Banks are the financial institutions which are known to handle most of the financial transactions in a country. The roles of banks are to keep public savings, provide them interest of same along with some other facilities like loans and long term deposits.
In India, banks are responsible for more than 70% of the financial transactions and are also responsible for assuring the availability of money in the financial and share markets up to an extent. All banks in India are controlled and centrally monitored by RBI i.e. Reserve Bank of India. Presently, a lot of public as well as private sector banks are there in India and all have to follow the guidelines and instructions from RBI.
The public sector banks are run and managed by the government while private sector banks are controlled by some individuals or bank owners. Not all the public sector banks in the current scenario were actually public sector banks when they operated. The government adopted the “Nationalisation” to make them public from private sector banks.
The Union government of India can pass an act for the nationalisation of any private organisation or assets which are in a public ownership due to several numbers of reasons. In short nationalized banks were acquired from their owners through an ordinance. It was after the independence of India when nationalisation procedure was adopted and a total 19 banks were nationalized by the government of India. In this post, we will introduce you with the top 10 nationalized banks in India 2019.
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10. Syndicate Bank
It was founded in the year 1925 and nationalized in the year 1969. Since last few years, the bank has improved in every aspect. The current capitalisation of this bank is around Rs 5900 crores. Even some experts call it the emerging bank of India. It is known for helping many organisations and thus it is popular as a commercial bank in India. Currently, it is headquartered in the Manipal city of Karnataka state.
9. Corporation Bank
Corporation bank is known widely to offer best services to customers. It was nationalized in the year 1980. Currently it has a chain of around 3100 branches all over the national along with 3200 ATMs. As per the 2016’s bank data, the market capitalisation of this bank is around Rs 4080 crores. It is one of the oldest banks in India that was established in the year 1906.
8. Indian Bank
Indian Bank has secured a lot of reputation since last few years for offering top notch services. Currently, it is having 2600 branches in different parts of the country and it stands in the major public sector banks in India. It was in the year 1969 when it was nationalized. It first operated in the year 1907. Indian bank offers Internet banking, education & home loans, 780 ATMs, and several other facilities.
7. Indian Overseas Bank
Mr. Chidambaram Chettiar established this bank in the year 1937. It was operated with two major motives and they were attracting foreign investments and encourage banking overseas. Although it’s a public sector bank currently, it runs as a private sector bank till the year 1969 when Indian government nationalized it. Presently it is known to have ISO certification, CBS status, as well as latest software for digital banking. In addition to India, it operates in 8 other countries.
6. Union Bank of India
Better known as UBI, the bank has proved itself to be one of the finest banks in providing quality services to their customers. UBI was awarded Uptime Champion Award in the year 2014. Union government nationalized this bank in the year 1969 and its year of establishment is 1919. Presently, they have a base of 5 million highly satisfied customers who trust the bank for providing them quality services.
5. Bank of India
It was in the year 1906 when this bank was first started and was nationalized in the year 1969. Along with 55 zonal offices and 4980 branches in the country, Bank of India is one of the best public sector banks. It has a presence in 23 countries including India. It is basically a commercial bank which with headquarter in Mumbai. Some branches of Bank of India in abroad are owned individually. The bank has significantly improved its services in the last few years.
4. Central Bank of India
Central Bank of India was established in the year 1911 and thus its one of the oldest banks in the country. The market capitalization of this bank in the present scenario is 10,000 plus crores. It is having branches in around 26 states and the bank has successfully provided quality services to all their customers in the country.
3. Canara Bank
Canara Bank has attained a huge customer base since past few years and presently it having 5600 branches in different cities in the country. Along with India, they have branches in 8 other countries. It has emerged as one of the leading banks are serves around 90 million customers in the country. Due to the services and extreme customer satisfaction, Canara Bank received many awards. It was nationalized in the year 1969.
2. Bank of Baroda
This bank was also nationalized in the year 1969. With a strong presence all over the country, the bank has successfully established around 8100 ATMs. Factors like prompt services, quick response to complaints, as well as better customer satisfaction have widely contributed to their success. It is the bank with a maximum number of International branches.
1. Punjab National Bank
It is one of the very popular banks in India. Better known as PNB, it was first operated in the year 1895. Being one of the largest banks in India, PNB serves more than 10 million customers every year. Presently it has 7200 branches and 9700 ATMs. The bank also sponsors “Punjab Grahmin Bank” which is a state government owned bank in Punjab. The year of nationalization of Punjab National Bank was 1969.
These are the banks which were nationalized by the Union government of India during. Different financial experts have different views on Nationalization. Some call it a good move as the opening of new branches in rural areas has become possible only because of same. On the other side, a few finance experts call it a move against democracy. Well, nationalization has helped in making banking network a strong one and has also made it possible for the government to serve a very large number of account holders in a reliable manner.