The Department of Financial Services under the Ministry of Finance has ordered all State Level Bankers’ Committees (SLBCs) and Union Territory Level Bankers’ Committees (UTLBCs) across the country to collect and report detailed information on Scheduled Caste beneficiaries who have received assistance under major government financial schemes. This step follows a directive from the National Commission for Scheduled Castes (NCSC) that flagged the absence of such data in official banking reports.
The order, dated October 5, 2026, requires banks and implementing agencies to separately track and report the number and percentage of Scheduled Caste beneficiaries served by each scheme. The committees must share this information regularly with the NCSC and submit a comprehensive action-taken report to the Department of Financial Services by October 9, 2026.
Key facts
- Order issued by Department of Financial Services on October 5, 2026
- Applies to all State Level Bankers’ Committees and Union Territory Level Bankers’ Committees
- Action-taken report deadline: October 9, 2026
- Interim update due within 30 days of the order
- Schemes covered: Pradhan Mantri Mudra Yojana, Stand-Up India, Prime Minister’s Employment Generation Programme, PM SVANidhi, CGTMSE and MSME Business Loans
- NCSC raised the concern on September 24, 2026, citing Constitutional mandate under Article 338(5)(c)
Why this reporting was needed
The National Commission for Scheduled Castes, a constitutional body that oversees the welfare and rights of Scheduled Castes, had observed that State Level Bankers’ Committee reports did not contain information about what percentage of loan beneficiaries belonged to Scheduled Caste communities. This gap prevented the NCSC from assessing whether government financial schemes were reaching Scheduled Caste populations fairly and in proportion to their needs.
The NCSC holds a Constitutional duty under Article 338(5)(c) to evaluate the socio-economic progress of Scheduled Castes. Without this data, the Commission could not measure whether loans and financial benefits were being distributed equitably across communities.
Which schemes are covered
The reporting requirement applies to six major government schemes that provide financial assistance, loans, or business support:
- Pradhan Mantri Mudra Yojana (PMMY): provides bank loans to micro and small entrepreneurs
- Stand-Up India: supports Scheduled Caste and Scheduled Tribe entrepreneurs with bank loans
- Prime Minister’s Employment Generation Programme (PMEGP): offers grants and subsidised loans for setting up small businesses and industries
- PM SVANidhi: provides loans to street vendors
- Credit Guarantee Trust Fund for Micro and Small Enterprises (CGTMSE): provides credit guarantee cover for MSME loans
- MSME Business Loans: general term loans for micro, small and medium enterprises
How the reporting will work
Banks and implementing agencies already maintain data on borrowers, including their social category. The Department of Financial Services has directed that committees use this existing data without creating new parallel reporting systems. This approach keeps reporting burdens on banks manageable while ensuring consistency in how data is collected and counted.
State Level Bankers’ Committees and Union Territory Level Bankers’ Committees will now include scheme-wise and bank-wise breakdowns of Scheduled Caste beneficiaries in their periodic review meetings. They must also send this information directly to the National Commission for Scheduled Castes on a regular basis.
What this means for you
If you are a Scheduled Caste person who has received or is planning to apply for a loan under any of these government schemes, this order improves accountability. The NCSC can now track whether loans are reaching Scheduled Caste communities fairly and will have the power to intervene if any bank or programme is not serving these communities adequately.
The data will also help the government itself understand whether its financial inclusion programmes are truly reaching intended beneficiaries. If a scheme is not reaching Scheduled Caste populations proportionally, policymakers can identify and fix the problem.
What happens next
State Level Bankers’ Committees and Union Territory Level Bankers’ Committees have been asked to submit an update on action taken within 30 days. The full action-taken report, including details on data availability and any obstacles in compiling the information, is due by October 9, 2026. The National Commission for Scheduled Castes will monitor implementation of these directions and remain engaged with banks and other stakeholders to ensure compliance.