Retail banking, also known as consumer banking or personal banking, is banking that provides financial services to individual consumers rather than businesses. It is the provision of services by a bank to the general public, rather than to companies, corporations or other banks, which are often described as wholesale banking. Services offered by retail banks include checking and savings accounts, mortgages, personal loans, credit cards, and certificates of deposit (CDs).

Introduction:
Retail banking refers to the provision of banking services to individual customers in an integrated manner. It focuses on meeting the personal financial needs of individuals and providing them with a range of services such as savings accounts, loans, credit cards, and mortgages. Retail banks primarily serve individuals rather than businesses or other sectors of the economy.

Explanation:
There are several reasons why retail banking is primarily focused on individual customers in an integrated manner:

1. Meeting Personal Financial Needs:
Retail banks aim to cater to the personal financial needs of individuals. They provide various services such as savings accounts to encourage saving, loans to meet short-term and long-term financial requirements, credit cards for convenient payment options, and mortgages to help individuals purchase homes. By offering these services, retail banks assist individuals in managing their finances effectively.

2. Accessibility and Convenience:
Retail banking services are designed to be easily accessible and convenient for individual customers. Retail banks have a wide network of branches and ATMs, making it convenient for customers to access their accounts and perform transactions. Moreover, technological advancements have led to the development of online and mobile banking, allowing customers to access banking services anytime and anywhere.

3. Relationship Building:
Retail banks focus on building long-term relationships with their individual customers. By providing personalized services, understanding their financial needs, and offering tailored solutions, retail banks aim to foster trust and loyalty among customers. This relationship-building approach helps retail banks retain customers and attract new ones through positive word-of-mouth.

4. Risk Diversification:
Retail banks serve a diverse customer base, which helps them diversify their risk. By catering to individual customers, retail banks spread their lending across various sectors and demographics, reducing the risk associated with lending to a single sector or business. This diversification strategy helps retail banks manage their risk effectively and maintain stability.

Conclusion:
Retail banking primarily focuses on providing banking services to individual customers in an integrated manner. By meeting personal financial needs, ensuring accessibility and convenience, building customer relationships, and diversifying risk, retail banks play a crucial role in supporting the financial well-being of individuals.