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RBI Updates RRB Schedule: 9 New Banks In, 40 Old Banks Out

Current · Source: Reserve Bank of India · RBI/2009-10/455 · issued 07 May 2010 · ~2 min read
Quick answerRBI has included 9 amalgamated Regional Rural Banks in the Second Schedule of the RBI Act, 1934, and simultaneously excluded 40 erstwhile RRBs. This reflects the completion of amalgamation of these banks into new entities, effective from January 21, 2010.
The rule, in the simplest words
How it plays out — a real example

As a payments & clearing officer in Indore, Rohan must update the records of the old RRBs his bank had dealings with, replacing them with the new RRB names and ensuring that all transactions and exposures are correctly attributed to the amalgamated banks. He must also communicate with his treasury team about the change in legal status for these RRBs and ensure compliance with RBI's Second Schedule requirements.

What changed

RBI notified the inclusion of 9 new RRBs (e.g., Baroda Rajasthan Gramin Bank, Wainganga Krishna Gramin Bank) in the Second Schedule via notification RPCD.CO.RRB.No.7812A/2009-10. Simultaneously, 40 erstwhile RRBs were excluded from the Schedule via notification RPCD.CO.RRB.No.7812B/2009-10, both dated January 21, 2010, and published in the Extraordinary Gazette on March 12, 2010.

What it means for you

For banks and lenders, this formalizes the legal status of the amalgamated RRBs as scheduled banks, granting them access to RBI facilities and regulatory benefits. The exclusion of the 40 old RRBs means their separate legal identities cease, and all assets/liabilities now vest with the new entities. Lenders dealing with these RRBs must update their records to reflect the new bank names and ensure compliance with RBI's Second Schedule requirements.

What you must do

Who it affects

Regional Rural Banks (RRBs) and their sponsor banks, Lenders and financial institutions with exposures to these RRBs, RBI regional offices and regulatory compliance teams, Banking operations teams handling interbank transactions

❓ Common questions

Regulatory timeline

Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).

Why were 40 RRBs excluded from the Second Schedule?

These 40 erstwhile RRBs were amalgamated into 9 new RRBs as part of a consolidation exercise. Their exclusion from the Second Schedule reflects the completion of the amalgamation, meaning they no longer exist as separate legal entities.

What is the effective date for these changes?

The notifications were issued on January 21, 2010, and published in the Extraordinary Gazette of India on March 12, 2010. The inclusion and exclusion are effective from the date of the notifications.

Do I need to update my bank's records for these RRBs?

Yes, if your bank has any transactions, exposures, or counterparty relationships with these RRBs, you must update your systems to reflect the new amalgamated bank names and remove the old ones to ensure accurate regulatory and operational compliance.

📜 Read the original circular — full text as issued by RBI
RBI/2009-10/455 RPCD.CO.RRB.BC. No. 81/ 03.05.100/ 2009-10 May 07, 2010 All Regional Rural Banks Dear Sir, Inclusion in / exclusion from the Second Schedule to the Reserve Bank of India Act, 1934 – Regional Rural Banks (RRBs) We advise that the names of 9 amalgamated Regional Rural Banks have been included in the Second Schedule to the Reserve Bank of India Act, 1934 by notification RPCD.CO.RRB.No.7812A/03.05.100/2009-10 January 21, 2010 published in the Extraordinary Gazette of India (Part III- Sec.4) dated March 12, 2010. 2. Simultaneously, the names of 40 erstwhile Regional Rural Banks have been excluded from the Second Schedule to the Reserve Bank of India Act, 1934 by notification RPCD.CO.RRB.No.7812B/ 03.05.100/ 2009-10 dated January 21, 2010 which was also published in the abovementioned Extraordinary Gazette of India. 3. Copies of the above two notifications RPCD.CO.RRB. No.7812A/03.05.100/2009-10 and RPCD.CO.RRB.No.7812B/ 03.05.100/ 2009-10 dated January 21, 2010, are enclosed. 4. Please acknowledge receipt to our Regional Office concerned. Yours faithfully (R.C. Sarangi) Chief General Manager Encls : As above RPCD.CO.RRB.No. 7812 A/ 03.05.100 /2009-10 January 21, 2010 NOTIFICATION In pursuance of clause (a) of sub section (6) of Section 42 of the Reserve Bank of India Act, 1934 (2 of 1934), the Reserve Bank of India hereby directs the inclusion in the Second Schedule to the said Act of the following Regional Rural Banks, namely: Baroda Rajasthan Gramin Bank, Ajmer (Rajasthan) Wainganga Krishna Gramin Bank, Solapur (Maharashtra) Vananchal Gramin Bank, Dumka (Jharkhand) Bihar Kshetriya Gramin Bank, Monghyr (Bihar) Uttar Bihar  Gramin Bank, Muzaffarpur (Bihar) Jharkhand Gramin Bank, Ranchi (Jharkhand) Neelachal Gramya Bank, Bhubaneswar (Orissa) Bangiya Gramin Vikash Bank, Berhampore (West Bengal) Satpura Narmada Kshetriya Gramin Bank, Chhindwara (Madhya Pradesh) (V.K.Sharma) Executive Director RPCD.CO.RRB.No. 7812 B / 03.05.100 /2009-10 January 21, 2010 NOTIFICATION In pursuance of clause (b) of sub section (6) of Section 42 of the Reserve Bank of India Act, 1934 (2 of 1934), the Reserve Bank of India hereby directs exclusion from the Second Schedule to the said Act of the following Regional Rural Banks, namely: Begusarai Kshetriya Gramin Bank, Begusarai (Bihar) Bhagalpur-Banka Kshetriya Gramin Bank, Bhagalpur (Bihar) Monghyr Kshetriya Gramin Bank, Monghyr (Bihar) Marudhar Kshetriya Gramin Bank, Churu (Rajasthan) Aravali  Kshetriya Gramin Bank, Sawai Madhopur (Rajasthan) Bundi-Chittorgarh Kshetriya Gramin Bank, Bundi (Rajasthan) Bhilwara Ajmer Kshetriya Gramin Bank, Bhilwara (Rajasthan) Dungarpur-Banswara Kshetriya Gramin Bank, Dungarpur (Rajasthan) Ranchi Kshetriya Gramin Bank, Ranchi (Jharkhand) Singhbhum Kshetriya Gramin Bank, Chaibasa (Jharkhand) Hazaribagh Kshetriya Gramin Bank, Hazaribagh (Jharkhand) Giridih Kshetriya Gramin Bank, Giridih (Jharkhand) Palamau Kshetriya Gramin Bank, Daltonganj (Jharkhand) Santhal Paraganas Gramin Bank, Dumka (Jharkhand) Chandrapur Gadchiroli Gramin  Bank, Chandrapur (Maharashtra) Bhandara Gramin Bank, Bhandara (Maharashtra) Ratnagiri Sindhudurg Gramin Bank, Ratnagiri (Maharashtra) Solapur Gramin Bank, Solapur (Maharashtra) Gaur Gramin Bank, Malda (West Bengal) Mallabhum Gramin Bank, Bankura (West Bengal) Murshidabad Gramin Bank, Berhampore (West Bengal) Nadia Gramin Bank, Krishnanagar (West Bengal) Sagar Gramin Bank, Amtala (West Bengal) Puri Gramya Bank, Pipli (Orissa) Dhenkanal Gramya Bank, Dhenkanal (Orissa) Kshetriya Gramin Bank  Hoshangabad (Madhya Pradesh) Chhindwara-Seoni Kshetriya Gramin Bank, Chhindwara (Madhya Pradesh) Mandla-Balaghat Kshetriya Gramin Bank, Mandla (Madhya Pradesh) Shahdol Kshetriya Gramin Bank, Shahdol (Madhya Pradesh) Chambal Kshetriya Gramin Bank, Morena (Madhya Pradesh) Gwalior- Datia Kshetriya Gramin Bank, Datia (Madhya Pradesh) Ratlam Mandsaur Kshetriya Gramin Bank, Mandsaur (Madhya Pradesh) Kosi Kshetriya Gramin Bank, Purnea (Bihar) Champaran Kshetriya Gramin Bank, Motihari (Bihar) Madhubani Kshetriya Gramin Bank, Madhubani (Bihar) Mithila Kshetriya Gramin Bank, Darbhanga (Bihar) Gopalganj Kshetriya Gramin Bank, Gopalganj (Bihar) Saran Kshetriya Gramin Bank, Chapra (Bihar) Siwan Kshetriya Gramin Bank, Siwan (Bihar) Vaishali Kshetriya Gramin Bank, Muzaffarpur (Bihar) (V.K.Sharma) Executive Director
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2009-10/455 · issued 07 May 2010. The plain-English explanation above is BankPulse’s own independent summary.
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Who does what — compliance checklist
🏦 Branch Manager
  • Update internal systems and records to reflect the new RRB names and exclude the old ones from your counterparty lists.
  • Communicate with relevant branches and treasury teams about the change in legal status for these RRBs.
📜 Compliance
  • Verify that any transactions or exposures with the erstwhile RRBs are now correctly attributed to the amalgamated banks.
  • Ensure compliance with RBI's Second Schedule requirements for any dealings with the new RRBs.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template

Example: if you are a Branch Manager at a bank this circular applies to (Regional Rural Banks (RRBs) and their sponsor banks, Lenders and financial institutions with exposures to these RRBs, RBI regional offices and regulatory compliance teams, Banking operations teams handling interbank transactions), your first concrete step on “RBI Updates RRB Schedule: 9 New Banks In, 40 Old Banks Out” is: “Update internal systems and records to reflect the new RRB names and exclude the old ones from your counterparty lists.” (RBI issued this 07 May 2010).

  1. Circular: RBI/2009-10/455 -- RBI Updates RRB Schedule: 9 New Banks In, 40 Old Banks Out
  2. Issued: 07 May 2010
  3. Action required: Update internal systems and records to reflect the new RRB names and exclude the old ones from your counterparty lists.
  4. Action required: Verify that any transactions or exposures with the erstwhile RRBs are now correctly attributed to the amalgamated banks.
  5. Action required: Communicate with relevant branches and treasury teams about the change in legal status for these RRBs.
  6. Action required: Ensure compliance with RBI's Second Schedule requirements for any dealings with the new RRBs.
  7. Owner: ____________ Target date: ____________
  8. Board/committee approval needed? Y / N
  9. Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.

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Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5663&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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