RRBs open over 54.98 lakh new PMJDY accounts during FY 2025-26, strengthening financial inclusion across rural and underserved areas

Digital Banking Services to be Expanded to Ensure Greater Access for Every Section of Society, including the Youth of the Country

A review meeting on the performance of Regional Rural Banks (RRBs) was held today in Delhi under the chairmanship of the Secretary, Department of Financial Services. The meeting was attended by the Chairman, NABARD, Chairpersons of all 28 RRBs, officials from the Department of Financial Services, Sponsor Banks, the Reserve Bank of India and the Small Industries Development Bank of India (SIDBI).

The Secretary, Department of Financial Services, noted and appreciated the commendable performance of all RRBs in the Financial Year 2025-26. At present, 28 RRBs are operating through 22,273 branches across 26 States and 3 Union Territories, covering about 700 districts.

The total business of all 28 RRBs has crossed ₹13.5 lakh crore, surpassing the business level of a few individual Public Sector Banks (PSBs) in the Financial Year 2025-26. The net profit of RRBs increased to an all-time high of ₹10,176 crore in FY 2025-26, compared to a consolidated net profit of ₹6,820 crore in FY 2024-25. Both Gross Non-Performing Assets (GNPA) and Net Non-Performing Assets have reached all-time lows of 5.3% and 2.1%, respectively.

RRBs also continue to achieve all targets and sub-targets prescribed under Priority Sector Lending, reflecting their strong commitment to serving marginalised and underserved segments of society. RRBs are also playing a vital role in advancing financial inclusion, having opened over 54.98 lakh new Pradhan Mantri Jan Dhan Yojana (PMJDY) accounts during the Financial Year 2025-26. More importantly, RRBs have been recording an increasing trend in their Credit-Deposit Ratio, which reached an all-time high of 75.2% in FY 2025-26.

The Secretary emphasised that RRBs must accelerate the adoption of modern banking technology and the digital delivery of financial services to improve operational efficiency and customer experience, while expanding access to banking services in rural and far-flung areas and ensuring that the benefits of digital banking reach every section of society, including the youth of the country.

Secretary, DFS appreciated the overall improvement in the performance of RRBs during FY 2025-26 and called upon all RRBs to sustain the momentum and further improve their performance so that the benefits of formal banking and Government-sponsored schemes reach the last mile. He urged all Sponsor Banks to handhold their RRBs in their growth journey, particularly in strengthening their IT infrastructure. He also encouraged the Chairpersons of all RRBs to take personal initiative in boosting bank credit flow to sectors specific to their areas of jurisdiction and, wherever possible, introduce new and innovative avenues of lending.