FINANCIAL PERFORMANCE OF INDIAN PUBLIC SECTOR BANKS

Banks are a basic component of the financial system for the development of the economy and are also active players in the financial markets. An efficient banking system capable of mobilizing savings and directing them to productive purposes is essential for the development of any economy. Banks play a major role in the circulation of money in the economy. It is mostly about lending and borrowing money from the public and provides loans mostly for productive purposes. The objective of this study is to examine the financial performance of selected Indian public sector banks. Secondary data was used in this study which used Reserve Banks of India website and official websites of the banks. The ratio analysis technique used to analyze the financial performance of selected public sector banks. The top ten banks were selected on the basis of the highest market capitalization for the period of ten years from 2013 to 2022. Although there has been an increase in the efficiency and profitability of public sector banks, the growth rate of private sector banks is more compared to public sector banks. Public sector banks are faltering on many financial parameters and also facing many challenges.