THE RELEVANCE OF FINANCIAL REPORTING INFORMATION SYSTEM IN BANKING INDUSTRY

This article examined to know the qualitative characteristic (Relevance) of financial reporting information by public Sector Banks and private Sector Banks, A comparative analysis of Relevance item by the Public Sector and Private Sector Banks is undertaken in the present study. More specifically, using 14-items index based on the Relevance of qualitative characteristics. The present study is purely based on primary data. The information relating to the Relevance characteristic of financial reporting information rendered by Public Sector Banks & Private Sector Banks is collected through structured questionnaires. The study focuses on the Public Sector Banks and Private Sector Banks in India (Karnataka). Bank of Maharashtra, Canara Bank, Central Bank of India, Vijava Banks and State Bank of Mysore in Public Sector Banks and HDFC Bank, ICICI Bank, Axis Bank, Karnataka Bank and ING Vysya Bank in Private Sector Banks are selected for the purpose of analysis. The questionnaire incorporated two sections and 14 questions about relevance, the first section to include Predictive value items it consists of 10 questions and the second section encompasses confirmatory value items of 4 questions. Our results showed that on the average the total relevance scores in financial reporting information in the Private Sector Banks was higher than the related scores in financial reporting information in the Public Sector Banks.