RBI Resumes Urban Cooperative Bank Licensing After Two Decades

Banks keep our money safe and give loans to people.

In India, there are big banks and smaller cooperative banks owned by groups of people who work together.

They help local communities save and borrow money.

Long ago, the Reserve Bank of India stopped giving permission for new cooperative banks to open.

That was more than twenty years ago.

Now, the RBI says it will start giving permission again.

The RBI listened to what people thought about its ideas before making this decision.

The head of the RBI, Mr. Malhotra, announced that new banking rules are coming.

Loan rules are also set for a major change.

This means people may see new cooperative banks soon.