SOURCES OF FUNDS IN COOPERATIVE BANK

[abhishreshthaa]

Co-operative banks are financial intermediaries only partially. The sources of their funds (resources) are :


(a) Central and state government,

(b) The Reserve Bank of India and NABARD,

(c) Other co-operative institutions,

(d) Ownership funds and,

(e) Deposits or debenture issues.


It is interesting to note that intra-sectoral flows of funds are much greater in co-operative banking than in commercial banking.

Inter-bank deposits, borrowings, and credit from a significant part of assets and liabilities of co-operative banks. This means that intra-sectoral competition is absent and intra-sectoral integration is high for co-operative bank.


SCBs and some UCBs are scheduled banks but other co-operative bank are non-scheduled banks. At present, 28 SCBs and 11 UCBs with Demand and Time Liabilities over Rs 50 crore each included in the Second Schedule of the Reserve Bank of India Act.


Co-operative Banks are subject to CRR and liquidity requirements as other scheduled and non-scheduled banks are. However, their requirements are less than commercial banks.


Since 1966, lending & deposit rate of commercial banks have been regulated by the RBI. Although it had power to regulate the rate co-operative bank but this have been exercised only after 1979; in case of non-agricultural advances, they were free to charge any rates.


Although the main aim of the co-operative bank is to provide cheaper credit to their members and not to maximize profits, they may access the money market to improve their income so as to remain viable.

 

[Business-education]

List Of Co-operative Banks In India

1. The Andaman and Nicobar State Co-operative Bank Ltd.
P.B.No.289
8, Maulana Azad Road
Port Blair - 744 101.

2.The Andhra Pradesh State Co-operative Bank Ltd.
P.B.No.142, 4-1-441, Troop Bazar
Hyderabad G.P.O.
Hyderabad - 500 001.

3. The Arunachal Pradesh State co-operative Apex Bank Ltd.
P.O.& T. Naharlagun "D" Sector
District - Subansiri
Naharlagun - 791 110.

4. The Assam Co-operative Apex Bank Ltd.
P.B.No.151, Apex Bank Building
Hem Barua Path, Pan Bazar
Guwahati - 781 001.

5. The Bihar State Co-operative Bank Ltd.
Ashok Rajpath

Patna - 800 004.
6. The Chandigarh State Co-operative Bank Ltd.
S.C.O.1088 - 89
Sector - 22 - B
Chandigarh - 160 022.

7. The Delhi State Co-operative Bank Ltd.
31, Netaji Subhash Marg
Daryaganj
New Delhi - 110 002.

8. The Goa State Co-operative Bank Ltd.
Dayanand Smriti Building
Swami Vivekanand Road, P.B.No.183
Panaji - 403 001.

9. The Gujarat State Co-operative Bank Ltd.
Sahakar Bhavan, Tilak Road
Ahmedabad - 380 001.

10. The Haryana State Co-opertive Apex Bank Ltd.
Bank Square, Sector 17-B
P.B.No.7
Chandigarh - 160 017.

11. The Himachal Pradesh State Co-operative Bank Ltd.
No.1, Bank Building, 2nd Floor
Shimla - 171 001.

12. The Jammu and Kashmir State Co-operative Bank Ltd.
Bhagat Barzulla Chowk
Bagat New Airport Road
Srinagar - 190 005.

13. The Karnataka State Co-operative Apex Bank Ltd.
No.1, Pampamahakavi Road
Chamrajpeth, P.B.No.1854
Bangalore - 560 018.

14. The Kerala State Co-operative Bank Ltd.
"COBANK Towers", P.O.Vikas Bhavan
Palayam, P.B.No.6514
Thiruvananthapuram - 695 033.

15. The Madhya Pradesh Rajya Sahakari Bank
Maryadit, Multistoryed Building
T.T.Nagar, New Market
P.B.No.315, Bhopal - 462 003.

Feel free to add more ..

:SugarwareZ-191:

 

[jitenmazee]

Co-operative banks are financial intermediaries only partially. The sources of their funds (resources) are :


(a) Central and state government,

(b) The Reserve Bank of India and NABARD,

(c) Other co-operative institutions,

(d) Ownership funds and,

(e) Deposits or debenture issues.


It is interesting to note that intra-sectoral flows of funds are much greater in co-operative banking than in commercial banking.

Inter-bank deposits, borrowings, and credit from a significant part of assets and liabilities of co-operative banks. This means that intra-sectoral competition is absent and intra-sectoral integration is high for co-operative bank.


SCBs and some UCBs are scheduled banks but other co-operative bank are non-scheduled banks. At present, 28 SCBs and 11 UCBs with Demand and Time Liabilities over Rs 50 crore each included in the Second Schedule of the Reserve Bank of India Act.


Co-operative Banks are subject to CRR and liquidity requirements as other scheduled and non-scheduled banks are. However, their requirements are less than commercial banks.


Since 1966, lending & deposit rate of commercial banks have been regulated by the RBI. Although it had power to regulate the rate co-operative bank but this have been exercised only after 1979; in case of non-agricultural advances, they were free to charge any rates.


Although the main aim of the co-operative bank is to provide cheaper credit to their members and not to maximize profits, they may access the money market to improve their income so as to remain viable.

Well done abhi! Very nice article and i really appreciate your work. BTW i am also uploading a document for giving information on sources and uses of funds in cooperative bank. So abhi, you should check it once and let me know your feedback.