Knowledge of Globalisation and Recent Trends in Banking

The banking sector is in a transitional mode towards a vibrant global market and sophisticated information technoLogy. Due to this changing scenario, banks are paying more attention to expanding their activities from just Lending and borrowing too the rends Like, insurance merchant banking, Leasing, electronic banking etc. Even though these changes were expected after the nationalization of banks in 1969, it was noticed that it had only slow and steady progress necessitating a total revamping of the banking sector. Various reform measures were taken to strengthen the foundation of the system by improving asset quality, enhancing capital and improving profitability along with structural changes in the system. During this transition, banks have seen fierce competition, risk, and revolutionary changes fordng them to take immediate steps to retain market share, redress the grievances of customers as fast as possible by maintaining good ambience, rendering courteous services to customers with the help of Latest technological innovations and products. An attempt has been made here to explore the dimension of recent trends what has happened so far and how to cope with it in fast changing global environment.

Globalization and liberaLization have forced the banks to think in terms of technology benefits and quality service to customers as future is full of challenges and survival will be a difficult task. The entry of IT infrastructure in the corporate world of banks has brought with it many innovations, in particular the Internet. Though these changes had started with Narasimham Committee's (1992) suggestions for computerization and were followed by Saraf Committee's (1994) recommendations for eLectronic fund transfers (EFT), Electronic Clearing Services (ECS) and automatic data capture, the banks were actually required to use the BANKET and RBINET and Internet to accommodate itself to the innumerous transactions that had resulted as aresult of globalization and Liberalization.

The Indian banking industry is not Lagging behind; it has started providing services electronically over the internet. These services rendered over electronic media include:

Phone banking

ATM Automatic Teller Machines

Credit Cards

Electronic Fund Transfer EFT

Shared Payment Network System SPNS

Electronic Clearing Service -ECS

Point ofSaLe pos

D-Mat Accounts

Electronic Data Interchange

E-Cheque

Corporate Banking TerminaL