Executive Summary:
This document responds to questions raised in the Lok Sabha regarding the opening of new bank branches and ATMs in the Mavelikkara Lok Sabha Constituency of Kerala between June 1, 2024, and June 30, 2025. It details the status of branch and ATM openings, education loan application data, and government initiatives to support education loans. The response references Reserve Bank of India (RBI) guidelines and State Level Bankers Committee (SLBC) procedures.
Key Points / Main Content:
* **Bank Branches and ATMs:**
* The rollout of banking outlets is managed by SLBC/UTLBC in consultation with state governments, member banks, and stakeholders, according to RBI guidelines.
* Banks consider business plans, commercial viability, and surveys when deciding to open banking outlets.
* Data for proposals received by banks is not centrally maintained.
* All locations in Kottayam, Alappuzha and Kollam districts falling under Mavelikkara constituency have a bank branch or India Post Payment Bank (IPPB) within 5 Km.
* Six bank branches opened in the Mavelikkara constituency between June 1, 2024, and June 30, 2025:
* HDFC Bank (Kottarakkara, 18/09/2024)
* HDFC Bank (Mavelikkara, 23/09/2024)
* Bank of Baroda (Pathanapuram, 15/07/2024)
* Bank of Baroda (MANNAR, 19/03/2025)
* Bank of Baroda (Charummoodu, 19/03/2025)
* IDBI Bank (Kottarakkara, 15/03/2025)
* All newly opened branches are equipped with ATMs except for two Bank of Baroda branches in Mannar and Charumoodu.
* Two additional ATMs were opened:
* South Indian Bank (St GITS College, Pathamuttom, 21/11/2024)
* South Indian Bank (Placid Vidya Vihar, 24/01/2025)
* **Education Loans:**
* Branch-wise education loan application data is not centrally maintained.
* RBI has advised Scheduled Commercial Banks (SCBs) to adopt the Indian Banks Association (IBA) Model Education Loan Scheme, applicable to all sections of society.
* The PM Vidyalaxmi Scheme, launched on November 6, 2024, facilitates education loans to meritorious students admitted to top 860 Quality Higher Educational Institutions (QHEIs), offering collateral-free and guarantor-free loans through a simplified process.
Impact Analysis:
* **Banks:**
* *Impact:* Required to follow RBI guidelines and SLBC/UTLBC directives when considering new branches and ATMs. Should adopt the IBA Model Education Loan Scheme.
* *Action Required:* Consider business plans, commercial viability, and survey results for new banking outlets. Implement the IBA Model Education Loan Scheme.
* **Students (Especially from Socially and Economically Weaker Sections):**
* *Impact:* Can benefit from the PM Vidyalaxmi Scheme for education loans in top institutions. The IBA Model Education Loan Scheme applies to all sections of society, including socially and economically weaker sections.
* *Action Required:* Apply for education loans through the PM Vidyalaxmi Scheme if eligible.
* **RBI:**
* *Impact:* Responsible for providing guidelines for the rollout of banking outlets and advising banks on education loan schemes.
* *Action Required:* Continue to oversee and update guidelines for banking expansion and education loan schemes.
* **SLBC/UTLBC:**
* *Impact:* Responsible for managing the rollout of banking outlets in consultation with state governments and banks.
* *Action Required:* Coordinate with state governments and banks to facilitate the opening of new banking outlets in uncovered areas.
Key Entities Referenced
Mavelikkara, Kerala: A Lok Sabha Constituency in Kerala, India, which is the subject of the parliamentary question regarding bank branches and ATMs.
Reserve Bank of India (RBI): The central bank of India, which issues guidelines for opening banking outlets.
State Level Bankers Committee (SLBC) Kerala: A committee in Kerala that oversees the rolling out of banking outlets in uncovered areas.
HDFC Bank: A private sector bank with branches opened in Kottarakkara and Mavelikkara.
Bank of Baroda: A nationalized bank with branches opened in Pathanapuram, MANNAR and Charummoodu.
IDBI Bank: A bank with a branch opened in Kottarakkara.
South Indian Bank: A bank that opened ATMs in St GITS College, Pathamuttom and Placid Vidya vihar.
PM Vidyalaxmi Scheme: A scheme launched to facilitate education loans to meritorious students in top Quality Higher Educational Institutions.
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF FINANCIAL SERVICES
LOK SABHA
UNSTARRED QUESTION NO. 1295
ANSWERED ON MONDAY, JULY 28, 2025/SRAVANA 6, 1947 (SAKA)
New Bank Branches and ATMs in Mavelikkara, Kerala
1295. Shri Kodikunnil Suresh:
Will the Minister of FINANCE be pleased to state:
(a) the number of proposals received from nationalized and private banks for opening new
branches and ATMs in Mavelikkara Lok Sabha Constituency of Kerala between 01
June 2024 and 30 June 2025;
(b) the status of these proposals including approvals, rejections and pending cases, bank-
wise and location-wise;
(c) the number of branches and ATMs actually opened in the Constituency during the
above period with dates;
(d) the branch-wise data of education loan applications received in the Constituency
during FY 2024–25, including applicant social category (SC/ST/OBC/General), CIBIL
score brackets and the number of applications sanctioned and rejected alongwith the
reasons for rejection; and
(e) whether the Government proposes to issue any revised guidelines to ensure fair access
to education loans for students from socially and economically weaker sections and if
so, the details thereof?
ANSWER
The Minister of State in the Ministry of Finance
(SHRI PANKAJ CHAUDHARY)
(a to c) As per the extant Reserve Bank of India (RBI) guidelines, rolling out of banking outlets
in uncovered areas is a continuous process looked after by the State Level Bankers’ Committee
(SLBC)/ Union Territory Level Bankers Committee (UTLBC), in consultation with the
concerned State Government, member banks and other stakeholders. Banks, inter-alia, consider
proposals for opening banking outlets in the light of RBI’s instructions, their business plans
and their commercial viability. To further assess the viability for opening a banking outlet,
banks carry out survey as required. The data for such proposals received by the Banks is not
maintained centrally.
All the locations of three Districts i.e. Kottayam, Alappuzha and Kollam falling under
Mavelikkara Parliamentary Constituency, have either a brick and mortar branch or India Post
Payment Bank (IPPB) centre within a radius of 5 Km.As apprised by SLBC Kerala, 6 Bank branches have been opened in the Mavelikkara
constituency during the period from 01.06.2024 to 30.06.2025 as per details below:
S.No Bank Area Date of Opening
1 HDFC Bank Kottarakkara 18-09-2024
2 HDFC Bank Mavelikkara 23-09-2024
3 Bank of Baroda Pathanapuram 15-07-2024
4 Bank of Baroda MANNAR 19-03-2025
5 Bank of Baroda Charummoodu 19-03-2025
6 IDBI Bank Kottarakkara 15-03-2025
As informed by banks, all newly opened branches are equipped with ATMs, except for two
Bank of Baroda branches in Mannar and Charumoodu. In addition to these, 2 more ATMs have
been opened in the Constituency during the period, as per the details given below:
No. of ATMs opened additional to the branches
S.No Name of the Bank Area Date of Opening
1 South Indian Bank St GITS College, Pathamuttom 21.11.2024
2 South Indian Bank Placid Vidya vihar 24.01.2025
(d & e) Branch wise data of education loan applications are not maintained centrally.
However, RBI has advised all Scheduled Commercial Banks (SCBs) to adopt Model Education
Loan Scheme, formulated by Indian Banks’ Association (IBA). The scheme is applicable to all
sections of the society including socially and economically weaker sections.
The PM Vidyalaxmi Scheme launched on 06.11.2024, enables loans through banks to
meritorious students so that financial constraints do not prevent any youth from pursuing quality
higher education. The Scheme facilitates and enables education loans to meritorious students
who get admission in the top 860 Quality Higher Educational Institutions (QHEIs) in the
country and enables meritorious students of these QHEIs to take collateral free, guarantor free
education loans through a simple, transparent, student-friendly application process.
******