banks. Therefore, DICGCI should quickly act on implementing a risk-based premium system. Two DIFs - one for commercial banks and the other for cooperative banks - needs to be instituted. The paper adds to the existing limited research on Deposit Insurance in India and especially, in relation to the cooperative banking system. [ABSTRACT FROM AUTHOR]

This paper investigates whether there has been any improvement in efficiency convergence of banks in India during the post-reform period considering bank ownership structures, using a balanced panel for 73 banks over the time period 1996–2014. Utilizing nonparametric frontier estimators, we compute time-dependent bank efficiency scores, which allow us to examine the dynamics of technological frontier and catch-up levels of Indian banks, and to explore the convergence patterns in the estimated efficiency levels. Our results signify that the state-owned banks, which dominate the banking activity in India, establish themselves as the best performers, ahead of the private, foreign and cooperative banks during post-2005. Even during the recent global financial crisis period, we find that bank efficiency levels increased, except for foreign banks which have had the greatest adverse impact. The convergence results show that heterogeneity is present in bank efficiency convergence, which points to the presence of club formation suggesting that Indian banks' efficiency convergence is partly driven by the ownership structure. [ABSTRACT FROM AUTHOR]

This paper attempts to investigate how changes in policy rates affect the transmission of monetary policy through the bank lending channel in India while also taking into consideration the roles played by differences in bank ownership, economic period and bank size. We specifically focus on the implementation of monetary policy through the use of the Weighted Average Call Rate (WCR) as a policy tool with frequent adjustments. Using an unbalanced panel dataset consisting of 701 observations for Indian scheduled commercial banks for the period 2000-2019, we examine the reaction of loan supply to changes in the WCR while taking into account controls such as liquidity, capitalization and size. We find that loan supply is adversely affected by a change in WCR and hence, we support the view that it is an effective monetary policy instrument. Secondly, we find that banks of all ownership types as well as sizes reduce loan supply during a contractionary policy period. Thirdly, loan supply is reduced during a rate cut in the crisis and post crisis periods. Therefore, our results support the existence of a bank lending channel in India through the use of WCR. [ABSTRACT FROM AUTHOR]

Purpose: While several facets of financial misconduct have been explored, one aspect which has largely bypassed the attention of researchers is the factors affecting such misconduct behavior in banks. To investigate this in detail, this paper aims to use disaggregated data on Indian banks for an extended period to understand the factors driving such behavior. Design/methodology/approach: Given the longitudinal nature of the data, the author uses fixed effects regression methodology which enables us to control for unobserved characteristics that might affect the dependent variable. Findings: The analysis indicates that both bank- and board-specific factors are important in driving financial misconduct, although their importance differs across ownership. In particular, while size and capital are relevant for public banks, liquidity is more of a concern for private banks as compared with their public counterparts. In addition, the relevance of bank boards is important only in case of private banks. These results hold after controlling for the structure of the banking industry and the macroeconomic environment. Originality/value: To the best of the author's knowledge, this is one of the earliest studies for India to carefully examine the interface between financial misconduct and bank behavior in a systematic manner. [ABSTRACT FROM AUTHOR]

An economy's performance can be assessed with the disposal rate of its nonperforming assets. India has been struggling with them. Although measures have been taken to deal with their growing rate, no effective measure has been identified till now. The Parliament has enacted the Recovery of Debt Due to Banks and Financial Institutions Act, 1993 and the Securitization and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002 to deal with debt recovery. The Enforcement of Security Interest and Recovery Debt Laws and Miscellaneous Provisions (Amendment) Act, 2016 had made changes in the acts of 1993 and 2002 and other integrated acts. This Amendment Act was an effort to tackle the existing regulatory gap. This paper suggests the development of an exchange market for an effective resolution of such assets. By adopting the statistical analysis of the efficacy of Debt Recovery Tribunal and Act of 2002 in resolving the problem, it investigates the impact of the legislation on the recovery of debts. [ABSTRACT FROM AUTHOR]

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Coronavirus disease (COVID-19) has been the gravest global pandemic in this century which has devastated the growth of economies worldwide. As a measure to curb the spread of this deadly virus, lockdowns were even announced in India during which there was a sudden shift to the online mode for majority of transactions. In this context, internet banking played a pivotal role in spite the numerous challenges and unpreparedness to handle the whole situation efficiently. Hence, this empirical assessment was conducted to examine the efficacy of the internet banking. It was a descriptive research which was based on the data collected online through an online questionnaire with suitable modifications. For this purpose, seven independent variables, namely, reliability, responsiveness, security, feedback management, speed of service, device compatibility, and ease of navigation were chosen based on their appropriateness. Efficacy was stipulated as variable that was measured as a summated score of the mentioned factors. Working professionals and corporates were taken as the sample and the sample size was 349. Impact of the given variables on the overall efficacy of internet banking was assessed using multiple regressions at 5% level of significance. Resource limitation is indispensable. Due to the inhibitions posed by the pandemic, face to face meetings could not be possible with the respondents, yet the responses were collected online. This empirical assessment would add to the recent literature pertaining to the banking industry and its role in supporting the Indian economy. It could even serve insights regarding the successful performance of Indian banks and creates scope for future research to understand the strategies of banks to perform at optimum level in a situation of crisis. This research is unique as studies on studying performance of banks in India during COVID-19 are still in their naïve phase and more studies are yet to be conducted. It would serve as an insightful paper that examines the relationships between variables quantitatively as well as qualitatively. [ABSTRACT FROM AUTHOR]

Purpose - The current exploratory study is an attempt to discover the factors affecting a bank's decision to adopt Internet banking in India. Particularly, it seeks to examine the relationship between the bank's adoption decision and various bank and market characteristics. Design/methodology/approach - The data for this study consist of panel data of 88 banks in India covering the financial years 1997-1998 to 2004-2005. Logistic regression technique is employed to study the relationship. Findings - The results show that the larger banks, banks with younger age, private ownership, higher expenses for fixed assets, higher deposits and lower branch intensity evidence a higher probability of adoption of this new technology. Banks with lower market share also see the Internet banking technology as a means to increase the market share by attracting more and more customers through this new channel of delivery. Further, the adoption of Internet banking by other banks increases the probability that a decision to adopt will be made. Research limitations/implications - The primary limitation of this study is the scope and size of its sample as well as other variables (e.g. market, environmental, regulatory etc.) which may have an effect on the decision of the banks to adopt Internet banking. Originality/value - An understanding of the factors affecting this choice is essential both for economists studying the determinants of growth and for the creators and producers of such technologies. From this perspective, understanding the factors determining the adoption of technology becomes highly relevant from the policy point of view. Moreover, the studies on the adoption of financial innovations are related to developed markets, e.g. US or European banking markets. Hence, this paper contributes to the empirical literature on diffusion of financial innovations, particularly Internet banking, in a developing country, i.e. India. [ABSTRACT FROM AUTHOR]

Dividend policy is a critical decision area in the field of finance. The subject of corporate dividend policy has captivated finance scholars for a long time, resulting in intensive theoretical modeling and empirical investigation. But several questions related to dividend decisions remain perplexing because of diverse and conflicting theories and also due to diverse empirical results. This paper attempts to give a focused overview of the important dividend theories and identify the leading actors that determine the dividend behavior in the corporate financial management. Dividend behavior of Indian Banking Industry has been analyzed using various econometric techniques. It may be concluded that lagged dividend, PAT, interest are the most important factors affecting dividend decisions of the industry whereas capital expenditure is not. However, Target Payout Ratio of the industry has decreased to 44% in 2005-06 from 71% in 1996-97. The paper may serve as ready reference for future researches in this field of corporate finance vis-à-vis Dividend Decision Policy. [ABSTRACT FROM AUTHOR]

The paper employs a sample of listed Indian manufacturing firms over the period 1995–2004 to examine the factors influencing the concentration of bank debt in total debt. The results indicate that the factors vary by firm size. Small to medium-sized firms have a high concentration of bank debt. The results support the reputation view that firms face differential debt choice as they grow larger. When evaluating bank regulations, policymakers need to consider the importance of the reputation-building service which banks provide to businesses. [ABSTRACT FROM AUTHOR]

This paper examines the motives behind equity holding by banks in non-financial firms. It has been argued that banks hold equity in firms primarily for two reasons: to support their debt holding or for returns as capital investments. This paper tries to examine which among these two motives drive equity holdings by Development Financial Institutions in India (DFIs). Results indicate that equity holding by DFIs in India is primarily driven by their interest as creditors. In poorly performing firms, equity holding by DFIs is also driven by debt restructuring in firms in the form of conversion of debt to equity. [ABSTRACT FROM AUTHOR]

The paper examines the impact of credit rating on capital adequacy ratios of Indian state-owned banks using quarterly data for the period 1997:1 to 2002:4. To this end, a multinomial logit model with multi credit rating indicators as dependent variable is estimated. The variables that can impinge upon capital adequacy ratio have been used as explanatory variables. Two separate models — one for long-term credit rating and another for short-term credit rating — have been estimated. The paper concludes that, both for short-term as well as for long-term ratings, capital adequacy ratios are an important factor impinging on credit rating of Indian state-owned banks. [ABSTRACT FROM AUTHOR]

This paper examines the stability of the day of the week effect in returns and volatility at the Indian capital market, covering the period January 1991-September 2000. The paper specifies a generalized autoregressive conditional heteroscedasticity (GARCH) model on returns and introduces separate dummies for days in alternate weeks in the specification of both the mean and the conditional variance to examine the robustness of the day of the week effect in return and in volatility within a fortnight. Results are compared to those based on ordinary least squares (OLS) procedure to examine how erroneous the inference on day-level seasonality could be when the aspect of volatility is ignored. The paper finds evidence in favour of significant positive returns on non-reporting Thursday and Friday, in sharp contrast to the finding of significant positive returns only on non-reporting Monday by OLS procedure. Separate subperiod analyses reveal that there have been changes in daily seasonality in both returns and volatility since the mid-1990s at the Indian capital market, manifested in the opposite signs and changes in the level of significance of some similar coefficients across periods. These findings on the day of the week effects along with its variation within a fortnight suggest that stock exchange regulations and the nature of interaction between the banking sector with the capital market could possibly throw valuable insights on the origin of the day of the week/fortnight effect in returns, while interexchange arbitrage opportunities due to differences in settlement period could lead to a seasonality in volatility. [ABSTRACT FROM AUTHOR]

Banks serve as engines that guide the money market, financial sector, and economic growth processes. The Indian banking sector has grown at a rapid rate, particularly as we approach the fourth industrial revolution. This, however, has not been without its share of difficulties. Frauds in Indian banks have been on the rise in tandem with the rapidly increasing banking business, and there is an urgent need to restructure the banking sector in India, considering recent scams involving billions of rupees. The purpose of this study is to assess and analyse the current trend of banking frauds and their role in the on-going rise of non-performing assets in India. The study also aims to shed insight on the impact of escalating bank frauds on the banking sector's profitability in India. The report states that the number of frauds affecting the Indian banking sector has been steadily increasing in recent years, resulting to an increase in nonperforming assets (NPAs) and negatively harming the banking sector's profitability. The only way to restore the trust of Indian banks and give the banking sector a facelift is for authorities to take tough action and find new ways to prevent and reduce fraud. [ABSTRACT FROM AUTHOR]

India has since long recognized the social and economic imperatives for greater financial inclusion, and it has made a significant contribution to economic development by developing novel methods to empower the lower-income group. The Govt. & banking industry have taken the lead in promoting financial inclusion. The Reserve Bank of India (RBI) has taken numerous steps over the years to increase access to the poorer segments of society, beginning with bank nationalization, priority sector lending requirements for banks, the lead bank scheme, the establishment of Regional Rural Banks (RRBs), the service area approach, the self-help groupbank linkage programme, and so on. RBI also launched NCFE (National Centre for Financial Education) which is not for profit organization aims to promote financial education across India through trainings programs, workshops, seminars for all sections of the population. As per National Strategy for Financial Inclusion (NSFI, 2019- 2024) report minute data is required to depict a proper image of how financial services are used and covered. Some countries have begun to implement legislative measures. This research aims to better understand the concept of financial inclusion in the Indian banking sector. Furthermore, this paper discusses various initiatives undertaken by the Reserve Bank of India and also tries to analyse progress of schemes as well as the future prospects of financial inclusion in Indian banking. [ABSTRACT FROM AUTHOR]

India's banking commerce is currently facing an active task in rapports of both client base and performance. The majority of the literature evaluations cited in the research depicts a link between E-Banking with user's satisfaction and Outcome quality, Environment Quality, Interaction Quality. This research is only a first step toward gaining a better grasp of the multi-dimensional concept of e service quality and user satisfaction. The study focused mainly on factors of internet banking assistance excellence as well as aimed to foresee E-banking out of Outcome quality, Environment Quality, Interaction Quality and Customer satisfaction. Descriptive research performed with 637 users of Ebanking services from Gujarat region. Smart PLS The method was employed to explore the underlying factors in the study. The research result show that user's satisfaction is mostly affected by Interactive Quality followed by other factors. This paper delivers an impression of earlier and freshly proposed metrics as well as directions of thumb for assessing the research results founded on the application of PLS-SEM. it is also found that all the factors affect user's satisfaction positively. [ABSTRACT FROM AUTHOR]

Corporate Social Responsibility (CSR) is the need of the hour. By engaging in CSR activities, the companies mainly aim to give back to the society in which they operate. Modern businesses are currently shifting their focus from profit maximization to sustainable development. Only the companies that are ready to work toward making public life easier can sustain in today's competitive market. Along with that, contributing effectively to CSR helps companies to have a better brand image, stakeholder satisfaction, employee retention, new opportunities, and better access to capital. The banking industry being the lifeblood of the Indian economy and a key service sector contributes the highest percentage of CSR Funds in India when compared with the other sectors such as Oil Drilling Lubricants and Petrochemical, miscellaneous, metals, mining, minerals, and computer software and IT. HDFC Bank being one of the largest private sector banks in India constantly contributes a large sum of amount on CSR to transform public lives. Their major CSR activities are rural development, Skill Development and Livelihood Enhancement, Promotion of Education, Healthcare and Hygiene, and Financial Literacy and Inclusion. The data for this study is collected through secondary sources such as CSR Reports, websites, and papers. The data have been collected and analyzed over three years starting from the financial year 2019-20 to 2021-22. In addition, the study uses resource dependence theory, and corporate citizenship theory to best understand the concept. The importance of CSR in the banking sector and the popularity of HDFC Bank in the Indian market as a key player makes this study relevant. [ABSTRACT FROM AUTHOR]

Traditional management approaches is becoming outdated in this constantly changing competitive world. This change will lead to change in organizational structure and leadership practices. The significance of transformational leadership is growing day by day as the change is becoming inevitable in the life of today's organization. This paper attempts to study the transformational leadership in large Indian banks. The paper will examine different factors of transformational leadership. The paper also explain the different factors idealized influence, inspirational motivation, intellectual stimulation and individualized consideration are positively and significantly correlated with each other. [ABSTRACT FROM AUTHOR]

Despite achieving significant growth in the banking sector and using technology in its operations, a large section of Indian population continues to remain unbanked, which render themselves excluded from the economic development and progress that the country is going through. While the Reserve Bank of India recognised the problem and came up with specific recommendations for improving financial inclusion, the outcome remained sporadic. In this paper, an emulation-worthy initiative of total financial inclusion carried out in a remote tribal block in Tripura State is looked at where technology has been leveraged suitably to achieve the desired objectives, rendering the residents with all the necessary access to banking, insurance, credit facilities as well providing direct benefits of various government schemes. The paper also analyses the socio-economic outcomes the project has brought in. The award-winning initiative implemented in 2012 has subsequently been replicated in Rajasthan as well. With the introduction of National Mission on Financial Inclusion and Pradhan Mantri Jan Dhan Yojana in 2014, the banks have put in additional focus on financial inclusion. Based on the study, a replication framework that can be adopted by other States and banks in financial inclusion drive is recommended. [ABSTRACT FROM AUTHOR]

Purpose – The purpose of this paper is to measure the intellectual capital performance of Indian banks and established a relationship between intellectual capital and return on assets (ROA). The paper also compared the intellectual capital performance of public sector and private sector banks. Design/methodology/approach – This study is based on secondary data from the top 20 Indian banks. Ten banks were selected from each of the public and private sectors on the basis of paid-up equity capital. The analysis was made using the value added intellectual coefficient, the coefficient of variation, exponential growth rates, trend analysis, Yule’s coefficient, the coefficient of correlation, the F-test and the t-test. Findings – The study revealed that private sectors have performed relatively better regarding the creation of total information coefficient (IC). However, the ROA was still below the international benchmark of > 1 percent. The major cause of the lower IC and the reduced ROA is disproportionate to the increase in capital employed and escalating non-performing assets in the Indian banking sector. Practical implications – The study focussed on managers and identified the causes of lower performance. It proposed numerous strategies to improve the aggregate score of IC, which is closely related to bank profitability. Originality/value – This is the first study to make a comparative analysis of intellectual capital performance in public and private sector banks in India and in addition to the traditional style of measuring sectoral performance. Further, the study employed new statistical tools, such as Yule’s coefficient of association, to establish the association between performance variables. [ABSTRACT FROM AUTHOR]

The aim of this research article is to review the extant literature on brand extension strategy and raise a set of research issues leading to formulation of hypotheses for model building and future empirical testing. This literature review is assessed and classified on the basis of the problem context and provides a comprehensive review of thirty nine research papers published in the business management related journals. The methodological review will provide a better understanding of the current state of research in this discipline. Past researchers have focused more exclusively on brand extension of consumer goods (Broniarczyk and Alba, 1994) and considering the importance of brand extension strategy, it can be presumed that there is a requirement for extended research in the service sector and more importantly in the financial services sector considering its importance to the Indian economy. [ABSTRACT FROM AUTHOR]

The capital requirements for credit risk, market risk and operational risk are laid down by Basel III which is the international capital adequacy structure for banks. Basel III is the third of the Basel Accords suggested on banking laws and regulations issued by Basel Committee on Banking Supervision in order to augment the banking regulatory framework over Basel II. Criticism has been faced by the Basel I Accord due to its focus on principally credit risk. A New Capital Adequacy Framework (popularly referred to as Basel II) has been proposed by Basel Committee incorporating three major elements: (a) minimum capital requirements, (b) supervisory review and (c) market discipline. A further modification in 'Basel III' was initiated in 2010 in response to a number of failings in Basel II, which came to light during the crisis in since 2008. The Basel III is to be implemented by banks in India as per the guidelines issued by R BI from time to time. This paper briefly describes the implications and issues of Basel III Norms in Indian banking sector. This study is based on the secondary data which has been collected from annuals reports of RBI, journals and various websites. [ABSTRACT FROM AUTHOR]

Using data on Indian small and medium enterprises (SMEs) for 1996-2010, the paper investigates four issues: (a) the factors influencing lending relationships; (b) the cost of borrowings; (c) the effect of the financial crisis and (d) the impact of main bank ownership on SMEs. The findings indicate that small business typically maintain multiple banking relationships, which provide benefits in terms of lower borrowing costs. In addition, the analysis also suggests that firms associated with state-owned main banks are less likely to forge multiple lending relationships. Finally, the results indicate that the number of banking relationships drop during crisis period, especially for state-owned banks. [ABSTRACT FROM AUTHOR]

At the present time banking sector is an emerging sector which is having its own importance in the development of the country. Along with their basic banking services banks are also involved in a new practice which is termed as Corporate Social Responsibility. For this study four private banks are selected i.e. ICICI, HDFC, AXIS & ING Vysya. The aim of this paper is to analyze the impact of CSR initiatives on the beneficiaries in Uttar Pradesh. Data collection is done from both primary and secondary sources. For this, 50 questionnaires have been filled by respective beneficiaries of the above mentioned private banks. To analyze the impact factor regression is used as a statistical tool. This paper mainly focuses on the satisfaction and awareness level of beneficiaries. With the highest beta value .524 the analysis says the people are not fully satisfied by the CSR policies, initiatives and benefits which they are getting from the CSR activities then also they are in favour of CSR initiatives. [ABSTRACT FROM AUTHOR]

The role of Banking has changed drastically over the last two decades. It has been going under a never-before transformation adapting to new technologies and products of global standard and becoming a part of the International Financial System. It can be seen and realized that the major technological and product innovations have taken place in past two decades in India promoting various schemes, new technology and what not. The entry of foreign and private players in India after the Liberalization, Privatization and Globalization in 1991, has made this industry tremendously competitive in nature. Even now, banking is one of the fastest growing sectors in the economy of India. During last 20 years, Indian Banking System has witnessed some major financial innovations with an aim to take banking services from class banking to mass banking. The notable innovations taken place in the banking sector of India are introduction of CBS, CTS, ECS, RTGS, EFT, NEFT, ATM, Debit & Credit Cards, Internet Banking, mobile banking etc. Though cash is still the most dominant mode of payment in Indian Banks but the advancement in technologies has improved the ratio of cash & paper based payment system and cashless & electronic payments. The various non- cash mode of payments are Debit Card, Credit Card, ECS (Debit & Credit), CTS, EFT/NEFT and RTGS. This study is about the technological innovations that are taken place in Indian banking sector and how it has led to the changing trend from cash to cashless payments for the easy, efficient and quicker customer service. [ABSTRACT FROM AUTHOR]