Comparative Analysis of Financial Health of Selected Banks in India: A Camel Framework Approach

Abstract

The study aims to conduct a comparative analysis of the financial health of selected banks in India using the CAMEL framework. The research focuses on evaluating the financial stability and operational efficiency of major banks. By analyzing financial data spanning five years (2019–2024), the study aims to provide insights into how these banks manage capital, assets, liquidity, and profitability, as well as the role of management quality in determining overall financial health. The research will explore key indicators such as Non-Performing Assets (NPAs), Capital Adequacy Ratios (CAR), profitability ratios (ROA, ROE), and liquidity ratios to assess the banks' resilience and growth potential in a dynamic economic environment. By comparing the performance of public sector and private sector banks, the study seeks to identify their respective strengths, weaknesses, and risk management strategies, contributing valuable insights to investors, policymakers, and banking professionals. Ultimately, the research aims to provide a deeper understanding of how both categories of banks navigate financial challenges and capitalize on opportunities, ensuring long-term sustainability in the evolving Indian banking sector.