GLOBAb FINANCIAL CRISIS : STRENGTH OF INDIAN BANKING VIS-A-VIS US BANKING

The financial crisis in the US and European countries has posed a serious threat to global financial stability and has badly affected the growth of several economies in the globe. It has exerted tremendous pressure on the various financial markets across the globe. The turmoil is not only hammered the US and European financial institutions but has caused tremors in the Indian financial markets affecting the growth of Indian economy. This crisis has affected various sectors of the Indian economy particularly information technology, textiles, and real estates. The Indian banking is not an exception to this. Hence, it is imperative to ensure stability and soundness of the Indian banking system which accounts for around 60% of the total assets held by the Indian financial sector. In this backdrop, this paper examines the strength of Indian banks vs US banks in withstanding the global crisis.