Ministry’s bid to boost NUCFDC’s share capital; Secretary holds meeting

Union Ministry of Cooperation Secretary Dr. Ashish Kumar Bhutani chaired a review meeting last week to assess the progress of the National Urban Cooperative Finance and Development Corporation (NUCFDC), an umbrella organization for urban cooperative banks (UCBs).

During the meeting, it was decided to organize a session in Mumbai on December 30, 2024, with the top 50 multi-state UCBs from Maharashtra, Gujarat, and other states yet to contribute to NUCFDC’s share capital. The venue for the meeting has already been finalized.

The session will include senior officials from the Ministry, such as Dr. Bhutani and Pankaj Bansal, alongside the Chairpersons and CEOs of the top 50 UCBs. This will mark the first time since NUCFDC’s establishment that the Union Ministry of Cooperation directly engages with UCB representatives to address this critical agenda.

The upcoming session is strategically significant, as it aims to foster collaboration with the most influential UCBs to strengthen the cooperative banking sector. By directly engaging key stakeholders, the Ministry and NUCFDC hope to address concerns, clarify objectives, and encourage further contributions to the corporation’s share capital.

NUCFDC has already made substantial progress in outreach efforts. So far, 175 UCBs have contributed approximately Rs 172 crore to NUCFDC’s share capital, with Maharashtra leading the contributions. A total of 45 UCBs from the state have collectively contributed around Rs 65 crore.

In addition to the Mumbai session, NUCFDC is conducting state-level meetings to enhance its outreach. On December 16, 2024, NUCFDC representatives will meet UCBs in Hyderabad, Telangana, followed by a tentative meeting scheduled for December 25, 2024, in Andhra Pradesh. Similar sessions are planned in other states to expand engagement and mobilize additional contributions.

NUCFDC envisions itself as a catalyst for the growth and modernization of UCBs. By mobilizing resources and fostering partnerships, it seeks to empower UCBs to meet the growing demands of their members and communities.

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