How many RRBs are there under the "one state, one RRB" policy?

Under the "one state, one RRB" policy, each state will have only one Regional Rural Bank. This is achieved by merging existing RRBs in the state into a single entity.

How many RRBs are there under the "one state, one RRB" policy?

Under the "one state, one RRB" policy, each state will have only one Regional Rural Bank. This is achieved by merging existing RRBs in the state into a single entity.

Is the "one state, one RRB" policy good or bad?

The policy is considered good for improving operational efficiency, reducing administrative costs, and strengthening financial performance. However, it may also reduce local competition and diversity in services.

Which state has the highest number of RRBs?

Uttar Pradesh has the highest number of Regional Rural Banks in India. This is due to its large rural population and high agricultural activity.

Which two states do not have any RRBs?

Goa and Sikkim do not have any Regional Rural Banks. Banking services in these states are primarily handled by commercial and cooperative banks.

What is the "one state, one RRB" policy?

This policy aims to merge multiple RRBs within a state into a single bank to improve efficiency and service delivery. It also seeks to strengthen rural banking infrastructure under a unified structure.

In which state was the first RRB established?

The first Regional Rural Bank was established in Uttar Pradesh in 1975. It was named Prathama Bank and was set up under the RRB Act, 1976.

Is the "one state, one RRB" policy good or bad?

The policy is considered good for improving operational efficiency, reducing administrative costs, and strengthening financial performance. However, it may also reduce local competition and diversity in services.

Which state has the highest number of RRBs?

Uttar Pradesh has the highest number of Regional Rural Banks in India. This is due to its large rural population and high agricultural activity.

Which two states do not have any RRBs?

Goa and Sikkim do not have any Regional Rural Banks. Banking services in these states are primarily handled by commercial and cooperative banks.

What is the "one state, one RRB" policy?

This policy aims to merge multiple RRBs within a state into a single bank to improve efficiency and service delivery. It also seeks to strengthen rural banking infrastructure under a unified structure.

In which state was the first RRB established?

The first Regional Rural Bank was established in Uttar Pradesh in 1975. It was named Prathama Bank and was set up under the RRB Act, 1976.

Which state has the highest number of RRBs?

Uttar Pradesh has the highest number of Regional Rural Banks in India. This is due to its large rural population and high agricultural activity.

Which two states do not have any RRBs?

Goa and Sikkim do not have any Regional Rural Banks. Banking services in these states are primarily handled by commercial and cooperative banks.

What is the "one state, one RRB" policy?

This policy aims to merge multiple RRBs within a state into a single bank to improve efficiency and service delivery. It also seeks to strengthen rural banking infrastructure under a unified structure.

In which state was the first RRB established?

The first Regional Rural Bank was established in Uttar Pradesh in 1975. It was named Prathama Bank and was set up under the RRB Act, 1976.

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Government Initiates 'One State, One RRB' Policy To Enhance Regional Rural Banking Efficiency

Komal Bajpai

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Updated: 12-08-2025 at 3:30 PM

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The Government of India plans to start the One State One RRB in India on May 1, 2025. Under this new development, the government will merge all 43 Regional Rural Banks into one bank per state as of May 2025. The main goals are to make operations more effective and competitive between banks, as well as to give rural people better financial services.

Read the article to learn more about the govt policy, ranging from its meaning, One State One RRB launch date, objectives, to its benefits, One State One RRB impact on vacancy, and answers of questions like One state One RRB how many banks.

Overview

The table below summarises some important points about the govt initiative that one should know.

Name of the policy	One State One RRB in India
One State One RRB launch date	May 2025
Objective	To merge all 43 Regional Rural Banks into one bank per state
One state One RRB how many banks?	43 banks to be merged under the policy

Background Of Regional Rural Banks (RRBs)

RRBs started their operations in 1975 through the Regional Rural Banks Act to serve the financial needs of rural people, especially farmers, farmworkers and craft workers. These banks have effectively worked toward bringing financial services to rural regions throughout India. The creation of numerous Regional Rural Banks by different public sector banks across one state created unnecessary operational problems through repeated tasks.

Objectives Of The 'One State, One RRB' Policy

Wondering why the government is pushing for just one RRB per state? These goals will help you understand the bigger vision behind this consolidation strategy.

Enhanced Operational Efficiency: Through fewer Rural Regional Banks, the government wants to produce more efficient operations that use available resources better.
Reduced Redundancy: Combining Regional Rural Banks within one state will help them work more together since they won't compete for the same functions.
Strengthened Financial Inclusion: Each RRB in a state will deliver better banking services to rural communities that need them.
Improved Financial Stability: The financial status of single bigger RRBs improves when they deal better with financial risks, which gives them more lending power.

Also Read: Bank Locker Rules: Locker Charges, Insurance Policy and Regulation

Details Of The Consolidation

The One State One RRB amalgamation process is laid out below in a tabular form for one’s reference:

State/UT	Existing RRBs to be Merged	New Entity Name	Headquarters	Sponsor Bank
Andhra Pradesh	Chaitanya Godavari Grameena Bank, Andhra Pragathi Grameena Bank, Saptagiri Grameena Bank, Andhra Pradesh Grameena Vikas Bank	Andhra Pradesh Grameena Bank	Amravati	Union Bank of India
Bihar	Dakshin Bihar Gramin Bank, Uttar Bihar Gramin Bank	Bihar Gramin Bank	Patna	Punjab National Bank
Gujarat	Baroda Gujarat Gramin Bank, Saurashtra Gramin Bank	Gujarat Gramin Bank	Vadodara	Bank of Baroda
Jammu & Kashmir	J&K Grameen Bank, Ellaquai Dehati Bank	Jammu & Kashmir Grameen Bank	Jammu	Jammu & Kashmir Bank Ltd.
Karnataka	Karnataka Vikas Grameena Bank, Karnataka Gramin Bank	Karnataka Grameena Bank	Ballari	Canara Bank
Madhya Pradesh	Madhya Pradesh Gramin Bank, Madhyanchal Gramin Bank	Madhya Pradesh Gramin Bank	Indore	Bank of India
Maharashtra	Maharashtra Gramin Bank, Vidarbha Konkan Gramin Bank	Maharashtra Gramin Bank	Chhatrapati Sambhajinagar	Bank of Maharashtra
Odisha	Odisha Gramya Bank, Utkal Grameen Bank	Odisha Grameen Bank	Bhubaneswar	Indian Overseas Bank
Rajasthan	Rajasthan Marudhara Gramin Bank, Baroda, Rajasthan, Kshetriya Gramin Bank	Rajasthan Gramin Bank	Jaipur	State Bank of India
Uttar Pradesh	Baroda UP Bank, Aryavart Bank, Prathama UP Gramin Bank	Uttar Pradesh Gramin Bank	Lucknow	Bank of Baroda
West Bengal	Bangiya Gramin Vikash Bank, Paschim Banga Gramin Bank, Uttarbanga Kshetriya Gramin Bank	West Bengal Gramin Bank	Kolkata	Punjab National Bank

Also Read: What is the Difference Between Traditional Bank Passbook & Digital Bank Passbook

Expected Benefits Of The Consolidation

Here's a breakdown of the key advantages that the One State One RRB amalgamation process is expected to bring for customers, banks, and the broader economy.

Cost Rationalisation: Having one operation system lets both organisations manage finances with fewer administrative expenses, which will affect the One state One RRB impact on vacancy.
Technological Advancements: An organisation with increased resources can better develop advanced digital banking platforms while strengthening cybersecurity.
Expanded Capital Base: Combined RRBs will have increased lending capacity from their larger capital pool when they carry out projects that support rural development.
One state One RRB impact on vacancy: The merged bank operations will create a more efficient customer service system that makes both internal processes and service methods easier to follow.

Challenges And Considerations

The advantages of uniting RRBs show promise but need special attention to overcome these obstacles.

When banks from separate backgrounds join forces, they need to integrate their different systems and cultural practices.
The union between three State Bank groups requires a proper structure in their human resource department while combining workers effectively and updating employee rewards, which will affect the One state One RRB impact on vacancy.

Conclusion

The government seeks to create better banking services in rural areas by merging Regional Rural Banks to make operations simpler and eliminate unnecessary services. Through better management practices and digital service technologies, rural consumers will access faster and broader banking services. The decision supports Digital India's goal and aligns with the government's programmes on financial inclusion and rural progress.

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