The first bank of limited liability managed by Indians was Oudh Commercial Bank founded in 1881. Subsequently, Punjab National Bank was established in 1894. Swadeshi movement, which began in 1906, encouraged the formation of a number of commercial banks. Banking crisis during 1913-1917 and failure of 588 banks in various parts of the country during the decade ended 1949 underlined the need for regulating and controlling commercial banks. The Banking Companies Act was passed in February 1949, which was subsequently amended to read as Banking Regulation Act, 1949. This Act provided the legal framework for regulation of the banking system in India.
The largest bank - Imperial Bank of India - was nationalised in 1955 and renamed as State Bank of India, followed by formation of its 7 Associate Banks in 1959. With a view to bringing commercial banks into the mainstream of economic development with definite social obligations and objectives, the Government of India issued an ordinance on 19 July 1969 acquiring ownership and control of major banks in the country. Six more commercial banks were nationalised from April 1980.
As certain rigidities and weaknesses were found to have developed in the banking system during the late eighties, the Government of India felt that these had to be addressed to enable the financial system to play its role in ushering in a more efficient and competitive economy Accordingly, a high-level Committee on the Financial System (CFS) was set up on 14 August 1991 to examine all aspects relating to the structure, organization, functions and procedures of the financial systems. Based on the recommendations of the Committee (Chairman: Shri M.Narasimham), a comprehensive reform of the banking system was introduced in 1992-93.
To review the record of implementation of financial system reforms recommended in 1991 by the Committee on Financial System and chart the path of reforms in the years ahead, a high-level Committee on Banking Sector Reforms, under the Chairmanship of Shri M.Narasimham was constituted by the Government of India in December 1997. The Committee submitted its report in April 1998. Some of the recommendations of the Committee, on prudential norms, Capital Adequacy Ratio, classification of Government guaranteed advances, provisioning requirements on standard advances and more disclosures in the Balance Sheets of banks were accepted and implemented. Recent major initiatives undertaken for strengthening the financial sector in pursuance to the recommendations of the above Committee relate to guidelines to banks on Asset-Liability Management and integrated risk management systems, compliance with Accounting Standards, consolidated accounting and supervision, fine-tuning of prudential norms for income recognition, asset classification and provisioning for NPAs, etc. The guidelines on setting-up of Off-shore Banking Units in Special Economic Zones, Fair Practices Code for Lenders, Corporate Governance, Anti-Money Laundering measures, Know Your Customer (KYC) norms, Corporate Debt Restructuring (CDR) derivatives, guidance notes on Credit Risk, Market Risk, Operational Risk, etc., are other important developments introduced in the banking sector in recent years. RBI has also issued revised guidelines on migration to Basel II Framework on Capital Adequency. The Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 has facilitated NPA management by banks more effectively.
In 1993, in recognition of the need to introduce greater competition, new private sector banks were allowed to be set up. Licenses were issued to 10 banks which had satisfied the necessary regulatory requirements. Subsequently in 2001, fresh guidelines for setting up new private sector were issued and two banks were issued license under those guidelines. A draft comprehensive policy framework for ownership and governance in private sector banks was put in the public domain on 2 July 2004 for discussion and feedback. After taking into consideration the feedback received from all concerned and in consultation with Government of India, RBI issued detailed Guidelines on ownership and governance in private sector banks on 28 February 2005. The underlying principles of the guidelines inter alia are to ensure that the all banks in the private sector have a networth of 300 crore, ultimate ownership and control of private sector banks is well diversified, important shareholders (i.e., shareholding of 5 per cent and above) conform to the 'fit and proper' criteria. The directors and the CEO who manage the affairs of the bank should also satisfy the 'fit and proper' criteria. The guidelines also provide for restrictions on cross holding above 5 per cent by one bank/Financial Institution (FI) in another bank/FI and observance of sound corporate governance principles.
On a review of corporate governance practices in Banks in 2007, RBI advised banks in private sector to ensure that their Memorandum and Articles of Association conform to the above mentioned stipulations. Banks in private sector were also advised to split the posts of Chairman/MD/CEO and have a part time Chairman of the Board of Directors and a separate Chief Executive Officer /Managing Director who would be responsible for day-to-day management/activities of the bank.
Reserve Bank of India issued guidelines on May 11, 2005 for merger/ amalgamation of private sector banks for consolidation in the banking sector. The guidelines are applicable where the merger takes place between two banking companies or between a banking company and a non-banking financial company
Print media are lightweight, portable, disposable publications printed on paper and circulated as physical copies in forms we call books, newspapers, magazines and newsletters. They hold informative and entertaining content that is of general or special interest. They are published either once or daily, weekly, biweekly, monthly, bimonthly or quarterly. Print Media is the oldest form of media. But even today it is growing from strength to strength. Around 4000 small, medium and large newspapers and magazines across the county are registered with the Registrar of Newspapers every year. This indicates that it is a growing sector where employment opportunities are increasing with each passing day. Most of the young aspirants who want to enter the print media prefer reporting, but newspapers and magazines also seek young talent as photographers, artists, editors, computer experts, librarians, and cartoonists. Students who have writing ability, graphics or photo skills, curiosity and deter →
Swachh Survekshan-2017 commissioned by the Ministry of Urban Development during January – February, 2017 aimed at capturing the improvement in sanitation scenario, primarily based on making cities and towns Open Defecation Free and improvement in processing of municipal solid waste. Accordingly, it is outcome oriented. Criteria and weightages for different components of sanitation related aspects used for the Survey are: Solid Waste Management including Door-to-Door collection, Processing and Disposal, ODF status etc: 45% of total 2,000 marks i.e 900 marksCitizen feedback : 30% i.e 600 of total marksIndependent observation : 25% i.e 500 marks List of the cities and their rank Ranking City State 1 Indore Madhya Pradesh 2 Bhopal Madhya Pradesh 3 Visakhapatnam (Vizag) Andhra Pradesh 4 Surat Gujarat 5 Mysuru (Mysore) Karnataka 6 Tiruchirappalli (Trichy) Tamil Nadu 7 New Delhi Municipal Council (NDMC) Delhi 8 Navi Mumbai →
Micro Credit is defined as provision of thrift, credit and other financial services and products of very small amount to the poor in rural, semi-urban and urban areas for enabling them to raise their income levels and improve living standards. Micro Credit Institutions are those which provide these facilities. What is a Self-Help Group ? A Self-Help Group (SHG) is a registered or unregistered group of micro entrepreneurs having homogenous social and economic background, voluntarily coming together to save small amounts regularly. They mutually agree to contribute to a common fund and to meet their emergency needs on mutual help basis. The group members use collective wisdom and peer pressure to ensure proper end-use of credit and timely repayment thereof. In fact, peer pressure has been recognized as an effective substitute for collaterals. →
Genetic Modification Genetic modification refers to techniques used to manipulate the genetic composition of an organism by adding specific useful genes. A gene is a sequence of DNA that contains information that determines a particular characteristic/trait. All organisms have DNA (genes). Genes are located in chromosomes. Genes are units of inheritance that are passed from one generation to the next and provide instructions for development and function of the organism. Crops that are developed through genetic modification are referred to as genetically modified (GM) crops, transgenic crops or genetically engineered (GE) crops. Over the last 30 years, the field of genetic engineering has developed rapidly due to the greater understanding of deoxyribonucleic acid (DNA) as the chemical double helix code from which genes are made. The term genetic engineering is used to describe the process by which the genetic makeup of an organism can be altered using “recombinant DNA technology.” This →
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