What is the difference between regional rural banks(RRBs) and cooperative bank?
Answers: Rural banking surrounded by India started since the establishment of banking sector surrounded by India. Rural Banks in those days for the most part focussed upon the agro sector. Regional rural banks surrounded by India penetrated every corner of the country and extended a helping hand surrounded by the growth process of the country.
SBI has 30 Regional Rural Banks contained by India known as RRBs. The rural bank of SBI is spread in 13 states extending from Kashmir to Karnataka and Himachal Pradesh to North East. The total number of SBIs Regional Rural Banks surrounded by India branches is 2349 (16%). Till date in rural bank in India, within are 14,475 rural banks surrounded by the country of which 2126 (91%) are located in remote rural areas.
Apart from SBI, here are other few banks which functions for the nouns of the rural areas in India.
whereas, cooperative bank are based on cooperation. for instance a wall can be based on cooperation betwend the local rich man and some other small company.The two bank look after the credit needs of the rural nouns. The difference lies in their formation.The Regional Rural Banks are sponsored by any commercial guard who contribute 50 % of the initial capital and trained, experienced staff to get by it for a few years. Remaining capital requirement is met by Central Govt. and State Govt.
Cooperative Banks are established on the idea of cooperative act, surrounded by which general member of the public participate contained by its capital.