New Delhi: India’s Regional Rural Banks (RRBs) have clocked their highest ever consolidated net profit of Rs 10,177 crore during FY 2025-26, reflecting a marked improvement in their performance in recent years, the Centre told the Parliament on Tuesday.
The RRBs have also shown consistent improvement in key financial parameters like Capital to Risk Weighted Asset Ratio (CRAR), deposits, advances, Non-Performing Assets (NPA), Credit-Deposit Ratio (CD ratio), Minister of State (MoS) for Finance Pankaj Chaudhary said in a written reply to a query in the Rajya Sabha.
“The Gross NPAs of the regional rural banks has come down to 5.4 per cent in 2025-26 from 6.1 per cent in 2023-24. The net worth of the RRBs has risen steadily to Rs 74,086 crore in 2025-26 from Rs 63,927 crore in 2023-24 and Rs 56,780 crore,” the data said.
The MoS also said that that the Union government regularly reviews the performance and financial health of RRBs at national and regional levels.
As a follow-up, the Finance Ministry’s Department of Financial Services conducts periodic and regular meetings with regional rural banks and sponsor banks at various levels.
“The agenda items for the review meetings include taking stock of RRBs on financial parameters, focus on technology upgradation, thrust on micro small and medium enterprise (MSME) portfolio. Besides, importance on loan diversification towards agri-allied, MSME and retail sectors and expansion of financial inclusion in rural and remote areas are other areas that are taken up at these review meetings,” the MoS added.
The Union government also regularly reviews the progress made by RRBs in deepening financial inclusion in rural and remote areas.
“The targets for various financial inclusion schemes like Pradhan Mantri Jan-Dhan Yojana (PMJDY), Pradhan Mantri MUDRA Yojana (PMMY), Pradhan Mantri Suraksha Bima Yojana (PMSBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Atal Pension Yojana (APY) are set by the Centre’s Department of Financial Services and periodically monitored,” MoS Chaudhary said.
(IANS)
