In a large step under one state-Ek RRB policy, the Central Government has approved the merger of Rajasthan Marudhara Gramin Bank and Baroda Rajasthan Kshatriya Gramin Bank in a single unit called Rajasthan Gramine Bank, as a single unit of 01 May 2025. Strengthening rural banking services across the state. The new head office will be located under the sponsorship of State Bank of India in Jaipur.
Rajasthan Gramin Bank was formed after merger with SBI sponsorship
Two transfer banks, Rajasthan Marudhara Gramin Bank and Baroda Rajasthan Kshatriya Gramin Bank, will be present as separate institutions, all their property, liabilities and customer relations will be originally transferred to Transfere Bank, Rajasthan Gramin Bank. This integrated structure is expected to bring uniformity to product offerings, interest rates and customer service standards in the rural belt of Rajasthan. Senior officials of both banks will work together during an transition period to align policies, integrate technology platforms and ensure minimum disruption in banking works.
Rajasthan Gramin Bank Share Capital
Rajasthan Gramine Bank will launch with an authorized capital of 2,000 crores, divided into 200 crores, completely divided into shares of ₹ 10. The new bank’s subscribed share capital will reflect a joint subscribed capital of two predecessor banks. Practically, the central government will organize shares of 61.21 crores, the state government of Rajasthan will organize 18.36 crores, and the sponsor bank (SBI) will capture .85 crore. This equity structure ensures that the bank is well capitalized from day one, which provides a solid financial basis for future borrowings and expansion.
| Rajasthan Gramin Bank Share Capital | |
| Unit | Equity contribution |
| Central government: | ₹ 61,21,28,790 |
| State government (Rajasthan) | ₹ 18,36,38,480 |
| Sponsor bank (SBI) | ₹ 42,84,90,130 |
Rajasthan Gramin Bank merger benefits
By consolidating operations in a strong institute, Rajasthan Gramin Bank will be deployed better to avail advanced banking technology, attract skilled professionals and to roll new credit and deposit schemes more efficiently. Farmers, small business owners and rural families can expect rapid debt processing, better mobile and internet banking services and a broad network of branches and ATMs. The merger also promises cost savings in administrative overheads, which can translate into more competitive interest rates for borrowers.
