The study empirically examines the origin, history, structure, progress and future challenges faced by Indian banking sector are studied. In India the banking sector consists of public sector banks, private sector banks, foreign banks, co-operative banks and local area banks. But the scheduled commercial banks performance is notable. Therefore the study is concentrated towards the performance of scheduled commercial banks is undertaken which includes –public sector banks, private sector banks and foreign banks. The data collected for the study mainly comprises of books, news papers, magazines, RBI Bulletins and various web sites and the balance-sheet of various banks are considered. The main information for the study is the performance of scheduled commercial banks at the end of 31^st March 2019. The performance is studied like-number branches, number ATMs, amount of deposits, advances, percentage of NPA, profitability and future challenges faced by Indian banking system are studied. The present study is confined to the scheduled commercial banks in India, there were 20 nationalized banks, 21 private sector banks and 36 foreign banks are operating in India as at 31^st march, 2019.The analysis is carried with the help of tables, charts, diagrams etc. The Hindustan Bank was the first bank to be established in 1779, thereafter number of banks established in private sector as well as in co-operative sector. And these banks are played vital role upto1965, the dominance of Nationalized banks started from 1970 onwards after nationalization of 14 largest banks in 1969 and 6 more banks in 1980. All these developments took place as the internet played a major role in connecting all branches of the bank by giving net banking services.

KEYWORDS: Scheduled Commercial Banks, RBI, Foreign Banks, Non-Performance Assets (NPA).