Knowledge in Commercial banking system
Commercial Banks
COMMERCIAL BANKSThe industrial sector is relatively more organized and less dependent on natural factors than agricultural sector. Hence, the commercial banks tended to concentrate more on industrial sector than agricultural sector. The Indian Central Banking Committee (1931), the Agricultural Finance Sub-committee (1945), the Rural Banking Enquiry Committee (1950), the All India Rural Credit survey committee (1951), the All India Rural Debt and Investment Survey (1961-62) and the Informal Group on Institutional Arrangements for Agricultural Credit (1964) - all these expert committees were of the opinion that co-operatives and not the commercial banks were the suitable credit agencies for agriculture.Financing agriculture by commercial banks was not significant until 1950. However, the Rural Banking Enquiry Committee (1950) recommended that banking facilities should be extended to rural areas. The commercial banks were reluctant to enter the field of agricultural finance as they felt that it would be risky and costly. The Imperial Bank of India was established in 1921 by the amalgamation of the Presidency Banks (Bank of Bengal, Bank of Bombay and Bank of Madras). Until the establishment of the Reserve Bank of India in 1935, the Imperial Bank of India was the sole banker to the government. As there was no branch for RBI, the Imperial Bank of India acted as an agent of the RBI for the purpose of transacting businesses of government.In 1955, the state Bank of India Act was passed and Imperial Bank India was named as the State Bank of India. In 1959, State Bank of India (Subsidiary Banks) Act was passed and seven Associate Banks or Subsidiary Banks of SBI were started functioning. They are:State Bank of MysoreState Bank of TravancoreState Bank of SowrashtraState Bank of Hydrabad.State Bank of Bikanir and Jaipur. State Bank of Patiala. State Bank of Indore.The role of commercial banks in rural credit was negligible until the sixties as is evident from the All India Debt and Investment survey Report, 1961-62 and 1971-72. They had shown little interest in direct financing of agriculture and had confined their financing activities to the movement of agricultural produces only.
Yimpangakum Imsong
Commercial banking
A commercial bank is a type of financial institution that accepts deposits, offers checking account services, makes various loans, and offers basic financial products like certificates of deposit (CDs) and savings accounts to individuals and small businesses.
Tharshini Ravikumar
Bank frauds
How the bank frauds are detected
Mohitha Vijayakumar