Lok Sabha Question No. 2302 (UNSTARRED), answered on 2025-12-15
Subject: Cooperative Banks in Telangana
Ministry: FINANCE
Asked by: Shri Madhavaneni Raghunandan Rao

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES

## LOK SABHA UNSTARRED QUESTION NO. 2302

ANSWERED ON MONDAY, 15 DECEMBER, 2025/ 24 AGRAHAYANA, 1947 (SAKA)

## Cooperative Banks in Telangana

## 2302. SHRI MADHAVANENI RAGHUNANDAN RAO:

Will the Minister of FINANCE be pleased to state:

(a) the details of cooperative sector banks operating in Telangana, including their branches, deposits and advances;

(b) the amount of funds allocated by the Central Government to these cooperative banks and the manner in which it has been utilized;

(c) the instances of corruption and irregularities reported in these banks across various districts and the action taken against those responsible;

(d) the measures being taken by the Government to strengthen the cooperative banking system in Telangana and improve its overall performance; and

(e) the plan to address issues related to Non-Performing Assets (NPAs) and ensure the financial health of these cooperative banks?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

(a) to (b): As informed by Reserve Bank of India (RBI) and National Bank for Agriculture and Rural  Development  (NABARD),  the  details  of  cooperative  banks  operating  in  Telangana, including their branches, deposits and advances as on 31.03.2025, are given at Annexure I . Till date, the National Cooperative Development Corporation (NCDC) has released financial assistance of ₹ 2000 crore to the Telangana State Cooperative Bank.

(c) to (e): As informed by NABARD, during FY 2024-25, 03 instances of fraud have been reported in various Rural Cooperative Banks (RCBs) in Telangana on which NABARD has taken appropriate supervisory actions as per the prescribed guidelines.

In order to strengthen the cooperative banking system in Telangana and ensure the health of cooperative banks, RBI & NABARD have taken various measures which inter-alia include:

- Sahakar Sarathi Private limited has been launched by Ministry of Cooperation (MoC), Government  of  India  through  NABARD  to  provide  shared  digital  infrastructure  to RCBs to provide better digital facilities at affordable cost.
- Grant  assistance  is  also  provided  by  NABARD  to  RCBs  to  set  up  Business Development  and  Product  Innovations  cells  (BDPIC)  and  Primary  Agriculture Cooperative Society (PACS) Development Cell (PDC)
- High Level committee (HLC) chaired by Secretary, Cooperation, Govt. of Telangana monitors the financial health of all RCBs on a quarterly basis.
- The RCBs which have Gross Non-performing Assets (GNPA) more than 10% have to submit a Time Bound Action Plan (TBAP) on quarterly basis which is jointly monitored by RBI and NABARD.
- Urban  Cooperative  Banks  (UCBs)  (other  than  those  having  deposit  size  less  than Rs.100  crore  and  salary  earners'  banks)  are  required  to  constitute  a  Board  of Management (BoM) to facilitate  professional  management  and  focused  attention  to their banking-related activities.
- UCBs  shall  put  in  place  a  transparent  mechanism  to  ensure  that  Whistle  Blower complaints on possible fraud cases / suspicious activities in account(s) are examined and concluded appropriately under their Whistle Blower Policy.
- RBI has issued guidelines for Risk Based Internal Audit (RBIA) system in UCBs. The Deposit  Insurance  and  Credit  Guarantee  Corporation  (DICGC)  insures  all  types  of deposits (inclusive of principal & interest) up to ₹5,00,000 per depositor in insured banks, including cooperative banks.

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## Statement referred to in part (a) to (b) of Lok Sabha Sabha Un-Starred Question No. 2302 on 'Cooperative Banks in Telangana' due for answer on 15.12.2025

Details of cooperative banks in Telangana

| Type of Bank              |   No. of Branches |   Deposit (amount in ₹ crore) |   Advances (amount in ₹ crore) |
|---------------------------|-------------------|-------------------------------|--------------------------------|
| Rural Cooperative Banks*  |               445 |                        165644 |                          34426 |
| Urban Cooperative Banks** |               355 |                         10198 |                           6805 |