NOLEGEIN-Journal of Financial Planning and Management

Navigating the Digital Transformation Landscape: An Exploration of India's Financial Sector Evolution, Challenges, and Opportunities

Pavankumar G Kulkarni, S Baskaran, Amrutha Laxmeshwar, Jyothi G — Wed, 10 Jul 2024 00:00:00 +0000

The advancement of India's financial sector into the digital realm has been propelled by government initiatives, technological advancements, and shifting consumer preferences. This transition has not only widened access to financial services but has also boosted their efficiency and transparency. Embracing digital financial transactions is crucial for fostering financial inclusivity, convenience, transparency, and economic advancement. Such adoption empowers individuals, reduces expenses, enhances security, and aligns with the government's push for digitalization and financial literacy nationwide. Prioritizing digital uptake is likely to remain a key focus in India's endeavours to modernize its financial sector and spur economic progress. The surge in UPI transactions in India owes to its user-friendly nature, compatibility, government backing, security protocols, minimal transaction costs, and widespread acceptance. UPI has revolutionized transaction habits in India and has played a pivotal role in enhancing financial inclusivity and digitalization. Continuous education, robust security measures, and infrastructure enhancements are essential for sustaining the growth of digital financial transactions in India. Moreover, the COVID-19 pandemic has accelerated the pace of digital transactions globally, underscoring the significance of digital payment systems in the contemporary global economy. Despite remarkable growth in digital transactions in India, several challenges such as internet accessibility, cyber threats, technological disruptions, language barriers, and limited computer literacy pose significant obstacles to its further expansion, potentially exacerbating societal disparities

STRATEGIC APPROACH TO MANAGING NEW START- UPS IN AN UNSTABLE ECOMONIC ENVIRONMENT: A STUDY OF STARTUPS IN NIGERIA

Patrick Ugwuegbu Chigoziri, Echendu Ikechukwu, Victoria Nzube Nwafee — Wed, 11 Sep 2024 00:00:00 +0000

The dynamic spark that propels innovation, social progress, and economic change is the startup eco-system. Because they create scalable businesses and pursue audacious ideas and tactics, startups play a significant role in the global economy. But starting a firm is not easy, particularly in an unstable environment with variables like volatility, unpredictability, and complicated rules. This article, which focuses on the Nigerian context, looks at the strategic actions that startups need to take to survive tough times. Nigeria has emerged as a hub for innovative and enterprising endeavors, driven by its youthful populace, extensive internet connectivity, and growing investor attention. While there are many successful Nigerian entrepreneurs, they also confront many obstacles, such as inadequate infrastructure, scarce capital, and legal constraints. Using concepts from strategic management practice and actual experience, the essay illustrates techniques for navigating uncertainty for startup resilience and crisis success. Among the tactics are automating processes to increase productivity and reduce costs, diversifying currencies to hedge against exchange rate swings, and carefully handling finances to guarantee sound financial standing. An examination of the Nigerian fintech startup Flutterwave demonstrates how businesses can thrive during uncertain economic times by proactively planning and putting the needs of their clients first. The unique way that Flutterwave processed payments, its astute alliances with important parties, and its unwavering dedication to providing clients with value were the things that provided it a competitive advantage.

Financial Accounting Practices of Micro, Small, and Medium Enterprises (MSMEs) in Maharashtra, India: A Case Study

Mr.Sadik Abdulsattar Naikwadi, — Mon, 01 Jul 2024 00:00:00 +0000

In Maharashtra, India, Micro, Small, and Medium-Sized Enterprises (MSMEs) are fundamental for the economy since they give occupations, convey pay, battle neediness, and lift sends out. To guarantee impartial and reasonable advancement in the state and to advance grassroots monetary development, their effect on business, industry, and the country economy is fundamental. Accounting assumes a fundamental part in corporate tasks by offering a financial outline that works with dynamic on the present and expected future strength of organizations. With MSMEs assuming such an imperative part in Maharashtra's economy, this turns out to be significantly more significant. There is an observable disparity between accounting hypothesis and genuine practices, by and by, as confirmed by the limitations in the execution of accounting procedures in MSMEs in Maharashtra and all through India. This exploration article endeavours to analyse the accounting practices followed by MSMEs in Maharashtra, India, considering the significance of keeping exact books of records and following sound accounting standards for proficient financial administration in MSMEs. To give light on the current state of accounting practices inside the MSME area in Maharashtra and to offer experiences for future enhancements, the review will gather information through reactions to an organized meeting plan. The Maharashtra State Chamber of Commerce and Industries (MSCCI) and the Institute of Chartered Accountants of India (ICAI) could cooperate to organize the executives and financial record-continuing to prepare programs that are custom-made particularly for MSME chiefs and owners to resolve these issues. To give members the capacities and information expected to dissect financial information, screen business execution, and use sound judgment for long haul development, these projects should go past basic accounting.

Exploring the Role of Cognitive Biases in Retirement Savings and Investments in select districts of Telangana

Nasika Lakshmi — Tue, 17 Sep 2024 00:00:00 +0000

Planning a secure retirement requires clear thinking, but our brains have built-in shortcuts called cognitive biases that can lead us to confusion. Overconfidence might make us take on too much risk, while fearing losses could keep us in low-growth investments. We might favour information that confirms our existing beliefs, blindly follow the crowd, or prioritize immediate gratification over long-term savings. This study investigates the influence of cognitive biases and behavioural finance principles on retirement savings and investment decisions in Telangana, India. The research focuses on Hyderabad and select districts, allowing for an exploration of how socio-economic factors interact with these financial decision-making processes. A questionnaire is used to gather data on demographics, financial literacy, and how individuals perceive various cognitive biases impacting their saving behaviour. The questionnaire also explores how these biases influence investment choices for retirement planning. The findings aim to provide insights into how cognitive biases shape financial behaviors and the importance of incorporating behavioural finance principles into financial planning and advisory services. This study is expected to contribute to the understanding of behavioural finance in the context of retirement planning and highlight the need for tailored financial education programs to mitigate the adverse effects of cognitive biases. The goal of this study is to provide valuable insights to policymakers, financial educators, and advisors about the significant role cognitive biases play in retirement planning. By understanding and addressing these biases, the aim is to enhance how individuals approach their retirement savings and investment decisions, ultimately leading to more secure and favorable financial outcomes for everyone

BUSINESS PERFORMANCE OF THE MSME’s IN SRIKAKULAM DISTRICT OF ANDHRA PRADESH

Tarakeswara Rao. Sivvala — Mon, 16 Sep 2024 00:00:00 +0000

MSMEs, or micro, small, and medium-sized enterprises, are the catalyst for economic expansion that supports fair development. The industry's main benefit is its inexpensive capital cost employment potential. Compared to companies, the MSME sector has a significantly higher labour intensity. Enterprise performance evaluation should consider several kinds of factors, including future potential and social advantages of the company in addition to the financial standing of the marketing at this point in time. It is imperative for including both the efficacy and efficiency of operations into the reflection. The majority of the items we use on a regular schedule these days are produced by MSMEs. MSMEs contribute to the development of rural infrastructure, raising rural residents' standards of life and establishing jobs through the use of indigenous technology, the creation of intermediate technology, and an expansion of the governments and private sector's income base. In this sense, the current investigation is an attempt to examine the performance of MSMEs that successful entrepreneurs are using to contribute to the development of any area.

An Introspection of the India Reforms in the Banking Sector

Shiddaramareddy, Chitra C. N, Rajith Kumar H B — Fri, 05 Jul 2024 00:00:00 +0000

The essential job of banks is to offer monetary types of assistance to their clients, which incorporates store records, advances, and Visas. Banks likewise assume an essential part in working with global exchange and venture by giving unfamiliar trade administrations. Nationalized banks are a significant piece of the financial framework in India. They are claimed by the public authority and work with the goal of advancing monetary turn of events and monetary consideration. These banks provide a great many services to meet the different requirements of their clients. In India, aside from nationalized banks, confidential area as well as unfamiliar banks is additionally usable. These banks offer creative items and services and have been instrumental in driving competition and development in the financial area. The job of banks is extremely pivotal in preparation of reserve funds, the distribution of capital, and giving of credit both individuals and corporate. In this manner, the condition of the monetary framework that is constrained by the banks straightforwardly influences the condition of the economy. Out of the quantity of variables that affect the exhibition of the financial framework, a few key elements are the monetary development, expansion rate, loan costs, and government strategies and guidelines. The motivation behind the proposed study is to look at and break down the different financial area changes and their belongings. A portion of the key drives that have been taken by banks in India to fortify their tasks incorporate the reception of innovation and development, further developing client experience, and improving their computerized capacities. Banks have likewise pursued expanding monetary incorporation by extending their compass to underserved regions and offering new items and administrations to address the issues of a different client base.

Reliance Industries Limited: Financial Statement Analysis

Jatinder Kaur, Monisha Gupta , Vivek — Sat, 07 Sep 2024 00:00:00 +0000

The comparative analysis of RIL's financial performance using ratios revealed a decline in the company's net profit margin from 2022 to 2023, indicating reduced profitability. However, the return on investment (ROI) improved slightly, reflecting better returns on invested capital. The company maintained a stable current ratio during this period, suggesting consistent ability to meet short-term obligations. Meanwhile, the asset turnover ratio significantly decreased, indicating lower efficiency in utilizing assets to generate sales. While the company's revenue, profitability, and operational efficiency increased, careful management of expenses is necessary to ensure long-term profitability. To gain a comprehensive understanding of RIL's financial health, additional financial statements and ratios should be analysed. Despite fluctuations, RIL experienced growth in income, profitability, and operational efficiency. However, maintaining strict cost control remains essential for sustaining long-term success. This analysis underscores the importance of examining multiple financial statements and ratios to form a complete picture of RIL's financial health and performance trajectory. By conducting a more detailed analysis, stakeholders can better assess the company's strengths, weaknesses, and areas for improvement, enabling more informed decisions regarding investment and strategic planning

Performance evaluation of distinct Categories of Mutual Funds

Meghna Jain, Ms. Sonam Budhrani — Fri, 21 Jun 2024 00:00:00 +0000

A mutual fund is only such an investment which is offering diverse types of products which could satisfy all the kinds of investors based on the risk and return level. For creating more wealth, it is especially important that investors in India prefer not only the traditional investment options like fixed deposit savings account etc. They should move ahead towards Mutual Funds, which is offering many products which are based on different risk levels of the customers. The equity Mutual Funds involve a lot of which may or may not be successful in the long term. The highest AUM is of ICICI Prudential Bluechip Fund. The highest standard deviation is of Taurus Large cap Equity Fund and lowest Sharpe ratio is of Taurus Large cap Equity Fund. For calculation of Sharpe Ratio, risk free rate that has been considered is 4.09% and the risk-free rate has been considered based on 91-day T-Bill. As represented in the study, among Flexi cap mutual funds, the highest 1-month return is of Quant Active Fund, highest 3-month return is of HDFC Flexi Cap Fund, highest 6-month return is of Quant Active Fund, highest 1 year return is of HDFC Flexi Cap Fund and highest 3 years return is of Quant Active Fund.

Assessing the Impact of Demonetization on India's Cashless System: A Comparative Study

P. K. Bajpai, Nitesh Dubey, R.K. Khatik — Thu, 05 Sep 2024 00:00:00 +0000

This study compares online and offline banking habits, economic outcomes, and digital transactions to investigate how India's 2016 demonetization affects the nation's transition to a cashless economy. The goal of the abrupt elimination of the ₹500 and ₹1,000 notes was to promote the usage of digital payments and fight black money. The results show a significant increase in digital transaction volumes and quantities after demonetization, indicating enhanced financial inclusion and a tendency toward cashless purchases. The statistics show a notable rise in the use of credit/debit cards, internet banking, and mobile wallets, which can be linked to government initiatives and the introduction of the Unified Payments Interface (UPI). Despite the progress, new problems such as infrastructure limitations and cybersecurity risks emerged. The paper highlights how demonetization might speed up the adoption of digital payments and shows that this trend cannot be sustained without ongoing breakthroughs in infrastructure and security. The study emphasizes how demonetization has sped up the shift toward cashless transactions, but it also makes the case that ongoing developments in digital infrastructure, financial literacy, and improved security measures are necessary to keep people safe and preserve systemic trust. The paper also explores how these modifications have influenced more general economic results, such as modifications in spending habits, a decrease in the use of cash, and the development of a more open financial system in India.

The Evolution of the RBI Governor's Role: A Comparative Analysis Pre- and Post-MPC Constitution

Nilesh Narayan Prasad — Thu, 12 Sep 2024 00:00:00 +0000

The Reserve Bank of India (RBI) has been a cornerstone in India's economic framework since its inception in 1935. The RBI Governor has historically wielded significant autonomous power in shaping monetary policy. This research examines the evolution of the RBI Governor's role before and after the establishment of the Monetary Policy Committee (MPC) in 2016. The MPC was introduced to enhance the transparency, accountability, and credibility of monetary policy decisions by incorporating a committee-based decision-making process. This study employs a mixed-methods approach, combining historical analysis and empirical data evaluation to provide a comprehensive understanding of the changes in the RBI Governor's role and its implications on monetary policy. Primary data is collected through semi-structured interviews and surveys with RBI officials, policymakers, and financial experts. Secondary data is sourced from academic literature, official documents, and reports. The findings reveal significant shifts in the governance and effectiveness of monetary policy post-MPC. The collaborative nature of the MPC has led to more balanced and well-considered decisions, resulting in more consistent and predictable policy outcomes. Enhanced transparency and accountability have been achieved through the publication of meeting minutes and voting patterns. However, the need for consensus among committee members can slow down decision-making and reduce the agility required to respond to rapidly changing economic conditions. The comparative analysis highlights the differences in the RBI Governor's autonomy, authority, and influence pre- and post-MPC. The transition from a centralized to a collaborative framework has brought about positive changes but also introduced challenges that require ongoing evaluation and refinement. This research contributes to the broader discourse on central bank independence and the effectiveness of monetary policy governance. It provides valuable insights for policymakers, economists, and scholars in understanding the dynamics of central banking and its impact on economic management in India.

An Overview on Digitalisation & Financial Inclusion of Self-Help Groups in India

Pradeep, Chaithra. N — Tue, 20 Aug 2024 00:00:00 +0000

Digitalization empowers money related consideration by conveying cost-saving money related administrations inside a shorter period by employing an advanced stage to get to manage an account and budgetary services. The present article could be a basic survey as well as a quantitative inquire about plan. It decides how digitalization is playing a part of catalyst in empowering SHGs to perform better way. The widespread lack of funding available at the local level in rural India is one of the causes of this underdevelopment. Microfinance developed as a substitute credit system because it was thought that the official credit institutions could not meet the needs of the underprivileged. By utilizing technology to give the underprivileged access to financial services, this has gained even more attraction. This paper will examine the ways in which financial inclusion has been impacted by digitization and the different issues that need to be resolved in order to increase its effectiveness. Additionally, it emphasizes the diverse digital platforms that encourage SHGs to transition from manual record-keeping to a digitalized data repository, resulting in improved decision-making and performance. The study would shed light on the potential effects of microfinance.

Risk and return analysis of selected Large Cap mutual funds.

Dr Meghna Jain, Mrs. Deepti Bhatia — Sat, 15 Jun 2024 00:00:00 +0000

Every mutual fund is based on a particular objective, which could involve assets like equity, debt, or other types. Each fund has an associated return and risk. Mutual funds are trusts that collect money from different investors who share the same investment objective. The main aim of the investors should align with the objectives of the fund they choose. There are various types of funds available from Asset Management Companies (AMCs), and it depends on the customers to determine which mutual fund best suits them based on their investment horizon, risk and return preferences, investment plan, and the term for which they will remain invested. This study aims to understand the concept of mutual funds and their types, examine the returns of selected large-cap mutual funds, and estimate the risks involved in different large-cap mutual funds. Through an examination of these facets, the research aims to provide significant understanding into the workings of large-cap mutual funds, assisting investors in making well-informed investment decisions. Investors can better match their investing strategies with their financial goals and risk tolerance by being aware of the inherent dangers as well as the potential benefits connected with these products. For individuals considering investing in large-cap mutual funds, this research is crucial since it gives a more accurate idea of what to anticipate in terms of risk management and performance.

CUSTOMER SATISFACTION TOWARDS ATMs AND CDMs SERVICES – A STUDY ON HDFC BANK, HYDERABAD CITY

P. VENKATAIAH — Thu, 22 Aug 2024 00:00:00 +0000

Customer Satisfaction Survey of Housing Development Finance Corporation (HDFC) Automated Teller Machine (ATM) and Cash Deposit Machine (CDM) services in Hyderabad city aims to analyse and evaluate the satisfaction of customers using these services. Through a comprehensive survey, data will be collected from HDFC Bank customers in Hyderabad City to measure their satisfaction with various aspects such as accessibility, convenience, reliability, security, and overall quality of service provided at the ATMs and CDMs. By understanding the factors that influence customer satisfaction or dissatisfaction with its services, HDFC Bank can identify areas for improvement and enhance its offering to better meet the needs and expectations of its customers in Hyderabad. This study provides HDFC Bank with valuable information on ATM and CDM services to improve customer relations in the region. Additionally, the research will investigate the relationship between customer happiness and variables like how frequently a machine is used, how well-informed customers are about its features, and how supportive HDFC Bank employees are when problems arise. Through the identification and analysis of the critical elements influencing customer happiness or discontent, HDFC Bank will be able to define the precise areas in which service enhancements are required. The study's conclusions will not only assist HDFC Bank in enhancing and streamlining its CDM and ATM offerings, but they will also offer doable tactics for enhancing client loyalty and relations in the Hyderabad area. The bank's efforts to better match its services to the changing needs and expectations of its clientele will be greatly aided by the results, which will guarantee increased customer satisfaction and long-term retention.