In an inspiring address, Jyotindra Mehta, Chairman, National Urban Cooperative Finance and Development Corporation (NUCFDC) has highlighted the transformation, resilience, and renewed confidence of India’s cooperative banking sector at the inauguration of CoopKumbh.
Speaking in the presence of Union Home and Cooperation Minister Amit Shah, Mehta credited the Ministry of Cooperation for steering the sector into the national mainstream since its establishment in 2021.
“The days when cooperatives were treated as second-grade citizens are over. We now stand proudly alongside the corporate sector,” he said.
Expressing gratitude to the Ministry’s proactive work culture, Mehta added, “Amitbhai’s Ministry neither sleeps nor lets us sleep, even on holidays, we remain committed to cooperative progress.”
Citing a World Bank report that recognised India’s banking system as among the most resilient globally, Mehta pointed to the remarkable turnaround of Urban Cooperative Banks (UCBs).
“In 2021, our Gross NPAs were around 21 per cent. Today, they are down to 7 per cent, and Net NPAs stand at just 1.2 per cent. This is a proud moment for every cooperator in the country,” he said.
As part of NUCFDC’s digital push, Mehta announced two key initiatives under the Sahakar DigiPay mission. Over 800 Tier-1 UCBs, including those in remote areas such as Imphal and Pochampally, will soon adopt dedicated digital payment applications to enhance financial inclusion.
He also unveiled a Loan Origination System (LOS) enabling borrowers to apply for and receive loan approvals from their homes, ushering in a fully digital era for cooperative banking.
Reaffirming the vision of “One Town, One UCB” set forth by Minister Amit Shah, Mehta said the initiative would ensure balanced geographical growth of UCBs and reduce regional concentration. He highlighted the upcoming Umbrella Organization (UO) as a crucial step toward strengthening cooperative unity.
“NUCFDC will be the digital backbone of cooperative banking, strong, secure, and people-focused,” he noted.
During a special session on “Cooperation Among Cooperatives: Role of Umbrella Organisation,” featuring RBI’s former Executive Director V. S. Das, TJSB Bank Chairman Sharad Gangal, and NUCFDC CEO Prabhat Chaturvedi, Mehta emphasised the need for unity within the cooperative movement.
“Cooperation among cooperatives is one of our oldest ideals, but somewhere along the way, we forgot it,” he remarked.
He highlighted that nearly 80 per cent of India’s 1,480 UCBs fall within Tier-1 and Tier-2 categories, many serving their communities for over a century. “We must ensure that not a single bank is forced to close. Let’s aim for 100 per cent compliance, minimum penalties, and collective growth,” he urged.
Calling the Umbrella Organization the “first step toward the next century of cooperation,” Mehta said it would provide structural, financial, and digital strength to the sector.
“If we fail to strengthen this institution now, our next generation will not forgive us,” he cautioned.
Concluding his address, Mehta expressed confidence that CoopKumbh 2025 would mark a turning point for the cooperative credit movement.
“Technology and togetherness will define the future of Indian cooperatives. Through unity, we will build a stronger, more inclusive, and digitally empowered cooperative India,” he said.
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