Government of India Releases “One State One RRB” Amalgamation Gazette For 11 RRBs

In a major structural reform aimed at improving the performance and efficiency of Regional Rural Banks (RRBs), the Government of India, in consultation with NABARD, 10 state governments, 1 union territory government, and sponsor banks, has released the long-awaited gazette notification to implement the “One State One RRB” model across the country.

In its official notification dated April 5, 2025, the GOI Gazette stated:

“In exercise of the powers conferred by sub-section (1) of section 23A of the Regional Rural Banks Act, 1976 (21 of 1976), the Central Government hereby provides for the amalgamation of the said Regional Rural Banks into a single Regional Rural Bank, which shall come into effect on and from the 1st day of May, 2025.”

Image: Amalgamation gazette notification by Government of India, Ministry of Finance and DFS

The List of New to be Formed Gramin Banks

Image: The list of newly declared RRBs as per states and sponsor bank

Andhra Pradesh 

In Andhra Pradesh, four Regional Rural Banks — Chaitanya Godavari Grameena Bank, Andhra Pragathi Grameena Bank, Saptagiri Grameena Bank, and Andhra Pradesh Grameena Vikas Bank — will be amalgamated into a single entity named Andhra Pradesh Grameena Bank with its head office at Amravati. The new bank, effective from May 1, 2025, will operate under the sponsorship of Union Bank of India.

Bihar 

In Bihar, Dakshin Bihar Gramin Bank and Uttar Bihar Gramin Bank will be merged into a single entity named Bihar Gramin Bank, with its head office at Patna. The amalgamated RRB will come into effect from May 1, 2025, under the sponsorship of Punjab National Bank.

Gujarat

In Gujarat, Baroda Gujarat Gramin Bank and Saurashtra Gramin Bank will be amalgamated into Gujarat Gramin Bank, headquartered at Vadodara. The new RRB will be effective from May 1, 2025, and sponsored by Bank of Baroda.

Jammu and Kashmir

In the Union Territory of Jammu & Kashmir, J&K Grameen Bank and Ellaquai Dehati Bank will be amalgamated into Jammu and Kashmir Grameen Bank, with its head office at Jammu, under the sponsorship of The Jammu and Kashmir Bank Ltd., effective May 1, 2025.

Karnataka

In Karnataka, Karnataka Vikas Grameena Bank and Karnataka Gramin Bank, both sponsored by Canara Bank, will be amalgamated into Karnataka Grameena Bank, with its head office at Ballari, also effective from May 1, 2025.

Madhya Pradesh

In Madhya Pradesh, Madhya Pradesh Gramin Bank and Madhyanchal Gramin Bank, sponsored by Bank of India and State Bank of India, are being amalgamated into Madhya Pradesh Gramin Bank, with its head office at Indore, under the sponsorship of Bank of India, effective May 1, 2025.

Maharashtra

In Maharashtra, Maharashtra Gramin Bank and Vidharbha Konkan Gramin Bank, sponsored by Bank of Maharashtra and Bank of India, will be amalgamated into Maharashtra Gramin Bank, with its head office at Chhatrapati Sambhajinagar, under the sponsorship of Bank of Maharashtra, effective May 1, 2025.

Odisha

In Odisha, Odisha Gramya Bank and Utkal Grameen Bank, sponsored by Indian Overseas Bank and State Bank of India, are being amalgamated into Odisha Grameen Bank, with its head office at Bhubaneswar, under the sponsorship of Indian Overseas Bank, effective May 1, 2025.

Rajasthan

In Rajasthan, Rajasthan Marudhara Gramin Bank and Baroda Rajasthan Kshetriya Gramin Bank, sponsored by State Bank of India and Bank of Baroda, are amalgamated into Rajasthan Gramin Bank, with its head office at Jaipur, under the sponsorship of State Bank of India, effective May 1, 2025.

Uttar Pradesh

In Uttar Pradesh, Baroda U.P. Bank, Aryavart Bank, and Prathama U.P. Gramin Bank, sponsored by Bank of Baroda, Bank of India, and Punjab National Bank, are being amalgamated into Uttar Pradesh Gramin Bank, with its head office at Lucknow, under the sponsorship of Bank of Baroda, effective May 1, 2025.

West Bengal

In West Bengal, Bangiya Gramin Vikash Bank, Paschim Banga Gramin Bank, and Uttarbanga Kshetriya Gramin Bank, sponsored by Punjab National Bank, UCO Bank, and Central Bank of India, are amalgamated into West Bengal Gramin Bank, with head office at Kolkata, under the sponsorship of Punjab National Bank, effective May 1, 2025.

The DFS on November 4, 2024 introduced the ‘One State, One RRB’ amalgamation plan, aiming to consolidate RRBs under fewer sponsor banks and Telangana became the first state to implement the One State One RRB effective from January 1, 2025. The long awaited consolidation of RRBs is expected to overhaul the rural banking sector. 

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