<h1>Union Cabinet Approves Amendments to Strengthen Regional Rural Banks' Capital Base and Limit Non-Official Directors' Terms.</h1> The Union Cabinet approved amendments to the Regional Rural Banks (RRBs) Act, 1976, aimed at enhancing the authorized and issued capital to strengthen RRBs' capital base. The amendments propose a maximum two-year term for non-official directors appointed by the Central Government. These changes are intended to ensure financial stability, enabling RRBs to contribute more effectively to financial inclusion and meet rural credit needs. RRBs, established to provide institutional credit to the rural and agriculture sector, are jointly owned by the Government of India, state governments, and sponsor banks, with capital shared in a 50:15:35 ratio.