Regional Rural Banks 1.pptx

About regional Rural Banks the reader can get information about regional Rural Banks

1. Regional Rural Banks Here is where presentation begins

2. Contained Content 1) Meaning 4) Sponsored of commercial banks 7) Working of RRBs 2) Objective 5) Share in the ratio 8) Facts and Current Affairs 3) Function Of RRBs 6) Special Features 9) Bibliography

3. Regional Rural Banks (RRBs) are government owned scheduled commercial banks of India that operate at regional level in different states of India. Meaning of RRBs

4. Providing loans for the development of the agricultural sector to small farmers. Objectives of RRBs Protecting Rural people from money lenders’ exploitation Opening branches of banks in the rural areas Generating employment opportunities in rural areas 01 02 03 03 04

5. 5 Mobilize rural savings and channelize Them for supporting productive activities In rural areas 6 To create the supplementary Channel for the flow the central money market to the rural areas through refinance

6. Accepting deposits from members in current or savings accounts. 02 Functions of RRBs As the Regional Rural Bank is a scheduled commercial bank, it is primarily responsible for accepting deposits and disbursing loans. Extending loans to the small and marginal farmers, craftsmen and artisans, medium and small scale enterprises, 01

7. 03 Disbursing wages is an important RRB function under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and the Pradhan Mantri Gram Sadak Yojana (PMGSY). It also disburses pensions under the poverty alleviation

8. Sponsored of Commercial banks Sponsor banks: The Act provides for RRBs to be sponsored by banks. These sponsor banks are required to ( i ) subscribe to the share capital of RRBs, (ii) train their personnel, and (iii) provide managerial and financial assistance for the first five years. The Bill removes the five year limit, thus allowing such assistance to continue beyond this duration.

9. Mercury is the closest planet to the Sun and the smallest one in the Solar System—it’s only a bit larger than the Moon Shares in the Ratio Central Government 50% State Government 15% Sponsored Bank 35%

10. Special Features of RRBs With the view to facilitates RRBs Operations, The RBI gave direct access to refinance assistance at a concessional rate of 3% below the bank rate. Allowed to maintain the lower level of SLR than Commercial banks 01 02 Allow to pay half percent more interest of all deposits except those deposits more than 3 years

11. The loses of initial year of RRBs may be met by shareholders and equity capital. The eligible business of commercial banks rural branches may be transferred to RRBs As these were more suitable for rural development works, Preference should be given to them to open branches in rural banks. 03 04 05

12. Lending to individual of weaker section without checking validity of action perposed to be undertaken Saturn Working of RRBs Grant loan or credit at cheap or concessional rate 02 01

13. www.Wikipedia.com Bibliography 01 02 R.K.Singla Business studies class 11 www.Testbook.com DSEU notes 04 03