Overview Of Indian Banking Sector

Liberalization of Indian Banking sector post 1991 led to a shift in banking culture from Class banking to Mass banking. This sector was and will continue to be the backbone of Indian economy. According to RBI, Indian banking industry is now well-regulated and adequately capitalized compared to banks across other developed countries. This has helped them in remaining resilient in the wake of global meltdown and sub-prime crisis.

Increasing presence of foreign banks, heightened competition and rapid technological advancement forced banks to become cost efficient and financially strong. Taking risks is part of a banks core business. They borrow money in the form of deposits and leverage it to lend it to borrowers at a higher rate. Banks therefore need to be highly regulated as even a small liquidity problem can create panic amongst depositors”, further deteriorating liquidity.

Since accepting deposits and providing loans and credit is primary business of a bank, some loans are bound to go bad. Making provisions for such losses on bad debts is therefore important to maintain liquidity. They also carry huge liabilities in the form of customer deposits. The best parameter used to judge a bank is the level of Non-Performing Assets it is carrying on its balance sheet. These are loans that do not pay off their principle amount or interest for at least 90 days. Due to its peculiar nature of business, cash flow statements of banks do not provide much insight into their performance.

Five important factors that investors should judge before investing in a bank are capital adequacy, credit quality, liquidity position, earnings and capital efficiency. Recent sub-prime crisis has highlighted the importance of banks” credit quality.

Banks usually pay-out dividends and are high yielding stocks. Performance of banking stocks on stock markets is directly impacted by overall economy”s health and changes in interest rates announced by RBI. This is reflected on Bankex, the index for banking stocks.

Indian banks are still recovering from the last year”s sub-prime effect and experts believe that several banks are still trading at a much lower price-to-earning ratio compared to the overall market. While public sector banks are shedding their excess flab by pruning manpower and NPAs, private banks are seen consolidating though mergers and acquisitions.

Government”s effort to encourage public sector banks to keep lending during the slowdown is expected to show positive results as soon as the economy shows positive signs. Private Banks played smart by shifting their focus from corporate lending to retail lending to cap their losses. Besides, indications from RBI that it does not plan to increase interest rates any time soon also helped improve investor sentiments about banking stocks. Experts believe that credit off-take will increase around 18% to 22% during the remaining part of this year driven by soaring demand from corporate sector.

Why Punjab And Sind Bank, Rbi And Upsc Recruitment 2013 Is Expected To Charter Progressive Careers

Depending on this foresight or at least the thought of it, people try to select the particular organisations in which they will apply when the vacancies are submitted for public applications. Jobs in RBI or Reserve Bank of India are helpful for the recruits as are the jobs in Punjab and Sind Bank.

Getting recruitment through IBPS in Punjab and Sind Bank in officer rank

Since banking jobs are sought by people in India in general, people from different backgrounds have gone for these vacancies. In the Punjab and Sind Bank recruitment 2013, there will be a lot of posts which would be coming out in the subsequent months. This is one of the participating nationalised banks in the IBPS or Institute of Banking Personnel Selection process. With the clerical level exam for IBPS already over in December 2012, the results will soon be declared. Then, candidates can apply for this particular bank, when the vacancies are published. One can enter into the posts of clerks or probationary officers or specialist officers.

RBI as the highest banking institution and hence a privileged posting

RBI is the highest banking institution in the country, responsible for regulation of the banking rules and financial situation of the entire country. The enormity of the function is only possible to be known if one clears the RBI recruitment 2013, which is going to be conducted in the recent months. Working in capacities of clerks or officers in RBI in itself is a great achievement. Further, it can be a learning experience in managerial and executive levels. It is a privilege working with the top minds in financial world while in RBI. RBI recruitment 2013 will be therefore in the top of the list of preferences among the banking job aspirants of India.

Pay scale is quite good in banking sector In these banks such as Punjab and Sind Bank there is a good pay scale, which comes along with a variety of perks and allowances. In the officer levels, these are among the best paid executives in the country. RBI officers are also highly paid and have variety of perks. It can be easily said that the pay scales in these banks are among some of the best organisations in the country.

Gazetted, officer positions through UPSC

UPSC recruitment 2013 is supposedly among the best ways to find a prosperous and progressive career in India. Union Public Service Commission or UPSC is the body constituted in the country, to look after the recruitment process of Group A and B category, gazetted officers in the country, in different departments. For the purpose, it conducts written exams and interviews for various organisations. There are exams like Special Class Railway Apprentices for engineering graduates, CDS and NDA for army recruitments at 12th and graduation levels respectively, IES, ISS, civil services, etc for selecting candidates to work in the highest administrative and managerial positions in various organisations. This suggests that UPSC recruitment 2013 will be, a dream come true for many candidates, much because of the high level of designations that they will receive after clearing the exam.

These organisations of RBI and Punjab and Sind Bank have the potential to bring up the best in the careers of the recruits due to their variety of posts, pay scales and managerial positions. UPSC recruitment has intake of thousands of posts in various gazetted officer positions, which are the dreams of millions of students in the country.