Here you can find the List of Local Area Banks in India. There are totally three Local Area banks in India as per RBI. Local area banks aims mobilization of rural savings by local institutions and make them available for investments in the local areas.
The Local Area Banks (LABs) were expected to bridge the gaps in credit availability and strengthen the institutional credit framework in the rural and semi-urban areas.
List of Local Area banks in India
So here is the List of Local area banks in India
|1||Coastal Local Area Bank Ltd|
|2||Krishna Bhima Samruddhi LAB Ltd|
|3||Subhadra Local Bank Ltd|
In 1996 it was decided to allow the establishment of local banks in the private sector. These banks were expected to bridge the gaps in credit availability and enhance the institutional credit framework in the rural and semi-urban areas and provide efficient and competitive financial intermediation services in their area of operation.
Coastal Local Area Bank Ltd
Coastal Bank is the first Local Area Bank licensed by Reserve Bank of India in 1999 and commenced its operations from 27th December 1999. The Bank is proud of celebrating its existence for two decades. Coastal Bank is directly regulated by Reserve Bank of India. The Bank is subjected to regulatory supervision and control. The Bank complies with all supervisory advices/guidance.
The Bank is subjected to regulatory prescriptions such as Cash Reserve Ratio (CRR), Statutory Liquidity Ratio (SLR), External Benchmarking of loans etc. Deposits of the customers are insured under Deposit and Insurance Scheme of DICGC, a wholly owned subsidiary of Reserve Bank of India.
Krishna Bhima Samruddhi LAB Ltd (KBS Bank)
Krishna Bhima Samruddhi LAB Ltd (KBS Bank) is one the local area bank in India. The bank Mission is To be a partner in progress of customers by Delivering simple, dependable and innovative banking services, Being cost effective using technology effectively, Being proactive in understanding customers needs and preferences and Connecting the last mile in Banking to the doorstep of customers.
The Bank Vision is to Make a difference by creating value for the under-served and un-served customers.
Subhadra Local Bank Ltd
Subhadra Local Bank Ltd is one among the three Local Area banks in India. Subhadra Local Area Bank Limited is a Public incorporated on 10 April 2001. It is classified as Non-govt company and is registered at Registrar of Companies, Pune. Its authorized share capital is Rs. 600,000,000 and its paid up capital is Rs. 339,319,008.
Directors of Subhadra Local Area Bank Limited are Vijay Anant Puranik, Amitkumar Amritlal Solanki, Suhas Narayan Sahakari.
Capital Local Area Bank
Prior to conversion to a Small Finance Bank, Capital Local Area Bank was operating as India’s largest local area bank since January 14, 2000. Capital Small Finance Bank Limited started operations as India’s 1st Small Finance Bank on April 24, 2016 after conversion from Capital Local Area Bank.
List of Local Area banks in India
These are the List of Local Area banks in India
- Coastal Local Area Bank Ltd
- Krishna Bhima Samruddhi LAB Ltd
- Subhadra Local Bank Ltd
Over a period of about five and a half years, as many as 227 applications for establishment of LABs in the private sector had been received by the RBI of which 214 applications were rejected while ‘in-principle’ approvals for establishment of 10 LABs were issued and 3 applications are under examination.
However, due to the inability of the promoters to fulfill the conditions stipulated in the ‘in-principle’ approvals, 4 such approvals were withdrawn. 5 banks were licensed under Section 22 of the Banking Regulation Act 1949. Of these, only 4 LABs are functioning at present. 1 application is pending.