Commercial Banking in South Asian Countries - Essay Example

The banking sector has expanded and developed by leaps and bounds in South Asia. After China, Indonesia, and Malaysia the banking sector in India, Bangladesh, and Sri Lanka has been tremendously growing. This trend in the growth of the banking sector has been the need of the economies to accommodate and sustain the needs of these economies. Commercial banking and its tremendous growth have been the pushing and pulling factor in the sustainable growth of these economies. The accelerated activity of the agricultural sector, small and medium enterprises, construction, and real estate have yielded a fairly large ground for the commercial banking sector on a local basis in South Asia. Since the return rates on any business in South Asian countries is the highest one in the world (almost 20 % per annum), there has been every chance of the emergence and growth of commercial banking in South Asia.

                             A large number of fresh MBAs are attracted to commercial banking and they get appropriate training facilities.  Their remuneration in the commercial banks remained high and they also got monthly pro-rata commissions on their retail performance. The attitudes of young graduates employed in the banks are molded towards professionalism and business. These bankers no more look like traditional portfolio holders of lending and borrowing. Rather young motivated teams of these commercial managers visit the unemployed youth and discuss with them the feasibility of small enterprises. Grameen Bank is an example in Bangladesh. The credit card promoters do convince the people and facilitate the banks. The trained agricultural graduates in banks promote the farmer's incomes. The local banks advance the loans for housing repayable in easy installments. These attitudes have been making commercial bankers popular in society. 

                                     In the local commercial banks, these young talented lots have been most successful due to the following obvious reasons.

• Being local, these bankers are more popular in their communities due to the activities of public service in the baking environment.
• The newly recruited lot is more motivated and enthusiastic about pursuing their careers in the growing commercial banking sector.
• Larger commercial banking has given an enabling and congenial environment to its employees.
• The Human resources selection, training, and grooming of staff have fundamentally changed in local commercial banks.

Therefore, the above factors have surely made possible a successful career making in commercial banking.