Former Financial Services Secretary D K Mittal states that most small finance banks (SFBs) likely won't transition to universal banks despite RBI easing restrictions.

Former Financial Services Secretary D K Mittal believes most small finance banks (SFBs) wouldn't want to become universal banks even if RBI eases some restrictions. SFBs, licensed by RBI in 2014, are mandated to open 25% branches in unbanked rural areas and provide 75% loans to the priority sector. Last month, RBI invited SFBs meeting specific criteria to apply for becoming universal banks.

May 26, 2024
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