<p>In a bid to protect the interest of depositors, the Lok Sabha on Wednesday passed an amendment to the Banking Regulation Act to bring cooperative banks under the supervision of the RBI.</p>.<p>The Banking Regulation (Amendment) Bill, 2020 replaces an ordinance that was promulgated on June 26.</p>.<p>Replying to the debate on the bill, Finance Minister Nirmala Sitharaman said this legislation is for depositors' safety and not for undermining powers of the Registrar of Cooperative Societies.</p>.<p>Powers of the Registrar of Cooperative Societies have not been encroached upon but banking activity of cooperatives will be regulated by the Reserve Bank of India (RBI), she said.</p>.<p>Urban cooperative banks and multi-state cooperative banks will be brought under the RBI's supervision process applicable to commercial banks.</p>.<p>There are about 1,482 urban cooperative banks and 58 multi-state co-operative banks with a depositors base of about 8.6 crore.</p>
<p>In a bid to protect the interest of depositors, the Lok Sabha on Wednesday passed an amendment to the Banking Regulation Act to bring cooperative banks under the supervision of the RBI.</p>.<p>The Banking Regulation (Amendment) Bill, 2020 replaces an ordinance that was promulgated on June 26.</p>.<p>Replying to the debate on the bill, Finance Minister Nirmala Sitharaman said this legislation is for depositors' safety and not for undermining powers of the Registrar of Cooperative Societies.</p>.<p>Powers of the Registrar of Cooperative Societies have not been encroached upon but banking activity of cooperatives will be regulated by the Reserve Bank of India (RBI), she said.</p>.<p>Urban cooperative banks and multi-state cooperative banks will be brought under the RBI's supervision process applicable to commercial banks.</p>.<p>There are about 1,482 urban cooperative banks and 58 multi-state co-operative banks with a depositors base of about 8.6 crore.</p>