This report captures the most important features of the capital market in India and the main developments concerning this market since the country became independent. The major features of progress in India include: Despite low incomes, it has been possible to increase substantially the flow of savings to financial institutions over the last decade. The commercial banks have expanded the network of their branches and enlarged their role in financing industry, trade, as well as in collecting savings. Substantial amounts of savings have been collected through the governments small savings schemes. Life insurance has shown marked expansion in recent years. Provident funds also operate over a fairly wide area in both the public and private sectors. The activities of cooperative credit institutions have expanded considerably over the last decade, mainly as a result of strong support by the government and increased credit made available by the central bank at low interest rates. The network of special finance corporations has been providing substantial funds to large and medium scale industries, mainly for financing fixed investment. The market for securities is well-organized and quite active. The central bank has been playing an important role in expanding and diversifying the system of institutional credit facilities. A scheme for guaranteeing partially the loans advanced to small scale industries by banks and other financial institutions has been introduced.
Details
-
Author
Govil, Shiva K.
-
Document Date
1962/09/20
-
Document Type
Pre-2003 Economic or Sector Report
-
Report Number
EC111
-
Volume No
1
-
Total Volume(s)
1
-
Country
-
Region
-
Disclosure Date
2010/06/12
-
Disclosure Status
Disclosed
-
Doc Name
A review of the capital market in India
-
Keywords
Capital markets; Securities; Financial institutions; Interest rates; Central bank roles; Commercial banks; Savings; Life insurance; Small business finance; Contractual savings; Investment trusts; Housing finance
- See More
Downloads
COMPLETE REPORT
Official version of document (may contain signatures, etc)
- Official PDF
- TXT*
- Total Downloads** :
- Download Stats
-
*The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.
Citation
Govil, Shiva K.
A review of the capital market in India (English). Central Economics staff series ; no. EC 111 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/559561468267325071/A-review-of-the-capital-market-in-India