Banking sector to create 20 lakh Jobs in Coming
years: Experts
The banking sector may create up to 20 lakh new jobs in the next 5-10 years, helped by issuance of new licences and efforts being made by the RBI and the Government to expand financial services into rural areas, according to experts.
Hiring trend may get a further boost from the public sector banks, as many of them would need to hire fresh talent in the wake of nearly half of their workforce scheduled to retire in the next few years.
Estimates according to a survey conducted shows that there would be big expansion in banking sector, including by the existing and new banks, to help create 18-20 lakh new employees over the next five years.
Besides direct hiring, expansion in banking sector also helps in huge job creation in various support areas, experts say.
With the new banking licences, which are likely to be issued in the first half of 2015, the banking sector is poised to create big career opportunities in the near future.
With only less than 30 per cent of the Indian population having access to bank accounts, top banking firms are looking to expand and venture into the untapped rural markets that have so much potential to boost growth and profitability.
Banking Industry in India
The Indian banking industry is an INR. 64 trillion (US$ 1.17 trillion) market and by current growth rate it will be the third largest in the world by 2025. A healthy growth rate of over 20% projected for the next 2 to 3 years makes it one of the fastest growing sectors in India.
While Retail banking will be the key growth area for banks, other areas like Corporate Credit, SME Banking, cross selling of other financial products and services like Insurance, Mutual Funds, fee-based sources of income and technological up gradation will also be key growth drivers. The stress will be on expansion of branches and financial inclusion.
With an increase in job opportunities, the employees of the Banking Sector can also expect a rise in their pay scales. According to the survey Indian employees are expected to see a salary hike of 10.8 % in 2015. The Banking and Financial sectors in India have traditionally seen higher comparative pay increases, but at a modest 10%, the projected salary increase for 2015 is comparable. If the economy continues to move in the positive direction, the employees in Banking Sector may actually see the promised increment. Now wouldn’t that make Commerce a prosperous career option!
While Retail banking will be the key growth area for banks, other areas like Corporate Credit, SME Banking, cross selling of other financial products and services like Insurance, Mutual Funds, fee-based sources of income and technological up gradation will also be key growth drivers. The stress will be on expansion of branches and financial inclusion.
With an increase in job opportunities, the employees of the Banking Sector can also expect a rise in their pay scales. According to the survey Indian employees are expected to see a salary hike of 10.8 % in 2015. The Banking and Financial sectors in India have traditionally seen higher comparative pay increases, but at a modest 10%, the projected salary increase for 2015 is comparable. If the economy continues to move in the positive direction, the employees in Banking Sector may actually see the promised increment. Now wouldn’t that make Commerce a prosperous career option!
Pursue B.Com (Hons.) and M.Com (Hons.) at Chandigarh University for exciting careers in Banking and Insurance sector. Chandigarh University offers professional UG/ PG courses in Commerce that are required as eligibility to apply for Banking jobs.