Top 10 Largest Banks in India

There is no scarcity of banks in India. Of course, public sector banks are limited, but there are scores of private sector banks. Together they all penetrate deep in Indian market offering banking services to all classes of people. With recent Jan Dhan Yojana, banking facilities have been extended even to those sections which were outside the loop for long. In this article on the top 10 largest banks in India, we will take a look at the largest Indian banks. Let us begin.

1. State Bank of India

There should not be an iota of doubt in anyone’s mind that the State Bank of India is the largest bank in the Indian banking industry. This state-owned bank has a fascinating history.

The bank started back in June 1806 as Bank of Calcutta. Three years later, the name of the bank was changed to Bank of Bengal. Bank of Bengal became one of three banks that received funding from the Presidency government or the British government because at that time India was under British rule. The other two banks were the Bank of Madras (est. 1843) and the Bank of Bombay (est. 1840).

In 1921, the Bank of Bengal, the Bank of Madras and the Bank of Bombay were all merged forming the Imperial Bank of India. Until 1935, the Imperial Bank of India acted as India’s central bank. After that Reserve Bank of India came into existence. In 1955, the Imperial Bank of India was renamed as the State Bank of India.

Today, State Bank of India is not only the largest bank in India, but it is also one of the largest banks in the whole world. Here is a quick list of some of the facts and figures about the bank:

Revenue INR 210,979 crore (2017)
Market capitalization INR 239,223.91 crore (2018)
Number of countries in which it operates 36
Number of employees 278,872
Number of ATM facilities 59,000
Number of branches 24,000
Number of offices outside India 195
Number of customers 42 crore
Total assets INR 3,445,121 crore (2017)
Products offered
  • Consumer banking
  • Corporate banking
  • Investment banking
  • Finance and insurance
  • Wealth management
  • Asset management
  • Securities
  • Savings
  • Private equity
  • Private banking
  • Mortgage and loans
  • Credit cards
Headquarters Maharashtra, Mumbai, India
Owned by The government of India (61.23% ownership)
Company type Public
Chairman Rajnish Kumar

As far as merits and demerits of the bank are concerned, it is quite difficult to say because some people may get expected service while there will be others who will always complain. Still, we can always provide some generic merits and demerits of public sector banks in general. Let us take a look at them:

Generic Merits Generic Demerits
SBI is extremely safe, and chances of bankruptcy are nearly nil as the government will bail it out in case of financial stress. SBI is plagued with the problem of ‘being big.’ It merely means that if you need some information, you may have to visit way too many places.
SBI has low limits for most of its services. For example, the minimum amount required for a savings bank account is INR 1,000. SBI is plagued with large numbers of NPAs (Non-performing assets). This is mainly due to government intervention. The bank needs to give out loans not by a project’s merit but the basis of government pressure.
People from every financial class can access services of SBI. SBI lags regarding technology. Private sector banks are way ahead of this behemoth in this segment despite the fact that in recent years the SBI has upgraded its technology to provide seamless banking across all channels.
SBI’s network of branches and ATMs is vast allowing easy access to its customers. SBI ATMs are often plagued with the problem of ‘No Cash.’ Yes, there are many such SBI ATMs across the country that do not receive cash quickly.
Employees of SBI have very high job security compared that private sector banks. SBI has to operate in far-flung areas to improve financial inclusion, resulting in operational losses.

2. Bank of Baroda

Bank of Baroda is India’s second largest bank regarding total assets. The bank was established back in the year 1908 on July 20. The bank was nationalized on July 19, 1969. During its journey since its inception till date, at least ten banks have been merged with the Bank of Baroda. Let us take a quick look at some of the critical facts and figures of the bank.

Revenue INR 42,199.92 crore (2017)
Market capitalization INR 28,320.08 crore (2018)
Number of countries in which it operates 24
Number of employees 52,420
Number of ATM facilities 10,441
Number of branches 5538 (including both India and abroad)
Number of offices outside India 107
Number of customers 29,000,000 (worldwide)
Total assets INR 694,875.42 crore (2017)
Products offered
  • Corporate banking
  • Consumer banking
  • Mortgage loans
  • Wealth management
  • Private banking
  • Private equity
  • Investment banking
  • Insurance and finance
  • Credit cards
Headquarters Vadodara (previously Baroda), Gujarat, India
Owned by Government of India
Company type Public
CEO P. S. Jayakumar

As far as merits and demerits of the Bank of Baroda are concerned, they are pretty much the same for any nationalized bank and hence, we will skip repeating the same that we mentioned earlier.

3. Punjab National Bank

Another behemoth state-owned bank in India is the Punjab National Bank. PNB too has an international presence. Only in 2018, PNB was tainted by India’s largest-ever financial fraud (USD 1.77 billion illicit loans to several companies most of which were controlled by Nirav Modi – a billionaire jeweler). Nonetheless, it remains one of the most reputed public sector banks in India. Let us take a quick look at some of the crucial facts and figures of the bank.

Revenue INR 47,424.35 crore (2016)
Market capitalization INR 21791.47 crore (2018)
Number of countries in which it operates 12
Number of employees 70,801
Number of ATM facilities 10,681
Number of branches 6,937
Number of offices outside India 76
Number of customers 80,000,000 (worldwide)
Total assets INR 667,390.45 crore (2017)
Products offered
  • Corporate banking
  • Consumer banking
  • Mortgage loans
  • Wealth management
  • Private banking
  • Private equity
  • Investment banking
  • Insurance and finance
  • Credit cards
Headquarters New Delhi, India
Owned by Government of India
Company type Public
CEO Sunil Mehta

Same as before, even PNB has certain merits and demerits that are usually found in all nationalized banks in India.

4. Canara Bank

Another government-owned Indian multinational bank, the Canara Bank was established back in 1906 as Canara Hindu Permanent Fund. Bank was incorporated in 1910, and its name was changed to Canara Bank Limited. Later in 1969, the name was changed to Canara Bank. Let us take a quick look at some of essential facts and figure of Canara Bank in a tabular format:

Revenue INR 48,942 crore (2017)
Market capitalization INR 17473.11 crore (2018)
Number of countries in which it operates 9
Number of employees 57,905
Number of ATM facilities 10,600
Number of branches 6,639
Number of offices outside India 11
Number of customers Not available
Total assets INR 620,000 crore (2016)
Products offered
  • Commercial banking
  • Consumer banking
  • Retail banking
  • Asset management
  • Private banking
  • Pensions
  • Investment banking
  • Mortgages
  • Credit cards
Headquarters Bangalore, Karnataka, India
Owned by Government of India
Company type Public
CEO Shri T. N. Manoharan

5. HDFC Bank

Founded in the year 1994, HDFC Bank Limited is one of India’s largest banks. By assets, it is the largest lender in the private sector, and it is also the largest bank (in both private and public sectors) concerning market capitalization. In 2016, HDFC grabbed the 69th position in BrandZ Top 100 Most Valuable Global Brands. The bank has an international presence and operates in Dubai, Hong Kong, and Bahrain. Let us take a quick look at the important facts and figures about HDFC:

Revenue INR 81,602 crore (2017)
Market capitalization INR 522,895.09 crore (2018)
Number of countries in which it operates 3
Number of employees 84,325
Number of ATM facilities 12,260
Number of branches 4,805
Number of offices outside India 3
Number of customers Not available
Total assets INR 863,840 crore (2017)
Products offered
  • Corporate banking
  • Consumer banking
  • Insurance and finance
  • Wealth management
  • Private banking
  • Private equity
  • Investment banking
  • Mortgage loans
  • Credit cards
Headquarters Maharashtra, Mumbai, India
Owned by Private bank
Company type Public
Managing Director Aditya Puri

When it comes to merits and demerits of the bank, banking with HDFC is always a pleasant experience. Customers get all information needed from a single point of contact. Technologically, HDFC bank is way ahead of any state-owned banking organization. Among the demerits, HDFC bank is not for a common Joe. Yes, you need to have enough money power to be a customer of HDFC bank. For instance, a simple savings bank account will require you to maintain a minimum monthly balance of INR 3,00,000. That is one of the highest that you can get. This simply translates into INR 10,000 minimum balance a day.

6. ICICI Bank

ICICI Bank is a private bank that has left a significant impression on the Indian banking industry. Regarding assets, it is India’s second largest bank, and when it comes to market capitalization, it ranks at number 3. One of the most interesting facts about ICICI Bank is that it is one of the Big Four Banks of India. The other three are State Bank of India, Punjab National Bank, and Bank of Baroda. ICICI Bank was established back in 1994. Let us take a quick look at some of the important facts and figures of ICICI Bank.

Revenue US$10.3 billion (2016)
Market capitalization INR 2,24,705.96 crore (2018)
Number of countries in which it operates The bank operates with subsidiaries, branches, and representative offices in various countries like UK, Canada, USA, Singapore, Bahrain, Qatar, Oman, Sri Lanka, South Africa, China, Dubai International Finance Center, Hong Kong, Bahrain, etc. (in total 19 countries)
Number of employees 74,096
Number of ATM facilities 14,417
Number of branches 4,867
Number of offices outside India Several
Number of customers Not available
Total assets US$108.8 billion (2016)
Products offered
  • Corporate banking
  • Consumer banking
  • Insurance and finance
  • Wealth management
  • Private banking
  • Investment banking
  • Mortgage loans
  • Credit cards
  • Payment solutions
  • Personal loans
Headquarters Maharashtra, Mumbai, India
Owned by Private bank
Company type Public
Chairman Mr. Girish Chandra Chaturvedi

ICICI Bank’s robust network of branches is supported by its state-of-the-art technology and highly knowledgeable staff. Employees are well-behaved, and it is an absolute pleasure to bank with ICICI Bank. One of the downsides of the bank is that ICICI Bank’s debit cards are not widely accepted by various e-commerce site when someone tries to purchase a product on EMI. They don’t even allow ICICI Credit Cards.

7. Axis Bank

When it comes to private banks, Axis Bank is the 3rd largest private bank that operates in India. Axis Bank was founded back in 1993. Back then its name was UTI Bank. In 2007, it took its current name. Let us take a quick look at the important facts and figures of the bank:

Revenue ₹414.0925 billion (USD 5.8 billion) (2017-2018)
Market capitalization INR 144,911.34 crore (2018)
Number of countries in which it operates 9
Number of employees 56,617
Number of ATM facilities 13,814
Number of branches 3,703
Number of offices outside India 9
Number of customers Not available
Total assets ₹6.9133 trillion (USD 96 billion) (2017-2018)
Products offered
  • Corporate banking
  • Consumer banking
  • Insurance and finance
  • Wealth management
  • Private banking
  • Investment banking
  • Mortgage loans
  • Credit cards
  • Private equity
Headquarters Maharashtra, Mumbai, India
Owned by Private bank
Company type Public
Chairman Sanjiv Misra

Just like HDFC and ICICI Bank, Axis Bank’s network is supported by robust technology and well-trained employees. Just like ICICI Bank, Axis Bank also offers savings bank accounts with minimum monthly balance requirement of INR 10,000. However, there are variants available that are expensive, and you need to have enough financial power to opt for those variants.

8. Kotak Mahindra Bank

Quite a newcomer, Kotak Mahindra Bank was established in 2003 after RBI gave license to Kotak Mahindra Finance Ltd. In 2018, the bank managed to surpass State Bank of India regarding market capitalization and took the second spot after HDFC. However, soon after this feat, the bank dropped to 4th position, and as of the 3rd quarter of 2018, Kotak Mahindra Bank is the 4th largest bank in India regarding market capitalization. Let us take a look at some of the most important facts and figures about the bank.

Revenue ₹21,176.09 crore (2017)
Market capitalization INR 216,944.44 crore (2018)
Number of countries in which it operates Doesn’t operate outside India
Number of employees 33,013
Number of ATM facilities 2,163
Number of branches 1,369
Number of offices outside India None
Number of customers Not available
Total assets ₹214,589.95 crore (2017)
Products offered
  • Corporate banking
  • Consumer banking
  • Insurance and finance
  • Wealth management
  • Private banking
  • Investment banking
  • Mortgage loans
  • Credit cards
Headquarters Maharashtra, Mumbai, India
Owned by Private bank
Company type Public
Chairman Shankar Acharya

Just like every other private bank, Kotak Mahindra Bank is known for its robust technological support and well-trained employees. One of the disadvantages of the bank is that it doesn’t have many branches and ATMs, making accessibility problematic. Among the benefits, people of the middle-income group can easily access the banking services that the bank has to offer. The bank offers 6% interest per year for savings bank accounts if you maintain a balance of INR 1 lakh (maximum one crore).

9. Union Bank of India

Popularly known as UBI, the Union Bank of India is one of the largest banks in India that is owned by the government. Union Bank was first registered as a limited company in the year 1919. It was Mahatma Gandhi who inaugurated the company. The bank has an international presence. Let us take a quick look at some of the most important facts and figures:

Revenue ₹32,198.80 crore (2016)
Market capitalization INR 8150.78 crore (2018)
Number of countries in which it operates Seven countries
Number of employees 35,514
Number of ATM facilities 7,642
Number of branches 4,301
Number of offices outside India Multiple
Number of customers Not available
Total assets ₹404,695.90 crore (2016)
Products offered
  • Corporate banking
  • Consumer banking
  • Insurance and finance
  • Wealth management
  • Private banking
  • Investment banking
  • Mortgage loans
Headquarters Mumbai, India
Owned by Government of India
Company type Public
MD & CEO Shri Rajkiran Rai G.

One of the best advantages of UBI is that its services are available for low-income group people as well. However, the lack of ATMs and branches (there are quite a lot but still not as many as SBI) makes its a little less appealing to general people. Technologically, the bank is yet to catch up with private players in the Indian banking industry.

10. IDBI Bank

IDBI Bank stands for Industrial Development Bank of India. The Act of Parliament established the bank back in 1964. The purpose of establishing the bank was to provide financial support to India’s inexperienced industrial sector. Finance Ministry published a notification in 2013 on February 26 according to which, IDBI Bank has to treated at par with any other nationalized bank in India including SBI. Let us take a look at some of the important facts and figures of the bank:

Revenue ₹28,043.10 (2016)
Market capitalization INR 26,900.48 crore (2018)
Number of countries in which it operates 1
Number of employees 27,570
Number of ATM facilities 13,722
Number of branches 1,899
Number of offices outside India 1
Number of customers Data not available
Total assets ₹374,372.12 crore (2016)
Products offered
  • Corporate banking
  • Consumer banking
  • Insurance and finance
  • Wealth management
  • Private banking
  • Private equity
  • Investment banking
  • Mortgage loans
  • Agricultural loans
Headquarters Mumbai, India
Owned by Government of India
Company type Public
MD & CEO Rakesh Sharma

One of the greatest advantages of IDBI bank is its Business Intelligence. Yes, the bank makes use of technology to serve its customers in far-flung areas who do not have quick access to a physical branch or ATM. IDBI Bank does not have any disadvantage per se, but there are floating rumors that IDBI bank may be privatized in the near future. The current finance minister Shri Arun Jaitley said the government might dilute its stake in IDBI bank to under 50%. This declaration has led to privatization rumors.

Image source: Financialexpress

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