Gramin Banks Complete 50 Years of Service to the Nation

Gramin Banks have completed 50 years of service to the nation. Employees celebrated foundation day of Gramin Bank to celebrate the occasion.

The Uttar Pradesh Gramin Bank (UPGB) was established on 1 May 2025. The bank was formed by the amalgamation of Aryavart Bank, Baroda UP Bank and Prathama UP Gramin Bank under The “One State, One RRB” policy of government.

But Prathama UP Gramin Bank is the oldest RRB in the country. Regional rural banks were established under the provisions of an ordinance passed on 26 September 1975. Five RRBs were set up on 2 October 1975 on the recommendations of the Narsimhan Committee on Rural Credit, during the tenure of Indira Gandhi’s government.

Prathama Bank, with head office in Moradabad, Uttar Pradesh was the first RRB. It was sponsored by Syndicate Bank and had an authorized capital of Rs. 5 crore. The other four RRBs were Gaur Gramin Bank (sponsored by UCO Bank), Gorakhpur Kshetriya Gramin Bank (sponsored by State Bank of India), Haryana Kshetriya Gramin Bank (sponsored by Punjab National Bank), and Jaipur-Nagaur Anchalik Gramin Bank (sponsored by UCO Bank).

The RRBs are owned by the central government, state government, and the sponsoring bank with 50%, 15%, and 35% shareholding respectively.