Kerala govt has accepted the recommendations of an expert committee headed by M.S.Sreeram of IIM , Bangalore for the formation of the proposed Kerala Cooperative Bank, reports PTI. The committee had recommended completion of the process for formation of the bank in 18 months.
As per the proposal, the 14 district co-operative banks will be integrated with the State Co-operative bank for the formation of Kerala Co-operative Bank, to be known as Kerala Bank.
The present three-tier cooperative would be converted into a two-tier system. The existing primary agriculture cooperative societies would be retained as such.
It also recommended constitution of a Kerala State Financial Regulatory Authority to supervise financial institutions under the co-operative sector.
Meanwhile, the Congress-led UDF in Kerala asked the government on Thursday to desist from forming a Kerala Co-operative Bank by integrating district co-operative banks.