Is DCCB a Government or Private?
By BYJU'S Exam Prep
Updated on: November 9th, 2023
District Co-operative Central Bank (DCCB) is a private bank controlled by the Reserve Bank of India. DCCB is a rural cooperative bank that operates at the district level in various parts of the country. The bank provides banking services to the farming sector along the rural frontier, with branches primarily located in rural and semi-urban areas.
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DCCB – Government or Private Bank
The Cooperative Societies Act of 1904 governs cooperative banks such as DCCB. These are banks in the private sector. DCCBs typically cater to the credit needs of agriculturists and pay slightly higher interest rates to depositors than commercial banks.
In DCBB or any cooperative bank, borrowers are partner shareholders, so they have some power over the banks’ lending guidelines on their voting power.
Facts about DCCB Bank
The Important Facts about the DCCB Bank in India are mentioned below:
- DCCB is not run by the government.
- Cooperative organizations have assisted in introducing more profitable methods like Cooperative credit is available for buying better quality seeds, chemical fertilizers, modern implements, etc.
- Cooperative banks are governed by the laws established by the Registrar of Co-operative Societies and are overseen by the RBI (Reserve Bank of India).
- The number of branches of such banks is small and geographically limited.
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