Project about banking

1. BANKING “BANKING IS WHAT A BANK DOES”

2. DEFINITION of BANKing Banking Regulation Act 1949 defines banking as, “ACCEPTING FOR THE PURPOSE OF LENDING AND INVESTMENT, OF DEPOSITS OF MONEY FROM THE PUBLIC, REPAYABLE ON DEMAND, ORDER OR OTHERWISE AND WITHDRAWABLE BY CHEQUE,DRAFT,ORDER OR OTHERWISE”.

3. BANK IS PART OF FINANCIAL SYSTEM Financial system is one which supplies the necessary financial inputs for the production of goods and services. Economic development of any country depends upon the existence of well organized financial system.

4. Financial system Financial markets Financial intermediaries Financial assets Financial instruments B A N K S

5. BANKING SYSTEM There has been a rapid development in the banking institutions in various countries. W ith development, various systems of banking have come into existence. Banks can be classified on the basis of volume of operator, business pattern & areas of operations.

6. COMMON bankingSYSTEM BRANCH BANKING UNIT BANKING CORRESPONDANCE BANKNG DEPOSIT BANKING INVESTMENT BANKNG MIXED BANKING UNIVERSAL BANKNG

7. CLASSIFICATION OF BANKING Banking institutions are indispensable part in a modern developing society. On the basis of functions performed banks can be classified as follows.

8. BANKING STRUCTURE

9. INDIAN BANKING UNIVERSE

10. SECONDARY FUNCTIONS

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12. RESERVE BANK OF INDIA RBI was established in 1 st April 1935. Present governor is Duvvuri Subbarao . There are 22 regional offices and most of them in share capital.

13. CENTRAL BANK OF INDIA It was started as shareholders bank with a paid up capital of 5crores. It was privately owned. In 1949, RBI was fully owned by government.

14. First governor Sir OSBORNE A. SMITH. [April 1st 1935 to June 30,1937] ( AUSTRALIA).

15. first Indian Governor Sir CHINTAMAN D. DESHMUKA ( August11,1943 to June30,1949).

16. LIST OF GOVERNOR IN RBI HE IS MR.YAGA VENUGOPAL REDDY. HE WAS ELECTED AS GOVERNOR FROM PERIOD (6 TH SEPTEMBER 2003 TO 5 TH SEPTEMBER 2008).

17. PRESENT GOVERNOR OF RBI MR.DUVVURI SUBBARAO WAS THE 22 ND & CURRENT GOVERNOR OF RBI. HE ELECTED FOR PERIOD OF (5 TH SEPTEMBER 2008 TO 4 TH SEPTEMBER 2013).

18. FUNTIONS OF RBI To regulate the issue of bank notes and keep reserves , with a view to secure monetary stability in India. Generally to operate the currency and credit system of the country.

19. ORGANISATION CENTRAL BOARD---MUMBAI. LOCAL BOARD----MUMBAI, DELHI, CHENNAI, KOLKATA.

20. FUNCTION OF CENTRAL BOARD & LOCAL BOARD FUNCTION OF CENTRAL BOARD: General superintendence and direction of the bank’s affairs. FUNCTIONS OF LOCAL BOARD: Advise to the Central Board and economic interest of local co-operative indigenous bank.

21. FUNCTIONS OF RBI TRADITIONAL FUNCTION PROMOTIONAL FUNCTION SUPERVISORY FUNCTION

22. TRADITIONAL FUNCTION Monopoly of currency notes issue. Banker to government (both central &state) Agent & Advisor to Government Banker to Banker’s Act as clearing house of country Lender of last resort Controller of credit Custodian of foreign exchange reserves.

23. PROMOTIONAL FUNCTION Promotion of banking habit and expansion of banking system Provider refinance for expert promotion Expansion of facilities for provision of the agricultural credit through NABARD Extension of n facilities for SBI Helping Co-Operative sector Prescribe minimum statutory requirement. Innovating new banking business transactions.

24. SUPERVISIORY FUNCTION Granting license to banks Inspects and makes enquiry in various section of RBI and banking regulations. Implement deposit insurance scheme Periodical review of work of the commercial bank Giving directives to commercial bank Control non banking finance corporation Ensuring health of financial corporation system through on site & offsite verification.

25. STATE BANK OF INDIA ACTS AS AGENT OF RESERVE BANK OF INDIA.

26. Evolution of sbi EVOLUTION OF SBI CAN BE TRACED BACK TO THE FIRST DECADE ON 19 TH CENTURY. IT BEGAN WITH ESTABLISHMENT OF THE BANK OF CALCUTTA ON 2 ND JUNE 1806. ON 2 ND JANUARY 1809 RENAMED AS THE BANK OF BANGAL.

27. FIRST JOIINT STOCK BANK IN BRITISH INDIA ESABLISHED UNDER THE SPONSORSHIP OF GOVERNMENT OF BENGAL. FOLLOWED BY BANK OF BENGAL: BANK OF BOMBAY-15 TH APRIL1840 BANK OF MADRAS-1 ST JULY 1843 THESE THREE DOMNIATED MODERN BANKING SCENARIO IN INDIA.

28. THREE BANKS WERE AMALGAMATED TO FORM THE IMPERIAL BANK OF INDIA ON 27 TH JANUARY 1921. TO SERVE THE ECONOMY IN ACCORDANCE WITH FIVE YEAR PLAN (1951), THE ALL INDIA RURAL CREDIT SURVEY COMMITTEE PROPOSED THE TALE OVER OF THE IMPERIAL BANK OF INDIA.

29. AN ACT WAS PASSED IN PARLIMENT OF INDIA IN MAY 1955 . AS A RESULT THE STATE BANK OF INDIA WAS ESTABLISHED ON 1 ST JULY 1955.

30. ON 1959 SBI [SUBSIDARY BANKS ] ACT WAS PASSED . IT ENABLED THE SBI TO MAKE EIGHT STATE ASSOCIATED BANKS AS ITS SUBSIDIARIES.

31. SUBSIDIARIES OF SBI: STATE BANK OF BIKANER & JAIPUR STATE BANK OF HYDRABAD STATE BANK OF MYSORE STATE BANK OF PATIALA STATE BANK OF TRAVANGORE

32. Products & Services of SBI E-TICKETING SBI E-TAX EZTRADE @ SBI RTGS/NEFT E-PAYMENTS FUND TRANSFER THIRD PARTY TRANSFER DEMAND D RAFT

33. CHEQUE BOOK REQUEST ACCOUNT OPENING REQUEST ACCOUNT STATEMENT TRANSACTION ENQUIRY DEMAT ACCOUNT DONATION STATE BANK VIRTUAL CARD GREEN CHANNEL COUNTER KIOSK BANKING SYSTEM

34. 65% 52% 35% 48% RECENT TRENDS

35. RECENT TRENDS IN COMMERCIAL BANKING BANKING SECTOR IS THE HEART OF ECONOMY . IN 1969, 14 BANKS WERE NATIONALISED AND FOLLOWED BY 6 BANKS IN 1980. BANKING SECTOR WERE FULLY COMPUTERISED IN 1985. SOME OF THE RECENT TRENDS ::

36. NET BNKING It is also known as Internet banking or Online Banking. It is the process of conducting Banking transactions over the internet.

37. MOBILE BANKING It is also known as M-Banking. The customer can operate his account over the mobile phone.

38. PHONE BANKING The customer can obtain information about his account quickly, but however deposit and withdrawal cannot be made over the phone. Otherwise the information about his account can obtain.

39. REAL TIME GROSS SETTLEMENT It is the system of funds transfer from one to another. The transactions are settled one to one without bunching with any other transactions .Once processed the payments are final and irrevocable. . Minimum amount of remittance is Rs.2 lakhs and no upper ceiling is there.

40. NATIONAL ELECTRONIC FUNDS TRANSFER It is a system of funds transfer . Its simple, secure, safe, fastest and cost effective pay to transfer of funds. To use this facility they furnish INDIAN FINANCIAL SYSTEM CODE[IFSC], of the beneficiary and also branch name, full account number of the beneficiary. It is chargeable .

41. MONEYGRAM MoneyGram is a new internet based remittance product. It is cashless money transfer. These facilities available to NRIs to remit money to India.

42. XPRESS MONEY X-Press money offered in arrangement with M/s UAE exchange financial service limited for remitting money to India. Money can be remitted from 180 countries across the globe.

43. MINISTRY OF COMPANY AFFAIRS This facilities is provided by some banks only. MCA Payments can be done via credit card, internet banking and physical challan currently.

44. Kiosk banking It performs basic banking activities.

45. Green channel counter STATE BANK OF INDIA introduced this services on 1 st July 2010 at 57 pilot branches across country. Through this one can do all works in bank without using challen .

46. CHEQUE TRUNCATION SYSTEM It is a image based clearing system. It is issued u/s 18 of the payment & settlement system act 2007.

47. THANKS FOR WATCHING… by 3 RD B.COM STUDENTS STAFF ADVISOR DR.S.KOTHAI.