A Study of Banking Strategy of Bank of Maharashtra in Credit Appraisal Process in Aurangabad District

Abstract

India is one of the developing economies in the world. The social economy progress of the country is dependent to a great extent on banking industry. In India has been in practice right from the ancient times. The shreshthis, shroffs, sahukars used to conduct banking business in the past. They used to take deposits, lend money and such other activities were conducted.1 During the British Rule banking Industry in the modern corporate form came into existence. After independence there was a tremendous development in Banking Industry. In 1969 Banks were nationalized and the 1991 the banking industry is turning to privatization, liberalization and globalization. newlineThe Indian banking industry is passing through a phase of customers market. The customers have more choices in choosing their bank in recent days. The competition has been established within the bank operating in India. With high competition and advance technology, the service provided by the bank has become more easy and convenient to customers. Private sector banks also giving healthy competition to commercial banks. India is developing country as well as fast growing country in economic aspect. In recent past years many government sponsored schemes introduced in India like Pradhan Mantri Mudra Yojana, Stand up India, Annasaheb Patil Arthik Vikas Mahamandal etc. Due to these need of finance increased. It results into heavy rush in banks for finance. This research is specifically based on credit appraisal process of Bank of Maharashtra in Aurangabad District only. newlineBanks were considered as a backbone to the Indian Financial System and play an important role in economic development of a nation. They act as intermediaries in transferring funds from surplus units to deficit units to the fully utilization of the funds. Main objective of bank are accepting deposit and lend credit to needy one. A strong banking system of nation has significant positive externalities which increase the efficiency of economic transactions in general. There is a major shift in the ban