Indian_Financial_Systems_Assignment.pptx

Indian Financial Systems

1. Indian Financial System Name: Shriyanshu Kate Class: T.Y.B.Com Subject: Banking & Finance University: Savitribai Phule Pune University

2. Introduction • The Indian Financial System plays a vital role in the economic development of the country. • It acts as a bridge between savers and investors. • Promotes capital formation, employment, and overall growth. • Ensures smooth flow of funds in the economy.

3. Meaning of Financial System • A set of institutions, instruments, markets, and services that facilitate fund transfer within an economy. • Promotes savings, investments, and economic stability. Definition (RBI): “The financial system comprises institutions, markets, instruments, and services that promote savings and investment.”

4. Structure of Indian Financial System 1. Financial Institutions: - Banking Institutions: SBI, HDFC, NABARD, SIDBI - Non-Banking Institutions: LIC, UTI, Mutual Funds 2. Financial Markets: - Money Market (short-term) - Capital Market (long-term): Primary & Secondary - Foreign Exchange & Credit Markets

5. Financial Instruments & Services Financial Instruments: • Money Market: Treasury Bills, Commercial Papers • Capital Market: Shares, Bonds, Debentures • Derivatives: Futures, Options, Swaps Financial Services: • Banking & Insurance • Investment & Advisory • Mutual Funds, Financial Planning

6. Role & Regulatory Institutions Roles: • Mobilizes savings and allocates credit • Promotes investment and growth • Maintains financial stability Regulatory Bodies: • RBI – Regulates banks & money supply • SEBI – Regulates stock market • IRDAI – Oversees insurance sector • PFRDA – Regulates pensions • NABARD – Promotes rural finance

7. Recent Developments & Challenges Recent Developments: • Digital Banking & UPI revolution • Financial Inclusion: Jan Dhan Yojana • Fintech Growth • Capital Market Reforms Challenges: • NPAs in banks • Financial illiteracy • Cybersecurity threats • Regulatory overlaps • Access to finance

8. Conclusion & Bibliography Conclusion: • The Indian Financial System is the backbone of the economy. • Ensures efficient allocation of resources. • Continuous improvement in regulation & financial literacy needed for sustainable growth. Bibliography: 1. www.rbi.org.in 2. www.sebi.gov.in 3. M.Y. Khan – Indian Financial System 4. Govt. Economic Survey 5. Class Notes & Online Research