The role of investment banking in economic development of India: Past, Present and Future

Abstract

An Investment Bank is a financial intermediary between an investor and an issuer and helps companies and large institutions in raising capital. Large businesses, institutions, and individuals use them for consulting services. Investment banks help institutions and private investors underwrite new debt and equity securities, assist in the sale of securities, and arrange mergers and acquisitions (M&A). For the tasks and services, they provide, investment banks have grown in importance in the capital markets. The study's goal is to discover the services they provide that have made them essential, as well as the problems they face now and in the future. Technology will be the largest threat for investment banking, as the world is heading towards a FinTech environment. Until the epidemic struck the whole economy, there was steady growth in the world's leading banks. Banks seek to expand in the future, and it is estimated that annual growth will average 8.4% during the next decade.