Home Minister Amit Shah inaugurated the National Urban Cooperative Finance and Development Corporation Limited (NUCFDC) in New Delhi. This umbrella organization aims to modernize and strengthen the Urban Cooperative Banking Sector, benefiting banks and customers alike.
Key Points
1. Focus on Modernization and Expansion:
- Amit Shah urged stakeholders to prioritize modernization and expansion for resilience in a competitive market.
- Emphasized the goal of establishing an Urban cooperative bank in every town under the One Town-One Urban Cooperative Bank initiative.
2. Inclusive Economic Development:
- Shah highlighted the role of Urban cooperative banks in fostering inclusive economic development.
- Stressed the need to make the cooperative movement relevant and accessible to all, reaching the last mile.
3. Trustworthiness and Growth:
- Encouraged Urban cooperative banks to achieve the target of paid-up capital within a year to enhance trustworthiness.
- Emphasized the importance of measuring growth not just through statistics but also through increased participation of citizens in the country’s growth trajectory.
4. Role of NUCFDC:
- NUCFDC will serve as an umbrella organization for the urban cooperative banking sector, providing specialized functions and services.
- Received certification from the Reserve Bank of India to operate as a Non-Banking Finance Company and a Self-Regulatory Organisation.
5. Strengthening Collective Strength:
- Highlighted the collective strength of 11,000 branches of 1,500 banks, with significant deposits and loans.
- Emphasized the need to collectively utilize this strength to strengthen the entire Urban Cooperative Banks system.
6. Addressing Challenges:
- NUCFDC aims to address challenges faced by Urban Cooperative Banks, enhancing depositors’ confidence and ensuring further progress.
7. Future Goals:
- Stressed the need for NUCFDC to lay a strong foundation over the next three years for sustained growth and development.
- Aimed at reducing Net NPA rate further from the current 2.10%.