The National Bank for Agriculture and Rural Development (NABARD) has stepped up supervision and institutional strengthening of rural cooperative banks, with its 2025-26 Annual Report highlighting inspections, turnaround plans for weak banks, grievance redressal and technology-led modernisation.
As of March 31, 2026, the rural cooperative credit structure comprised 34 State Cooperative Banks (StCBs), 353 District Central Cooperative Banks (DCCBs), 1.06 lakh PACS, 12 State Cooperative Agriculture and Rural Development Banks (SCARDBs) and 609 PCARDBs.
During FY2026, NABARD conducted 34 statutory inspections of StCBs, 268 inspections of DCCBs and eight inspections of SCARDBs. It also conducted 43 regular inspections of Regional Rural Banks (RRBs) before the amalgamation of 26 RRBs into 11 banks, followed by snap inspections of the amalgamated entities.
During the year, 65 Speaking Orders (SOs) were issued, with penalties totalling Rs 152.3 lakh across RRBs, StCBs and DCCBs.
NABARD advised weak rural cooperative banks classified under Category C and D based on inspection ratings, along with banks covered under the Supervisory Action Framework–Self Initiative for Turn Around (SAF–SITA), to prepare and implement comprehensive Turn Around Plans (TAPs).
The initiative covered 96 banks, with implementation monitored through quarterly reviews by NABARD’s regional offices. Five zonal capacity-building programmes were also conducted in October-November 2025.
From April 1, 2025, NABARD centralised complaint management through the CPGRAMS portal. During FY2026, 1,520 complaints were received against supervised entities, including 233 administrative and 1,287 banking complaints.
NABARD’s web-based NIVARAN platform enables customers to register, track and escalate complaints online. Ninety-three RCBs are currently onboarded and live, with the remaining banks being brought onto the platform.
Shared-service platform Sahakar Sarathi Private Limited (SSPL), established with equal participation from NABARD, NCDC and participating RCBs, had mobilised Rs 803.18 crore in equity by March 31, 2026. Its services include digital banking, cybersecurity, IT governance, loan processing and reconciliation. FY2026 initiatives included generative AI pilots, bank.in migration and a centralised digital credit platform.
Under NABARD’s Cooperation among Cooperatives campaign, the Gujarat pilot facilitated 1.2 crore RCB deposit accounts and Rs 65,662 crore in cumulative deposits, while 8.8 lakh RuPay KCCs were issued. The model is proposed for expansion to Maharashtra, Tamil Nadu, Rajasthan, Uttar Pradesh and Madhya Pradesh.
NABARD’s priorities ahead include cooperative governance, PACS diversification, expansion of the PACS Accelerator Programme and generative AI-based preparation of DPRs.
