Academy of Marketing Studies Journal (Print ISSN: 1095-6298; Online ISSN: 1528-2678)


Factors Affecting the Efficiency of Indian Banks using Camels Model Via Panel Data Analysis

Author(s): Rashmi Soni and Srijanani Devarakonda

The study aims to examine the performance of Indian banks from 2016 – 2020 using the Camels model, as well as to identify the impact of the Camels model components on the banks' performance as assessed by returns on assets, returns on equity, and net income. The Indian banking sector is the engine that drives the Indian economy. The study used a sample was the largest ten public sector banks, private sector banks, and foreign banks in India on based on the amount of highest deposits as on 31st March 2020. The banking structure has been critical in mobilizing savings and promoting economic development. The study examines the CAMELS model as a framework for analyzing and measuring the performance of banks. The performance Indian banks in terms of effectiveness was measured and observed the significance using a Panel regression model. Based on panel data from 2016 to 2020, the most remarkable finding of this analysis is that Indian banks have performed reasonably well in terms of performance.

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