REGIONAL RURAL BANKS

Regional Rural Banks (RRBs) are Indian Scheduled Commercial Banks (Government Banks) operating at regional level in different States of India. They have been created with a view of serving primarily the rural areas of India with basic banking and financial services.

Regional Rural Banks were established under the provisions of the RRB Act 1976. The Regional Rural Banks were owned by the Central Government, the State Government and the Sponsor Bank (Any commercial bank can sponsor the regional rural banks) who held shares in the ratios as follows Central Government – 50%, State Government – 15% and Sponsor Banks – 35%.

NABARD (NATIONAL RURAL DEVELOPMENT BANK)

NABARD is a development bank focussing primarily on the rural sector of the    country. It is The Apex Banking Institution to provide finance for Agriculture and rural development. Its headquarter is located in Mumbai. It is responsible for the development of the small industries, cottage industries, and any other such village or rural projects.

It is a statutory body established in 1982 under Parliamentary act-National Bank for Agriculture and Rural Development Act, 1981.

• NABARD’s initiatives are aimed at building an empowered and financially inclusive rural India through specific goal oriented departments
• It provides refinance supportfor building rural infrastructure.
• It prepares district level credit plansto guiding and motivating the banking industry in achieving these targets.
• It supervises Cooperative Banksand Regional Rural Banks (RRBs) and helping them develop sound banking practices

EXPORT – IMPORT BANK OF INDIA

It was established on 1^st January 19821 for financing, facilitating and promoting foreign trade in India. Besides it also coordinates various financial institutions for export and imports. The government wholly owns EXIM bank.

NATIONAL HOUSING BANK

NHB was established in 1988 as a wholly owned subsidiary of RBI. It is the apex banking institution providing finances for houses. The statutory mandate of NHB covers Promotional, Developmental And Regulatory aspects of housing finance and focus on developing a sound housing finance system. In 2019 the regulatory function of RBI has been transferred to RBI.