20 Indian banks among top 500 global banks

Monday, 01 February 2010, 23:23 IST   |    5 Comments
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20 Indian banks among top 500 global banks
New Delhi: In a year that saw several banking majors around the globe collapse, 20 Indian banks have improved their brand value and have made it to the Brand Finance Global Banking 500 list. The State Bank of India (SBI) became the first Indian bank to break into the world's Top 50 list, according to the UK-based Brand Finance study in which HSBC retained the top position for the third consecutive year, reports Economic Times. SBI's brand value more than tripled to $4,551 million from $1,448 million in 2009 helping it get the 36th spot in the list. ICICI Bank was among the top 100 with a 130 percent jump in its brand value at $2,164 million. Other major Indian banks that gained in brand value include IDBI Bank (190 percent), Bank of Baroda (162 percent) and Union Bank of India (148 percent). The cumulative brand value of 20 Indian banks stood at $13,053 million. The 15 Indian banks that figured in last year's list saw a 130 percent rise in their combined brand value. The study used discounted cash flow methodology to arrive at a net present value (NPV) of the trademark and associated intellectual property or the brand value of the banks. The number of Indian banks in the global list had more than tripled last year to 19 from six in 2007. Differentiation through strong brand and customer base value is becoming a key economic lever for Indian banks. This is as true in financial services as in consumer products. The study notes that global banking sector has begun to show tangible signs of recovery, with the world's 500 most valuable banking groups growing by 62 percent in terms of market capitalisation and their brand values cumulatively increasing by 49 percent.

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