Nationalised banks of India (According to RBI’s Website)

nationalised banks in India

There are 19 nationalised banks in India which were nationalised in two phases. In 1969 fourteen banks were nationalised and in 1980 another five banks were nationalised. The List of nationalised banks in India are as follow:

  1. Allahabad Bank
  2. Andhra Bank
  3. Bank of Baroda
  4. Bank of India
  5. Bank of Maharashtra
  6. Canara Bank
  7. Central Bank of India
  8. Corporation Bank
  9. Dena Bank
  10. Indian Bank
  11. Indian Overseas Bank
  12. Oriental Bank of Commerce
  13. Punjab & Sind Bank
  14. Punjab National Bank
  15. Syndicate Bank
  16. UCO Bank
  17. Union Bank of India
  18. United Bank of India
  19. Vijaya Bank

Nationalisation of Banks

By the Nineteen Sixties, the Indian industry had become a very important tool to facilitate the event of the Indian economy. At identical time, it had emerged as an outsized employer, and a dialogue had ensued concerning the nationalisation of the industry. Indira Gandhi, the then Prime Minister of India, expressed the intention of the govt. of India within the annual conference of the All India Congress Meeting in an exceedingly paper entitled Stray thoughts on Bank Nationalization.

In 1969 the fourteen largest business banks with impact from the hour of 19 July 1969 were nationalised. These banks contained 85 % of bank deposits within the country. among two weeks of the issue of the ordinance, the Parliament passed the Banking companies Bill, and it received presidents approval on 9th Aug 1969.

A second round of nationalisation was done in 1980 to government more control of credit delivery. By complition of 2nd round of nationalisation government took over more than 90% of banking business in India.

Why Nationalisation of banks was required ?

Expansion:

During early 70s banks in India had very less reach among the people and Natinalisation of bank helps banks to get fund to expand their branches in urban as well as rural India. 

Controlling Private Monopoly:

Bank nationalistion helps government to control private monopoly in banking sector as except SBI there was no government banks and it also helped in smooth credit supply.

Every one got their fair share:

Be it was rural market or urban every region got banking system near them because of nationisatiod banks in India as branches across  all over India was possible.

Agriculture Loans and more:  

The farmers were the biggest beneficiary of nationalisation of banks in India as getting a farm loan got easier as compared to the private banks. They got subsidy in loans, less interest rate and many other credit facilities.

State bank of India (SBI) Nationalised or not?

The state bank of India (SBI) is an Indian multinational, public sector banking and finance company and a statutory body. it’s a government corporation statutory body and has its headquarter in Mumbai, Maharashtra. SBI is ranked as 216th within the Fortune world 500 list of the world’s biggest companies of 2018. it’s the largest bank in India with a 23% market share in assets, besides a share of fourth of the entire loan and deposits market in India.

Because SBI already was a statutory body and owned by government of India SBI is not among the nationalised banks. Same in the case of IDBI bank though it is a public sector company it is not a nationalised bank.

Also Read: Top 10 banks In India

Nationalised banks of India 1969:

The 14 banks nationalised in 1969 are as follow:

  1. Allahabad Bank
  2. Bank of Baroda
  3. Bank of India
  4. Bank of Maharashtra
  5. Central Bank of India
  6. Canara Bank
  7. Dena Bank
  8. Indian Bank
  9. Indian Overseas Bank
  10. Punjab National Bank
  11. Syndicate Bank
  12. UCO Bank
  13. Union Bank
  14. United Bank of India

Nationalised banks of India 1980

The 6 Indian banks nationalised in 1980 are as follow:

  1. Punjab and Sind Bank
  2. Vijaya Bank
  3. Oriental Bank of India
  4. Corporate Bank
  5. Andhra Bank
  6. New Bank of India

Public Sector Banks but not Nationalised:

The two banks which is owned bu government of India, but they are not nationalised are as follow: 

  1. State bank of India (SBI)
  2. Industrial Development Bank of India (IDBI Bank)

Later in year 1993 the  New Bank of India merge with Punjab National Bank It was the only merger between nationalised banks and hence resulted in the reduction of the number of nationalised banks from 20 to 19.

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