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Browsing MBA by Author "ABHISHEK M M 1NH23BA004"

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    A Study of risk management in public and private sector Banks
    (NHCE, 2025) ABHISHEK M M 1NH23BA004
    Banking institutions play a crucial role in driving economic transformation across nations. A bank's long-term financial stability and its ability to handle various risks including market, credit, and liquidity risks—serve as indicators of its growth potential. During the 1980s, the United States introduced a supervisory framework called "CAMEL" to evaluate banks' overall health. This framework helps predict potential banking risks and functions as an effective instrument for supervision and guidance. This study applies the CAMEL approach, which assesses banking institutions' financial wellness through "capital adequacy, asset quality, management efficiency, earnings, and liquidity" metrics, to examine six Indian banks—three public sector and three private sector institutions— between 2019 and 2020. The research found that among public sector banks, IDBI Bank, CENTRAL BANK OF INDIA, and STATE BANK OF INDIA ranked highest according to CAMEL standards. Using identical evaluation criteria through the CAMEL composite index, ICICI Bank, Kotak Mahindra Bank, and HDFC Bank emerged as the top-performing private sector institutions in India. The core philosophy of risk management emphasizes that organizational survival depends more on anticipating and preparing for changes rather than simply responding to them. Risk management in disaster scenarios does not seek to eliminate risk-taking entirely but ensures that risks undergo careful evaluation with complete awareness, defined objectives, and understanding of measurement and reduction techniques. This continuing research concentrates on risk management practices within banking operations. The objective involves identifying and measuring different risks, such as credit risk, interest rate risk, operational risk, and financial insolvency. Six banks, representing both public and private sectors, formed the research sample.