There are numerous financial institutions throughout India today. These financial institutions help individuals and corporations alike not only to grow money and provide accessible and personalized services, but these establishments also play a crucial role in helping the economy grow.
Many of these companies arose in part to help the Indian government promote further financial literacy as well as an increase in savings throughout a variety of sectors. With different establishments in existence today, it can be challenging to find one that fits your needs and concerns.
In this article, we’ll be taking a closer look at some of the top financial institutions in India today. Read on to know more about these companies, what they offer, and how they can benefit and enrich your life.
Types of Financial Institutions in India
There are seven main types of financial institutions in India, namely commercial banks, credit unions, investment banks, merchant banks, mutual funds, mutual savings banks, and savings and loan associations.
Meanwhile, banks are further categorized into the following, namely Commercial Banks, Co-operative Banks, Payment Banks, and Small Finance Banks. Commercial Banks are further divided into two: Public and Private sector banking.
In total, Paisa Bazaar states that there are 91 commercial banks operating in the country, 20 of which fall under Public sector banking.
The official regulatory commission tasked to supervise and oversee the overall banking industry and operations in the nation is the Reserve Bank of India. It currently holds the title as the country’s Central Banking Authority and is geared towards regulating the banking monetary policy.
Best Financial Institutions in the Country
Industrial Development Bank of India (IDBI)
The Industrial Development Bank of India (IDBI) was established in 1964 to help the struggling Indian economy rise from its depths. Its main function is to provide larger financial assistance to various industrial enterprises, including manufacturing, shipping, hotels, and many others.
Moreover, it is also geared towards answering gaps in the current landscape, such as providing and promoting surveys on areas where industrial growth and investment are possible.
Today, IDBI provides loans and other financial services to industrial sectors, as well as those in need of technical and equipment finance.
What makes this establishment worth looking into is that it not only does it emphasize the need to promote small industries, it also highlights the need to streamline, automate, and modernize businesses.
From the time it has gained autonomy over its operations in 1976, IDBI has continuously performed well, with the establishment being recognized for its term-lending services in the country.
SBI Capital Markets Ltd.
Dubbed as India’s leading investment bank and project advisor, SBI Capital Markets Limited has been one of the forerunners in India’s banking industry. Founded in 1986 as an ancillary of SBI, the company is geared towards helping businesses in privatizing and securing investments.
The bank offers a wealth of services under its arsenal, including buy and sell-side advisory, venture capital advisory, project advisory, investing, and opening access to financial markets, as well as providing restructuring advisory services.
This subsidiary of SBI is a worthy contender among other commercial banks not only because it is the largest commercial and investment bank, but because its name has become synonymous to its professionalism and impeccable business ethics.
Housing Development Finance Corporation (HDFC)
One of the best financial institutions in India today is the Housing Development Finance Corporation (HDFC). It is a premier housing finance establishment that specializes in mortgages and retail housing loans.
Founded in 1977, HDFC’s main goal is to provide comprehensive long-term financial options and solutions to individuals hailing from the lower and middle class for the construction and purchase of homes throughout India.
Considered a one-stop-shop for almost all financial needs, HDFC does not only specialize in offering and approving home loans, but it also provides an extensive number of financial solutions that offer some of the lowest premiums on the market.
The Bottom Line
There is a long list of financial institutions in India today, with everyone offering some of the most competitive rates and services anyone has ever seen. With this list, you can hopefully narrow down your choices and find banks that cater to your needs and concerns in an effective and efficient manner.