Reportlinker Adds Consumer Financing Market in India
NEW YORK, June 7, 2011 /PRNewswire/ -- Reportlinker.com announces that a new market research report is available in its catalogue:
Consumer Financing Market in India
Consumer finance in the most basic sense of the word refers to any kind of lending to consumers. It refers to the branch that is lending the amount which is actually very low than the perfect credit. It is the part of retail banking. One of the best ways to get the unsecured loans is through the consumer finance. Through consumer financing one can easily get the loans and can meet the demands and the desires. The term includes the following mentioned activities and these are as follows:
• Loans
• Indirect Finance
A 2009 poll by Asia Money has ranked HDFC Bank as the number one bank in India in categories such as customer service, back-office or post trade finance, competitive and prompt spot pricing, forex options provider for non-Asian currencies, currency strategy provider and technical analysis. The latest issue of the Asian Bankers Journal ranks HDFC Bank at No 7 in the list of strongest banks.
Consumer finance opportunity in India is one of the best available anywhere in the world. Sixty-four per cent of our GDP is domestic consumption-based. We have the youngest population in the world, demographics are changing, types of jobs are changing, and reforms are turning up which will lead to further impetus to consumer dynamics.
In addition, our loan to GDP for consumer loan is 6 per cent; in most developed countries it is 100 per cent and in marginally developed countries it is 40 per cent. So consumer finance will continue to be a major growth area. 1
The primary objective of credit delivery is enabling access to financial products and services from mainstream financial institutions for productive and needy sectors of the economy. This requires creating a cohesive environment for banks to provide adequate and timely finance at reasonable rates. Such an environment could be created either through incentive for banks or through specific regulations that are designed by intention to attain the objective of economic development. India faces the daunting challenge of stepping up the growth potential by bringing the financially excluded within the ambit of the formal financial system, providing financial literacy and strengthening credit delivery mechanisms which, in turn, could improve the distribution of the benefits of high growth. Various initiatives taken in this area include encouraging diverse forms of provision of lending such as self-help groups (SHGs), micro finance institutions (MFIs) and enhancing the scope of the business correspondent (BC) model; improving credit delivery procedures in respect of micro and small enterprises (MSEs); and encouraging adoption of information and communication technology (ICT) solutions to bolster both credit delivery and financial inclusion.
Since financial inclusion entails bringing new customers with no credit history into the fold of mainstream banking, banks would have to cultivate innovative risk management approaches. The proposed unique identity numbers (Aadhaar numbers) are expected to help in bringing the financially excluded within the formal banking sector fold by enhancing information about the customers.
Executive Summary
Introduction
Consumer Finance
Consumer Finance in India
Loan
Types of loans
Secured loans
Unsecured Loans
Demand
Indirect Finance
Credit Market
Significance of the Credit Market
Institutional Structure of Indian Credit Market
The Credit Channel of Monetary Policy
Overview of Market
Financial Market
International Financial Markets
Domestic Financial Markets
Market Activities
Statistical Data
List of Public Sector Banks, Private Sector Banks and Foreign Banks
Nationalised Banks
Private Sector Banks
Foreign Banks
Indian Financial Services Industry
Current Scenario
Qualified Institutional Placements (QIPs)
Stock markets
Major Players
FDI
Non-Banking Financial Companies (NBFC)
Insurance Sector
Future Prospects
Government Regulations and Reforms in Banking
Banking Regulation Act 1949
Comparison of Indian Market vis-à-vis Foreign Markets
Global Trends for the Financial Service Industry
Global Banking
IT Platform Sharing
e-Banking
Mobile Money
Self-Service
New Developments in the Industry and Future Potential
Microfinance Institutions in India
SWOT Analysis of the Market
Strengths
Economies of Scale
Profitable Diversions
Resource Utilization
Easy marketing on the foundation a of Brand name
One stop shopping
Investor friendly activities
Weaknesses
Grey area of Universal Bank
No expertise in long term lending
NPA problem remained intact
Opportunities
To increase efficiency and productivity
To get more exposure in the global market
To eradicate the 'Financial Apartheid'
Threats
Big Empires
Potential instability of the system
Rise in inflation
Key Drivers and Challenges for Consumer Finance Industry
Banks' interest income rises with credit growth
Rising cost of resources may impact credit growth
IDBI raises deposit rates
Critical Success Factors
Credit growth
Deposit growth
Margins
Asset Quality
Fee income
Challenges
Future Outlook
Surge in Retail Loans
Agricultural and Rural Loans
Status of Microfinance in India
Analyst Perspective & Recommendations
The Debt Trap
Weaker Lending Standards
Managing Risk
Credit Growth and Government Estimate
Microfinance Sector - Substantial Growth in the Offing
Annexure
List of charts & tables
Bibliography
To order this report:
Credit and Loan Industry: Consumer Financing Market in India
Check our Company Profile, SWOT and Revenue Analysis!
Nicolas Bombourg
Reportlinker
Email: [email protected]
US: (805)652-2626
Intl: +1 805-652-2626
SOURCE Reportlinker
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