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Community-focused banks face existential crises over a lack of capital cushion and inadequate oversight
Synopsis
Currently, community banking only exists in some rudimentary form among cooperative banks. But these too face existential crises. Lack of adequate capital, ill-equipped boards, poor technology and a dwindling customer base have sounded the death knell for several community-focused banks.
Not many storms brew over the Arabian Sea, but strong winds blowing off East Africa occasionally whip up currents and swells that even the most experienced boatmen find difficult to navigate. Fishermen hailing from Vasai, Uttan, Naigaon and Arnala along the Mumbai coastline often return home in battered and creaky boats, hauling torn nets that manage a meagre catch during their 10-12-day deep-sea fishing expeditions.