Banking Career in India

Updated on: Aug 7, 2012

Banking in India started towards the end of 18th century with the induction of General Bank of India and Bank of Hindustan in 1786. Today, the State Bank of India (SBI) is oldest bank in existence. It was originated as Bank of Calcutta in 1806 and later became the Bank of Bengal. The two other banks in those times were Bank of Bombay and Bank of Madras. Later these three entities amalgamated together to form Imperial Bank of India in 1921. Following independence of India the Imperial Bank of India became State Bank of India (SBI).

Today India boasts large number of banks both public sector Bank and private sector bank as well as foreign banks. Many banks have opened their branches across the country in all major cities and towns and many have entered in rural areas. Some banks like Gramin Bank operate exclusively in rural areas. Banking business i.e. borrowing and lending money or say money trade makes significant portion of India’s GDP.

The Reserve Bank of India (RBI) is an institution of Government of India, to regulate banking business in India. All banks operating in India works in accordance with the guidelines fixed by RBI called “Banking Regulation Act”. This act empowers the RBI to regulate, inspect and control the banks in India. Any bank new or old needs license from RBI to open a new branch. The RBI was nationalized by Government of India in 1949.

Banking in India is considered mature in terms of product, supply and reach. However, penetration of private and foreign banks in rural areas is not much significant due to various reasons. Indian banks are considered clean and transparent. The currency of India is Rupees abbreviated Rs. or Rupee Re. The regulatory body of banks, Reserve Bank of India has the policy on Indian Ruppee to maintain volatility without any fixed exchange rate. The Indian economy is on the rise and hence the banking business.

With the immense growth of sectors like retail, housing, healthcare, hospitality and education etc, the growth of Indian banking industry can be expected to multiply. Indian banks, both public sector banks as well as private sector banks offers attractive lending rates to borrowers for various purposes like buying a home, obtaining degree certificate, starting a business, going on a holiday or doing various other tasks. Also, the money lending rates of all banks are almost same and regulated by RBI. Indian banks also offers insurance schemes for a person’s health, home safety, industry, vehicle etc. with multiple benefits. Banks in India are parts of a person’s life.

Banking operations revolves around activities like opening and closing bank account of customers, depositing and lending money to customers, selling products and services to customers, verification of borrowers, making collections, transferring money to customers’ accounts and issuing debit and credit cards etc. Banking operations are sophisticated in nature; banking employees considered most alert working group among all industries as most of the time they need dealing with numbers and currency.

To perform day to day banking operations, both front-end and backend, banks recruits human resources through banking services examinations. Basically banks hold two types of examination for recruitment of personals, 1. Banking Services Exams and 2. Bank P.O. Exams. All banks issues nationwide notification for recruitment of personals as these exams are centralized and recruitment is done through All India Level Examination. Both undergraduate and graduate in various streams arts, science, commerce, etc are recruited in banks in various posts.

Click on the links below for Bank P.O.Exams

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