Canara, Synd bank amalgamate RRBs

Canara Bank and Syndicate bank are merging some of the regional rural banks under them to form two larger entities respectively.

Four RRBs "" Tungabhadra Gramin Bank, Chitradurga Gramin Bank, Kolar Gramin Bank and Sahyadri Bank - sponsored by Canara Bank have been amalgamated to form the Pragathi Gramin Bank. The amalgamation will result in an economy of scale in operation and will improve rural banking.

The consolidated RRB will have a total net worth of Rs 233 crore and 349 branches. The deposits of the bank will be Rs 1,338 crore and advances will be Rs 1,298 crore with a cash-deposit ratio of 97 per cent. The new bank will be headquartered at Bellary and will cover seven districts "" Bellary, Raichur, Koppal, Chitradurga, Davanagere, Kolar and Shimoga.

Four RRBs sponsored by Syndicate Bank"" Malaprabha Grameen Bank, Bijapur Grameena Bank, Nethravathi Grameena Bank and Varada Grameena Bank "" has been amalgamated to form the Karnataka Vikas Grameena bank. The bank will be headquartered in Dharwad and will cover 387 branches and have a total business of Rs 3,000 crore.