The document compares private and public banks in India. It analyzes key performance metrics like return on assets, return on equity, net interest margin, demand and savings deposit ratios, and non-performing assets. Public sector banks have higher total assets due to greater penetration in rural areas, but private banks have higher profitability. Demand deposit ratios are higher for private banks, while savings deposit ratios do not differ significantly between public and private banks. Overall, the analysis finds that newer banks tend to be more efficient than older ones, and public sector banks are generally less profitable than banks in other sectors.
This document is a summer project report submitted by Sadish Karki to Uniglobe College in partial fulfillment of a Bachelor of Business Administration degree. The report evaluates the performance of commercial banks in Nepal using the CAMEL rating system. CAMEL stands for Capital Adequacy, Asset Quality, Management Efficiency, Earnings Quality, and Liquidity. The report analyzes 18 financial ratios to evaluate banks based on these 5 parameters. The findings show that while bank performance was generally satisfactory, some banks needed improvement in certain areas. Standard Chartered Bank was found to have the best overall performance based on CAMEL ratings.
Liquidity management and commercial banks profitability in nigeriaAlexander Decker
This document summarizes a research study that examined the relationship between liquidity management and profitability in commercial banks in Nigeria. The study found that liquidity and profitability are significantly related, with each influencing the other. Effective liquidity management is important for banks' success and survival, as both insufficient and excessive liquidity can erode profitability. The study recommends that central banks maintain a flexible interest rate policy to help banks manage liquidity and profitability, and promote alternative payment methods to reduce banks' need to hold excess cash reserves.
1. The document discusses modern banking strategies for managing risk and selecting profitable investment portfolios. It addresses questions about optimal portfolio structure in variable interest rate environments, appropriate banking products, and successful risk management.
2. Banks can calculate expected returns on asset groups to inform investment decisions, though some may prefer lower risk assets even with similar expected returns. Duration matching of assets and liabilities can help mitigate interest rate risk.
3. Banks employ tools like gap analysis, repricing schedules, and derivatives to manage their exposure to interest rate movements and ensure accurate understanding of risks from their asset-liability mix. Portfolio structure and risk management techniques are crucial for banks' financial stability and performance.
A study on effect of liquidity management on profitability with select privat...Supriya Mondal
This document provides a literature review on 9 previous research papers related to the relationship between liquidity management and profitability in banks. The papers examined liquidity ratios like CDR, CRDR and IDR and profitability ratios like ROA, ROE and ROI in various public sector, private sector and cooperative banks in India over different time periods. Most of the studies found an inverse or negative relationship between liquidity and profitability, indicating that increased liquidity leads to decreased profits and vice versa. The papers also compared performance between public and private sector banks, with most finding that private banks had better efficiency and profitability.
The Impact of Liquidity on Profitability on Selected Banks of Bangladesh Samia Ibrahim
This research seeks to establish a relationship between liquidity and profitability which may assess in liquidity management in the banks in Bangladesh.There has been a wide range of study on the concepts of liquidity and profitability. My research differs from the previous works as such research was not done in the context of Bangladeshi banking sector using recent data.
A COMPARATIVE STUDY ON FINANCIAL PERFORMANCE OF PUBLIC SECTOR BANKS IN INDIA:...kishoremeghani
Banking sector is one of the fastest growing sectors in India. Today’s banking sector becoming more complex. The objective of this study is to analyze the Financial Position and Performance of the Bank of Baroda and Punjab National Bank in India based on their financial characteristics. This study attempts to measure the relative performance of Indian banks. For this study, we have used public sector banks. We know that in the service sector, it is difficult to quantify the output because it is intangible. We have chosen the CAMEL model and t-test which measures the performance of bank from each of the important parameter like capital adequacy, asset quality, management efficiency, earning quality, liquidity and Sensitivity.
Factors Affecting Return on Assets (ROA) in Banking Companies Listed in Indon...AJSSMTJournal
The document discusses factors that affect return on assets (ROA) for banking companies listed on the Indonesia Stock Exchange from 2015 to 2018. It analyzes the effect of capital adequacy ratio (CAR), non-performing loans (NPL), loan to deposit ratio (LDR), net interest margin (NIM), operational costs to operating income ratio (BOPO), inflation, and Bank Indonesia rate (BI rate) on ROA. The results showed that CAR, NPL, inflation, and BI rate did not significantly influence ROA individually, while LDR, NIM, and BOPO did. Together, all independent variables significantly explained 95.8% of the variation in ROA, while the remaining 4.2
A study on effect of liquidity management on profitability with select privat...Supriya Mondal
This document provides background information and a literature review for a study on the relationship between liquidity and profitability in select public and private sector banks in India. It begins with an introduction to the topic, outlining the trade-off between liquidity and profitability for banks. It then reviews 10 previous research papers on similar topics, analyzing factors like liquidity ratios, efficiency, and performance comparisons between public and private sector banks. The reviewed papers examine issues like the effect of liquidity on profitability, comparing liquidity positions between bank types, and evaluating banks' financial health using the CAMEL model.
This document is a summer project report submitted by Sadish Karki to Uniglobe College in partial fulfillment of a Bachelor of Business Administration degree. The report evaluates the performance of commercial banks in Nepal using the CAMEL rating system. CAMEL stands for Capital Adequacy, Asset Quality, Management Efficiency, Earnings Quality, and Liquidity. The report analyzes 18 financial ratios to evaluate banks based on these 5 parameters. The findings show that while bank performance was generally satisfactory, some banks needed improvement in certain areas. Standard Chartered Bank was found to have the best overall performance based on CAMEL ratings.
Liquidity management and commercial banks profitability in nigeriaAlexander Decker
This document summarizes a research study that examined the relationship between liquidity management and profitability in commercial banks in Nigeria. The study found that liquidity and profitability are significantly related, with each influencing the other. Effective liquidity management is important for banks' success and survival, as both insufficient and excessive liquidity can erode profitability. The study recommends that central banks maintain a flexible interest rate policy to help banks manage liquidity and profitability, and promote alternative payment methods to reduce banks' need to hold excess cash reserves.
1. The document discusses modern banking strategies for managing risk and selecting profitable investment portfolios. It addresses questions about optimal portfolio structure in variable interest rate environments, appropriate banking products, and successful risk management.
2. Banks can calculate expected returns on asset groups to inform investment decisions, though some may prefer lower risk assets even with similar expected returns. Duration matching of assets and liabilities can help mitigate interest rate risk.
3. Banks employ tools like gap analysis, repricing schedules, and derivatives to manage their exposure to interest rate movements and ensure accurate understanding of risks from their asset-liability mix. Portfolio structure and risk management techniques are crucial for banks' financial stability and performance.
A study on effect of liquidity management on profitability with select privat...Supriya Mondal
This document provides a literature review on 9 previous research papers related to the relationship between liquidity management and profitability in banks. The papers examined liquidity ratios like CDR, CRDR and IDR and profitability ratios like ROA, ROE and ROI in various public sector, private sector and cooperative banks in India over different time periods. Most of the studies found an inverse or negative relationship between liquidity and profitability, indicating that increased liquidity leads to decreased profits and vice versa. The papers also compared performance between public and private sector banks, with most finding that private banks had better efficiency and profitability.
The Impact of Liquidity on Profitability on Selected Banks of Bangladesh Samia Ibrahim
This research seeks to establish a relationship between liquidity and profitability which may assess in liquidity management in the banks in Bangladesh.There has been a wide range of study on the concepts of liquidity and profitability. My research differs from the previous works as such research was not done in the context of Bangladeshi banking sector using recent data.
A COMPARATIVE STUDY ON FINANCIAL PERFORMANCE OF PUBLIC SECTOR BANKS IN INDIA:...kishoremeghani
Banking sector is one of the fastest growing sectors in India. Today’s banking sector becoming more complex. The objective of this study is to analyze the Financial Position and Performance of the Bank of Baroda and Punjab National Bank in India based on their financial characteristics. This study attempts to measure the relative performance of Indian banks. For this study, we have used public sector banks. We know that in the service sector, it is difficult to quantify the output because it is intangible. We have chosen the CAMEL model and t-test which measures the performance of bank from each of the important parameter like capital adequacy, asset quality, management efficiency, earning quality, liquidity and Sensitivity.
Factors Affecting Return on Assets (ROA) in Banking Companies Listed in Indon...AJSSMTJournal
The document discusses factors that affect return on assets (ROA) for banking companies listed on the Indonesia Stock Exchange from 2015 to 2018. It analyzes the effect of capital adequacy ratio (CAR), non-performing loans (NPL), loan to deposit ratio (LDR), net interest margin (NIM), operational costs to operating income ratio (BOPO), inflation, and Bank Indonesia rate (BI rate) on ROA. The results showed that CAR, NPL, inflation, and BI rate did not significantly influence ROA individually, while LDR, NIM, and BOPO did. Together, all independent variables significantly explained 95.8% of the variation in ROA, while the remaining 4.2
A study on effect of liquidity management on profitability with select privat...Supriya Mondal
This document provides background information and a literature review for a study on the relationship between liquidity and profitability in select public and private sector banks in India. It begins with an introduction to the topic, outlining the trade-off between liquidity and profitability for banks. It then reviews 10 previous research papers on similar topics, analyzing factors like liquidity ratios, efficiency, and performance comparisons between public and private sector banks. The reviewed papers examine issues like the effect of liquidity on profitability, comparing liquidity positions between bank types, and evaluating banks' financial health using the CAMEL model.
This document is a project report on comparing the non-performing assets of private and public sector banks in India. It includes an introduction describing the growth of NPAs in Indian banks and outlines the objectives of the study. The methodology section notes that descriptive and comparative research methods will be used, analyzing secondary data from selected private and public sector banks. The report appears to analyze trends in NPAs, attempt to identify reasons for high NPAs, and evaluate steps taken to manage and reduce NPAs.
A study on effect of liquidity management on profitability with select privat...Supriya Mondal
Here are the key ways that banks can achieve liquidity:
1. Holding cash reserves - Banks are required to hold a certain percentage of deposits in the form of cash reserves that can be used immediately to meet liquidity needs. However, excess cash reserves reduce potential earnings.
2. Investing in government securities - Banks invest in short-term government bonds and treasury bills that can be easily sold in the market to generate cash. However, the returns may be lower than other investments.
3. Borrowing from other banks - Banks can borrow from other banks in the interbank market through instruments like federal funds, commercial papers etc. This provides quick access to funds but interest rates may be higher during liquidity cri
An Analysis of Financial Performance of BRAC Bank Ltd - Al SukranAl Sukran
This document provides an analysis of the financial performance of BRAC Bank Ltd over several years based on ratio analysis. Key findings from the ratio analysis include:
- BRAC Bank maintained a current ratio over 1.1x from 2010-2013 indicating adequate liquidity.
- The cost income ratio was around 0.5x, showing moderate operating efficiency.
- Total asset turnover declined from 2010-2012 but increased in 2013, demonstrating fluctuating asset utilization efficiency.
- Recommendations are made to improve liquidity ratios, loan to deposit ratios, and asset turnover ratios to boost financial performance.
- In conclusion, while BRAC Bank faced some challenges in recent years, its overall performance is better than average and it
This document discusses credit risk management and performance of private commercial banks in Bangladesh. It analyzes data from three banks - United Commercial Bank, Southeast Bank, and Standard Bank - to evaluate how credit risk management impacts bank profitability. Key variables examined include asset quality, non-performing assets, total investments to total assets, return on assets, and profit margin ratio. Regression analysis revealed credit risk management has a significant effect on the profits of private commercial banks in Bangladesh, with profitability dependent on return on assets and inversely related to credit risk. The document aims to investigate credit risk practices and their influence on bank performance.
A STUDY OF NON-PERFORMING ASSETS AND ITS IMPACT ON BANKING SECTORJournal For Research
Banks plays an important role in the economic development of a country. Banks are growth-driver and the banking business is exposed to various risk, such as credit risk, liquidity risk, interest risk, market risk, operational risk and management risk. Apart from these risks the very important risk is loan recovery. The sound financial position of a bank depends upon the recovery of loans or its level of Non-performing assets (NPAs). Reduced NPAs generally gives the impression that banks have strengthened their credit appraisal processes over the years and growth in NPAs involves the necessity of provisions, which bring down the overall profitability of banks. The Indian banking sector is facing a serious problem of NPA. The magnitude of NPA is comparatively higher in public sectors banks. To improve the efficiency and profitability of banks the NPA need to be reduced and controlled.
Comparison of Ratio analysis of banks of NEPAL....R K Tiwari Sagar
The document compares various financial ratios of Nabil Bank Limited for the years 2011/12 and 2012/13 (intra-bank comparison) and also compares the ratios of Nabil Bank Limited and Bank of Kathmandu for the year 2012/13 (inter-bank comparison).
Some of the key ratios that showed positive trends for Nabil Bank Limited from 2011/12 to 2012/13 include return on assets (increased from 2.69 to 3.03%), return on equity (increased from 30.25 to 32.78%), earnings per share (increased from Rs. 83.23 to Rs. 95.14) and net profit/gross income (increased from 23.74% to 32.
A STUDY ON THE FINANCIAL PERFORMANCE OF FOREIGN COMMERCIAL BANKS IN SRI LANKA...ectijjournal
Banks serve as backbone to the financial sector, which facilitate the proper utilization of financial
resources of a country. The banking sector is increasingly growing and it has witnessed a huge flow of
investment. The banking sector of developing countries is different from the developed countries in term of
performance. The banking sector, especially commercial banks of Sri Lanka plays a vital role in the Sri
Lankan economy. The focus of this study was to investigate the financial performance of foreign
commercial banks in Sri Lanka. Many studies are conducted in different countries to study the financial
performance of banking sector using the various statistical methods. In this study, the CAMEL rating
system is used to study the financial performance of foreign commercial banks in Sri Lanka. The study
selects three foreign banks for the analysis. Data was collected for the time period of 2008-2014.
According to the findings foreign sector banks are good in the performance of capital adequacy and
earnings while other variables show an average performance.
A strategy to manage the np as of public sector banksIAEME Publication
The document discusses strategies to manage non-performing assets (NPAs) of public sector banks in India. It finds that willful defaults by borrowers and inefficient credit appraisal systems are key determinants of NPAs. The NPAs of public sector banks have been growing significantly due to poor asset quality and ineffective information systems. The document suggests steps like improving credit risk management, strengthening recovery systems, and enhancing credit appraisal and loan monitoring to reduce NPAs. Multiple regression analysis indicates that willful defaults, fraudulent lending practices, and delays in repayment significantly influence default rates and NPAs. Tighter management of credit risk factors is needed to control NPAs.
This document discusses a study analyzing the financial performance of selected private sector banks in Bangladesh in light of capital levels. The study examines the impact of factors like total capital/assets, risk-weighted assets, core capital/assets, equity capital/assets, and cost income ratio on the banks' returns on assets and equity. Annual data from 2008-2012 for three banks was used in multiple regression analysis. The study aims to determine if capital adequacy and cost income ratio influence bank profitability, and if Basel II requirements have been effective in reducing non-performing loans and bankruptcy risks in Bangladeshi banks. Previous literature suggests capital adequacy can impact lending, performance, and bankruptcy risk, but markets may better determine optimal capital levels.
Risk management in banking a study with reference to state bank of india sbi aIAEME Publication
This document discusses risk management in banking with a focus on credit risk management practices at State Bank of India (SBI) and its associates. It provides an overview of SBI and its subsidiaries, and discusses how SBI has implemented the Basel accords on capital adequacy requirements and approaches credit risk measurement. The document analyzes trends in non-performing assets and capital adequacy ratios at SBI from 2007-2008 to 2012-2013 to assess its risk management practices.
Determinants of Profitability of Commercial Banks in BangladeshPremier Publishers
The paper examined the profitability determinants of private commercial banks of Bangladesh for the year 2014 and 2015. The study employed annual data for all the 11 private commercial banks of Bangladesh for the year 2014 and 2015. Multiple regression analyses were run to capture the significant determinants of profitability and to test hypothesis. The empirical findings from this study suggested that asset size and Net Interest Margin ratio had no significant effect on the profitability. But the impact of non-performing loans to total loans (NPL) on profitability was observed as the most significant among various variables. Furthermore, investment activities, mainly in shares and debentures of private sectors also have some positive impact on return on equity (ROE). The findings also suggested that diversified banking activities including the investment activities made these banks more profitable. Diversified banking activities are welcomed but if these activities include higher proportion of volatile trading activity rather than low risk income streams like fees and commission, the risk may become higher. The policy direction should be directed in such a way which will enhance the resilience and efficiency of the financial institutions with the aim of intensifying the sturdiness as well as strength of the banking sector.
This document is a study report on the movement of NPAs (non-performing assets) of scheduled commercial banks in India from 2005 to 2014. It includes declarations, acknowledgements, and an outline consisting of chapters on introduction, literature review, industry profile, research methodology, data analysis, findings, recommendations, and conclusions. The key points are that NPAs increased significantly for banks in 2007-08 due to the collapse of Lehman Brothers, and it is recommended that public sector banks focus on reducing existing bad debts rather than taking on new loans for several years.
Non perfoming assets @ uti bank project report mba financeBabasab Patil
The document discusses non-performing assets (NPAs) and their impact on the profitability of new private sector banks in India. It provides background on the rise of NPAs in the Indian banking system and defines an NPA as an asset where principal and interest payments are overdue by 90 days. The objectives of the study are to analyze RBI norms on NPAs, compare NPA performance and credit risk of new private banks over 3 years, and examine the impact of NPAs on bank profitability. The methodology involves collecting primary data through bank official interviews and secondary data from RBI, IBA, and bank websites. The analysis uses quadrant analysis to study relationships between key financial metrics.
This document analyzes the strengths, weaknesses, opportunities and threats for Indian Bank. It summarizes key financial metrics for 2007-08 and 2008-09 such as deposits, advances, interest earned, net profit and EPS. The document also includes the objectives and findings of studies on interest rates for various loan products and how banks analyze companies for loan sanctions. It acknowledges limitations of the study and provides recommendations on areas where Indian Bank needs to improve such as return on equity, growth rate and spending more on advertising to increase brand awareness.
This document is a project report submitted by P. Pavithra in partial fulfillment of the requirements for a Master of Business Administration degree from Saveetha School of Management. The project focuses on credit risk management at State Bank of India's Park Town branch. It includes a certificate verifying the project as Pavithra's original work. It also includes an acknowledgment, declaration, abstract, and table of contents sections.
The document discusses the Jammu and Kashmir Bank and non-performing assets (NPAs). It provides background on the founding and ownership of J&K Bank. It also examines NPAs, their classification, effects on banks and the economy, and strategies to control NPAs. The research aims to analyze J&K Bank's NPA management policies and customer perceptions. Most customers feel loan processes and NPA reduction techniques are satisfactory, though further improvement is needed. J&K Bank remains the preferred bank in the state.
The document summarizes a study on non-performing assets of top five private sector banks in India. It discusses the objectives of the study, which are to understand NPAs of these banks, study trends over five years, evaluate gross and net NPAs, determine factors affecting NPAs, analyze banks' financial performance at different NPA levels, and examine problems caused by NPAs. It also outlines the methodology, sources of primary and secondary data, and profiles of the five banks studied - HDFC, ICICI, Axis Bank, Kotak Mahindra Bank, and IndusInd Bank.
Presentation on summer training projectpallavisaggar
This document presents a summary of Pallavi Saggar's six-week industrial training at Standard Chartered. It introduces the company, describing its founding, leadership, financial performance, and strategic focus on participation, competitive positioning, customers, people, and communities. The organizational structure of Standard Chartered is outlined, from the Chairman of the Board down to various divisions for Asia, Risk Management, Wholesale Banking, and more. A SWOT analysis identifies strengths in diverse products and profitability, weaknesses in human resources, and opportunities in expanding branches. The document also provides an introduction to mutual funds in India, including types, current industry trends, and the future outlook for growth.
A Comparative Study of Non- Performing Assets of Public and Private Sector BanksIJMTST Journal
on-performing assets are one of the major concerns for banks in India. NPA is an important parameters in
the analysis of financial performance of a bank as it results in decreasing margin and higher provisioning
requirements for doubtful debts. NPAs reflect the performance of banks. A high level of NPAs suggests high
probability of a large number of credit defaults that affect the profitability and net-worth of banks and erodes
the value of the assets. NPAs affect the liquidity and profitability, in addition to posing threat on quality of
assets and survival of banks. The Indian banking sector has been facing serious problems of raising
Non-performing assets (NPAs). The NPAs growth has a direct impact on profitability of banks. It involves the
necessity of provisions, which reduces the overall profits and shareholders’ value. The problems of NPAs is
not only affecting the banks but also the whole economy. In fact high level of NPAs in Indian banks is nothing
but a reflection of the state of health of the industry and trade. To improve the efficiency and profitability, the
NPAs have to be scheduled. Various steps have been taken by governments to reduce the NPAs. It is highly
impossible to have zero percentage NPAs. But at least Indian banks can try competing with foreign banks to
maintain international standard. An attempt is made in this paper that what is NPA? The factor contributing to
NPAs, reason for high NPAs and their impact on Indian banking operations, the trend and magnitude of NPAs
in selected
Punjab National Bank, Ratio Analysis and Industry Analysis. Radhika Bhukania
- The document provides an insight into the financials of Punjab National Bank (PNB), the 3rd largest public sector bank in India.
- It outlines PNB's history since its founding in 1894 and traces its growth over time through acquisitions and expanding operations internationally.
- The document analyzes various ratios like current ratio, net profit ratio, net interest margin, and debt-equity ratio to evaluate PNB's financial performance over the past 3 years compared to other major public sector banks. It finds that PNB's ratios are generally in line with industry averages.
- Non-performing assets have increased for PNB but its capital adequacy and liquidity remain adequate compared to requirements set by the Reserve
1) The study aims to examine the impact of financial ratios on the profitability of Rural Banks (BPR) in Gianyar Regency, Indonesia.
2) The results showed that the Loan to Deposit Ratio had a positive effect on profitability, while the Non-Performing Loan ratio had a negative but insignificant effect. The Loan to Deposit Ratio and Cost of Funds ratio significantly affected profitability.
3) The study analyzed financial ratio indicators including cash turnover, loan to deposit ratio, non-performing loans ratio, and cost of funds ratio to measure their impact on the profitability of rural banks.
A Dissertation Report On "Study Of Net Interest Margin {NIM} Of Selected INDIAN Public & Private Sector Banks"
Has Undertaken 10 Years Financial Data Of Selected Banks i.e. 2008-2017 for the Study.
This document is a project report on comparing the non-performing assets of private and public sector banks in India. It includes an introduction describing the growth of NPAs in Indian banks and outlines the objectives of the study. The methodology section notes that descriptive and comparative research methods will be used, analyzing secondary data from selected private and public sector banks. The report appears to analyze trends in NPAs, attempt to identify reasons for high NPAs, and evaluate steps taken to manage and reduce NPAs.
A study on effect of liquidity management on profitability with select privat...Supriya Mondal
Here are the key ways that banks can achieve liquidity:
1. Holding cash reserves - Banks are required to hold a certain percentage of deposits in the form of cash reserves that can be used immediately to meet liquidity needs. However, excess cash reserves reduce potential earnings.
2. Investing in government securities - Banks invest in short-term government bonds and treasury bills that can be easily sold in the market to generate cash. However, the returns may be lower than other investments.
3. Borrowing from other banks - Banks can borrow from other banks in the interbank market through instruments like federal funds, commercial papers etc. This provides quick access to funds but interest rates may be higher during liquidity cri
An Analysis of Financial Performance of BRAC Bank Ltd - Al SukranAl Sukran
This document provides an analysis of the financial performance of BRAC Bank Ltd over several years based on ratio analysis. Key findings from the ratio analysis include:
- BRAC Bank maintained a current ratio over 1.1x from 2010-2013 indicating adequate liquidity.
- The cost income ratio was around 0.5x, showing moderate operating efficiency.
- Total asset turnover declined from 2010-2012 but increased in 2013, demonstrating fluctuating asset utilization efficiency.
- Recommendations are made to improve liquidity ratios, loan to deposit ratios, and asset turnover ratios to boost financial performance.
- In conclusion, while BRAC Bank faced some challenges in recent years, its overall performance is better than average and it
This document discusses credit risk management and performance of private commercial banks in Bangladesh. It analyzes data from three banks - United Commercial Bank, Southeast Bank, and Standard Bank - to evaluate how credit risk management impacts bank profitability. Key variables examined include asset quality, non-performing assets, total investments to total assets, return on assets, and profit margin ratio. Regression analysis revealed credit risk management has a significant effect on the profits of private commercial banks in Bangladesh, with profitability dependent on return on assets and inversely related to credit risk. The document aims to investigate credit risk practices and their influence on bank performance.
A STUDY OF NON-PERFORMING ASSETS AND ITS IMPACT ON BANKING SECTORJournal For Research
Banks plays an important role in the economic development of a country. Banks are growth-driver and the banking business is exposed to various risk, such as credit risk, liquidity risk, interest risk, market risk, operational risk and management risk. Apart from these risks the very important risk is loan recovery. The sound financial position of a bank depends upon the recovery of loans or its level of Non-performing assets (NPAs). Reduced NPAs generally gives the impression that banks have strengthened their credit appraisal processes over the years and growth in NPAs involves the necessity of provisions, which bring down the overall profitability of banks. The Indian banking sector is facing a serious problem of NPA. The magnitude of NPA is comparatively higher in public sectors banks. To improve the efficiency and profitability of banks the NPA need to be reduced and controlled.
Comparison of Ratio analysis of banks of NEPAL....R K Tiwari Sagar
The document compares various financial ratios of Nabil Bank Limited for the years 2011/12 and 2012/13 (intra-bank comparison) and also compares the ratios of Nabil Bank Limited and Bank of Kathmandu for the year 2012/13 (inter-bank comparison).
Some of the key ratios that showed positive trends for Nabil Bank Limited from 2011/12 to 2012/13 include return on assets (increased from 2.69 to 3.03%), return on equity (increased from 30.25 to 32.78%), earnings per share (increased from Rs. 83.23 to Rs. 95.14) and net profit/gross income (increased from 23.74% to 32.
A STUDY ON THE FINANCIAL PERFORMANCE OF FOREIGN COMMERCIAL BANKS IN SRI LANKA...ectijjournal
Banks serve as backbone to the financial sector, which facilitate the proper utilization of financial
resources of a country. The banking sector is increasingly growing and it has witnessed a huge flow of
investment. The banking sector of developing countries is different from the developed countries in term of
performance. The banking sector, especially commercial banks of Sri Lanka plays a vital role in the Sri
Lankan economy. The focus of this study was to investigate the financial performance of foreign
commercial banks in Sri Lanka. Many studies are conducted in different countries to study the financial
performance of banking sector using the various statistical methods. In this study, the CAMEL rating
system is used to study the financial performance of foreign commercial banks in Sri Lanka. The study
selects three foreign banks for the analysis. Data was collected for the time period of 2008-2014.
According to the findings foreign sector banks are good in the performance of capital adequacy and
earnings while other variables show an average performance.
A strategy to manage the np as of public sector banksIAEME Publication
The document discusses strategies to manage non-performing assets (NPAs) of public sector banks in India. It finds that willful defaults by borrowers and inefficient credit appraisal systems are key determinants of NPAs. The NPAs of public sector banks have been growing significantly due to poor asset quality and ineffective information systems. The document suggests steps like improving credit risk management, strengthening recovery systems, and enhancing credit appraisal and loan monitoring to reduce NPAs. Multiple regression analysis indicates that willful defaults, fraudulent lending practices, and delays in repayment significantly influence default rates and NPAs. Tighter management of credit risk factors is needed to control NPAs.
This document discusses a study analyzing the financial performance of selected private sector banks in Bangladesh in light of capital levels. The study examines the impact of factors like total capital/assets, risk-weighted assets, core capital/assets, equity capital/assets, and cost income ratio on the banks' returns on assets and equity. Annual data from 2008-2012 for three banks was used in multiple regression analysis. The study aims to determine if capital adequacy and cost income ratio influence bank profitability, and if Basel II requirements have been effective in reducing non-performing loans and bankruptcy risks in Bangladeshi banks. Previous literature suggests capital adequacy can impact lending, performance, and bankruptcy risk, but markets may better determine optimal capital levels.
Risk management in banking a study with reference to state bank of india sbi aIAEME Publication
This document discusses risk management in banking with a focus on credit risk management practices at State Bank of India (SBI) and its associates. It provides an overview of SBI and its subsidiaries, and discusses how SBI has implemented the Basel accords on capital adequacy requirements and approaches credit risk measurement. The document analyzes trends in non-performing assets and capital adequacy ratios at SBI from 2007-2008 to 2012-2013 to assess its risk management practices.
Determinants of Profitability of Commercial Banks in BangladeshPremier Publishers
The paper examined the profitability determinants of private commercial banks of Bangladesh for the year 2014 and 2015. The study employed annual data for all the 11 private commercial banks of Bangladesh for the year 2014 and 2015. Multiple regression analyses were run to capture the significant determinants of profitability and to test hypothesis. The empirical findings from this study suggested that asset size and Net Interest Margin ratio had no significant effect on the profitability. But the impact of non-performing loans to total loans (NPL) on profitability was observed as the most significant among various variables. Furthermore, investment activities, mainly in shares and debentures of private sectors also have some positive impact on return on equity (ROE). The findings also suggested that diversified banking activities including the investment activities made these banks more profitable. Diversified banking activities are welcomed but if these activities include higher proportion of volatile trading activity rather than low risk income streams like fees and commission, the risk may become higher. The policy direction should be directed in such a way which will enhance the resilience and efficiency of the financial institutions with the aim of intensifying the sturdiness as well as strength of the banking sector.
This document is a study report on the movement of NPAs (non-performing assets) of scheduled commercial banks in India from 2005 to 2014. It includes declarations, acknowledgements, and an outline consisting of chapters on introduction, literature review, industry profile, research methodology, data analysis, findings, recommendations, and conclusions. The key points are that NPAs increased significantly for banks in 2007-08 due to the collapse of Lehman Brothers, and it is recommended that public sector banks focus on reducing existing bad debts rather than taking on new loans for several years.
Non perfoming assets @ uti bank project report mba financeBabasab Patil
The document discusses non-performing assets (NPAs) and their impact on the profitability of new private sector banks in India. It provides background on the rise of NPAs in the Indian banking system and defines an NPA as an asset where principal and interest payments are overdue by 90 days. The objectives of the study are to analyze RBI norms on NPAs, compare NPA performance and credit risk of new private banks over 3 years, and examine the impact of NPAs on bank profitability. The methodology involves collecting primary data through bank official interviews and secondary data from RBI, IBA, and bank websites. The analysis uses quadrant analysis to study relationships between key financial metrics.
This document analyzes the strengths, weaknesses, opportunities and threats for Indian Bank. It summarizes key financial metrics for 2007-08 and 2008-09 such as deposits, advances, interest earned, net profit and EPS. The document also includes the objectives and findings of studies on interest rates for various loan products and how banks analyze companies for loan sanctions. It acknowledges limitations of the study and provides recommendations on areas where Indian Bank needs to improve such as return on equity, growth rate and spending more on advertising to increase brand awareness.
This document is a project report submitted by P. Pavithra in partial fulfillment of the requirements for a Master of Business Administration degree from Saveetha School of Management. The project focuses on credit risk management at State Bank of India's Park Town branch. It includes a certificate verifying the project as Pavithra's original work. It also includes an acknowledgment, declaration, abstract, and table of contents sections.
The document discusses the Jammu and Kashmir Bank and non-performing assets (NPAs). It provides background on the founding and ownership of J&K Bank. It also examines NPAs, their classification, effects on banks and the economy, and strategies to control NPAs. The research aims to analyze J&K Bank's NPA management policies and customer perceptions. Most customers feel loan processes and NPA reduction techniques are satisfactory, though further improvement is needed. J&K Bank remains the preferred bank in the state.
The document summarizes a study on non-performing assets of top five private sector banks in India. It discusses the objectives of the study, which are to understand NPAs of these banks, study trends over five years, evaluate gross and net NPAs, determine factors affecting NPAs, analyze banks' financial performance at different NPA levels, and examine problems caused by NPAs. It also outlines the methodology, sources of primary and secondary data, and profiles of the five banks studied - HDFC, ICICI, Axis Bank, Kotak Mahindra Bank, and IndusInd Bank.
Presentation on summer training projectpallavisaggar
This document presents a summary of Pallavi Saggar's six-week industrial training at Standard Chartered. It introduces the company, describing its founding, leadership, financial performance, and strategic focus on participation, competitive positioning, customers, people, and communities. The organizational structure of Standard Chartered is outlined, from the Chairman of the Board down to various divisions for Asia, Risk Management, Wholesale Banking, and more. A SWOT analysis identifies strengths in diverse products and profitability, weaknesses in human resources, and opportunities in expanding branches. The document also provides an introduction to mutual funds in India, including types, current industry trends, and the future outlook for growth.
A Comparative Study of Non- Performing Assets of Public and Private Sector BanksIJMTST Journal
on-performing assets are one of the major concerns for banks in India. NPA is an important parameters in
the analysis of financial performance of a bank as it results in decreasing margin and higher provisioning
requirements for doubtful debts. NPAs reflect the performance of banks. A high level of NPAs suggests high
probability of a large number of credit defaults that affect the profitability and net-worth of banks and erodes
the value of the assets. NPAs affect the liquidity and profitability, in addition to posing threat on quality of
assets and survival of banks. The Indian banking sector has been facing serious problems of raising
Non-performing assets (NPAs). The NPAs growth has a direct impact on profitability of banks. It involves the
necessity of provisions, which reduces the overall profits and shareholders’ value. The problems of NPAs is
not only affecting the banks but also the whole economy. In fact high level of NPAs in Indian banks is nothing
but a reflection of the state of health of the industry and trade. To improve the efficiency and profitability, the
NPAs have to be scheduled. Various steps have been taken by governments to reduce the NPAs. It is highly
impossible to have zero percentage NPAs. But at least Indian banks can try competing with foreign banks to
maintain international standard. An attempt is made in this paper that what is NPA? The factor contributing to
NPAs, reason for high NPAs and their impact on Indian banking operations, the trend and magnitude of NPAs
in selected
Punjab National Bank, Ratio Analysis and Industry Analysis. Radhika Bhukania
- The document provides an insight into the financials of Punjab National Bank (PNB), the 3rd largest public sector bank in India.
- It outlines PNB's history since its founding in 1894 and traces its growth over time through acquisitions and expanding operations internationally.
- The document analyzes various ratios like current ratio, net profit ratio, net interest margin, and debt-equity ratio to evaluate PNB's financial performance over the past 3 years compared to other major public sector banks. It finds that PNB's ratios are generally in line with industry averages.
- Non-performing assets have increased for PNB but its capital adequacy and liquidity remain adequate compared to requirements set by the Reserve
1) The study aims to examine the impact of financial ratios on the profitability of Rural Banks (BPR) in Gianyar Regency, Indonesia.
2) The results showed that the Loan to Deposit Ratio had a positive effect on profitability, while the Non-Performing Loan ratio had a negative but insignificant effect. The Loan to Deposit Ratio and Cost of Funds ratio significantly affected profitability.
3) The study analyzed financial ratio indicators including cash turnover, loan to deposit ratio, non-performing loans ratio, and cost of funds ratio to measure their impact on the profitability of rural banks.
A Dissertation Report On "Study Of Net Interest Margin {NIM} Of Selected INDIAN Public & Private Sector Banks"
Has Undertaken 10 Years Financial Data Of Selected Banks i.e. 2008-2017 for the Study.
Alm in banks by Prabin kumar Parida, MFC, Utkal UniversityPrabin Kumar Parida
The document provides an overview of State Bank of India (SBI), the largest bank in India. It discusses SBI's history, operations, subsidiaries, international presence, management team, vision, mission and values. Some key points:
- SBI is India's largest bank with over 16,000 branches and assets of $388 billion as of 2013.
- It has domestic operations across India as well as an international presence with over 180 overseas offices.
- SBI has five associate banks and several non-banking subsidiaries that provide services like insurance, cards, and investment banking.
- The document outlines SBI's management structure and leadership team.
The effect of loan to deposit ratio(LDR), interest income ratio, and non-inte...AJHSSR Journal
ABSTRACT: In this study, the effect of Interest Income/Total Assets ratio, Non-Interest Income/Total Assets
ratio, and Total Loans/Total Deposit ratio (LDR) on average return on equity ratio(ROE) was examined. A
multiple regression analysis was applied with R-Studio program using the data of Ziraat Bank, one of the public
banks operating in Turkey, between the years 2003-2021. The following results were obtained. The effect of the
LDR independent variable on the ROE dependent variable is significant and negative, the effect of interest
income ratio independent variable on the ROE dependent variable is statistically insignificant and negative, and
the effect of non-interest income ratio independent variable on the ROE dependent variable is significant and
positive. 55.16% of the variation in ROE is explained by the independent variables in the model. In this study, it
was aimed to determine the simultaneous and partial effects of loan to deposit ratio(LDR), interest income ratio,
and non-interest income ratio on average return on equity ratio and to contribute to other researchers.
KEYWORDS : Loan to Deposit Ratio(LDR), Interest Income, Non-Interest Income, Return on Equity (ROE)
Evaluation of some private commercial banks in bangladesh from performance pe...ijmvsc
Banks operate on a huge scale at the heart of the modern economy and the banking system has become an
integral part in the progress of economic development in Bangladesh. Besides, the banking sector has
made their innovation and efficiency crucial to the economy as it competes in an e-commerce world. The
role of banking system in this situation cannot be denied at all. This report intends to evaluate the
performance of selected private commercial banks in Bangladesh. In the study, best efforts have been put
on evaluating the performance. The growing pattern of branches, employees, deposits, loans and
advances, classified loan, net income and earnings per share of selected private commercial banks has
been considered to make an analysis on the performance evaluation of the selected private commercial
banks. To evaluate the performance, data have been collected from the secondary sources. Then the
collected data have been analyzed. From the analysis, it has been found that all of the selected banks are
in a position to make a sustainable growth in respect of branches, employees, deposits, loans and
advances, classified loan, net income and earnings per share during the period of 2007-2011 with some
fluctuation. Besides the growth pattern, other forms of calculations have been used for every selected
variable and they are trend equation and square of correlation coefficient. Under trend equation analysis,
the variables named branches, employees, deposits and net incomes hold more positive value than the
other variables considered. As the value of the slope always shows the positive number, it is a clear
indication that Bangladesh has a very good prospect in case of private commercial banks
Analysis of Internal, Market & Economic Based Financial Performance Measureme...IOSRJBM
The aim of this study is to investigate the financial performance of 10 commercial banks listed on Dhaka Stock Exchange. In this paper, financial performance has been measured by using three indicators. Internal–based performance measured by Return on Assets, Market-based performance measured by Tobin’s Q model (Price / Book value of Equity) and Economic–based performance measured by Economic Value adds. The correlation and multiple regression of annual time series data is used to find the impact of bank size, credit risk, operational efficiency and asset management on financial performance measured by the three indicators, The study rejected the null hypothesis and it is found that there exist statistically significant impact of bank size, credit risk, operational efficiency and asset management with ROA and Economic Value Added. On the other hand Tobin’s Q has insignificant impact on financial performance of commercial banks
This document discusses the challenge of non-performing assets (NPAs) facing public sector banks in India. It notes that while public sector banks have shown good financial performance in terms of deposits, investments, and advances growing significantly over time, their NPAs have also steadily increased year-over-year. NPAs do not generate interest income for banks and require provisions to be set aside, negatively impacting banks' profits and capital levels. The document examines the impact of NPAs on bank performance and the various measures taken by the RBI to reduce NPAs, but notes these have not achieved the desired results.
This topic is for about Bangladesh bank industry.you can find out
why we invest on bank?
Investing on bank Risk or not?
which bank is prefer for investment?
what is our strategy management for banking industry?
A Study on Relationship between Firm Size and Profitability: Selected Private...ijtsrd
The study is to identify the relationship between firm size and profitability of selected private sector banks in India. This study is classified as quantitative research followed with a descriptive research design. The Reserve Bank of India's publication of annual trend and progress of banking in India in June 2018, indicates that the total number of private sector banks in India is 21. The study selected the first five banks based on the hierarchy of the value of its total assets. The study is based on secondary data and it has been collected from the annual reports of the respective banks. The period of study is five years from 2015 to 2019. Firm size such as bank size is measured through the natural log of the book value of deposits, assets, and advances independent variables and the profitability is measured through the natural log of the book value of the net profit of the bank dependent variable . The data analysis includes descriptive statistics, correlation matrix, and linear regression. On the basis of the analysis, the study found that there is a significant relationship between independent variables and the dependent variable. Further, there is a positive correlation and statistically significant between these variables. Dr. Dhanuskodi Rengasamy "A Study on Relationship between Firm Size and Profitability: Selected Private Sector Banks in India" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-4 | Issue-1 , December 2019, URL: https://www.ijtsrd.com/papers/ijtsrd29621.pdf Paper URL: https://www.ijtsrd.com/economics/accounting/29621/a-study-on-relationship-between-firm-size-and-profitability-selected-private-sector-banks-in-india/dr-dhanuskodi-rengasamy
This document is a project report submitted to the Reserve Bank of India analyzing the efficiency and profitability determinants of NBFCs in India. It provides an overview of financial institutions and the evolution of NBFC regulation in India. It examines the performance of NBFCs through metrics like asset quality, capital adequacy, and profitability. Statistical techniques are used to analyze the relationships between various financial variables and profitability indicators for deposit-taking NBFCs. Comparisons are made between the Kanpur regional office and other regional offices. The objectives are to analyze current NBFC trends, identify determinants of NBFC profitability, and compare profitability across regions.
This document provides an overview of the empirical methodology used to measure the efficiency of local and foreign banks in Bangladesh. It analyzes 3 foreign banks and 3 local banks using annual report data to calculate 4 ratios: total equity to total assets, liquid assets to total assets, total non-earning assets to total assets, and cost efficiency. The document also reviews past literature on comparing the performance of domestic and foreign banks using various financial metrics and models like CAMEL, Data Envelopment Analysis, and analysis of variance. The empirical methodology section outlines the specific approach taken to build the report and measure bank efficiency using the selected ratios and publicly available annual report data from the sample banks.
The Basel Committee on Banking Supervision introduced stricter Basel III regulations after the 2008 financial crisis to strengthen banks' capital requirements and promote a more resilient banking sector. The key changes included higher minimum capital requirements, a capital conservation buffer, a countercyclical capital buffer, strengthened capital treatment for trading book exposures and securitizations, more stringent counterparty credit risk rules, and the introduction of a non-risk-based leverage ratio. The regulations aimed to reduce systemic risk, improve risk management practices, and promote a safer banking system overall.
This research article analyzes the financial performance of selected banks in India using ratio analysis. Ratio analysis is a quantitative method used to evaluate a company's liquidity, operational efficiency, and profitability by comparing financial statement information over multiple periods. The study uses a commonly applied framework called the Eagles model to analyze 13 key ratios across selected banks from 2011-2019 related to earnings, asset quality, growth, liquidity, equity, and strategy. Statistical tools like mean, standard deviation, and t-tests are used to analyze and compare the results between public and private sector banks. The findings of the ratio analysis can help assess the financial health and trends of the banks over time to identify areas for improvement and inform decision making.
This project presentation summarizes a comparative analysis of risk management in public sector and private sector banks. The objective is to understand and analyze credit risk, capital adequacy ratios, liquidity ratios, and interest rate risk. A literature review covers definitions of risk and risk management. The research methodology uses primary interviews and secondary data collection. Data analysis compares sources of funds and various risk ratios between public and private banks. Findings indicate higher NPAs and lower capital adequacy ratios in public banks. The conclusion is that effective credit risk management is important for banks to reduce losses and improve returns.
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
This document provides an overview of IFIC Bank Limited, a commercial bank in Bangladesh. It discusses the bank's history, objectives, departments, products/services, and financial performance. Some key points:
- IFIC Bank was established in 1976 and converted to a commercial bank in 1983. It has 99 branches within Bangladesh and joint ventures abroad.
- The bank aims to earn profits by providing banking services like deposits, loans, remittances, and trade financing to support economic growth.
- Major departments include retail banking, corporate banking, treasury, operations, IT, and credit. The bank offers services like deposits, loans, trade financing, and remittances.
- In 2010,
This document analyzes the financial performance of national and private banks in Indonesia from 2008 to 2017. It finds that both bank types saw increased profits over this period, with state banks seeing higher growth than private banks. It analyzes the banks' liquidity, credit risk, and market risk ratios (LDR, CAR, NPL, NIM) and finds that higher LDR positively impacted profits for both banks, while CAR had no effect on profits. NPL negatively impacted state bank profits but positively impacted private bank profits. NIM had no influence on profits for either bank type. The document aims to compare the financial ratios and profitability of state and private banks in Indonesia.
This document analyzes the financial performance of national and private banks in Indonesia from 2008 to 2017. It finds that both bank types saw increased profits over this period, with state banks seeing higher growth. It analyzes the banks' liquidity, credit risk, and market risk measures (LDR, CAR, NPL, NIM) and finds that higher LDR positively impacted profits for both banks, while CAR had no effect on profits. NPL negatively impacted state bank profits but positively impacted private bank profits. NIM also had no influence on profits for either bank type. The document provides context on these financial metrics and risk measures.
The document provides summaries of 50 common banking interview questions and answers. Some of the key topics covered include the differences between various financial instruments like cheques and demand drafts, the roles of non-banking financial companies and private banking, uses of computers in banks, definitions of economic terms like recession, inflation, deflation, and fiscal and monetary policies. It also discusses the functions of the Reserve Bank of India and the types of interest rates used by central banks.
Solar Isolation Forecasting using Deep Neural Networks PrasannPatel4
This research presents a method to predict the solar irradiance using deep neural networks. Deep recurrent neural networks (DRNNs) add complexity to the model without specifying what form the variation should take and allow the extraction of high-level features. The DRNN i.e. LSTM is used to predict the irradiance. The data utilized in this study is real data obtained from Indian Space Research Organization’s geostationary satellite, INSAT3D. The purpose of the study is to accurately be able to predict the total solar irradiance in a given region for an upcoming day using information extracted from the satellite in the past 10 days. The model takes into account Land Surface Temperature, Cloud Mask, Shadow Cover, and Cloud Top Pressure along with the constantly changing solar geometry. The results of this method are compared to several other methods such as feed-forward neural networks (FNN) and support vector regression. The results show that deep learning neural networks (specifically, Long-Short Term Memory network) can outperform all other preexisting approaches.
However, there is a lack of systematic approach to achieve the performance requirements by leveraging the full potential of IEEE 802.11p and LTE-V2V hybrid which promises to improve driving safety [1]. Most researches also do not take into consideration the wide range of parameters like outage probability and beacon periodicity together with varying
traffic densities for performance evaluation with different models like clustering and interface selection [2] [3].
Literature survey till now show that there is no fixed system model which can prove the optimal use of Dedicated Short-Range Communication as a hybrid system. One of the research shows that an intelligent interface selection scheme for the vehicle-based device which applied heterogeneous access technology with LTE and IEEE 802.11p. Another attempt towards hybrid system proposes a novel approach towards content distribution in hybrid LTE and IEEE 802.11p
vehicular networks. The protocol employs a two-level clustering where IEEE 802.11p-based V2V communications in a high-density vehicular environment is the first cluster, and the second-level clustering is responsible for selecting gateway nodes which bridge V2V and LTE. Further Through
computer simulations, it shows that protocol can provide a better performance than the existing baselines in various scenarios, achieving 23% throughput improvement in high-density scenarios.
The project mainly focuses on comparing the performance of both DSRC and LTE-V2V system models on metrics like throughput, vehicular density, collision probability, etc. for various roadside conditions(mainly urban). The motive of the work is to propose a method/algorithm to optimize
the use of both the standards to achieve better performance than before as an outcome. The algorithm is devised using the performance evaluation made in the first part of the project. The
simulations will be realized using MATLAB as key tool. Further, the study can be extended by virtually simulating actual reality on platforms like OMNeT++ and SUMO.
- Exports from India have increased significantly since economic reforms in the early 1990s that liberalized trade policies. Exports as a percentage of GDP rose from around 6.5% in the 1980s to over 25% currently.
- Major factors driving growth include removal of trade barriers, globalization, growth in manufactured exports like gems, jewelry, textiles, and electronics, and government support through export incentives and infrastructure.
- However, export growth was negatively impacted by events like the 1997 Asian financial crisis, 2001 World Trade Center attacks, and 2008 global financial crisis, which led to recessions in major trading partners and a drop in global demand.
The prime objective of this project was to establish a working inter Ahmedabad University (AU) Connectivity by conducting survey and determining the difficulty occurring while working on various types of projects and assignments. The project also deals with problem arising in communication between students, professors and experts in the same college/university. Along with this the plan enables the user to connect with other users with same area of interest and view their profiles. The design of the code also includes Storing details in MySQL. The design of the code takes place in Model-View-Controller (MVC) Frame Work. Based on the class diagram and flow of the task building of different frames and classes had taken place step by step. For different functions we created diverse and essential algorithms. After the designing of the class comes the testing the code by executing every possibility of the outcome and sources of error. Which is then again followed repeatedly by the process of bugging and debugging to ensure the surety of the code. It also uses objects of Object Oriented Programing (OOP(s)).
Not Another Completely Heuristic Operating System (NachOS) is a multitasking instructional system that runs on a UNIX process which illustrates and explores all areas of modern operating systems including threads and concurrency, multiprogramming, system calls, software-loaded TLB's, file systems, and distributed systems.
NachOS uses C++/JAVA and basic MIPS instructions to run as a user-process on top of host OS like Ubuntu-Linux. NachOS interacts with simulated H/W by calling functions that eventually calls underlying host OS library routines. Also, in NachOS’ interrupts happen only as discrete points in real time as time is also simulated.
Scope of the project includes designing and implementing features like :
1. Thread management - Thread Control Block (TCB.contextSwitch)
2. Concurrency and Synchronization
3. Interrupt Handling
4. Multiprogramming - 50%
5. Filling services (i/o Console)
Internet of Things: Vehicular Tracking SystemPrasannPatel4
Nowadays, we have so many requirements in tracking the vehicles mostly for security purpose and for lost vehicle. We can achieve it if we have installed GPS in our vehicle as there is increased access to the global positioning system (GPS) has given enterprises a way to directly track, monitor and manage their most important assets. Live GPS vehicle tracking is all about having useful information regarding your fleet readily available to you. Not just any data, but data that is timely and accurate. Knowing where your vehicles and assets are at all times helps you regain control of your fleet operations. You will know how fast the vehicle was driven, where and when the vehicle stopped, and for how long. The cost of fuel is always a concern, and fuel savings continue to be fundamentally important in running a successful fleet operation. In most vehicle operations fuel expenses account for at least 32% of operating costs, so fuel monitoring & management is the logical place to start in order to reach fuel efficiency.
There are so many applications for vehicle tracking system. For example, Transport companies can use it to track their vehicles. Also, car rental companies can check status of their given rental cars. By just installing this system, logistics and fleet operators can stay updated by the minute. In short, any enterprise working in field of transporting any goods or service may prefer to apply this to their system to get notified.
In this project we will send the location coordinates attached in the link to Google Maps with your Vehicle’s Location. We will also be able to track the vehicle speed stoppages, trailer temperature and fuel level in the tank along with driver information.
The Rise of Generative AI in Finance: Reshaping the Industry with Synthetic DataChampak Jhagmag
In this presentation, we will explore the rise of generative AI in finance and its potential to reshape the industry. We will discuss how generative AI can be used to develop new products, combat fraud, and revolutionize risk management. Finally, we will address some of the ethical considerations and challenges associated with this powerful technology.
Abhay Bhutada Leads Poonawalla Fincorp To Record Low NPA And Unprecedented Gr...Vighnesh Shashtri
Under the leadership of Abhay Bhutada, Poonawalla Fincorp has achieved record-low Non-Performing Assets (NPA) and witnessed unprecedented growth. Bhutada's strategic vision and effective management have significantly enhanced the company's financial health, showcasing a robust performance in the financial sector. This achievement underscores the company's resilience and ability to thrive in a competitive market, setting a new benchmark for operational excellence in the industry.
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...AntoniaOwensDetwiler
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
Abhay Bhutada, the Managing Director of Poonawalla Fincorp Limited, is an accomplished leader with over 15 years of experience in commercial and retail lending. A Qualified Chartered Accountant, he has been pivotal in leveraging technology to enhance financial services. Starting his career at Bank of India, he later founded TAB Capital Limited and co-founded Poonawalla Finance Private Limited, emphasizing digital lending. Under his leadership, Poonawalla Fincorp achieved a 'AAA' credit rating, integrating acquisitions and emphasizing corporate governance. Actively involved in industry forums and CSR initiatives, Abhay has been recognized with awards like "Young Entrepreneur of India 2017" and "40 under 40 Most Influential Leader for 2020-21." Personally, he values mindfulness, enjoys gardening, yoga, and sees every day as an opportunity for growth and improvement.
OJP data from firms like Vicinity Jobs have emerged as a complement to traditional sources of labour demand data, such as the Job Vacancy and Wages Survey (JVWS). Ibrahim Abuallail, PhD Candidate, University of Ottawa, presented research relating to bias in OJPs and a proposed approach to effectively adjust OJP data to complement existing official data (such as from the JVWS) and improve the measurement of labour demand.
1. Elemental Economics - Introduction to mining.pdfNeal Brewster
After this first you should: Understand the nature of mining; have an awareness of the industry’s boundaries, corporate structure and size; appreciation the complex motivations and objectives of the industries’ various participants; know how mineral reserves are defined and estimated, and how they evolve over time.
In a tight labour market, job-seekers gain bargaining power and leverage it into greater job quality—at least, that’s the conventional wisdom.
Michael, LMIC Economist, presented findings that reveal a weakened relationship between labour market tightness and job quality indicators following the pandemic. Labour market tightness coincided with growth in real wages for only a portion of workers: those in low-wage jobs requiring little education. Several factors—including labour market composition, worker and employer behaviour, and labour market practices—have contributed to the absence of worker benefits. These will be investigated further in future work.
What's a worker’s market? Job quality and labour market tightness
Public Vs Private Banks
1. Private vs. Public Bank Comparison
Prasann Patel
Money Banking & Public Finance - EPP 210
November 2, 2017
2. Privatevs. Public Bank Comparison | Prasann Patel Page 1 of 13
Abstract
The banking system is major part of financial sector and it plays an important part in the
growth of economy. Comparing their products and performance gives a better idea about
economic stability and scalability. Efficiency and profitability of the banking sector in India
has assumed primal significance due to intense competition, greater customer demands
and changing banking reforms. And with recent shifts in economic trends due to
involvement of other sectors like information and technology, determining the
performance gives a better insight into the variables affecting the changes in day to day life.
Since competition cannot be observed directly, various indirect measures in the form of
simple indicators or complex models have been devised and used both in theory and in
practice. This study attempts to measure the relative performance of Indian banks. For this
study, we have used public sector banks and private sector banks. Overall, the analysis
supports the conclusion that new banks are more efficient that old ones. The public sector
banks are not as profitable as other sectors are.
Introduction
Banks are key financial intermediaries or institutions that serve as “middle man” in the
transfer of fund from servers to those who invest in real assets as house, equipment and
factories. Banking sector is the backbone of the county’s economy. Banks are important
financial intermediaries in the most of countries and it provide a package of different
services that are beneficial to both the housing sector as well as business sector which are
two standing pillars on which the Indian economy stands upon. In performing this function
financial intermediaries improve the well-being of both saver and investor. By improving
economic efficiency they raise living standard of the society and the velocity of currency.
The banking sector is considered to be an important source of financing for most
businesses. They play a very important role in the effort to attain stable prices, high level of
employment and sound economic growth. They make funds available to meet the needs of
individuals, businesses and the government. In doing this, they facilitate the flow of goods
and services and the activities of governments.
The commercial Banking system provides a large portion of the medium of exchange of a
given country, and is the primary instrument through which Monitory policy is conducted,
through their deposit mobilization and lending operations. Commercial banks make the
productive utilization of ideal funds, thus assists the society to produce wealth. Commercial
Banks are the institutions specifically designed to further the capital formation process
through the attraction of deposits and extension of credit.
3. Privatevs. Public Bank Comparison | Prasann Patel Page 2 of 13
Method
Banking Regulation Act of India, 1949, defines Banking as “accepting, for the purpose of
lending or of investment of deposits of money from the public, repayable on demand or
otherwise or withdraw able by cheque, draft order or otherwise.” But, nowadays
various other services are also offered by banks such as issuance of credit and debit
card, providing safe custody to valuable items, ATM services, online transfer and
payment etc.
Therefore in this assignment both the products i.e. the services provided by the banks
and its performance is taken into consideration.
Subjects covered
The study consists of a detailed explanation of the various services offered by banks
and how they affect the bank. Banks are just not a medium of exchanging money but
also are a profit making organisation.
To get a better understanding of the project, we have compared the services offered
by public banks and private banks and how they affect the efficiency of the banks.
Apparatus (or Research Instruments/Tools)
Although net income gives us an idea of how well a bank is doing, it suffers from
one major drawback. It does not adjust for the bank's size, thus making it hard to
compare how well one bank is doing relative to another. A basic measure of bank
profitability that corrects for the size of the bank is the return on assets (ROA).
Secondly, because the owners of a bank must know whether their bank is being
managed well, ROA serves as a good method to identify it.
ROA = Net profit after taxes / assets. The return on assets provide information on
how efficiently a bank is being run because it indicates how much profits are
generated by each dollar of assets. However, what the bank's owners (equity
holders) care about most is how much the bank is earning on their equity
investment. This information is provided by the other basic measure of bank
profitability, the return on equity (ROE).
ROE = Net profit after taxes / equity capital There is a direct relationship between
return on assets (which measures how efficiently the bank is run) and the return on
equity (which measures how well the owners are doing on their investment).
Another commonly used measure of bank performance is called the net interest
4. Privatevs. Public Bank Comparison | Prasann Patel Page 3 of 13
margin (NIM). NIM is the difference between interest income and interest expenses
as a percentage of total assets.
NIM = (Interest income - Interest expenses) / Assets. One of the bank's primary
intermediation functions is to issue liabilities and use the proceeds to purchase
income earnings assets. If a bank manager has done a good job of asset and liability
management such that the bank earns substantial income on its assets and have low
costs on its liability, profits will be high. How well a bank manages its asset and
liabilities is affected by the spread between the interest earned on the bank's assets
and the interest cost on its liabilities. This spread is exactly what net interest margin
measures. If the bank is able to raise funds with liabilities that have low interest
costs and is able to acquire assets with high interest income, the net interest margin
will be high and the bank is likely to be highly profitable. If the interest cost of its
liabilities rises relatively to the interest earned on its assets, the net interest margin
will fall, and bank profitability will suffer.
Other tools used for comparison include Non-performing assets (NPA) which is a
loan or advance for which the principal amount or the interest payment remained
overdue for a period of 90 days. Higher amount of NPA of a bank (like SBI) will
cause a significant reduction in its net profit. Number of banks and their branches
also serve as a apparatus for comparison.
Also, different products and facilities given by banks are compared along with how
efficient the services have penetrated in the banking market.
Objective
1. To compare the profit earning of the selected public sector banks and private
sector banks from the year 2011 to 2014/16
2. To investigate the factors affecting the profit earning of the selected banks during
the period.
3. To analyses the products and services offered by banks of both sectors.
5. Privatevs. Public Bank Comparison | Prasann Patel Page 4 of 13
Performanceanalysis
For analysis of the profitability and performance, three major public sector and
three private sector banks are selected on the basis of their assets.
Public Sector Banks: State Bank of India (SBI), Punjab National Bank (PNB) and
Bank of Baroda (BoB).
Private Sector Banks: ICICI Bank, HDFC Bank and Axis Bank.
Data Analysis and Interpretation
Total Assets
As seen from the general trend we can see that the total assets of PUB is higher than
that of the Private sector banks which is directly related to scalability i.e. PSB have
much higher amount of penetration in India market both urban and rural. Private
sector banks usually lack in rural expansion as they tend to have higher rate of
profitability margins than that of PSB. Also, Public Sector banks dominate the Indian
banking system, by the total market share of 72.9%, which is followed by Private
sector banks, by 19.7%. Public sector banks are established since long, while private
sector banks emerged a few decades ago, and so the customer base of public sector
banks is greater than the private ones.
6. Privatevs. Public Bank Comparison | Prasann Patel Page 5 of 13
Demand & Saving Deposits Ratio
The sum of money that is given to a bank but can be withdrawn as per the
requirement of the depositor. Amounts that are lying in the savings and current
accounts are known as demand deposits because they can be used at any point of
time.
Demand Deposit Ratio = Demand Deposit / Total Deposit.
Saving Deposit Ratio = Saving Deposit / Total Deposit.
0
5
10
15
20
25
2012 2013 2014 2015 Mean
Demand DepositeRatio
SBI PNB BoB ICICI HDFC Axis
7. Privatevs. Public Bank Comparison | Prasann Patel Page 6 of 13
As shown in table the ratio of demand deposit is more in HDFC bank (20.71)
followed by another private sector bank AXIS (20.37). Demand deposit is more in
private sector banks than in public banks it may be because no interest is paid on
these accounts except in special cases where a large dormant balance is kept which
could otherwise be transferred to the savings deposits.
Similarly, ratio of savings deposit to total deposit is maximum in case of SBI (32.36)
followed by Axis bank. It is an account at a bank in which the customer deposits
money for any non-immediate use. For example, one may utilize a savings deposit to
save funds for an expensive purchase, such as a house or a car. Because most
customers keep money in a savings deposit for a longer period than a checking
account, a savings deposit pays a slightly higher interest rate. The savings deposit
ratio is uncorrelated to the type of banking sector.
Net Interest Margin (NIM)
The net interest margin helps a company determine whether or not it has made
wise investment decisions. A negative net interest margin indicates that interest
expenses exceed investment returns and that the company therefore has a net
negative return. A positive net interest margin indicates the opposite.
Net Interest Margin = (Interest Received - Interest Paid)/ total Assets. It is also
termed as spread. This difference is used to cover all sorts of expenses incurred by
bank. The more is the spread, the more is the profit of the bank.
Year SBI PNB BoB ICICI HDFC Axis
2011 2.3 2.8 2.4 2.2 4.2 2.6
2012 2.4 3 2.2 2.1 3.9 2.9
2013 2.9 3.2 2.6 2.1 4.1 2.8
2014 3.3 3 2.4 2.3 3.9 2.9
Mean 2.72 3 2.4 2.17 4.02 2.8
Source: Journal of Business Management& Social Sciences Research (JBM&SSR)
8. Privatevs. Public Bank Comparison | Prasann Patel Page 7 of 13
As shown in table NIM of HDFC is more than others i.e. 4.02 which shows that
interest earned by HDFC bank is much more than expended and other banks are
earning less interest. Interest earned by bank is there foremost income which is
more in case of HDFC and other banks following are almost at same level and chart
shows that there is very less variation in case of HDFC bank and more variation in
SBI bank. So here HDFC banks remains as an outlier and rest all ranks from both
sector fall under a similar curve.
Debt-Equity Ratio
The debt-to-equity ratio is a financial ratio indicating the relative proportion of
entity's equity and debt used to finance an entity's assets. If the ratio is increasing,
the company is being financed by creditors rather than from its own financial
sources which may be a dangerous trend. A debt-to-equity ratio is calculated by
taking the total liabilities and dividing it by the shareholders' equity as
Debt-to-equity ratio = Debt / Equity
Year SBI PNB BoB ICICI HDFC Axis
2011 15.4 14.1 15.5 15.4 10.1 12.9
2012 14.9 14.7 16.5 14.9 8 9.9
2013 16.7 15.5 15.2 16.7 8.7 11.3
2
2.5
3
3.5
4
4.5
2011 2012 2013 2014
Net Intrest Margin
SBI PNB BoB ICICI HDFC Axis
9. Privatevs. Public Bank Comparison | Prasann Patel Page 8 of 13
2014 14.8 14.6 14.6 14.8 9 11.2
Mean 15.45 14.72 15.45 15.45 8.95 11.32
Sources: 1. JBM&SSR 2. Blue Ocean Research Journals
We can see from the data that banks like SBI and BoB suffer from high debt/equity
ratio and banks like Axis and HDFC which are private have a much lower ratio. In
PSB this happens much more often as they are driven by the government and hence
they have a lot of political pressure from above there power level and therefore
sometimes they have to loan money to those borrowers which have poor credit
score in terms of re-payment. A good example of such a disastrous loaning is the
power sector.
Return on Assets and Equity
Return on assets is the ratio of annual net income to average total assets of a
business during a financial year. It measures efficiency of the business in using its
assets to generate net income. One of the most important profitability metrics is
return on equity. Return on equity reveals how much profit a company earned in
comparison to the total amount of shareholder equity found on the balance sheet.
2
4
6
8
10
12
14
16
18
2011 2012 2013 2014 Mean
Debt-Equity Ratio
SBI PNB BoB ICICI HDFC Axis
11. Privatevs. Public Bank Comparison | Prasann Patel Page 10 of 13
The return is closely related to the overall profitability. In this case banks like HDFC
and Axis have about 15-20% higher RoA than banks that fall under public sector.
Previously derived conclusions also support this this trend.
On the other side ROE seems to be almost similar in almost all the banks with
minute variation. Here, PNB and BoB seem to be having the highest ROE which in
turn points toward towards fairly better performance than its competitors,
Non-Performing Assets (NPAs)
A Non-performing asset (NPAs) is said as the credit facility with respect of which the
interest and installment of Bond finance principal has remained past due for the
specified period of time. The NPA is used by financial institutions that refer to the
loans that are in jeopardy of default. When the borrower has failed to make interest
or principle payments for 90 days then the loan is said to be a non-performing asset.
The non-performing assets are much problem full for the financial institutions since
they depend on the interest payments for the income. The troublesome pressure
from economy can lead to sharp increase in the non-performing loans and often
results in massive write-downs.
(Various ratios of thePSU banks for FY-2011-12 toFY-2015-16)
NPA Ratios FY-2011-2012 FY-2012-2013 FY-2013-2014 FY-2014-2015 FY-2015-2016
Gross NPA (SBI) 39,676.46 51,189.39 61,605.35 56,725.34 98,172.80
Net NPA (SBI) 15,818.85 21,956.48 31,096.07 27,590.58 55,807.02
% Growth of Net NPA (SBI) 0.00% +15.38% +22.38% -17.5% +79.71%
Gross NPA (PNB) 8,719.62 13,465.79 18,880.06 25,694.86 55,818.33
Net NPA (PNB) 4,454.23 7,236.50 9,916.99 15,396.50 35,422.57
% Growth of Net NPA (PNB) 0.00% +54.6% +21.27% +42.45% +112.06%
Average% of NNPA of PSU Banks 1.67 2.225 2.71 3.09 6.21
Average% of NNPA Growth of PSU 0.00% +33.23% +21.79% +14.02% +100.97%
(Various ratios of thePrivateBanksfor FY-2011-12to FY-2015-16)
NPA Ratios FY-2011-2012 FY-2012-2013 FY-2013-2014 FY-2014-2015 FY-2015-2016
Gross NPA (HDFC) 1,999.39 2,334.64 2,989.28 3,438.38 4,392.83
Net NPA (HDFC) 352.33 468.95 820.03 896.28 1,320.37
% Growth of Net NPA (HDFC) 0.00% 0.00% +50% -33.34% +40%
Gross NPA (ICICI) 9,475.33 9,607.75 10,505.84 15,094.69 26,221.25
Net NPA (ICICI) 1,860.84 2,230.56 3,297.96 6,255.53 12,963.08
% Growth of Net NPA (ICICI) 0.00% +5.47% +25.97% +65.97% +85.09%
Avg% of Net NPA of PrivateBanks 0.465 0.485 0.635 0.905 1.59
Average% Growth of NNPA of
PrivateBanks
0.00% +4.3% +30.92% +42.51% +75.69%
Source: International Journal ofAdvanced Research in CS Vol. 8 No. 1 Feb -2017 – Dr. Miyan
12. Privatevs. Public Bank Comparison | Prasann Patel Page 11 of 13
The results and trends show that NPAs are having a downward trend over the study
period from earlier, but Non Performing Assets of public sector banks are still
higher than private sector banks. The returns on the assets have also the downward
trends but this is much lower in PSU banks as compared to private banks. The core
management of private sector banks is more professional, much competent and
expertise than the PSU banks. So, they are more competent in making plans to
recover funds from borrowersincluding both institutional and individuals. The
public sector banks are required to lend money to the poorer sections of the society
also, where the recovery chances is very low. That is why, the NPAs of public sector
banks have sharp declining trend, and still it is much higher than private sector
banks. Now the various steps have been taken by the government for recovery and
reducing the NPAs of PSU banks. The one time settlement scheme i.e., compromise
scheme, Debt Recovery Tribunals and Lok Adalats.
Product comparison
Both Public and Private Sectors banks are striving very hard to win the customers
with varieties of innovative services. Though Private Sectors banks are
comparatively having less experience in Indian market but they have quickly well
understood Indian Consumers. Those Public Sector Banks which have reinvented
their marketing approach remained competitive. Customers start perceiving both
public and private banks equally in terms of service quality, knowledge of
employees and overall marketing approach of banks. Private sector banks
successfully woo more number of young customers. So both public and private
sector banks will have opportunities and threats generated by initiatives of each
other. But in terms of customer satisfaction and availing services, private sector
banks perform much better and have the potential to offer more amount of services
and with better quality of service as they have much less customer base than that of
public sector banks and their customer base in concentrated more in urban area
compared to rural area where public is unaware of latest upcoming technology due
to poor education system as well as lower internet access which serves as a major
source of information in today’s world. Also, private sector banks do not have to
worry so much about their customer’s ability to grasp and trust new technologies
that may involve use of other already present resources like a smartphone and
internet access. Private sector banks in general as more adaptive to latest
innovations in technologies and often have enough funds to collaborate with other
sectors like the information and communication technology sector which helps
13. Privatevs. Public Bank Comparison | Prasann Patel Page 12 of 13
them largely to penetrate into the market. Whereas on the other side, public banks
are liable to public and they have to suit the needs of the majority of the Indian
population which involves them to not just to scale in urban area where the ratio of
their profit is more but they also have to concentrate on the poor regions of the
country and their upbringing which drains lot of their resources. Also, as seen
before public sector banks have lower profit margins, higher debts, and higher NPAs
which reflects largely in their product performance. Private sector on the other
hand can provide variety of services like Checking accounts Savings accounts, Debit
& credit cards, Insurance, Wealth management, Business loans, Checking accounts,
Savings accounts, Debit and credit cards, Merchant services (credit card processing,
reconciliation and reporting, check collection), Cash management (payroll services,
deposit services, etc.), Online, mobile, and tablet banking, Mobile check deposit, Text
alerts, E-Statements, E -wallets, Online bill pay, Personal loans, Home equity loans,
Home equity lines of credit, Home loans, Business loans etc.. Though, since last
decade PSU banks have improved tremendously in lots of ways to stay in the game.
Results& Findings
The foregoing analysis of SBI shows that even though this public sector bank has
penetrated fundamentally resulting in high assets available in the Indian economy
more than any other banks it keeps lower profit margin keeping the fact in mind
that it is a public sector bank. So, SBI needs to escalate it’s NIM in order to gain more
profit. Their deposits are being utilized in a decent manner as their CDR is well
associated and interest is also given on it. Also their debt-equity ratio is fairly high
while their return on assets as lower in comparison to other private sector banks
which effects there net profit. The biggest concern for SBI is it’s tremendously high
NPAs which need to be lower significantly to make a change.
In case of PNB, their overall performance is satisfying when compared to other
public sector banks considering it’s size but their NIM is very less which indicates an
unwise investment. Also, similar to SBI it also needs to concentrate on it’s debt-
equity ratio depending upon costumer credibility. NPAs of PNB should also be kept
a regular check upon as it is increasing with a positive slope.
For BoB, the most important parameter which prohibiting better performance is it’s
very poor NIM. But, on the brighter side it has very loyal and punctual customers
indicated by one of the highest returns on both assets and equity which is a good
indicator in terms of performance.
14. Privatevs. Public Bank Comparison | Prasann Patel Page 13 of 13
For most of the private sector banks their NIM are fairly high and their demands and
savings deposits are also high. But ICICI has the lowest NIM out of all 6 banks in this
study case which is a very poor indicator as it is a private bank. It also have
consistently high debts and poor returns as well. All factors combined ICICI is
performing very much under the weather. Its NPAs statistics are also not helping its
performance matric at all.
For HDFC, it has very high CDR which is a great sign for increase in profitability and
in this case NIM are an outlier on a positive edge and deposits are high which has
drastically impacted the Net Profit. It has low debts and high returns which
contribute more towards performance. Its low NPAs also rightly sustaining and
boosting its performance. Out of all six banks HDFC seems to be doing the best
based on the data analyzed in this study.
Lastly, Axis bank is performing moderately in most of the variables making it one of
the most stable banks in terms of performance. It has very high rate of returns
which is worthy of commendable performance review specially with lower profit
margins in association with others.
References
Journal of Business Management & Social Sciences Research (JBM&SSR) ISSN No: 2319‐ 5614
Volume 2, No.7, July 2013
International Journal of Advanced Research in Computer Science A Comparative Statistical
Approach Volume 8, No.1, Jan-Feb 2017 towards NPA of PSU and Private SectorBanks in
India Dr. Mohammad Miyan
Indian Brand Equity Foundation Annual bank report www.ibef,org
RBI Bulletin
ICFAI Journal of Bank Management No7vol 3 Jan 2008
Citing InternetSources
https://www.rbi.org.in/scripts/BS_ViewBulletin.aspx
http://www.moneycontrol.com/
http://www.equitymaster.com/