Bank Merger News: The Reserve Bank of India (RBI) has officially sanctioned the merger of four prominent cooperative banks in Gujarat, effective today, December 15, 2025. Following this pivotal decision, these banks will now function as two more robust cooperative institutions.
Bank Merger News: Merger completed under two schemes
This merger has been executed in accordance with the Banking Regulation Act of 1949, aiming to enhance and revitalize Gujarat’s cooperative banking landscape. The RBI confirmed that this merger was undertaken on a voluntary basis, with the agreement of all involved banks.
Under the first significant merger scheme, the Amod Nagrik Cooperative Bank has merged with the Bhuj Mercantile Cooperative Bank, headquartered in Ahmedabad. This transition has been implemented today. Consequently, all branches of the Amod Nagrik Cooperative Bank will now operate as branches of the Bhuj Mercantile Cooperative Bank. The merger took place under Section 44A of the Banking Regulation Act, which facilitates the voluntary merging of banks.
In the second major merger scheme, Amarnath Cooperative Bank has merged with Kalupur Commercial Cooperative Bank. After this merger takes effect, all branches of Amarnath Cooperative Bank will start functioning as branches of Kalupur Commercial Cooperative Bank.
What will happen to customers’ deposited money?
With the RBI’s approval of the merger, a primary concern for customers is the safety of their deposited funds. The RBI has addressed this issue, reassuring customers that the merger will not adversely affect them. Existing customers will continue to enjoy smooth banking operations, and their deposits are guaranteed to remain secure throughout this transition.
In summary, the recent bank merger signifies a transformative step towards strengthening cooperative banking in Gujarat, with customers’ interests maintained at the forefront.
Frequently Asked Questions
What does the bank merger mean for customers?
The merger ensures that banking services will remain unaffected, and customers’ deposits will be completely safe and secure.
Which banks are involved in this merger?
The banks involved are Amod Nagrik Cooperative Bank, Bhuj Mercantile Cooperative Bank, Amarnath Cooperative Bank, and Kalupur Commercial Cooperative Bank.
When did the merger take effect?
The merger officially took effect on December 15, 2025.
How will this merger impact banking services?
Banking services will continue smoothly, with branches of merged banks operating under the new bank identity.
Are there any risks to customers’ funds?
The RBI has assured customers that their funds remain safe, and there will be no negative impact due to the merger.
