Kerala Tradition & Fascinating Destinations 2014 Kerala Tradition & Destinations 2014 | Page 428

nationalization in 1980, as much as 80% of the banking segment in India
came under Government ownership. In the third phase of the history of
the Indian banking sector products and facilities offered by the banks
rose to greater levels. In 1991, under the chairmanship of M Narasimham,
a committee was set up by his name which worked for the liberalisation
of banking practices. Today the country is also flooded with several
foreign banks and their ATM stations. Phone banking and net banking is
introduced. The entire system became more convenient and swift. Time
is given more importance than money. Nationalization of banks paved
way for retail banking and as a result there has been an all round growth
in the branch network, the deposit mobilization, credit disposals and of
course employment. The first year after nationalization witnessed the
total growth in the agricultural loans and the loans made to SSI by 87%
and 48% respectively. The overall growth in the deposits and the advances
indicates the improvement that has taken place in the banking habits of
the people in the rural and semi-urban areas where the branch network
has spread. Such credit expansion enabled the banks to achieve the
goals of nationalization, it was however, achieved at the coast of
profitability of the banks.
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BANK|TRADITION AND DESTINATIONS