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Banking in India

Overview of the banking industry

Overview of Banking in India

The Reserve Bank of India is the country’s central bank. It was established in 1935 in accordance with the Reserve Bank of India Act, 1934. The RBI oversees banking in India and performs the following key functions:

  1. Acts as a monetary authority
  2. Acts as a regulator and supervisor of the financial system
  3. Manages foreign exchange
  4. Issues currency
  5. Perform related functions

 

Guide to Banking in India

 

The different types of banks in India are:

  • Commercial banks
  • Scheduled banks
  • Non-scheduled banks
  • Co-operative banks
  • Foreign banks
  • Regional rural banks

 

According to Moody’s, banking in India is stable, which reflects “… a stable operating environment and improved prospects for asset quality, among other factors.”

For anyone considering a banking career in India, this list is a helpful guide on where to start. To learn more, see our list of financial institutions.

 

Top banks in India are:

 

State Bank of India

Established in 1806, the State Bank of India is headquartered in Mumbai. The state-owned bank comprises Treasury, Corporate/Wholesale Banking, Retail Banking, Insurance Business, and Other Banking Operations segments.

The bank operates through a network of 24,017 branches and 59,263 ATMs in the country and maintains an international presence in 36 countries. It currently employs around 210,000 staff.

As of 2016, total assets of the bank were US$460 billion and net profit was US$1.52 billion.

 

HDFC Bank

HDFC Bank offers a wide range of banking and financial services to individuals and businesses in India, Bahrain, Hong Kong, and Dubai. Established in 1994, the private bank is headquartered in Mumbai. It operates in Treasury, Retail Banking, Wholesale Banking, and Other Banking Business segments.

As of March 31, 2017, the bank operated a network of 4,715 branches and 12,260 ATMs in 2,657 cities/towns.

In 2016, the bank reported total assets of US$132.94 billion and a net profit of US$2.23 billion.

 

ICICI Bank

Founded in 1955, ICICI Bank operates from its headquarters in Mumbai and employs around 110,000 individuals. The bank offers financial services in India and abroad through its Retail Banking, Wholesale Banking, Treasury, Other Banking, Life Insurance, General Insurance, and Others segments. As of March 31, 2017, it managed a network of 4,850 branches and 13,882 ATMs.

As of 2016, the bank’s assets totaled US$110.90 billion and net profit amounted to US$4.14 billion.

 

Punjab National Bank

Established in 1895, Punjab National Bank provides banking and financial products and services in India. With around 68,986 employees, the bank is headquartered in New Delhi.

As of March 31, 2017, it operated a network of 13 zonal offices, 76 circle offices, 6938 branches, and 10,681 ATMs. It also manages four branches and four representative offices in other countries.

In 2016, the bank reported total assets of US$102.7 billion and a net loss of US$0.61 million.

 

Axis Bank

Axis Bank was incorporated in 1993 and was formerly known as UTI Bank Limited. In July 2007, it changed its name to Axis Bank Limited. The company offers cooperate and retail banking products in India. It is headquartered in Mumbai City, employing around 56,000 individuals.

As of March 31, 2017, it operated 3,304 branches/extension counters and 14,163 ATMs.

As of 2016, total assets of the bank were US$83 billion and net profit was US$1.26 billion.

 

Canara Bank

Headquartered in Bengaluru City, Canara Bank was founded in 1906. It provides banking products and services in India and employs around 59,000 staff. As of March 31, 2017, the bank operated 6,083 branches, including 8 overseas branches and 10,519 ATMs.

In 2016, the bank’s total assets reached US$85.09 billion and net loss amounted to US$43.28 million.

 

Bank of Baroda

Established in 1908, Bank of Baroda offers various banking products and services to individuals and corporate customers. As of June 14, 2017, the bank operated 5,433 branches in India, as well as 107 branches abroad. With around 56,000 employees, it is headquartered in Vadodara.

In 2016, the bank reported total assets of US$103.31 billion and a net loss of US$840 million.

 

Union Bank

Union Bank is headquartered in Mumbai. The bank operates in four segments: Treasury Operations, Corporate and Wholesale Banking, Retail Banking Operations, and Other Banking Operations. It manages a network of 4,278 branches in India, four branches and three representative offices in other countries, and 7,518 ATMs.

Founded in 1919, Union Bank employs around 36,877 individuals. As of 2016, the bank’s total assets were US$69.67 billion and net profit was US$16.65 million.

 

IDBI Bank

Headquartered in Mumbai City, IDBI Bank provides banking and financial solutions to retail and corporate clients in India through its 18,000 employees. It was established in 1964 and was formerly known as IDBI Ltd. In May 2008, it changed its name to IDBI Bank Limited.

As of March 31, 2017, the bank operated 1,896 branches and 3,537 ATMs. In 2016, the total assets of the bank reached US$23.56 million and net profit amounted to US$6.45 million.

 

Bank of India

Founded in 1906, Bank of India offers various banking and financial services. It operates in four segments: Treasury Operations, Corporate and Wholesale Banking, Retail Banking Operations, and Other Banking Operations.

The bank manages approximately 5,016 branches in India and 29 branches abroad, as well as 32 representative offices. With around 48,000 employees, it is headquartered in Mumbai.

In 2016, the bank posted total assets of US$94.9 billion and a net loss of US$937 million.

 

Careers in investment banking

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Additional resources

This has been CFI’s guide to banking in India. For anyone looking for a career in banking, this list is a great place to start your networking. Please also see these additional resources:

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