CONTENTS: 1. Introduction to Banking 2. Indian Banking System, Operations and Instruments 3. Liability Products of Banks 4. Asset Products of Banks A strong, vibrant, healthy and dynamic banking sector is vital for a fast growing and prosperous economy and the banks have a major role to play in meeting the resource requirements of India’s economy. The functioning of modern trade and commerce would almost be impossible without proper banking services. A healthy banking system helps in creation of sound investment climate, encouraging entrepreneurial activities, creation of jobs, removal of poverty and generation of wealth for individuals and the country as a whole. Banking system in India operates in a highly regulated environment which is characterized by administered interest rates, high levels of pre-emptions in the form of reserve requirements and directed credit. To improve the efficiency, productivity and profitability of Indian financial system, a wide range of financial reforms were initiated in the 1990’s, thus bringing out significant transformation in the operational flexibility and functional autonomy. This book traces the operations and developments in the banking sector starting from the related basic concepts. The book meets the requirements of the B. Voc students of University of Delhi, DSE- course 6, titled, ‘Basics of Banking Operations’. The book is made as per the B.Voc new syllabus under New Education Policy. The content and matter of the book is divided into 4 units as per the prescribed syllabus. Unit I is related with the introduction to banking containing meaning and functions of banks, types of banks, banking sector reforms etc. Unit II deals with Indian Banking System, Operations and Instruments, having topics on RBI’s credit and monetary policy, structure of scheduled commercial banks, internet banking etc. Unit III discusses about the liability products of banks and contains topics on KYC, payment services etc. Unit IV deals with assets products on banks, like different types of loans offered by banks to customers, priority sector lending.