Top Public Sector Banks in India 2024

In India, there are 12 public sector banks, 21 private sector banks, 44 foreign banks, and 12 small financing institutions that make up the Indian banking system. In rural India, all new bank account openings are completed online. According to BCG, by 2026, 65% of payments will be made online.

During ten years, the digital lending market in India grew at a CAGR of 39.5%. The digital consumer lending market in India is expected to reach a value of over US$ 720 billion by 2030, accounting for around 55% of the country’s overall US$ 1.3 trillion digital lending opportunity.

The Scheduled Banks’ Statement from the RBI states that as of January 26, 2024, deposits at all scheduled banks have increased by a staggering Rs. 200.6 lakh crore (US$ 2,414.15 billion).

List of Public Sector Banks activities:

A Memorandum of Understanding (MoU) has been signed between Google India Digital Services (P) Limited and NPCI International Payments Ltd (NIPL) to extend the revolutionary impact of UPI to nations outside of India.

Punjab & Sind Bank and the Warehousing Development Regulatory Authority inked a Memorandum of Understanding to enable low-interest loans to farmers.

The Reserve Bank of India is anticipated to introduce CBDC into the call money market in September 2023.

For US$ 85.25 million (about Rs. 708 crore), the State Bank of India will purchase a 100% ownership position in SBI Capital in SBICAP Ventures in July 2023.

State Bank of India would purchase SBI Capital Markets’ whole 20% interest in SBI Pension Funds in June 2023.

Top 10 Public Sector Banks in India by Profit

10. UCO BANK

UCO Bank Profile:

One of India’s public sector banks is UCO Bank. One of the oldest banks’ headquarters is situated in Kolkata. It is located both domestically and abroad.

UCO Bank has 3230 domestic branches spread throughout 43 zones, 2 international branches (one each in Singapore and Hong Kong), 1 representative office located in Tehran, Iran, ATMs installed in 2005, Cash Recycler Machines located in 472, Business Correspondent units 9808, and 48 administrative offices.

As part of the EASE (Enhanced Access and Service Excellence) plan for the growth of financial services, UCO Bank uses digital banking. Specifically, it has opened savings accounts and made deposits via video know-your-customer integrative bank application programming interfaces. Launch of the MSME Credit Card (MCC), which has grown by 393% in FY22–23.

Introduction of the Interoperable Cardless Cash Withdrawal (ICCW) feature, which allows users to use a smartphone to make cash withdrawals from ATMs operated by other banks. To promote Green PIN generation, the bank installed 361 new ATM/cash recyclers and 500 new passbook printing kiosks gradually. It also stopped using paper PIN mailers for debit card transactions.

Paschim Banga Gramin Bank (PBGB), an RRB supported by UCO Bank, has 230 branches and It also has four regional offices.

UCO Bank Network:

There are 3230 domestic branches, 43 zones, 2 overseas branches (one each in Singapore and Hong Kong), and one representative office located in Tehran, Iran, all belonging to UCO Bank.

• It includes
  • 6 Flagship corporate branches, 7 Asset Management branches, 4 service branches, a central pension processing center, and an integrated treasury branch are among the UCO domestic branches.
  • Additional 25 MCU branches, 39 loan hubs for retail, 28 loan hubs for agriculture, 21 SME hubs, and 72 currency chests are included.

UCO Bank Performance:

UCO Bank Deposit:

UCO Bank profit of the year:

• Operating Profit: 4,576.25Cr
• Profit before Tax: 2,568.85Cr
• Net Profit: 1,653.74Cr

The ratio for UCO Bank:

9. Central Bank Of India

One of India’s biggest and most established Public sector banks is the Central Bank of India. It was founded in 1911 and is well-known in the Indian banking industry.

Network

Because of its wide network, the Central Bank of India is genuinely an All-India Bank. It operates branches in seven of India’s eight Union Territories and all 28 states. They have 4,493 branches, 1 extension counter, and 10 satellite offices nationwide as of March 2023.

Innovative Services:

Initiating a number of novel and distinctive banking initiatives, the Central Bank of India has been a trailblazer. Notable services that are offered include:

• The goal of the 1962 Recurring Deposit Scheme was to promote public saving.
• India’s first credit card was the Central Card (1980).
• The Cent Home Loan Scheme (1995) gave clients access to loans for reasonably priced homes.
• The Cent Kisan Financing Card Scheme (1996) provided farmers with financing possibilities.
• One Cent The Swabhiman Yojana of 2005 sought to give unbanked areas access to banking services.
• One Cent (2011) Mobile Banking Service: This service allowed users to conduct banking transactions using their smartphones.

Central Bank of India Services:

Central Bank of India offers a range of financial services, such as corporate and retail banking as well as treasury management. Its products and services include credit cards, savings accounts, fixed deposits, and more.

Central Bank of India Performance:

Central Bank of India profit of the year:

• Interest earned: 25,657.10 core
• Operating Profit: 6,926.49 core
• Net profit: 1,678.78 core

The ratio for Central bank of India:

• Capital Adequacy Ratio: 14.12%
• Net NPA: 1.77%
• Net Interest Margin: 3.64%
• Return on Assets: 0.16%
• Cost of Deposits: 3.92%
• Net Interest Income: 3.64%

8. Indian Overseas Bank

The public sector banks Indian Overseas Bank (IOB) is based in Chennai, India. It has a long history and has been very important to the Indian banking industry. The Indian government nationalized 14 large banks in 1969, including IOB. IOB was taken over by the government during the nationalization, which cemented its status as a major participant in the banking sector.

Here are a few important IOB details.

Branch Network:

IOB is well-established both domestically and abroad.

It has multiple offices throughout India and provides clients with a comprehensive array of banking services. IOB maintains branches throughout the world in places including Singapore, Hong Kong, Thailand, and Sri Lanka.

• Strong domestic presence with 3190 business correspondents, 3236 branches, and 3506 ATMs

IOB Services and Offers

IOB offers a range of financial services, such as corporate and retail banking as well as treasury management. Its products and services include credit cards, savings accounts, fixed deposits, and more. To be more convenient and accessible, the bank has embraced the digital era by offering online services.

IOB has used its vehicle loan program to finance the purchase of electric two- and four-wheelers. Every year, Data Governance Day is observed to improve data management procedures. Through its “IOB Anna Cyber Hygiene Series,” the bank also raises awareness about cyber hygiene.

IOB Bank Performance:

IOB Bank profit of the year:

• Interest earned: 24,065.67 core
• Operating Profit: 6,773.94 core
• Net profit: 2,665.66 core

The ratio for IOB:

• Capital Adequacy Ratio: 17.28%
• Net NPA: 0.57%
• Net Interest Margin: 3.28%
• Return on Assets: 0.81%
• Cost of Deposits: 4.70%
• Net Interest Income: 19.07%

7. Bank Of India

Bank of India (BoI) is a well-known public sector banks in India, its headquarters located in Mumbai, . Since its founding in 1906, it has developed into one of the nation’s top banks, providing a vast array of banking and financial services to its clientele.

Development and Growth:
With 5,139 branches and 8,166 ATMs & CRM globally as of December 31, 2023 (US$150 billion), Bank of India has a massive network. This includes 22 international branches. With 45 offices, including joint ventures, subsidiaries, and representative offices, the bank is well-represented in 18 foreign nations on five continents.

Products and Services
Among the many banking services that Bank of India provides are:

• Accounts for Deposits: Current, savings, and fixed accounts featuring appealing
• interest rates: Loans & Advances: Reasonably priced personal, house, and business loans available
• Services for Forex Trading: in all major currencies
• Internet and mobile banking: Easy online money management services
• Special Plans: Exceptional plans with a 7.5% interest rate and personal accident insurance coverage, such as the “Super Special Fixed Deposit” plan and the “Nari Shakti Savings Account.”

Latest Advancements
To improve its service offerings, Bank of India has launched a number of new projects and products in recent years:
Super Special Fixed Deposit Plan: introduced with a maximum 7.5% interest rate. The Mahila Samman Saving Certificate offers exclusive savings incentives with the goal of empowering women. NPS Records: use of QR codes to streamline the opening procedure.

Plans of Action
Products Focused on Customers:
Bank of India keeps launching goods and services that are focused on the needs of its clients. The bank has introduced the “Nari Shakti Savings Account,” which includes personal accident insurance coverage, and the “Super Special Fixed Deposit” program, which offers interest rates of up to 7.5%. By providing competitive and individualized financial solutions, these programs hope to draw in new clients and keep existing ones.

Online Banking
The bank is also concentrating on improving its online banking services. As of March 2024, there were 11.0 million users of the bank’s mobile banking services, up from 7.1 million the year before. The bank’s dedication to offering its clients easily accessible banking services is demonstrated by this expansion.

Bank of India Financial Information:

• Interest earned: 61,073.34 core
• Operating Profit: 3,057.21 core
• Net profit: 1,930.48 core

Key Parameters for BOI

• Net Interest Margin: 3.01%
• Capital Adequacy Ratio: 16.28%
• Return on Assets (ROA): 0.49%
• Earnings per share: 9.80
• Book Value per share: 100.20
• Return on Equity (%): 10.31
• Cost of Deposits: 3.67%
• Net Interest Margin: 3.01%

6. Indian Bank

Indian banks are the foundation of the nation’s financial system and play a significant part in the country’s economic environment.

In order to efficiently service customers, the Bank has an extensive network of customer touch-points throughout India, including 5,847 domestic branches, 4937 ATMs, and 11,297 Business Correspondents (BCs). In addition, the bank has one IFSC Banking Unit (IBU) and 3 international branches.

Market Trends and Indian Bank Performance
In response to shifting market conditions, Indian banks have been embracing digital innovations and technology to improve customer experience and efficiency. The industry has demonstrated perseverance and flexibility in adjusting to shifting laws and market conditions, despite obstacles.

Strategic Collaborations and Projects:
To increase the scope of its offerings and boost productivity, Indian Bank has partnered with a number of strategic organizations.

• Notable alliances include of:
  • Working together to promote the use of solar energy in homes with Tata Power Solar Systems Limited
  • collaborating to develop a cutting-edge cash management service platform for institutional and corporate clients through Intellect Design Arena
  • Introduction of the Indian Bank One Co-Branded Credit Card, facilitated by RuPay and Visa

• Advances in Technology and Digital
  • In terms of introducing digital goods and services, the bank has taken the initiative. Several important projects consist of:
  • introduction of “E-BROKING,” a digital broking service.
  • launch of a video KYC system made possible by VCIP technology
  • the establishment of digital banking branches in several places, such as Lucknow, Karaikal, and Delhi

Indian Bank Financial Information:

• Interest earned: 55,649.73 core
• Operating Profit: 16,938.12 core
• Net profit: 8,419.41 core

the ratio for Indian Bank

• Cost of Deposits (%): 4.88%
• Yield on Advances (%): 8.72%
• Net Interest Margin (%): 3.47%
• Return on Assets (%): 1.07
• Net NPA (%): 0.43
• Capital Adequacy Ratio: 16.44
• Earnings Per Share: 66.23
• Net Interest Income: 15.07%

5. Punjab National Bank

The Indian banking industry has been firmly founded by Punjab National Bank (PNB), one of the country’s biggest public sector banks. This blog explores the salient features of PNB, emphasizing the contemporary landscape of the bank through popular and trending terms.

PNB Network

PNB serves more than 180 million customers through its extensive network of branches and ATMs throughout India. The bank has more than 12,131 ATMs and more than 10,136 branches.

PNB has one branch in Dubai and is present in six countries. Two joint ventures (in Nepal and the United Kingdom), two subsidiaries (in Bhutan and Myanmar), and two representative offices (in Bangladesh and Myanmar).

PNB’s Offerings & Services

PNB offers a wide range of personal banking services to accommodate its clients various demands, including as credit cards, fixed deposits, savings accounts, insurance, and loans.

In addition, the bank provides online banking services that let users pay bills, check their accounts, and do a lot of other safer and more convenient things.

Digital Conversion
PNB has made digital transformation a top priority. The bank is stepping up its digital initiatives in an attempt to boost staff productivity, increase business growth, and improve customer service. Lower operating costs due to digital banking have resulted in lower service charges and higher interest rates on deposits.

• In October 2023, Digi Home—a digital platform for providing home loans—was introduced. The product provides a digital, paperless, and easy house loan online.
• October 2023 saw the launch of PNB Swagat, a personal loan product that is accessible digitally. It offers clients who are new to banking a complete journey till the disbursement for personal needs.
• In March 2024, Digi Car—another digital channel for auto loans—was introduced to make it easier for customers to apply for auto loans whenever it’s convenient for them.
• The “PNB Aarambh” application was introduced to make it easier to acquire consumers when they are out of the branch and to provide them with Retail Asset Products on a provisional basis based on the minimal information they provide.

PNB Financial information:

• Interest earned: 1,09,064.58 Crore
• Operation Profit: 25,050.87 Crore
• Net profit: 8,328.97 Crore

The ratio for Punjab National Bank:

• Leverage Ratio: 5.95%
• Cost of Deposits: 4.91%
• Net Interest Margin: 3.09%
• Return on Assets: 0.54%
• Return on equity: 11.66%
• Net NPA: 0.73%
• Capital Adequacy Ratio: 15.97%

4. Union Bank of India

One of India’s biggest state-owned banks in Public Sector Banks, Union Bank of India has a long history and a major presence both domestically and abroad.

Union Bank of India Network and Branches
There is a huge domestic and international network of branches and ATMs operated by Union Bank of India.
Internal Divisions: In terms of branch network, Union Bank of India grew to become one of the biggest public sector banks following its merger with Corporation Bank and Andhra Bank in April 2020. At the now, it runs 8,577 domestic branches in India.

Branches Abroad:

Union Bank of India maintains four branches abroad, situated in Sydney, Hong Kong, Dubai, and Antwerp. The bank also maintains representative offices in Beijing, Abu Dhabi, and Shanghai. ATMs: Union Bank of India offers its customers access to a vast network of over 10,000 ATMs.

Business Correspondent Points: The bank also runs more than 18,000 of these locations, which act as hubs for the delivery of financial services in outlying areas.

Offerings and Activities

Banking for both consumers and businesses
Several retail and business banking options are provided by Union Bank of India. Various account kinds (savings, salary, current, trading, fixed, and demat), card products, and lending options (personal, education, automobile, property, working capital, debt restructuring) are among them. Additionally, the bank offers investment and insurance products.

Digital and Global Presence
UBI has embraced digital banking solutions, providing NRI services, tax collection, pension payments, cash management, issue management, and treasury products. Although it has branches in Hong Kong, the UAE, the UK, and Australia, the bank’s primary market is India.

Additional Services and Subsidiaries
UBI Services Limited (UBISL), a fully-owned subsidiary of Union Bank of India, distributes mutual funds and retail lending products in addition to offering broking services to institutional clients.

Financial Performance of UBI

• Interest earned: 1,00,375.56 Crore
• Operation Profit: 28,318.82 Crore
• Net profit: 13,708.94 Crore

The ratio for Union Bank of India:

• Cost to Income Ratio: 46.27%
• Net NPA Ratio: 1.70%
• NIM: 3.07%
• Earning per share: 12.34
• Capital Adequacy Ratio: 16.94%
• Return on Assets: 0.69%
• Return on Equity: 13.26%

3.Canara Bank

Bengaluru serves as the home base of Canara Bank, which was founded in 1906. In order to meet the wide range of demands of its clients, the bank has experienced exponential growth over the years, extending both its 9604 branch network, 12155 ATM and other services.

Provided Services and Products
In order to satisfy the financial needs of people, corporations, and SMEs, Canara Bank offers a wide range of banking services. Let’s examine a few of the standout features:

• Banking for Retail Customers
  • A comprehensive range of retail banking services tailored to individual financial needs is provided by Canara Bank.
  • Savings Accounts: A range of choices to meet the demands of diverse customers.
  • Recurring and fixed deposits both offer adjustable tenure periods and competitive interest rates.
  • Loan Products: Competitive interest rates and flexible repayment options are offered on home loans, auto loans, school loans, and personal loans.

• Corporate banking
  • Recognizing the distinct financial requirements of companies, Canara Bank offers specialist services like:
  • Fixed and current deposits that are specifically designed for business clients.
  • Cash management services: Effective methods for handling the financial affairs of businesses.
  • Syndication Services and IPO Monitoring: Professional direction and assistance for business finance endeavors

• NRI Financial Services
  • Among the services that Canara Bank provides to Non-Resident Indians (NRIs) are the following:
  • Account types for deposits: FCNR, NRO, and NRE.
  • Facilities for Remittances: Options for safe and simple money transfers.
  • Loans and Advances: Specialized loan offerings for non-resident Indians.
  • Consultancy Services: Professional guidance on financial planning and investing

• Priority and SME Credit Programs
  • With a range of financing programs, Canara Bank is dedicated to assisting SMEs and priority sectors.
  • Programs for Agriculture and Rural Credit: Funding assistance for farmers and rural businesses.
  • Loans to sectors designated as priority by the government are known as priority sector loans.
  • Participation in programs such as MUDRA, PMEGP, and others that are sponsored by the government.
  • Financial solutions specifically designed for small and medium-sized businesses: SME Business Solutions.

• Solutions for Digital Banking
  • To improve client convenience, Canara Bank has embraced digital transformation:
  • CanMobile App: Pay bills, move money between accounts, and do much more while on the go.
  • Streamlined procedure for obtaining credit and loans using the Digital Lending Portal.
  • Generating QR Codes: Simple and hassle-free transactions with QR codes linked to UPI

Canara Bank Financial Information:

• Operating Profit: 1,10,518.76Cr
• Operating Profit: 29,710.59Cr
• Net Profit: 14,782.36Cr

The ratio for Canara bank

• Capital Adequacy Ratio: 16.28%
• Net NPA Ratio: 1.27
• Return on Assets: 1.01%
• Return on Equity: 22.06
• Net Interest Margin: 3.05
• Cost to Income Ratio: 47.03
• Yield on Advances: 8.71%

2. Bank of Baroda

One of India’s most reputable and forward-thinking Public Sector Banks is the Bank of Baroda, which was founded in Vadodara, Gujarat, in 1908 by Maharaja Sayajirao Gaekwad III.

Domestic and International Presence:

Bank of Baroda guarantees accessibility for its clients with a wide network of 8,243 domestic branches, 9,426 ATMs, and 1,607 cash recyclers throughout India. The bank also has a substantial global footprint with operations in more than 25 nations, including the US, Australia, the UK, and several African and Middle Eastern countries. Because of its extensive global presence, the bank can meet its customers’ various needs.

Wide Variety of Services
Banks for Individuals
A comprehensive range of retail banking products and services, such as current and savings accounts, fixed deposits, credit cards, loans, and wealth management options, are provided by the Bank of Baroda. The bank’s competitive interest rates and individualized services demonstrate its commitment to client happiness.
Business Banking
Bank of Baroda offers specialist services such as corporate loans, trade finance services, and cash management solutions because it recognizes the financial needs of businesses. Corporate clients are guaranteed individualized attention and professional direction by the bank’s committed relationship managers.

Solutions for Digital Banking
The goal of Bank of Baroda’s digital banking services is to improve client convenience. Through the ‘Baroda Connect’ platform, clients can pay bills, access their accounts, transfer money, and take advantage of other online banking services. To ensure easy and safe transactions, the bank also provides e-wallets, online banking, and mobile banking.

Business Credit
A range of business loans are offered by Bank of Baroda to help with working capital, company growth, equipment acquisition, and infrastructure improvement. The bank provides loans with competitive interest rates that are based on the Repo Rate/MCLR, both secured and unsecured. The COVID-19 pandemic has affected businesses, and specialized lending schemes like the Baroda Guaranteed Emergency Credit Line Scheme and the Baroda Covid Emergency Credit Line offer financial relief.

Bank of Baroda Financial Information:

• Interest earned: 1,12,605.94 crore
• Operating Profit: 30,965.22 Cr
• Net Profit: 17,788.78 Crores

Key Financial Indicators for BOB

• Interest Income: 6.52%
• Net Interest Margin (NIM): 3.31%
• Cost Income Ratio: 47.71%
• Return on Net Worth: 18.34%
• Return on Assets: 0.97%
• Cost of Deposits: 4.92%
• Capital Adequacy Ratio: 16.24%
• Earnings per share: 27.28
• Return on Equity: 18.95

1. State Bank of India

In India’s banking industry, the State Bank of India (SBI) is a massive establishment with a long history and a profound influence on the social and economic advancement of the whole country. Largest Public sector Banks in India is SBIN.

Through its vast network of more than 22,405 branches and 65,627 ATMs/ADWMs, it provides services to over 48 crore people.
With 241 abroad offices located in 36 countries, SBI has an impact that goes beyond the borders of India. Due to its ability to support NRIs’ demands and facilitate foreign trade, it is now the Indian bank with the greatest global footprint.

Raisers of Funds
The board of SBI has authorized raising up to $3 billion through foreign currency bonds that are issued overseas in order to fund the bank’s expansion and growth objectives.

Initiatives in Digital
Using IT and GST data to expedite loan approval, SBI has introduced digital business loans for small and medium-sized businesses (SMEs).

Extensive Range of Services
a wide range of personal banking services and products, including wealth management, NRI business, salary packages, savings accounts, current accounts, digital loan options, and loan products.
1.97 lakh crore home loans and home-related loans have been disbursed; they have around 29.46 lakh home loan customers.

• 1,26,171 deserving students received financial aid for their education
• 4.61 lakh consumers received personal loans totaling 2.01 lakh crore; these demonstrate their leadership in the education and personal loan markets.

Agriculture business support and microcredit are the products and services offered by rural banks. Over 3 lakh crore was lent out under the category of agriculture and related activities. 20054 borrowers received sanctioned loans under the Atmanirbhar Bharat initiative and government schemes.

• 26 percent of PSB market share is in NRLM loans.
  SHGs, Rural Self Employment Training Institutes (RSETIs) around the nation, and Agriculture Gold Loans are among their specialty offerings.

Through SBI Overseas Branches, Overseas Banking Subsidiaries, Joint Ventures, and Associates, international banking in India has continuously shaped the country’s banking environment.

Awarded Green Deal Champion – Trade Finance (Confirming Bank) by Asian Development Bank. Approved Foreign Currency loans to India-related corporates: US$8 billion

Financial Information for SBI:

• Interest Earned:4,39,188.51 core
• Operating Result: 1,06,045.01Core
• Net profit: 68,138 core

The ratio for SBI:

• Return on Assets: 1.04%
• Return on equity: 20.32%
• Earnings Per Share: 68.44
• Capital Adequacy Ratio: 14.28%
• Net NPA ratio: 0.57%
• Cost of Deposits: 4.81%
• Net Interest Margin: 3.37%

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