Finance Minister Chairs Crucial Session with Chairpersons and Officials of Regional Rural Banks (Nirmala Sitharaman)
Key Banking Leaders and Authorities Gather in Chennai for High-level Discussions
Chennai, 04 August (City Times) : The Union Finance Minister, Nirmala Sitharaman, spearheaded a crucial review meeting with the Chairpersons and senior officials of Regional Rural Banks (RRBs) from the Southern Region. The meeting, which took place in Chennai on Friday, witnessed the participation of prominent stakeholders from various financial institutions and government departments.
The gathering included Secretary of DFS_India, senior officials from the Reserve Bank of India (RBI), and representatives from the Finance Departments of Tamil Nadu, Andhra Pradesh, Telangana, Kerala, Puducherry, and Karnataka. In addition, the MDs and CEOs of leading banks like State Bank of India, Indian Bank, Union Bank of India, Canara Bank, Indian Overseas Bank, and NABARD were also present.
The discussions during the meeting primarily centered around the financial performance of the RRBs, with the DFS Secretary presenting comprehensive insights into various financial metrics of these banks. Emphasizing the importance of government flagship schemes, Minister Nirmala Sitharaman urged the RRBs to focus on initiatives like PMJJBY, PMSBY, PM SVANidhi, Atal Pension Yojana, PM Jan Dhan Yojana, PM Mudra Yojana, KCC, KCC Animal Husbandry & Fisheries, and strive for their widespread implementation.
Praising the Southern region’s RRBs for outperforming the national average in CD Ratio, Gross NPAs, and Provision Coverage Ratio (PCR), Ms. Sitharaman encouraged them to improve their Current and Savings Account (CASA) Ratio. In the pursuit of enhanced efficiency, the Union Finance Minister urged the adoption of technology, Loan Management System, and Core Banking System within a specific timeframe.
In line with the government’s vision of digitalization, Minister Sitharaman emphasized the need for RRBs to focus on increasing the number of digitally active customers. She also called upon Sponsor Banks to establish a strong presence in MSME clusters and offer innovative products to serve the MSME sector more effectively.
Ms. Nirmala Sitharaman further stressed the importance of collaborating with the RBI and State Authorities to improve the physical presence of RRBs across the state. She highlighted the significance of leveraging the Account Aggregator Framework for lending to the Allied agricultural sector, including fisheries and animal husbandry. Additionally, she underscored the need to provide loans to street vendors under the PM SVANidhi scheme.
The review meeting concluded with a call for greater coordination between all stakeholders to ensure the holistic growth of the Southern region’s RRBs and contribute to the nation’s economic progress.