If this is done then 80% people of India will develop in reality, unemployment and poverty will be abolished and standard of living of common people will come up. At present, nationalized banks have huge amount of deposits which they lend to multi millionaire and more recently to foreign companies who are using such huge funds to establish and run their huge commercial enterprises for the sole purpose of exploiting our country. Instead of this present system, if nationalized banks are compelled to lend their finance at least 80% to rural cottage industries and small scale industries in villages, the stream of wealth will be diverted to villages, generation of wealth will be in the villages and development of rural cottage industries will not be hampered for want of finance. So major difference will be that at present all the money with the Banks are utilized for the exploitation of the country by big companies and multination companies, for increasing poverty in the country, for increasing unemployment in the country etc, the same amount of money with the Banks will be utilized for creating employment in villages, for creating wealth in the villages, for reducing disparity in the villages, for development of cottage industries and villages and thus this amount will be used for real development of the country.
But we should think, why huge amounts of deposits are collected by the nationalized banks ? Any such system enabling to collect huge amount of deposit is unjust and not beneficial to the country. So present arrangement of nationalized banks where savings of crores of people are collected in the few hands and it is grossly misused to suck the blood of our country is wrong, dangerous and harmful for the common people of India. So smaller local independent banks should be encouraged so that saving of village can remain in the village and the saving of the village can be utilized for the benefit of the village. In present nationalize banks, there are vested interests of trade unions of bank employees which have grossly affected the efficiency of the Banks. Their vested interests should be abolished and it should be made possible to discharge the bank employees who does not work properly. Until this is done, our nationalized banks are not doing any service to the common people.