Rural bank shows good results after merger

To bring the small banks onto a fast track RBI had permitted the merger of the small banks going in loss, with the big banks. In Muzaffarpur seven rural banks had merged into North Bihar Regional Rural Bank (NBRRB) and have given good result making a big profit during a period of the last one year. The RRB not only has paid a debt of overall loss of Rs 17.82 crore but also has succeeded in making a profit of Rs 11.51 crore during the period.

In a press meet on Wednesday the chairman of NBRRB Avinash Yog told the media person that the bank has made this achievement, mainly due to enhancing its loans, deposits, recovery and productive investments.

He informed that the bank's deposited amount has increased from Rs 3,062 crore to Rs 3,842 crore in 685 branches, making a hike of more than 25 per cent. He claimed the bank made an advance of Rs 1,471 crore as against only Rs 1,149 crore last year, registering a hike of 28 per cent. It did a business of Rs 5,313 crore in comparison to only Rs 4,212 crore. The average increase in business per branch was Rs 7.76 crore.

The NBRRB came into existence in 2006 after the merger of Vaishali, Siwan, Saran, West Champaran, Gopalgamj, Madhubani and Darbhanga rural banks.
The chairman of the bank, as well as the chief manager, S K Singh and the senior manager, R N Paswan, said whole credit of this profit goes to officers and employees of all branches spread in north Bihar region who put in all their efforts of the bank.

Recently there is a proposal to merge Kosi rural bank also in this bank during the current year. With this it will cover 18 districts of north Bihar under the jurisdiction of NBRRB.

All these banks are being sponsored by Central Bank of India. While giving the clarification on the merger of the banks the chairman said as the rest of three districts rural banks including those of Samastipur, Begusarai and Khagaria are being sponsored by other commercial banks, so they will not to be merged with it.

He said the NBRRB has distributed kisan credit cards to 73,409 farmers with a fund of Rs 243 crore at the rate of 109 cards each branch. The bank also opened 309 new kisan clubs in 272 branches during last one year.