L T P C
P24BAFT03 BANKING AND FINANCIAL SERVICES
3 0 0 3
COURSE OBJECTIVES:
Grasp how banks raise their sources and how they deploy it and manage the associated risks
Understand e-banking and the threats that go with it.
Understand about other asset based and fund based financial services in India.
UNIT I: INTRODUCTION TO INDIAN BANKING SYSTEM AND PERFORMANCE 9
EVALUATION
Overview of Indian Banking system – Structure – Functions – Key Regulations in Indian Banking
sector –RBI Act, 1934/ 2006 –Banking Regulation Act, 1949– Negotiable Instruments Act 1881/ 2002
– Provisions Relating to CRR – Provision for NPA’s - Overview of Financial Statements of banks –
Balance Sheet – Income Statement – CAMEL
UNIT II: MANAGING BANK FUNDS/ PRODUCTS & RISK MANAGEMENT 9
Capital Adequacy – Deposit and Non-deposit sources – Designing deposit schemes and pricing of
deposit sources – loan management – Investment Management – Asset and Liability Management –
Financial Distress –Signal to borrowers – Prediction Models – Risk Management – Interest rate –
Forex – Credit market –operational and solvency risks – NPA’s – Current issues on NPA’s – M&A’s
of banks into securities market
UNIT III: DEVELOPMENT IN BANKING TECHNOLOGY 9
Payment system in India – paper based – e payment –electronic banking –plastic money – e-money –
forecasting of cash demand at ATM’s –The Information Technology Act, 2000 in India – RBI’s
Financial Sector Technology vision document – security threats in e-banking & RBI’s Initiative.
UNIT IV: ASSET BASED FINANCIAL SERVICES 9
Introduction – Need for Financial Services – Financial Services Market in India –NBFC – RBI
framework and act for NBFC – Leasing and Hire Purchase – Financial evaluation – underwriting –
mutual funds
UNIT V: INSURANCE AND OTHER FEE BASED FINANCIAL SERVICES 9
Insurance Act, 1938 –IRDA – Regulations – Products and services –Venture Capital Financing –Bill
discounting –factoring – Merchant Banking – Role of SEBI
TOTAL: 45 PERIODS
Text Book:
1. Padmalatha Suresh and Justin Paul, “Management of Banking and Financial Services, Pearson,
Delhi, 2017.
References Books:
1. Meera Sharma, “Management of Financial Institutions – with emphasis on Bank and Risk
Management”, PHI Learning Pvt. Ltd., New Delhi 2010
2. Peter S. Rose and Sylvia C. and Hudgins, “Bank Management and Financial Services”, Tata
McGraw Hill, New Delhi, 2017
Course Outcomes: At the end of the course, the students will be able
CO Course Outcome Statement Knowledge Level
CO1 Explain the overall structure and functions of Indian Financial System Understanding
CO2 Discuss the regulations governing the Indian Banking system Understanding
CO3 Describe the loans proposed by banks to various prospective borrowers Understanding
with different risk profiles and evaluate the performance of banks
CO4 Discuss the concept of e-banking Understanding
CO5 Illustrate fee-based and fund-based financial services in India Understanding
CO-PO Mapping
CO PO1 PO2 PO3 PO4 PO5
CO1 2 2 1 1 2
CO2 2 2 2 1 2
CO3 1 1 1 1 1
CO4 2 1 1 1 2
CO5 2 1 1 1 2
Average 1.8 1.4 1.2 1 1.8
