THE FINANCIAL PERFORMANCE OF INDIAN COMMERCIAL BANKS

Abstract

Rigid statistical analyses, including regression modeling, were conducted after data was acquired from many Indian commercial banks using a quantitative research approach. According to the results, strategic consolidation improves financial performance, and “mergers and acquisitions (M&A)” have a beneficial effect on profitability. The effectiveness of mergers and acquisitions (M&A) as a means of creating shareholder value was further demonstrated by the post-merger gains in ROA and ROE. The study also shows that banks' operational efficiency and cost management methods improve after an M&A. The significance of smart mergers and acquisitions (M&A) in developing a strong banking sector in India is underscored by these findings, which have important consequences for investors, bank management, and policymakers.