Market Capitalisation of single chinese state bank is greater than all banks of India(i.e Nationalised +private & all sundry co-operatives),Gone are the days when Indian Banks survived with illetimate means of recovery,traditional products associated with full securities and highest cost of lending through out the world.
As Market integration is seen on rapid phase very lesstime remains with Indian Bankers to cope up with the situations,as we already witness the case of BOMBAY STOCK EXCHANGES,Where leading exchanges fumbling for survival as compare to the innovative products and recorded turnover on newly comer national stock exchange.In order to develope & structure innovative Banking products one has to keep the following 3 basic points in mind.
1.Faith of clients on the products to be increse continuously.
2.Managment of Liquidities and effects of such products on liquidities is to be positive.
3.Continuous modifications and innovations of such products ahead of competitors,and effects of such products on client's reductions in operating cycle period.
IF INDIAN BANKS not thinking and adopting such attitude fastest possible they will have to be vanished from business.
At the end,I welcome comments,criticism and views from the learned freinds.
Prakash Popat.
CAclubindia
