Globalization has been one of the most intensely deliberated subjects in international economics over the past few years. Globalization is the process of interaction among and integration of people, companies and governments of different nations, driven by pulls and pressures from developed economies and aided by the pace of information technology.The reform process is on and Indian banks are in the right direction. They have adopted the best structures, processes and technologies available worldwide and moved from strength to strength. Still, the future poses various challenges for the banking industry. Changes have been taking place and banks have done well so far in taking up these challenges in their stride.The insurance industry has come a long way since the time the business was tightly regulated and concentrated in the hands of a few state-owned public sector companies. The entry of private and foreign companies indicates that India, along with China, will continue to remain the fastest growing market in the world.With increasing globalization, to what extent do stock market returns reflect global or domestic risk factors? We find a significant relationship between stock market returns and the global market risk factor and macroeconomic factors respectively. In many countries (especially in the developed world) savers increasingly diversify their portfolios to include foreign financial assets (foreign bonds, equities, loans) while borrowers increasingly turn to foreign sources of funds along with domestic ones.Globalization means different things to different countries. Within a country, too, globalization means different things to different people and these are the elements of debate and discussion of our book.