Bandhan Financial Services, a Micro Financial Institution (MFI), on 23 August 2015 started operations as a Scheduled Commercial Bank (SCB). Henceforth it will be called as Bandhan Bank.
The banking services were inaugurated by the Union Finance Minister Arun Jaitley in Kolkata.
With this, Bandhan became the first micro finance company in the country to start operations as a full-fledged commercial bank. It is also the first commercial bank from Eastern India to get RBI clearance since independence.
Bandhan along with IDFC (Infrastructure Development Finance Company) were granted banking licenses in 2014 by the Reserve Bank of India (RBI). The move was aimed at deepening financial services reach in the country by utilizing the services of the existing players in the market.
Bandhan started as a Non Banking Finance Company in 2001 and focused on the lower strata of the especially unorganized sector workers.
On the inaugural day, the bank started operations with 501 branches in 24 states across the country with 1.43 crore accounts.
Chandra Sekhar Ghosh, the Managing Director and Founder of the Bank.
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