Introduction
The need for an Umbrella Organisation for India's UCB sector on the lines of those existing abroad was first emphasized in 2006 by an RBI Working Group chaired by Shri N.S. Vishwanathan (the then CGM, and presently, Retired Deputy Governor RBI). The recommendation was made in the context of exploring avenues for UCBs for raising capital, as also the need for professionalization of the sector and reviving the sagging public confidence in the sector post the MMCB crisis. Thereafter, RBI appointed another Working Group on Umbrella Organisation for the UCB sector under the chairmanship of Shri V.S. Das, then Executive Director RBI. In a comprehensive report submitted in 2009, based on the study of umbrella organisations in other countries, this Working Group recommended a model of a national level Umbrella Organization for the UCB sector on the lines of umbrella organisations of credit unions abroad. These recommendations were subsequently broadly supported by certain other high level RBI committees and also by UCBs themselves in several conferences organized by NAFCUB and other state federations/ organizations. However, progress made was rather slow. NAFCUB vigorously and tenaciously pursued the matter with Reserve Bank of India for early implementation of the recommendations. A Steering Committee, constituted by NAFCUB in 2016 at the instance of RBI submitted its recommendations in 2017 which suggested the design, role and functions of the Umbrella Organisation. This report was furnished by NAFCUB to RBI in 2018, and their approval was sought. The RBI agreed to the proposal for formation of the Umbrella Organisation in June 2019 in the form of a non-deposit taking NBFC. Recently, Reserve Bank of India has issued a Certificate of Registration for the umbrella organization under the name, style and title of “National Urban Cooperative Finance and Development Corporation Ltd. as a Type II Non-deposit taking NBFC. This is a landmark development and a great opportunity for India's UCB sector. All UCBs , big or small have decided to come together in a spirit of mutual cooperation and solidarity to form a robust and professional umbrella organisation, on the lines of those operating in other countries, that have a large presence of cooperative credit institution popularly called credit unions.
Mission
Umbrella organisation is being conceived as a robust, professionally run organisation for India’s UCB sector, like those functioning abroad, to foster mutual support and protect UCBs in their growth, governance, enhance their IT capabilities and inculcate ability to face the challenges of competition and contribute towards the nation’s economic and social development.
Vision
We are presently a start-up organisation trying to find our feet, with a dream of possessing the ability and professional competence to facilitate the healthy growth of the UCB sector, to make it vibrant and carve a significant and respectable niche for itself in the diverse and increasingly digital and competitive financial landscape. We would like our company to be leveraged on the latest IT architecture and be able to host CBS, payment gateways and systems and offer a slew of products and services to our member banks. We should ourselves have an exemplary and impeccable record in corporate governance and compliance with the laws, regulations, and rules applicable to us. In the long term we aim to become an Apex Bank for the UCB sector.
Values
Integrity, Transparency & Accountability being the core values will help in delivering sound corporate governance. Serving the urban cooperative banking sector and supporting its upliftment to the best of our ability will be our constant endeavour. We will treat our human resources as our most precious asset and provide them a conducive work environment and opportunities for their professional development and growth.
