The Minister of State in the Ministry of Finance (Shri Namo Narain Meena)
(a): As on date, there are 83 Scheduled Commercial Banks (SCBs) and 4 Non-Scheduled Banks(Local Area Banks) in the country. Besides, consequent upon amalgamation of Regional Rural
Banks (RRBs), the number of RRBs has declined from 196 to 82 as on date. At present, names of
seven amalgamated RRBs (out of a total 82 RRBs) have not been included in the Second Schedule
to RBI Act, 1934. These banks are Maharashtra Gramin Bank, J&K Grameen Bank, Ballia Etawah
Gramin Bank, Allahabad UP Gramin Bank, Paschim Banga Gramin Bank, Kalinga Gramya Bank and Utkal
Gramya Bank. All the RRBs are treated as scheduled banks for the purpose of maintenance of
Cash Reserve Ratio, etc. by the Reserve Bank of India (RBI).
Scheduling of State Co-operative (StCBs) is done in terms of Para 42 (6) (a) of the RBI Act,
1934, according to which the eligibility criteria are as under:-
(i) the bank has a paid-up capital and reserves of an aggregate value of not less than
Rs. 5 lakh; and
(ii) it satisfies RBI that its affairs are not being conducted in a manner detrimental to the
interest of its depositors.
(b): The details of taxes collected from banks during the last three years are not available
with the Data Reporting System of RBI. However, the amount of provision for income taxes, made
by SCBs, is furnished in the table below:
Provisions for Tax by All Banks
During the Financial Year Rs. Crore
2007-08 18,639
2008-09 25,763
2009-10 24,762
Source: Off-site returns (Domestic Operations) (Profit Before Tax - Profit after tax)
(c) to (e): RBI has received some requests from Local Area Banks (LABs) for granting
scheduled status. However, at present the RBI has no proposal for converting non-scheduled
banks to scheduled commercial banks as the policy relating to LABs is under review in RBI.
