RBI has asked urban cooperative banks (UCBs) to have a board review of their loan policy at least once a year without delay, Mint quotes Economic Times.
The apex bank said it in a notification issued recently.
As per the April master guidelines issued by the apex bank, UCBs have to formulate with the approval of their boards, transparent policies and guidelines for credit dispensation with regard to each broad category of economic activity, keeping in view the credit exposure norms and various other guidelines issued by the apex bank at intervals.
It is worth mentioning that the ape bank has of late initiated a number of measures to strengthen the cooperative banking structure.