UNIT I
Money: Meaning and definition, features, functions and kinds/forms of money; Supply of
money: mechanics of money supply, Measures of money supply in India. Demand For
Money: Factors determining demand for money, Fisher, Cambridge, Keynesian and
Freidman theories of money. Rate of Interest: Meaning and Definition, Determination,
Factors affecting the level and structure of Interest Rates. An overview of interest rate
structure in India.
Introduction to Money Markets, Type of money market securities traded in India,
Characteristics of Indian Money Market, its strengths and weaknesses.
UNIT II
Banking: Introduction, Types of banks, Functions, safety-liquidity-profitability trade off;
Central Banking: Functions and techniques of credit control. Monetary policy: Objectives,
Targets and indicators. Reserve Bank of India: Role and Functions. Commercial Banking in
India; structure and functioning; Role of Commercial Banks in Economic Development.
Banking Sector Reforms in India and Latest Developments in Banking Sector in India.
Prudential Norms for Income Recognition, Provisioning for Bad and Doubtful Debts, Capital
Adequacy and concentration of credit/Investments.
UNIT III
Innovations in Banking: Internet Banking, E-Banking, Mobile banking, Wholesale and
Retail Banking, Universal and Narrow Banking, Off-shore Banking. Asset. Classification,
Non-Performing Assets. International Trade: Meaning, features, importance and
implications for the developing countries. India’s foreign trade policy during the post
reforms. Composition and recent trends in foreign trade with special reference to India.
Balance of payments situation during the post reform period. Recent changes in India’s
export and import policies. Organizations and institutions involved in export and import
management.
UNIT IV
Regulation of International Trade in India. EXIM Policy and Foreign Exchange Management
Act (FEMA), 1999. Introduction to General Agreement on Tariffs and Trade (GATT)/World
Trade Organisation (WTO): Trade Related Investment Measures (TRIMS) and its
implications; Agreement on Agriculture (AOA) and its implications ; General Agreement on
Trade in Services (GATS) and its implications; Trade Related Intellectual Property Rights
(TRIPS) and its implications with special references to India. Recent Development under the
Ministerial Conferences.