ABSTRACT
This chapter traces the development of the Indian banking sector, its reform and present status. The financial sector reforms in India were initiated as early as 1985 with the implementation of the recommendations of the report of the committee to review the working of the monetary system. During 2008-09 the primary focus of the Reserve Bank of India (RBI) was crisis management, which subsequently shifted to recovery management in 2009-11. In the post-liberalisation era, especially during the early part of the last decade, India has been able to achieve significant growth of gross domestic product (GDP). The All India Debt and Investment Survey (AIDIS) and the Situation Assessment Survey (SAS), conducted as part of the 59th Round of National Sample Survey Organisation (NSSO) data (2005), is the latest source which makes macro-level information available on credit accessibility at the household level from all sources including formal and informal lenders.
