MONEY AND BANKING

Paper Code: 
CFSG 403
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course outcome (COs):

Learning outcome

 (at course level)

Learning and teaching strategies

Assessment Strategies

On the completion of this course, the students will be able to :

 

CO 86: Critically evaluate the importance of money and various other instruments used as near money instruments principles of note issue.

CO 87: Comprehend various factors affecting the demand and supply of money in an economy and evaluate various policy measures adopted by the central bank to manage the money supply.

CO 88: To develop relevant knowledge about the Indian banking system and Compare the Different Types Of Products And Services And Third Party Products Offered By Various Banks.

CO 89: Differentiate between various innovative banking channels and to select the appropriate payment mechanism for the effective transfer of funds.

CO 90: Analyze the features of various negotiable instruments used in banking and to evaluate their role in effective fund transfer and discharge of debt obligation

Approach in teaching: Interactive Lectures, Discussion, Tutorials, Practical cases Demonstration, Power point presentation.    

 Learning activities for the students:                              Self learning assignments, Effective questions, Seminar presentation, Live practical problems analysis

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

 

12.00
Unit I: 
Money:

 

  • Meaning, Types, Functions, Importance, and Evils of Money.
  • Money and a Near Money- comparison.
  • Concept of Velocity and Value of Money.
  • Measurement of change in the value of money.
  • Central Bank- Structure, organization, and Functions of RBI

 

12.00
Unit II: 
Demand for and Supply of Money:

 

  • Factors affecting the demand for money.
  • Supply of Money- Determinants of Supply of Money.
  • RBI’S measure of the money stock. Narrow Money and Broad Money,
  • New monetary aggregates, Liquidity aggregates.
  • Monetary Policy of India

 

12.00
Unit III: 
Banks:

 

  • Meaning, Types of Banks, Functions.
  • Banking Products and Services –Types of Deposits,
  • Third-party products offered by banks.
  • Types of loans and advances offered by banks- Securities for banker's advances and Loans-
  • Modes of Charging Securities Lien, Pledge, Mortgage, Hypothecation, etc

 

12.00
Unit IV: 
Banker- Customer Relationship-

 

·       Types of relationships,

·       Banker’s rights and duties, garnishee order.

·       Innovative Banking - Meaning, Significance and Features

·       Channels of Banking - ATM, internet, mobile, phone banking, POS

Payment mechanism of Banks - cheques, demand drafts, plastic cards NEFT, RTGS, IMPS, SWIFT, ECS, payment wallets

12.00
Unit V: 
Negotiable Instruments

 

  • Promissory note, Bills of Exchange, and Cheque. - Concept, Feature, Parties, and Types.
  • Endorsement – Meaning and Types.
  • Presentment and acceptance: - Meaning, Purpose (acceptance, sight & Payment) Time, and place of Presentment.
  • Banking Regulation Act

 

Essential Readings: 
  • D.M. Mithani, Mone , Banking, International trade and Public Finance
  • T R Jain Money and Banking, V K Global Publication Pvt Ltd
  • Tandon and Mathur Money and Banking Shivam Publication, Jaipu
  • P.N. Varshney, Banking law and Practice, Sultan chand and Sons, Delhi

 

 

References: 

 

  • Mithani.D.M, Money,Banking,International Trade and Public Finance., Himalayan Publication, New Delhi
  • B.S. Khubehandani, Practice and Law of Banking, MacMillian India Limited
  • Jain, Khanna, Tiwari, “ Banking and Public Finance” V.K India Enterprises, New Delhi.

 

E- RESOURCES:

REFERENCE JOURNALS

  • Journal of Money, Credit and Banking
  • The Review of Economic Studies
  • Journal of Monetary Economics
  • International Journal of Monetary Economics and Finance

 

Academic Year: 
2023-2024
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