BANKS CONSOLIDATION IN INDIA

TABLE OF CONTENTS

1. Introduction..............................................................................................................................3

2. Bank Nationalisation In India...................................................................................................4

3. Problem of NPAs in India........................................................................................................6

4. Need for Bank Consolidation.................................................................................................10

5. Challenges and Solutions.......................................................................................................14

6. Conclusion..............................................................................................................................15

7. References................................................................................................................................16
 1. INTRODUCTION
“Banks are to the economy what the heart is to the human body. They cycle
necessary capital through the whole, and they are barely noticed until pressure,
necessity, or crises.”
- Hendrith Smith1
Indian Banking history can be traced to 19th century. During the colonial era many Indian banks
were founded either by the Princely States or by wealthy individuals. The primary aim of most of
the banks was to cater financial needs of trade and industry in that locality. Agriculture and rural
small scale industries did not have access to credit facilities and banking services. So they
depended on village money lenders and other private financiers to fund their activities. These
local financial prodders exploited the rural population by charging enormous interest rates and
harsh repayment conditions.2
So emergence of bank in the back drop of the problems pre existing in the society, it plays an
important role to strengthen Indian economy. So soon after Independence, a new chapter in the
history of India was written by the leaders of the country. With the nationalization of Reserve
Bank of India in 1949 became a milestone. After which the government initiated the
nationalization of other banks in two phases in 1969 and 1980.3 Post this period mostly
commercial banks were private and followed a discriminatory practice. So for the social welfare,
expanding the banking services, etc chose to nationalize the banks.4
However, these banks were divided in several parts of India in small units. But over a period of
time, the banks received several problems like assets becoming non-performing, there are
number of other issues which banks in India are encountering viz. balance sheet management,

1
Hendrith Smith, Essays on Banking Industry (2017), https://www.goodreads.com/quotes/tag/banks.
2
Bank Nationalization in India (Last accessed on 31st March, 2020),
http://pnbsu.com/news/banking_finance/bank_nationalization.pdf.
3
Gaurav Akrani, Nationalisation of Banks in India - Introduction Objectives Demerits, Kalyan City Life (9th
Dec.,2020), p.1, file:///C:/Users/Owner/Downloads/6_4_2014_Nationalisation_of_Banks_in_Ind.pdf.
4
Ibid at p. 2.

2|Page
risk management, technological advancements, human resource issues, etc, affecting the baking
core for a relatively long period of time.5
So cater this problem the Government took several measures, one of which was merger and
acquisition of banks6, i.e. consolidation, which is in simple term meant as the amalgamation of
two PSUs into one to strengthen its back.
Now the question arises whether such efforts of Government any fruitful or such went in vein.
As the number of NPAs7 is increasing, and rapidly affect the banking system in India by creating
problematic and causing weak. And with such weak system the economy will be affected to a
larger extent. So through this paper, the author has tried highlighting the problems associated
with banks and how consolidation of them is hence necessary.

2. BANK NATIONALISATION IN INDIA

Nationalisation of bank was historic move initiated by the government for the advancement of
the country and the banks. According to IMF, “Nationalisation means the taking of control by
the government over assets and over a corporation, usually by acquiring the majority or the
whole stake in the corporation.”8 So in 1949, for first time ever a bank was nationalised and
which sooner became the regulatory authority for banking system in India, and that bank was
Reserve Bank of India (RBI), India’s Central Bank. Another important event in the same year
was the passing of the Banking Regulation Act, 1949. This Act gave extensive controlling
powers to the Reserve Bank and the Government over the joint stock banks. As most of the
Indian banks were privately owned at that time. Thus the Indian government then recognized the
need to bring them under some form of government control to be able to finance India’s growing
financial needs.

5
FICCI Research, Economy Insight: Bank Consolidation: Way Forward!, FICCI (28th Dec., 2016),
http://ficci.in/SPdocument/20849/Bank_Consolidation.pdf.
6
Consolidation in Indian Banking Sector, IndiaMoney.com (11th April, 2019),
https://indianmoney.com/articles/consolidation-in-indian-banking-sector.
7
RBI changes SLBC convenors in view of bank mergers, THE ECONOMICS TIMES (last visited on 30th March’ 2020),
https://economictimes.indiatimes.com/news/economy/policy/rbi-changes-slbc-convenors-in-view-of-bank-
mergers/articleshow/74890556.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
8
Jean-Pierre DUPUIS, Privatisation and Nationalisation, Fourth meeting of the Task Force on Harmonization of
Public Sector Accounting (TFHPSA), International Monetary Fund (Oct. 3-6, 2005), p. 6,
https://www.imf.org/external/NP/sta/tfhpsa/2005/09/pandn.pdf.

3|Page
So in July 1, 1955 on the recommendation of the Rural Credit Survey Committee, the Imperial
Bank of India was renamed as the State Bank of India as per SBI Act, 1954 and the State Bank
Group was established in 1960 as per State Bank of India (Associate Banks) Act, 1959.
In many respects, Indian commercial banking growth was observed to be too sluggish and
deficient. Mainly big business firms controlled commercial banks. Thus, a number of industry
employees and monopoly firms in banking systems were responsible for the accumulation of
riches and economic strength. Bank executives had partnerships with major corporations. By
offering loans to the businesses where they had interests, they used banks' capital. The banks'
resources have also been misused.
The commercial banks' lending policy was highly discriminatory. They did not offer credit for
the national interest or the growth of the priority sectors. Their main success was spread through
large and medium-sized enterprises and large and developed businesses. The needs of priority
areas like agriculture, small-scale manufacturing, exports, etc. were not given any attention.
Banking funding also has been given for certain unsocial or undesirable practices, such as
hoarding, black marketing, gambling, etc. The structure and operation of commercial banks
needed drastic adjustments to fix such weaknesses.9
So In July 1969, all Indian congress committee session held at Bangalore. The A.I.C.C.
resolution endorsing the then Prime Minister Mrs. Indira Gandhi’s note strengthened her
conviction and paved the way for the implementation for her revised thoughts. It was, therefore
within six months of the imposition of social control on banks, ordinance to nationalise the 14
major banks.10 These banks were mostly owned and managed by the businessmen. And, on 15th
April, 1980 six more banks having deposits of over 200 crores, were nationalised. Till this year
approximately 80% of the banking segment in India was under government ownership but after
this there was a rise of approximately 80% in deposits and advances took a jump by 11,000%. So
with the Nationalisation of the banks, it diffused public confidence in the banking system
embolding the mobs to save and invest. It eliminated the regional biasness and promoted opening
up branches in the lonesome areas of the country as well, hence enhancing the banking network.

9
Nationalisation of Banks (Accessed on 30th April’2020), pp. 30-31,
https://shodhganga.inflibnet.ac.in/bitstream/10603/66839/10/10_chapter%204.pdf.
10
Anjana Mehra & Praveshika Sharma, Nationalisation of Bank: A Historical Blooper or Commitment of the Hour?,
INTERNATIONAL JOURNAL OF ARTS, HUMANITIES AND MANAGEMENT STUDIES (Vol. No. 2, Feb, 2016),
http://ijahms.com/upcomingissue/10.02.2016.pdf

4|Page
Aside elimination of monopoly, competition, and nationalisation rationalised banking practices
in the country.

3. PROBLEM OF NPAS IN INDIA

For a prosperous economy, a strong banking sector is critical. The bankruptcy can have a
detrimental effect on other industries. Failure to do so is one of Indian banks' main concerns.
NPA represents banks' results. A high level of NPAs suggests that a large number of credit
defaults will be highly likely to affect banks' profitability and net worth while also eroding the
value of the asset. The growth of the NPA implies clauses that raising the net income and interest
of shareholders.11

An asset, including a leased asset, becomes non-performing when it ceases to generate income
for the bank. A ‘non-performing asset’ (NPA) was defined as a credit facility in respect of which
the interest and/ or installment of principal has remained ‘past due’ for a specified period of
time.12
There are certain implications of increasing NPAs:
For an Economy: Developing of sound and healthy financial institutions, especially banks, is
an essential condition for maintaining over all stability of the financial system of the country.
The high level of NPAs in banks and financial institutions has been a matter of grave concern to
the public as bank credit is the catalyst to the economic growth of the country and any bottleneck
in the smooth flow of credit, one cause for which is the mounting NPAs, is bound to create
adverse repercussions on the economy.13 When the loans taken are not repaid, much of the funds
go out of financial system and the cycle of lending- repaying-borrowing is broken. The banks
have also to repay their depositors and others from whom the money had been borrowed. If the
borrowers do not pay, the banks have to borrow additional funds to repay the depositors and

11
Sumathi Gopal, NPA’s-A Comparative Analysis on Banks & Financial Institutions and its Implications- (Doctoral
Thesis (June 2010), p. 14, http://www.dypatil.edu/schools/management/npas-acomparative-analysis-on-banks-
financial-institutions-and-its-implications/.
12
Master Circular- Prudential Norms on Income recognition, Asset Classification and
Provisioning pertaining to the Advances Portfolio, Reserve Bank of India (Aug. 30, 2001),
https://www.rbi.org.in/scripts/BS_ViewMasCirculardetails.aspx%3FId%3D449.
13
Atul Mohan & Kapur Puneet, A practical guide to Non-Performing Bank Advances, Vinod Law Publications &
Agarwal Law Publications (1996), p.1.

5|Page
creditors. This leads to a situation where banks are reluctant to lend fresh funds to new projects
or the on-going projects thus choking the system. Once the credit to various sectors of the
economy slows down, the economy is badly hurt. There is slow down in GDP growth and
industrial output and fall in the profit margins of the corporate which resultantly cause
depression in the market.14
For Banking: The most important business implication of the NPAs is that it leads to credit risk
management assuming priority over other aspects of bank’s functioning. The bank’s whole
machinery would thus be pre-occupied with recovery procedures rather than concentrating on
expanding business. A bank with a high level of NPAs would be forced to incur carrying costs
on non-income yielding assets. Other consequences would be reduction in interest income, high
level of provisioning (as banks are required to keep aside a portion of their operating profit as
provisions, as NPAs increases banks have to increase the amount kept aside as provisions which
will reduce their net profits) stress on profitability and capital adequacy, gradual decline in
ability to meet steady increase in cost, increased pressure on Net Interest Margin (NIM) thereby
reducing competitiveness, steady erosion of capital resources and increased difficulty in
augmenting capital resources. 15
NPAs generate a vicious cycle of affects on the sustainability and growth of the banking system,
and if not managed properly could lead to bank failure.
So until mid-eighties, management of NPAs was left to the banks and the auditors. In 1985, the
first ever system of classification of assets for the Indian banking system was introduced on the
recommendations of A. Ghosh Committee on Final Accounts. This system, called the ‘Health
Code System’ (HCS) involved classification of bank advances into eight categories ranging from
1 (satisfactory) to 8 (bad and doubtful debt).16 In 1991, the Narasimhan Committee on the
financial system felt that the classification of assets according to the HCS was not in accordance
with international standards and suggested that for the purpose of provision, banks should
classify their advances into four broad groups, viz. (i) standard assets; (ii) substandard assets;

14
Lok Sabha Secretariat, Non-Performing Assets and Public Sector Banks in India, Parliament Library And
Reference, Research, Documentation and Information Service, No. 11 /RN/Ref./November /2014,
http://164.100.47.193/Refinput/New_Reference_Notes/English/Non-Performing.pdf.
15
Dr. Ram O. Panchariya & Prof. C. A. Sarode, Non Performing Assets - A Drag On Banking Sector,
INTERNATIONAL JOURNAL OF ADVANCE RESEARCH IN COMPUTER SCIENCE AND MANAGEMENT STUDIES (Vol. 1,
Issue 3, Aug. 2013), http://ijarcsms.com/docs/paper/volume1/issue3/V1I3-0011.pdf.
16
Dr. K. C. Chakraborty, Two Decades of Credit Management in Indian Banks: Looking Back And Moving Ahead,
RBI at BANCON (Nov 18, 2013).

6|Page
(iii) doubtful assets; (iv) loss assets. Following this, prudential norms relating to income
recognition, asset classification and provisioning were introduced in 1992 in a phased manner. In
1998, the Narasimhan Committee on Banking Sector Reforms recommended a further tightening
of prudential standards in order to strengthen the prevailing norms and bring them on par with
evolving international best practices.17 With the introduction of 90-days norms for classification
of NPAs in 2001, the NPA guidelines were brought as par with international standards18.
India's NPA history has changed a great deal. By 31 March 2018, provisional estimates suggest
that the total volume of gross NPAs in the economy stands at Rs 10.35 lakh crore. Roughly 85%
of the NPAs come from public sector loans and advances.19

In order to understand the changing trend of Non-Performing Assets, we can look in the above
graphs. As in the last few years, gross NPAs of banks (as a %age of total loans) have increased
from 2.3% of total loans in 2008 to 9.3% in 2017 (Figure 1). So within 10 years, the NPAs have
shown a high increase with a difference of 7% between these years. This also indicates that an
increasing proportion of a bank’s assets have ceased to generate income for the bank, lowering
the bank’s profitability and its ability to grant further credit. As in figure 2 which shows the
returns on the assets, which has been decreased over from 1.1 % in 2008 to only 0.4 % in 2017.

17
Shruti J. Pandey et. al., Non Performing Assets of Indian Banks – Phases and Dimensions, ECONOMIC AND
POLITICAL WEEKLY (Vol.48, No.24, June 15, 2013), p.91,
http://www.epw.in/system/files/pdf/2013_48/24/NonPerforming_Assets_of_Indian_Banks.pdf.
18
Supra, Note 17.
19
Ahita Paul, Examining the rise of Non-Performing Assets in India, PRS Legislative Research (Sep 13, 2018),
https://www.prsindia.org/content/examining-rise-non-performing-assets-india

7|Page
 Table - Bank wise NPA as of June 2017 (Rs. Crore)20
Above table shows the status NPAs in India at June 2017. This problem of NPAs is persisting in
India and with the increasing rate of NPAs in India, it become more problematic for Indian
Government to maintain a stable banking system and economy in the country.

NPAs in Banks - June 2017, http://www.careratings.com/upload/NewsFiles/SplAnalysis/Bank%20NPAs%20June

20

%202017.pdf.

8|Page
 4. NEED FOR BANK CONSOLIDATION

Consolidation of banks means that two banks agree to merge together as a single entity. In the
banking sector, consolidation happens in two ways, viz., mergers and acquisitions. According to
Oxford Dictionary, “mergers mean combining two commercial companies into one”21and
“acquisitions mean that one firm takes another firm in a friendly manner or aggressive
manner”22.

Bank consolidation is expected to improve banking sector performance. It creates changes in the
structure of merged bank that may have a considerable effect on its management and operating
cost. This may promote economies of scale and scope of consolidated banks.
The mergers and acquisitions in the Indian banking sector are regulated by the Banking
Regulation Act (BR Act), 1949. RBI is the regulatory authority to approve and facilitate merger
and acquisition processes between or among banks. However, the BR Act of mergers and
acquisitions is not applicable for government owned banks viz., Public sector banks including
State Bank of India (SBI) and its Associate Banks. The SBI Act, 1955 23 regulates State Bank of
India (SBI) and its Associate Banks and Banking Commercial Act 1970 24 regulates government
owned banks effectively.
Altogether, the Indian banking sector witnessed 25 consolidation deals from 1991-2014.10 These
agreements of consolidation were determined and caused by several reasons such as synergy,
low banking efficiency, cost saving and expansion of economies of scale and market power.
Table 1 presents some details on these 25 consolidation deals. Most of the merger and
acquisition deals of Indian commercial banks were aimed at restructuring of weak banks and
expansion of the size, scale and scope.
During 1991-2014, all but one consolidation deals were in the form of acquisition, and only one
was a merger deal. In 1993, New Bank of India (NBI) merged with Punjab National Bank (PNB)
due to a poor performance of NBI. Also, interestingly, in 2007, the Centurion Bank acquired
Lord Krishna Bank (LKB) to restructure a weak bank. However, this consolidation deal did not

21
Mergers, Oxford’s Learner’s Dictionary (Last viewed on 1st May’ 2020).
22
Acquisition, Oxford’s Learner’s Dictionary (Last viewed on 1st May’ 2020).
23
State Bank of India Act, 1955 (accessed on May 1, 2020),
http://financialservices.gov.in/banking/SBIActandregulation.pdf.
24
Banking Commercial Act, 1970 (accessed on May 1, 2020), https://www.pnbindia.in/Upload/En/Banking
%20Companies%20Act%201970.pdf.

9|Page
result in better performance of the consolidated bank. Instead, the Centurion Bank (CB) was later
acquired by HDFC bank in 2008. Table 1 show that the voluntary acquisition may give more
benefits for acquiring banks than compulsory consolidation.25

In 2016, Government of India announced the merger of all the State Bank Group Banks and
Bharatiya Mahila Bank into State Bank of India. The government of India approved the merger

Kollapuri M, Bank Consolidation and Efficiency: an Empirical Study from India, Centre for International Trade
25

and Development School of International Studies, Jawaharlal Nehru University (March 2017), p. 19,
https://www.jnu.ac.in/sites/default/files/DP03_2017.pdf.

10 | P a g e
of SBI and its five associate bank merger in 2017.. The prime motive behind this deal is to make
Indian banking more competitive and efficient one. On 1 April, 2017, this merger has taken
place.26
The utter needs for the consolidation of banks are:
I. Banking sector in India is too fragmented: Indian banking sector is highly fragmented,
especially in comparison with other key economies. The five bank asset concentration in
India is way lower than in several other countries (refer table below). Even the
Herfindahl-Hirschmann Index (HHI)27 for Indian banking sector stands at 545.2,
reflecting low levels of concentration in the sector.

Country 5-Bank asset concentration in 2014 (%)

South Africa 99.80

Germany 99.38

Malaysia 95.86

Australia 95.86

Singapore (2013) 94.38

Brazil 91.19

United Kingdom 90.06

China 81.70

France 79.56

Thailand 75.72

Mexico 71.18

Japan 60.46

United States 47.86

26
Supra, Note 25.
27
HHI is an indicator of industry concentration and is calculated as a sum of squared market shares of all firms in
the industry. An HHI below 1000 indicates fragmentation, between 1000 and 1800 implies medium level
concentration and above 1800 indicates high concentration.

11 | P a g e
 Russian Federation 44.03

India 40.21
Source: Global Financial Database, June 2016
Additionally, most of the PSBs in India are competing within themselves; most of them
have same business models and compete in the same segments as well as same
geographies. Thus, there is a huge scope of consolidation in this sector.
II. Need to build capacity to meet credit demand: India needs to have large banks (global
sized banks) that can support the investment needs of economy and sustain economic
growth. To meet the growing credit demand of the economy, the Public Sector Banks
need to be well capitalized and need to enhance their capacity to lend to larger companies
and larger projects. Consolidation of Public Sector Banks into 4 or 5 banks would create
larger banks with capacity to fund larger size projects of economic importance.
III. Need for larger capital base to manage NPAs: Public Sector Banks (PSBs) which form
approximately 72% of the Indian banking system are among the most affected by the
high non-performing asset (NPA) problem at present. This has further resulted into a
slowdown of credit growth in our economy, thereby reducing private investment and our
potential economic growth. Therefore a consolidation of PSBs can help them manage the
challenge of NPAs more effectively. In effect, it is argued that a large bank will be better
capitalized, will have deeper expertise to handle large credits and large NPAs.28
As India prepares for competitive times, more banks are planning to combine for competitive
advantage. The Raghu Ram Rajan Committee has also recommended to encourage consolidation
in PSU Banks. The Government has also made its stand clear that the initiative for consolidation
has to come from the management of banks and the government will play a supportive role. The
benefits that accrue through consolidation are:
 A consolidated banking structure would be a positive development in the long term.
 A large bank enjoys scale benefits leading to better diversification of risks and strong
overall profitability.
 A bigger bank would also work well in achieving financial inclusion, a key objective of
government.

28
Supra, Note 5.

12 | P a g e
  Cash rich firms use the acquisition route to buyout an established player in a new market
and then build upon the existing platform.
 Many different banks are fighting for the same market space offering same products at
almost same margins which encourages mis-selling, fake and illegal offers, and creating
a mess in the minds of customers. Consolidation will actually reduce competition
amongst banks.
 Those banks that have a very limited presence in the rural areas can increase their
presence by buying out regional banks. Weak banks that have very poor balance sheets
can merge with a better and bigger bank rather than going on for liquidation or a state of
bankruptcy.
 Organic growth takes years in present day economic dimensions. Dynamic firms prefer
acquisition route to grow quickly in size and geographical reach.29

5. CHALLENGES AND SOLUTIONS

There are certain challenges as to consolidation of banks in India and that needs to solved for
proper consolidation and strengthening of banking system in India. Those are:

 Human Resources
One of the most challenging problems which could hinder the consolidation process would be in
terms of human resource integration and management as many employees would fear job loss
and disparities in the form of regional allegiances, benefits, reduced promotional avenues, new
culture, etc.
 Harmonization of Technology
Another big challenge for integration post banks’ merger relates to integration of technology as
various banks are currently operating on different technology platforms. Systems integration
plays an important role as it involves integration of infrastructure components such as data
centers, operating platforms and enterprise applications, and alignment of IT and business
strategies of the merging entities.30

29
Saurabh Babel, Need of Consolidation in Indian Banking Industry, India Technical Research Organization,
INTERNATIONAL JOURNAL OF CURRENT ENGINEERING AND SCIENTIFIC RESEARCH (Vol. 4, Issue-7, 2017), pp. 38-
39, http://troindia.in/journal/ijcesr/vol4iss7part3/38-39.pdf.
30
All you need to know- Bank consolidation (May 21, 2016), http://mentors4ias.com/all-you-need-to-know-bank-
consolidation/.

13 | P a g e
  Monitoring, Regulation and Control
From regulatory perspective, monitoring and control of less number of banks will be easier after
mergers. Also, for meeting the norms under BASEL III, for ensuring capital adequacy ratio, the
larger banks will be at ease. However, it has also been argued that a failure of a very large bank
may have macro implications on the economy and may have to be bailed out during stress
periods. Existence of excessively large banks may also create significant moral hazard costs for
the entire system as witnessed during the Lehman collapse in 2008. RBS from United Kingdom
is a leading example of how a big global bank which was too big to fail collapsed post the global
financial crises and had to sell its assets globally.31
These challenges can be overcome with simple efforts and planning of banks and government in
order to make it more effective:
 By ensuring that the integration of entities is a smooth process, the most important task
would be to embark on a human resource strategy that can help address the core concerns
of employees, mitigate their anxieties, and create an environment of trust. SO a proper
team can be assigned at the banks consolidating to mitigate such problems and to sustain
human resources.
 By way of IT integration strategy as it should be aligned with the business strategy right
from the beginning to ensure a successful merger. So these strategies could include
uniform banking app and technologies to be used by the banks in order to ensure security
and uniformity in work at these banks.
 The risk of large banks failing generally low but can’t be ignored. So such risk should be
mitigated at the first instance and has to control. So all that time, the asset requirement
and maintenance should be checked and regulated by the RBI. Making amendment in
policies for changing the minimum requirement facilities of such banks should be done.

6. CONCLUSION

From a global perspective, the consolidation process among banks has been driven primarily by
synergies, efficiency, cost saving, and economies of scale. It is essential to evaluate the proposed
merger of banks by assessing the likely benefits such as cost rationalization, additional business,
etc. against the likely future costs that may arise on account of harmonization of various
31
Supra, Note 5.

14 | P a g e
procedures, technology and integrating human resources. It is also essential that banks work to
mitigate exposures in areas related to interconnectivity, the market, regulatory compliance, credit
quality, etc.

These risks can be mitigated through advance planning and due diligence to ensure a smooth
transition. The consolidation process in India should aim at strengthening the banks' bargaining
power, help save costs; improve supervision and corporate governance across the banking
system. Besides, the government along with RBI should also start streamlining the PSBs
especially in terms of their chosen areas of business so as to help them to focus on their core
capacity and strengths in the times ahead.

REFERENCES
 Ahita Paul, Examining the rise of Non-Performing Assets in India, PRS Legislative Research
(Sep 13, 2018), https://www.prsindia.org/content/examining-rise-non-performing-assets-
india
 All you need to know- Bank consolidation (May 21, 2016), http://mentors4ias.com/all-you-
need-to-know-bank-consolidation/.
 Anjana Mehra & Praveshika Sharma, Nationalisation of Bank: A Historical Blooper or
Commitment of the Hour?, INTERNATIONAL JOURNAL OF ARTS, HUMANITIES AND

MANAGEMENT STUDIES (Vol. No. 2, Feb, 2016),

http://ijahms.com/upcomingissue/10.02.2016.pdf
 Atul Mohan & Kapur Puneet, A practical guide to Non-Performing Bank Advances, Vinod
Law Publications & Agarwal Law Publications (1996), p.1.
 Bank Nationalization in India (Last accessed on 31st March, 2020),
http://pnbsu.com/news/banking_finance/bank_nationalization.pdf.
 Consolidation in Indian Banking Sector, IndiaMoney.com (11th April, 2019),
https://indianmoney.com/articles/consolidation-in-indian-banking-sector.
 Dr. K. C. Chakraborty, Two Decades of Credit Management in Indian Banks: Looking Back
And Moving Ahead, RBI at BANCON (Nov 18, 2013).
 Dr. Ram O. Panchariya & Prof. C. A. Sarode, Non Performing Assets - A Drag On Banking
Sector, INTERNATIONAL JOURNAL OF ADVANCE RESEARCH IN COMPUTER SCIENCE AND

15 | P a g e
 MANAGEMENT STUDIES (Vol. 1, Issue 3, Aug. 2013),
http://ijarcsms.com/docs/paper/volume1/issue3/V1I3-0011.pdf.
 FICCI Research, Economy Insight: Bank Consolidation: Way Forward!, FICCI (28th Dec.,
2016), http://ficci.in/SPdocument/20849/Bank_Consolidation.pdf.
 Gaurav Akrani, Nationalisation of Banks in India - Introduction Objectives Demerits, Kalyan
City Life (9th Dec.,2020), p.1,
file:///C:/Users/Owner/Downloads/6_4_2014_Nationalisation_of_Banks_in_Ind.pdf.
 Hendrith Smith, Essays on Banking Industry (2017),
https://www.goodreads.com/quotes/tag/banks.
 Jean-Pierre DUPUIS, Privatisation and Nationalisation, Fourth meeting of the Task Force on
Harmonization of Public Sector Accounting (TFHPSA), International Monetary Fund (Oct.
3-6, 2005), p. 6, https://www.imf.org/external/NP/sta/tfhpsa/2005/09/pandn.pdf.
 Kollapuri M, Bank Consolidation and Efficiency: an Empirical Study from India, Centre for
International Trade and Development School of International Studies, Jawaharlal Nehru
University (March 2017), p. 19, https://www.jnu.ac.in/sites/default/files/DP03_2017.pdf.
 Krati Rajoria, The Consolidation of Public Sector Banks: A Ray of Hope to the NPA Problem
in India (July, 2018),
https://www.researchgate.net/publication/331275161_THE_CONSOLIDATION_OF_PUBLI
C_SECTOR_BANKS_A_RAY_OF_HOPE_TO_THE_NPA_PROBLEM_IN_INDIA-
_IJLPR_NUJS.
 Lok Sabha Secretariat, Non-Performing Assets and Public Sector Banks in India, Parliament
Library And Reference, Research, Documentation and Information Service, No. 11
/RN/Ref./November /2014,
http://164.100.47.193/Refinput/New_Reference_Notes/English/Non-Performing.pdf.
 Master Circular- Prudential Norms on Income recognition, Asset Classification and
Provisioning pertaining to the Advances Portfolio, Reserve Bank of India (Aug. 30, 2001),
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