The Reserve Bank of India (RBI) Governor, Sanjay Malhotra, has advised urban cooperative banks (UCBs) to focus on rebuilding depositor confidence, improving customer service, and strengthening resilience against IT and cyber risks.
His remarks came during a meeting with UCB representatives and industry bodies, where the RBI reaffirmed its support for the sector while emphasising the importance of responsible banking practices.
The RBI Governor and his deputies engaged with senior executives from various urban cooperative banks across the country to discuss their role in the financial ecosystem. The meeting focused on:
The central bank reiterated its commitment to supporting the growth and stability of UCBs, but also stressed the need for these institutions to operate responsibly and maintain depositor trust.
Representatives from key industry bodies, including the National Urban Cooperative Finance and Development Corporation Limited and the National Federation of Urban Co-operative Banks & Credit Societies Limited (NAFCUB), were also present at the discussion.
The meeting was part of the RBI’s ongoing engagement with regulated entities to ensure alignment with regulatory expectations and industry best practices.
The discussions between the RBI and urban cooperative banks highlight the regulator’s focus on depositors’ trust, customer service, and risk management.
By addressing these key areas, UCBs can continue to play an important role in the financial system while aligning with regulatory expectations.
The RBI’s engagement with industry bodies and bank representatives reflects its ongoing efforts to ensure stability and accountability within the sector.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Mar 20, 2025, 9:09 AM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
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