However, SFBs and payments banks with reliance on high-end technology can pose significant challenges to cooperative banks. Payments banks sponsored by telecom companies can easily capture the remittance business from these banks. Co-operative banks have to substantially alter their approach to protect their turf from this competition onslaught. Relevance of co-operative banks 17.
With still a sizable population remaining without access to formal institutional finance, the issue of financial inclusion has taken a whole new meaning in this 21st century. Financial inclusion is not only about credit, but involves providing a wide range of financial services, including saving accounts, insurance, and remittance products.