List of Banks in India

Public-sector banks

There are currently 27 public sector banks in India out of which 21 are nationalised banks and 6 are State Bank of India and its associate banks. There are a total of 93 commercial banks in India.

State Bank and its associate

1. State Bank of India
2. State Bank of Bikaner & Jaipur
3. State Bank of Hyderabad
4. State Bank of Patiala
5. State Bank of Mysore
6. State Bank of Travancore

Nationalised banks

1. Allahabad Bank
2. Andhra Bank
3. Bank of Baroda
4. Bank of India
5. Bank of Maharashtra
6. Canara Bank
7. Central Bank of India
8. Corporation Bank
9. Dena Bank
10. Indian Bank
11. Indian Overseas Bank
12. Oriental Bank of Commerce
13. Punjab & Sind Bank
14. Punjab National Bank
15. Syndicate Bank
16. UCO Bank
17. Union Bank of India
18. United Bank of India
19. Vijaya Bank

Other public sector banks

1. Bharatiya Mahila Bank
2. IDBI Bank

Private-sector banks

1. Axis Bank
2. Bandhan Bank
3. Catholic Syrian Bank
4. City Union Bank
5. Development Credit Bank
6. Dhanlaxmi Bank
7. Federal Bank
8. HDFC Bank
9. ICICI Bank
10. IDFC Bank
11. IndusInd Bank
12. ING Vysya Bank (merged Kotak Mahindra Bank in April 2015)
13. Jammu and Kashmir Bank
14. Karnataka Bank
15. Karur Vysya Bank
16. Kotak Mahindra Bank
17. Lakshmi Vilas Bank
18. Nainital Bank
19. Sunitkeshrai Bank
20. South Indian Bank
21. Tamilnad Mercantile Bank
22. Yes Bank

Foreign banks

Foreign banks with branches in India

List of banks which are incorporated outside India and are operating branches in India (as of 31 January 2015):

Australian banks

1. Australia and New Zealand Banking Group
2. Commonwealth Bank of Australia
3. National Australia Bank
4. Westpac Banking Corporation

Bahraini bank

1. Bank of Bahrain and Kuwait

Bangladeshi banks

1. AB Bank
2. Sonali Bank

Belgian bank

1. Antwerp Diamond Bank

Canadian bank

1. Bank of Nova Scotia

Chinese bank

1. Industrial & Commercial Bank of China

French banks

1. BNP Paribas
2. Credit Agricole
3. Societe Generale

German banks

1. Deutsche Bank

Indonesian bank

1. Bank Internasional Indonesia

Japanese banks

1. Mizuho Corporate Bank
2. Sumitomo Mitsui Banking
3. Bank of Tokyo-Mitsubishi

Mauritian bank

1. State Bank of Mauritius

Dutch bank

1. Rabobank

Qatari bank

1. Doha bank

Russian banks

1. Sberbank
2. VTB

Omani bank

1. HSBC Bank Oman

Scottish bank

1. Royal Bank of Scotland

Singaporean banks

1. DBS Bank
2. United Overseas Bank

South African bank

1. FirstRand Bank

South Korean banks

1. Shinhan Bank
2. Woori Bank

Sri Lankan bank

1. Bank of Ceylon

Swiss banks

1. Credit Suisse
2. UBS AG

Taiwanese bank

1. Chinatrust Commercial Bank

Thai bank

1. Krung Thai Bank

UAE banks

1. Abu Dhabi Commercial Bank
2. Mashreq Bank

UK banks

1. HSBC
2. Barclays Bank
3. Standard Chartered Bank
4. The Royal Bank of Scotland(RBS N.V)

US banks

1. American Express
2. Bank of America
3. Citibank
4. J.P. Morgan Chase Bank

Foreign banks with representative offices in India

List of foreign banks with representative offices in India (as of 31 January 2015):

Austrian bank

1. Raiffeisen Zentralbank

Belgian bank

1. KBC Bank

Canadian banks

1. Royal Bank of Canada
2. Toronto Dominion Bank

French Banks

1. Credit Industriel et Commercial
2. Natixis

German banks

1. Commerzbank
2. DZ Bank
3. KfW
4. Landesbank Baden-Württemberg

Italian banks

1. Banca Monte dei Paschi di Siena
2. Banca Popolare di Milano
3. Banca Popolare di Vicenza
4. Intesa Sanpaolo
5. UBI Banca

Malaysian bank

1. CIMB

Nepalese bank

1. Everest Bank

Norwegian bank

1. DNB ASA

Portuguese bank

1. Caixa Geral de Depositos

Russian banks

1. Gazprombank
2. Promsvyazbank
3. Vnesheconombank

South Korean banks

1. Industrial Bank of Korea
2. Kookmin Bank
3. Korea Exchange Bank

Spanish Banks

1. Banco de Sabadell
2. Banco Bilbao Vizcaya Argentaria
3. Caixabank

Sri Lankan bank

1. Hatton National Bank

Swedish banks

1. Skandinaviska Enskilda Banken
2. Zurcher Kantonalbank

Taiwanese banks

1. Bank of Taiwan
2. Mega International Commercial Bank

Turkish bank

1. Bank Asya

UAE banks

1. Emirates NBD
2. First Gulf Bank

UK bank

1. Duncan Lawrie

US banks

1. Bank of New York Mellon
2. Wells Fargo Bank

Regional Rural Banks (RRBs)

List of Regional Rural Banks in India:

Andhra Pradesh

1. Andhra Pradesh Grameena Vikas Bank
2. Andhra Pragathi Grameena Bank
3. Chaitanya Godavari Grameena Bank
4. Deccan Grameena Bank
5. Saptagiri Grameena Bank

Assam

1. Assam Gramin Vikash Bank
2. Langpi Dehangi Rural Bank

Arunachal Pradesh

1. Arunachal Pradesh Rural Bank

Bihar

1. Uttar Bihar Gramin Bank
2. Madhya Bihar Gramin Bank
3. Bihar Gramin Bank

Chhattisgarh

1. Chhattisgarh Rajya Gramin Bank

Gujarat

1. Dena Gujarat Gramin Bank
2. Baroda Gujarat Gramin Bank
3. Saurashtra Gramin Bank

Haryana

1. Sarva Haryana Gramin Bank

Himachal Pradesh

1. Himachal Pradesh Gramin Bank

Jharkhand

1. Jharkhand Gramin Bank
2. Vananchal Gramin Bank

Jammu & Kashmir

1. Jammu And Kashmir Grameen Bank

Karnataka

1. Kaveri Grameena Bank
2. Karnataka Vikas Grameena Bank
3. Pragathi Krishna Gramin Bank

Kerala

1. Kerala Gramin Bank

Madhya Pradesh

1. Narmada Jhabua Gramin Bank
2. Central Madhya Pradesh Gramin Bank
3. Madhyanchal Gramin Bank

Maharashtra

1. Maharashtra Gramin Bank
2. Vidarbha Kokan Gramin Bank

Manipur

1. Manipur Rural Bank

Meghalaya

1. Meghalaya Rural Bank

Mizoram

1. Mizoram Rural Bank

Nagaland

1. Nagaland Rural Bank

Odisha

1. Odisha Gramya Bank
2. Utkal Grameen Bank

Punjab

1. Punjab Gramin Bank
2. Malwa Gramin Bank
3. Sutlej Gramin Bank

Puducherry

1. Puduvai Bharathiar Grama Bank

Rajasthan

1. Baroda Rajasthan Kshetriya Gramin Bank
2. Marudhara Rajasthan Gramin Bank

Tamil Nadu

1. Pandyan Grama Bank
2. Pallavan Grama Bank

Tripura

1. Tripura Gramin Bank

Uttar Pradesh

1. Allahabad UP Gramin Bank
2. Baroda UP Gramin Bank
3. Gramin Bank Of Aryavrat
4. Kashi Gomti Samyukt Gramin Bank

Uttarakhand

1. Uttarakhand Gramin Bank

West Bengal

1. Bangiya Gramin Vikash Bank
2. Paschim Banga Gramin Bank
3. Uttarbanga Kshetriya Gramin Bank

Cooperative banks

State Cooperative Banks (SCBs)

List of State Cooperative Banks:

1. Andaman and Nicobar State Co-operative Bank
2. Andhra Pradesh State Co-operative Bank
3. Arunachal Pradesh State Co-operative Apex Bank
4. Assam Co-operative Apex Bank
5. Bihar State Co-operative Bank
6. Bharat Co-operative Bank
7. Chandigarh State Co-operative Bank
8. Chhattisgarh Rajya Sahakari Bank Maryadit
9. Delhi State Co-operative Bank
10. Goa State Co-operative Bank
11. Gujarat State Co-operative Bank
12. Haryana State Co-opertive Apex Bank
13. Himachal Pradesh State Co-operative Bank
14. Jammu and Kashmir State Co-operative Bank
15. Jharkhand State Co-operative Bank
16. Karnataka State Co-operative Apex Bank
17. Kerala State Co-operative Bank
18. Madhya Pradesh Rajya Sahakari Bank Maryadit
19. Mogaveera Co-operative Bank
20. Maharashtra State Co-operative Bank
21. Manipur State Co-operative Bank
22. Meghalaya Co-operative Apex Bank
23. Mizoram Co-operative Apex Bank
24. Nagaland State Co-operative Bank
25. Orissa State Co-operative Bank
26. Pondichery State Co-operative Bank
27. Punjab State Co-operative Bank
28. Rajasthan State Co-operative Bank
29. Sikkim State Co-operative Bank
30. The Tamil Nadu State Apex Co-operative Bank
31. Telangana State Co-Operative Apex Bank Limited
32. Tripura State Co-operative Bank
33. Uttar Pradesh Co-operative Bank
34. Uttarakhand State Co-operative Bank
35. West Bengal State Co-operative Bank
36. Tumkur Grain Merchant's Co-operative Bank

Urban Cooperative Banks (UCBs)

510 Army Base Workshop credit Co operative Bank Meerut Cantt UP

Scheduled

List of Scheduled Urban Cooperative Banks in India:

1. The Varachha co-operative Bank
2. Ahmedabad Mercantile Co-Op Bank
3. Kalupur Commercial Coop. Bank
4. Mehsana Urban Co-Op Bank
5. Nutan Nagarik Sahakari Bank
6. Rajkot Nagrik Sahakari Bank
7. Sardar Bhiladwala Pardi Peoples Coop Bank
8. Surat Peoples Coop Bank
9. Rajdhani Nagar Sahkari Bank
10. Andhra Pradesh Mahesh Co-Op Urban Bank
11. Indian Mercantile Co-operative Bank
12. Abhyudaya Co-operative Bank
13. Bassein Catholic Co-operative Bank
14. Bharat Co-operative Bank (Mumbai)
15. Bharati Sahakari Bank
16. Bombay Mercantile Co-operative Bank
17. Citizen Credit Co-operative Bank
18. Cosmos Co-operative Urban Bank
19. Dombivli Nagari Sahakari Bank
20. Goa Urban Co-operative Bank
21. Gopinath Patil Parsik Janata Sahakari Bank
22. Greater Bombay Co-operative Bank
23. Jalgaon Janata Sahakari Bank
24. Janakalyan Sahakari Bank
25. Janalaxmi Co-operative Bank
26. Janata Sahakari Bank
27. Kallappanna Awade Ichalkaranji Janata Sahakari Bank
28. Kalyan Janata Sahakari Bank
29. Karad Urban Co-operative Bank
30. Mahanagar Co-operative Bank
31. Mapusa Urban Co-operative Bank of Goa
32. Nagar Urban Co-operative Bank
33. Nasik Merchant's Co-operative Bank
34. New India Co-operative Bank
35. NKGSB Co-operative Bank
36. Pravara Sahakari Bank
37. Punjab & Maharashtra Co-operative Bank
38. Rupee Co-operative Bank
39. Sangli Urban Co-operative Bank
40. Saraswat Co-operative Bank
41. Shamrao Vithal Co-operative Bank
42. Solapur Janata Sahakari Bank
43. Thane Bharat Sahakari Bank
44. The Kapole Co-operative Bank
45. TJSB Sahakari Bank
46. Zoroastrian Co-operative Bank
47. Nagpur Nagrik Sahakari Bank
48. Shikshak Sahakari Bank
49. Akola Janata Commercial Co-operative Bank
50. Akola Urban Co-operative Bank
51. Khamgaon Urban Co-operative Bank
52. MACO BANK
53. Eenadu Urban Co operative Bank
54. Rohit Kataria Co-operative Bank

Sovereign Gold Bond Scheme Launched – Here are 6 important Facts

Today I want to share some quick facts regarding Sovereign Gold Bonds which was announced in budget session and recently mentioned by our Prime minister. RBI is going to issue something called Sovereign Gold Bonds for investors who want to benefit from the movement from Gold prices. It’s an alternative way to invest in gold apart from buying physical gold or through gold ETF or gold Mutual fund.

These bonds issue are part of market borrowing programme of govt of India, where it tries to borrow money from public for long term. So to understand it in brief, govt wants to borrow money from those who want to invest in gold and they would return back the money after X number of years which will be linked to price of gold apart from a small interest.

Now lets understand quickly what this scheme is all about and some high level important points every investor would want to know.

1. Issued by RBI and hence its safe and secure

These bonds are issued by Reserve bank of India and hence it carries a sovereign guarantee by Govt of India.So in a way its 100% safe and secure and there are no chances of fraud or any issues happening in future.

However you need to know that the bond value is linked with the gold prices and hence the bonds value can increase and decrease in future depending on the gold price movement.

However whatever is the maturity value will be paid to you and the guarantee is only for that. There is no assurity for any minimum value payment or any promise of return. One can hold the bonds in a single name or joint name as per preference.

2. First Batch of bonds available from Nov 5-20

As per a report, out of Rs 15,000 crore of bonds, the first batch of Rs 1,000 crore bonds are available from Nov 5 and last date for application is Nov 20. The bonds are available for only residents Indian and NRI’s cant buy it. The bonds will be available at selected banks and post offices designated under the scheme. I was not able to find exact locations, but I think all the major PSU banks in every city and some big post offices will be the contact point if one wants to purchase these bonds.

Below you can see a sample form and how it has to be filled. You can also download the form from his link

3. Amount of investment and Tenure

The minimum one has to buy 2 gms worth of gold bonds and maximum can be 500 gms. So every a normal middle class person who wants some exposure in gold can buy it. The initial issue price is fixed at Rs 2,684 per gram. Which means a minimum initial investment would be Rs 5,400-5,500 atleast.

Note that price fixed is simple average of closing price of the 999 purity gold, published by India Bullion and Jewellers Association Ltd (IBJA).

The bonds will be issued with a 8 yr tenure, however an exit option will be available after 5th year onwards. The bonds can also be traded on stock exchanges if you have it in demat form. However I think its not going to work for most of the investors because that will get too complicated. Also you will be able to trade the bonds on markets only if the volumes are very good, otherwise it will be locked away and you will be able to get back the money only after the 5/8 yrs of time. You can read detailed FAQ’s on this scheme here

Also note that these bonds can be provided as collateral incase, you need any loans.

4. You will get interest of 2.75% 

You will get interest of 2.75% interest on the initial value of investment (not the market price) every 6 months. I have not gone in details, but I think the way it will work is that if you invest Rs 1,00,000 in these bonds, then every 6 months you will get 2.75% of Rs 1 lac as interest, which would be Rs 2,750.

5. Taxation on returns and maturity

Note that the interest you earn every 6 months will be taxable in your hands. Also at the time of maturity, the long-term capital gains will be applicable, which means that after applying indexation, you will have to pay 20% tax on the returns. Note that because KYC is done properly, you cant escape this.

5. KYC requirement

You will be able to buy these gold bonds only after the KYC is done for you. In simple terms, at the time of application you will have to provide your identity and provide your PAN or Aadhar card etc and the payment can be done electronically, with cheque/DD or even CASH. However, you will not be able to hide your identity. This will surely discourage those investors who want to convert their unaccounted money (CASH) into white money.

6. Investment in Paper or Demat Form

You can purchase the bonds in paper format or demat holding as per your preference. Means if you want the bond in paper format, you will get a receipt and a bond which you can keep in your locker or at home and at the time of maturity you can give it back. Or you can hold it in demat form and not worry about keeping the bond safely.

Who should not invest in these gold bonds ?

I think that 5-8 yrs tenure is a long tenure and you can earn much better returns in this long term. Equity mutual funds would deliver better returns compared to this scheme. Hence if you are a young person below age 40, and are looking at wealth creation as your main goal, then you can give a miss to this scheme. The return on the scheme (2.75%) is not to be considered and the gold returns historically has been around inflation only.

If you look at the below chart, you can see 5 yrs CAGR return of the gold investment. Note that for the tenure of 2000-2010 the returns have been very very good, but then if you look at someone who invested in year 2010, they have just got a 7% CAGR return, which is very much in tune of long term gold returns.

So if we look at the optimal use of your investment to generate decent return, I personally dont consider this as a great investment product. You can skip this.

Who can think of buying these bonds?

Now if we look at the other side, There are many investors who are very attached to gold and really want to invest in that. No logic will move them and no conversation of CAGR will make sense to them. So for those investors who were anyways going to buy physical gold or Gold ETF, can look at this scheme as a good alternative.

Anyways your investment value will move as per gold prices and on top of it, you will get 2.75% interest which you do not get in case of physical gold or gold ETF/funds. The best part of this scheme is that you don’t have to worry on the quality of the gold or where to store it as its all in paper format and no one is going to steal it from you. The money will only come back to your bank account only which you have provided at the time of investment.

However note that the investment in these bonds are going to be mainly illiquid in very short term. If you buy physical gold, you get that liquidity in your hand and if you need money urgently you can sell off the gold. You will not get it here.

So overall, you are the right person to pick if this scheme is for you or not.

Public Provident Fund (PPF) Vs National Savings Certificate (NSC)

By Larissa Fernand (edited by Varun Sharma)*

To start off with, let’s look at the investment trinity. There are three guidelines on which you must evaluate every single investment: risk, return, liquidity.

In the case of PPF and NSC, both are backed by the government and so score high on the risk parameter. You can be pretty sure of getting your money back.

On the liquidity front, there is a fair amount of disparity. Agreed, both have fixed tenures. But the NSC does show up in a more favourable light simply because of the lower lock-in period. The NSC VIII issue is for 5 years and the NSC IX issue is for 10 years.

PPF is much longer at 15 years and can even be extended by a block of 5 years on maturity. But worth noting is that after the third financial year, excluding the year of the deposit, an investor is allowed to take a loan on his investment. Partial withdrawals are permissible after the expiry of the sixth year from the date that the initial subscription is made.

They continue to diverge on the return front too. Of course, they both offer fixed returns which are set at the start of the financial year but the similarity ends there. The current rate for PPF, as fixed by the RBI, is 8.7% per annum. Currently the rate for NSC is fixed at 8.5% (NSC VIII) and 8.8% (NSC IX) per annum.

In the case of NSC, the rate of return is locked at the time of investment and during the tenure of the investment it remains insulated from any changes in rates. That is because once you buy a NSC, you cannot continue to add to that particular investment certificate. If you want to increase your exposure, you will have to buy another. In the case of PPF, it is an account and you can keep adding to it.

The return in both cases is compounded and handed over on maturity. An apparent distinction is that the return is compounded annually in the case of PPF, but half-yearly where NSC is concerned. Once again, it puts NSC in a good light but the tax benefit nullifies the effect.

Both instruments qualify for a deduction under Section 80C of the Income Tax Act. The maximum limit under this section is Rs 1.50 lakh. You can choose to invest up to that limit in either of the two instruments or both. (Or any other instrument under Section 80C).

PPF offers you a deduction all the way and is known as EEE – implying exempt-exempt-exempt. What this means is that you get a deduction when you invest under Section 80C, the interest earned every year is exempt from tax, and the entire amount at maturity (principal + interest earned) is also exempt from tax.

Not so in the case of NSC where the interest is taxed. So as mentioned above, even though the return in NSC is compounded half yearly, the return is taxed which makes PPF a better tax-saving option but with a longer lock-in.

So how does one choose between the two?

If you already have a PPF account, you would know that you have to invest at least Rs 500 every year to maintain the account. In fact, you can invest up to 12 instalments in one financial year as long as the totality of investment does not exceed Rs 1.50 lakh.

The NSC is a one-time investment. The investment can start from as low as Rs 100 and there is no maximum limit. However, once you touch the limit under Section 80C (Rs 1.50 lakh), the investments in NSC do not qualify for a tax deduction.

So if you have an ongoing PPF account, it would be better to keep investing in it since it also offers great tax benefits. However, if you forsee an expense exactly 5 years down the road, then you could consider an NSC with that very tenure. 

* Source: http://www.morningstar.in/posts/30251/should-you-invest-in-ppf-or-nsc.aspx

Small Finance Banks

The small finance banks will primarily undertake basic banking activities of acceptance of deposits and lending to unserved and underserved sections including small business units, small and marginal farmers, micro and small industries and unorganized sector entities.

The Reserve Bank of India (RBI) granted licenses to 10 applicants to set up small finances banks, that are all mainly micro finance and small finance companies.
The selected applicants are:  Au Financiers (Jaipur), Capital Local Area Bank (Jalandhar), Disha Microfin (Ahmedabad), Equitas Holdings (Chennai), ESAF Microfinance and Investments (Chennai), Janalakshmi Financial Services (Bengaluru), RGVN (Northeast) Microfinance (Guwahati), Suryoday Micro Finance (Navi Mumbai), Ujjivan Financial Services (Bengaluru) and Utkarsh Micro Finance (Varanasi).

What they can do
– Take small deposits and disburse loans.
– Distribute mutual funds, insurance products and other simple third-party financial products.
– Lend 75% of their total adjusted net bank credit to priority sector.
– Maximum loan size would be 10% of capital funds to single borrower, 15% to a group.
– Minimum 50% of loans should be up to 25 lakhs.

What they cannot do
– Lend to big corporates and groups.
– Cannot open branches with prior RBI approval for first five years.
– Other financial activities of the promoter must not mingle with the bank.
– It cannot set up subsidiaries to undertake non-banking financial services activities.
– Cannot be a business correspondent of any bank.

The guidelines they need to follow
– Promoter must contribute minimum 40% equity capital and should be brought down to 30% in 10 years.
– Minimum paid-up capital would be Rs 100 cr.
– Capital adequacy ratio should be 15% of risk weighted assets, Tier-I should be 7.5%.
– Foreign shareholding capped at 74% of paid capital, FPIs cannot hold more than 24%.
– Priority sector lending requirement of 75% of total adjusted net bank credit.
– 50% of loans must be up to Rs 25 lakh.

Regional Rural Banks

are local level banking organizations operating in different States of India. They have been created with a view to serve primarily the rural areas of India with basic banking and financial services. However, RRB's may have branches set up for urban operations and their area of operation may include urban areas too.

Quotable Quote

Money is like manure. You have to spread it around or it smells. ~ J. Paul Getty

Day's Dose of Dilbert

Ok, maybe this doesn't exactly belong on this blog, but what the heck, even bankers need their bellies tickled sometimes, right?

Recommended Reading - Day to Day Economics

Hello All,

Welcome to the Official Blog of the NIIT/IFBI Pune PGDB Plus batch that started in August 2015.

For a start, I'd like to recommend that anyone viewing this blog read the following book:

Day to Day Economics by Satish Y Deodhar published by the IIM Ahmedabad Press

 
The book, covering the basics of the Indian economy, makes concepts like GDP, interest rates, inflation, stock and commodity prices, fiscal and monetary policy digestible and interesting even to a complete novice. The beauty of the book, lies in its treading the fine line between oversimplification, and getting into hairy technical details.

The book's currently selling on Amazon for Rs 197, a 34% discount to it's MRP