From May 1, there will be only one Regional Rural Bank (RRB) in every state of the country. To implement this proposal, the Finance Ministry has issued a notification regarding the integration of 15 regional rural banks in 11 states. This will be the fourth phase of the integration of regional rural banks, after completion of which the number of RRBs will be reduced from the current 43 to 28.

According to the notification of the Finance Ministry, the regional rural banks present in 11 states of the country - Andhra Pradesh, Uttar Pradesh, Bengal, Bihar, Gujarat, Jammu and Kashmir, Karnataka, Madhya Pradesh, Maharashtra, Odisha and Rajasthan will be merged into one entity.

In this way, the goal of 'one state-one RRB' will be realized. According to the notification, the effective date of the merger of these regional rural banks has been fixed as May 1, 2025. By the powers given under Section 23A (1) of the Regional Rural Banks Act, 1976, these RRBs will be integrated into a single entity. In the same sequence, Chaitanya Godavari Gramin Bank, Andhra Pragati Gramin Bank, Saptagiri Gramin Bank and Andhra Pradesh Gramin Vikas Bank sponsored by Union Bank of India, Canara Bank, Indian Bank and State Bank of India will be merged to form Andhra Pradesh Gramin Bank.

Three RRBs each present in Uttar Pradesh and Bengal will also be merged into a single entity. -The regional bank will have an authorized capital of Rs 2,000 crore. Baroda UP Bank, Aryavart Bank, and Prathama UP Gramin Bank present in Uttar Pradesh have been merged into a unit named Uttar Pradesh Gramin Bank, which will be headquartered in Lucknow under Bank of Baroda.

Bangiya Gramin Vikas, West Bengal Gramin Bank and North Bengal Regional Rural Bank operating in Bengal will be merged into West Bengal Gramin Bank. Apart from this, two RRBs each in eight states of the country - Bihar, Gujarat, Jammu and Kashmir, Karnataka, Madhya Pradesh, Maharashtra, Odisha and Rajasthan will be merged into one.

South Bihar Gramin Bank and North Bihar Gramin Bank will be merged to form Bihar Gramin Bank, whose headquarters will be in Patna. In Gujarat, Baroda Gujarat Gramin Bank and Saurashtra Gramin Bank will be merged to form Gujarat Gramin Bank. According to the notification, all regional rural banks will have an authorized capital of Rs 2,000 crore.

Disclaimer: This content has been sourced and edited from Dainik Jagran. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.