UCB digital push: Umbrella body NCFDC to be operational by early 2023

Customers of UCBs, including those with a single branch, will be able to access their bank accounts across two million customer touchpoints

The proposed Umbrella organisation for Urban Cooperative Banks, National Cooperative Financial and Development Company (NCFDC), will be ready for operations in early calendar 2023.

Prior to that, the NCFDC, which is a non-banking finance company, will raise Rs 300 crore as capital from member banks and build a team for operations. J Mehta, president of the National Federation of Urban Co-operative Banks and Credit Societies (NAFCUB), said it would apply for an NBFC licence, after getting commitments for equity infusion. This is expected to happen by December. NAFCUB has been tasked to set up an umbrella body.

The company would work on