Govt Merges 26 RRBs Under ‘One State One RRB’ Plan
ECONOMY & POLICY

Govt Merges 26 RRBs Under ‘One State One RRB’ Plan

The Department of Financial Services (DFS) has announced the merger of 26 Regional Rural Banks (RRBs) across 10 states and one Union Territory, following the “One State One RRB” principle. This marks the fourth phase of RRB amalgamation in India.

The move comes after earlier consolidations showed improved efficiency in operations. In November 2024, the Ministry of Finance proposed the current merger plan and held consultations with key stakeholders before moving forward. The latest phase focuses on enhancing scale efficiency and optimizing costs across the rural banking network.

Before the merger, 43 RRBs operated across 26 states and 2 Union Territories. With the new changes, the number will come down to 28, while the overall network will still serve over 22,000 branches across 700 districts—around 92 per cent of which are in rural or semi-urban regions.

The merger is part of a long-term consolidation effort. In Phase 1 (2006–2010), the number of RRBs was brought down from 196 to 82. Phase 2 (2013–2015) saw further reduction to 56, and Phase 3 (2019–2021) brought the total to 43. This latest round continues the government’s focus on strengthening rural banking through strategic consolidation.

The Department of Financial Services (DFS) has announced the merger of 26 Regional Rural Banks (RRBs) across 10 states and one Union Territory, following the “One State One RRB” principle. This marks the fourth phase of RRB amalgamation in India. The move comes after earlier consolidations showed improved efficiency in operations. In November 2024, the Ministry of Finance proposed the current merger plan and held consultations with key stakeholders before moving forward. The latest phase focuses on enhancing scale efficiency and optimizing costs across the rural banking network. Before the merger, 43 RRBs operated across 26 states and 2 Union Territories. With the new changes, the number will come down to 28, while the overall network will still serve over 22,000 branches across 700 districts—around 92 per cent of which are in rural or semi-urban regions. The merger is part of a long-term consolidation effort. In Phase 1 (2006–2010), the number of RRBs was brought down from 196 to 82. Phase 2 (2013–2015) saw further reduction to 56, and Phase 3 (2019–2021) brought the total to 43. This latest round continues the government’s focus on strengthening rural banking through strategic consolidation.

Next Story
Equipment

Handling concrete better

Efficiently handling the transportation and placement of concrete is essential to help maintain the quality of construction, meet project timelines by minimising downtimes, and reduce costs – by 5 to 15 per cent, according to Sandeep Jain, Director, Arkade Developers. CW explores what the efficient handling of concrete entails.Select wellFirst, a word on choosing the right equipment, such as a mixer with a capacity aligned to the volume required onsite, from Vaibhav Kulkarni, Concrete Expert. “An overly large mixer will increase the idle time (and cost), while one that ..

Next Story
Real Estate

Elevated floors!

Raised access flooring, also called false flooring, is a less common interiors feature than false ceilings, but it has as many uses – if not more.A raised floor is a modular panel installed above the structural floor. The space beneath the raised flooring is typically used to accommodate utilities such as electrical cables, plumbing and HVAC systems. And so, raised flooring is usually associated with buildings with heavy cabling and precise air distribution needs, such as data centres.That said, CW interacted with designers and architects and discovered that false flooring can come in handy ..

Next Story
Infrastructure Urban

The Variation Challenge

A variation or change in scope clause is defined in construction contracts to take care of situations arising from change in the defined scope of work. Such changes may arise due to factors such as additions or deletions in the scope of work, modifications in the type, grade or specifications of materials, alterations in specifications or drawings, and acts or omissions of other contractors. Further, ineffective planning, inadequate investigations or surveys and requests from the employer or those within the project’s area of influence can contribute to changes in the scope of work. Ext..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?