GLI – Banking Regulation 2019, Sixth Edition

Introduction

Banks in India comprise:

• scheduled commercial banks (i.e., commercial banks performing all banking functions, which will include both government-owned banks and private banks, and branches or subsidiaries of foreign banks);
• cooperative banks (set up by cooperative societies to provide financing to small borrowers);
• regional rural banks (RRBs) (these are government banks set up at local levels to provide credit to rural and agricultural areas);
• small finance banks (these banks have been set up to undertake basic banking activities with a focus on lending to sectors and geographical areas which are not being serviced by other banks); and
• payments banks (these banks have been set up to undertake payment and remittance-related activities and accepting small deposits).