Question
Under the ECBA framework, what is the maximum number of
states a Tier 3 or Tier 4 UCB with over ₹50 crore net worth can expand into per year without RBI approval?Solution
As per the ECBA framework, Tier 3 or Tier 4 Urban Co-operative Banks (UCBs) with a net worth over ₹50 crore can expand into up to 2 additional states per year without prior RBI approval, provided they meet capital adequacy and other norms.
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