Chandrababu Naidu okay with Centre’s proposal of Regional Rural Banks merger
The Central government has been contemplating to merge all the existing Regional Rural Banks RRBs in the state into one entity as Andhra Pradesh Grameena Bank APGB to minimise their overhead expenses and increasing their presence in rural areas
Chittoor: The Central government has been contemplating to merge all the existing Regional Rural Banks (RRBs) in the state into one entity as ‘Andhra Pradesh Grameena Bank’ (APGB) to minimise their overhead expenses and increasing their presence in rural areas.
The Centre in consultation with the National Bank for Agriculture and Rural Development (NABARD) has approved a road map for merger of RRBs throughout the country.
In Andhra Pradesh, there are four RRBs, namely, Chaitanya Godavari Grameena Bank (CGGB), Sapthagiri Grameena Bank (SGB), Andhra Pradesh Grameena Vikas Bank (APGVB) and Andhra Pragathi Grameena Bank. According to reliable sources, Chief Minister N Chandrababu Naidu keen on merger of all RRBs just like one existing in Telangana state as Telangana Grameena Bank.
The Syndicate Bank has come forward to be sponsor of the proposed APGB. The Indian Bank too keen on sponsoring the proposed APGB. Speaking to The Hans India here on Tuesday, a leader of the AP Grameena Bank Officers’ Association said that the RRBs can achieve higher productivity, robust financial health, improved financial inclusion and greater credit flow into rural areas with the merger.
The Centre has initially proposed merger of CGGB, SGB and APGVB in the state and Indian Bank as its sponsor. But, Chandrababu Naidu is very particular to form only one RRB in the state to be set up its head office in Amaravati, the AP capital.
