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    Question

    What is the key feature of the RBI’s updated ECBA

    framework for Urban Co-operative Banks (UCBs)? 
    A Banks must only maintain net worth above ₹100 crore Correct Answer Incorrect Answer
    B Mandatory branch expansion in rural areas Correct Answer Incorrect Answer
    C UCBs must implement Core Banking Solutions and have two professional directors Correct Answer Incorrect Answer
    D Full government ownership required Correct Answer Incorrect Answer
    E Only banks with foreign partnerships are eligible Correct Answer Incorrect Answer

    Solution

    Under the new ECBA norms, UCBs seeking business expansion must implement Core Banking Solutions (CBS) and ensure that at least two members on their board are professional directors. This is intended to improve governance and digitization across cooperative banks. 

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