Gujarat to Establish Nine New District Central Cooperative Banks

The Gujarat Cabinet has approved the creation of nine new District Central Cooperative Banks (DCCBs) by dividing existing banks. This move aims to improve credit access for farmers and strengthen the rural economy. The proposal will be sent to the Reserve Bank for further approval.

The Gujarat Cabinet, led by Chief Minister Bhupendra Patel, has granted in-principle approval for establishing nine new District Central Cooperative Banks (DCCBs) by restructuring existing district banks. This decision comes in response to evolving district boundaries over recent years.

State government spokesperson and minister Jitu Vaghani stated that this move aligns with Prime Minister Narendra Modi's broader strategy to expand rural cooperative banks nationwide. A strategic approach, developed by the Ministry of Cooperation and NABARD, outlines the formation of DCCBs in new districts.

The establishment of these banks will enhance credit facilities for farmers and rural citizens, ultimately strengthening Gujarat's rural economy. The next step involves submitting a proposal to the Reserve Bank via NABARD to initiate legal processes.

(With inputs from agencies.)