Transforming Cooperative Banking to Steer the Growth of MSME Entrepreneurs of Rural India

Abstract

Indian banking system has come a long way from the initial days of unregulated banking to the present day of internet banking. However, the co-operative banking sector has still been stuck in the early 1980s, where people still stand in the lines to get their money deposited or withdrawn or simply updating the passbooks. Since, Indian economy is in a transitional stage, the co-operative banks need to come forward to provide loans and mentor the rural MSME entrepreneurs. Not only will this process uplift the rural economy of the country, it will transform the co-operative banks into modern day banking system by upgrading them.