We bring to you the August 2010 issue of Indian Journal of Finance. You would be happy to know that Indian Journal of Marketing, Indian Journal of Finance and Prabandhan: Indian Journal of Management are now listed in Cabell’s Directory of Publishing Opportunities, Ulrich’s International Periodicals Directory, USA and also in EBSCO database. All the three journals are also listed on Amazon.com. Indian Journal of Finance and Prabandhan: Indian Journal of Management are also listed with the Journal of Economic Literature (JEL) and EconLit. We have also joined the Facebook and Twitter communities- all readers and patrons are requested to follow us on Facebook and Twitter for enhanced interaction and for sending us your comments, suggestions and feedback.

Agriculture and rural development form an integral part of India’s development strategy even in these days of electronic and telecommunication revolution. It is needless to emphasise that credit is a vital input for accelerating the pace of development of the rural economy through financing of agriculture and allied activities. Regional Rural Banks, which appeared on the banking map of the country in 1975, have now become one of the main planks of the organised rural credit structure. These banks are State-sponsored, regionally-based and rural-oriented, functioning specifically to meet the credit needs of the weaker sections of the rural population, including small and marginal farmers, landless labourers, rural artisans and small businessmen. The research paper, “Regional Rural Banks (RRBs) : Performance Analysis” evaluates the performance of Regional Rural Banks in Tamil Nadu through growth rates of deposits, advances, incomes, expenditures and profits. Further, this research compares the deposits, advances, incomes, expenditures and profits of RRBs in Tamil Nadu among themselves and with the RRBs at the National level.

Reverse Mortgage (RM) is an agreement by which a home owner borrows against the home and receives regular tax free payments from the lender. It is a way to borrow against one's house to create a regular stream of income while continuing to live in that house. The paper, “A Study On Reverse Mortgage Of SBI” explains the concept and process of RM. The scope of the study also covers the Reverse Mortgage offered by State Bank of India (SBI).

Concession period is an important factor for a Build Operate and Transfer (BOT) project. It depends on several factors like Debt Equity Ratio, Government subsidy, Minimum and maximum FIRR of project, promoter and Level of Service. The paper, “Technical And Financial Parameters Effect Concession Period: A Study” uses a real case study to determine the variation of concession periods.

In the post independence era, the newly elected Government of our country felt the need for rapid industrialization and to rebuild the nation from its under developed state caused by the British rule. With this end in view Government took the lead and introduced five year plans to achieve progress in industry, agriculture, health, education and many other allied sectors contributing to economic development. Governments at central and state level set aside a large portion of its resources for the purpose of promoting Public Sector Undertakings (PSU) which are owned and controlled by the Government. The research paper, “Disinvestment Of Public Sector Undertakings In India-An Impact Study” has endeavoured to study the impact of disinvestment and the modes of disinvestment on the financial performance of Public sector undertakings with a view to provide inputs for policy formulations in the area of disinvestment .


The global financial crisis contagion sprouted out into serious risk aversion the world over, leading to a severe liquidity crunch transcending all the surmountable boundaries. The paper, “Managing Crisis To Recovery: The Road Ahead For India” analyzes the effect of the sub-prime crisis on the Indian economy. It will focus on export, import, external borrowings, FII, credit creation by banks, etc. and will further quote the measures adopted by RBI to cope up with the situation.

Financial risk reflects the incidence of fixed financial costs, such as interest, lease rent and so on and their effect on the fluctuation of income that flows to investors. The present study, “Significant Level of Financial Risk On Capital Structure” has intended to identify the background of financial risk on capital structure, to analyze the role of financial risk on capital structure decisions of selected industries and to offer suggestions for solving the problems and enhance the capital structure decisions of the selected industries.

Mrs.S.Gilani
Editor, Indian Journal of Finance