## Objective of Lead Bank Scheme (LBS)
1. LBS aims at coordinating the activities of banks, government and other developmental agencies through fora established under the Scheme to achieve the following:
1. a) enhancing flow of credit to priority sectors for achieving inclusive growth.
2. b) deepening financial inclusion through improved access and usage of financial services.
## Assignment of Lead Bank Responsibility
1. Lead Bank Scheme is administered by the Reserve Bank of India since 1969.
2. It comes under [Financial Inclusion and Development Department](https://rbi.org.in/scripts/AboutUsDisplay.aspx?pg=Depts.htm#FIDD)
3. The assignment of Lead Bank responsibility to designated banks in every district is done by the Reserve Bank of India following a detailed procedure formulated for this purpose, specifically to coordinate banks, Government, National Bank for Agriculture and Rural Development (NABARD) and other stakeholders for priority-sector credit and financial inclusion.
4. As on March 31, 2025, 12 public sector banks and two private sector banks (Jammu & Kashmir Bank and ICICI Bank) have been assigned Lead Bank responsibility in 782 districts of the country.
5. It is not just for rural areas, as the Lead Bank Scheme (LBS) has been extended to the districts in the metropolitan areas, thus bringing the entire country under the fold of the Lead Bank Scheme.
6. A Lead Bank is responsible for a district. It coordinates banking and development activities within that district, and
7. SLBC/UTLBC Convenor Bank is responsible for a State or Union Territory. It coordinates the State/UT-level forum, that is, the State Level Bankers’ Committee / Union Territory Level Bankers’ Committee.
## Timeline
1. [April 1, 2025](https://www.rbi.org.in/scripts/BS_ViewMasCirculardetails.aspx?id=12808) - [Master Circular – Lead Bank Scheme](RBI_Master%20Circular_20250401_Master%20Circular%20–%20Lead%20Bank%20Scheme.pdf) was issued.
2. February 13, 2026 - RBI issued the [draft Circular](https://www.rbi.org.in/scripts/bs_viewcontent.aspx?Id=4896) on the revised guidelines of the Lead Bank Scheme.
3. [Jun 19, 2026](https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=13521&Mode=0) - RBI revised Lead Bank Scheme
4. [August 10, 2026](https://rbi.org.in/scripts/NotificationUser.aspx?Id=13675&Mode=0) - RBI notified about the Assignment of Lead Bank Responsibility upon the formation of new districts in the Union Territory of Ladakh.
## Revised Scheme - June, 2026
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## Related Notes
1. [Types of Banks](Types%20of%20Banks.md)