The deadline for merging the Malappuram District Cooperative Bank (DCB) with the Kerala Bank has been extended by one year with the Assembly on Monday passing the Kerala Cooperative Societies (Second Amendment) Bill, 2022.
Speaking on the occasion, Minister for Cooperation V. N. Vasavan said that once the Reserve Bank of India (RBI) nod is received for the merger, the government can complete the procedures within the one-year-period.
The earlier deadline for merging the Malappuram DCB was set at two years. Mr. Vasavan said that it is obvious that the Malappuram bank cannot stand in isolation.
The Kerala Cooperative Societies (Second Amendment) Bill, 2022, had been presented in the House on August 23 and referred to the subject committee concerned.
Draft Bill ready
The draft of a Bill which envisions comprehensive revamp of the state's cooperative sector is ready, Mr. Vasavan said. The Bill will be introduced in the next session of the Assembly.
Loan disbursement by the cooperative sector has strengthened under Kerala Bank compared to the earlier scenario under individual district cooperative banks, Mr. Vasavan said. At present, 35 types of loans are given under 769 Kerala Bank branches.
