SANDESH ASSIGENMENT
-
Upload
anon528028419 -
Category
Documents
-
view
226 -
download
0
Transcript of SANDESH ASSIGENMENT
-
8/7/2019 SANDESH ASSIGENMENT
1/10
DEVELOPMENT OF FINANCIAL INSTITUTIONAFTER 1951 TO PRELIBRLIZATION PERIOD IN
CONTEXT OF ECONOMIC DEVELOPMENT
SUBMITTED BY:
SANDESH L. NAGDEVATE
SUBMITTED TO
MAHESH JOSHI
-
8/7/2019 SANDESH ASSIGENMENT
2/10
Indian Financial System
An Overview
An efficient ,articulate and developed financial system isindispensible for the rapid economic growth of any country / economy.The process of economic development is invariably accompanied by a
corresponding and parallel growth of financial system .Planed economicdevelopment in India had greatly influenced the course of financialdevelopment.
The evolution of the Indian Financial system falls into Threedistinct phases. These are :
PRE 1951 1951 TO MID -EIGHTEES (PRE LIBERLIZATION ERA) AFTERTHE EARLY NINETEES
-
8/7/2019 SANDESH ASSIGENMENT
3/10
PHASE II : 1951 TO MID EIGHTIES
The organization of the Indian Financial System during the post -1951period evolved in response to the imperatives of planned economic
development. In pursuance of the broad economic and social aims of theState to secure economic growth with social justice as enshrined in theIndian Constitution , under the Directive Principles State policy , theschemes of planed economic development was initiated in 1951..
-
8/7/2019 SANDESH ASSIGENMENT
4/10
The Phase II organization of the Indian Financial System Is shown
in Exhibit 1
Indian Financial System
Public/Gove.OwnershipFFinancialInstitution
Fortification OfInstitutional
Structure
InvestorsProtection
ParticipationofFinancial Inst. In
Corporate
Management
-
8/7/2019 SANDESH ASSIGENMENT
5/10
Public Ownership Of Financial Institution:
The evolution of the financial system in India during this phase was theprogressive transfer of its important constituents from private ownershipto public control.NAT
IONAL
IZAT
ION
:
Reserve Bank ofIndia(RBI)-1949 State Bank ofIndia(SBI)-1956 245 life insurance companies were nationalized & merged into the
state-owned monolithic life insurance corporation of India(LIC)-
1956 General Insurance Corporation(GIC)-1972
NEWINSTITUTIONS:
DFIs(DevelopmentFinancial Institutions)
UTI (Unit Trust O India)
-
8/7/2019 SANDESH ASSIGENMENT
6/10
FORTIFICATION OF INSTITUTIONAL STRUCTURE :
DFIs :
IFCISFCsICICIIDBISIDCs
SIICsIIBI
BANKS :
Diversification of
Forms of Financing
Enlargement of
Functional Coverage
Innovative Banking
L IC UTI
-
8/7/2019 SANDESH ASSIGENMENT
7/10
INVESTORS PROTECTION :
The extent to which savings can be mobilized for industrial investmentdepends, apart from the development of specific financial facilities , on
the confidence of the investing public in industrial securities which inturn , is dependant on safeguards and protection available to them.
The important elements of the legislative code adopted by thegovernment are as follows:
Companies ACT Capital Issues (Control)ACT Securities Contracts(Regulation) ACT Monopolies and Restrictive ACT Foreign Exchange Regulation ACT
-
8/7/2019 SANDESH ASSIGENMENT
8/10
PARTICIPATION BY FINANCIAL INSTTUTIONS IN CORPORATEMNAGEMENT :
A development of considerable significance in the Indian financial
system in this phase of its evolution was the participation of financialinstitutions in management of the assisted concerns. The role ofinstitutional finance for industry shifted its focus from the problems ofsupply of finance to the impact of the institutional operations on thecorporate structure in India.
-
8/7/2019 SANDESH ASSIGENMENT
9/10
BIBLIOGRAPHYy IndianFinancial System-M.Y. KHAN
y www.google.co.in
-
8/7/2019 SANDESH ASSIGENMENT
10/10
THANK YOU