PSB Full Form

What is the Full Form of PSB?

PSB denotes Public Sector Banks, and they are the major type of banks the government owns. More than 50% is under the ministry of finance of the government of India or under the state ministry of finance of various states of the government of India. The share of the government is listed under the stock exchange. The aim of these banks is social welfare. People trust PSB with their money and deposits as the bank operates under the government. Public-sector banks constantly work for the public interest and keep introducing schemes for customer benefit. Public sector banks also charge less for their services.

Central Public Sector Banks

• State bank of India, with a government shareholding of 57.59%

• Bank of Baroda, with a government shareholding of 63.97%

• Canara bank, with a government shareholding of 62.93%

• Punjab National Bank, with a government shareholding of 73.15%

• Indian Bank, with a government shareholding of 79.86%

• Union Bank of India, with a government shareholding of 83.49%

• Bank of India, with a government shareholding of 81.41%

• Central Bank of India, with a government shareholding of 93.08%

• Bank of Maharashtra, with a government shareholding of 90.90%

• UCO Bank(United Commercial Bank Ltd), with a government shareholding of 95.39%

• Indian Overseas Bank with government shareholding of 96.38%

• Punjab and Sind Bank, with a government shareholding of 98.25%

States Having Rural PSB

• Punjab

• Rajasthan

• Puducherry

• Andhra Pradesh

• Odisha

• Tamil Nadu

• Nagaland

• Mizoram

• Telangana

• Meghalaya

• Manipur

• Tripura

• Maharashtra

• Madhya Pradesh

• Uttar Pradesh

• Haryana

• Himachal Pradesh

• Jammu Kashmir

• Jharkhand

• Uttarakhand

• Karnataka

• Kerala

• West Bengal

• Chhattisgarh

• Bihar

• Assam

• Arunachal Pradesh

Challenges

The challenges faced by PSB are:

• Financial loss in rural branches- the population of urban areas is much, so PSB makes a profit, but the people of rural areas are less, so they bear the loss.

• High overdue amount- PSB helps lower classes and farmers intending to help. This leads to a high unpaid amount.

• Advancement of private banks- they attract more customers due to better infrastructure and customer service than PSB.

• Conventional system- PSB usually follows traditional methods which don't attract young generations.

• Nonperforming assets- PSB have low growth assets and high loan write-offs, affecting their profitability.

Advantages

• Deposits offer a high rate of interest.

• Loans with low-interest rates.

• Employees have complete job security.

• Employees are also eligible for a pension upon retirement.

• Provide services to a large number of customers.

• Provide services to rural areas.

• Provides financial services through multiple branches.

Other Common Full Form Of PSB

PSB also stands for Punjab and Sind Bank, which is a government-owned bank in India. It was established in 1908 and has its headquarters in New Delhi, India. The bank provides various financial products and services, including savings accounts, current accounts, loans, credit cards, and online banking facilities, among others. It was founded in 1908 in Amritsar, Punjab, by Bhai Vir Singh, Sir Sunder Singh Majitha, and Sardar Tarlochan Singh. The bank was established with the aim of serving the financial needs of the people of Punjab, particularly farmers and traders. Over the years, the bank has expanded its operations to other parts of India and has become a prominent player in the Indian banking industry.

Punjab and Sind Bank is a government-owned bank, with the Government of India holding an 85.59% stake in the bank as of March 2021. The rest of the shares are held by private investors and institutions.