A hundred years is, indeed, a landmark event in the history of an institution and as Corporation Bank celebrates its centenary, it joins the rank of the ‘venerables’. The establishment of the Corporation Bank with its humble beginnings in 1906 was during an eventful period in India’s economic history.
Third, the currency appreciation associated with a higher path for interest rates could have encouraged extra borrowing by risk-taking entrepreneurs since the capacity to increase leverage in foreign currencies through loans collaterised against domestic assets would have been enhanced (Bruno and Shin 2015).