Shivalik Mercantile Co-operative Bank gets small finance banking license

India's Shivalik Mercantile Co-operative Bank Ltd. said it obtained a license from the country's central bank to operate as a small finance bank.

The bank had received in-principle approval from the central bank to convert into a small finance bank in January 2020 and was given 18 months to commence operations as a small finance bank, according to a Jan. 4 release.

The lender is the first urban cooperative bank in India to transition to a small finance bank under the voluntary transition scheme.

Shivalik Mercantile Co-operative Bank expects to start operations as a small finance bank by April.