Regional Rural Banks Achieve Rs 12 Lakh Cr Business And Rs 7,720 Cr Net Profit

New Delhi, Jan 31 (KNN) The Secretary of the Department of Financial Services (DFS) chaired a review meeting on the performance of Regional Rural Banks (RRBs) on Friday in Delhi. 

The meeting was attended by the Chairman of NABARD, chairpersons of all 28 RRBs, officials from sponsor banks, the Small Industries Development Bank of India (SIDBI), and the Reserve Bank of India (RBI).

The performance of all RRBs for the first half of Financial Year 2025–26 (up to December 2025) was noted and appreciated. Operating through 22,158 branches across 26 states and 3 Union Territories, RRBs cover approximately 730 districts. 

The total business of all RRBs has crossed Rs 12 lakh crore, surpassing the business levels of several individual public sector banks.

Collectively, RRBs serve 32.4 crore deposit accounts and 3.2 crore loan accounts. Provisional net profit stood at Rs 7,720 crore, up from Rs 6,820 crore in FY 2024–25. Both gross and net non-performing assets are trending downward.

RRBs continue to meet all targets under Priority Sector Lending and have played a significant role in financial inclusion, opening over 45.68 lakh new Pradhan Mantri Jan Dhan Yojana (PMJDY) accounts this financial year.

The Secretary urged RRBs to sustain and further improve performance. 

Key priorities include expanding social security scheme coverage, diversifying loan portfolios, strengthening IT infrastructure, enhancing digital service delivery, and improving grievance redressal mechanisms in rural and remote areas. 

RRBs, NABARD, and sponsor banks were also advised to proactively identify challenges and strengthen preparedness for effective resolution.

(KNN Bureau)