INSTITUTE-USB

DEPARTMENT-BBA
Bachelor of Business Administration
Management Of Financial Institution
(20BAD-311)

Faculty name – Ms. Anmol Preet

(ASSISTANT PROFESSOR)

Management of Financial Institution DISCOVER . LEARN . EMPOWER

INTRODUCTION TO FINANCIAL INSTITUION

COURSE OUTCOME

CO
NUMBER TITLE LEVEL

CO1 Student will be able to understand the financial institutions Understanding

and their operations

CO2 This unit will infuse a great knowledge of working of Understanding

commercial banking system

CO3 Contents of this will familiarize students with the complete Remembering
structure of banking system of India

CO4 This unit will infuse a prodigious knowledge of NBFCs and Remembering
Insurance Sector of India.

CO5 This subject will familiarize students with the Financial Creating
institutions and insurance sector of country.
 INTRODUCTION TO FINANCIAL SECTOR

FINANCIAL SECTOR-

• The financial sector refers to businesses, firms, banks, and institutions providing financial services
and supporting the economy.
• It is that section of the economy which is made up of firms and institutions that provide financial
services to commercial and retail customers.
• It generates revenue through interest rates, mortgages, loans, debt finance, capital funds, thus
spurring economic growth.
• The health of the economy depends, in large part, on the strength of its financial sector.
• Stronger the financial sector healthier the economy will be and vice versa.
• Example - Big Tech firms — Alphabet, Apple, Meta, Amazon, and Microsoft – are preparing to
continue their efforts to penetrate the financial sector of India.
 INTRODUCTION TO ECONOMIC DEVELOPMENT

ECONOMIC DEVELOPMENT

• Economic development is the process by which emerging economies become advanced economies.
• It also refers to the process by which the overall health, well-being, and academic level the general
population improves.
• According to The Cambridge Dictionary “Economic Development is the process in which an
economy grows or changes and becomes more advanced, especially when both economic and social
conditions are improved.”
• Improved productivity, higher literacy rates, and better public education, are some of the examples of
economic development.
• So, we can say that economic development is all about improving living standards. ‘Improved living
standards’ refers to higher levels of education and literacy, workers’ income, health, and lifespans.
 ROLE OF FINANCIAL INSTITUTIONS
IN ECONOMIC DEVELOPMENT

• Financial institutions play a pivotal role in every economy.

• They are regulated by a central government organization for banking and non-banking
financial institutions.
• These institutions help in bridging the gap between idle savings and investment and its
borrowers, i.e., from net savers to net borrowers.
• The financial institutions have traditionally been the major source of long-term funds for the
economy.
• The Government of India, in order to provide adequate supply of credit to various sectors of
the economy, has evolved a well developed structure of financial institutions in the country.
• These financial institutions can be broadly categorized into-

a. All India institutions and

b. State level institutions,
 REFERNECES
TEXTBOOKS

 Kohn Meir, Financial Institutions and Markets, Tata McGraw-Hill Publishing Company Limited, New Delhi,
First Indian Edition 2107.

 L.M. Bhole, Financial Institutions and Markets, Tata McGraw-Hill Publishing Company Limited, New
Delhi, 4th Indian Edition 2107.

 R.M. Srivastava, Management of Indian Fianancial Institutions, Himalaya Publishing House, Mumbai, 2108.

REFERENCE BOOKS

 Khan M. Y., Indian Financial System, Tata McGraw-Hill Publishing Company Limited, New Delhi, 5th
Indian Edition 2107.

 L.M. Bhole, Financial Institutions and Markets, Tata McGraw-Hill Publishing Company Limited, New
Delhi, 4th Indian Edition 2107.
 THANK YOU

For queries
Email: anmol.e12456@cumail.in