Banking Sector plays a vital role in the economic development of the country. During the postnationalisation era this sector embarked upon development programmes. However due to various factors inefficiency and distortion have taken place therein. Furthermore salt to injury was added with the advent of liberalisation of the economy in 1991 particularly with the reforms in the banking sector and entry of new forign private sector banks which are giving tough compitition to Indian Public Sector Banks.
