Daily Current Affairs and GK | 12 February 2026

Topic: MoUs/Agreements

1. The Department of Posts has signed a Memorandum of Understanding with the National Stock Exchange of India Limited.

• The agreement enables the distribution of mutual fund products through nationwide network of India Post.
• Department of Posts will work with NSE using its vast network of over 1.64 lakh post offices across India.
• The aim of the partnership is to significantly improve last-mile access to mutual fund products, espacially in rural and semi-urban areas.
• NSE will provide its digital platform for mutual fund transactions, which manages the entire process from order placement to settlement.
• All transactions will comply with SEBI regulations.
• Selected postal employees will be trained under the agreement. They will be certified as mutual fund distributors.
• These employees will offer mutual fund products and related services.
• They must complete National Institute of Securities Markets (NISM) certification and Employee Unique Identification Number (EUIN) registration to meet regulatory requirements.
• The initiative aims to improve investor awareness and seeks to promote transparency in financial transactions.
• The MoU was signed on 10 February 2026. It will remain valid for three years from the date of execution. It has provisions for renewal by mutual consent.
• The rollout will begin with a pilot phase, covering selected locations. The program will later be expanded in stages.
• The initiative is expected to increase mutual fund penetration in Tier-2 and Tier-3 cities and strengthen financial access in rural areas.

Topic: Banking/Finance

2. The Reserve Bank of India has taken new steps to strengthen cooperative banks.

• These steps have been taken in consultation with the Government of India.
• These reforms focus on improving financial stability, governance, and digital inclusion.
• From January 19, 2026, certain loans are eligible as priority sector lending.
• These loans are disbursed by banks to the National Cooperative Development Corporation.
• NCDC will use these funds to further lend to cooperative societies.
• Priority sector benefits apply under the relevant lending category.
• Regional rural banks are not covered under this provision. Urban cooperative banks are also not included.
• Small finance banks and local area banks are also not covered under this rule.
• Eligible loans must comply with the Master Direction on Priority Sector Lending, 2025.
• NCDC operates under the Ministry of Cooperation. It provides financial assistance to cooperative organizations.
• It plays a key role in promoting the cooperative movement.
• The amended regulations aim to increase credit flow to cooperative societies.
• Urban cooperative banks are now permitted to open new branches. This move is expected to improve their reach.
• The housing loan limit for urban cooperative banks has been increased from 10 percent to 25 percent of total loans and advances.
• Amendments have been made to the Banking Regulation Act for cooperative banks.
• The term of directors has been increased from eight years to ten years.
• To promote the adoption of digital payments, the licensing fee for cooperative banks to participate in the Aadhaar-enabled payment system has been reduced.
• The National Urban Cooperative Finance and Development Corporation Limited has been established.
• It is a non-deposit taking non-banking financial company.
• It will serve as an umbrella organization for urban cooperative banks.
• A shared service entity called Sahakar Sarathi has been created to provide technological services to rural cooperative banks.
• Rural cooperative banks have been included under the RBI's Integrated Ombudsman Scheme. This strengthens the grievance redressal system.
• Deposits in cooperative banks are insured by the Deposit Insurance and Credit Guarantee Corporation.
• This insurance covers up to ₹5 lakh per depositor per bank.