مقاله انگلیسی رایگان در مورد سنجش میزان موفقیت بانک ها در اقتصاد در حال توسعه – امرالد 2017

The most regulated domain in most of the countries in the banking sector and the crisis in this sector disrupt the payment system. In the developing economies, banking sector regulations are very rigid to balance the socioeconomic growth (Caprio et al., 1994). Banking industry across the globe is facing the speediest dynamic environment where organisations have to be competitive and efficient for the survival (Devlin and Ennew, 1997). In India, banking services were mostly constricted to urban areas, before nationalisation. With the nationalisation of 14 large banks in 1970, banks of the public sector had 85 per cent of the total deposits, and the private and foreign banks contributed to 6 and 9 per cent, respectively (Bhattacharyya et al., 1997). In the 1980s, it was found that the excessive regulation leads to the less efficient banking sector, which was unable to respond to the fast developing economy. This led to the Indian banking reforms in the 1990s, whose primary objective was to improve the productivity, profitability, competitiveness, and performance of the Indian banks (Caprio et al., 1994; Das and Ghosh, 2009; Fujii et al., 2014). The banking sector gradually deregulated, and state-owned banks were partially privatised, consolidated, and interests on deposits and loans were efficiently controlled. To enhance the stability of the banking industry by modifying the regulations, to improve the performance, and to make the banks competitive, second-stage reforms were suggested by the Narasimhan Committee in 1998 (Fujii et al., 2014; Narasimham, 1991, 1998). The diversity of bank ownership in India makes it fascinating: it can be divided into three segments – public sector banks (PSBs), private sector banks (PVBs), and foreign-owned banks; all these groups function in the same markets, with a different bunch of regulations. In the continually changing and uneven regulatory environment, the operations of the bank’s performance are expected to get affected (Bhattacharyya et al., 1997). It may be noted that the Indian financial and banking sector is expanding at a rapid rate. The Indian banking sector is expected to undergo transformative changes shortly steered by fluctuating derivatives market, and IT-enabled business (Banerjee, 2015). Hence, there is a lot of research scope in the continuously changing scenario of the Indian banking sector.