A review meeting regarding the performance of Regional Rural Banks (RRBs) was held in Delhi, chaired by the Secretary of the Department of Financial Services. The Secretary appreciated the commendable performance of the RRBs during the 2025-26 Financial Year.
Currently, 28 RRBs are providing services through 22,273 branches across approximately 700 districts in 26 states and 3 Union Territories. Senior officials from NABARD, RBI, SIDBI, sponsor banks, and all RRBs attended the meeting.
In the 2025-26 financial year, the total business of all 28 RRBs exceeded ₹13.5 lakh crore, a figure surpassing the business volume of even some public sector banks. During this period, the net profit of RRBs rose to a record ₹10,176 crore, up from ₹6,820 crore in the 2024-25 financial year. Additionally, Gross NPAs declined to 5.3% and Net NPAs fell to a low of 2.1%, reflecting the improved financial health of the RRBs.
The Secretary emphasized the need for RRBs to adopt modern banking technologies, accelerate digital services, and expand banking outreach in rural and remote areas, ensuring that all sections of society including the youth can reap the benefits of digital banking.
RRBs continue to meet all priority sector lending targets, reflecting their strong commitment to underserved sections. During FY 2025-26, they opened over 54.98 lakh new Pradhan Mantri Jan Dhan Yojana (PMJDY) accounts, while their Credit-Deposit ratio rose to a record 75.2%, indicating improved credit access in rural areas.
Commending the improved performance of RRBs, the DFS Secretary emphasized strengthening digital and IT infrastructure, enhancing credit flow, and extending the benefits of financial services to the last mile. He urged RRBs and sponsor banks to foster innovation while maintaining the momentum of this improvement.
