Cooperative Banks In India

Co-operative Banks play an important role in Indian Banking and Financial System. These banks establish a link between the common masses and banking system. The Co-operative Banks are an important component of Indian Financial and Banking System. The Co-operative Banks in India play a significant role in rural financing; these banks provide financing in rural areas and playing a major role in strengthening upliftment of the weaker sections. In the recent years, the business of Co-operative Banks in urban areas also has increased due to the rapid increase in the number of Urban Cooperative Banks. Co-operative Banks in India are regulated and registered under the Co-operative Societies Act, 1912 and regulated by the RBI under to the Banking Regulation

The Kangra Central Co-operative Bank was known as a Zamidara Bank at the time of its registration, and it was functioning through one branch with its head office at Dharamshala. In Jan 1956 the Indora Banking Union was merged into the KCCB and the 2nd branch opened at Nurpur and in Jan 1957 the Palampur Banking Union was merged with the KCCB and the 3rd branch opened at Palampur.

November 1966, the hilly areas of Punjab state merged into Himachal Pradesh. The Kangra district, which was previously the province of Punjab, was merged with Himachal Pradesh and Cooperative Banking System of the merged area was also shifted to Himachal Pradesh. As that result, 4 branches of the Hoshiarpur Central Co-operation which operate in Una tehsil were also merged into The Kangra Central Cooperative Bank. In the year 25 January 1971, Himachal Pradesh becomes the 18th Indian state with 12 districts and the year of 1972 the area of operation of The Kangra Central Co-operative Bank was extended to the 5 districts which known as Kangra, Hamirpur, Una, Kullu and Lahaul &

 Provide Macro-level advancing for Self-Help Groups and Cooperative Societies for social development.

 Provide financing for the infrastructure development of the State through HPFC, HPSEB, HPIDB, HRTC, HPSCSC etc.

 Bank head office, zonal offices, and branches are fully computerized.

2.3 OBJECTIVES OF THE KCC BANK: The following are the objectives of this bank:

 To promote the financial interests of the members of the bank, according to cooperative principles, and facilitate the operation of cooperative societies registered under the Act.

 To organize the provision of credit for production, marketing, supply and processing purposes for the cooperative organization of agriculture and craftsmen, workers and other organizations and agro-producers, artisans, laborers and cooperative organizations.

 To make loans and advance with or without security to member societies and individual member.

 To lend money on the draft or open cash loan for individual members against securities.

 To provide affordable financial services such as loans and savings facilities to socially and economically poor and disadvantaged segment of the