Vol. 8 No. 1 (2014)
Articles

Analyzing soundness of nationalized banks in India: a camel approach

Published August 31, 2014
S.K. Khatik
Barkatullah University
Amit Kr Nag
Barkatullah University
pdf

APA

Khatik, S., & Nag , A. K. . (2014). Analyzing soundness of nationalized banks in India: a camel approach. Applied Studies in Agribusiness and Commerce, 8(1), 73-78. https://doi.org/10.19041/APSTRACT/2014/1/9

Performance of the economy of any country is largely dependent on the performance of its banking sector. Since, banking sector constitutes a major component of the financial service sector. Soundness of the banking sector is essential for a healthy and vibrant economy. The efficiency, productivity, profitability, stability and a shock free economy is possible only when a country is having a sound and healthy banking sector. The present research work has been undertaken to analyze the soundness of five nationalized banks in India. In order to measure the performances of these banks CAMEL MODEL Approach has been applied, incorporating important parameters like Capital Adequacy, Assets Quality, Management Efficiency, Earnings Quality and Liquidity. The finding of the study shows that Bank of Baroda has been ranked at the top position, the Union Bank of India and Dena Bank secured the 2nd position, the next was the State Bank of India which secured the 4th position and in the last position was the UCO Bank which secured the 5th position.

JEL Code: G2, G12, G21, G32& G33.