Now Reading: Amit Shah tells urban cooperative banks to join NUCFDC
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Amit Shah tells urban cooperative banks to join NUCFDC
Union Home and Cooperation Minister Amit Shah on Saturday inaugurated the new office of the National Urban Cooperative Finance and Development Corporation (NUCFDC) in Mumbai and urged all 1,400 urban cooperative banks…
The Story in Brief
Union Home and Cooperation Minister Amit Shah on Saturday inaugurated the new office of the National Urban Cooperative Finance and Development Corporation (NUCFDC) in Mumbai and urged all 1,400 urban cooperative banks (UCBs) to join the umbrella body for technological support and to boost depositor confidence. Shah said the RBI has proactively helped the sector by liberalising branch openings, raising gold loan limits, allowing doorstep banking, and appointing a dedicated nodal officer.
The RBI, after a pause of over two decades, has decided to resume issuing licences to UCBs. Shah noted that UCBs hold deposits of about Rs 6 lakh crore, with Maharashtra alone housing 449 banks. He added that NUCFDC will provide software like Mule Hunter, training, and guidance on RBI compliance.
The Indian Opinion
The usual narrative pits a strict RBI against plucky cooperatives, but Shah's speech shows the regulator has eased norms. At the same time, blindly backing all UCBs without enforcing transparency is risky. The real test is whether all 1,400 UCBs actually join NUCFDC and adopt the promised technology, not just in Maharashtra but across the country.
Sources (3): thehindu.com, businesstoday.in, ndtvprofit.com
This story was synthesised by AI from the 3 sources linked above.
Updated: this story now draws on 3 sources.
