Karnataka Gramin Bank
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| Karnataka Gramin Bank | |
| Company type | Regional rural bank |
| Industry | Banking |
| Predecessor | Pragathi Krishna Gramin Bank, Kaveri Gramin Bank |
| Founded | 4 January 2019 |
| Defunct | 30 April 2025 |
| Fate | Merged with Karnataka Vikas Grameena Bank to form Karnataka Grameena Bank |
| Successor | Karnataka Grameena Bank |
| Headquarters | Ballari, Karnataka , |
Key people | Shrikant M Bhandiwad (Chairman)[1] |
| Products | |
| Services |
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| ₹4,400 crore (US$520 million) (2023–2024) | |
| ₹700 crore (US$83 million) | |
Number of employees | 3600 |
| Parent |
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Karnataka Gramin Bank was an Indian Regional Rural Bank (RRB) headquartered in Ballari, Karnataka.[2] It was established on 4 January 2019 through the amalgamation of two Regional Rural Banks sponsored by Canara Bank, as approved by the Ministry of Finance.[3] The bank operated under the regulatory framework of the Regional Rural Banks Act, 1976.[4] It functioned as a scheduled commercial bank serving rural and semi-urban areas across various districts of Karnataka.[5][6]
Merger and formation
The Ministry of Finance announced the amalgamation through Gazette Notification CG-DL-E-07042025-262329 dated 5 April 2025.[7] Karnataka Gramin Bank (formerly Pragathi Krishna Gramin Bank) and Karnataka Vikas Grameena Bank merged effective 1 May 2025.[8][9][10][11]
The consolidation was implemented as part of the Government of India's "One State-One RRB" policy designed to improve operational efficiency.[12][13][14] Shreekant Bhandiwad, who previously served as Chairman of Karnataka Vikas Grameena Bank, was appointed as the inaugural Chairman of the merged institution.[15] This consolidation represents part of the broader governmental strategy to enhance Regional Rural Bank operational effectiveness through systematic amalgamation.
Pragathi Krishna Gramin Bank was formed in 2013 through the merger of Pragathi Gramin Bank and Krishna Grameena Bank.[16] Karnataka Vikas Grameena Bank was constituted in 2005 after amalgamating four Regional Rural Banks under recommendations of banking sector reforms.[17] Regional Rural Banks have evolved significantly since their inception in 1975, with consolidation becoming a key strategy for improving operational efficiency and financial viability.[18] As of March 2024, there are 43 Regional Rural Banks operating across India, sponsored by 12 scheduled commercial banks.[19] The government's consolidation strategy aims to merge these 43 banks into 28 entities for improved operational efficiency.[20]