4 Co-operative Banks have been included in the 2nd schedule to the Reserve Bank of India Act, 1934 vide Notification CO.DOR.RAUG.No.S809/08-09-015/2026-2027 dated May 08, 2026 and published in the Gazette of India (Part III – Section 4) dated May 20, 2026.
| SI. No. | Name of the Bank |
| 1 | Contai Co-operative Bank Ltd., Contai |
| 2 | Prime Co-operative Bank Ltd., Surat |
| 3 | Shri Veershaiv Co-operative Bank Ltd., Kolhapur |
| 4 | The Varachha Co-operative Bank Ltd., Surat |
What is RBI 2nd schedule?
The RBI 2nd Schedule refers to the list of banks maintained under the Second Schedule of the Reserve Bank of India (RBI) Act, 1934. Banks listed here are officially recognized as Scheduled Banks.
To be included in this schedule, a bank must meet two core criteria under Section 42(6)(a) of the RBI Act:
- Capital Requirement: Possess a paid-up capital and reserves of at least ₹5 lakh.
- Depositor Protection: Satisfy the RBI that its affairs are not being conducted in a manner detrimental to the interests of its depositors.
Why Being on the 2nd Schedule Matters:
- Borrowing Privileges: These banks are eligible to borrow funds and receive loans directly from the RBI at the prevailing bank rate.
- Liquidity & Clearing: They gain automatic access to the RBI’s Liquidity Adjustment Facility (LAF) and can participate in RBI-conducted clearinghouse operations.
- Regulatory Standing: It signifies that the bank is heavily regulated by the RBI, which often creates stronger trust among the general public.
Scheduled banks generally comprise Public Sector Banks, Private Sector Banks, Foreign Banks operating in India, Regional Rural Banks (RRBs), and State Co-operative Banks. Any bank not meeting these conditions is classified as a Non-Scheduled Bank.
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