KADAPA: Employee associations of Andhra Pragathi Grameena Bank (APGB) on Saturday have made an appeal to Union Minister G Kishan Reddy, urging him to retain the bank’s headquarters in Kadapa, as the Union government moves forward with the merger of four regional banks in Andhra Pradesh.
The decision to relocate APGB headquarters in Kadapa comes in wake of the Union government’s move to consolidate APGB with Chaitanya Godavari Grameena Bank, Saptagiri Grameena Bank, and AP Vikas Grameena Bank into a single entity.
As part of the Centre’s ‘One State-One Regional Rural Bank (RRB)’ policy, APGB has been designated as the anchor bank for this merger, with Canara Bank continuing as the sponsor.
The APGB’s impressive financial standing has made it a frontrunner in the rural banking sector, boasting 552 branches, Rs 46,344 crore in businesses, Rs 802 crore in profits, and Rs 4,591 crore in reserves. “These figures demonstrate APGB’s leadership position not just in Andhra Pradesh, but across the nation,” said B Manjunath, a representative of the APGB Officers Association.
While the merger decision has been finalised, the choice of headquarters location remains under consideration by the sponsor bank and State government. Employee associations have raised concerns about potential plans to relocate the headquarters to Amaravati, citing several key reasons for maintaining the Kadapa location.
“APGB’s existing infrastructure in Kadapa includes our own building on government-allocated land and a unique currency chest facility - the only one of its kind among rural banks in South India,” explained D Mohammad of the APGB Employees Association. The bank’s presence in Kadapa, a drought-prone and underdeveloped area, has been crucial for regional development.
The associations argue that moving the headquarters to Amaravati would severely impact the Rayalaseema region, which already faces institutional scarcity. Despite challenging operational conditions, APGB has maintained strong profitability while fulfilling its mandate of providing financial assistance to underprivileged groups.
“Retaining the headquarters in Kadapa is not just about maintaining our operational base. It’s about ensuring equitable growth and continued development of this region,” emphasised P Suresh, general secretary of the APGB SC/ST Welfare Association.
The final decision on the headquarters’ location is expected to have significant implications for both the bank’s operations and regional development in Rayalaseema. Employee associations remain hopeful that their appeal will lead to a favourable outcome for Kadapa and the surrounding region.
A delegation comprising representatives from multiple associations, including the APGB Officers Association, APGB Employees Association, and APGB SC/ST Welfare Association, presented their case to the Union Minister in Hyderabad on Saturday.
The group urged Minister Kishan Reddy to escalate the matter to Prime Minister Narendra Modi.