In recent era, Banking system is one of the many institutions that
impinge on any economy and affects its performance. The contribution of
banking system to the economic development depends upon the governing
policy. Banks are considered to be one of the most important of all the
financial intermediaries in the financial system of the country. Banks
have been playing a crucial and pivotal role in financial system of
developed countries and most of the emerging economies. In the
developing countries, even banks are not only playing an important role
in economic development, but banks help to maintain the financial
stability of India. In India, banking sector performs three primary
functions: the operation of the payment system, the mobilization of
savings and the allocation of savings to investment projects. By
allocating capital to the highest value use while limiting the risks and
costs involved, the banking sector can exert a positive influence on the
overall economy, and is thus of broad macroeconomic importance. To study
about growth trends in banking sector is vital these days to promote
economic growth, so, is done in this book.