Authors :
Anukriti Agrawal; Krishna Kumar Agarwal
Volume/Issue :
Volume 8 - 2023, Issue 7 - July
Google Scholar :
https://bit.ly/3TmGbDi
Scribd :
https://tinyurl.com/ywhpmt97
DOI :
https://doi.org/10.5281/zenodo.8216752
Abstract :
The Indian banking industry has undergone a
number of reforms throughout the years with the goal of
improving asset expansion to promote national economic
expansion. There is abundant evidence that the RBI has
heavily relied on bank capital reforms in addressing issues
of underperformance in the industry to attain this goal.
Bank mergers shield struggling institutions from failure
and closure. The main goal of this initiative, which has
been taken also by RBI, is to achieve expansion at the
strategic level in terms of scale and client base. As a result,
the combined bank's ability to create credit is greatly
increased. Bank mergers give the institution more
strength to endure in a shifting economic climate. The
weaker banks can more easily adapt and expand in the
domestic and global financial markets through mergers.
The development of a robust, competitive, and
trustworthy banking system is a crucial element of
mergers and acquisitions in the banking sector. This
paper gives an overview of mergers & acquisitions in the
banking sector. The study also provides insights into
various stimulators of mergers in the banking sector. The
paper adds to the existing literature by focussing on the
benefits, challenges and solutions to the challenges of
amalgamation of banks.
Keywords :
Mergers, Acquisition, Banking, Reforms.
The Indian banking industry has undergone a
number of reforms throughout the years with the goal of
improving asset expansion to promote national economic
expansion. There is abundant evidence that the RBI has
heavily relied on bank capital reforms in addressing issues
of underperformance in the industry to attain this goal.
Bank mergers shield struggling institutions from failure
and closure. The main goal of this initiative, which has
been taken also by RBI, is to achieve expansion at the
strategic level in terms of scale and client base. As a result,
the combined bank's ability to create credit is greatly
increased. Bank mergers give the institution more
strength to endure in a shifting economic climate. The
weaker banks can more easily adapt and expand in the
domestic and global financial markets through mergers.
The development of a robust, competitive, and
trustworthy banking system is a crucial element of
mergers and acquisitions in the banking sector. This
paper gives an overview of mergers & acquisitions in the
banking sector. The study also provides insights into
various stimulators of mergers in the banking sector. The
paper adds to the existing literature by focussing on the
benefits, challenges and solutions to the challenges of
amalgamation of banks.
Keywords :
Mergers, Acquisition, Banking, Reforms.
