BROAD CLASSIFICATION OF BANKING IN INDIA

Broad Classification of Banking in India

1) The RBI:

The RBI is the supreme monetary and banking authority in the country and has the responsibility to control the banking system in the country. It keeps reserves of all scheduled banks and hence is known as the “Reserve Bank”.

2) Public Sector Banks:  

• State Bank of India and its Associates (8)
• Nationalized Banks (19)
• Regional Rural Banks Sponsored Public Sector Banks (196)

3) Private Sector Banks:

• Old Generation Private Banks (22)
• Foreign New Generation Private Banks (8)
• Banks in India (40)

4) Co-operative Sector Banks:

• State Co-operative Banks
• Central Co-operative Banks
• Primary Agriculture Credit Societies
• Land development Banks
• State Land Development Banks

5) Development Banks: Development banks mostly provide long term finance for setting up industries. They also provide short term finance (for export and import activities)

• Industrial Finance Co-operation of India (IFCI)
• Industrial Development of India (IDBI)
• Industrial Investment Bank of India (IIBI)
• Small Industries Development Bank of India (SIDBI)
• National Bank of Agriculture and Rural Development (NABARD)