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RRB Unions in Tamil Nadu, Kerala, and Karnataka Unite Against IPO Move
RRB unions in Tamil Nadu, Kerala, and Karnataka unite against the proposed IPO, submitting memoranda to NABARD to protect rural banking’s public role.
Author: Saurav Kumar
Published: August 5, 2025
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In a coordinated move across states, apex unions in Regional Rural Bank (RRB) unions have stepped up resistance to the proposed Initial Public Offering (IPO) in RRBs, calling it a step toward privatisation that could undermine rural banking’s social mandate. As part of the ongoing agitation, Joint Forums of RRB unions have submitted memoranda to NABARD officials in their respective states.
On July 21, 2025, RRB unions collectively wrote to Finance Minister Nirmala Sitharaman, expressing strong opposition to the government's proposal to introduce an IPO in Regional Rural Banks. This national-level move was followed by state-level actions across Kerala, Karnataka, and Tamil Nadu.
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Kerala Gramin Bank Unions Memorandum Opposing IPO
On August 5, 2025 joint representation of apex unions in Kerala Gramin Bank submitted a memorandum to Sri. Nagesh Kumar Anumala, Chief General Manager of NABARD, Thiruvananthapuram in protest against the move to privatise RRBs under the guise of IPO.
Rajesh P, General Secretary, Kerala Gramin Bank Officers Union told Kanal, ‘The memorandum was submitted under the leadership of the Joint Forum of organisations in Kerala Gramin Bank. Representatives from various organizations — the Kerala Gramin Bank Employees Union, Officers Union, Staff Association, Officers Congress, Employees Association, and Officers Association — were part of the delegation.’
Expanding on the follow-up actions, he added, ‘Starting today, branch visits have commenced to spread awareness among employees about the looming threat of the IPO. All employees will be directly reached within a week.’
Karnataka Grameena Bank Joint Forum Acts on Apex Call
Responding to the agitation programme announced by the Apex RRB Unions, the Joint Forum of Karnataka Grameena Bank Unions (JFKGBU) submitted a memorandum to the NABARD CGM in Bengaluru on July 30, 2025. The move aligns with the national protest strategy and underscores growing discontent among RRB staff over the potential loss of autonomy and rural focus under IPO pressure.
Tamil Nadu Grama Bank Unions Submit Detailed Memorandum
AIRRBEA-affiliated Tamil Nadu Grama Bank Officers’ and Workers’ Unions (TNGBOA and TNGBWU) submitted a joint memorandum on July 26, 2025, to the Member of Parliament from the Dindigul Lok Sabha constituency on the issue.
The document warns that even a partial dilution of government stake would lead RRBs away from their core rural development mission. It criticises the IPO as a move to “privatise in phases,” jeopardizing service delivery to over 40 crore rural customers. The unions have threatened a nationwide flash strike under Apex Unions if any RRB proceeds with the IPO plan.
Across Kerala, Karnataka, and Tamil Nadu, RRB unions have demonstrated a clear and unified stance: RRBs must remain public sector institutions dedicated to inclusive rural banking. Their memoranda collectively urge NABARD and the Ministry of Finance to abandon IPO-related plans and instead focus on strengthening the public character, autonomy, and service capabilities of RRBs.
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