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ABSTRACT
Banking sector plays a major role towards the development of Indian economy. The banking sector is featured by a large network of branches, dynamic financial products & services, user friendly technology for the convenient and development of the people as well as the nation. The State Bank of India, popularly known as SBI is one of the leading bank of public sector in India. SBI has 14 Local Head Offices and 57 Zonal Offices located at important cities throughout the country. ICICI Bank is the second largest and leading bank of private sector in India. The purpose of the study is to analyse the financial performance of SBI and ICICI Bank, public sector and private sector respectively. The research is descriptive and analytical in nature. The present study has used only secondary data for analysing and comparing the performance of SBI and ICICI Bank. The period of the study taken was from 2003-04 to 2012-13. The study found the financial performance of ICICI sounds better than SBI compared to all the five financial indicators. It is also found that, there is a significant impact of income on profitability of SBI and ICICI banks.
Keywords: Financial Performance, ICCI Bank, Private Sector Banks, Public Sector Banks.
INTRODUCTION
Due to the multiple factors like the need of people, economy and a thirst to be a superpower financially banking has a continuous change over the Indian economy at a spectacular pace. The present decade has witnessed a sea change in the way banking is done in India. Technology has made a tremendous impact in banking.
Public Sector Banks in India
Banking system in India is dominated by nationalized banks. The nationalization of 14 privately owned banks in India took place on19th of July 1969 by Mrs. Indira Gandhi, the then Prime Minister with an instalment of nationalization of 6 banks on 15.04.1980. The major objectives of nationalization was to ensure mass banking as against class banking with banking infrastructure aimed at hilly tracts and terrains of the country.
Private Banks in India
All those banks where greater parts of stake or equity are held by the private shareholders and not by government are called "private-sector banks". These are the major players in the banking sector as well...