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The economic growth of any country is ultimately based on the
performance of the financial institution especially the banking
companies. it is a well know fact that the services offered by
Indian banks are well received and recognized by the people who are
involving in the money market not only in domestic market but also
in foreign market. Though the Indian banks have larger network in
terms of branches and employees, the volume of business, the
employee's productivity not at satisfactory level compared with
those of other countries banks. It is interestingly noted that the
problems out of the recession is not so heavily affected in the
Indian banks, though majority of the American and European banks
experienced serious problems. This is because of the mind setting
of the Indian depositors and continues and serious efforts of the
reserve bank of India. In the recent days, the Indian nationalized
banks are facing innumerable challenges such as worrying level of
NPAs, deteriorating asset quality, and increasing pressure on
profitability, asset-liability management liquidity risk
management, and market risk management and ever tightening
prudential norms.
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