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