Financial Performance Analysis of various public & private sector banks using CAMEL Model

Dr Sneha S Shukla

Volume : VIII, Issue : IX, September - 2019

Financial Performance Analysis of various public & private sector banks using CAMEL Model

Dr Sneha S Shukla

Abstract :

Banking sector is an important component of Indian Financial System. It plays a key role in the economic development of India stimulating capital formation, innovation and monetization in addition to facilitation of monetary policy. Continuous Performance evaluation of it from time to time is therefore necessary to ensure financial stability of an economy. In the light of world–wide banking crisis in past years, it becomes important to evaluate the overall performance of banks by implementing a regulatory banking supervision framework. CAMEL approach is one such useful tool to examine the safety and soundness of banks. In the present study, the financial performance of selected public and private sector banks in India is measured on the basis of ratios like Capital Adequacy, Assets Quality, Management Capability, Earnings Ability, and Liquidity using CAMEL model.