Governor to meet heads of small finance banks on Friday

Reserve Bank of India (RBI) Governor Shaktikanta Das will meet heads of small finance banks on Friday to discuss various issues related to them.

There are 10 small finance banks operating in the country.

"Small finance banks have an important role in promoting financial inclusion and priority sector lending. Will hold meeting with MD/CEOs of small finance banks tomorrow," he said in a tweet on Thursday.

The small finance banks are entities that provide basic banking services like accepting deposits and lending to the unbanked sections such as small farmers, micro business enterprises, micro and small industries and unorganised sector entities.

The central bank had received 72 applications to set up small finance bank licences.

After scrutiny, the RBI decided to grant in-principle approval to 10 applicants to set up small finance banks.