NUCFDC and IIA India Partner to Elevate Governance Standards in Urban Cooperative Banks

Urban Cooperative Banks

Mumbai: In a significant move to enhance governance, risk management, and professional auditing standards in India’s Urban Cooperative Banks (UCBs), the National Urban Cooperative Finance and Development Corporation Ltd. (NUCFDC) has entered into a strategic partnership with the Institute of Internal Auditors India (IIA India).

The two organizations have signed a Memorandum of Understanding (MoU) focused on institutionalizing globally benchmarked internal audit practices across the UCB sector.

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The MoU was formally executed in Mumbai in the presence of NUCFDC CEO Prabhat Chaturvedi and IIA India CEO K V Mukundan.

This strategic collaboration is designed to support UCBs in adopting international internal audit frameworks that align with guidance from the Reserve Bank of India (RBI), which recommends implementation of risk-based internal audits (RBIA) as per international standards issued by IIA and BCBS.

Under the agreement, IIA India will assist NUCFDC in enhancing audit competencies, strengthening internal control systems, and improving governance models across Urban Cooperative Banks.

This includes capacity-building for internal auditors and senior management through structured training, workshops, and access to global knowledge tools such as Internal Auditor magazine, “Tone at the Top” briefings, ESG and AI-integrated auditing frameworks, and international webinars.

Urban Cooperative Banks: Professionalising USB Sector at Core of NUCFDC Mission

Prabhat Chaturvedi stated, “Professionalising the Urban Cooperative Banking sector lies at the core of NUCFDC’s mission. This collaboration allows us to position internal audit as a cornerstone for resilient and transparent governance within our member institutions.”

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K V Mukundan added, “This MoU marks a crucial step towards bringing world-class audit standards to India’s urban cooperative banking landscape. It reinforces our shared vision of building institutions that are professionally governed and future-ready.”

Senior officials including Sumit Hans (Chief Business Officer, NUCFDC), Manish Solanki (President, IIA Bombay Chapter), and Rajiv Divadkar (Chief Growth Officer, IIA India) also attended the MoU signing.

This alliance comes at a pivotal moment, as 2025 has been declared the International Year of Cooperatives by the United Nations, reaffirming the critical role of Urban Cooperative Banks in promoting financial inclusion, governance, and institutional transformation at the grassroots level.

Author

  • Salil Urunkar

    Salil Urunkar is a senior journalist and the editorial mind behind Sahyadri Startups. With years of experience covering Pune’s entrepreneurial rise, he’s passionate about telling the real stories of founders, disruptors, and game-changers.

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