RRBs are sponsored by which of the following?

Regional Rural Banks (RRBs) in India are sponsored by a combination of public sector banks, private sector banks, and cooperative banks. This unique sponsorship structure allows RRBs to leverage the expertise and resources of different types of banks while maintaining their focus on serving underserved rural communities.

🔴Additional Information:
Public sector banks: Public sector banks are the primary sponsors of RRBs, accounting for over 90% of the sponsorship base. These banks provide financial support, managerial expertise, and access to their network of branches.
Private sector banks: While private sector banks play a smaller role in sponsoring RRBs, their participation is increasing. Private sector banks bring their innovative products and services to RRBs, helping them cater to the evolving needs of rural customers.
Cooperative banks: Cooperative banks have a long history of serving rural communities, and their sponsorship of RRBs helps strengthen the cooperative banking sector. Cooperative banks provide RRBs with insights into the unique needs of rural customers and the cooperative banking model.
This multi-pronged sponsorship approach ensures that RRBs have access to a wide range of expertise and resources, enabling them to effectively serve the financial needs of rural communities in India.