HANDBOOK OF BANKING INFORMATION

50TH EDITION JANUARY 2021

Preface to the 50th Edition

Financial services sector in our country has witnessed notable transformation over last five decades and concerted

efforts have been made by the banking system to grow by building up an extensive branch net-work, penetrating

into unbanked areas, mobilising untapped savings, promoting banking habits and providing credit for rural

development, besides diversifying into new areas of business. The process of globalisation of Indian economy has

created an environment where the financial services system has to be cost effective, customer oriented and

technology based. These changes have posed many a challenges to the banking system and the personnel. It is

essential that the banking manpower keeps itself abreast of all these changes and have a future vision so that it

does not find difficulty in efficient functional discharges. Individual growth is possible through proper training,

conceptual clarity and experimental learning and the career planning charters the path of progress of the

employee to higher echelons.

The recent years, particularly the late 90s, have witnessed many a change in the banking scenario and due to

these changes, the manpower requirements of the banking industry has also undergone a sea-change. More and

more banks have introduced specialisation & restructuring and the requirement of knowledge, skills and attitude

of the staff at all levels, has to match the change. An official working in a bank today, has to look these

developments from his career opportunity aspect also, where he would find greater need to update himself to

keep pace with the change. The promotional avenues, for a variety of reasons, are limited which create a highly

competitive situation. The type of information desired in these promotion examinations or interviews has also

been found to be in line with the changed situations. The well informed employees have generally been found

successful, while those who are not able to equip themselves in the area of knowledge & skill properly, are not

able to make the mark and this necessitates the availability of relevant and up-dated information on all the

relevant banking aspects.

It is in this background that the author had undertaken this work during the year 1993 for the first time, which

was found very relevant and useful by the bank staff in various banks at all levels for their promotion tests and

interviews. A number of suggestions during this period of 25 years have been received and beginning from 2nd

edition to 49th edition, a large number of changes have been affected based on those suggestions, which resulted

in enrichment of the contents. The 48th thoroughly revised and updated edition, which is now in your hands, is an

update of previous edition with more new aspects having been added. Although every effort has been made to

provide update and correct information, yet in the process of compilation, editing or final printing, creeping in of

certain errors, inadvertently, cannot be ruled out. The author is grateful to the readers for their overwhelming

response to this book and shall welcome the readers for sharing their views, particularly, relating to the

deficiencies and for valuable suggestions to make it, more useful.

The author also expresses thanks to Banking events update, a monthly news-magazine and

www.bankingindiaupdate.com and www.nstoorbankingonline.com, their web-site, for permitting him,

to make use of various papers, multi-option questions and other features published by them in the recent past, in

their various issues,

A word of caution: The information provided in this book is based on the general practices and guidelines

being followed in leading banks in India (based on RBI regulations and Govt. of India directions) and is no sub-

stitute for the internal instructions of any bank. The readers in their own interest, are requested to go through

updated version of such internal instructions for proper compliance and understanding,

NS TOOR

M COM LLB MA CAIIB

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