8. Creation of money (640 – 630 B.C) – Lydians in ancient Anatolia (Turkey) – a standardized coin made from electrum (unit of commerce) to simplify transactions.
9. Greco-Roman Banking in support of trade involved smiths and collectors, money changers and inspectors of currency.
14. 1955: SBI was born with merger of IBI and its subsidiaries emerged in 1959
15. 6 1913-1919 : “Watershed years” 1934 : RBI Act,1934, w.e.f- 1935, nationalized on January 1, 1949 1946: Banking Co’s Ordinance Inspection & Banking Co’s Restriction of Branches Act came into existence
16.
17.
18.
19. It valued the countries wealth by gold standard in 1914 which means that each country defined its currency in terms of a fixed weight of gold.
20.
21. In the gold standard era, central banks developed a lender-of-last-resort function, following Bagehot’s rule.
22. But financial systems became unstable between the world wars, as widespread banking crises plagued the early 1920s and the 1930s.
23. The experience of the Fed was the worst. The response to banking crises in Europe at the time was generally to bail out the troubled banks with public funds.
29. 6 Technology Vision of the RBI Desk Top Decision Making Capability Centralised Database Management System Enterprise Knowledge Management System Desk Top Analytical Capability Offsite Supervisory Systems Integrated Forex Management System Human Resource Information System Desk Top Transactional Capability Integrated Accounting System Integrated Government Accounting System Currency Operations System Securities Settlement System Integrated Establishment System
30.
31. 1955 : SBI was born with merger of IBI and its subsidiaries emerged in 1959
32.
33.
34. It formed State Bank of India to act as the principal agent of RBI and to handle banking transactions By the 1960s, the Indian banking industry had become an important tool to facilitate the development of the Indian economy
53. 6 1948: IFCI Act Industrial Finance Corporation of India 1956: ICICI Industrial credit & Investment Corporation Of India 1961: DICGC Deposit Insurance and Credit Guarantee Corporation of India , its purpose is to give insurance 1957: ECGC Export Credit Guarantee Corporation, the purpose is to prevent risk of fraud of money to be sent by Exporter to Importer.
54. 6 1964: IDBI Act To cater the requirements of industries 1969: IIBI Industrial Investment Bank of India was established to promote sick units. 1982: NABARD National Bank for Agriculture & Rural Development came into existence to provide finance and refinance activities. 1988: NHB National Housing Bank ,is a subsidiary of RBI.
55. 6 1991: SIDBI Small Industries Development Bank of India came into existence for SME’s . 1988: DFHI Discount and Finance House of India, its purpose is to provide liquidity to banks and money market.
56. 6 RURAL BANKING Rural banking is the process of conducting banking transactions out in the country where bank branches are too far away to be of use. Rural banking is popular for very small towns and farmers who live far away from areas of larger population and cannot make the drive to these locations whenever they need to use banking services.
57. 6 RURAL BANKING- TYPES OF SERVICES Rural banking offer the basic banking services which are as follows: Cash deposits Loan and loan repayment services.
58. 6 SERVICE PROCESS OF RURAL BANKING The agent goes out into rural areas and helps account holders who works for an MFI, or microfinance institution, which specializes in offering banking services to a certain area. The agent records and honours the transactions immediately, in the presence of the account holder.
65. 2800 NGO’sThe number of SHGs – Banks linked to banks aggregated 7,17,360 as on March 31,2003 i.e., 11.6 million very poor families have been brought within the fold of banking services.
69. To diversify the availability of financial instruments
70. It is a instrument which bank can sell to a third party a part or all of a loan made by the bank to a client.
71.
72. On risk sharing basis : it could be issue for 91-180 days and rate of interest on them was fixed by participating banks subject to minimum 14 % p.a.
75. New Technology in Banking – Advance Ledger Posting Machines(ALPM), BANKNET, SWIFT, Electronic Fund Transfer(EFT), Automated Clearing Houses, Clearing House Interbank Payment System, Electronic und Transfer at point of sale.
76. Stock invest – It was introduce by bank in 1992 to facilitate investment in industrial securities in the primary market.
77.
78. Their role in rural financing continues to be important even today, and
79. Their business in the urban areas also has increased phenomenally in recent years mainly due to the sharp increase in the number of primary co-operative banks.
80. While the co-operative banks in rural areas mainly finance agricultural based activities including farming, cattle, milk, hatchery, personal finance etc.
98. 6 Focus aspects of Commercial Banking now are: BANK’S BUSINESS LOANS & MISC. SERVICES Core Banking (CBS) MIS & Intranet ATMs RAISING DEPOSITS POS Terminals and Cash dispenser Electronic Banking Corporate Network Card Management Any Branch Banking Document Management Risk Management Resource Management CRM BANK’S BUSINESS
99.
100. Banks have had little to do besides accepting deposits at rates fixed by Reserve Bank of India and lend amount arrived by the formula stipulated by Reserve Bank of India at rates prescribed by the latter.
101. In view of several developments in the 1990s, the entire banking products structure has undergone a major change.
102.
103. A few banks have gone in to market mutual funds.
104.
105. Banks are also changing with time and are trying to become one-stop financial supermarkets.
120. Content Services via a mobile device such as a mobile phone or Personal Digital Assistant (PDA)
121.
122. DON'T accept any downloads if you don't know what they are
123. DON'T install any apps. unless you know they are authorised
124. DO contact your bank immediately if you think you have been compromised
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126.
127. To improve customer awareness of fraud techniques, financial institutions can provide on site signage or pamphlets accompanying a customer's monthly statement.
132. The technology, being implemented from February 1,2008 in the National Capital Region, enables banks to send images instead of paper cheques for clearing and settlement.
133. 6 POTENTIAL OF CHEQUE TRUNCATION Large corporate and government agencies, which transact in a large number of cheques, could have tie-ups with their banks. Instead of sending the physical cheques, they can send them scan images to the branch concerned, which would then forward it to RBI for settlement.
134. 6 Non-Scheduled Banks Scheduled Banks State Coop. Banks Central Coop. Banks & Primary Credit Societies Commercial Banks Commercial Banks Foreign Indian Private Sector Banks Public Sector Banks SBI & its Subsidiaries Other Nationalized Banks Regional Rural Banks (RRBs)
After corporate receive it they produce goods and services, which in turn produces salary, wages. again there is surplus with HH and they again lend this continues
Babylonia was an ancient cultural region in central-southern Mesopotamia (present-day Iraq), with Babylon as its capitalwas the sixth king of Babylon from 1792 BC to 1750 BCLyndians was an Iron Age kingdom of western Asia Minor located generally east of ancient Ionia in the modern Turkish provinces
Far-flung= describes places that are a great distance away, or something that is spread over a very large area
Banca- This implies bench as in ancient times banking was done on benches.First bank-Today it consists of approximately 3 thousand branches, 33 thousand employees and 4.5 million customers in Italy, as well as branches and businesses abroad
WATERSHED YEAR- 588 BANKS FAILED1949- banking regulation act to launch new banks The Reserve Bank of India, India's central banking authority, was nationalized on January 1, 1949 under the terms of the Reserve Bank of India (Transfer to Public Ownership) Act, 1948 (RBI, 2005b).[Reference www.rbi.org.in]In 1949, the Banking Regulation Act was enacted which empowered the Reserve Bank of India (RBI) "to regulate, control, and inspect the banks in India."The Banking Regulation Act also provided that no new bank or branch of an existing bank could be opened without a license from the RBI, and no two banks could have common directors.
ECB). Its main charge is to implement the interest rate policy
The Swadeshimovement, part of the Indian independence movement, was a successful economic strategy to remove the British Empire from power and improve economic conditions in India through following principles of swadeshi (self-sufficiency). Strategies of the swadeshi movement involved boycotting British products and the revival of domestic-made products and production techniques.Swadeshi Movement emanated from the partition of Bengal, 1905 and continued up to 1908. It was the most successful of the pre-Gandhian movements
Within two weeks of the issue of the ordinance, the Parliament passed the Banking Companies (Acquisition and Transfer of Undertaking) Bill, and it received the presidential approval on 9 August 1969.(Muhammad Hidayatullah, VarahagiriVenkataGiri)A second dose of nationalization of 6 more commercial banks followed in 1980. The stated reason for the nationalization was to give the government more control of credit delivery. With the second dose of nationalization, the Government of India controlled around 91% of the banking business of India. Later on, in the year 1993, the government merged New Bank of India with Punjab National Bank. It was the only merger between nationalized banks and resulted in the reduction of the number of nationalised banks from 20 to 19. After this, until the 1990s, the nationalised banks grew at a pace of around 4%, closer to the average growth rate of the Indian economy
Industrial Development Bank of India Limited (IDBI) IDBI Act, 1964
Dfhi-subsi of sbi,discount the bondUnit Trust of India(1963).
Microfinance institutions,nbfc
IBPs= for scb n not for rrb, it was to even the short term liquidity within the banking system
Ministry of Communications and Information TechnologyInstitute for Development & Research in Banking Technology or IDRBT is a banking research institute, established in 1996 by Reserve Bank of India (RBI), and is located at Hyderabad, India, committee on "Technology Upgradation in the Payment Systems"
Banks can communicate using SMS messages to check your balance or to authorise a transaction.Consumer using the internet browser on their phone to interact with their bank's online banking page.the use of apps, such as for iPhones, which provide a direct interface to your bank account through your phone
