RBI approves reforms in primary co-ops

The Reserve Bank of India (RBI) has accepted the recommendations of an expert committee on primary agricultural cooperatives to ring in far-reaching reforms in the three-tier short-term cooperative credit structure.Assets and liabilities of primary cooperatives will now stand transferred to central/state cooperative banks.In States where the central/state cooperative banks are fully computerised and on core banking systems, primary cooperatives will function as their business correspondents. A circular from the head office of National Bank for Agriculture and Rural Development (Nabard) unveiled the reforms to state and central cooperative banks.

Source : The Hindu Business Line