Bank in India
What Changes Banking Brought To India?
Banking dates back to the Medics, thousands of years ago and only in the last few decades of the 17th century started in India. But it was the British in 1806 who opened the first fully operational Bank of Calcutta, which is still in the form of State Bank of India. The bank is a financial intermediate for money transactions.
- Indian Banking History:
The first bank in India was the unsuccessful Bank of Hindustan started in the year 1770 and closed in the 1830s. Banking in various forms remained part and parcel of mankind since money transactions replaced commodity or things exchange. A safe haven was needed to protect money which began as an intermediate between two business people for selling and buying of goods. Hence banks were started functioning from the 14th century in this world.
- What Is Banking And How It Changed India?
Banking is a process of accepting deposits from the surplus people for its safeguard and yielding interest. Banking brought out money from the lockers of rich people to the open for public use. This money was lent to the needy people with proper intentions and credentials to make them surplus people to deposit money back in the bank. This totally changed the socioeconomics of India.
- The Industrial Revolution In India With Banking:
Even though the bank of Calcutta was opened to fund the British to fight against Tipu Sultan and others the intention of the banks changed with time. Thousands of small industries producing various things started flourishing in India. Many of these are started from humble backgrounds which are now conglomerates in India and abroad.
- Banking Financial Reforms:
Banks paved way for many financial reforms like the stocks, bonds, merchant banking, loans for various fundamental and industrial needs of people, and many more. This changed the face of India in the global financial market.
- Nationalization Of Indian Banks:
Now the bank list in India is too big to be compared with the best in the world. After independence banks started to flourish in India and changed the Indian economy for the better. But except for State Bank of India, all other banks were owned by private parties. In a swift and sudden move on the midnight of 19th July 1969, the Government of India nationalized 14 biggest commercial banks. Now there are 16 banks in the list of nationalized bank in India.
More than two centuries of banking in India has evolved to the betterment of the Indian people with the best bank in India, the SBI leading the banking sector in India.