Patna: A memorandum of agreement aimed at expanding rural banking and financial inclusion was signed on Tuesday between the Bihar State Cooperative Bank and COMFED in Patna, officials said. The agreement, part of India’s broader “Cooperation in Cooperation” initiative, seeks to integrate cooperative societies into the financial system and enhance access to banking in rural areas.
The deal was formalised at the Kautilya Panash Hotel in the presence of Bihar’s cooperative minister, Dr Pramod Kumar, and the state’s animal and fisheries resources minister, Surendra Mehta, who attended as chief guests.
According to the managing director of the cooperative bank, the initiative aims to use the extensive network of primary dairy cooperative societies to provide doorstep banking services. These societies will be equipped to function as banking correspondents, offering services such as cash deposits and withdrawals, account openings, micro-loans and insurance, as well as digital transactions via micro ATMs.
Bank officials said the scheme would reduce the need for rural residents – particularly dairy farmers and women – to travel long distances to bank branches. Instead, basic financial services would be available locally through the cooperative network, strengthening financial inclusion and rural economic participation.
The chairman of the cooperative bank, Ramesh Chandra Choubey, who presided over the event, described the agreement as a mechanism to better coordinate banking services with dairy societies and develop them as financial service hubs. He argued that linking rural producers with formal banking would support agricultural productivity and economic stability in the countryside.
The animal and fisheries resources minister said the initiative would increase income opportunities for dairy and livestock farmers by improving access to credit and financial tools. He emphasised that rural employment and productivity in the animal husbandry sector could grow as a result of improved financial infrastructure.
The cooperative minister described the partnership as part of a broader effort to revitalise the rural economy through stronger cooperative institutions. He said expanding the role of cooperative societies as banking correspondents would deepen financial inclusion and encourage economic self-reliance among rural communities.
The agreement was signed by Manoj Kumar Singh, managing director of the cooperative bank, and Sameer Saurabh, managing director of COMFED. Officials from Bihar’s cooperative and animal resources departments, representatives of district cooperative banks and members of the state cooperative bank’s board also attended the event.
