Title:
AN ANALYSIS OF GROWTH OF E-BANKING SERVICES IN INDIA AND ITS IMPACT ON ANNUAL INCOME OF SCHEDULED COMMERCIAL BANKS OF INDIA

Authors:
Dr. Fr. G. Vazhan Arasu, Alice Chettiar (ne Alice Rashmi Rajan)

Abstract:
Electronic banking is functional for quite some time now in the form of automatic teller machines and phone/mobile banking transactions etc. Banking sector has been revamped by the Internet, a new delivery channel for banking services which is advantageous both consumers' and banks. It has also permitted banks to slip into new markets and stretch their geographical expanse. Many even find electronic banking as a possibility for underdeveloped countries to advance developmental stages. With various initiatives taken by Reserve Bank of India, India has come a long way as far as e banking is concerned. The study is purely based on the secondary data obtained from www.rbi .org. This study provides a historical overview of the role of RBI in the growth of e-banking services in India. This study also analyses growth of e banking based on three indicators (1)Analysis of Trend and Progress in Payment Systems in India over the year, (2) Change in total number of bank branches in India over the years, and (3) Change in total number of ATM branches in India over the years. It also examines the effect of growth of e banking services on the annual income of scheduled commercial banks. Linear regression model was used to investigate the relationship between e banking services on the annual income of scheduled commercial banks. The study concludes that there is a significant positive correlation between e banking services on the annual income scheduled commercial banks. Banks can increase their annual income and improve their profitability.