:large_blue_diamond::lemon::large_blue_diamond:
:heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign:
:point_right:SMALL BANKS:
:heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign::heavy_minus_sign:
1.They cater to deposits and loans particularly in small areas.
2.They are meant for financial inclusion of small farmers, MSMEs, and the unorganised sector.
3. MFI, NBFC can convert themselves to differentiated small banks if a license is allotted to them.
4. 25% rural branching.
5. 50% loans to MSME.
6. PSL of 40% applies that they need to comply to within 3 years of their licensing.
7. Cooperative bank can’t apply for license of small banks.
8 . NRI can apply for licenses.