New Delhi, July 23 -- India's banking regulator, the Reserve Bank of India (RBI), on Wednesday, 23 July 2025, cancelled the licence of the Karnataka-based Karwar Urban Co-operative Bank due to the institutional lender's lack of earning prospects.

"The Reserve Bank of India (RBI), vide order dated July 22, 2025, has cancelled the licence of The Karwar Urban Co-operative Bank Ltd., Karwar. Consequently, the bank ceases to carry on banking business, with effect from the close of business on July 23, 2025," said the RBI.

As per the announcement, the Karwar Urban Co-operative Bank will cease to conduct banking business effective the end of business hours on Wednesday, 23 July 2025.

The central bank also flagged that the Karwar Urban Co-oper...