Authors :
Rupa Prajapati; Dr. Atul Kumar Tiwari
Volume/Issue :
Volume 9 - 2024, Issue 6 - June
Google Scholar :
https://tinyurl.com/2dn3mcjs
Scribd :
https://tinyurl.com/yeyh7t73
DOI :
https://doi.org/10.38124/ijisrt/IJISRT24JUN2031
Note : A published paper may take 4-5 working days from the publication date to appear in PlumX Metrics, Semantic Scholar, and ResearchGate.
Abstract :
The banking sector plays a unique role in the
country's economic development. It acts as the key driver
of the Indian economy, as no economic activity will sail
smoothly without an adequate amount of funding, which
is mostly provided by the banking sector. Banks are
considered the backbone of the growth and development
of the Indian economy, so there is a need to strengthen
them. In order to make Indian banks more efficient and
effective, the government of India has taken a very crucial
step, i.e., the merger of banks. The Indian government has
conducted a series of mergers in 2019, combining 10
public sector banks into four larger entities. This paper
examines the impact of the merger of Punjab National
Bank with Oriental Bank of Commerce and United Bank
of India from the year 2017 to 2023. The study has
reviewed various research articles in order to understand
the impact of the merger on the financial performance of
PNB. The pre- and post-merger performance of the bank
has been analysed using four parameters: Capital, Assets,
Earning and Liquidity. The study shows that the merger
of banks has been crucial for improving the overall
performance of banks as it enlarges their earning capacity
and reduces their NPA.
Keywords :
Banking Sector, Portfolio, Economic Prosperity, Merger.
References :
- Sai, V. R. N., & Sultan, D. S. T. (2013). Financial performance analysis in Banking sector-A Pre & Post Merger perspective. International Monthly Refereed Journal of Research In Management & Technology, 2, 56-66.
- Sethy, T. K. (2017). Impact of merger on financial performance of banks: A case study of state bank group. International Journal of Technical Research & Science, 2(6), 338-394.
- Javed, S. ACCOUNTING OF POST MERGER FINANCIAL PERFORMANCE OF PUNJAB NATIONAL BANK (PNB) AND NEDUNGADI BANK.
- Singh, S., & Das, S. (2018). Impact of post-merger and acquisition activities on the financial performance of banks: A study of Indian private sector and public sector banks. Revista Espacios Magazine, 39(26), 25.
- Agarwal, R., Vichore, S., & Gupta, M. (2019). The effects of mergers and acquisitions on the performance of commercial banks in India. Durgadevi Saraf Institute of Management Studies, 2(2), 16-31.
- https://firmroom.com/blog/reasons-for-mergers-acquisitions
- https://hdl.handle.net/10603/550594
- https://ijeponline.org/index.php/journal/article/view/464/460 (financial performance of PNB)
- Choudhary, D. A., & Vashistha, D. N. (2020). A Study Of Amalgamation Of Oriental Bank Of Commerce And United Bank Of India Into Punjab National Bank. Journal of Emerging Technologies and Innovative Research, 7(11).
- https://in.investing.com/equities/punjab-national-bank-financial-summary?period_type=annually
- Agarwal, Ayushi & Yadaw, Prannath & Singhal, Prof & Ojha, Dr. (2023). Mergers And Acquisitions In Indian Banking Sector. 11. b902-b911.
- https://www.google.com/amp/s/testbook.com/amp/banking-awareness/public-sector-banks-merger
The banking sector plays a unique role in the
country's economic development. It acts as the key driver
of the Indian economy, as no economic activity will sail
smoothly without an adequate amount of funding, which
is mostly provided by the banking sector. Banks are
considered the backbone of the growth and development
of the Indian economy, so there is a need to strengthen
them. In order to make Indian banks more efficient and
effective, the government of India has taken a very crucial
step, i.e., the merger of banks. The Indian government has
conducted a series of mergers in 2019, combining 10
public sector banks into four larger entities. This paper
examines the impact of the merger of Punjab National
Bank with Oriental Bank of Commerce and United Bank
of India from the year 2017 to 2023. The study has
reviewed various research articles in order to understand
the impact of the merger on the financial performance of
PNB. The pre- and post-merger performance of the bank
has been analysed using four parameters: Capital, Assets,
Earning and Liquidity. The study shows that the merger
of banks has been crucial for improving the overall
performance of banks as it enlarges their earning capacity
and reduces their NPA.
Keywords :
Banking Sector, Portfolio, Economic Prosperity, Merger.
