RRBs have become an important chain in the entire banking system. The Government allowed RRBs to shift the non-viable banks to viable places and also to finance non-core areas.
Gramin Bank came into existence in 1975. But for a long time, the experience of having a Regional Rural Bank (RRB) did not bear fruits. Till 1995, the existence of RRBs itself was at stake. Because the business model prescribed to them was not a good one. Competition has been a big eye-opener for any industry.
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