The private-sector banks are banks where greater parts of state or equity are held by the private shareholders and not by government.
The private sector banks are split into two groups by financial regulators in India, old and new.
The banks, which were not nationalized at the time of bank nationalization that took place during 1969 and 1980 are known to be the old private-sector banks.
The banks, which came in operation after 1991, with the introduction of economic reforms and financial sector reforms are called new private-sector banks. Banking regulation act was then amended in 1993, which permitted the entry of new private-sector banks in the Indian banking s sector.
UTI Bank Ltd. is the first Private bank established based on the recommendations of the Narasimhan Committee.
UTI Bank Ltd. was established in 1994.