Union DoNER Minister Jyotiraditya Scindia on October 13 called for faster financial inclusion across the Northeast, urging banks to connect 2,574 remaining villages without banking or postal services, expand credit access and improve lending to support regional development.
Key Takeaways
- Banking and postal connectivity has reached 6,905 of 9,479 identified villages across the Northeast, leaving 2,574 villages to be covered.
- Banks opened 131 branches and installed 126 ATMs between December 2024 and March 2026. The minimum population requirement for opening a physical branch in Northeastern states has been reduced from 3,000 to 2,000.
- Mizoram aims to raise its Credit-Deposit Ratio from 55.83% in 2025-26 to 67% by 2028-29, while the conclave seeks practical measures to expand lending and livelihoods.
A total of 6,905 of the 9,479 villages identified for banking and postal connectivity in the Northeast have gained access to these services, Union Minister for Development of North Eastern Region Jyotiraditya Scindia said on Tuesday. Speaking at the North East Bankers’ Conclave 3.0 in Aizawl, he announced a lower population threshold for opening physical bank branches and called for stronger lending, wider rural coverage and measurable targets to accelerate financial inclusion.
Bank Branch Expansion and Digital Payments
Scindia said banks had opened 131 new branches and installed 126 ATMs across the Northeast between December 2024 and March 2026. The expansion marks progress in improving access to formal financial services in remote and underserved areas.
However, he stressed that authorities must accelerate efforts to reach the remaining 2,574 villages without banking or postal connectivity.
To improve access, the government has lowered the minimum population requirement for establishing a physical bank branch in the Northeastern states from 3,000 to 2,000. Scindia said the revised guideline would help bring banking services closer to more people.
He also highlighted the growing role of digital transactions. According to the minister, the Unified Payments Interface (UPI) accounts for 90.2% of non-branch banking transactions across the Northeastern states.
Credit-Deposit Ratio Targets for Tripura and Mizoram
Scindia emphasised the need to increase the Credit-Deposit (CD) Ratio to ensure that more deposits support economic activity within the region.
He said banks had set a target of 60% for Tripura and Arunachal Pradesh and 67% for Mizoram. A higher CD Ratio can help channel more funds into local businesses, entrepreneurs and development activities.
The minister described the ratio as an important indicator of regional economic progress. He also suggested interpreting CD Ratio as “Credit for Development” to highlight the role of lending in strengthening local economies.
Scindia pointed to the Northeast’s large working-age population, high literacy rates and abundant natural resources as major advantages. He said closer cooperation between banks and governments would help convert these strengths into sustainable economic opportunities.
The Aizawl conclave also marked his 35th visit to the Northeastern states during his two years and eight months as DoNER Minister.
Agartala Conclave Targets and State-Level Consultations
Recalling the North East Bankers’ Conclave 2.0 in Agartala, Tripura, Scindia said the earlier meeting had established targets for opening bank branches, installing ATMs and connecting unbanked rural villages to formal banking networks.
DoNER Secretary Katikithala Srinivas subsequently held separate consultations with representatives of each state to establish specific targets.
Scindia praised Mizoram for its progress in digital payments and the implementation of the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY).
At the same time, he called for stronger enrolment under the Pradhan Mantri Jan Dhan Yojana and PM Vishwakarma scheme. He also urged banks to focus more on credit expansion and lending rather than concentrating primarily on account-related services.
Four Priorities at North East Bankers’ Conclave 3.0
Scindia said the deliberations at the Aizawl conclave focused on four themes: Last Mile, Loans, Livelihoods and Lifelines.
The Last Mile theme centres on connecting unbanked villages through physical bank branches, Business Correspondents or India Post Payments Bank.
The Loans theme seeks to increase credit disbursement to micro, small and medium enterprises (MSMEs) and women entrepreneurs. Livelihoods focuses on helping farmers secure sustainable incomes, while Lifelines covers improvements in connectivity and infrastructure.
The minister urged participants to prepare ten recommendations under each theme and identify 40 actionable measures to implement them. He also called for clear timelines and measurable indicators to monitor progress.
Scindia expressed hope that the next edition, North East Bankers’ Conclave 4.0, would demonstrate further improvements in financial inclusion and regional development.
Lalduhoma Calls for Wider Banking Coverage in Mizoram
Mizoram Chief Minister Lalduhoma said banks must play a broader role than safeguarding public savings. He described financial institutions as essential drivers of development, business growth, entrepreneurship, wealth creation and sustainable livelihoods.
Citing figures for the 2025-26 financial year, Lalduhoma said Assam recorded a CD Ratio of 73.52%, followed by Nagaland at 61.1% and Tripura at 61%. Mizoram’s ratio stood at 55.83%.
He said the figures highlighted the need to strengthen lending in Mizoram, with a target of raising the state’s CD Ratio to 67% by the 2028-29 financial year.
The Chief Minister also urged banks to expand beyond Aizawl and improve their presence in other districts and rural areas. Wider coverage, he said, would make banking services more accessible to people who need them.
Lalduhoma highlighted Mizoram’s high loan recovery rate and asked banks to use this strength to expand credit and support the state’s economic development. (Edited by Enewstime Desk)