* Institute of Development Studies, University of Mysore, Manasagangothri, Mysore-6
** Institute of Development Studies University of Mysore, Manasagangothri, Mysore-6
Online published on 14 February, 2012.
The present study has made an attempt to evaluate their financial performance and to identify the problems faced by these banks in the state. The urban cooperative banks are the most important segment of cooperative sector in the country which is totally self reliant and most vibrant. Bangalore city was selected as the study area and 5 Urban Cooperative Banks in the city were selected randomly. The overall increase in number of UCBs in the state as a whole was 3.24 per cent per annum. The number of branches increased significantly with the growth rate of 8.44 and the membership registered a growth rate of 4.89 per cent per annum. The current ratio of UCBs in the study area was in the range of 0.52 to 3.64 which found to be above the standard norms indicating that these banks have maintained reasonable level of liquidity. Credit deposit ratio ranged from 44.4 to 83.2. However these banks are facing several problems like overdues, competition, dual policy of government, low level of deposit mobilization, absence of trained staffs and continuous losses. The present study is confined to Bangalore city. The data pertaining to Urban Cooperative Banks was drawn from records of sample Urban Cooperative Banks in the Bangalore city.
