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Growing volume of stressed assets… A bank for women, by women Lacklustre credit expansion Small finance banks offer high interest rates Greet Lakshmi the banking robot Why priority status? Emerging crisis Small finance payment banks... Reaching out: is it slowing down? Who is the real beneficiary? Needed a Banking Atlas Merger mania haunts banks Grows Bigger Holy or unholy? Capital base of regional rural banks raised Governance in Reverse Gear? The paradox: clamour for the Goliath and David The collaboration suite of cyber criminals One down in private sector Two banks: their jubilees and performances Aadhaar, niraadhaar and banking Drastic decline in asset quality Rationalised New capitals of Migrant banks Ferrying digital banking to Lakshadweep Cautious and considerate Financial inclusion vs unclaimed deposits Another route for achieving financial inclusion Smart banking in smart cities Bottomlines shrink, bad loans rise... Growing gainfully New bank licences, at last... How ‘secure’ are the secured loans? Cut in repo rate – lower than expected Payment banks have arrived Indian customers are tech savvy Good, bad and ugly Fund healthcare clinics in villages... Just 660 days! Target over-ambitious... Banking in Telangana Anytime banking to anywhere banking Thirty more cities seek to become SMART Small is ‘more’ beautiful Ernakulam excels... Mega merger is on Cradle of banks to a smart city... Banking overhauling or reorganisation? Too big to fail and too small to sail Insatiable appetite for credit A development bank for BRICS Hesitancy in announcing year-end results What is the priority – mergers or NPA reduction? From lazy banking to easy banking Stage set for Indian ‘avatar’ of foreign banks Why any time money? Managing NPAs... How okay are new banks? Bank deposits account for 46.3 per cent of household savings LVB- A supermarket of financial services Reaching the Unreached… Big bank merger, bigger expectations Targets continue to be ad hoc It’s a war on black money, support it. Drop in SLR- sparing lendable resources A new development bank rising in the east… United India Insurance - Rs 110 crore losses have been claimed till now due to floods in Tamil Nadu All that glitters is not gold... Well-lived... Perhaps small is more beautiful than big! Banking on Risk Nothing much can happen…. Monetary policy continues to adopt dis-inflationary path
 
Governance in Reverse Gear?

Public sector banks have come under criticism for their lacklustre performance on the profitability front during FY 2014, attributing to their miserable plight to the absence of effective corporate governance. The mounting volume of non-performing assets is causing concern to both the owner and the regulator. The performance of banks in the private sector, particularly of the new generation, by comparison, has been much better.

There are certain sections of lobbies influencing the policy-makers, which plead for total privatisation of the banking sector. They are drawing inspiration perhaps from one of the wisest rulers of Delhi - Mohammad bin Tugluk - who was said to be quick in reversing his decision at any cost. Though the birth of public sector banks was based on political considerations, over the years they have irreversibly changed the banking map of the country. Rural India finds a place in the banking map today due to their efforts. To cite an example, which private sector bank would have dared to go to Lakshadweep islands? It was a public sector bank, which went there in 1972 and opened nine branches.

The track record of new generation banks of the private sector in entering into rural banking is dismal. Even after two decades’ of operations, only 17 per cent of their branches are located in rural areas, while the whole banking sector has 37 per cent of its branches functioning in rural areas. De-nationalisation of banks, at this stage would denigrate rural development.

Mounting non-performing assets of public sector banks is, no doubt, the most undesirable development. But bank managements alone cannot be blamed for this, since deceleration of economic growth has all pervasive impact on the economy. Slackness in corporate management is the other major factor responsible for this. Total professionalisation of the bank boards is the need of the hour. It is necessary to make a review of the norms stipulated for board-level representations.

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