Impeding Factors in Banking Services: a Study of Manipur, India

Abstract

In recent times, Indian Banking Industry has endured significant pressures in terms of development in products and services delivery. Many areas in banking Industry have changed and continued to modify their landscape. But challenges still remain in the outreach of their services. The purpose of this paper to find out the factors impeding the delivery of banking services in Manipur. From all the Public and Private Scheduled Commercial Bank of the state, 47 bank branches from six district of the state were selected as sample size using stratified purposive sampling techniques. Primary data were collected using structured questionnaires using five-point scale for official and conduct informal discussion with the local people. The results of the study reveal that from both methods, ‘Customer Financial Knowledge Factor' was most challenges factor face by banking institution while trying to delivered their banking service, next is ‘Geographical Physical Infrastructure Factor'. For opening new branch in unreached area, the most influencing factors is the population size of the area. In terms of cost factors, the study found that recurring cost are the most influencing factors.