Commercial development and banking sector management in India

Measuring banking sector development

Conventional measures of banking sector The traditional indicators utilized for assessing the size, depth and development of a country’s banking (financial) sector are: • The ratio of M2 to GDP • The ratio of private credit to GDP. In particular, both these measures have been used to show the causal effects of financial development on economic growth. However, both measures have some limitation...

Banking Sector Reforms and Commercial Bank Performance in China

The Chinese banking sector has gone through a consistent process of the reform which includes liberalization of the business to foreign banks, privatization and listing bank shares, allowing diversifications into intermediary business beyond the traditional deposit and loan activities. In the mean time, the changing structures of the banking sector and the favourable economic condition in the r...

Emerging Issues in Banking and Financial Sector in India

I. PREREFORM FINANCIAL SYSTEM IN INDIA AND RATIONALE FOR REFORMS The Indian financial sector today is significantly different from what it used to be a few decades back, in the 1970s and 1980s. The Indian financial system of the pre-reform period essentially catered to the needs of planned development in a mixed-economy framework where the Government sector had a predominant role in economic ac...

Banking Sector Policies and Financial Development: The Case of Iran

In this paper we empirically examine the effect of various banking policies on financial sector development. To this end, an econometric model in the context of Co-integrated VAR is employed. The results show that financial liberalization and reforms have a significant and positive effect on the banking sector development while inflation rate has a negative effect. Furthermore, the high GDP...

Banking Sector Development in the Czech Republic