Private banks in India.
Private sector banks in India are the banks where the majority of the shares or
equity is not held by the government, but by private share-holders. These banks
are a part of the Indian banking system which comprises of both private banks
and public sector banks. The banking sector in India is dominated by the public
sector banks. However after liberalization
in the government banking policy in the 1990s, the private sector banks have
emerged and have grown rapidly over the two decades since liberalization, using
the latest technology, providing contemporary innovations and monetary tools
and techniques.
Major difference between Public
Sector banks & Private Sector banks is that Public Sector banks dominate
the Indian banking system, with total market share of nearly 72.9%, whereas Private
sector banks, with nearly 19.7%.
The
private sector banks are split into two groups by financial regulators in
India, old and new. The old private
sector banks existed prior to nationalization in 1969 and maintained their
independence as they were too small to be nationalized. The new private sector banks are those that
have gained their banking license after liberalization of the 1990s.
Private Sector Banks in India : Banking System
The existing Indian Banking System structure makes progress over several decades, is elaborated and has been providing the credit and banking services needs of Indian economy. Indian Banking System is divided into multiple layers which follows the requirements of different customers and borrowers of the country. The banking structure played a crucial role in the mobilization of savings and promoting economic development. In the post-financial sector reforms (1991) phase, the performance and strength of the Indian Banking structure improved noticeably. India cannot possess a healthy economy without a strong and productive banking system. The banking system should be hassle free and must be able to meet the new challenges posed by technology and other factors.
The RBI is the apex bank and the monetary authority of India which regulates the banking system of the country. It governs all the banks in the country like commercial banks, cooperative banks and development banks (development finance institutions).
The commercial bank includes public sector banks, private sector banks, foreign banks, regional rural banks and local area banks.
The commercial banks can be classified into two categories – public sector banks and private sector banks. Both categories of banks are meant to provide good banking facilities and services to customers.
Presently there are about 22 private
sector banks in India. Listed below are the names of the private sector banks
that are currently operating in the country (as on 9th April 2019) :
List of Old Private banks in India:
1. Catholic Syrian Bank:
The Catholic Syrian Bank Limited
(CSB) is an oldest Indian private
sector bank with its headquarters at Thrissur, Kerala, India, founded on 26 Nov, 1920,
bearing a network of over 430 branches and more than 240 ATMs across India.
Holding net income ₹1.55 cr (US$220,000) and total assets ₹16,223.24 cr (US$2.3 billion)
as on 2017..dealing with Consumer banking, Corporate banking, Mortgage loans, Private banking, Wealth management, Investment
banking…..Visit site.
2. City Union Bank:
City Union Bank is an oldest Indian private sector bank, previously called The Kumbakonam Bank Limited, founded in 1904 at Kumbakonam, Thanjavur, Tamil Nadu, India, bearing a network of over 550 branches and more than 1486 ATMs across India. Holding net income ₹503 crore (US$70 million) and total assets ₹35,271 crore(US$4.9 billion) as on 2018..dealing with Asset management, Consumer banking, Corporate banking, Finance and Insurance, Forex, Investment banking, Mortgage loans, Payment solutions, Private banking…..Visit site.
3. Dhanlaxmi Bank:
Dhanlaxmi Bank is an oldest Indian private sector bank with its headquarters at Thrissur, Kerala, India, founded in 1927, bearing a network of over 280 branches and more than 398 ATMs across India. Holding net income ₹(24.87) crore(US$3.5 million) and total assets ₹12,286 crore(US$1.7 billion) as on 2018..dealing with Credit cards, Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management, Investment banking
…..Visit site.
4. Federal Bank:
Federal Bank is an oldest Indian private sector bank with its headquarters at Kochi, Kerala, India, founded on 02 Dec, 1949, bearing a network of over 1251 branches and more than 1665 ATMs and 258 cash recyclers across India. Holding net income ₹878.85 crore(US$120 million) and total assets ₹138,313.95 crore(US$19 billion) as on 2018..dealing with Credit cards, Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management, Investment banking…..Visit site.
5. Jammu
and Kashmir Bank:
Jammu and Kashmir Bank is an oldest Indian private sector bank with its headquarters at Srinagar, Jammu and Kashmir, India, founded on 01 Oct, 1938, bearing a network of over 935 branches and more than 1287 ATMs and 25 cash deposition machines across India. Holding net income ₹-1,632.29 crore (US$−230 million) and total assets ₹82,018.67 crore(US$11 billion) as on 2017..dealing with Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management, Investment banking…..Visit site.
6. Karnataka Bank:
Karnataka Bank is an oldest Indian private sector bank with its headquarters Mangaluru, Karnataka, India, founded in 1924, bearing a network of over 839 branches and more than 1374 ATMs and 300 e-lobbies/mini e-lobbies across India. Holding net income ₹325.61 crore (US$45 million) and total assets ₹64,126.54 crore (US$8.9 billion) as on 2018..dealing with Retail Banking, Corporate Banking, Finance and Insurance, Credit Card, Mortgage loans, Private banking, Wealth management, Investment banking…..Visit site.
7. Karur Vysya Bank:
Karur Vysya Bank is an oldest Indian private sector bank with its headquarters at
Karur, Tamil Nadu , India, founded in 1916, bearing a network of over 788 branches and more than 1803+ ATMs and around 538 cash deposit machines across India. Holding net income ₹567.63 crore(US$79 million) and total assets ₹57,663.72 crore(US$8.0 billion) as on 2018..dealing with Consumer banking, Corporate banking, Finance and Insurance, Investment banking, Mortgage loans, Private banking, Wealth …..Visit site.
8. Lakshmi Vilas Bank:
Lakshmi Vilas Bank is an oldest Indian private sector bank with its headquarters at Chennai, Tamil Nadu, India, founded on 10Nov, 1926, bearing a network of over 569 branches and more than 1046 ATMs and 7 extension counter across India. Holding net income ₹265 crore (US$37 million) and total assets ₹54,511.81 crore(US$7.6 billion) as on 2017..dealing with Consumer banking, corporate banking, finance and insurance, investment banking, mortgage loans, private banking, wealth management..
On 5 April 2019, the board of Lakshmi Vilas Bank approved a
merger of the bank with the country's second largest housing finance
company, Indiabulls Housing
Finance Ltd
.....Visit site.
.....Visit site.
9. Nainital
Bank:
The Nainital Bank Limited or Nainital Bank is an oldest Indian private sector bank with its headquarters at Nainital, Uttarakhand, India, founded in 1922, bearing a network of over 139 branches across India. Holding net income ₹48.46 crore(US$6.7 million) and total assets ₹769.96 crore(US$110 million) as on 2017..dealing with Finance and insurance, Consumer banking, Corporate banking, Investment banking, Investment management, Private banking
…..Visit site.
10. RBL Bank (Ratnakar Bank):
RBL Bank/Ratnakar Bank is an oldest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded in august, 1943, bearing a network of over 342 branches and 488 ATMs across India. Holding net income ₹446.05 crore (US$62 million) and total assets ₹48,674.77 crore(US$6.8 billion) as on 2017..dealing with Consumer banking, Corporate banking, Finance and Insurance…..Visit site.
11. South Indian Bank:
South Indian Bank is an oldest Indian private sector bank with its headquarters at
Thrissur, Kerala, India, founded in January 29, 1929, bearing a network of over 857 branches, 1334 ATMs, 42 bulk cash deposition machines, 4 service branches and 54 extension counters across India. Holding net income ₹392.50 crore(US$55 million) and total assets ₹74,312.15 crore(US$10 billion) as on 2017..dealing with Credit cards, Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management, Investment banking…..Visit site.
12. Tamilnad Mercantile Bank:
Tamilnad Mercantile Bank is an oldest Indian private sector bank with its headquarters at Thoothukudi, Tamil Nadu, India, founded in 11May, 1921, bearing a network of over 509 branches, 1094 ATMs, 12 Regional offices, 11 Extension Counters, 6 central processing centres, 1 Service Branch, 4 Currency Chests, 19 eLobby centres across India. Holding net income ₹316.66 crore(US$44 million) and total assets ₹55,984.37 crore(US$7.8 billion) as on 2017..dealing with Credit cards, Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management…..Visit site.
List of New Private banks in India:
13. Axis Bank:
Axis Bank is the newest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded in 1993, bearing a network of over 4000 branches, 12705 ATMs, 3548 cash recyclers across India and 10 international branches. Holding market capitalization of ₹1.31 trillion (US$18 billion), net income ₹276 crore (US$38 million) and total assets ₹665,084 crore (US$93 billion) as on 2018..dealing with Retail banking, corporate banking, investment banking, mortgage loans, private banking, wealth management, credit cards, finance and insurance…..Visit site.
14. Bandhan Bank of Bandhan Financial Services:
Bandhan Bank is the newest Indian private sector micro-finance bank with its headquarters at Kolkata, West Bengal,India, founded on 23 august, 2015, bearing a network of over 986 branches, 481 ATMs, 3,014 DSCs (Doorstep Services) and 15,185 Mini-ATMs (Hand-Held Devices) across India. Holding market capitalization of ₹ 569520 Cr, net income ₹1,111.95 crore(US$150 million) and total assets ₹30,236.09 crore(US$4.2 billion) as on 2017..dealing with Savings Account,Current Account,Loans,Retail Loans,MSME Loans (Samriddhi Business Loan,Commercial Vehicle Loan), Term Loan,Equipment Loan,Working Capital Loan,Small Enterprise Loan (SEL),Microloans,Agri Loans,Deposits and NRI Banking……..Visit site.
15. Digibank (DBS):
DigiBank by DBS is the multinational banking and financial services corporation with its global headquarters in Marina Bay Financial Centre Tower 3 Marina Bay, Singapore and also headquarters in Mumbai represents for India, bearing a network of 12 branches, across India. Holding worldwide total assets US$333.48 billion as on 2016….dealing with Retail banking, corporate banking, investment banking, mortgage loans, private banking, wealth management, credit cards, finance and insurance…The Bank was also awarded the Best Digital Bank in the World in the year 2016 by Euromoney With operations in 17 markets through-out East and south east Asia.......Visit site.
16. DCB Bank:
DCB Bank is the Indian private sector scheduled commercial bank with its headquarters at Mumbai, Maharashtra, India, founded in 1930, bearing a network of over 331 branches, 505 ATMs across India. Holding total assets ₹24,046.37 crore(US$3.3 billion) as on 2017..dealing with Consumer banking, Corporate banking, Finance and Insurance distribution, Mortgage loans, Private banking, Wealth management, Investment banking…..Visit site.
17. HDFC Bank:
HDFC Bank Ltd (Housing Development Finance Corporation) is the newest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded in august, 1994, bearing a network of over 4963 branches and 13160 ATMs across 2727 Indian cities and also international branches in Bahrain, Hong Kong and Dubai…Holding net income ₹17,486 crore(US$2.4 billion) and total assets ₹1,018,170 crore(US$140 billion) as on 2018..dealing with Credit cards, consumer banking, banking, finance and insurance, investment banking, mortgage loans, private banking, private equity, wealth management…..Visit site.
18. ICICI Bank:
ICICI Bank Ltd( Industrial Credit and Investment Corporation of India) is the newest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded on 05th Jan, 1994, bearing a network of over 4867 branches and 14367 ATMs across Indian cities and also international branches in 16 countries…Holding net income
₹6,777.42 crore(US$940 million) and total assets ₹879,189.16 crore(US$120 billion) as on 2018..dealing with Retail banking, corporate banking, investment banking, mortgage loans, private banking, wealth management, credit cards, finance and insurance
…..Visit site.
19. IDFC:
IDFC First Bank (formerly IDFC Bank) is the newest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded in Oct, 2015, bearing a network of over 150 branches, 400 business correspondent branches and several Micro ATMs and Aadhar Pay system across Indian cities & villages…Holding net income ₹1,020 crore(US$140 million) and total assets ₹112,160 crore(US$16 billion) as on 2017..dealing with Consumer banking, Corporate banking, Wholesale banking, Mortgage loans, Private banking, Wealth management, Investment banking…..Visit site.
20. IndusInd Bank:
IndusInd Bank Ltd is the newest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded in 1994, bearing a network of over 1558 branches and 2453 ATMs across Indian cities and also overseas branches in London, Dubai and Abu Dhabi…Holding net income ₹2,867.89 crore(US$400 million) and total assets ₹178,648.41 crore(US$25 billion) as on 2017..dealing with Credit cards, Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management, Investment banking
…..Visit site.
21. Kotak Mahindra Bank:
Kotak Mahindra Bank is the newest Indian private sector bank with its headquarters at Mumbai, Maharashtra, India, founded in Feb,2003, bearing a network of over 1369 branches and 2163 ATMs across Indian cities and third largest private bank in India by market capitalization after HDFC Bank and icici bank…Holding net income ₹3,411.50 crore(US$470 million) and total assets ₹214,589.95 crore(US$30 billion) as on 2017..dealing with Credit cards, consumer banking, corporate banking, finance and insurance, mortgage loans, private banking, wealth management, investment banking…..Visit site.
22. YES Bank:
Yes Bank is the newest Indian private sector bank & 4th largest bank by market capitalization with its headquarters at Mumbai, Maharashtra, India, founded in 2004, bearing a network of over 1150 branches and 1800 ATMs across Indian cities…Holding net income ₹4,224 crore(US$590 million) and total assets ₹301,390 crore(US$42 billion) as on 2018..dealing with Credit cards, Consumer banking, Corporate banking, Finance and Insurance, Mortgage loans, Private banking, Wealth management, Investment banking...Visit site.
Defunct Private Banks :
Few old private sector
banks in India have merged already with other banks that is—Lord Krishna Bank merged with Centurion Bank of Punjab in 2007; Sangli Bank merged with ICICI
Bank in 2006; Centurion Bank of Punjab merged with HDFC bank in 2008.More recently, in 2016,
the ING Vysya Bank merged with Kotak Mahindra Bank, creating the
fourth largest private sector bank in India.
