Comparative Performance Analysis of Selected Banks Using Camel Model
Journal Title: IOSR journal of Business and Management - Year 2018, Vol 20, Issue 6
Abstract
With the increased competition and emphasis on profitability, the public sector banks have to face the competition with social welfare objectives. Performance of the banking sector is an effective measure and indicator to check the performance of any economy. The banking sector provides diversified services other than accepting deposits and lending loans like debit cards/credit cards, insurance, safety lockers, ATM, online fund transfer, etc. The present study examines the performance of 6 banks for the period 2013-17 using CAMEL model.Objectives of the study are to compare the performance of selected scheduled commercial bank in India using CAMEL Model and to suggest and conclude based on findings of the study. The present study analyzes the performance of 6 nationalized banks functioning in India. The secondary data was collected from journals, articles. The 6 banks analyzed for the study include 2 national banks, 2 public banks and 2 private banks. The performance of the above banks is analysed using CAMEL model. The components of a bank’s performance that are evaluated are: C-Capital Adequacy; A-Assets; M-Management Capability; E-Earnings and LLiquidity. Sixteen ratios of these components are used to evaluate the banks. It covers period of 5years from 2013 to 2017. The tools used for the data analysis of financial ratios. Secondary data makes use of official website of the selected companies under related banks under selected banks under study. . Evaluation of ranks of banks is based on statistical tool of consistency which is computed using coefficient of variation (Standard Deviation/Arithmetic Mean). The present study tested hypotheses that there is no significant difference in performance of selected banks in India and no significant differences in performance of CAMEL Parameters. It is summarized on an average consistency basis of CAMEL model, Canara bank stands the best among sample banks during the study period. Despite Indian bank secures the second rank, consistent-wise it needs to strive to increase its earnings and maintain adequate liquidity to overcome the problem of short-term insolvency. ICICI has to improve its quality of assets. There is no stability in management efficiency and asset quality of Axis bank. UCO bank needs to overhaul its system and structure. Comparative Performance Analysis of Selected Banks Using CAMEL Model
Authors and Affiliations
Cma Dr. Jeelanbasha . V, Dr. JeelanBasha . V
Keywords
Related Articles
- EP ID EP412051
- DOI 10.9790/487X-2006078793.
- Views 61
- Downloads 0
Employee Motivation And Their Intention To Leave: Are They Related? An Empirical Study In IT Sector In And Around Kolkata
Acquiring and retaining talent has posed a major challenge in recent time, particularly in the IT sector. Professional employees are found to be always on the move today and loyalty and commitment have taken a backseat,...
The Effect of Leadership Style, Work Motivation and Local Culture on Organizational Citizenship Behavior and Civil Servants Performance
This study aims to test and analyze empirically the effect of leadership style, work motivation and local culture on organizational citizenship behavior (OCB) and civil servants performance at 156 civil servants working...
A Study on Emotional Intelligence among Indian Overseas Bank Employees, Tuticorin, Tuticorin District
The rules of work are changing increasingly and day by day the responsibilities and overload of individual employees in banking sector also increased simultaneously. The increasing complexities both in business as well a...
The Relationship of Attitude, Subjective Norm, Perceived Behavioral Control on Halal Food Purchasing Behavior In Jakarta
Indonesia is most populous Muslim-majority country and its the world's 14th-largest country in terms of land area and world's 7th-largest country in terms of combined sea and land area. Nevertheless, based on Thomson Reu...
Harmonization of CDISC standards for Regulatory submissions
Harmonization plays a key role in the modern world due to its impact on resourcing and budgeting. When submitting the dossier to regulatory agencies the requirements differ hence, there should be guidelines for companies...