|
COVER STORY
Banking Sector : Beating the Blues
- Amit Singh Sisodiya, Ramana Pemmaraju
Two years after the financial cataclysm rocked the global banking system, the banking sector in India is
back in the reckoning. The performances of the banks for FY2009-10, as The Analyst Banking Special shows, reaffirm the belief that it pays to be conservative. The annual survey, which enters its seventh edition this
year, also highlights that the year clearly belonged to the minnows of the banking world: the
Hyderabad-based Andhra Bank tops the list in the PSB category, while Tamilnad Mercantile Bank, another South
India-based bank, which is not even listed, beats private sector biggies like ICICI Bank and HDFC Bank to
emerge triumphant. The performances throw many more surprises as well.
BANKING SPECIAL
Public Sector Banks : On the Fast Track of Transformation
- M D Mallya
Chairman & Managing Director,
Bank of Baroda
As PSBs march forward in shaping the process of transformation, they have to increase their capability
in order to cope with the increasing pace of economic growth.
BANKING SPECIAL
Risk Management for Central Banks : Lessons from the Crisis
- Ashish Srivastava
Manager, HR & Financial Literacy Cell
Department of Administration and
Personnel Management
Reserve Bank of India
Globally, the thrust of the central banks has been to consistently balance growth, inflation and stability.
The crisis has necessitated an unwavering focus on issues of systemic importance, in addition to
ensuring effective regulation and supervision aimed at containing excessive risk taking, incorrect risk pricing
and liquidity management.
BANKING SPECIAL
Beyond Basel II : Do We Need Another Regulation?
- Kuntal Sur
Director
Financial Risk Management
Advisory Practice,
KPMG, Bangalore
Basel III, which is expected to fill some of the gaps left by Basel II, should lead to stronger and more
stable banks. But not all banks will reap the same benefits.
BANKING SPECIAL
Indian Banking At a Glance : Structure of Indian Banking System
The present study of Banks are based on CAMEL Methodology, which are categorized into
Public, Private and Foreign Banks.
BANKING SPECIAL
Securitization and Indian Banking : A Tool to Achieve Priority Sector Targets
- Rajesh Mokashi
Deputy Managing Director
CARE Ratings, Mumbai
All Scheduled Commercial Banks are required to extend credit to priority sectors, and those that are short
of priority sector lending targets have been using securitization as a tool to fulfill their targets.
BANKING SPECIAL
Banking Regulations and Liberalization : An Edifice of Financial Stability
- Hemant Batra
Lead Partner,
Kaden Boriss Legal LLP, India;
Vice-President,
SAARCLAW; Chairperson,
IICLAM,
Singapore;
Advisory Board Member,
OIC, USA
A well-regulated banking system enhances the allocative capacity of the financial system and thereby adds
to the growth of the economy. During the recession of the last few years, Indian banking sector's
sturdy fundamentals have come in for hefty praise from the international circles.
BANKING SPECIAL
Priority Sector Lending : A Development Enabler in `Sunrise Sectors'
- Tushar Pandey
Group Executive Vice-President & Country Head
Strategic Initiatives and Government Advisory
(Central and State Governments),
YES Bank Ltd.
Priority sector lending has undergone several changes in the post-reform period and played an important
role in building strong rural households and small/new entrepreneurs who previously were unable to
receive credit from banks.'
BANKING SPECIAL
Banking Sector : Banking on Demographic Dividend
- N Janardhan Rao
Deputy Editor
A healthy balance sheet supported by expanding profitability and productivity and focus on financial
inclusion have contributed to making the sector vibrant and strong. To retain the growth tempo in the next decade,
top banks are betting on the demographic dividend of India and investments in infrastructure and
manufacturing. However, rising bad loans are a cause for concern.
BANKING SPECIAL
Global Banking : Paradigm Shift
- Robin Roy
Associate Director (Financial Services)
Pricewaterhouse Coopers (Pvt) Ltd.
Mumbai
- Rashi Agarwal
Sr. Consultant
Pricewaterhouse Coopers (Pvt) Ltd.,
Mumbai
The global financial crisis has shaken the foundations of financial service institutions to their core.
Industry conditions have changed fundamentally and permanently, and banks need to act quickly to
develop comprehensive plansfirst to stabilize their businesses and then to move forward.
BANKING SPECIAL
Come 2013 : Indian Banks Embrace IFRS
- Dolphy D'souza
Partner and National Leader IFRS,
Ernst & Young
Given the revised IFRS standards, Indian banks that undergo transition to IFRS from 2013 will fortunately
have a stable platform. However, for Indian companies that began transition in 2011, it is like jumping into
a speeding train.
BANKING SPECIAL
Bank Stocks : Turning Bullish
- K Alamelu
Associate Professor
Department of Bank Management
Alagappa University, Karaikudi
- I Arun Kumar
II MBA (Banking and Insurance)
Department of Bank Management
Alagappa University, Karaikudi
Banking stocks, after their moderate showing in 2009, are expected to be favorites in 2010, thanks to
the sector's ability to cash in on both consumption boom and a better environment for business.
BANKING SPECIAL
Entry of Industrial Conglomerates : Opportunities and Challenges
- Prakash Singh
Area Chair - Finance and Accounting Area,
Indian Institute of Management,
Lucknow
Most of the corporate houses who have applied for a bank license already have a Pan-India presence
and their deep pockets and sophistication should help them in meeting the regulator's objective. The
current thrust of RBI on financial inclusion might also prove to be a huge advantage to the license seekers.
BANKING SPECIAL
New Direct Tax Code : Impact on Indian Banks
- Sunil Gidwani
Executive Director
Tax and Regulatory Services,
PricewaterhouseCoopers Pvt. Ltd.,
Mumbai
sunil.gidwani@in.pwc.com
- Jignesh Desai
Manager
Tax and Regulatory services,
PricewaterhouseCoopers Pvt. Ltd.,
Mumbai
The DTC is a good step taken by the Government of India to reduce litigations and simplify the tax
provisions followed for nearly five decades.
BANKING SPECIAL
Yuan as Reserve Currency : Pros and Cons
- William Gamble
Founder and President
Emerging Market Strategies, US
The yuan will not become a reserve currency anytime soon. Despite the ruminations of experts and
pundits and the size of the Chinese economy, there is one important impediment to yuan's progress. That
impediment is the Chinese government.
APOLITICAL
Land for `Development' : Can the Displaced Be Rightly Compensated?
- grk
|
