Madhya Bihar Gramin Bank sponsored by Punjab National Bank was established under Regional Rural Bank Act, 1976 and by Givt. of India, Ministry of Finance, Economic Affairs Banking Division notification no. F. No. 1(1) 2006-RRB dated 10.02.2006 by amalgamating four RRBs viz. Bhojpur-Rohtas Gramin Bank, Magadh Gramin Bank, Nalanda Gramin Bank and Patliputra Gramin Bank.
The bank is categorized under schedule banks and is authorized for all types of business under section 5 (B) of Banking Reguation Act 1949. As per RBI notification vide their letter no. RPCD.CO.RRB.NO.BC. 77/03.05 100/2008-09 dated 17.12.2008, the name of the Madhya Bihar Gramin Bank has been included in the Second Schedule of the Reserve Bank of India Act, 1934 ad by notification RPCD.CO.RRB.NO.3231/03.05 100/2008-09 dated 22.09.2008, the same has been published in the Gazette of India (Part-III-Sec 4). Simultanaeously, the names of the erstwhile RRBs have been excluded from the Seecond Schedule to the RBI ACT, 1934.
The bank is rendering its services to meet all the banking requirements of the rural and urban areas. In the light of the changed scenario in the banking sector, the bank is also providing its services to the non-target group beneficiaries along with the target group beneficiaries.