Mergers and Acquisitions Complementing Financial Benefits & Economic Viability of Indian Banking System

Abstract

The banking sector plays a significant part in a nation's economic growth and development. Globalisation, economic globalization combined with technological growth have significantly altered the banking environment. Banking in India is at the crossroads now. They are under intense pressure to accept and evolve with digitization. Their very existence is at stake. The Indian banking sector will continue to grow and digitization will continue. Banking will be an important aspect of economic growth. The future of banking technology is e-banking or digital banking. The future of Indian banking sector is bright because we have seen them take on technology, innovate its use and improve their customer services with digitization Recent developments in the growth of banking sector in India. However, they might not be as dominating in the future as the other financial products & services. In future, we are moving towards a branchless banking system, which would just be another financial service providing institution.With the unexpectedly evolving climate, the banking region resorts to the cycle of acquisition, organizational restructuring and reinforcement to stay competitive and viable not withstanding this, mergers and acquisitions have come to be the desired growth strategy within the size of banks that in flip play a considerable position in becoming a member of the global financial marketplace. Notwithstanding mergers and acquisitions, more prominent piece of the pie, generally speaking intensity and gainfulness, expanding branch systems, improving their capital base, cost legitimization, economies of scale and labour effectiveness are usually utilized.