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Saturday, Apr 19, 2025 | India

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Will One State One RRB Process Face Further Delays in Full-fledged Implementation?

Amalgamation of RRBs via One State One RRB may get delayed further. RRB employees are eagerly awaiting clarity on its implementation, actively discussing its progress. Their curiosity is growing, as concerns over work pressure fuel expectations for swift execution of One State One RRB nationwide.

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Author: Saurav Kumar

Published: March 11, 2025

The One State One RRB process, initiated by the Department of Financial Services (DFS), may face further delays in its full-fledged implementation, as key approvals remain pending. According to trusted sources, the amalgamation file for RRBs has not yet received approval from the Finance Minister and is expected to be cleared only after the ongoing Parliament Budget session. If approved, the framework is likely to take effect from July 1, 2025.

A significant development has also taken place within DFS, a Secretary rank bureaucrat, who played a pivotal role in shaping the One State One RRB policy and the fourth phase of RRB amalgamation, has been relieved from his position to take on another responsibility. Insiders believe this transition could have contributed to the delay in rolling out the policy across all states.

However, M. Nagaraju, Secretary in DFS, revealed in an interview that the notification on One State One RRB was originally scheduled for release in the second week of February 2025. 

As a matter of fact, the DFS on November 4, 2024 introduced the One State One State plan aiming to consolidate RRBs under fewer sponsor banks.

RRB Employees Eagerly Await Amalgamation

There has been widespread curiosity across RRBs regarding the updates and implementation of the One State One RRB process. Employees have been actively discussing the policy’s full-fledged implementation on social media platforms and in general conversations, seeking clarity on the timeline and next steps.

A banker from an SBI-sponsored RRB told Kanal, “The mounting pressure of unethical work practices imposed by SBI is making it unbearable to function. The excessive focus on cross-selling is eroding our ability to serve rural customers with the true essence of social banking. The implementation of One State One RRB would be a much-needed relief for many of us.”

Telangana: First State to Implement One State One RRB Framework

While the nationwide rollout of One State One RRB remains in limbo, Telangana became the first state in India to successfully implement the framework. The Ministry of Finance officially notified the amalgamation of Telangana Grameena Bank and the Telangana operations of Andhra Pradesh Grameena Vikas Bank, effective January 1, 2025.

As the RRB consolidation process continues, stakeholders are closely monitoring further developments. With Telangana leading the way, it remains to be seen how soon other states will follow suit in implementing the One State One RRB policy in its entirety.

Tags:One State One RRBRRB AmalgamationDFSFull FledgedRRB EmployeesDelay