Bihar Tightens Oversight of Cooperative Banks, Minister Issues Stark Warning

Cooperative banks play a pivotal role in Bihar’s rural finance ecosystem. In a recent briefing, Minister Ram Kripal Yadav signalled a new phase of stringent oversight for these institutions. The government will now conduct comprehensive reviews of all cooperative banks, focusing on non‑performing assets, micro‑ATM operations and loan disbursement practices. Managing directors who fail to meet the required standards will face accountability measures, potentially including removal from office. The move aims to curb malpractices and restore public confidence in the cooperative banking sector.