The Maharashtra State Cooperative Bank (MSC Bank) has welcomed the Reserve Bank of India’s proposed reforms for Rural Cooperative Banks (RCBs), crediting the Ministry of Cooperation for taking up long-pending issues faced by the cooperative banking sector with the regulator.
In a letter, MSC Bank Administrator Vidyadhar Anaskar thanked the Ministry for its initiatives towards strengthening cooperative banks. He said the draft directions issued by the RBI on August 6 propose significant reforms that, once finalised, would provide greater flexibility and create a level playing field for RCBs vis-à-vis peer banks.
Anaskar said the proposed measures reflect a “changed perception” of the regulator towards the cooperative banking sector. He also appreciated the proactive role of the Ministry of Cooperation in identifying practical difficulties faced by cooperative banks and taking them up with the RBI.
According to Anaskar, these efforts could help create a more enabling regulatory environment for the cooperative credit structure and contribute to the Government’s vision of “Sahakar Se Samriddhi.”
On behalf of MSC Bank and the cooperative sector in Maharashtra, Anaskar expressed gratitude to Cooperation Minister Amit Shah and the Ministry for their efforts towards strengthening cooperative banking.
