Urban Cooperative: Emerging Solutions

Emerging Solutions With the signing into effect of memoranda of understanding between the Reserve Bank of India and the governments of Andhra Pradesh and Gujarat, respectively, the long and laborious task of cleaning up the urban cooperative bank (UCB) segment has been spurred some. Although the RBI has been tightening regulatory and prudential norms for UCBs regularly since 2000, the exercise of sifting through strengthening or weeding out weak banks will begin in earnest with the setting up of a Task Force on Urban Cooperative Banks in each state that signs the MoU. Andhra Pradesh and Gujarat are two of the five states in the country where UCBs are most numerous, being home to 452 of a total of 1,924 UCBs. Using what the RBI