Published 2026-05-22
Keywords
- Bank Mergers,
- Stakeholders,
- investments,
- acquisitions,
- business entities
- banking system ...More
How to Cite
Copyright (c) 2025 Swami Vivekananda University Press
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Abstract
Matsyanyaya is the ancient Indian philosophy where the big fishes end up consuming the small fishes, in a social system that is competitive and cutthroat. Today, parallels of such cutthroat environments can be drawn to the modern day banking industry that has grown ripe with incredible competition from both government and private players. As few businesses have grown in stature and in business volume, numerous of their counterparts have fallen behind gasping for business and good financial health. Large, unruly infrastructure with little planned organization or management of resources have left some of these businesses unprofitable and vulnerable to difficult financial situations.
With time, mergers have developed as a singular biggest problem solving technique of protecting infrastructure concerned with dying banks. Mergers are built upon the fundamental concept that a weak bank or a financially unhealthy bank misuses the large, unwieldy infrastructure that has been made available to them. Mergers not only help safeguard the interests of the customers of such weakened banks but can also employ the human resources for better usage at stronger banks. As mergers have effectively grown in prevalence, there are also a great many challenges at hand like bad loans, outdated technology, and so on.
This article attempts to highlight some of the facts and facets of mergers and acquisitions from an Indian perspective. The aim is to study in detail what these terms signify, the state of the banking industry in India, and how the frameworks are built concerning the mergers and acquisitions in India. The attempt is to also study the rationale behind banking mergers from an Indian perspective, so as to assert why such mergers are necessary and how the odds are stacked up against the mergers in terms of merits and challenges. The article shall end with a detailed observation of the timeline of the banking mergers in India and what trends the data shows regarding the trend of mergers in India and also their effectiveness.
DOI - https://doi.org/10.65525/SVUP.9788199651593.2025.58-79