One more year (2011) has gone in to the pages of history last night. Here is the new year 2012 dawning with lots of hope for each and every one of us. To begin with, all of us are in joyous mood to greet the New Year welcoming with all festivities. We do not know in reality, what is in store. Lots of plans, proposals and resolutions made by all of us. We got to convert them in the next twelve months.
Saturday, December 31, 2011
Financial Inclusion and Rural Development
Are Financial Inclusion and Poverty Alleviation, two sides of the Indian Rural Banking? Will the banks be productive and profitable then?
Business Line : Industry & Economy / Banking : Financial inclusion: Banks made some headway in 2010-11
Business Line : Industry & Economy / Banking : Financial inclusion: Banks made some headway in 2010-11
The twin concepts of Microfinancing and Financial Inclusion emerged on the Indian banking scene in a big way during the middle of the previous decade ie., around 2005-6. In fact, Lead Bank Scheme and Service Area Scheme were already in existence since 1969 / 1988. Much before, the very formation of SBI in 1955 from out of the earlier Imperial Bank of India was with a mandate of opening rural branches.
It was followed by two bank nationalisations in 1969 and 1980 adding 20 more banks to the Public Sector comprising of SBI and its seven subsidiaries. The Indian Banking system lived up to the dictum of the RBI and Government in going rural and lending as per Priority Sector norms at administered rates of interest for decades. And suddenly, in 1991-93, come economic reforms also affecting the banking sector. On the other hand, Financial Exclusion in the beginning and later termed as Inclusion has come on the scene with pressure on banks to open more and more rural branches and open no frills accounts. Hopefully, in a year or two, the total branches would touch one lac figure!
The twin concepts of Microfinancing and Financial Inclusion emerged on the Indian banking scene in a big way during the middle of the previous decade ie., around 2005-6. In fact, Lead Bank Scheme and Service Area Scheme were already in existence since 1969 / 1988. Much before, the very formation of SBI in 1955 from out of the earlier Imperial Bank of India was with a mandate of opening rural branches.
It was followed by two bank nationalisations in 1969 and 1980 adding 20 more banks to the Public Sector comprising of SBI and its seven subsidiaries. The Indian Banking system lived up to the dictum of the RBI and Government in going rural and lending as per Priority Sector norms at administered rates of interest for decades. And suddenly, in 1991-93, come economic reforms also affecting the banking sector. On the other hand, Financial Exclusion in the beginning and later termed as Inclusion has come on the scene with pressure on banks to open more and more rural branches and open no frills accounts. Hopefully, in a year or two, the total branches would touch one lac figure!
Business Line : Industry & Economy / Banking : Basel III norms will push up capital requirements, say bankers
Business Line : Industry & Economy / Banking : Basel III norms will push up capital requirements, say bankers
I have been thinking for some time to write a brief article on Basel I, II and III. There has been some gap in my banking studies and teaching. I and II having stabilised in the Indian banking, now we look towards III.
Tuesday, December 27, 2011
Friday, December 23, 2011
Bank for International Settlements
Bank for International Settlements
This is neither a Commercial or Developmental or World Bank but a Bank for Central Banks of the World.
This is neither a Commercial or Developmental or World Bank but a Bank for Central Banks of the World.
Thursday, December 22, 2011
Youtube for Education!
Instead of discussing, debating and prohibiting the social media networks, in the name of discipline and values, all parents, teachers and policy makers should see the bright or right side of the technology platforms like youtube/education, scribd.com, wiziq.com, slideshare.com, authorstream.com or soople.com and encourage the younger generation to catch up with the western world and compete to avail of the advantages of modern facilities.
Farmers' Suicide in India : An Emergency?
Farmers Suicide in India : An Emergency?
This is a chronic and serious issue but often ignored or neglected. There was a Committee headed by Dr Radhakrishna on rural poverty and studying the farmers suicide. Calls for focussed attention by all.
This is a chronic and serious issue but often ignored or neglected. There was a Committee headed by Dr Radhakrishna on rural poverty and studying the farmers suicide. Calls for focussed attention by all.
Basel I, II and III now
Basel I, II and now III
I have been toying with the idea of writing a brief article on the journey of Indian Banking System in the era of reforms since 1993 including Basel I, II and III. Bank for International Settlements (BIS) has been continuously working on implementation of these guidelines across the globe to bring in common standardisation. Interestingly, there have been strenuous efforts and endeavours from GOI and RBI side to also bring in productivity and profitability as also transparency in the working of banks in public, private and foreign sector in India.
Having already implemented Basel I and II guidelines, now is the time to take on Basel III guidelines. The above link / content is from Moodys Analytics towards Basel III.
I have been toying with the idea of writing a brief article on the journey of Indian Banking System in the era of reforms since 1993 including Basel I, II and III. Bank for International Settlements (BIS) has been continuously working on implementation of these guidelines across the globe to bring in common standardisation. Interestingly, there have been strenuous efforts and endeavours from GOI and RBI side to also bring in productivity and profitability as also transparency in the working of banks in public, private and foreign sector in India.
Having already implemented Basel I and II guidelines, now is the time to take on Basel III guidelines. The above link / content is from Moodys Analytics towards Basel III.
Social Media Networking?
I was participating in a Talk Show at MGM College, Udupi-Manipal today to share with them what we the Gen-X think of Social Media Networking... Somehow I felt that a majority of the older generation do not trust the Gen-Y. We consider them as 'immature' and "irresponsible". I don't understand the basis because, the Constitution has recognised all those above 18 as 'independent' and empowered to chose their representatives as MLAs and MPs to rule the country, make policies and decide their destiny.
I took stock of my own indulgence with Social Media. I have at least three email ids; am a member of FB, Google+, Orkut, LinkedIn, Twitter and so on. I am also deeply into www.scribd.com; www.authorstream.com; www.slideshare.com; www.wiziq.com; www.peerpower.com or www.bharatmatrimony.com. Google my name or search in bing.com or others like 123people.com or youtube.com and see what pops up. I write a blog as a progressive banker in www.chowdarip.blogspot.com. Dr Narasimha Bhat clarified that Internet is different from Professional sites and social platforms. Of course, the discussions went without conclusion as to what is right or wrong in today's information and technology world. The show goes on and on..................
I took stock of my own indulgence with Social Media. I have at least three email ids; am a member of FB, Google+, Orkut, LinkedIn, Twitter and so on. I am also deeply into www.scribd.com; www.authorstream.com; www.slideshare.com; www.wiziq.com; www.peerpower.com or www.bharatmatrimony.com. Google my name or search in bing.com or others like 123people.com or youtube.com and see what pops up. I write a blog as a progressive banker in www.chowdarip.blogspot.com. Dr Narasimha Bhat clarified that Internet is different from Professional sites and social platforms. Of course, the discussions went without conclusion as to what is right or wrong in today's information and technology world. The show goes on and on..................
Wednesday, December 21, 2011
Tuesday, December 20, 2011
Eco Entrepreneurs - the 16th variety?
About a week ago, precisely on the Dec 14, I wrote in my blog about a list of 15 varieties of entrepreneurs that I came across in different sources of literature. And today, while going through the Special Anniversary Issue of the popular magazine from Malayala Manorama Group, The Week, I read about another variety ie., Eco Entrepreneurs. This was included as part of 30 pearls of India listed out by the magazine.
Mr Chandrasekhar Hariharan of Biodiversity Conservation India Limited (BCIL), Bangalore has been named as the Eco Entrepreneur in the magazine. His ecofriendly houses do not look different from normal houses. But they are vastly different when it comes to energy efficiency. The economist-turned-eco entrepreneur heads a group of companies - Zed Habitats, Zed Fabs, Zed Labs, Zed Inhabs and the Zed Foundation - which build eco-friendly houses.
Hariharan and his green warriors have built around 630 houses and are adding another 580 by 2015. Hariharan worked in an NGO from 1987 to 1995, creating awareness about energy and water conservation. In 1995, he realised that he did not want to be donor dependent and went on with his green project. A native of Bangalore, Hariharan is a simple person. A doctorate in econometrics, he had worked as a Chartered Accountant and Journalist before becoming an eco-entrepreneur.
Mr Chandrasekhar Hariharan of Biodiversity Conservation India Limited (BCIL), Bangalore has been named as the Eco Entrepreneur in the magazine. His ecofriendly houses do not look different from normal houses. But they are vastly different when it comes to energy efficiency. The economist-turned-eco entrepreneur heads a group of companies - Zed Habitats, Zed Fabs, Zed Labs, Zed Inhabs and the Zed Foundation - which build eco-friendly houses.
Hariharan and his green warriors have built around 630 houses and are adding another 580 by 2015. Hariharan worked in an NGO from 1987 to 1995, creating awareness about energy and water conservation. In 1995, he realised that he did not want to be donor dependent and went on with his green project. A native of Bangalore, Hariharan is a simple person. A doctorate in econometrics, he had worked as a Chartered Accountant and Journalist before becoming an eco-entrepreneur.
Monday, December 19, 2011
NPAs in the Indian Banking System
Business Line of 19th Dec 2011 (page 13 - Money and Banking) carried an article titled "Govt, RBI must find a lasting solution to tackle NPAs" by T V Gopalakrishnan. Thanks to BL and the author, a very detailed table was given with data on Advances, Deposits, CD Ratio, Investments and NPA as percentage of Total Advances between the year 1993 and 2011. It was compiled from RBI's annual document "Trend and Progress of Banking in India" spread over these eighteen years. Such information is very useful to students, teachers and researchers in banking domain.
Economic and Financial Sector Reforms including banking sector reforms were introduced in the Indian economy in June 1991 for certain compelling political and economic reasons. In the process, the ailing Public Sector Banking system was cleaned up resulting in productivity, profitability, asset/liability and risk management, and balance sheet transparency as also management of NPAs (defined in 1993 and revised three times later conforming to global standards).
The table clearly indicates that while the business of banking (deposits, advances and investments) were growing at a fast pace, the NPAs were brought under control from a staggering 23.2 per cent in 1993 to 2.2 per cent in 2011. This is certainly a laudable achievement and not a cause of concern. However, efforts have to be continuously made to maintain this low levels of NPAs using all the legal tools and expertise.
Economic and Financial Sector Reforms including banking sector reforms were introduced in the Indian economy in June 1991 for certain compelling political and economic reasons. In the process, the ailing Public Sector Banking system was cleaned up resulting in productivity, profitability, asset/liability and risk management, and balance sheet transparency as also management of NPAs (defined in 1993 and revised three times later conforming to global standards).
The table clearly indicates that while the business of banking (deposits, advances and investments) were growing at a fast pace, the NPAs were brought under control from a staggering 23.2 per cent in 1993 to 2.2 per cent in 2011. This is certainly a laudable achievement and not a cause of concern. However, efforts have to be continuously made to maintain this low levels of NPAs using all the legal tools and expertise.
My Google+ page with Photos
My Google Plus with Photos
I have become an addict to net. I not only spend in googling and surfing for many things, but have uploaded many of my recent photos and videos in the Google+ page here. I am also present in Linkedin, Orkut, Face Book, Wiziq, Peer Power, and other social media sites. My scribd.com page had so far over 1.70 lakh viewers and the other two sites authorstream.com and slideshare.com also have my ppt files for viewing. Great feeling.
I have become an addict to net. I not only spend in googling and surfing for many things, but have uploaded many of my recent photos and videos in the Google+ page here. I am also present in Linkedin, Orkut, Face Book, Wiziq, Peer Power, and other social media sites. My scribd.com page had so far over 1.70 lakh viewers and the other two sites authorstream.com and slideshare.com also have my ppt files for viewing. Great feeling.
Sunday, December 18, 2011
Any Ways
I had collected this piece from New Delhi over a decade back, got it laminated and am hanging on my wall:
People are unreasonable, illogical and self centered. Love them anyway.
If you do good, people will accuse you of selfish ulterior motives. Do good anyway.
If you are successful, you win false friends and true enemies. Succeed anyway.
The good you do today will be forgotten tomorrow. Do good anyway.
Honesty and frankness make you vulnerable. Be honest and frank anyway.
People favor underdogs but follow only top dogs. Fight for some underdogs anyway.
What you spend years building, may be destroyed overnight. Build anyway.
People really need help but may attack you if you help them. Help people anyway.
Give the world the best you have and you'll get kicked in the teeth. Give the world the best you've got.
ANYWAY
People are unreasonable, illogical and self centered. Love them anyway.
If you do good, people will accuse you of selfish ulterior motives. Do good anyway.
If you are successful, you win false friends and true enemies. Succeed anyway.
The good you do today will be forgotten tomorrow. Do good anyway.
Honesty and frankness make you vulnerable. Be honest and frank anyway.
People favor underdogs but follow only top dogs. Fight for some underdogs anyway.
What you spend years building, may be destroyed overnight. Build anyway.
People really need help but may attack you if you help them. Help people anyway.
Give the world the best you have and you'll get kicked in the teeth. Give the world the best you've got.
ANYWAY
Saturday, December 17, 2011
Prefixes to Banking....
About a month back, I listed out 52 types of banking compiled from various sources. Later, I added two more and thought that enough is enough. Only yesterday, I came across another already familiar prefix to banking - Correspondent Banking! Does my search come to some halt any day before I start writing in detail on banking?
Tuesday, December 13, 2011
Long list of Varieties of Entrepreneurs
The more and more I delve deep into the topic of varieties of Entrepreneurs world over, my list is growing longer and longer. I just started with the basic word "Entrepreneurs".
And my compilation has taken me to touch a double digit. These are 1. Agri-preneurs 2. Edu-preneurs 3. Dalit Entrepreneurs 4. Food-preneurs 5. Green Eco Entrepreneurs 6. Kid Entrepreneurs 7. Medi-preneurs 8. Rural Entrepreneurs 9. Serial Entrepreneurs 10. Social Entrepreneurs 11. Tech-preneurs 12. Teen Entrepreneurs 13. Virtual Entrepreneurs 14.Women Entrepreneurs and 15. Young Entrepreneurs. Unbelievable long list, isn't it? Now I am tempted to write a book on all these.
And my compilation has taken me to touch a double digit. These are 1. Agri-preneurs 2. Edu-preneurs 3. Dalit Entrepreneurs 4. Food-preneurs 5. Green Eco Entrepreneurs 6. Kid Entrepreneurs 7. Medi-preneurs 8. Rural Entrepreneurs 9. Serial Entrepreneurs 10. Social Entrepreneurs 11. Tech-preneurs 12. Teen Entrepreneurs 13. Virtual Entrepreneurs 14.Women Entrepreneurs and 15. Young Entrepreneurs. Unbelievable long list, isn't it? Now I am tempted to write a book on all these.
Passive Income - According to Two Virtual Entrepreneurs!
And my list now stands at no. 15 varieties of entrepreneurs ending with Virtual Entrepreneurs! Great feeling...........na?
India Economic Summit 2010 - Innovating Rural Entrepreneurship Towards E...
I am thrilled to add another variety "Rural Entrepreneurship" to the big list of over dozen.
Startup America Young Entrepreneurs Panel
Here is an interesting clipping with a panel discussion on Young Entrepreneurs...
Kid Entrepreneur - Alexandra McDaniel
Yeah, I could lay my hand on "Kid Entrepreneurs" too. OMG. They are 8 and 9 years old!
Teen Entrepreneurs: Part One
After list about 8 varieties of entrepreneurs, I was still not satisfied. I went on searching of other types of entrepreneurs. First I thought of Young Entrepreneurs or Kid Entrepreneurs as a class and suddenly ended up at a search result for Teen Entrepreneurs from you tube. Very interesting achievers here.
Dalit Entrepreneurs and DICCI
Moving forward from simply listing the variety of entrepreneurs, I started searching for more information. Very interestingly, I came across formation of DICCI in Mumbai. Here is the link:
Dalit Entrepreneurs in India ...
Dalit Entrepreneurs in India ...
Trend and Progress of Banking in India 2011 (RBI)
Trend and Progress of Banking in Idia 2011 - RBI
This is an annual compilation of the banking scenario in India by RBI and released in Nov every year. A very useful document for all bankers, researchers, policy makers and students of banking and management besides of course to Academicians.
This is an annual compilation of the banking scenario in India by RBI and released in Nov every year. A very useful document for all bankers, researchers, policy makers and students of banking and management besides of course to Academicians.
Doing Business in India : IBEF and E&Y Report 2011
Doing Business in India
E&Y has brought a comprehensive report on Doing Business in India for 2011 with all updates.
E&Y has brought a comprehensive report on Doing Business in India for 2011 with all updates.
Bringing-back Black Money?
Quite often, we keep hearing our Parliamentarians demanding disclosure of balances in Swiss Bank accounts of our Indian politicians, businessmen and others. I donno when this finally would materialise. Once these details are disclosed what would be the procedure to bring back the amount to India? What will happen if the black money within India and brought from Switzerland is brought into Indian Economy? Any assessment made?
I wish Anna Hazare or Civil Society activists draw up an agenda extending from Lok Pal to anti-corruption or graft, anti-child labour, anti-dowry, and work on true Electoral Reforms so that only sincere, honest, educated, law-abiding and service-minded individuals enter Indian politics and work for reconstruction of the country.
I wish Anna Hazare or Civil Society activists draw up an agenda extending from Lok Pal to anti-corruption or graft, anti-child labour, anti-dowry, and work on true Electoral Reforms so that only sincere, honest, educated, law-abiding and service-minded individuals enter Indian politics and work for reconstruction of the country.
Variety of Entrepreneurs
Reading, Writing, Thinking and Knowing of Entrepreneurs is an on-going interesting act for me. Every story is different and every individual Entrepreneur has something unique to share. It is only from news papers, business magazines, biographies and internet or some organisations like TiE or NEN or Mumbai Angels or Indian Angels, we get to know of these special personalities. Be it young or old, male or female, qualified or otherwise, Indian or NRIs, professional, technical or social entrepreneurs, each one of them have been making the lives of their own selves and a vast number of others employed with them productive and meaningful.
Authors like Rashmi Bansal are going on capturing the facts and figures to chronicle these noble personalities. In the process of teaching courses on entrepreneurship to MBA students (although it is not so attractive elective course in many of the B-Schools for reasons best known to themselves) I came across a variety of entrepreneurs. To list them out my own way, there are agri-preneurs, tech-preneurs, edu-preneurs, social entrepreneurs, medi-preneurs, food-preneurs and dalit entrepreneurs. How interesting? I wish if only our Central or State Governments create Ministries or Departments for Entrepreneurs, compile data on them, encourage more and more such persons and announce Civil Awards every year in a big way!
Authors like Rashmi Bansal are going on capturing the facts and figures to chronicle these noble personalities. In the process of teaching courses on entrepreneurship to MBA students (although it is not so attractive elective course in many of the B-Schools for reasons best known to themselves) I came across a variety of entrepreneurs. To list them out my own way, there are agri-preneurs, tech-preneurs, edu-preneurs, social entrepreneurs, medi-preneurs, food-preneurs and dalit entrepreneurs. How interesting? I wish if only our Central or State Governments create Ministries or Departments for Entrepreneurs, compile data on them, encourage more and more such persons and announce Civil Awards every year in a big way!
Sunday, December 11, 2011
ATMs in Indian Banking Scene.....
I am not too sure as to how these ATMs entered the Indian banking scene in early eighties! May be one of the Foreign Banks like Citi Bank might have introduced the facility. At a time the Indian banking was still in its primitive style without automation or mechanisation, ATMs or Credit Cards were not well known let alone the bankers were also not inclined to offer them by investing heavily as also against stiff opposition from the Trade Unions. Thanks to reforms and transformation in the most important service industry, in the last two decades we witnessed many changes and advancements in the technology era.
With all the cry for taking banking services to the grass roots level against all odds, in the name of Financial Inclusion or Rural Development, there has been a tremendous increase in the bank branches per se and with an equal number of ATMs all over. If I have to guess, the figures could be around 85,000 each and a long way to go too. But the PSBs have taken the lead of offering ATM services in god-foresaken places including mountain tops or national highways and waterways. Biometric ATMs were introduced in rural areas and for illiterate customers. As regards security for ATMs, we keep hearing that there are some guarded and some not exposing to all sorts of risks and mis-use. We can't help it because after all it costs for the banks. And now, I read from the latest issue of IIBF Vision (Nov 2011) that these ATMs are 'Brown labelled' and "White-labelled"!
"Brown label ATMS": The news is that 5,000 brown label ATMs are on the anvil. Hughes Communications India, a broad-band satellite service provider will set up these ATMs in the country. The ATM hardware as well as lease under the ownership of the service provider, while connectivity and cash handling & management is the responsibility of the sponsor bank. This model has two primary benefits viz., banks will not have to lock their funds in a fast depreciating asset since the capital investment would be undertaken by the ATM vendor. Also, since the vendor gets a fee for every transaction from the bank whose ATM card is being used, there is an incentive to ensure efficiency in terms of usage.
"While label ATMS" : Hoping to cut transactions costs for banks, the Financial Ministry has asked RBI to allow common ATMs that will be owned and managed by non-banking entities. Called while-label ATMs, these money dispensers are proposed to be located in non-traditional areas and would levy some usage-fee on the customers. Globally, such ATMs are operated by Euronext, Clear Card and Ezee ATM. Currently, banks allow customers of other banks five free transactions of cash withdrawal at their ATMs per month but end up paying around Rs. 3,000 crore a year to settle inter-bank transaction costs. Setting up a while label ATM may also increase the quantum of withdrawal from an ATM. As of now, banks fix a cash limit at ATM based on the usage.
With all the cry for taking banking services to the grass roots level against all odds, in the name of Financial Inclusion or Rural Development, there has been a tremendous increase in the bank branches per se and with an equal number of ATMs all over. If I have to guess, the figures could be around 85,000 each and a long way to go too. But the PSBs have taken the lead of offering ATM services in god-foresaken places including mountain tops or national highways and waterways. Biometric ATMs were introduced in rural areas and for illiterate customers. As regards security for ATMs, we keep hearing that there are some guarded and some not exposing to all sorts of risks and mis-use. We can't help it because after all it costs for the banks. And now, I read from the latest issue of IIBF Vision (Nov 2011) that these ATMs are 'Brown labelled' and "White-labelled"!
"Brown label ATMS": The news is that 5,000 brown label ATMs are on the anvil. Hughes Communications India, a broad-band satellite service provider will set up these ATMs in the country. The ATM hardware as well as lease under the ownership of the service provider, while connectivity and cash handling & management is the responsibility of the sponsor bank. This model has two primary benefits viz., banks will not have to lock their funds in a fast depreciating asset since the capital investment would be undertaken by the ATM vendor. Also, since the vendor gets a fee for every transaction from the bank whose ATM card is being used, there is an incentive to ensure efficiency in terms of usage.
"While label ATMS" : Hoping to cut transactions costs for banks, the Financial Ministry has asked RBI to allow common ATMs that will be owned and managed by non-banking entities. Called while-label ATMs, these money dispensers are proposed to be located in non-traditional areas and would levy some usage-fee on the customers. Globally, such ATMs are operated by Euronext, Clear Card and Ezee ATM. Currently, banks allow customers of other banks five free transactions of cash withdrawal at their ATMs per month but end up paying around Rs. 3,000 crore a year to settle inter-bank transaction costs. Setting up a while label ATM may also increase the quantum of withdrawal from an ATM. As of now, banks fix a cash limit at ATM based on the usage.
Friday, December 9, 2011
Thursday, December 8, 2011
Friday, December 2, 2011
9th Leadership Lecture at TAPMI was delivered by Ms Chitra Ramkrishna
Ms Chitra Ramkrishna, Joint Managing Director of NSE Ltd., Mumbai delivered the 9th Leadership Lecture at TAPMI, Manipal on December 02, 2011.
Thursday, December 1, 2011
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