Advertisement
NABARD Chairman Shaji KV announced that the IT integration of Regional Rural Banks (RRBs), following the recent amalgamation under the 'One State One RRB' framework, is slated for completion by mid-September. With 28 RRBs now operational across 26 states and 2 Union Territories, efforts are underway to build a common digital infrastructure to better serve rural India. NABARD is digitising agri value chains, enabling blockchain-based crop traceability, and enhancing financial access through business correspondent networks. It is also supporting new tech stacks for agriculture, fisheries, and cooperatives, with 70,000 cooperatives already digitised.
The IT integration of the newly amalgamated Regional Rural Banks (RRBs), structured under the 'One State One RRB' model, is expected to be completed by 15 September, according to NABARD Chairman Shaji KV. The amalgamation of RRBs, effective from 1 May, was aimed at improving scale efficiencies and rationalising operational costs. Advertisement
As of now, 28 RRBs are operational across 26 states and two Union Territories, collectively operating more than 22,000 branches and covering 700 districts. Addressing an event hosted by the Confederation of Indian Industry (CII), Shaji noted that while state-level integration of these RRBs has already been completed, the technological integration process is scheduled for finalisation in the coming weeks.
NABARD is currently leading efforts to establish a shared digital infrastructure with RRBs, with a focus on enhancing credit infrastructure and utilising government data systems to extend services to remote rural populations. However, Shaji acknowledged persistent challenges such as low internet bandwidth and limited digital awareness, while assuring that NABARD is collaborating with various institutions to overcome these obstacles.
On the agricultural front, the bank is driving the digitisation of agri value chains, with approximately 20 value chains already digitised. NABARD is also partnering with multiple banks to onboard a wider segment of farmers, particularly those lacking formal land ownership records. Complementing these efforts are initiatives in blockchain-based crop traceability and the deployment of Business Correspondent (BC) networks, aimed at expanding outreach in underserved areas.
In parallel, NABARD is contributing to the development of sector-specific digital ecosystems, such as the Agri Stack, Fisheries Stack, and Cooperative Stack. These digital stacks are intended to consolidate data and streamline access to benefits through Primary Agricultural Credit Societies (PACS), thus enhancing transparency and delivery efficiency.
According to Shaji, around 70,000 cooperative societies have already been digitised under NABARD?s initiative to modernise the cooperative sector. Through its financial inclusion fund, the institution is also supporting pilot programmes in collaboration with NGOs and FinTechs to bridge the rural-urban income disparity, a critical concern given that two-thirds of India's population accounts for merely one-third of the national income.
To encourage innovation, NABARD is setting up a regulatory sandbox for fintech firms, which will enable controlled access to anonymised data and foster the development of rural-centric financial products.
Source - PTI
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
