Government merges three regional rural banks into single RRB with effect from January 1

The government has amalgamated three Regional Rural Banks -- Punjab Gramin Bank, Malwa Gramin Bank and Sutlej Gramin Bank -- into a single RRB with effect from January 1.

In a filing to the BSE, Punjab and Sind Bank said the central government, after consulting the sponsor banks of the three RRBs, felt that in the interest of the banks and the areas served by them, they should be amalgamated into a single RRB.

"The Central Government has amalgamated the said Regional Rural Banks into a single Regional Rural Bank with effect on and from January 1, 2019," the filing said.

The sponsor banks of the RRBs are National Bank for Agriculture and Rural Development (NABARD), the Government of Punjab and Punjab National Bank, State Bank of India and Punjab and Sind Bank, it added.